CITY FINANCES

Dominion, Volume 31, Issue 71, 17 December 1937, Page 12

CITY FINANCES

Accounts Compared With Estimates POSITION REVIEWED Overspending By Some Departments

A comparison of receipts and payments plus commitments with estimates at November 30, 1937, on the general account, was submitted l>y the city treasurer, Mr. B. 0. Petersen, to last night’s meeting of tn® Wellington City Council. “The position of the receipts as a whole is considered satisfactory,” his report stated. “The total receipts to November 0, 1937, are £369,007, representing 48.18 per cent, of the total estimated receipts for the year, as compared with 47.24 per cent, tor the same period of last year. Encroachment fees, licences, aerodrome rent, miscellaneous receipts, had already exceeded the estimate, the total excess being £l2Bl, the report continued. Present indications were that building fees, library receipts, vehicle inspection fees, and zoo receipts would not reach the estimate by the end of the financial year. Vehicle inspection receipts were particularly disappointing. on Kates collected to November 30, 1937, current and arrears, represented a collection of 39.16 per cent, of the rate levy for the current year, as compared with a collection of 40.83 per cent, for last year. Every endeavour was being made to ensure that the total receipts budgeted for would be in hand by March 31, and a strict supervision was being maintained to prevent the accumulation of arrears. Rents, licence fees, various debtor accounts and water fees were in a very satisfactory position. Rate arrears were being progressively reduced and should show a satisfactory position at March 31 next. The rate position could not be accurately gauged, however, until after the penalty date. Committees’ Accounts. Details of the various committee accounts were set out as follows: — Works Committee.— Allocation, £194,480; expenditure for eight months, £131,653. On the basis of eight months’ apportionment of the vote there is over-expenditure on waterworks, street works, scavenging and street watering, refuse collection and sanitary services, and an under-expenditure on the remaining items. The over-expenditure on the total vote is £2OOO, and this is due in the main to increased wages under the new award and to the purchase of bulk supplies of bituminous materials. Air-Port Committee. — Allocation, £1850; expenditure for eight months, £1492. “This vote is considerably over-spent, there being only £358 available for the balance of the financial year. The over-expenditure has occurred mainly on maintenance of flying field and maintenance of instruments. It is apparent that the year’s allocation is not sufficient to meet the requirements of this service. The expenditure approximates £2OO a month, and the total over-expenditure at March 31 will be between £5OO and £600.” Reserves Committee. — Allocation £40,985; expenditure for eight months, £25,519. “On the basis of eight months’ expenditure, the allocation for golf links is over-spent by £192; this is offset by under-expenditure on the remaining votes. The total expenditure is within the estimate.” Libraries Committee. — Allocation, •14,500; expenditure for eight months, •10,499. “The expenditure on libraries ms exceeded the eight months’ alloca:ion by £832. Over-expenditure has ocntrred on the purchase of books. With :he falling-off of library receipts and in excess expenditure, on the basis of light months’ apportionment of the rote, it is essential that care should be ixercised to curtail expenditure for lie balance of the financial year.” By-laws Committee, Traffic.—Allocalon, £17,890; expenditure for eight nonths, £11,792. “The expenditure to lute is within the allocation. The rea;on for this is that the provision made .'or vehicle-testing equipment has not, ip to the present, been utilised. If, lowever, the equipment now on order :omes to charge during the present jnancial year, the vote will be exieeded.” Health Committee. Allocation, £9894; expenditure for light months, £6376. This committee’s ixpenditure is within the allocation to late. There has been an underjxpenditure by the cemeteries section ind an over-expenditure of £220 on public health. Further over-spending mi this vote should not be permitted. Expenditure Outside Committees. Printing and stationery vote: "£l5OO was allocated to cover printing and stationery requirements and £ll2O has been expended, leaving £3BO only for the balance of the year. The indications are that this allocation will be over-spent.” Contingency vote, £4000: “This vote has been fully allocated, £3OOO to the new Central Library, £97 to the King George Memorial Fund, and the balance, £903, to the housing survey vote to meet the cost of the extended survey.

“The balance of the expenditure votes do not call for any special comment. While there has been overexpenditure on a number of votes, such over-expenditure is not large, approximately £3660, and there is still sufficient time before the close of the financial year for the position to be corrected provided strict supervision is exercised.” Mayor’s Comment. The position was quite satisfactory, said the mayor, commenting on the statement. Some of the departments were over-spent in proportion at the present time, and it would be necessary for those committees to watch the position. One of those was the works committee and there were also the libraries and the airport committees —the latter because too little had been allowed for it.

Cr. W. Appleton, chairman of the works committee, said £4OOO bad been spent on plant and equipment, and that would be non-recurring. The works were all well in hand and the position was really quite satisfactory.