PUBLIC MEETING.

Akaroa Mail and Banks Peninsula Advertiser, Volume 2, Issue 192, 21 May 1878, Page 2

PUBLIC MEETING.

' A public meeting was held in the Town Hall, Akaroa, last evening. His Worship the Mayor took the chair at 7.30 p.m. About 150 , persons were present. The Mayor commenced by reading'tbe advertisement convening the meeting. He then said that having'grave doubts as to the legality of the proposed loan, hejjiad telegraphed for-■ Counsel's opinion on the question. .• He-would: read the telegrams. Dr Foster's answer was as follows :— " Christchurch, May 20. " H. G. Watkins, Esb., Mayor of Akaroa.

" Under clansa 140, Council must raise loan on security of special- rate. If in any year sufficient surplus of general rate, Council may apply such surplus without raising special rate for that year. Clause 148 does not authorise payment of first year's interest out of loan except where loan raised by special order.

" Chas. J. Foster." As he considered the whole affair illegal, he would leave the matter in the hands of the meeting, and call upon any burgess to address the meeting. Mr O'Reilly then came forward, and, addressing the Chairman and the meeting, said, he had the honor to bring before them and advocate the raising a loan of £3000, to be expended on necesary works within the Borough. They were all aware that since the municipality had been formed, very little money had been expended on useful works, no streets or bridges had been made to improve tbe place: their income had been taken up by other sources. He had long been convinced that the only way to give Akaroa a start like other places, was to borrow money for public works. He had advocated it in the Council, and got it carried there. He hoped they would allow him to read some estimates which he had prepared. The speaker here read the estimates, which have already appeared in our columns. As to the way in which he proposed to raise the loan, he would invite tenders for it. The Act provided that the debentures could not be sold so as to bring the purchaser more than 7 per cent. He felt sure that the insurance companies in Christchurch would advauce the money at 6 per cent. The income io be expected for the year 1878-9 would leave nothing for public works. He thought that baths would be a great acquisition to the place. With regard to their estimated income, they had—rates £280 12s; subsidy from Government,' £280 12s, if they got it, of which he had his doubts. Last year they had received the large sum of £5 Os 7d, outstanding rates about £5. (He was afraid this amount had gone into the sinking fund.) With licenses and other items he made the total estimated income £1023 lis. With regard to the expenditure, there would be nothing left for public works. They now owed the Bank of New Zealand £222 19s sd; with cheques and liabilities at present outstanding this debt would be increased to £270 17s lOd. With regard to the reserves, they must admit that they would have to spend money on them for surveys, &c, before they could receive anything from them. They would have to take over the Hospital and Charitable Aid. It was only on that understanding that the Government subsidy would be payable. The speaker went carefully through the estimated expenditure, in which he included £270 for Hospitals, Charitable Aid, and the Health Act, and which came to a total of £1042 18s lOd. If they were unwilling to raise the loan, they would have to submit to a special rate of ls in the pound. If they preferred this, weil and good, but let them think whether the loan would not be by far the better way. It would help to bring people into the place. Its expenditure would benefit all in the place. Mr Barry would like to ask Mr O'Reilly on what security he proposed to raise the loan ? Mr O'Reilly : On the security of the general rates. Mr Barry thought, that according to the legal opinion just read, this could not be done. Mr O'Reilly would prove by the Gazette that it had been done in the Borough of Masterton. £8000 had been raised in the way he provided. Mr Barry had read the Act, and could not see how any one could come to any other conclusion than that of Dr Foster.

Mr O'Reilly had no doubts whatever on the matter.

