KARORI MUNICIPAL ELECTION.

Dominion, Volume 2, Issue 496, 1 May 1909, Page 14

KARORI MUNICIPAL ELECTION.

Sir,—ln his recant address to the ratepayers, his Worship the Mayor of Karori , more than once referred to a surplus or /profit from the tramway, and he has been bo reported in the press notioes: This—although quite unintentionally so—is a most misleading statement. No doubt there was a surplus, as -between' the cost of running the cars and the revenue, of £303 as stated, which sum was very properly put to a replacement account, ..but not a. penny has yot boon earned .by the tramway since its in-, ception towards either interest on its cost or a sinking fund, theso charges being still a charge on the rates, which they are likely still to. be.for somo yoars to come., Until .these two charges are. met, it is very misloading ' to. rofer to surpluses or profits on the ; tramway, account. No donbt the prosent line is doing fairly well, but it is still a long way off paying point. If the annual increase in the revenue during the nest four years is equal to the increase during tho past ~ year (£508), which is as much as' can Up expected,. and , tho .'oxtra oost incurred last year in earning it (£134) is not exceeded during the same period, the present lino ■ in 1912, when it will bn carrying about one and a .quarter .'million passengers, should have begun to; earn sufficient to pay interest on the cost of- contraction, but still will not he able to provide any surplus or profit towards interest on the cost of _ tho road widening entailed by its requirements. This heavy chargo will continue then,. and for several years thereafter, to bp o burden on the ratos. (,: A Bection of the ratepayers is showing a feverish anxiety to incur still further losses a much more unprofitable extension of the line, thereby throwing the burdens on their fel-low-ratepayers , who would have to boar tho groater portion of theso additional losses, as thoy. do now of the present losses, and to whom tho extended line would be of no use whatever. '• Our new council would show its wisdom by deferring consideration of any extension until tho present lino to pay its way.—l am', etc.,; JAMES W._ HENDERSON. Karoxi, April 27„ i