ST. KILDA AMALGAMATION.

Evening Star, Issue 19044, 12 September 1925, Page 10

ST. KILDA AMALGAMATION.

10 The bxnioK. Sir, —Being interested in the above topic, 1 Have oecn surprised at, Uie low piano ol me controversy, Tlio following laces are pertinent;— ot. lulcia lias a puoiie debt of consiaeraojy over £ou,uuU. ~ XJio only reausaoie asset, apart from rating powers on oilmens' property at a lair valuation, would leave her with £oU,UUU ot a alienage —Hopelessly bankrupt, it sue did not nave rating powers. The debt per head of her population would be over Li. The city can show a balance-sheet of her trading departments, for which a valuation ol hall a million of money could in all probability bo obtained over and above the whole of the council’s indebtedness, meaning a large credit per head of Dunedin’s population. All credit is due to the councillors and municipal staff of St. Kilda, but they cannot make bricks without straw, however hard working and conscientious they may he. Suburban councillors make the best city councillors, because of the keenness generated in a hard school—a lot to do, and not much to do it with. But facts must bo faced, and St. Kilda must continue to flounder in the slough of despond unless help is forthcoming, either by a loan policy (which moans more rates) or by becoming entitled to a fair quota of the £60,000 municipal income, apart from rates, of the Dunedin Corporation. i favor amalgamation, because largo questions, such as improvements to Victoria road, making a marine drive worthy of the name, planning the future of the domain, tramway extensions, and other important questions will be so much more easily adjusted under a united borough. One is apt to be very impatient with the pettifogging grovelling over a few shillings less or more in rates. St. Kilda must he taken as a unit, and, like (he North-east Valley, the general average will ho about the .same, but with this important difference: That instead of an average expenditure of about 30 per cent, of the rates in maintenance and works there will be nearer 60 per cent, expended, the surplus, as before explained, coming from endowments, trading profits, etc. In every case honorable treatment has been given to existing municipal staffs, also fair consideration to expiring councils, upon amalgamation taking effect.—Yours, etc., J. Rhodes. September 12.

TO THK EDITOR, Sir, —As some of the anti-amalgama-tionists are still .stating that the Dunedin City Corporation use 6 per cent, of the capital value as a basis for finding the rateable value of any freehold property, I thought it would be as well to get some official statement on the matter, and I enclose herewith a letter from Mr Lewin, town clerk, in which he states definitely that the basis is 5 per cent, of the capital value. Surely nothing more need be said on the matter. I understand that Mr Dove intends “exploding this bogey” in one of his meetings, by stating a portion of tho Act on this subject. Mr Dove, however, knows quite well that the Act he intends quoting, and which docs state 6 per cent., is the one which is used for the purpose of transposing unimproved value into capital value for tho purpose of finding the amount of drainage rate required to be paid by St. Kilda ratepayers to tho Dunedin Drainage Board. This clause of the Act lias nothing whatever to do with the raising of general rales. Dir Dove knows this quite well, but it suits his purpose to misrepresent the case. Some of your correspondents still place importance on the fact that Mr Higginson’s rates for Ins rented property will increase. Why should they not increase when he is receiving a handsome rent from the property for which lie pays a paltry £7 a year? One of the principles of rating on the rental value is so as to extrast some of tho unearned profit which these landlords obtain. This phase of taxation has absolutely nothing to do with a householder owning and living in his own house. In his case Die capital value will he taken.

I am sorry that the whole of this controversy has devolved so much into a question of rates. If we join the city it is certain that a few ratepayers wifi have their rates increased, and some will have theirs reduced; hut by far the greatest bulk of the householders will find their rates remaining practically as they now arc. To me, the far more important aspect of this question is the fact that by joining the city we must bo in a better position to obtain all-round improvements in our streets and general conditions. It is not possible for a small borough to work so economically as a larger corporation. Those statements are proved by the fact that tho city Town Hall is run at an expense of 3.61 of their rates, while it takes !).P of our rates to maintain St. Kildn Town Hall. Further Ilian that. St. Hilda, residents are all users of electric light, gas, and trams, and are thereby contributing to the profit which gives city ratepayers Hie handsome profit of £6-1,060.. Surely, if city ratepayers receive benefit o( this profit, wo, in St. Kildn, ought also to get some of the benefits from it. As we arc, wo get nothing. Further than that .the City Corporation has up-to-dno machinery and an efficient staff tor street improvements, where wo have nothing more than a wheelbarrow, a Few shovels, and an antiquated lawn mower Surely this comparison proves conclusively that onr borough would be hotter managed if we joined the city.— | inn. ole., 11. Hali/iday. Sept cmlier T2. | Onr correspondent has submitted_to us Mr Lewin’s letter in reply to Ids inquiry wherein the town clerk states Hint" 5 per cent, of the capital value is the basis for determining flic rateable value. —Ed. E.S.]