DUNEDIN’S STREETS.

Evening Star, Issue 22514, 5 December 1936, Page 16

DUNEDIN’S STREETS.

Aw important recommendation by tho Finance Committee will come before tho City Council on Monday evening. It is proposed that a loan of £IOO,OOO shall be raised for the purpose of constructing channels and footpaths and allied accessories. Maintenance operations are naturally paid for from revenue, but it may reasonably be claimed that the street extensions inseparable from the growth of a city should be financed in other ways. Years ago Mr John Wilson, who was a most energetic chairman of the Works Committee, prepared a schedule in co-opera-tion with the city engineer outlining a programme of desirable works and advocating a loan for the purpose. This was not carried further, for it was considered that the time was not propitious for raising money, as the interest bill plus sinking fund would have meant a substantial increase in rates. To-day the position is different. The Finance Committee’s recommendation contains the provision that the raising of a loan would be dependent upon the grant of a State subsidy from the Employment Promotion Fund. Further, interest rates have dropped considerably, and money could no doubt be obtained at 3-lf per cent!; but on to that would have to be added sinking fund provision, which would bo fixed by the Local Bodies Loans Board, and would probably amount to 2 per cent. As the arms of the city stretch out and new buildings cover previously unoccupied areas, the work of street and footpath construction must necessarily entail heavy cost. A walk around the outer suburbs should convince the most casual observer that the residents in many cases are put to great inconvenience through the lack of adequate street and footpath facilities, a condition of things that is not expected to prevail in a modern city. Dunedin comes under criticism by visitors at times on this point, and also in the matter of our street-cleaning operations generally. It is provided in tho Finance Act No. 2, passed this year, tjiat local authorities may borrow without a poll of the ratepayers for public works subsidised out of the Employment Promotion Fund. The Act furnishes a safeguard for the ratepayers in Iho matter, for it is laid down that at any time before the date fixed for the confirmation of a resolution to raise a special loan by special order, not less than 5 per cent, of the ratepayers may demand that a poll be taken on the loan proposal. This percentage is a small one, so that it will be on tho ratepayers’ own heads if, feeling dissatisfied with the council’s intention, they fail to have the matter tested by a poll. Though such a sum as that indicated could be spent to advantage, regard must be had to the tendency of

the council to increase its expenditure. Moneys have been held from the renewal funds to provide for higher costs, and the . tramway fares are to be increased. It has been proposed that new municipal offices should be constructed, a suggestion that seems to be quite uncalled for at the present time. The immediate loan proposal would certaiqly help to provide useful employment if the works suggested were put in hand, hut it is obvious that if lavish expenditure is undertaken by the present council there will bo no alternative to a substantial increase in the rates, which would not be to the advantage of workers or others.