THE MELROSE LOAN,

Dominion, Volume 2, Issue 319, 5 October 1908, Page 8

THE MELROSE LOAN,

EXPLANATION BY THE TOWN CLERK. THE QUESTION OF DIVERSION. Tho following correspondence between Mr. F. M. B. Fisher, : M.P., and the city authorities in connection with objections taken to the Wellington City Empowering Bill has 'been handed to. us for publication:— House of Representatives, October 2, 1908. Tho City Engineer, Wellington. Sir, —There are some objections raised to the Wellington City Empowering Bill, mainly on the ground that tho £100,000 loan, known as tho Melrose Loan, was Taised for the specific purpose of laying-out drainage works in the of Melrose j that it 'is, now proposed to divert the expenditure of this money raised for a special purpose in one district to some other portions of the City of Wellington, and that, as a result thereof, the residents of the Borough of Melrose will be deprived of the benefits which they were led to believe they would receive with the said loan. I would be glad, ■ therefore, if you will furnish me with a letter stating in definite terms whethor the Wellington City Empowering Bill is likely in any way to divert any 'of tho money which it was originally contemplated spending on drainage works in Melrose Borough. As it is a matter of the greatest concern to the people of Melrose, I will be pleased to receive an assurance from you up on this point. Yours faithfully, . i . (Sgd.) F. M. B. FISHER. RE MELROSE DRAINAGE LOAN.— £100,000. Sir,—l am in receipt of yours, dated tho 2nd instant, addressed to the City Engineer, re above, who has handed the same to mo for reply. 'It is,.-,a fact that the £100,000' was raised for the specific purpose of drainage works in the borough of Melrose. The engineer's estimate of the works to _be undertaken .under the loqn, however, did not reach this 'amount by sojne £30,000, and it was explained'by the Mayor at the public meeting that it' was,, proposed to raise the larger amount in order t-o deal with possible future requirements of ;-the outlying districts. It ;was therefore considered wiser to take power to raise the full sum of £100,000. Since that time, the district of Wadestown and two portions of Northland have been added to the city. The drainage of these portions is as essential as that'of the late borough of Melrose (now: that they are parts of the city), and it is simply desired to legislatively make the loan applicable to those districts rather than to raise a further sum immediately by taking another, poll of ; the ratepayers of tne • newly-attached' districts. " , You will, therefore, see that the work contemplated in the original scheme, the cost of-which was ' estimated at, approximately, £70,000 .will not .bo in any way interfered ■with, nor will any portion of tho amount of £70,000 be diverted, but tho surplus, instead of being held over for possibilities, , will be applied to the drainage of the newlyattached districts. You will 1 further noto that no injustice will be done to Melrose in the matter of the rate payable by that district to cover interstand sinking fund inasmuch as (if the Act is passed) the new district will pay their quota towards tho same. • , I am, Sir, • Your obedient servant (Sgd.) JNO. R. PALMER, Town Clerk. F. M. B. FISHER, Esq., M.P., Wellington. P.S.—I might also add that the amount available will be more than ample to deal : with the new areas, and there will bo no necessity whatever to • entrench . upon the sum set aside for the Melrose District. J.R.P.