ARBITRATION CASE.

Temuka Leader, Issue 1260, 1 November 1884, Page 2

ARBITRATION CASE.

On Thursday last Mr John Ollivier, the arbitrator appointed by the Governor to assess the amount of the funds in the hands of the Geraldine Road Board-accru-ing to the Geraldine Town Board, sat in the Road Board Office for that purpose. Mr Hamersley appeared on behalf of the Town Board and Mr White for the Road Board. There .were also present Messrs Slack and R. H. Postlethwaite (Members of the Road Board), and Messrs Pearpoint, Mashn, Dunlop and Mundell,(Town Board Commissioners.) Messrs 0. E. Sherratt and W. Shiers (Clerks to the respective Boards) were also present., Mr Ollivier asked if any balance-sheet bad been prepared showing what claim there would be on one side or the other, as he would like to know how the account* of the Road Board stood at the time the Town District was proclaimed. Mr Hamersley replied in the negative. Mr White stated that on the 19th June the Board had £16,7551653d to its credit in the Bank, with liabilities to the amount of £551 6s 9d due on contracts, and about £250 on accounts current. The pound was valued at £IOO ; the Read Board office with half an acre section of land, at £650 ; two cottages with half an acre of land £4OO, in the present town district; four quarter acres £IOO ; three cottages and six acres, £l5O ; there were, also 62 acres plantation reserves valued' at £SOO ; office furniture, maps, etc., £20., . Mr Hamersley suggested that an independent person should be appointed to value the plant, stock, etc. Mr D. McKenzie was thereupon requested to value the same. After a short interval Mr McKenzie stated that ho estimated the plant and stock at £6OO. The ratepayers’ roll as prepared in the year 1882 with some additions attached showed that the present rateable value of property in the Road District was £463,652 ; Town Board District, £38,514. Mr Shiers intimated that there was no income derivable from rates at the present time.

In the course of discussion upon several matters it was shown that the area of the Geraldine Road Board District was 119,300 acres since the severance. The Town Board District comprised 700 acres. The amount expended within the limit of the town by the Road Board between the years 1871 and 1878 was £2499 and since that period up to the present time [£2071, without including price of material also supplied. Against this sum £761 must bo deducted as being expended on the Pound and Road Board office. There were seven miles of roads formed within the town district and two miles unformed. There were , about 1500 miles of roads within the Road Board District of which there were 127 not constructed. The estimated cost of the latter was about £19,780. The cost of maintenance of the whole would average £1 per mile. After some further discussion on the matter at issue the Arbitrator adjourned the meeting fill 2 o’clock. : On assembling after the adjournment Mr White rose and addressed the Arbitrator on behalf of the Road Board. The real question in dispute being the amount the Town-Board werei to receive of the Road Board funds and property, he proceeded to show that tbe Town district had already received a more than fair share in the amount of money expended. The funds in the hands of the Road Board were a portion of the proceeds of sales of Crown lands, purchasers buying with an understanding that roads were to be made to their properties. Therefore, Mr White contended, the country district'had every claim to nearly the whole amount of those funds. He further pointed out to the Arbitrator that the money expended within the Town district had enhanced th»i value of town property in a much greater degree than was the case in country districts. He contend ad this to.show that the rateable value was net the. proper basis upon which the arbitration should be founded.

Without calling on Mr Hamorsley to reply, Mr Ollivier then delivered his award as follows:

“ In assessing the value of the share of the Geraldine Town District Board of the estate recently held by the Geraldine Road Board, I direct the sum of £1753 18s 6d. together with bank interest from the 19lh June, 1834, to be paid from the

Road Board funds. The real and personal property of all kinds, whether building's, lands or stores to become the property of the Geraldine Eoad Board.

“ The Road Board to be responsible for all sums owing by the Board up to the said 19tb of June, 1884. “The District Town Council to be at liberty to assume such of the reserves for gravel pit reserves as they may require, at £3 10s per acre ; but in planted sections, not exceeding one tenth of the acreage they may apply for. “ John Ollivier.. “Arbitrator.

“ October 30th, 1884.” The Arbitrator directed the costs of arbitration, five guineas, to be equally divided between the two Boards, each Board to pay its own costs. The proceedings then terminated.