The County Year.

Shannon News, 1 June 1926, Page 3

The County Year.

TREASURER’S REPORT. APPOINTMENT OF RATE-COL-LECTOR SUGGESTED.

At the annual meeting of the above on Wednesday the treasurer (Mr. 1. Hudson) presented the following report on the year’s work: - “I have the honour to submit for your consideration a report on the Council’s accounts for the yeari ending 31st March, 192(5, as follows: The oross income for the yeui amounted to £70,167 and the gross expenditure to £60.358, which leaves a surplus of £10,009 chiefly comprising amounts at credit of various loan accounts. Rates. —The year commenced with an amount of £5842 arrears carried forward from previous years, winch together with £21,318 the amount of rates levied for ' the year, made the total collectable during the period amount to £27,-160. Of tno total levied £20,395 was received consisting of £2506 previous years’ arrears and £17,889 current rates. The year therefore closed with rates outstanding amounting to £6765, comprising previous years J arrears £3336 and arrears for the ydar amounting to £3429. Government subsidy on rates. For the third year in succession the maximum subsidy of £2500 , was obtained during the financial year. Riding accounts. —Generally consid-j ered the Riding accounts arc in a fairly satisfactory position which is especially desired in view of the fact taut until the Main Highways construction work is completed the resources of the accounts will doubtless be fully taxed. The Tokomaru Riding having now substantially worked off the accumulated credit balances of the past two years (as a result of which the rat'e was reduced from |d to Id in the pound) it will probably lie found necessary to revert to the old rate for the coming year. Main Highways maintenance.—A total sum of £6447 was spent on Main Highways maintenance for the y'ear as compared with £4512 for the previous year. The Main Highways Board has contributed £1 for £1 as from the Ist April, 1925, as against- £1 for £2 previously. * ■ . Main Highways construction. —The outstanding feature of the year’s operations has be’en the start made with the re-construction of the Main Highways which embraces a scheme estimated to cost £156,000, apart from machinery and plant. The Horowhenua County ’s share of the undertaking is £78,000, or half of the sum required. It was •estimated that approximately £36,000 would be expended during the year but 1 owing to maritime strikes and othershipping troubles certain essential plant was delayed in transit and in consequence a delay of several months was caused which under the circumstances was unavoidable. However despite the difficulties at first encountered the sum of £20,698 was spent, thus indicating that a good recovery' was made after the initial set-back. To provide the Council ’s share of the: money required a loan of £IB,OOO was obtained from the Government Life Insurance Department of which amount there remains a balance of £5402 at the 31st March last. In this connection early consideration, of the loan requirements for the coming ear will be necessary in order to avoid any delay on this account. As will be realised by the Council it is of paramount importance that the scheme of re construction bo completed in as short a period as possible to obtain to the fullest extent the desired financial benefit. Machinery and plant. —For the purpose of providing the machinery and plant necessary to carry out the Main Highways scheme a loan of £II,BOO was raised during the year by means of debenture issue, bearing interest at 5j per cent and repayable £SOOO in five years and £6BOO in 12 years. This loan was subscribed to locally and was quickly taken up. The machinery and plant purchased to date amounts to £10,75S leaving a balance in hand of £104... Under a new system of costing the machinery is now made to be self-sup-porting and to Oiso meet the interest, and sinking fund charges. Sundry loans.—The loan of £9OO lobgained from the State Advances Office fro the Waitarere Road w.as exhausted during the year ;.ud the sum of £llsO was expended out. of the Ashlea-Toinu-kanui loan, leaving a balance of £2950 for the completion of the work. Government grants.—Grants of £sou and £2OO were obtained for the Malta re re and Waikawa Beach Ronds respectively. There remains a balance of £370 available for the Waitarere Road and the ’Waikawa Beach Road grant is fully expended. Drainage, districts. —Several Commissions have been held during the year to enquire into pn-posccl drainage areas with the result that the Hokio and Kuku districts have been establshed and an additional area recommended for inclusion in the Buckley Drainage District.

