HAURAKI DRAINAGE.

Hauraki Plains Gazette, Volume XXXX, Issue 5426, 20 May 1929, Page 3

HAURAKI DRAINAGE.

CLASSIFICATION FOR LOANS. A DECISION REACHED. A decision on the question of classification for loans was reached by the Hauraki United Drainage Board at its monthly meeting on Friday. This was to adopt the 1925 classification list foi* the Hauraki loans only. When the legal advice by Mr P. Gilchrist, of Te Aroha, on the question came before the board with the inward correspondence Mr Heappey moved that it be taken in committee. Mi- Hicks opposed this, and as none of the other members knew of the contents of the letter the motion lapsed for want of a seconder, and the letter was read as follows :— “I refer to the interview which I had yesterday with the chairman, Mr Hicks, Mr Heappey, and the clerk. "The old Hauraki Board’s two loans of £5OOO each were secured by two resolutions of special annually recurring rates passed February 15, 1918, 1 and January 25, 1919; gazetted respectively, N.Z. Gazettes February 28, 1918, page 661; and February 13, 1919, page 415. The first is a special rate on a graduated scale according to the classification list of lands in the Hauraki Draiage District, 12-16 d on A, 11-16 d on B, and 10-16 d on C lands, all of which classes and the lands therein, together with their rateable values as appearing on the valuation roll of the district, are set out in the classification list of the Hauraki Drainage District. The second resouliton is in exactly similar terms, except that the rates are 11-32 d, 8-32 d, and 5-32 d. These rates were, we understand, based upon a general classification list of all lands in the district made in 1917. After the work was done a new list was made in 1924, and recently the United Board made another new list. They are all general lists, and do not bear reference specially to any loans oi loan expenditure. "There is no doubt that for general purposes (administration, maintenance, and repairs of the drains) the list recently made by the United Board is the list in force. Is it the list for the old Hauraki Loans ? “It is said that there cannot be two lists in force at one and the same time. It is said there cannot be a general list and a special list for each loan, which is, in fact, the practice of the three boards operating about Te Aroha, and recognised by the Court. And, again, it is said that once a special rate is struck you cannot alter the list. The Acts have not made sufficient provision therein, and, in fact, it is only by stretching the wording that a board borrowing money can properly carry on. Different loans give different benefits. A very insistent effort is being made at present to have the Acts amended, and it is anticipated that effective and proper amendments (some of them retrospective) will be put on the statute book this ensuing session. . “As your best and nearest approach to the law as it is at the moment expressed, I advise that for this year you adopt the ruling of the department : that is, that your general list is for general purposes only, and that in regard to the old Hauraki loans the list upon which you are to collect shall be that of 1917, in force at the time when the rate resolutions were struck. The matter is very difficult to decide, but this seems for you the safe course.

“I do not consider that the clause 1 in the Order-in-Council affects the matter. The word ‘area’ here must refer to the whole district—not to the classification.” Mr Hicks said that it was now necessary for the board to decide what list should be used. The letter advised the 1917 list, but this was not compulsory. Mr Heappey said he was not prepared to accept the 1917 list. Mr Heappey moved that the classification list in force at the date of amalgamation (1925) be used for all loans. Mr Williams said that, to see what the position was, he would second the motion. Mr Murray opposed interfering with the Horahia list, as the alterations in the classification were very slight, and were due to the improvements effected by the expenditure of loan money. The suggested motion was accordingly altered by agreement to apply only .to the Hauraki loans, and for one year only. Mr Hicks said that in face of Mr Gilchrist’s opinion he could not support the motion. The motion was carried on the votes of Messrs Williams, Murray, Miller, Heappey, and J. Hamilton, Messrs Hicks and F. L. Hamilton opposing.