NEWMARKET LOAN.

Auckland Star, Volume XLII, Issue 192, 14 August 1911, Page 6

NEWMARKET LOAN.

(To the Editor.) Sir. —la the matter of the above loan I fail to see any wisdom or foresight displayed in its. adjustment:. Newmajket must before long become merged into the city as a part of Greater Auckland. Common sense, and the natural development of communistic interests will demand it. In the face of these palpable resulta, the combined wisdom of our Borough Councillors has (although the example of the City Councillors in connection with their £400,000 loan was staring them in the face) placed the incidence of this loan upon a special rate basis, instead of following the lead given them, and raising it on the basis of a general rate. Any special loan raised by any civic body, upon _a_ special rate, has to be provided for and repaid by that civic body, whether it later or no, amalgamate with ajiy other body, But if Newmarket follows the astuteness of the City Councillors, and charges the loan to the general rate, when amalgamation does take place, it is spread over the whole of the new rating area, and is borne equally by all. The Council furthar tell us that it will only require a 1/3 rate to meet interest and sinking fund. I also find that they have predetsraincd to secure £33,000 as the law permits them to raise 10 per cent on the loan sanctioned by the ratepayers without again appealing to the ratepayers. In my own mind I am convinced that the sum put forward, viz., £33,000, ■will not complete the works mentioned. Tt requires a 3d. in the £ rate to secure interest and sinking fund upon everv £SOOO borrowed, so that £33.000 will necessitate a rate of 1/8 in the £. If the ratepayers of Newmarket are as alive to their own interests as I presume they are, they will reject this loan proposal and every other proposal which is not based upon common sense or common fairness.—l am, etc., GEO. BODLEY. Newmarket.