THE LOAN PROPOSALS.

Manawatu Herald, Volume XXXVI, Issue 1262, 23 June 1914, Page 3

THE LOAN PROPOSALS.

LAST NIGHT’S PUBLIC MEETING. The attendance at the public meeting last night, convened for the purpose of explaining the loan proposals to be submitted to the ratepayers on Thursday, was very disappointing, less than 100 being present. The Mayor, in explaining the purpose of the meeting, expressed xegret at the meagre attendance. He first dealt with the proposed GAS WORKS LOAN stating that the Council was unanimously of opinion that this loan was an absolute necessity. The money was required to extend the works and make them more profitable. At present the position was that the works were working to their utmost capacity and to make them more productive a sum of £3,000 was necessary. It had been stated that the works were “a white elephant,” but the Mayor said this was not so. The output of gas was increasing very rapidly. For the year ended March 31st, 1912, the amount received lor gas sold was £1,116, the following year it was £x ,402 and last year £1,549. The tar sales In the three years were £72, £l4B and £214. The amount of gas manufactured during May 1911, was 169,000 ft. and last month the output was 317,000 it., an increase of 148,000 ft. During the year just ended the profit from the works over working expenses was £649. This money however, was not available at the end of the year for the simple reason that it had been expended on extension of mains, purchase of meters, etc. The position was that last year the works were within £66 of paying interest and sinking fund on the whole loan. Last year’s profit was £2OO more than that of the previous year. The borough possessed gas works valued at £II,OOO, and in order to make them a profitable concern it was absolutely essential that a further £3OOO should be spent in extending them. The present holder was only built for an annual output of three million feet, and at present the output was four million feet. New purifyers also were necessary, and the Council also proposed to extend the gas cooking department. In conclusion the Mayor expressed the hope that every ratepayer would do his best to get the gas loan sanctioned, as he assured them it was an absolute necessity.

Mr Hennessy asked if it was not a fact that he had stated on a previous occasion that the works were capable of producing twice as much gas, it the consumers could be obtained. —The Mayor said he didn’t remember if such a statement had been made. Of course more gas could be made if a night shift were worked, but it was desired to do all the work in the daytime. With a larger gas holder it will be possible to work more economically than at present. WATER AND DRAINAGE.

Referring to the water and drainage proposals, the Mayor said the members of the Council were not all in agreement on the question, some favoured the gravitation scheme, some the artesian scheme and some no scheme at all, the last mentioned taking the view, that the time had not arrived when Foxton should go in for these works. Previously an artesian scheme had been submitted and rejected by the ratepayers, and the reason given by ratepayers for opposing it was because it was considered that artesian water was not suitable for general household purposes, and others wanted a report on a scheme from the Shannon hills. In placing the schemes before the ratepayers, the members of the Council were fulfilling a pledge given at the last election. The Mayor said he didn't purpose going into the benefits from a health point of view, etc., but the question for the ratepayers to decide was : Is the borough sufficiently large in population, and is its financial position strong enough to go in for a water and drainage scheme ? This question must be decided by each individual ratepayer, and in deciding the question ratepayers should not lose sight of the benefits to be derived from a water and drainage system. At the present time the special and general rates amounted to in the £ on the unimproved value plus a sanitation charge of 17s per pan. The carrying of the gravitation scheme would mean that these rates would be increased by 3>sd in the £, and those inside the area would have to pay a water charge equal to 1 i3/i6ths of a penny in the £ and 25s for sanitation as against 17s at present An artesian scheme would increase the rates by in the £ together with the same water and sanitation charges. As far as the increase of eight shillings per year in the sanitation charge was concerned the benefit cf water flushing against the present out-of-date system would more than compensate for the small increase. Then for the water charge they would get a plentiful supply of good water, so that really the only increase in rates without any direct benefit would be the special rate. The Mayor submitted the following details as to the cost of the schemes and manner in which it was proposed to raise the amount necessary to meet the annual charges on the loans artesian scheme. The total cost would be as follows: Flant, tower, and reticulation sewerage scheme / 7 728. contingencies first year’s interest M* sinking fund

£i,359. total £23,289, or in round figures .£23,300. The amount necessary to provide all annual charges would be £1,961, made up of Interest and sinking fund £1,398, 10 per cent, additional required £138,' attendants, oil, gas, etc., £350, upkeep £75. The 7 per cent, water charge would provide £673, and a sanitation fee' of 25s per pan would amount to £570, leaving £7lB to be raised by way of rate. To provide this amount a special rate of in the £ would have to be collected. GRAVITATION SCHEME.