Special rating districts. —There arc now 130 special loans for which interest and sinking fund is collected amounting to £BBI2. There are several new districts in course of formation for which loans will be required during the coming year. The Public Del> ‘ of the Comity now stands at £149,199. Motor-lorry r'gulations. —Although designed to afford local authorities a measure of financial assistance in the maintenance of roads the administration of the Regulations is not without considerable difficulties and the amendments from time to time require close

and careful attention. Wellington West Counties joint bylaw. —On the Ist January, 1926, fne Wellington West Counties joint by-law came into operation and the same embraces in a general way the requirements of the Counties in the No. 9 Highway District with the exception of Hull: and Makara.

Under the provisions of the by-law it is now necessary for a permit-to be obtained before buildings arc erected

and many other essential regulations are provided to govern growing Counties.

Palmerston North- Hospital levy. In accord with the requirements of an increasing population and the advance of medical science it is seemingly necessary that the hospital levy should generally advance as shown by the following table: —1921, £1773; 1922. £1662; 1923, '£2657; 1924, £2988; 1925, £2597; 1026, £2901; 1927, £3377. In conclusion I desire.to thank the chairman and members of the Council for. their kind consideration and to acknowledge with thanks Ihe .helpful assistance and cO-operation I have received from all those associated will me.—F. H. HUDSON. Treasurer.” FINANCE DIFFICULTIES. The chairman congratulated the treasurer on the exhaustive report brought down. He stressed the tremendous amount of work thrown on the office and treasurer in particular by the main highways scheme. No one woula realise the magnitude of it unless they came in close contact with the office. A e-ood deal of extra work and concern

had been caused by the delay of the Highways Board in paying its share of the cost. The accounts went in and it was a considerable time before they received the money. The work had to go on and it meant that 1 when the loan money was exhausted, the treasurer had to draw on the general fund, and probably pay interest on it. He suggested that when these amounts .were outstanding beyond a certain tim'c, interest should be paid. It seemed most , unfair that a big; Department should withhold money due from a compara--1 Lively small local body which thus was ( compelled practically to pay the De- ! partment's intei'est. RATE COLLECTOR NECESSARY. The chairman remarked that in 190 S the total general rate was £6738. Now it was £IB,OOO. There had also been a considerable increase in special districts and a great deal more special rates were collected. In 1912 there were 95 special districts and now there were 140. The total public deb; was £147,000. They . found that the *more special rates there were the greater difficulty in collecting the rates. They seemed to have got a set back in the collection of rales as a result of the slump from which it was .very difficult to recover. Before that tjiere would be £SOO or £6OO outstanding, but in 1922 it was £BOOO to £9OOO. The treasurer had worked very hard to try ana reduce the arrears, but had not been as successful as he or the Council might desire. The Council would have to consider what further steps it would take to collect these rates. 'With the tremendous amount of work in the office, it was impossible for the treasurer to concentrate upon the collection of rates. It had been said that the Council should sue for the rates, but it was found that suing would not always collect them. The best method was to keep hard after defaulters. He suggested that it might pay the Council to have one man to look to the rates. They had £23,000 a year to collect and.he wondered whether a man's sai ary could not be altogether saved by a more intense collection. Then then was the native land valued at £120,000, which, paid nothing for many reasons. In some cases the owners could not be traced. A half-penny on that meant £250 and if only half that was collected it was half a man ’s salary. From his personal knowledge of the office he could say that the treasurer had exhausted all the means at his disposal in regard to collecting the rates. In regard to loans it would be necessary to make provision for £26,000 for main highway work. They might; try to float a local loan as they did for the machinery, but he thought it was rather a large sum to raise locally. It was a question for the Council to decide. Cr. Ryder thought the whole Counci, should be proud of the report. The treasurer took office behind a very able 1 man, and he was very glad to see that he had made good. ; s NO HARSHNESS IN COLLECTION. Cr. Catley said lie viewed the outstanding rates with a good, deal of ap-

