Satisfactory State

Hawke's Bay Herald-Tribune, Issue 87, 29 April 1937, Page 6

Satisfactory State

SOUND BOROUGH Comprehensive Review by Mr. Maddison THE YEAR'S OPERATIONS A comprehensive statement on the financial operatlons of the Hastings Borough Council for the year just concluded was issued this j morning "by the Mayor, Mr G. A. j Maddison, and reveals in detail the ) satisfactory position of the borough I finances. Early this week, it will be recalled, Mr Maddison intimated that it was not contemplated that there would be any increase made in the rates for the now current j year. "The position as disclosed" by the Rccounts, I consider to be particularly gratifying, espeeially when one takes into aecount the increase that has taken place in the amount of money J that meeds to be expended in borough adminastration in keeping pace with the closer settlement in one of the undoubtedly most progressive, modern, »nd sonnd mnnicipalities in New Zea- I land," said Mr Maddison. 4 'The District Fund Account, which J is the banking account for all borough I undertakings, completed the year with 1 a credit balance of £8933 12/4.

"Tha General Account, which is the main administrative account of the borough, commenced the financial year with a credit balance of £8978 2/5, and completed the year with a credit balance of £10,097 5/11, being an increase of £1119 3/6. 'This credit balance, however, mainly comes from the cash payment that was made to the council by the Hawke's Bay Electric Power Board at the time of the salo j of the electrical department, and this fund has been used mainly for capitai expenditure, sueh as the constructdon of xoads and other works, thereby relieving the general account." The following summary showing tho principal items of revenue in general account, with figures for the corre•ponding items last year, was given by Mr Maddison:—-

• "The general rate was increased from 2.5d to 3.2d in the £, an increase of .7d, which accounts for the increased revenue," said the Mayor. "The smaller amount? of arrears ecdlacted is accounted for by there being onlv £1217 11/9 eollectable for 1937, compared with £1980 18/3 the previoim year." Mr Maddison said that the amount of goneral rate outstanding at Marcfi 31 last wa& £&32 6/8, and the total rates outstanding at the end of this year, covering all years, amounts to £2413 14/10, compaied with £3048 8/J on March 31, 1936. The cut made during the depression years by the Government on rate sub sidy was xestored during the year. being £450 a3 against £364 10/- iu 2936. Souices of Revenua The total revenue received by the General Account from all sources dur* cng the year amounted to £32,655 18/3, against ^25,964 9/1, an increase of £6691 9/2. " There is a substantial increase of ,£365 0/3 in the licence and heavjy traliic fees," said Mr Maddison, "imd the dog tax has increased by £102 11/-, p&Ttly on account of more dogs being xegistered, and also because the collection of the tax has been carried out more rapidly, so bringing about a larger proportion of xegistered dogs. The parks and reserves show an inerease of £62 2/1, mainly coming from Windsor Park. Among the saies this year were the liorses and a motor-eycl'1 and portions of land. "Included in the total revenue of the General Account as the amount received for the formation of two new streets, -so that after deducting this amount, the real revenue increase of the account is £5178 7/1." The principal items of revenue are as fpllow, the amounts being to the nearest £: — j

Items of Expenditure The total ordinary expenditure in the General Account amounted to £20,937 last year, as against £19,690 the previous year. A reduction on street maintenance Tvas accounted for by the fact that £1100 was spent last year ou "colfix for resurfacing various streots, and approximately £300 additiona! wages was paid. The items of expenditure from this account during the year 1 were as follqw:—

The following is a schedule of capitai expenditure during the year. All of this expenditure was, of course, from District Fund Account, nothing being from Loan Account: — £ Purchase of land 2110 Clock Tower, balance 271 Road sealing 4172 [Footpath construction (concrete) 311 Reserves, plant & improvements 980 Development Civic Square .... 16 IRaising sewer loan ............ 147 £8007

Tho Various Accounts. Dealing with. the dndividual. accounts, the statement points out that ,the increased revenue of £210 8/- in the library account is mainly due to the large increase in membership, subseriptions being £187 better. The ancreased expenditure is chiefly due to the greater number of books purchased. The account finished the year with a ! credit of £59 13/5. The, water eupply account finished che year with a debit of £158 5/8 as against £203 14 /4 the previous year, - and in addition to this improvement ->tock to tha value of atout £50 was purchased. The theatre account still continues to oe self-supporting. Improvements to the Munieipal Theatre conveniences, costrng £260 14/2, wero carried out during the year with a debit of £158 6/8 as account is now £1845 10/3 as. against *1585 12/11. The account shows, there.ore, a further improvement of neariy £300.