Combined water and drainage £31,660, filters £l,lOO, contingencies £x,ooo, first year’s interest and sinking fund £2,146, total £35,906, or in round figures £36,000. The annual charges would total £2,526, made up of interest and sinking fund £2,160, ten per cent, additional required £216, upkeep and new work £l5O. The water and sanitation fees would be the same as in the artesian scheme £1,243, leaving £1,283 to be paid by way of special rate, which would amount to three and one-eighth of a penny in the £ on the unimproved value of the borough. The Mayor pointed out that in addition to the rates to be collected each ratepayer would have to install the sewerage system, the cost of which be understood would be from £ls to £25. No provision had been made in the proposed loans to assist ratepayers in this connection, hut a clause in the Municipal Corporations Act provided for such assistance. Personally he favoured the Shannon scheme, as he did not consider there was any comparison between a gravitation and an artesian supply, in the former there being practically no annual upkeep and no pumping plant to be kept working. The gravitation scheme would also give a bigger pressure than the artesian scheme. The Mayor referred to the arrangement arrived at with the Shannon people whereby Shannon was to pay one third of the cost of head works and main to Shannon, and to pay half the cost of upkeep and new work, and half the cost of a catchment area if required. He considered that this arrangement was a very good proposition as far as Foxton was concerned. Referring to the artesian scheme, the Mayor, said that with the exception of the erection of a water tower the scheme was similar to the one previously submitted to the ratepayers. He said that the figures submitted in connection with the rates it would be necessary to strike were as near as it was possible to get them with the particulars at present available, but the Council couldn’t guarantee that they would not be exceeded. The Mayor gave a number of instances ot the increase in rates that would take place if the gravitation scheme were carried, as follows ; £1 15s 9d to £4 3s gd, £1 15s 9d to £5 4s 6d, £2 4s to £4 17s 9d, £x 17s 8d to £5 3s 7d, £4 17s 8d to £l2 14s 3d, £26 14s gd tO £59 OS lOd, £4 X2S to £lO 2S iisiidto£x6 16s. In conclusion, the Mayor expressed the hope that the ratepayers, in deciding this question, would weigh everything carefully, and in doing so take into consideration the health and welfare of the community. Cr Chrystall said be favoured the artesian scheme, as he considered the gravitation scheme was too costly for the borough to undertake, and quoted figures to show that if the latter scheme were sanctioned Foxton would be the highest rated borough in the Dominion. On a population basis the rates would amount to £2 xxs 3d per head, as against a Dominion average of £x 13s per head. He considered the artesian scheme was the more suitable for the following reasons : — (1) The cost was not so great, (2) artesian water was as good, it not better, than the Shannon water, being absolutely pure, (3) quantity, there being au unlimited supply of water under the ground. As far as the pressure was concerned, this was sufficient for all purposes, being five pounds per square inch more than the standard for fire-fighting purposes. At the present there were 21 towns in New Zealand that had pumping plants in connection with their water schemes, so that Foxton in installing a pumping plant would not be experimenting- He also favoured Foxton having a scheme that was entirely under its own control.

Cr Henderson advocated the gravitation scheme as being the most suitable.

A number of questions were asked and answered, and it was stated by Mr Kellow that the artesiah wells at Mr Scott’s mill had been greatly affected by the recent earthquake, the flow at the present time being only half of what previously obtained. The Mayor said that each voter would receive three voting papers on Thursday, one for the gas loan, and one each for the gravitation and artesian schemes. A voter could vote for one or both schemes, or could vote against both schemes.

Mr Kellow asked what attitude the Councillors took up. The Mayor said the Council was divided on the question, but that the majority favoured the gravitation scheme.

The questioner asked what attitude the Mayor took up, and in reply Mr Stiles said that he had no right to press anyone to vote one way or the other, but personally, and as a big ratepayer, he was prepared to support the gravitation scheme.

On the motion of Messrs Horn*

blow and Hennessy, a vote of thanks was accorded the Mayor and|Councillors for bringing the schemes forward.