The Treasurer's Report.
The Treasurer (Mr. P. W. Goldsmith) submitted the following report on the year's working: — "I have pleasure. in submitting the balance-sheet and statement of accounts for the year just ended. It is a preliminary balance sheet only, but although the actual figures may vary a little when finally submitted, yet the true position of the financial affairs of the Board are correctly disclosed for all practical purposes; No Rate. "The first thing disclosed shows that: the receipts for the year are sufficient to give the assurance which the Board has always hoped for and worked for, viz., that it will not be necessary to call upon the ratepayers to assist the Board's finances by the way of rate, for tliis year, at any rate, and, indeed, for future years there will be no need to collect rates, unless some unforeseen calamity should arise, or a heavy slump occur in the primary products of the district. Interest and Sinking Fund. "The position shown reveals also that a sufficient reserve fund can be created towards the payment of the interest and sinking fund for the new year upon which we have entered. It was anticipated that our revenue would be sufficiently buoyant during the past twelve months, to enable a reserve to be created, for meeting at least a portion of the interest payable from revenue which had hitherto been paid out of loan. Fortunately this anticipation has b'een realised, and any anxiety existing as to meeting interest obligations has now been removed. Trading Account. '' Coming to the balance sheet, it will bo seen that from sales the sum of £O2OO has been received. Stocks-m----liand arc set down at £B4S,- motors accounting for the larger portion of sum. The stocks are much reduced as compared with th'e beginning of the
year, when the goods in stock amounted in value to £2023. The gross profit for the year on the trading transactions amounts to £1477. This is a very satisfactory result for the year's work under this head, it must, however, be remembered that it is the gross profit which is shown and not the nett return. The demand for water-heaters, motors, etc., has been very good, but, naturally, ' this demand will now ease off very considerably. .'•■■,'■ I■■ ■ Revenue Account. "The total receipts 'amount to £26,811, "the sales of current and meter rent accounting for over £25,000 of this ■ total. "The expenditure shows:-- 1 Power £9300 Working expenses . £4546 Interest and Sinking Fund £3320 £17,166 "The nett profit for the year ]s , £10,383 which with the balance from last year of £2398, brings tire credit balance iii the nett' revenue account at ,31st March, 1926, to £12,781. Liabilities and Assets. •"On the liabilities side it may be explained that under the heading sundry creditors, the capital account item includes wire aud all other goods unpaid:on the 31st March. In the power fund or revenue account "the sum of £3.398 includes the last quarter's electricity account due to the Public Works Department, the amount of which is £3176. "On the asset side sundry debtors, loan account amount to £12,553 is practically the amount due to the Board from consumers for installation accounts. The power fund sum under this heading, £9715; i's made up in the following way: Fittings, ledger, £2354; advances, ledger, £2376; consum- •* ers' accounts, £4985. ""The consumers accounts include the large quarterly account's for last quarter, ordinary consumers' accounts* due and in arrears, also estimate for meters unread. " . - "The cash in hand at the end of the year was £11,754. Of this sum £4816 belongs to loan, and the balance of £6938 to the power fund account. This . is the position after the various adjustments for the year have been made. Loans. "As the Board is aware £IBO,OOO is the amount of the.loan money raised bv the Board to date. The bulk of the Board's construction policy has of course been carried out, but on the ether hand the loan money is pretty well exhausted. Asy-however, loan monies have been used for making advances to consumers for their installations to the extent of between £12,000 and £13,000; this sum will eventually be available for extensions and new lines. To save further borrowing (except perhaps a certain amount of Bank overdraft) it seems Mtell worth considering whether it is advisable" for the - power fund to take over the indebtness of consumers for advances' and repay the loan account the amount due. The loan fund would then be sufficiently replenished to carry out the small extensions contemplated. Milking-Plant Rate.. ''lt will be remembered , that the Board" has more thaii once made it known that as soon as it was at all • safe to ease the present rates that , the * dairy farmers should be the first to benefit by the concession which could be ! made. There has also been a feeling of dis-satisfaction withthe hors'e-power rates now in force as. against a simple -unit rate. In view of these facts enquiries have been made as to the methods of charging for milk-, ing plant power by other Pow.er Boards. It has been found that there are different methods, and a Board has to find out what best suits its own district, and its own particular load. There is certainly no uniformityT-eithcr in the price 'charged o'r in the method of charging. . "The present charges of this Board compare very favourably with other Boards,, a careful'comparison with the prices charged by one of the 'neighbouring Boards .has shown the fact that although , the methods, of charging are different, the amount paid by farmers for the work done, are practically the same. If it is now deemed advisable to change the system of charging for milking-plant power to 'i purelv unit rate and not a horse-power basis" as hitherto the same can be conviently done either as from the Ist of July or at the beginning of any coming quarter. '' To give concession of between £7OO and £BOO to these consumers engaged in the industry the following rates would be effective: —
First 100 units per month, 4d per unit nett. Second 100 units per month', 3d per unit nett. All over 200 units per month, 2d. per unit nett. Minimum of 5s per month. Dairy Factory Rates. • "In sympathy with \the .Board's idea to make the first concession ia rates to the dairying industry, the factories in the district have a claim on such concession. Th'e best way would, be to reduce the kilowatt rate from the present rate of £5 10s to ££, to commence at the beginning of the next quarter. This would mean a substantial concession to the factories. Meter Rent. "In view of the foregoing reductions it would be inadvisable to make further concessions for the present year. The Board can hardly expect a credit balance for the year at the end of March, 1927. At anyrate there seems every prospect of an expenditure of over £30,000 and it is doubtful if the revenue will rise to that amount. However, if the year is fairly prosperous, and the debit balance on its working is not too large, the Board might then consider whether this charge could either be reduced or better still cut out altogether.
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Shannon News, 27 April 1926, Page 2
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1,204The Treasurer's Report. Shannon News, 27 April 1926, Page 2
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