DRAINAGE RATES.

Press, Volume LXI, Issue 18415, 23 June 1925, Page 11

DRAINAGE RATES.

METHOD OF COLLECTION

LEGAL OPINIONS. Legal opinions relative- to the power of the City Council to collect by means of a rate on unimproved values rates levied by the Drainage Board on capital values were considered by tl;o City Council last niglit.

The Finance Committee reported that the Christchurch Drainage Board had forwarded copy of a resolution passed by it directing that its rates for the current year be collected on the system of capital value.

In the past it had been customary to collect the Board's sewerage ar-a general rate on capital value and its other rates on unimproved value. The Citv Solicitor's opinion was to the effect" that the Board's special annual recurring rates should be collected on unimproved value. In consequence of the Board's resolution, the committee had obtained an ooinion from Mr T. F. Martin, counsel to the Municipal Association of NewZealand, to tho ofi'cct that special rates £8 well as sewerage and other general rates struck by tho Drainage Board must be levied" and collected by the Council on capital value, as directed bv the resolution of the Board, notwithstanding the adoption of the unimproved value system of rating before the Bating Amendment Acts, 1011 and 1913, came into force. In .view of the importance of tho matter, and for the Council's guidance, the committee recommended Mr Martin's opinion be referred to the City Solicitor to obtain a declaratory judgment on the question from the Supreme Court. Or.'Sullivan said the Council should collect the rate as heretofore and leave it to the Drainage Board to take what action it wanted.: Ho moved that the present method of collecting tho drainage rates on the unimproved values should be continued.

Cr. C. P. Agar said the Drainage Board had asked.the Council to collect their, rate on the capital valuo system. The- City Solicitor advised that the Council could continue the unimproved system cf collection, but the solicitor to the Municipal Association advised that the Council was bound to collect en tho capital values. The City Solicitor then advised that application for a declaratory judgment jjhonld be made to the Supreme Court. Cr. W..J. Sim said that was the only course open to tho Council. The application should be made as early as possible.

The Mayor: This is a scandalous action on the part of the Drainage Board. Why should they do it now? We have been collecting tho rate this way for yearsj and the Board uever asked us to change- the system before. They never asked us this time.

Cr. Agar: Oh, yes. The Mayor: Oh, no! They have ordered us to do it. I am quite willing to accede to requests, but not to orders. From my point of view this is a piece of .impertinence on the part of the Drainage Board, and I cannot understand this Council taking it lying down. We are not debating the legality of the position. The citizens decided on tho unimproved system of rating, and novf a Board made up of Toryued members— Cr. A. W. Beaven: Oh!

The Mayor: Tea! We should protest against six or eight men sitting round a Board, alien to the Council, and over-ruling the decision of the citizens. Just because that decision does not agree, with their political views, they insist that we should defy the citizens and collect the rate according to their own particular fad. We should not take this lying down. Wo should let these people know that, in our opinion, whatever is their legal right, they have. no moral right to thrust this,thing on the people of Christchurch. That is my view about it.

Cr. O. Anderson said the £700,000 loan proposal of the Drainage Board was based on capital valuations, and was put before the- ratepayers in that form. < Cr. Air McKellar said the- Council rating would still be conducted on the unimproved system. The. motion for the adoption of the report was carried.

THE NEW LEVY. The drainage rate requirements for this year were )put before the City Council last night. The Christchurch Drainage Board wrote forwarding Special Order for the levying of the rates for the year ending March 31st, 192(5, as under: Last year. Sewerage area—-,'27-G4th d. £7-61lh d. ■ • ■ Rural Clicli.— 3-36 th.d. 1-Sth d. ' 1-lGth il. inc. Rural Woolston (including lUdley not previous 1 y i included)— . ' ' 11-GJIh d. 1-lOlh d. 7-Gith d. inc. Rural Spreydon—-1-ieth d. 7-3Cnd d. S-S2ni d. dec. Rural Avon—-1-ftli d. 1-tth d. Rural Eiccarton — 5-£2 nd d. .7-32ndd. l-16th d. dec. Rural Heath- . cote (including'' b"t. Martins)— • 7-c2ud d. 3-G-lth d.' 5-Cith d. inc.

• The. letter stated that in respect of the £700,000 loan, it would bo sufficient for the Board's financial requirements if a rate of 29-64ths of a penny in the £ on capital value was collected.

The Council's share last year was Jd. Increase 13-64ths. The Board also advised that in respect of-.the £25,000 loan, it would be sufficient for the Board's financial requirements ;if the sum of £1427 was collected.

The Council's share last year was £2158. Decrease £731. . The Board further stated that in tcspect of the £27,300 loan, it would be sufficient for the Board's financial requirements if the sum of £2086 was collected.

The Council's' share last year was £2002. Increase £B4. The letters were referred to the Finance Committee.