CITY FINANCES

Dominion, Volume 33, Issue 189, 7 May 1940, Page 8

CITY FINANCES

Wellington Estimates For 1940-41 GENERALRATE STANDS UNCHANGED Lower Hospital Rate The ordinary general rate of the Wellington City Council will be the same this year as last ycai, but thy reduction in the hospital board’s levy will be passed on to the ratepayers. stated the mayor, Mr.. Hislop. at a special meeting of the council yesterday afternoon, when the estimates committee presented its report and draft estimates providing for an expenditure of £826,372 for the financial year, 1940-41, were adopted.

The proposed expenditure by committees is £291,426 and non-controlhible and other expenditure £534,9-16. Mr. Hislop, as chairman of the estimates committee, said that the hospital rate would be lower this year and the ratepayers would be given the benefit of the reduction. The linancial position would be reviewed iu November aud if it was then better than anticipated a further allocation could be made to committees by the council. Mr. Hislop said there were non-re-curring items amounting to £23,383 In the previous , year’s estimates, which were largely special centennial items. This year there were new items which would total , about Hurt sum. There was £3OO for maintenance of the Art Gallery grounds, £4OOO for expenses of loan renewals, £lOOO for an emergency fund to compensate persons who wereinjured ou volunteer work during national’ emergencies such as an earthquake, £l5OO for*work at the soldiers cemetery, £4OOO to complete libiaty furnishings, £270 to ventilate the Concert Chamber, £1250 for Johnson s Hill purchase, a sum for a water survey in the attempt to submit a scheme to cover all the local bodies of the district, £lOOO to complete various -land purchases and £7OOO iu connexion with interest aud sinking fund and the raising of further amounts for sewerage and tunneling aud the library. Last year there bud been au almost record rate collection of 96 per cent.; this year it was known that, many people in business, particularly importers, had been affected by general conditions. Many were selling oft stocks and he imagined that there would be a considerable number in difficulty, or out of business altogether. They might thus not be able to pay their rates, and he thought the council was bound to collect less this year than last. Payments from Revenue. Or. IV. Appleton said that he agreed with the principle of paying their way out of revenue instead of borrowing. The estimates were reasonable aud fair to the various committees. Cr. C. 11. Chapman said that Cr. Appleton, as chairman of the works committee, bad made a request to the estimates committee, for amounts totalling £311,015, which bad been reduced to £185,956. Cr. Appleton: It was only what people asked for, 1 knew perfectly well it could not be done and was the first to admit it. Cr. Chapman continued that there was a great' deal to be done in city works and this year was au opportune time to do it; it might assist to avoid the slump conditions that sometimes followed an exhibition. He thought it would have been wise to use the amount saved by the hospital rate reduction in badly-needed civic improvements, such as a better refuse collection and street cleaning system, said Cr. T. Brindle. There was a plant for testing the fitness of motor vehicles going rusty for want of a suitable building. If properly housed this plant would return revenue. Rate Reduction Opposed. Cr. A. Black said he strongly opposed any reduction in rates while there was so much that required doing urgently. One street lie cited as au absolute disgrace. People iu the suburbs were crying out for work which would have to*be done eventually. Therefore it. would be better to do it from rate revenue rather than wait and then raise loans ou which they would have to pay interest for a lifetime. The well-to-do had all they wanted, but the amenities of which he spoke were wanted for the workers.

Ratepayers, large or small, would know their difficulties in working out their own budgets; so it was with the council for the same reasons, said Cr. R. L. Macalister. Labour and material costs were up, and there was the reduced working week. If the council could get through Hie year on the figure estimated, it would lie doing reasonably well by the ratepayers.

Cr. R. A. Wright, referring to Cr. Chapman's remarks about tlie large sum originally asked for by the works committee, suggested that this committee learned tlie habit from Cr. Chapman, Cr. Black and others. In approaching the Arbitration Court for wage increases they would ask for more atifl liofie to get a reasonable amount. The estimates showed the immense problems the city would have to lace, said Cr. R. McKccn. Tlie amount collected in rates from year to year would never do the required works. Complaints were received continually about tlie streets in Island Bay, Newtown and other parts of the city. If it had not been for the valuable assistance obtained from the Government’s No. 13 scheme, Hie position would have been worse. This scheme was being reinstated and every avenue should be exploited to take full advantage of it. It was bettor that physically fit men should do useful civic work than draw social security. 'i'lic estimates committee had done tlie correct tiling, said Cr. T. Forsyth Because of the size of the amount asked for, 1m had not taken seriously the extravagant claim made by tlie works committee. The council would have lo face up to the position of doing its works out of revenue, said Cr. M. Fraser. If it did not, then the difficulties of the future would be increased by the growing proportion of rates which would have to be set aside to meet loan charges. The mayor said that the car-testing plant referred to by Cr. Brindle cost -£7OO. It was not rusting away, but could not be fully availed of because there was no proper station to house it. It was anticipated that there would lie some money, available to make a start, on such a building this year. Gr. W. J. Gaudin said that all must

