THE CITY'S FINANCES.

Evening Post, Volume LXXVII, Issue 137, 11 June 1909, Page 6

THE CITY'S FINANCES.

"Ugly" was the slightly alarmist word used by the Mayor (Dr. Newman) last night when describing certain facts of the city's finance. The general tenor of his remarks was that municipal matters had reached that state popularly known as a "pretty pass,'' and councillors would need to be vigilant night and day to make amends for mistakes of the former administration. By investigations, not at all clear without further explanation, the Mayor had obviously convinced himself that the city's managers last year had strayed beyond the bounds of prudence, and it was his duty to gel the city's affairs on a safe, satisfactory basis. The chief reason for Dr. Newman's semistartling speech was the fact that on 31et March last the city's overdraft stood at £45,800, and his belief that a loanof £15,000, raised for the abattoirs, had been diverted to the, payment' of aji old loan that had been matured. This statement, of course, implied that th» Mayor's predecessor had taken upon himself responsibilities that exceeded his warrant, and the Hon. T. W. H^op has been prompt to deny that he took any such line of conduct as t'/ie one mentioned by the 'present Mrtyor. Mr. Hislop states that a sum of £15,000, borrowed for the abattoirs.., was used for this undertaking ;* his words give the denial direct to the contentions of Dr. Xcwman, In the matW of the overdraft, a sum of £27,000 appears against street-widen-ing, £16/JOO against electric light, and £2800 p^gainst tramways. There was no loan money available for the streetwide^ndng scheme ; but, as leases of buildings on the frontages concerned vvere falling due, it was necessary for the council to come to terms with the owner Delay would have merely increased the price to be paid by the citizens for the comfort, and members of last year's council failed to see that there was any call for Dr. Newman's gloomy tone. Presumably, with a greater knowledge of the points at issue than Dr. Newman, they, had a greater confidence in the' stability of the finances. Some of them admitted that the loan proposals, whose rejection is blamed for an element of complication in the accounts, should have been more fully explained to the ratepayers. Why did they not press the point at the proper time? They had cufficient reminders from the press, and should have bestirred themselves to ensure that, th.c ratepayers would no~t lack a vision of the alternative, if they failed to see the reasonableness of voting supplies for tramways and electric lighting. The ratepayers were justly blamed for their lamentable shortsightedness, but they are able to retort that the council, as a whole, did not do its full duty in taking the citizens thoroughly into its confidence about the citizens' business. For the next twelve months Dr. Newman hopes, by rigid economy, to keep the expenditure on the general account nvithin the revenue (£142,627)^ with the I rates at last year's 'figures. The dominant note of the election campaign was economy, within reason, but not the false economy which saves pennies at the cost of pounds. Day after day. it was urged in The Post that the city's need was a council of prudent men, who would, however, know how to spend money wisely and well when a call came. The point at issue now rather concerns matters of the past than affairs of the future. Dr. Newman has been directly positive about some phases of the city's financing, and Mr. Hislop has given a straight-out negative to the Mlayor's positive. We have referred to the points raised, but &till desire more extensive explanations of the position over which the Mayor and the ex-Mayor are directly opposed. A clearance of the air is needed to enable the ratepayers and the council to behold each other in the true light. I