THE LOAN PROPOSALS.

Stratford Evening Post, Volume XXXV, Issue 61, 14 March 1913, Page 3

THE LOAN PROPOSALS.

(To the Editor Stratford Post.) Sir, —As I am still a ratepayer of Stratford Borough, perhaps you will allow me to make a few remarks ou the loan proposals. In the first place I must compliment Mr Penn on his sensible letter. His advice should carry a great deal of weight with the ratepayers. In the present state of the money market it is most unwise to commit the Borough to any large borrowing scheme. We could not borrow under five per cent. Add one per cent for sinking fund, then allow another 2\ per cent for maintenance. It can readily be seen that the increased cost to the ratepayers will; be in the vicinity of £4OOO. Our present general rate realises, I think, £2OOO. If the full loan proposals are carried the rates will be trebled. To say that the ratio of rates will not increase on account of the increased valuation is to attempt to throw dust in the eyes of the ratepayers. The truth is that whereas so many ratepayers now pay, say £2OOO, exactly the same ratepayers will have to pay £6OOO, or, in other words, that each individual ratepayer will have to pay three times as much as he does now. Can we do it? Part of the scheme consists in the formation and metalling of streets. Is it not wiser to wait until the system of tar spraying and tar macadamising has been proved, and when we do start lay ' down our streets and footpaths for all time. !All the more progressive boroughs are abandoning the old mdbh'ods of street formation. With the additibnal revenue from our reserves, and a slightly heavier rate, it would be possible with an increased staff and the use of up-to-date appliances to do all the more urgent works, and prepare the whole of the Borough streets for a scheme of permanent works to taken in hand when an increased population would enable the cost to be more equitably divided.. Mrj Masters’ scheme, including as it did the purchase of the Electric Lighting undertaking, was wisely framed, as it provided the revenue for the payment of the necessary interest, but the interest for the present loan will have to come direct from the pockets of the ratepayers. I hope that all the proposals will be thrown out.—l am, W. D. ANDERSON. Auckland, March 12th, 1913.