ONEHUNGA LOAN PROPOSALS.

Auckland Star, Volume LII, Issue 281, 25 November 1921, Page 8

ONEHUNGA LOAN PROPOSALS.

(To the Editor.) Sir, —"Batepa3'er," in the "Star ,, of 21st inst., places the Council's proposals in the most unfavourable light. While admitting that the total proposed loans amount to £24,200, the ratepayers should not condemn them without giving them the most careful consideration, and asking themselves whether they will not advance the borough and improve the value of their property. Taking the. various loans seriatim, and the loan of £9000 for a sports ground first, I did not say the Council would levy a rate of *d in the £ to provide interest and sinking fund for that. I said it would be necessary to strike a rate of id as security for the loan. It may not be even necessary to levy a rate of 5-lOd in the £, because there is certain to be a fairly good return in the way of rent for the use of the ground when laid out. It will be one of the finest recreation reserves in or around Auckland, and will undoubtedly enhance the value of all properties in the vicinity. Then take the proposed loan of £7000 for laying fire mains. Thig is an 'absolute necessity for the safety of house property in tho various streets specified in the loan proposal. It behoves every ratepayer in the streets to be safeguarded to make sure of registering his or her volte in favour of the loan. The security rate of Jd in the £ will come out of the water profits. The loan of £4700 for the now gewer !i s another absolute necessity. The Health ■Department and Public Works Department have both approved of the pro- • posal, and it is on their recommendation that the Board of Health has served a notice upon the Council to put it in. The money has practically been granted by the State Advances Office at the low rate of interest of 4i per cent. This will certainly not cost the ratepayers oneeight of a penny in each £3000. The annual cost on the whole loan will only lie £211 10/. As this will be collected • from the ratepayers in the drainage area only it will need about 3-16 din the £. It was not by the request of the Counl oil that the Health Department took ; action, but on their own initiative in the . interests of public health. With regard to the 10 per cent extra , on. the concrete road loan, this has been . found necessary owing to the increase . in cost of labour and materials since the . original loan was carried.' It will only ; require 1-10 of a penny in the £ over . he original lid rate, owing to the extremely good financial arrangements , made by the late and present Councils in , raising the loan, £10,000 being secured L at 5i per cent and the balance at 6 per . cent. , [ I would point out that there is a vast . difference between striking a rate for the , security of a loan and the actual amount levied. 9 Summing up the position and assuming f that the two loan proposals are carried . on December 1, the total extra rates the '„ ratepayers in the drainage areas will be called on to pay will >be Id and 13-16 of , a penny in the £, and outside the drain- , age area 16d in the £. I For this Onehunga will get a magnift--1 cent sports ground of 13 acres laid out > ready for use, 4in fire mains in every 1 street in the borough, an up-to-date con- . Crete road from the wharf to the borough t boundary in Manukau Road, part of ■t which is already laid, and a new aewer j which is designed to carry the sewage of V the whole borough. If under the cirt cumstances the ratepayers turn down a the proposals I can only say that they k are not alive to their own interests. — o j I am, etc., J. PARK, Mayor.

E. Morton writes on similar lines, and in advocacy of the Borough proposals.