be impressed with tlie amount of work needed to bring the city to a proper state, but if these works were all done it would mean large rate increases or the raising of further loans. Details of Estimates. Tre estimated receipts for 1940-41, compared with tlie actual receipts for 1939-40, are as follows: —

Committee's Allocations.

The works committee allocation is £185,986; last year £191,627 was. spent. The airport committee allocation is £5696; last year’s expenditure was 13J08. Other committee allocations, with last year’s expenditure given in parentheses are: By-laws. £21.494 (£23.106); health, £13.853 (£12,903); reserves, foSMo I (£34,653), pins Zoo, £6426 (£ol~~) : libraries, £19.51-1 (£15.938)_ _;_total of all committees, £291,426 (£257,u57). The total of expenditure allocations not subject to control by committees is £534,946. tlie main items being Accident fund appropriation, £3500 (£458.>) ; art gallerv contribution. £l7OO (£2000) ; water board, £1535 (£1462) ; cost of raising loans, £4OOO (£406) ; exchange on interest, £20,965 (£21,585) ; fire board levy, £21,000 (£21,000) ; hospital levy, £94,500 (£116,455) ; interest and sinking fund (general), £205,411 (£207,196); interest and sinking fund (waterworks), £69.688 (£66,111) ; land purchases, sundry commitments, £7OOO (£6203); renewal fund appropriation, £5,000 (£7uOO) ; repairs, corporation properly, £3OOO (£3050) ; rotational scheme (part provision), £2OOO (£1500) : salaries. £38,000 (£37,450) : superannuation, £BOOO (£6860) ; sundry wages, £7500 (£7364) ; town hall and municipal offices maintenance, £4850 £5160) ; unauthorized expenditure, £lBOO (£1230) ; contingencies, £4500 (£1665). Subsidies And Grants. Subsidies and grants for 1940-19 II are as follows. There are some new items; all the others are nt. the same figures 1 as last year. Tim grand total is £2152: Brooklyn Church clock, £5; Discharged Prisoners’ Aid Society, £10; S.P.C.A., £10; city bands, £350; W.E.A.. £5O; Free Ambulance, £500; Wellington Technical College, £250; Mission to Seamen, £5; Catholic Seamen’s Institute, £5; Carter Observatory maintenance, £250; Institute for Blind, £10; Beautifying Society, £25; Royal Humane Society, £25; ■Citizens’ Day Nurseries (half rates), £32; Citizens’ Day Nurseries building fund;j£2so; Free Kindergarten, £100; Women’s National Reserve (half rates). £2O; sundry, £10; Phinkot Society, £5O: itoyal Society Health for Women and Children. £lO : Nursing Guild of St. John, £1(1; symphony orchestra, £25; farewell to troops, Wellington area, £l5O.

10-10-41. £ 1939-40. £ Credit balance .... Aerodrome Baths and beaches .. 15,200 L800 1,500 15,793 1,798 J ,599 Building fees 2,500 2.581 Cemeteries and 6,600 6,64-1 crematorium Conveniences and 1,000 2,095 rest-rooms Encroachment fees .. 1,100 1,180 Eire Board (purchase of plant and sites, less £500 to sinking 1 ,soo fund) 1.S00 Heavy traflic fees .. 22,000 2-1.029 Libraries 6,615 6,629 Licences .......... 15,000 14,840 Loan for services .. 800 1.501 Miscellaneous Petrol tax 2,7a0 25.000 30,025 Rates G15,67S 619,202 Bates subsidy Kents ....... 450 61.000 450 64,077 Royalties Reserves Reserves (golf) .... 1.400 5.600 2,800 1.433 5,974 3,008 Suburban halls .... 400 422 Town Hall 2,750 2,626 Vehicle inspection fees 350 378 Water by meter .... Zoo 26,500 1,750 27.945 2,074 Totals £826,372 £871,995