Redcliff municipality is offering a 30% discount for any amount paid towards the clearing of debts, council officials have confirmed.
Speaking after the adoption of the town's $8, 5 million budget last Thursday, Redcliff mayor Clayton Masiyatsva said the local authority has decided to give residents a reprieve.
"Council, during its special meeting, has resolved to offer 30% discounts to all residents, corporates and the business community.
"It (council) further resolved to honour those who are up to date by crediting to their accounts 305 discount," mayor Masiyatsva said.
Redcliff is currently owed $27 million with the biggest debtor being Ziscosteel which has failed to clear $16 million debt.
The council has since pleaded with government to settle the Ziscosteel obligation.
Redcliff is struggling with obligations of $9 million in labour related costs, $3 million in salary arrears and also owes nearby Kwekwe City $3 million.
Government, which is expected to pay over $30 million to Kwekwe and Redcliff councils, took over the Ziscosteel debt to make the parastatal attractive to prospective suitors.
"Ziscosteel's debt is $16,4 million and engagements are being made with respective stakeholders to recover this debt as a total write-off would render the council technically insolvent as creditors would exceed debtors.
"However, Council has written to the parent ministry seeking its intervention that we be paid in cash and Treasury Bills against $14, 7 million debt to Council following the Ziscosteel (Debt Assumption Bill) 2018," finance committee chairperson Nyasha Benza said.
Meanwhile, nearby Kwekwe city has also said government must also start settling the Ziscosteel debt as the council is struggling financially.
"We expect government to budget for the Zisco debt in its 2019 budget. We plead with the government to start settling part of the debt next year," Kwekwe City Council Financial Director told a Finance Parliamentary Portfolio Committee recently.
Government owes Kwekwe City $16 million.