HAMILTON BOROUGH FINANCE.

Waikato Argus, Volume V, Issue 373, 29 November 1898, Page 2

HAMILTON BOROUGH FINANCE.

TO THE EDITOR. Sir,— Having heard the question of the Hamilton Borough overdraft somewhat freely discussed of late, and very conflicting opinions expressed, both as to the extent and cause, I spent some time looking up the records, and stated as briefly as the question will permit, the history of the matter appears lo be as follows : Iu the year ended March 3lst, 1891, the overdraft amounted to £726 (the previous year to £725). In March, 1892, it was £1 16s sd, at this dale it would appear to have been extinguished, but tkis was made apparently so by the taking of money that had been destined for the erection of the proposed public buildings, ana so adding to the public debt of the Borough. I m'ay say that the was the result of expenditure gone into in excess of ordinary requirements in the erection of public baths and saleyards. At March, 1892 and 1893, there were small credit'balances; after that for the years 1894-5-6-7-8, the debit balances were respectively £3S, £348, £792, £771 and £844. From a study of the accounts and a fair knowledge of the facts, I should say that the causes of the present state of the finances are exactly the same as those that made the overdraft iu 1891 necessary, viz., unforeseen requirunents. Daring the four years' period ending March, 1594, a policy of inactivity, if I may call it so, seems to have been pursued, and during the next four years various causes contributed to bring about the present state of the finances. For the sake of being better understood I will make a few comparisons in items where the expenditure has been greatly augmented, taking the two four yearly periods mentioned as

Totals £lB9 £1212 In the item lamps is included cost of posts and lamps. The cost of Hospital and Charitable Aid lias also increased from £SO in 1891 to £75 in IS9B, the rate for the current year is £94. In regard to the expenditure on the above items the work on the two bridges was urgently required, and once done requires little or no expense to keep U P- . . There can hardly be two opinions about the saleyards being a boon to the town and neighbourhood, and in themselves comprise an asset of sufficient value to cover a loan. They arc bringing in rent more than sufficient to pay the interest on the present overdraft, which amounts to £751. If a doubt exists as to the lighting requirements of the borough, and if the increased facilities are commensurate with the outlay, I may point out that the lamps and posts are an asset. 1 cannot defend the increased expenditure in the administration of the liquor law, but that was forced on the Council by recent legislation, the Council having no say in the matter. The wisdom of the policy pursued in 1891 of adding the liability to the public debt at 5i per cent, might be doubted now that the overdrafts to public bodies bear so low a rate of interest. 'The revenue of the Borough, that is to say, the receipts, exclusive of grants, refunds, etc. does not appear to have kept pace with the increased demand ou the public purse, it having been £740 iu IS9I, and is £BSO in 1898. The interest account of the Borough in IS9S was £209. It appears to me that, so long as a shilling rate is insisted upon »vith which to provide for the payment of interest, Hospital mid charitable aid rate, lighting and the keeping of the streets and bridges in repair, so long will there be an overrunning of the constable. —1 am, &c,, Old Rksidei-'T.

nearly as possible : — Four years ended 1894. 1898. Item 1—Hamilton Bridge £30 £428 Item 2—School Bridge — 178 Item 3—Saleyards 47 248 Item 4—Lamps 88 257 Item o—Licensing expenses .. IS 106