PRINCES STREET RESERVE.

Evening Star, Issue 2887, 21 May 1872, Page 3

PRINCES STREET RESERVE.

This morning a deputation from the City Council, consisting of his Worship the Mayor and Councillor Ramsay, accompanied by Messrs Duncan and Reynolds, M.P.C.’a, had an interview with his Honor the Superintendent with reference to the above. 11 was explained by his Worship that the object of the deputation was to get the Government to hand over to the City Council the LGOOO rents from the reserve held by the Government, the Corporation undertaking to give ample security for the restitution of the money in the event of the Government being required to refund it. His Worship, who was speaking when our reporter entered the room, was combatting an argument used by his Honor. He pointed out that, financially, the Corporation was in as good a position as the Provincial Government; so that no harm could result from the Government handing pyer the money, receiving at the same timpi the Corporatipn’s undertaking tp, refp&d it. if necessary. It was npt as, if thy Corporation were impecunious or poor, or its, estate, unlikely to meet such a demand if made at a future time. If it had to be refunded, therefore, the Corporation was just in as good a position to pay it back as the GovernHonor admitted there was not much chance of the money requiring to be refunded ; but the ppssibihty existed. He quite agreed that if the decision went against the Corporation, it would be as m-

a one as could possibly be. At the same time they kuew how uncertain the law was.

Mr Duncan said his Honor was already aware of his views on the subject. He considered the Corporation or the citizens were clearly entitle ! to the money; and if the Government did not see its way to handing it over, the Corporation were certainly entitled to the interest. When he was Treasurer, he suggested to the City members that they should ask for the interest to be handed over to the Corporation ; but the matter was not taken up. His Honor remarked that it might ultimately end in a question whether interest did not go with the arrears. Mr Duncan observed, when he was Treasurer, it was inexpedient to hand over the money; and he took advantage of the right which the Government possessed of saying they would not hand it over. His Honor : There is no difficulty about paying the money if it is considered expedient. At the time the question was before the Government previously, it was not convenient to entertain the question. His Worship could not see why there should be any hesitation about paying over the money, as, if it bad to be refunded, there could be no objection to receiving it from the Corporation. Perhaps with the Corporation’s security the General Government might release the Provincial Government from its pledge If the principle was unsound, that the arrears should not be handed over to the Corporation, how was it the Corporation was allowed to receive current rents and treat them as revenue? If the citizens were prepared to take the risk, be could not see what possible objection there was to handing ov.r the money. His Honor promised to lay the matter before the Government. He would also take advice upon the subject, and communicate the result to the Mayor.

His Worship said there was another matter he desired to bring under his Honor’s notice. The 78th clause of the Otago Municipal Corporations Ordinance. 1865, pointed out that the mode of meeting a deficiency in the city expenditure was by assessment, to be calculated on a 21 years’ rental of thepremises. The Corporation desired that an annual rental should be substituted. The reason for the desired change was a good one. When the valuator made his valuation he was obliged to reckon what wooden buildings would let for 21 years and not what they would fetch yearly ; whereby the City Council had during the current year lost between L6OO or L7OO. The alteration would benefit all Corporations. An additional reason for the alteration was that the Council hoped shortly to become possessed of the waterworks, and if the clause referred to remained in existence they would be obliged to make two different assessments ; whereas the alteration would permit of one doing thus occasioning a saving His Honor and Mr Reynolds thought the better plan was to get one of the City M.P.C’s. to introduce a School Ordinance amending the clause; and afterwards His Honor agreed to ask the Provincial Solicitor to do it, stating that he did net think the Executive would have any objection to introducing such a measure.