The Manawatu Standard (PUBLISHED DAILY.) The Oldest Daily Newspaper on the West Coast. FRIDAY, SEPT. 25, 1886. COLLECTION OF RATES.

Manawatu Standard, Volume X, Issue 1464, 25 September 1885, Page 2

Manawatu Standard (PUBLISHED DAILY.) The Oldest Daily Newspaper on the West Coast. FRIDAY, SEPT. 25, 1886. COLLECTION OF RATES.

. . The collection, of rates has always been attended with more or less difficulty, uuplcasantness, and loss to local bodies. There are those who could pay, but won't; and those who Would pay, but can't. A. contemporary, the Fastoral and Agricultural News, makes a suggestion that is worth considering. It starts by premising that the payment of rates should, by all means, be made as easy and agereable as possible, consistent with fairness to all parties concerned. The method of doing this, which we have to propose is, m our opinion, as fair as could possibly be conceived. Let the rates and arrears be the first charge upon the property rated. In othnr words, let it be enacted that the local body shall (without d-ed or any other instrument) be first mortgagee of all property to the amount of the rates owing. Then let interest be added quarterly at the rate of ten per cent. | per annum — sixpence m the pound for every three or portion of three months. The collector to have no power to sell so long as the owner shall keep the sun* owing for rates and interest under, say ten times the amount of the annual rental at which the property is valued. He should then be able after giving due notice to enter into possession and sell by public auction, deducting all dues and expenses from, the proceeds aud handing the balance over to the former owner. Of course it would be very seldom that any property owner would be so careless of his interests as to allow a mortgage to accumulate upon property at such a rate of interest; but it would be manifestly unfair to allow of property being sold under the hammer until the Collector's niortgasre should approach the selling value as nearlyas due caution would admit, because were the limit of credit fixed at any ; smaller portion of the estimated value, it might happen m, ;times of monetary scarcity that a property would come under the ham mar and be disposed of for the amount of the debt only, the owner losing the balance of value. Cases requiring the aid of the auctioneer would be very rare, and it would be very seldom that anything like a heavy debt would be allowed to accumulate. The advantages of the system would be found m cases of forgetfulness, and where the persons rated were suffering a temporary scarcity of cash. One month after due date should be allowed for the payment of rates; but after that defaulters should be required to pay interest at the rate of sixpence m the pound, if paying up before theexpiration of the remaining two months of the first quarter. If credit be taken fcr any portion of the next quarter' another sixpence would be required; and so on. In cases of forgetfulness the penalty would not be excessive, while those to whom a few months' credit'would bea convenience would gladly pay the interest. The innovation, if adopted, would be a source of profit to the local bodies, for the income for interest would be considerable m the aggregate, while the security would be the best obtainable, averaging, probably, fifty times the amounts of the debts owing. The clerical work entailed would be trifling, less probably than the trouble of summoning. Punctual ratepayers woulfl reap an advantage by the neglect of others, instead of suffering from it, as they do now. In our opinion, every section oftheratepaying community would .be benefited. If that assumption be correct, why not have the system introduced ?'■ It may be said that -the interests of mortgagees would be endangered thereby, thus rendering it more difficult for owners to obtain mortgages over their property.' That is not an insuperable difficulty hy any means. U could be surmounted by empowering mortgagees, to pay the rates and charge the sum to the owner, the debts, if not liquidated.

to be treated m the same way as ar- 1 rears of interest. It is very plain that the most legitimate debt which can be placed upon property is that which has been incurred to maintain or add to the value of that property. Therefore the rates should be the first charge upon property. At all events the system suggested is worth the consideration of locol bodies, though we fear special legislation would be found necessary m order to render the proposed innovation legal m all respects.