Steady Reduction In Capital Debt Of Eltham Borough

Taranaki Daily News, 21 August 1942, Page 6

Steady Reduction In Capital Debt Of Eltham Borough

"The capital indebtedness of the borough will not be found excessive," said a report to the Eltham Borough Council by the Mayor, Mr. C. A. Wilkinson, M.P., on the borough's financial position. The town clerk, Mr. A. J. .MacPherson, prepared a comprehensive statement on the loan position, but that was taken in committee at a meeting on Wednesday night. "For several years past a steady and considerable reduction of capital debt has been made," the Mayor's statement continued. "This process is being c?ntinued, and year by year the capital debt becomes less and less. In 14 years all the present debt will be extinguished and, but for the fact that we have seriously to consider the renewal of the water supply system, at least to the extent of putting new mains down from the headworks to the borough, we should be in a position to reduce our rates considerably." Eltham. Mr. Wilkinson added, was a very highly rated borough, and, in fact. the rates were now up to the legal limit in every instance. With the war on it was not possible to consider the water main renewal, but plans would be prepared for something to be done in 1946 or 1947, when the annual charges for interest and sinking fund were reduced by £500 a year for two successive years. From 1948 to 1954 the annual charges would be reduced by a further £200 a year and in 1955 and 1956 the annual loan charges would drop to £770 and £262 respectively, the latter payment being the completion of all present loan indebtedness. House building had not been a financial benefit to the borough— the reverse had been the case, Mr. Wilkinson's statement added. There would be little need for the borough to consider further development in that way because housing was a feature ot Government policy. The gas loan account had been a heavy drag on ratepayers for many years largely, if not wholly, because gas had been superseded to a large extent by electric light, continued the statement. The undertaking paid working expenses and a little more, the loan charges being met by the rates. "Generally speaking. Eltham streets, roads and footpaths are in fairly good order," the statement added. "This may be disputed by some who have not got a first-class road, street or footpath but, compared with many other boroughs, even larger than Eltham. I feel convinced that we have put up a good case with the limited funds aVailable for the work." After referring to the apnlication made to have part of Bridge Street declared a main highway. Mr. Wilkinson advocated abolition of the "brick area" restriction on land to the west of the stream running through the town. Later in the meeting formal resolutions to amend the by-laws accordingly were passed.