THE BOROUGH LOAN.

Manawatu Standard, Volume IV, Issue 53, 31 January 1884, Page 2

THE BOROUGH LOAN.

+ Meeting of Ratepayers. In response to an invitation to discuss the matter of a loan for Palmerston Noith Borough, issued by the Mayor, about 150 ratepayers put m an appearance at the Town Hall last evening. The Mayor (Mr G. M. Snelsonjin opening the proceedings, said the meeting ha>.l been convened by him to consider the proposals which had first emanated from himself for a £-5000 loan for the Borough. The last loan proposals had not met with acceptance, as some ratepayers had objected to the water supply scheme which was attached to it. He still believed that the proposition then made would have been the best; would not have pressed heavily on the small-holder; but the large land owners, those who ought to bear the burden would have had to contribute most. But it was no use crying over what had occurred m the past. Since the last proposal had been rejected, he had been installed into the office of Mayor, and shortly after assuming office he had called a special meeting" of the Borough Council, at which he had proposed the schemo which would now be laid before them -of raising a loan of £5000. It was necessary that a loan should be raised to relieve the present depression now existing — a depression which was increasing every day, and gaining ground every week. Business m the town wan falling back, and was not half what it was eighteen months ago. It was true that the depression now existing for some time was not only felt m New Zealand, but throughout the world. Through the expenditure of the £10,000 loan raised this township had heretofore not felt so keenly as other places the bad times. In fact, we were mor* prosperous than any other portion of the colony. He had seen m a print the expenditure of this money criticized falsely, and he would even say basely criticized, (Cheers), but he would state with pride that no person could point po an item of that expenditure made for the benefit of the Councillors. The £10,000 was raised to commence imiportant public works, and it was that those works should be completed. The proposal he had made to the Council to borrow £5000 for that purpose was with a view of not expending all that sum at once, but to extend the expenditure over a period of five years. For this purpo.se it would bo necessary to raise a special rate of I/- m the £. [The Mayor then recapitulated the items' as published m '> tne-STANDAKD when he made the proposal.] He would like to mention this fact, that a special loan, could, only be expended m accordance with the agreed to by' the ratepayers. He-proposed to expend m Albert-street, Ll3 10s: Aleiandra-sfcreet, L 79; Avenue Koad, L 29 ; Boundary Road, L 62 10s ; widening Broad-street, L 35 3; Church-street, L4Bl 7s ; College-street, L4Bl 17s ; Cook-street, LIOB ss ; Cnbastreet, LI S ; East-street, LB2 ; Feather-ston-street, L 28 9; Fitzhetbert-street, L 22 1; George-street, L 25 ; Grey-street, L 210; Kairanga road, LI 50; Mainstreet, L 1045; North-street, L 13 4; Park road, West,Lso ; Pitt-street, L6O 6s ; Princess-street, L 44 : Rungitikeistrcet, L 44 8s; drainage^ L 222 10s; Scandia-street, L7l 17s; the Square, L7O ; Taonui-street, L 9 6; Terracestreet, 68 ; Victoria-street, LI B ; Yogel, street, L 25 0; Square to Greorge street, L 8 0; streets and footpaths, crossings, including culverts, L 238 10s ; "contingencies, L 558 9s. All the actions of the members had been to do the best for the Borough and the" ratepayers They had no other inlesest at heart, aird no member of the Council had either directly or even indirectly benefitted by the expenditure of the funds of the Borough, and nob as represented by a certain paper. Mr Linton, while m Wellington had interviewed the Government and found that they were willing to let the Borough have the proposed £5000 loan at seven percent, and this could be had at once. He would ask them to discuss the matter -fairly, to approach the subject as one m which their Jut-iire welfare and progress was concerned, so that by imited action they might put an end to their present financial difficulties, and bring about renewed prosperity. fCheers.) Mr McNeil, both as a ratepayer and Councillor, approved of the scheme laid before them by the Mayor. Even m larger centres of population than Palmerston there were always people ready tp. charge Councillors with not having expended money to the be3t advantage. ]So doubt if the Councillors m our Borough had the experience they now possessed, the £10,000 loan would possibly have been expended with greater benefit to the ratepayers. (Laughter and cheers.) No more practicable scheme than that proposed by the Mayor he had not yet neen, and he gave it his hearty concurrence. Mr S; Abrahams was, opposed tofurI ther borrowing at present. The proposal now before them was to borrow ! £5000, to expend £2000 the first year, £2000 the next, and £IQOQ the third year. In this there was no provision made for an Engineer nor commission. He thought a special rate of 9d m -the £ without further borrowing woifiW meet our present necessities. The first year they would have £800 to spend, the second, £$#0; third, L 91 4; fourth, L974;fifth, LiO37; sixth, LI 102. At the end of the sixth year by his scheme they would have had L2ooospent ,with-:. out adding to our burdens, while * with Hie scheme before them they would L 3.50 per annum interest to pay. A.t the end of six year* the Oounoil ■ could come before the publio, and if an increase m the population required it, go m for a large loan for water supply, drainage, &c. The public had been -told that the whole Council was unanimously m favor of the L 30,000 scheme, yet Mr Linton had since told them thai if it had been adopted every land owner would be beggared. The same might yet be said of the present proposal. Thinly thing arising from borrowing would be that people wqujd, be at? tiwoted by the expenditure of tho money arid when it was gone would clear out as they had done m the past. The Mayor explained that MrAbrahams did not appear to calculate that the maintenance expenditure would jncrea^e yea} by year, yjfhvfi wan LI GO, a year m a town comprising nine aquare mile's P Mi" Hampson moved "TJmt the proposals of the Mayor Ke accepted." He was not afraid of borrowing LsoQO,l,eji

