THE BOROUGH LOANS.

Digger (Invercargill RSA), Issue 37, 26 November 1920, Page 8

THE BOROUGH LOANS.

At the beginning of next month the ratepayers of Invercargill will be called upon to exercise their Vote on the loan schedule involving an expenditure of £246,500. The ratepayers would be well advised to give serious consideration to the proposals and after mature consideration, cast their vote accordingly. It has been the experience in the past, that ratepayers pay too little attention to the administration of local government affairs. This difficulty is common throughout the Dominion, with the consequent resnlt that important and progressive measures have been turned down owing to misunderstanding. On the other hand proposals have been carried which should have had a more complete analysis. \ No sensible business man would be associated with matters of a financial character without ■carefully analysing how they are going to effect his pocket. The position of the ratepayers is exactly similar, and we hope that there will he a record display of in-. terest reflected at the forthcoming poll. There may be a feeling of insecurity among a section of the people about the financial instability of our times. The Council are only asking for authority to raise ihe amount involved and have no intention of going recklessly on to the money market. The money may not be raised for some time, but the ratepayers may rest assured that their inter.es ts will be conserved in the flotation and expenditure of the loan. In reference to the proposed loan of £25,000 for the gasworks and the electricity loan of £25,000 it must he borne in mind that these are tradiag ooncerns and it would be an unwise

policy to decrease their earning power by limitation of capital. No business man would pursue this course. There is no shadow of doubtrthat there is ample room for the extension of both these trading concerns and the best course to pursue is to give these- concerns the requisite amount of capital to effect a saving and provide an extension of activities. These concerns have shown a profit and it is not anticipated that there will be any increase in the rates as the interest will be paid out of revenue. It is anticipated that the installation of the vertical retorts at the gasworks will effect a saving of ~-+,000 per annum. The requirement? of sound business methods demand that in all spheres we must effect economy and we must apply the principle to our gasworks. The cost of coal, materiai, and wage3, have increased enormously during the past four years, and is still increasing. It is therefore imperative that we adopt improved methods of manufacture.^ and install. up-to-date machinery. There is no doubt that we are far behind in pro. secuting a vigorous and progressive roading policy. Maintenance is the big factor which penetrates the ratepayers' pockets. In view of the system of transport having changed it is imperative that we keep in line with the ever-increasing demands made upon our roads. The pamphlet isued by the Council sets the matter plainly before the people, and it will be readily seen that it is a penny wise and pound foolish pojicy to allow our roads to remain in their present condition.