The Daily News THURSDAY, APRIL 16. THE HOSPITAL RATE.

Taranaki Daily News, Volume LI, Issue 100, 16 April 1908, Page 2

The Daily News THURSDAY, APRIL 16. THE HOSPITAL RATE.

I l:e decision of tlie Hospital and < h;i 1 iialile Aid Hoard to levy a l'ale of :>d in the UltiO over the hospital district l»»r l la- current year has been subjected lo some criticism by a section ot the public and aUo b\ eeriain member* nr. the Hoard, wlio contend that as an eighlpenny rale only was levied last year, n similar amount should be sulii-i-ient 011 this oiva-oon. As the estimates lor the year anticipate no extraordinary oxpoiidiuuv on new buildings or equipment, to the uninitiated it might appear that tlie smaller rate to suffice to meet the year's requirements. Investigation, however, reveals the actual position in au altogether dill'erent light. Tliy board, indeed, was extremely fortunate in having contrived lo keep last year's expenditure within its iu•come, and it is abundantly clear that it t-ould not nave done so within hundreds 1 ot' pounds had the «?um ot £I2OO (bei quest and Government, subsidy) not ! been applied to general account. And that is not all, i'or we iind that the secretary managed to collect from patients during the year .CI2D3 more than was anticipated when the eightpenny rate was struck. 1-lad this latter amount not ueen collected, the Hoard would have touud itscll' with au overdraft of approximately XIOOO at tlie end of the year, instead of having an actual credit ol some £25.

Had it not been, tnerefore, for these I two extraordinary items of revenue, the ! eigiitpenny rate would have proved al- i together insullicient to have met the Board's requirements. Under the circumstances it is unfair that the. present Board should be stigmatised Iwcause it lind.- if necessary to raise the rale to tin* level of the year I!RKi-7, a lewl from which, it is apparent, sound finance would not have dictated its reduction last year. JVquests, to our mind, should in all ca-es l>e specifically se' a-ide by the Hoard for some perni;<ni lit woik. and iml. as in the ease of tlie .-übsiiuilial amouut bequeathed by th" !;!'<• Mr.-. Small, absorbed in tlie general working account of tlie Hoard, it i* nol contended that a considerable portion of this particular amount was not spent in new ami permanent work, bin we have a recollection of it being implicitly implied at Ihe Hoard's fable ilnil the bequest was lo 1"' utilised for the purpose* of erecting a Small memorial ward. Instead, a portion of the money wa» utilised to unjustifiably reduce the rati' collected fo a-si>t in the maintenance of the institutions, and I hat. we say. was distinctly wrong in principle. It was misleading to tlie ratepayers and unfair to subsequent Hoards, -ucli as the present one, which linds it necessary to the rate.

Whllo no one can iind fault with the splendid work accomplished by pasi Hoards, and the chairmen particularly, we cannot allow the contention made in some quarters to go unchallenged, that the increase of the rate implies less prudent care of the finance:- than characterised the administration of previous chairmen. An examination of last year's rough balance-sheet shows that the Board opened on Ist April, 111117, with a credit balance of approximately .CHwu (practically the whole amount representing tne Mrs. Small bequest), and the receipts for the year amounted t<> cT.'WJ! (of wlinh oniy .Cl.j()2 waraided from rates. an amount not suflicicul !o pay wa^e*and TU • expenditure amounted to leaving a nominal credit balance at 31st March last of sihrhtly over CI3UO. The liabilities of the Hoard, with works authorised and in progress however, accounted for practically the whole of the balance, so that notwithstanding the year wa> "•ommenced with a credit balance of I'KlUll, and that nearly .CI3OO m«'if than was estimated had been received from patients, liabilities had been incurred for {he whole amount, and the new chairman takes office with a credit balance of something like C 25. And yet. notwithstanding the disparity iu the po-iiions,. there are those who will through misconception of the inner workings la>t year, that a similar rate -hould sullice.

I <b» the face of the estimates for the ! current var, it even appears a- if a ninepenny raie will be insuilicient id meet the rcipiircmpnts. hut. while th-j revenue h;i- been estimated on a prudent, ba>i>. we believe the climates will aetuilly be exceeded lo a considerable extent. For instance, by keeping up the ore-sure and collecting, whenever possible, the fees from all patients in a position to pay, the estimate of £IO<UI from this source should prove to be very considerably below the mark. Last year the sum of £-104 was received from tlii- source--* record in the history of the Board—as compared with in l!Kt(i-7 and .CloT'l in The estimated expenditure for thi- year is set down at C(j4t)o, ami the receipts (including CI Hi' from the ninepenny ra'e) at £541!), showing approximately an estimated deficiency of £'looo.

As previously stated, we believe the prospective shortage will not eventuate; should it prove, however, that the collections from patients this year fall consi.l'! ably diort of last year's receipts. the Board will either have to cut down its estimated expenditure or face an overdraft a' the Bank, guaranteed by a "joint ;i ur.i several" from the members. It is undesirable that any public iii-ii'utu n -hould be compelled to ;m;mge its linanee- on the personal sertiriiv of jK members, and we think it will bj> ;t'_M'eod that it is eminently more bu-ine? like and <ali s fae(orv that the Bo;tni'« revenue *hoiild be slieh as to entirely obviate >uHi a contingency. While we ;iie in entire accord with the ninepenny rate deeUion- which, by the way. carries a K for £ Government subsidy -we would urge that the strictr«t economy consistent with unimpaired efficiency be exercised in the future, and that the resources j M » conserved whenever possible wilh a view to meeting the heavy liability that must be faced wilhin a verv few years in the building ot a new ho-pital. WV cannot dNj>nis.> the fa< ! lint the present buildings al'e tint, all Hiey should be. and that they are <uily maintained in a fairly satisfactory condition at very great expense. Any further extensions that may be considered necessary to cope with the demands on the institution should be of a permanent nature and form part of the ultimate plan of reconstruction.