HIGHER RATES?

Auckland Star, Volume LXVII, Issue 117, 19 May 1936, Page 10

HIGHER RATES?

WATER CHARGE QUESTION. COVERING OF LOSS. Considering it essential that the exchange premium which had been carried as a loss in the trading account for several years, as well as the anticipated increase in wages, should be covered by increase in revenue, the waterworks engineer, Mr. A. 1). Mead, recommended to the City Council last niglit through tho public services coinmitteoj that a water rate of 4J per cent should be struck this year on residential property and one of 2| per cent on the other classes. This would provide an estimated increase in revenue of £12,000. The council decided to refer the matter to the finance cominitteo for consideration.

Mr. Mead reported that analysis of the account had shown that meter charges were returning a slight profit, the whole of the loss being on the return from rating. The Municipal Corporations Act allowed a limiting water rate •of 0 per cent on residential property and 3 per cent on 1 and non-consumers property. In recent years the council's water rate on residential property had been on a sliding scale from 5 5-8 per cent for the first £30 of annual value and 2J per cent for value in excess of £30. This provided a return about equivalent to an t'V'on rpto of 4 per cent. Last year's rate on nonresidential property was 2 per cent and on non-consutners £ per cent (minimum 1/). He did not think there was any justification for the further retention of the sliding ecale of rating. The increase would mean a revenue of £00,280, as against £78,000.,