•prehension. They knew -that many iu the ratepayers could not make ends meet.’ It was all a point of economy and he urged the Council to do all u could to keep administrative cost down, because the general ratepayer had to bear the burden of whatever the Council did. Ho thought Mr. Hudson exercised a,ll the tact and patience possible for a human being and there had been no undue harshness in the method. He noticed that other local bodies made a discount for prompt payment. Possibly they put that on before they took it off but the Council could consider that. He viewed with a good deal of caution the suggestion to appoint anothei officer and suggested setting up a committee to go into methods of collecting the rates. Perhaps the chairman could give them some further information on the subject. Ci. Whyte congratulated the treasurer on the comprehensive report submitted. Although the Councillors anticipated that the ridings would have to bear a little heavier burden, they found that it was necessary to make the rate

three-farthings. He hoped the engineer would give the Tokomaru riding proper consideration under the main highways scheme. Cr. Jensen said it was not a nice thing to think that the Highways Board had pledged themselves to pav half the cost- of the main highways and was not doing it. In regard to the rates, the Council was not a charitable institution. Many ratepayers had a struggle to pay their rates but did so, while others were able to pay them, easily and did not. It was unfair tha the former should have to bear the burden of the latter. He thought 1-

might be a good idea to appoint/ someone to deal with the rates, as the chanman suggested. £6OOO OUTSTANDING. Cr. McLcavey thought the arrears of rates should be gone into by a small committee as suggested by Cr. Catley. It was a huge sum to be outstanding and they could do a good deal of work if they had it in hand. Cr. Kilsbv said there was £6OOO out-

t standing and tiny should have a committee to go into it. Cr. Ryder poi; ted out that the nw per cent must he pat on before it couibe taken off. Cr. Catloy said other Counties cu< not add five per cent. They took r off. He agreed that this County wc economically administered, but the lat* Prime Minister Tutd said tlmtjdie co&. of County administration in New ziea land was too high. He supposed tie chairman would not dispute him as ai authority. The chairman: I would.to some cx tent. . . , The chairman said they could no. compare Borough and County adminis tration. The former could be mon economically managed as a borougr was more concentrated and often hac trading departments such as water an; gas to bring in revenue, whereas a County was purely there to admimstc its funds. They would find that ad ministrative costs in Horowhenua compared very favourably with othei County of its size. ; The chairman’s motion for the adop tion of the treasurer’s report was earried ’ ECONOMY V. EFFICIENCY. The chairman said he had been con nected with loeal bodies that had user the pruning knife so much that thej lost efficiency. He. pointed out tha when they gave a five per cent, rebate Cor prompt payment, they had to pu ;t on first. The result was that those who could afforrl it got the rebate, bu the poor individual who could not pay had the 10 per cent penalty added and the 5 per cent, that the other did no, pay as well. It was problematical toe how much was going to be paid promptly. It must be remembered also that there was a rate collecting period in every County. In a sheep County i was no good trying to collect them until the wool was sold and in a dairying County like this, the rates were pan from January to March. Then there were those who would not or could no pay until the last day before the lb per cent, went on. Possibly they nugh come forward if there was a 5 per cent, rebate. He pointed out that-to take advantage of the rebate for prompt payment, the rates had to be paid 44 days after demand. The only wav it could be done was to hold the dciiiands back to the end of the year and this brought the six months and 14 days after which rates could be recovered beyond the end of the financial y< THE EFFECT OF MOTOR CARS. A bigger factor than anything else was the purchase and running of motorcars. If they remembered Levin nine or ten years ago and looked at it today on a Tuesday, and made a calculation what it cost to fib that street with cars Cr. McLeavev: And what it costs to keep the roads ini for them. The chairman:- Yes, we must consider that aspect of it. A man may say: Why shouldn’t I have a motor-cnT. That was all very well, but the rates were a first charge on the land. On the motion of the chairman the question of rate-coll'ecting was referred to the Finance Committee to bring down a report to next meeting.