I For the second year in succession no Irents are outstanding as regards the Municipal Buildings, the account for which shows a credit balance of £231 J/7, as against £59 12/4 the previous year. "With regard to the revenue in the Lemetery aecount," said Mr Maddison, 'it must be remembered that the payI nent of rent on the cemetery cottago 1 »vas discontinued when the new poundkeeper and ranger was appointed. Japital expenditure, amounting to £92, occurred during the year, which partly accounts for the increase shown above. The account commenced with a debit balance of £58 1/9, and finished the year with a debit of £244 15/6. After due allowance is made for capitai expenditure, £92, and loes of; rent amounting to £13, the account has still gone back to the extent of £81. Here again, due to recent legislation, costs

tor wages, materials, etc., have ancreased, and it appears that the cemetery account will be a char'ge on the District Fund to a certain extent each year in the future. , "During the year the Abattoir Eealisation Account was closed, the balance of the loan, £605, being paid off, and the sum of £599 18/'- transferred to the general account. Aa the theatre pool carries dts own public risk msurance, an account for this purpose was also closed and the. credit balance of £301 12/11 transf erred to the general account. After paying all interest charges, the Interest Account closed the year with a credit of £675 14/9. As the reeult of this position, if the same interest rate as last year is struck, dtt does not appear necessary [for any increase to provide the addijtional sewer loan interest." The following tables show the revenue and expenditure of the main accounts: — .

District Fund Account Included in this account ds tha- net credit balance of £8046 6/- of the general aecount, but this does not inelude the credit balance of the interest account, nor thp other rate levy accounts sueh as Hospital and Rivers Boards. The statement sets out the amount that might be available for expenditure during the current year, apart from ordinary maintenance, as follow: — Credit balance of £8046; Power Board instalment £4421 and sale of land £350. a total of £12,817. From this must be deducted the following commitments : — Balance of xoad-sealing contract £172, architect fees regarding Civic Square £160, and eprinklers and fittings for Cornwall Park £100, a total of £432. This would leave approximately £12,385 available.

Rates. 1937. 1936. Current £16,532 13 6 £12,821 7 3 Arrears £904 11 0 £1,340 6 7 Totals £17,437 4 6 £14,161 13 10

1937 1936 Licences 2491 2221 Heavy traffic fees .... 1329 1232 Pound and dog fees .. 408 240 Parks and reserves 698 ' 636 Sales of inaterials .... 325 197 Sales of lands ■ 614 Sundry refunds, etc. .. 832 1070 Power Board 4421 4237 Abbatoir Real. Account 600 -

1937 1936 £ £ Salaries .... 3968 4340 Insurance 181 200 Eire Board levy 1200 1190 Election expenses .... — 170 Expenditure under Publie Revenues Act .... 184 170 Band subsidy 200 200 Contribution to Mayor's Distress Fond — 250 Street maintenance- 5502 6907 Street lighting ,713 649

Sewer maintenance .... 521 046 Sewer connections and extensions .......... 536 • 574 Cleaning drains ...... 311 243 Traffic control 210 183 Parks and reserves .... 4168 3552 Afforestation 305 ' 199 Rubbish collection .... 1945 2174 Interest on bank overdraft 137 85 Construction new streets 1513 — -

3937 1936 Library 1574 1363 Water supply 5647 *• 5630 Municipal Buildings .. 1013 1024 Cemetery 420 431

Revenue

1937 1936 Library 1514 1437 Water supply 5805 5833 Municipal Buildings .. 842 842 Cemetery * 607 489

Expenditure