THE BOROUGH FINANCES.

Taranaki Daily News, Volume LIII, Issue 277, 13 April 1911, Page 4

THE BOROUGH FINANCES.

That there i.s need for the exercise of the greatest eare in the near future regarding the finances of the borough is evident from the very comprehensive statement presented by the town clerk on .Monday evening. Incidentally, it shows that the criticism that has been directed against the Council's policy has not been unjustified. Briefly, the position is that, commencing the year with a debit of £IOB, the debit-balance has grown to £l9O8 —an increase during the year of £IBOO. Fortunately, there has been an all-round increase in the revenue; otherwise, the position would be little short of disastrous. During the year, it is true, there were several special nonrecurring items of expenditure, those in i connection with the Gill and Powderham street bridges, Leach street, Clemow road, and new stables being the principal. In the case of Gill street, it is unfortunate that the real position respecting the cost of the land was not ascertained and understood before the loan whs raised; ratepayers would, no doubt, have just as readily authorised the raising of the total amount required (namely, £5718) as the £SOOO estimated. The general fund would, in that •'vent, have been relieved to the extent of £7lB. For this, howeer, the Council 1 was not wholly blameable. The Powderham street culvert lias already cost £3079; to complete it, by bringing the walls up to the level of the road, will cost an additional £SOO. The Mayor said he had at the time made light of the defect that had developed in one of the walls, and that that view had proved correct. It is too soon to talk in this way. The real test of the strength and worth of the structure will come with the heavy rains in the winter. We sincerely hope the Mayor's view will be borne out. It may lie that the culvert is the very best of its kind in the Dominion, but it has cost a great deal more than was necessary to bridge the space, and the work ' has wen left in an unfinished state. The electric lighting department continues to forge ahead, the net profit, after the sinking fund and depreciation or reserve fund have been satisfied, being over XoOO. But for the general introduction of filament lamps and the particularly line summer we have experienced, the increase would have been considerably greater. The capacity of the present plant, however, is limited, and it is a pity the Council did not act on the advice ol the electrical engineer and push on with the extension work sooner. As tilings are, it is questionable whether the plant will be equal to the demand for power and current this winter, which will mean not only an inconvenience to liiaiu people but a decided loss in revenue to the borough. The Mayor said that had the Council annexed the electric light gross profits ( £1800), the same as previous Councils, they would have wound up the year clear, but he must have forgotten that the £IBOO would not have been available, the sum of £770 having been utilised for extension, etc.. during the year. Besides, the undertaking has not always shown such a large profit; whilst the fact should not be lost sight of that at the beginning of April, IflOS, the district fund showed a credit balance of £2282. This has now been converted into a debit of £IO6B. This drifting is what we desire to see arrested, and soon; otherwise there is nothing surer than an increase in rates, or an increase in valuations, which may have the same effect. It would not be so had if tile money had been expended to good purpose on the streets and paths, but, unfortunately, it has not. as the condition of both demonstrate beyond any question of doubt. Last year thc.v seem to have suffered more than previously, the amount spent on labor andjnetailing totalling £2.188, as against .G27'.")0 in 1009-10, and £3OOI in 1008-9. Street works are all important, and why fliev have been neglected and starved in j the way they have, whilst plenty of ! money has been found for works of ! lesser value to the town, puzzles us. I The sum spent last year may have been

sufficient to do all that was required, but the fact remains that the work has not been done, a result due, in our opinion, to the inefficient system in force. The Council have lately, however, taken a new departure—one that we have often advocated—by appointing a roads foreman, and confining the engineer to the real engineering work; and the results, as f;\r as is known, are demonstrating the wisdom of the step. The new Council will have no easy task during the coming year in managing the affairs of the borough and keeping the finances straight, and that is why it is so necessary that the very best and ablest citizens should come forward and accept municipal office.