CONDITIONS OF LOAN

Dominion, Volume 27, Issue 74, 20 December 1933, Page 16

CONDITIONS OF LOAN

New Paremata Bridge

RATE OVER WHOLE COUNTY

The Hutt County Council has received the following letter from the Local Government Loans Board relative to the Paremata bridge and road loan: — . “By direction of the Local Government Loans Board and pursuant to section 6 (2) of the Local Government Loans Board Act, 1926, I hereby notify you that, at a meeting held on November 29, 1933, the Loans Board sanctioned the borrowing by the Hutt County Council of the sum of £ll,OOO in respect of a loan to be known as Paremata bridge and road loan, 1933, for the purpose of: (1) Constructing a two-way hardwood traffic bridge over the Porirua Harbour near Paremata and erecting a tollkeeper’s house and tollgate in connection therewith; (2) paying costs of laud survey, engineering, legislation, advertising, fencing, etc., in respect of the necessary access road from the proposed bridge site to Plimmerton township; (3) meeting preliminary expenses in connection with the proposed work, subject to the following conditions: (1) that the said loan shall b e subject to authorisation by a poll of the ratepayers over the whole county, and shall be secured by a special rate to be made and levied over the whole county; (2) that the term for which the said loan is borrowed shall not exceed thirty (30) years; (3) that the rate of interest payable in respect of the said loan shall not exceed four pounds five shillings (£4/15/-) percent.; (4) that the local authority shall, before borrowing the said sum or any part thereof, make provision for the repayment thereof by establishing a sinking fund of not less than one pound fifteen shillings (£l/15/-) per cent, per annum, calculated on tlie amount to be raised; (5) that no portion of interest or sinking fund shall be paid out of loan money ; (6) that the rate payable for brokerage, underwriting, and procuration fees in respect of the raising of the said loan or any part thereof shall not, in the aggregate, exceed i per cent, of any amount raised; (7) that payment of interest and repayment of principal in respect of the said loan shall be made in New Zealand; (S) that the loan is not to be raised or the works commenced until plans and specifications have been approved by the Public Works Department; (9) that the local authority shall insert the following clause in the advertisement required under section 10 of the Local Bodies’ Loans Act, 1926, and in the voting paper: ‘That the Local Government Loans Board draws the attention of the ratepayers to the fact that in its opinion the raising of this loan will result in increased rating for at least two years to meet interest and sinking fund charges on the loan.’— (Signed) IL H. Park, chairman, Local Government Loans Board.” The matter is now in the bands of a sub-committee of the Hutt County Council, which will report to the next meeting of the council.