The Daily News. WEDNESDAY, MAY 3, 1916. BOROUGH ADMINISTRATION.

Taranaki Daily News, 3 May 1916, Page 4

The Daily News. WEDNESDAY, MAY 3, 1916. BOROUGH ADMINISTRATION.

It is customary for the Town Clerk of New 'Plymouth to present an annual report detailing the year's work as well as recording the financial operations of the municipality, and on Monday night the report for the year 1915-1G was laid on the table. The document is of considerable length, covering forty-three foolscap pages of typewritten matter dialing wih every department of the Council's work. To attempt in a single article to cover the whole of the matter contained in the report would be impossible, but there are a number of points that lend themselves to review by reason of their being of exceptional interest and concern to the ratepayers. There have been two separate loans floated during the year, one consisting of £22,000 for streets, destructor, and culvert in Brougham Street, and the other, of £BOOO, for municipal offices and a museum in which to store the Skinner collection. Both loan? were floated at • 5 per cent, locally, but as yet no steps have been taken to prepare plan and specifications for the offices and' museum. With regard to the £22,000 loan, the main purpose it was intended to serve was to lay down a satisfactory viatory along the tramway route, the cost of which was estimated by the Council's late engineer, Mr. Skitrop, at £IO,OOO. ,At the time this loan was proposed we pointed out that the amount proposed for the tram route was far short of its probable cost, and the Council, evidently having doubts on the matter, so arranged the loan proposals that any part of the £22,000 could be expended on that route, though by so doing the other streets which it was intended to put in order would have to go short and be consequently starved. This is what has happened. The report states that the loan was not anything like sufficient, even when the ten per cent, legal margin is called up, so that the other "completely worn out streets will have to be repaired out of revenue," thus placing a still greater strain on the ratepayers. Whether this resulted from the change of engineers or not is an of.en question on which there is likely to be a difference of opinion, but it is only fair to Mr. Skitrop to assume that, had he carried out his plans by the methods he had in view, he might have gone nearer his estimate than has been the ease. His proposals, however, were altered by an addition of £I3OO for tarr.;ng and sanding the tram-lines in a different manner to that provided for in the contract, and a further £I4OO was taken out of the loan for excavation work, these two items accounting for £2700. There is also some difference of opinion as to whether the work could not have been done .letter and cheaper by contract, though the present engineer works out the schedule prices to a total of £21,573. The two main points in this connection are: (1) Whether if a contract had been decided upon the price would have been as excessive as that named by Mr. Clayton; (2) whether, even though the price was higher, the result would have given hotter value for the money than that which has been executed. Any competent judge who views the route at present should be able to arrive at a decision, especially at certain sections like that between Hobson Street and the Ilcnui bridge, which already are in a bad state. The position at present is that the deficiency amounts to £soou, while the ten per cent, will only produce £2200. The financial outlook with regard to the tram service, as set out in the report, cannot fail to cause a feeling of disappointment, in consequence of the extremely heavy expenditure with which the scheme is loaded. The estimates for the first year's running show revenue as £7646 and working expenses as £7727, to whieli must be added £3025 for interest and sinking fund, but against this the electric light department should show increased profits by reason of the charge of £1570 for current, "'f the estimates are sound, and there is no ground to assume the contrary, the deficit for the first year will be £l-21S, after allowing for the payment of interest and sinking fund out ot capital, and to meet this a threepenny rate is required; but next year, and probably up to the fourth year, a much larger rate will be necessary, so ratepayer? must be prepared for increased ' i'lnn for the trams and the street? rt th regard to the general district <■• ;iii; debit balance at the

en• • 'ear had been reduced by £1?!' ,•'"•!,' £4138 as against £5422, owini fc ''f .ncreased rates levied. The ,»««'•; '.p t vaaj ampunted to '418,770

as against £13,510. Included in these receipts is an item of £1044 for reimbursements. Just how that amount was arrived at does not appear, but in effect it was taking money from loans to pay fci value of materials and hire of plant tcr works covered by loans. Such a method lias great possibilities in the way of altering the complexion of expenditure, and it is stated that if these reimbursements were deducted from street expenditure for the year the total of that outlay would be £3ll less than for the previous year. The system may be permissible, but it-may also have its drawbacks, as the prices are arbitrary. The continual growth of borough expenditure needs most careful watchins, or the taxation of New Plymouth will be unduly heavy.