HARBOR PROPOSALS

Gisborne Times, Volume LVIII, Issue 9670, 17 April 1923, Page 2

HARBOR PROPOSALS

' FINANCING THE WORKS

SPECIAL MEETING OF BOARD

A special meeting of the Harbor Board was held, yesterday morning for the purpose of passing formaJ resolutions in connection with the raising of the loan for the construction of the outer harbor. ~ Mr Geo. Smith presided, and there were also present Messrs T. Corson. I. Mirlield, T. Todd, J. Tomhleson, T. Quirk, It. M. Birrell, H. White. The' chairman explained the reason of the meeting, stating that the resolutions were necessary before the people in London would proceed with the negotiations for raising the loan. Three special meetings were necessary, and the second would he held next wdek, and the third one would remain until the new Board was elected. He considered this the xiroper course to adopt. i Mr Mirlield: I don’t agree with you. The new Board might upset ad our work. The Chairman explained that the ' delay could not ho avoided, and, in any case, he thought that confirmation should come from the new Board. He moved:—- N “(I) That the Gisborne Harbor Board proceed to raise, under the provisions of the Harbors Act, 1908,” “The Gisborne Harbor Board Enabling Act, 1919,” “The Gisborne Har•bor Board Enabling Act Amendment Act, 1920-1922,” “Tho Local Bodies Finance Act. 1919,” and the various amendments thereof and in pursuance of all other Acts and.powers (if any) enabling it in that behalf, the special loan of one million pounds authorised by a pod of the ratepayers of the Gisborne harbor district on August 9, 1922, for the purposes mentioned in “The Gisborne Harbor Board Enabling Act, 1919” —namely the construction of an outer harbor within the limits of the Gisborne harbor as defined in the first schedule of “The Gisborne Harbor Board Act, 1905!’ — and for paying the cost of raising such loan for such purpose. “(2) That the loan lie called “The Gisborne Harbor Board Outer Harbor Loan, 1923.

“(3) That the currency of the said special loan shall lie a period of thirty years from January 1, 1924. “(4) That the interest on the said special loan bo at a rate not exceeding six pounds per centum per annum and be payable half-yearly on September 1 and March 1 in each and every year during the currency of such loan. “(5) That the form of security for the payment of principal' and interest of the said special loan shall be debentures and relative coupons in a form in conformity with the provisions of “The Harbors Act, 1908,” namely 10,000 debentures at £IOO each. “(G) That the Gisborne Harbor Board doth hereby appropriate and pledge as security for the repayment of the said special loan and the interest, sinking fund and other charges thereon the rents, profits and dues chargeable and receivable by the said board a.s harbor or other dues or in respect of the harbor works of the port of poverty Bay and upon the special rate mentioned and referred to in Section IS of “The Gisborne Harbor Board Enabling Act, 1919.” “(7) That the said special rate last mentioned shall be a special rate of one halfpenny in the pound, to be made and levied on all rateable property in the Gisborne harbor district by resolution of the Gisborne Harbor Board.

“(S) That the principal and interest shall be payable at the principal banking house of the Union Bank of Australia, Limited, at London, England, or Gisborne, New Zealand. The chairman explained that the £1,000,000 was mentioned right through. This was necessary on account of the wording of the Act. and the sum could not legally be altered. The Board, ‘however, had passed a resolution not to raise more than £750,000, and this was all that would be raised. The rate mentioned was “not more than Ml in the £l.” This, 'However, was the maximum, and ail the Board intended was to, strike a rate of 5-16 d. The solicitors had advised that it would facilitate the raising the loan if Ml was mentioned. Mr Todd asked at whose option the interest was payable at Gisborne or London.

The chairman said that it was possible that some of the money would be raised in New Zealand, and in that case they would not want the interest paid in London. Mr Mirfiekl seconded the motion. Mr Tomhleson said he was pleased to see that the chairman had not forgotten his promise in regard to the £750,000. It had been said, at elcctiCm time, .and he thought it mighthave been forgotten. The chairman said that as long a> he was on the Board he would oppose am- alteration- of the sum.

The following resolution was also carried:—

“That a special meeting of the Board he held at its offices on April 23. 1923, at the hour of noon for the j following purposes :—(a) To confirm i the resolution of the Board passed on j April 16, 1923, to raise the sum of £1,000,000 for the purposes mention{ed in the Gisborne Harbor Board Enabling Act, 1919”; (b) .to pass a resolution to strike a special rate of one halfpenny in the pound on all the rateable property in the Gisborne harbor district to provide interest, sinking fund and other charges on the million loan ; (c) to pass a resolution to provide a sinking fund of one half per cent, per annum annually, after the second year of the loan, during the currency thereof and to appoint the Public Trustee as sinking I fund commissioner; (cl) to ])ass a resolution appointing the Union Bank of Australia, Limited, as agents of the Board to raise the loan of £1,000,009 giving the said Bank authority to issue temporary debentures and incidental authority to complete the loan and agreement to indemnify the bank los,s or damage; (e) to pass a resolution to affix the seal of the Board to the copies of the New Zealand Gazette containing notification that the poll was carried and any other gazettes, statutes or documents bearing thereon; (f) to pass a resolution that pending the raising of the loan that the Board be authorised to borrow from its bankers, the Union Bank of Australia, Limited, or from any other source the sum of £250,000 at a rate not to exceed £6 per centum per annum and that the Board for that purpose be authorised to seal and issue debentures to the value of such sum with relative coupons; that the Board be authorised to seal a deed of hypothecation to tho said bank or other persons to secure the due repayment of such sum and that copies of this and all other resolutions, orders and documents relating to the said one miilioit pounds loan as correct extracts of the minutes of tfie Board be sealed with the seal of- the Board as evidence.”