The Johannesburg Metro Council has announced a six- to tenfold increase in the property rates of both public and independent schools. As of 1 July 2022 the rate category “Education” has been removed, meaning that educational institutes will be assessed and charged under the “Public Service Property” category. Independent schools’ rates will be increased tenfold, an effective 686% increase – should they qualify for the rebate. The requirements to qualify for such a rebate are uncertain at this stage.
The ADvTech Group, which owns around 17 schools in the Johannesburg Metro, said that this drastic increase in property rates might result in the closure of some of their schools. The problem is that all schools’ 2022 budgets have already been finalised and very few schools will be able to afford the increase in rates. They will therefore be forced to look to the parents assist in making up the increase. The City Council seemingly ignored the impact this decision will have on the students’ basic constitutional rights, such as the right to education and dignity.
Although the City Council, legally, has discretion when it comes to the increase of rates, they also have an obligation to follow a process of community participation in accordance with Chapter 4 of the Municipal Systems Act. The Council has ostensibly failed to follow procedure by neglecting to consult with the affected parties before they made the decision to drastically increase the rates of schools.
The ADvTech Group is taking the Johannesburg Metro to Court on 26 July 2022 for urgent relief and to stop the Council from implementing the new rates and to declare the decision unlawful.