OVERDUE RATES.

Press, Volume LXVI, Issue 19889, 28 March 1930, Page 15

OVERDUE RATES.

TO THE EDITOR OF THIS FIIESS.. Sir,—ln replv to the letter of "Business Man and Ratepayer," I might mention for his information that the Council sets out on its rate notice, the period during which the money is spent. This coincides with the period covered by the estimates. As soon as "March 31st'has passed the Council can go into its estimates for the next year's expenditure, frame these, and strike a rate to produce the necessary revenue. This revenue is required for the current year's work, but as ratepayers never pay promptly after the rate is struck, the Council lias-the power to finance on the uncollected rate! and this is done on practically all occasions.

The law allows this, but lays it down that the Council's overdraft' must not exceed its uncollected rate. The Council has power to frame its estimates on April Ist, strike a rate sav- on April 14th, confirm it at the end of -April, and force payment fourteen days after that, and so provide money for the year's work. This, of course, is never done. The law provides that 10 per cent, be added after six months and fourteen days, reckoning from the date on the rate demand. I hope this explanation will satisfv your correspondent.—Yours, etc.. RATEPAYER No. 2.