Mr Wagstaff said he had opposed the scheme in the Council, and might be expected now to give his reasons for doing so. He would not trouble them with many figures. Mr O'Reilly had given them his estimates of income and expenditure very clearly, but among his figures were some which certainly came under the head of public works. He was of opinion that the proposal was illegal and unnecessary. Taking the estimated income at a little over £1000, he made their necessary expenses about £600, leaving £400 for public works. . He did not see the utility of some of the works proposed, such as regrading the main street, and pulling down the bridges and building new ones. The expenses of raising the loan would he thought be higher than was expected. He estimated that the £3000 loan would not produce more than £2580 nett. They need not borrow for so long a term as 50 years; 1 per cent of a sinking fund would pay off the debt in 34 years. Why should they burden themselves with a charge of £210 a year, when their regular income would suffice to keep their streets in repair, and build, say a bridge a year. Mr Billens would like to know where Mr Wagstaff got his £400 from, which he said they would' have to spend on public works. Mr Wagstaff could get them from Mr O'Reilly's figures if he were allowed to use them. The. Mayo;? explained that Mr Penling ton would read tho estimates of the Financial Committee, which would bear out Mr WagsrnlFs statement: Mr Wagstaff thought if it was true, as Mr O'Reiliy said, that £1000. a year would result from the Ashburton Reserves, it was suicidal policy to borrow. As for benefitting tbe trade in this place he thought that argument was quite irrelevant. Mr Garwood asked if the money could be expended on other objects than those specified. Mr O'Reilly : No. Mr Wagstaff read the clause of the Act bearing on the question. Mr Penlington read the report of the Finance Committee, shewing estimated receipts £1106. Expenditure — present liabilities and administrative expenses

£636 ; roads and bridges. £366 ; Hospital, £100.

Mr Checkley asked if they held an occupation license for the Ashburton reserves.

Mr Penlington : No, he believed they were Gazetted.

Mr Meeoh would like to know how they could expect to grant- a license to occupy the same to others. ■•-J. Mr Henning asked in, the eypnt of i special work being required, say a bridge, could not a special rate be struck for the purpose ? The Mmyor: Yes. • Mr Meech said that the statement just read was of no value ; it had been drawn up by the Finance Committee, but had not yet been passed by the Council. The rates of the Borough would amount to £280, as Mr O'Reilly had said, but they could not show £400 to the good. Mr Penlington knew that a special rate must be struck for special works, such as building bridges, &c. Mr O'Reilly's motion would do away with this. With regard to the overdraft, it amounted now to £270 odd, not £96. It was of no use to throw dust in the eyes of the public. The other items were toterably correct. The printing was estimated too low. He saw £30 set down for printing the bye-lawa. If he was not mistaken, this had cost £70 the last time. They could not reckon on £100 from their reserves, and as to £160 for two bridges, any contractor would consider the estimate ridiculous. The Hospital and charitable aid would be a drain on their funds. It was absurd to say that they could not borrow on the security of their general rates. Mr O'Reilly had shown otherwise in the Council. Some said £3000 was not enough to borrow —that they should borrow more, say £8000, but they could not raise it on their present available security. If this loan were raised, it would save them having to pay another rate, while roads would be made and works done which posterity would have to pay their share of, and which all would get the benefit of.

Mr O'Brion asked if the speaker could say what kind of land had been selected. (A Voice: " All shingle.")

Mr Meech believed it was good land, but could not say from his personal knowledge.

Mr Henning asked whether Mr O'Reilly's motion had been seconded.

The Mayor said there was no occasion for it to be seconded.

Mr Garwood enquired whether the question must be decided to-night.

The Mayor replied that this would be their only opportunity of discussing the matter in public, but that a poll would have to be taken.

Mr Noonan wished to know if Mr O'Reilly would apportion something out of the loan for a fire brigade.

Mr O'Reilly said the loan would be gazetted, to be applied to certain special purposes, and could not be diverted, but it was in the power of the Council out of the funds then in hand from having a surplus to grant assistance for that purpose.

Mr Garwood would like to hear some other member of the Finance Committee on the state of the funds. Mr Penlington had made statements totally different to those of Mr O'Reilly, and had shown that they were not in so bankrupt a state as he thought. Mr Penlington said that the auditors' accounts showed the overdraft to be £96 odd, and not as Mr Meech had stated, £270 odd.

