MOSSEL BAY NEWS - Benevolent Park and its status as a non-profit organisation (NPO) having changed to a non-profit company (NPC) once again featured in an item which was served before the Mossel Bay municipal council on 27 June.
As in the past, it led to some heated discussions among councillors who are for and ones who are against the change of Benevolent Park's status as an NPO to that of a non-profit company (NPC).
As the decision to change Benevolent Park to an NPC had already been taken, the purpose of this item was for council to consider and approve the draft Memorandum of Incorporation (MOI) for the establishment of the Benevolent Park NPC and nomination of one member of the Benevolent Park residents to serve as a director of the Benevolent Park NPC.
March meeting
During a council meeting held in March the following, among other points, were resolved:
• Because the Mosselbaai Benevolent Vereniging vir Bejaardesorg NPO is financially constrained, a separate entity will be established to ensure the effective management, financial viability and continued existence of Benevolent Park.
• That an NPC with members be established to manage Benevolent Park with the residents of the facility being members of the NPC.
• For it to be established, the NPC will consist of five directors which will include: one representative who is elected by the residents and council's supervisory role will be undertaken by only the ward councillor. Three members of the newly-elected NPO, namely Nathan Pillay, Gert Meiring and Arthur Riordan, will then also serve on the NPC as directors. In the event that a position became vacant with regards to the three current members of the NPO, the vacant position will be filled with a suitable community member with the necessary skills in terms of legal, financial, administrative or social/welfare capabilities.
• The ward councillor Erika Meyer will be nominated by council to serve on the NPC.
• After the establishment of the NPC, vacant positions will be filled in terms of the MOI of the NPC.
Objectives
In terms of the draft MOI the main objectives of the Benevolent Park NPC will be:
1. To administer the property as a residential and frail care facility for the elderly and disabled;
2. To compile and implement a business plan to ensure financial stability;
3. To upgrade and maintain the property to the satisfaction of the municipality, and for the benefit of Benevolent Park;
4. To be responsible for the strategic, financial, asset(s) and staff management of Benevolent Park;
5. To be responsible for the establishment of a management body consisting of residents of Benevolent Park to represent finances, administration, maintenance, operational, gardening and aesthetics, and social;
6. To have regular meetings with the management body to ensure the effective management of Benevolent Park.
It was proposed that the NPC will have voting members and that all residents of the property shall be members of the NPC. Should any member no longer be a resident of the property, his/her membership shall terminate immediately.
Membership is exclusively reserved for residents of Benevolent Park, however, the municipality will at all times be a member of the NPC.
After appointment of the directors as contemplated above, the directors, other than the directors appointed by the municipality and council, shall be elected at an annual general meeting by its members, as and when a vacancy occurs.
In the event of a position becoming vacant with regard to the three current directors nominated from the current NPO by council, the vacant position will be filled with a suitable community member with the necessary skills in terms of legal, financial, administrative or social/welfare capabilities, which will be nominated and appointed by council.
Responsibilities
The responsibilities of the directors will, among others, be the following:
1. Act solely in the interest of the company at all times;
2. Sound financial administration;
3. Sourcing of funds.
When it came to voting on the approval of the MOI, the ACDP, FF Plus and Icosa abstained, while the PA and the ANC voted against the item.
The ANC had initially also abstained, but following a brief caucus, changed its stance to voting against.
In another item which served later on the agenda, a conditional grant (R500 000) to be paid to Benevolent Park was also approved. The ACDP sited this extra financial responsibility on the municipality as its reason for abstaining.
The PA, among other things, went as far as calling the item unconstitutional and said it did not understand why the municipality was involving itself in the matter, while the FF Plus was concerned about the legality of the process of having an NPC take over an NPO.
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