HARBOUR FINANCE

Hawke's Bay Tribune, Volume XIX, Issue 282, 13 November 1929, Page 7

HARBOUR FINANCE

THE NAPIER BOARD

SATISFACTORY POSITION DISCLOSED.

CHAIRMAN’S STATEMENT.

Mr A. E. Jull, chairman of the Napier Harbour Board, presented the following statement on, the financial workings at to-day’s meeting of the board:—

The annnal accounts for the year ending 30th September, 1929, have been completed and audited, showing commendable promptitude on the part of the board’s staff and the Audit Department. I have pleasure therefore in giving members an early statement of the board's financial workings for the past year, and a few comments on the same, and I am pleased to o able to congratulate members on the very satisfactory position disclosed.

The credit balance at the Ist October, 1928, was £9058, and at the end of September, 1929. tire credit balance was £6OlO. The above figures relate to the actual receipts and actual expenditure without regard to the out standing cash accounts owing to and by the boaid. Last year the cash assets over cash liauiUties showed a credit balance of £9261, while this year there was a balance to credit of £8139. During last year very considerable 'sums were spent oil reclamation out of General Account, chiefly on th Awatoto Block and the Port Ponds, while a largo amount was spent in more permanent protective works on Hardinge road. The follinw shows the chief items on capital account out of revenue: — £ Reclamation work 5454 I’oll ronds 760 Hardinge road protection 1142 £7356 There was also an expenditure out of Loan Account on the 28-acre Block of £5490.

COMPARATIVE FIGURES.

Tho following comparisons from the Income and hxpedituro Accounts oi this and the two previous years will be of interest: — Expenditure: Sinking fund contributions, 1926-27, £4435; 1927-28, £216; 1928-29, £4654; interest on loans, £36,513 £33,U)rt, £.n.sjW; interest on overdraft, £450. £1025, _£■) administration, £8377, £8233, £8533; cargo handling, £12,282, £11,83), £11,518.

Income; Rents, 1926-27, £BO6B, 1927-28, £7941; £1928-29, £7880; harbour department, £12,869, £14,153, £13,122; wharfage department,, £55,773, £56,263, £53,144. A further few extracts from the trade returns of the Port as compared wth the two prevous years show the fluctuations during that period Imports Benzine ’ and kerosene (tons), 1926-27, 19,811; 1927-28, 15,296; 1928-29, 11,364; cement and lime (tons), 5012, 4821, 6798; coal and coke (tons), 27,729, 23,796, 22,161; coal (Government) (tons), 13,029, 8377, 8831; general cargo (tons), 64,904 , 67,983, 10,724. Exports: Dairy produce (tons), 1926-27. 1534; 1927-28, 2947; 1928-21), 2991; beef (tons), 2283, 7195, 4000; mutton (carcases), 439,915 , 445,658, 360,082; mutton (pieces), 10,458, 13.077, 5199; lamb, (carcases), 532,593, 6a8,031, 569,506; wool (bales), 88,269, 101,128, 103,663; wool transhipped (bales), 24,660, 19,010, 21,435.

Shipping: Overseas (tons), 1926-27, 421,087; 1927-28, 491,842; 1928-29, 436,046; coastal (tons), 142,959. 136.236, 129,218; lighters (tons), 71,375, 88,961 81,303; totals, 635,421, 717,039, 646,627.. LOANS. The only loan transaction during ths year was granting of authority to raise £5500 of the unraised portion of the board’s loan authority for tho reconstruction in concrete of the cattle wharf. Since the closing of the accounts £lOOO has been raised locally at 5) per cent., and the balance can be raised as required. The board’s public debt at tho 30th Sep-tmbe-r, 1929, was £554,993. The accumulated sinking funds at th same date amount to £13,848.

Superannuation: The following statement sets out the transactions in connection with the board’s superannuation fund during the year under review:—Nett payments by board £714 15/1, nett payments by employees £709 15/11; total £1,424 11/-; retiring allowances (6) £6lB 14/-, allowance to widow and child (1) £'3l. maternity benefit (1) £6; total £655 14/-; nett amount paid' to National Provident Fund £768 17/-. The employees in the fund as at 30th September, 1929, numbered 51. The board's contribution—included in the figures shown above—on account of the six pensioners amounted to £307 3/-

War Relief Fund: There being no further claims on this fund which amounts to £977 7/-, I propose asking the board to transfer the balance this year to plant replacement fund as suggested last year.

Reserves; A number of old 42-year leases expired during the year and reverted to the hoard with whatever improvements were on them. These areas were in some cases subdivided and offered for lease under tho renewable system. There are a few of them still unleased, but I anticipate they will soon be taken up.

