WATERWORKS CONTRACT.

Gisborne Times, Volume XXVI, Issue 2171, 22 April 1908, Page 2

WATERWORKS CONTRACT.

THE SPIRAL STEEL PIPE COMPANY ASKS FOR PAYMENT.

THE COUNCIL HOLDS THE THICK. END OF THE STICK.

The question of the damage to the water mains in the Te Aral,creek by flood last month agaiii came before the -Borough Council last evening, when the contractors asked for a payment of £6OOO out .of the £9OOO held by the Council, until such time -as the work should be completed. Two letters upon the matter were received, the first from the Engineer. (Mr. R. Hay). It was as follows :- — ‘ I have received a letter froni the contractors for ithe waterworks, stating that they are willing to- proceed at once with the work" of repair, subject to any legal rights they may have. lat once gave .instructions tor the work -required, and intimated to them . the necessity of forthwith completing, not only the repairs, but also the contract which is long overdue.”

The Spiral Steel Pipe Company (contractors for the work) wrote as follows:—“We wish to make application for a payment on -account of the balance due to us, about £9OOO. But for unforeseen weather difficulties during the construction, the contract would have- been comrileted long ago, and in such case the recent disaster would have been, without doubt, the loss of your Council. We read from, the newspaper reports that Mr. Hay advised the Council that the damage was under £IOOO. We therefore ask for a- payment- of £6OOO, which will leave a. margin 0 f ever treble the amount of the damage. The contract was, we aro -aware, overdue at the time of the -disaster through the dreadful weather which prevailed, and your Council may judge of the severe condition -when we nassed over 1000 men through tho wages hook in a few months, men refusing to work under the weather conditions at the time. Me applied to Mr. Hav for a payment, and .were referred to the Council. We submit the' circumstances warrant this application, and Hio Council in granting it. and it would be unfair to withhold such a arge sum. We have written Mr. Hay tor -particulars of wliat -lie reiiures in tlio matter of alterations, deviations, and renairs, and the Council may rest assurre<l wo will not shirk our responsibility in any way. In the meantime the town is not being inconvenienced by having no water supply, a further .reason why -a payment should ho made.” Cr. Sheridan said the application should be sent through Mr. Hay, md the Borough (Solicitor consulted in the matter.

Cr. Bright asked what chance the Council would have of the contract oeing completed if a .payment was made ?

Cr. Y illiunis said the Council did not know where the matter was go;ng to end, ami the money should be -e-d until the contract -was complet-

vi. \Vhinray thought the contract's had suffered from an accident >ver which they had no control, and ic thought an amicable settlement -voiild ho arrived at. The balance neld was a large sum to hold, now ‘-bat the work was nearing completion. Cr. Bright said he fully sympathised with the contractors, but if tlie work had been completed up to time the position would never have arisen. The Council would be foolish to !et go of the thick end of the stick. Or. Yilliams said the Council was die trustees of the ratepayers, -and could not let sympathy enter into the question. (fficbled; as there was no certificate from Mr. Hav. not to make any payment.