INCREASED COST

Evening Post, Volume CXXIV, Issue 50, 27 August 1937, Page 9

INCREASED COST

THE NEW HOSPITAL

GOVERNMENT AID SOUGHT

BOARD'S DECISION

After discussion in committee, the Wellif gton Hospital Board decided last night' to apponit a deputation to ask •the Government to assist in providing iftb additional money now required tor the new hospital block. At a recent special meeting of the boards big increase in the estimated cost of the new hospital building, the nurses' home, and the boiler-house as a 'result of present-day costs compared with costs eight months ago was disclosed. During the discussion at this meeting it was stated that the new aggregate estimate was nearly 25 per cent, above the original estimate. When the board resumed in open meeting last night Mr. F. Castle said he desired to record his opposition to any proposal involving the expenditure of more than £600,000 in the Wellington Hospital Board district at this stage. If the proposal—as he understood it—was to go to the Government and ask it for another. £125,000 to complete the hdspital as suggested, that £125,000 to be a special grant from the Government not involving any additional burden on the ratepayers, that was entirely a matter of Government policy. But he did not think for a moment that the Government would adopt that suggestion. It would mean that every hospital district—every large one at any rate—would have the right and the same expectations of getting a special subsidy from the Government in similar circumstances. "ONUS ON THE BOARD." "I am not prepared to vote for any application to the Government for a special subsidy," continued Mr. Castle. ... "I think the onus is on this board to put forward an alternative •that will bring our. proposed expenditure within the £600,000 which we had in mind, even if we cannot get all we ■would like." "I am largely in agreement with Mr. Castle," said Mr. A. H. Carman, chairman of the building committee. Much as they would like to have a complete hospital there must be some limit to •what should be done as the first stage. If the financial system was different, as he thought it should be, and money for essential public purposes was interest free, they would perhaps spend more. But under the present system and in view of the statements made to the public he thought they should definitely keep the expenditure down to £600,000 or thereabouts. As he understood the proposal the Government was to be asked to make a grant or provide the extra money to bring the sum up to £725,000. He felt it ■was only a waste of time approaching the Government. Mr. A. W. Croskery: "What about an Irish sweepstake? 1 Mr. C. A. L. Treadwell said he did not think they ought to agree that the public necessarily believed that the building scheme was limited to £600,000. That amount did not include the whole of the furnishings. They would be deceiving the public if they led people to think that .the board at the present moment was limiting its expenditure to £600,000. It was a specious argument without substance against which Mr. Carman and Mr. Castle desired to record their votes. .Dr. T. L. Parr said he had always tt;jnsidered the scheme an expensive Kte. If the board'could not finance the scheme as a unit he thought it should abandon it and recast the whole iftjing. - CONCERN OF THE PUBLIC. 'Mr. R. Holland supported the proposal to approach the Government. The board had agreed that the plan as submitted on August 4 was the plan it wanted. The board was almost unanimous on that. He Contended that the people of Wellington were not concerned so much about the actual cost as'with the provision .of accommodation for their sick. Mr. Holland , referred to the closing of private hospitals in the city and said that this would have the effect of greater use being made of the public hospital. Mr. Croskery said that the resolution passed when the board was in committee did not commit, the board in. any shape or form. He was rather surprised to hear people objecting to a-free gift of money. Dr. Parr: It is not a free gift. - Mr. Croskery: I think the resolution passed was to ask the Government to help us out of a financial difficulty. • Mr. Castle: There is no free gift if the taxpayers have to pay for it. In view of the new estimate of the cost, said Mr. Croskery, the board was in the position of having to reduce the figure .by approximately £123,000 or get. that amount. He did not like having a dog without a tail and that was. what it appeared the hospital would be if the board was unable to go ahead with its full scheme; it would be a "half-pie" sort of • job. The amount payable by the ratepayers would be one-fifth more. He agreed entirely with Mr. Treadwell and Mr; Holland. His view was that before they started making a hash of the job they should make the changed circumstances .. known to the ratepayers. The extra amount required was only a flea-bite; it was infinitesimal; He was not a bit afraid of what the ratepayers would say; the board should be courageous enough to say that it set out to try and save costs but that if the plan was not carried out costs would be multiplied. The resolution to wait on the Government was confirmed and a .deputation was appointed.