Mr O'Brion suggested that Mr Morey should get up and give them a lecture.

Mr Morey said as they wished him to give them his ideas, he would give them in a concentrated form. He Avas in favor of a loan for improvements, but not as proposed by Mr O'Reilly. He kne.w by dearly bought experience that they would have to pay double the amount that they borrowed. If they did borrow, let the money be spent on something really wanted, such as reclamation, which would prove remunerative. Some of Mr O'Reilly's ideas would hold good, for instance, bridges, but he would not have them constructed as heretofore. (A Voice : "Of brick." Laughter.) They could not expect them to last more than seven years. Mr O'Reilly wanted them built of wood and concrete ; he would say, let it be brick and concrete. (Laughter.) Then he would say, let them reclaim the beach, and thus unite the two ends of the town, and heal the divisions in the Borough Council. What they thus joined together, no man could put asunder. (Cheers and laughter.) He would like to see Jolliestreet made an ornament to the town. ' "_ilr Morey went on to speakAof the necessity for additional lamps, for an improvement of that corner known as the " Council's Folly," and again ' urged the necessity of reclamation, in view of the.railway coming to the harbor. ■ It would. be .easierto get the railway round to Akaroa than it was to make it from Port' Chalmers "to' Dunedin. As to money, they could '-get Ait.... If Akaroa was to progress, let them get the railway to it, and it-would progre%AA ;.'"- ;

! street made an ornament to the town. ' iVIr Morey went on to speakAof'the necessity ■ for additional lamps, for an improvement of that corner known as the "Council's Folly," and again ' urged the necessity of reclamation, in view of tfie.railway coming : to the harbor. ■ It Would.be .easierto get the railway round to Akaroa than it was to make it from Port' Chalmers "to' Dunedin. As to money, they could '-get Ait.... If Akaroa was to progress, let them get the railway to it, and it- would progre%AA ;.'"■ Ma Garwood w.QuUJL-stiij like,., to near Mr Penlington's figureasubstan|iatfid. .'lie , caUed on Mr Bi : ll'efls.to"'d.o'isc)A,A ... . j, %Vii Mr Billens ' thoughtdust 1 lilid' pcen thrown in their eyes on Safard&y'.night. He had been taken by surprise voted for the report as r.ead by Mr Penlirigton,Jbut he bad since learnt its incorrectness.' The overdraft was really £270 odd, and they had not a penny with which to pay it. The meeting had been held, and the statement drawn up on purpose to mislead the public at this meeting. Mr Penlington said that Mr Billens had seconded the estimates, and helped to draw them up. He would like to hear from him what items he objected to. Mr Billens instanced the Auditor's fees, the Government subsidy, and charitable aid. Mr Penliwgton explained. Mr Henning said that charitable aid did not appear in the estimates of other Councils, Christchurch, for example. Mr Penlington made a further statement as to letting the reserves, their fencing, &c. Mr S. Watkins would like to knovv who constituted the Finance Committee.'' ; *■* It was explained that its members were Messrs Penlington, Billens, Bridge, and the Mayor. Mr S. Watkins, addressing Mr Billens : " Do you charge the Committee with wilfully cooking these accounts ?" Mr Billens : '' I do." (Sensation.) Mr S. Watkins thought this was a most scandalous accusation to make against them of wilfully deceiving the public. Mr Billens : '• If I had known as much as I do now, I would not have been at the meeting at all." Mr Penlington regretted that Mr Bridge • was absent, as he would have defended '

him from these accusations. The bhfy other member of the Committee was.: the Mayor, and as he occupied the chair, lie would not ask him.

The Mayor then read the notice of the Poll, which appears elsewhere. Mr Meech proposed a vote of thanks to the Chairman, which was seconded by Mr O'Reilly. In reply to Mr Garwood, the Mayor reiterated his opinion thar_the whole proceedings were illegal. ' ■-".-.■ The meeting then terminated, a voice being heard to exclaim, " Fancy, all this talk to no purpose."