The Knysna municipality is preparing a new general valuation roll based on property sale price – determined on a willing buyer, willing seller basis – as opposed to the sometimes arbitrary “official” valuations done by municipalities.
At present land owners‘ rates are determined separately for land and buildings, but the recently enacted Municipal Property Rates Act now demands that the system be changed.
Knysna mayor Eleanore Bouw-Spies said on Tuesday that a firm of professional valuers, DDP Valuers, had been appointed by the council to place a fair value on every registered property in the Knysna municipal area.
To speed up the process, she said, the council already had details such as planning and building records on its property data base, along with property sale details from the Deeds Office.
The value of a property directly influences the rates calculation, and in a municipality like Knysna where property values have grown rapidly in recent years, there will be situations of concern once these valuations are completed.
So the council has developed a phasing-in system that could be applied in certain instances, helping home owners to absorb possible increases.
Ratepayers have the right to lodge an objection in respect of the market value of individual properties.
The council said a special rates task team had been set up to handle all rates queries as quickly and fully as possible.
It said valuers would be requesting access to homeowners‘ properties to do the valuations.
Bouw-Spies said the municipality would ensure that the valuers were fully accredited and issued with formal identification.
“Ratepayers will also be notified in advance of the visit of the valuers, where possible,” Bouw-Spies said.
The Knysna rates policy and budget requirements govern the rates amount to be charged and what rebates, concessions and deferments are available.
Rates are used to finance those services not directly financed from a tariff or charge.
These include road provision and maintenance, parks, public spaces, libraries, community facilities, street lighting, traffic and law enforcement.
