OFFER ACCEPTED.

Auckland Star, Volume LXV, Issue 149, 26 June 1934, Page 11

OFFER ACCEPTED.

OBSTETRIC HOSPITAL.

GOVERNMENT GIVES £20,000. NEW BUILDING ASSURED. (By Telegraph.—Press Association.) DUNEDIN, Monday. Negotiations between the Otago Hospital Board and the Minister of Health, in connection with the proposed now Obstetric Hospital, reached finality today. A statement was received from the Minister, indicating that he was prepared to reconsider' the position on the basis of the Government finding a sum of £20,000 in all, including the Unemployment Board contribution.

Mr. W. E. S. Knight, chairman of the Hospital Board, dispatched the following telegram to the Hon. J. A. Young on Friday:—"Please take it as absolutely final that the board is not prepared to levy for capital purposes on its ratepayers for more than £2000 for the Obstetric Hospital. I understand that the Dunedin Savings Bank gift of £6000 is to be withdrawn on the 2(Jth instant if arrangements are not previously concluded."

A reply from the Minister came on Saturday, stating: "I regret I am unable to accept this as your final offer. I an: prepared, however, to rcdpnsidor the position on the basis of the Government finding the sum of £20.000 in all, including the Unemployment Board contribution, thus leaving the Hospital Board to finance the balance in such manner as it pleases. I strongly recommend the acceptance of this offer."

The whole question was discussed at a special meeting of the board this evening, and it was finally agreed to accept the Minister's olTer.

The position now is that the hospital will be erected. The Government will pay the £20,000, including the Unemployment Board contribution; the Dunedin Savings Bank's gift, £0000; the sale of the JBatchelor Hospital (estimated), £1500; the Otago Hospital Board, £2300; making a total of £30,000.