20140306 Reply from MP Sapari on S & CC hike

From: Zainal Sapari
Sent: Monday, March 03, 2014 6:48 PM
To: mailto:pipakh
Subject: Re: 20140301 S & CC should not be increased when TC has surplus


Please refer to your email dated 2 Mar 2014.

Although there is total net surplus for residential, commercial & car park activities, we have been operating on a deficit for residential property after taking into account government grant for the last 2 financial years. However, it is not possible for the Town Council to continue to operate with the existing rates as we have projected a total deficit by financial year 2015.

The Town Council works closely with the Residents’ Committees and take into consideration the feedback and needs of residents before deciding on which improvement projects to implement. The Town Council will continue to provide improvement works that are functional and beneficial to all residents, for example covered linkways & drop off porches.

It is mandatory for 30% to 35% of the monthly S&CC collection and government grant to be transferred into Sinking Fund to carry out future major cyclical maintenance works such as cyclical repainting and repairs, reroofing, rewiring, replacement of lift major parts, water pumps, etc. Cyclical maintenance is required to ensure that the buildings and its supporting M&E services are properly managed and maintained throughout its life cycle. With consistent building up of the sinking fund, the Town Council need not resort to asking residents to pay out a hefty sum of money when there is a need to carry out any such major cyclical work.

Although different Town Councils manage properties with different profile, we face similar pressure with cost increase. Some, like those smaller TCs you mentioned,

have raised their rates earlier. Our S&CC was last revised 10 years ago in September 2004. Please be assured that we have been making conscientious effort to control costs and expenditures to avoid increasing the S&CC despite rising inflation every year. However, it is becoming increasingly difficult to continue our operations at the prevailing S&CC rates as Town Council’s operating and cyclical expenses have increased significantly.

With reference to your query on the cleaning contract, other than labour, cleaning equipment and material are provided in the contract. As it is a simple cleaning contract, all contractors who are able to supply workmen and cleaning equipment, can tender for the job.


Zainal Sapari Chairman



Pt. 7 correction. ‘$1.1 million’ should be ‘$2.05 million’


1 Response to 20140306 Reply from MP Sapari on S & CC hike

  1. Pingback: Daily SG: 7 Mar 2014 | The Singapore Daily

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