Statement by The Honourable Savitri Sonia Parag Minister of Local Government and Regional Development, Government of the Cooperative Republic of Guyana

– Re: Unlawful Tax Waiver by Georgetown Mayor and City Council

I have taken note of a decision by the Mayor of Georgetown, Alfred Mentore, and the opposition-controlled City Council to grant a 25% waiver on outstanding rates owed by the Guyana Telephone and Telegraph Company (GTT). This is both alarming and unlawful. Section 215(3) of the Municipal and District Councils Act, Cap. 28:01, clearly stipulates that any discount on rates due must not exceed 10%. By approving more than double this legally mandated limit, the Mayor and his council have blatantly disregarded the rule of law and their fiduciary duty to the citizens of Georgetown.

This decision comes at a time when the Council continuously laments its financial woes and requests bailouts from Central Government, claiming to be cash-strapped. It is baffling that while pleading poverty, the Council finds it prudent to forgo significant revenue that could have been utilized to improve vital services such as garbage collection, market management, and overall sanitation – all areas in which they have consistently, and miserably failed.

The Council’s financial management must be scrutinized. Instead of prioritizing the collection of funds owed to the city, they have chosen to grant concessions that are not only legally questionable but also fiscally irresponsible. This decision, therefore, warrants an urgent review to ensure compliance with the law and to protect the financial integrity of Georgetown.

Equally concerning is the broader pattern of financial mismanagement and political opportunism exhibited by the opposition-led Council. This is not an isolated incident but rather part of a troubling trend. Most recently in August, 2024, the Council approved a similarly controversial waiver for political parties, which the People’s Progressive Party/Civic (PPP/C) vehemently opposed. It is widely known that the opposition owes the city billions in rates and taxes for its Sophia headquarters —funds that would significantly improve the quality of life for Georgetown’s residents.

This raises serious questions about the motivations behind these decisions. Is the Council truly working in the best interest of Georgetown’s citizens, or are these actions part of a calculated strategy to benefit select entities and political allies? The implications are deeply troubling and demand transparency.

The Ministry of Local Government and Regional Development will continue to monitor these developments closely. We remain committed to ensuring that all municipal actions adhere strictly to the law and serve the best interests of the people of Georgetown. The time has come for the Council to place the welfare of its citizens above narrow political interests.

The people of Georgetown deserve better.