THE LIBRARY LOAN.

Evening Star, Issue 20089, 1 February 1929, Page 2

THE LIBRARY LOAN.

10 THE EDITOR. Sir, —Looking back and studying the financial juggling and tactics of our present City Council I have often wondered what our ratepayers had in the back of their minds when they placed the present council in charge of the council’s affairs. Most of the present council are big business men, apparently successful,' but judging them by their administrative ability as councillors I am sure that they must be very thankful for the efficiency of their private business staffs. When in years gone by the council launched into business and instituted trading concerns it was generally understood that after administrative expenses, depreciation, interest, and sinking fund and extensions were provided for the balance of profits was to bo used in the relief of rates. How has it worked out? Every year rates have increased. True, 2 per cent, of the profits are set aside for relief of rates—i.e., on paper. This money is not used for lowering of rates, but is used as working capital for work which would otherwise have to be provided by an increase of rates or by loans. Thus work can be carried out by this means which, if put to the ratepayers to bo provided by loans, would probably be turned down. Thus this little bit of financial juggling preserves to the council the means of ignoring the ratepayers. The same Mussolini methods were used when the Town Hall was foisted on to the ratepayers after twice being defeated at the polls. And have wo heard the last of the Town Hall? We know what the original contract was, but who has financial ability to forecast what the extras are going to mount to? Time wall tell, and it will not surprise me if the ratepayers get a shock.

Pass to Waipori. If over the history of Waipori is written it will be clearly shown that more money has been wasted than would have built Waipori twice over. What the muddle over the wall for the dam will eventually cost the ratepayers no one knows, but they will muddle through. “ Look at our profits from Waipori/' quotes the council, but look what our profits ought to be had the whole scheme been administered wisely. Surely these big business men must realise that wasted profits are classed as losses. Turn to unemployment. Last year rates were raised to provide £5,000 for unemployment. One councillor wanted the sum to be £IO,OOO. This was turned down by the council as impossible, yet a few months later £5,000 was provided out of revenue for Museum extensions—a loan necessary to provide £5,000 for human relief, £5,000 out of revenue to house dead animals! Turn to the gas department. Our demand at present is about 1,000,000 cubic feet. Our new plant develops 2,000,000 cubic feet. Was such a large plant necessary? When Dunedin with all its gas connections as at present can only consume half our output, is it not fair to assume that by the time our town increases 100 per cent, to consume our present output the present machinery will have to be renewed? So why the expenditure at present on such a large plant? Inter alia, what has happened to the suggested supply for Green Island? When I suggested through your columns the question of the legality of the expenditure, at the next meeting of the council it was referred back to the committee for_ reconsideration. Since then no public announcement has been made, except that the Gas Committee’s report was adopted. Has the council found out it was caught in a blunder which it wishes to keep from the ratepayers, or is tbo work to be carried on on the quiet? Then we have the Arcade proposal, which is past history ; the expenditure on King street to keep motorists off the main street, which it does not do • the blocking of our streets with parking areas to the detriment of tramways revenue; the juggling with bus stands to the detriment of tbo travelling public and bus proprietors, with the idea of strangling opposition to try and bolster up a never-ending loss on corporation buses. Now, with business stagnant, unemployment rife, _ and money scarce we are asked to raise a loan of £15,000 for library extension, which at present costs us £5,000 per annum. Surely with a winter facing us which will tax the council’s purse to provide means for unemployment—which, in my opinion, will bo far worse than last year—the extension to our library can'be well left over until such times "as our revenue is buoyant enough to dispense with loans. If the council in its apparently mad desire to raise a loan by hook or by crook before it retires will bring forward some scheme which, while providing work, will be revenue-producing, good and well. But this continued application for loans which mean work for certain big linns and are a dead-weight burden to ratepayers is absurd. I trust the ralenayers will wake up and at the ballot box show tbo present council that we are not all fools.—l am, etc., February 1. T.M.