Eastern Pier: The final concrete blocks for this work have been placed and what was a dilapidated structure has been transformed into a permanent work. The lengthening of this mole will no doubt reduce the erosion trouble on the Westshore beach and a further extension would still improve matters when the board can see its way to carry on the work. Cattle Wharf: The reconstruction of the old Cattle Wharf having been authorised the work is proceeding and when completed will make a decided improvement for the handling of vessels into the “Pot.”

Inner Harbour Dredging: One of tho most urgent necessities of the port is the provision of greater depths in the basin at tho West Quay so that vessels may make full use of the new concrete quay and have adequate swinging room. Only a few weeks ago the “Ngntoro” grounded a short, dislance oil tlic quay and was

thereby delayed u uliolo day. 1 am

hopeful that the board may put this in hand as early as possible by utilising the “Apiti” as the “J.D.0.” is too slow and expensive for such a job.

RECLAMATION.

May I say that the board’s efforts during the past year in completing the reclamation of large areas of its endowments is a most satisfactory achievement. The Awatoto block of about 590 acres is under cultivation and when the crop is harvested and the land again ploughed and harrowed, this wonderfully fine area will bo made ready for settlement in small holdings together with an area for residential sections contiguous to schools and transport services, which areas can be offered at a reasonable price. There is nothing that will help to alleviate unemployment more than the making available of land in small holdings and it will not be long before this beautiful addition to tho environs of Napier is dotted with smiling homesteads. A group of some 28 town lots adjoining the High School only awaits some evening up and the road work done as arranged with the Borough Council when they can be offered for lease. The 28-acre block which the dredge started on in January last is ready for reading. The estmate for reclaiming and reading this block was £7,700 and loan money to that amount was provided. The reclaiming alone has cost £5,500 leaving only £2,200 to do the reading, sewering and other work estimated to cost £8,600. It is a pity that the Borough Council’s roading proposals are so high-class and costly, but the board has not been able to induce the council to be more moderate. It may be that the board ’may have to ask the Borough Council to make a special rating area of this block and raise a loan to find, say, half the cost of their requirements. 92-Acre Block: In my last annual rec ;.rt I stated that the Borough Council and the board had come to an understanding as to tho financing of the reclamation of what is now known as the 92-acre block. Legislation was passed giving the two bodies certain powers but an agreement as to details was required before the arrangement could be completed. A general outline of what the agreement should contain was discussed but no agreement has yet been come to. One of the important matters in such an agreement would be the Borough Council requirements for roading, sewtering, etc. Tho Board knows now what the Borough asks us to do in the 28-acre block costing £B6OO, and if we take that sum adding say 7J per cent, for contingencies as being in proportion to the 92 acres, it would mean over £30,000 for subdivisional costs. The reclamation is estimated at £30,000 or more, so we would have £60,000 together with interest on the outlay during construction, less the Council’s contribution of 2) years interest on the reclamation cost. Although the area to be reclaimed is 92 acres, after deducting roads and reserves there will only be some 60 acres available for subdivision and the cost with interest may well run into £65,000. In view of tne very considerable areas now available, the Board is, I feel, acting prudently in suggesting the postponing of this particular work so that the Board may make use of the dredge for urgent harbour work and coincidently obtaining some reclamation of the Port ponds and completing the small area west of Taradale road.

Breakwater Apron.—Loan authority to make and place concrete blocks on tile Breakwater apron to the value of £l5OO was given in the 1927 Act and the sum of £930 has been expended to date. Election.—Tho general election of members of the Board took place this year, when a number of changes in the personnel of the Board were made. The electors gave an unmistakeable indication of their desire for Inner Harbour development. INNER HARBOUR PROPOSALS. Application for an Order-in-Council authorising dredging between tho moles and in the Inner Harbour area has been made to the Department to enable the Board to apply to the Loans Board for authority to raise the balance of our authorised loan. There has been considerable delay in the handling of this matter, one reason being the illness of the Prime Minister, Sir J. G. Ward, whose health I hope will soon be restored. The Minister for Marine informs me that Cabinet is still investigating the matter and now that the session is over and the Minster has more time to deal with matters we should soon hear the result of our application. The Board’s secretary (Mr. J. P. Kenny), who has been absent on leave for nearly a year, returned looking well and hearty and full of information that should be very advantageous to himself and the Board. I have to thank members of the Board for their co-operation and assistance during the period. To the acting-secretary (Mr. G. H. Brown), who has most efficiently carried out tho duties of secretary during the year, the consulting engineers, the harbourmaster, wharfinger and other members of the staff. I desire to record mv appreciation of their cordial ami willing help to me during a rather strenuous yeai.