us get L 10,000 if we could and improve the town. Mr Jenssen would ask Mr Abrahams, why he spoke of a depression existing. In Palmerston at present, there was not a man willing to work who could not obtain employment. Mr Abrahams replied that the statement; was first made by the Mayor. There were more people m Palmerston than the state of trade required. A Ratepayer ask«d whether m the schedule it was not proposed to expend money on streets not taken over by the Borough. The Mayor replied m the negative, and further stated that if the meeting was not unanimous he did not intend to put the Borough to the expense of a poll on the matter, as the minority decided the question. No doubt looking at the question froru a purely financial point of view, Mi* Abrahams proposition was the best. It must however be remembered that when they borrowed the last loan, they told the ratepayers that to finish the works they contemplate a further loan would be required. That time had arisen and the money was required to fulfil the obligations they bad then entered upon. Mr West complained that some oi the properties which had been cut up by private parties, the streets had no! been finished and were m a deplorable state. The Mayor replied that assistance might l»e given to these patties out ol the general revenue of the Borough, or the same principle as the foot-paths were made. Mr Nathan said the matter of bor rowing appeared to him like a ruat on the drunk. The more stimulants bo got the more be required. He sup ported Mr Abrahams view of the ques tion. Let those who come after us take their share of the burdens. Th< first settlers had to bear the heat anc burden of the day. Let them no^ face the difficulty they had to en counter. Place a9d rate on and mcci the interest on the last loan, and at tin end of eight or nine years they conic go into the market and borrow monej for drainage and water. Mr Hampson : What is Mr Nathar talking about ? We ' have had tin rough times. He is having the smqotli Why^ we have been \\ete years and* hie has only been here five minutes (laughter ). If Mr Nathan had known the difficulties the first settlers had tc encounter, he would not talk sncl nonsense. Mr James King inquired if th« Council was unanimous ? The Mayor said that all present ai the meeting were m favor of the pro posals. It was not a full Council Another matter he would like to bring before the ratepayers which had been suggested by Mr Macartlmr, to whom he was indebted for the information, It appeared that by the Rosid and Bridges Construction Act of 1882 and the Amendment Act of 1883, power was given to Boroughs r.ot having more than 4000 inhabitants to borrow money from the Government of not over £5000 for Public Works. This mattei had lately been brought under the notice of the Government, and to-day he received the following telegram : — ■Replying to your letter of 20th instant, Ministers regreb that an answer cannot be sent m time for public meeting, Vas questior is exceptional* — CM; O'Comnob. To G, M. Suelson, Mayor Palmerston North, ■' t ■i' It would appear from the reading o the Act that a majority of ratepayer! m value could vote a LSOOO loan re paying it to Government at the rate o L 450 per annum. If the ratepayeri wished afterwards to borrow money n< doubt the Government would be glad to have it repaid as other local bodiei would require it. As would be seer from the telegram the Goverumen had themselves had been surprised a this reading of the Acts, and had run yet come to a decision regarding it. Mr West stated that he had alterec his opinion with regard to the proposal! of the Mayor, and thought a one shilling rate would be sufficient for all the pur poses they at present required. Mr Walker said he rose with dif fidence and would hot have addressee the meeting had he not been called on — He had been waiting, but m vain tc . hear the wisdom, and the gicat financial ability displayed bßhO'se w ho ouWdt and m print had disparaged tb.6 pro posals. He was disappointed. Why did they not propose something? They had done nothing but drivel. The fact was they were incompetent for the task. He was more m favor of the last proposal than the prosent one, bu< nevertheless he thought what was now brought forward was the best under the circumstances, and would therefore second the motion, for its adoption. , After some further discussion, Mi Abraham moved as an amendment, which was seconded by Mr S r athan "That a special rate of 9d m the i should be struck for interest upon the £10,000- loan." Before putting the— question, the Mayor iinjpepJy, to remarks nrade.be .8 previous speaker, and m answer U obseryations made m print, said that il was untrue to state that the Borougli was m finaucial difficulties. The Borough was thoroughly solvent up tc the 31sth of March.; : Their liabilities on that date would- be £855 19s and their assets £365. This of course, ex cepted the legal overdraft of £1,250 When he entered into office he was pleased to find this to be the state ol atfairs. (Cheers.) (Mr Ab aham's amendment was then put.when 11 voted, for it and 11 againsi it. The Mayor gave his casXin? Vats against the amendment, but deolared that he would not proceed any further with the £5000 proposed loan^ but see what could be done under the " Road? and Bridges Conduction Act." Mr Russell : — Oh ! We will support you m that. The Mayor: The minority ! I thank you. __ . ; . A vote of thanks to the Chairman brought the proceedings to a cjoge,