CITY MILK

Evening Post, Volume CXIII, Issue 80, 5 April 1927, Page 10

CITY MILK

SOUND FINANCIAL SUCCESS

COUNCILLOR W. H. BENNETT'S

VIEWS

"When the City Council took over its milk depot four years ago, 1' said Councillor W. H. Bennett, at Kelburn last night, "it had a debit balance in the department. That had to be washed up. There was an over-capitalisation, as happened to many private businesses which had to tear the inside out of acquired premises and remodel them for new purposes, and when a revaluation was made it was fonnd that the Department was over-capitalised £13,000."

At 31st March they might consider that that had been wiped out. They had £6000 in hand towards a new station at Tory street, and had £10,000 put by to hand back to consumers during the next four winter months, because that was the amount they had lost by selling milk at 7d a quart. The difficulty was that they had to pay 85 per cent, more to farmers, and unless they had some policy by which this extra cost could be eased to the consumers it would bo very hard for the working people to find milk for their families. The estimated loss for the four months was £1000, and putting by to meet it was the true form of successful municipal trading.

The Milk Department had caused him more pleasure than any other work done by the council for twelve years. Everybody was satisfied with the conditions of its working. The farmers were also pleased; there were no complaints from them.

"I see that sonio of them have approached the Government with some fancied grievance. They had no cause to complain at all. The laws only came into force on the first of this month, yet they are already making trouble about fancies. Last season we suggested that the control of the nearby farmers be taken over by the Agricultural and Health Departments, and that the City Council should be out of it altogether, but tho Ministers knew too much, and insisted that the council should carry out the original Act, and maintain control. The responsibility rests on us to see that the farms are kept as they should be, and when they are not (here Councillor Bennett gave instances) we see that conditions are improved in the interests of the citizens."