NOVEL POINT RAISED.

Horowhenua Chronicle, 1 July 1933, Page 3

NOVEL POINT RAISED.

WHEN WILL NEW FIRE ENGINE EE NEEDED? FEATURE OF DISCUSSION ON BOARD'S SINKING FUND. Looking to a not distant future, when the question of a reduction of the Levin Fire Board's sinking fund was being discussed, at the meeting of that body last evening, Mr J. C. Milnes forecasted the need of replacing the present engine. Other members apparently did not consider tMs as being necessary within a measureable distance of time.

The sinking fund oh the Board's £1234 loan is at the rate of nine per cent., and the amount invested last financial year on (this [account was therefore £lll Is 2*L The Chairman (Mr F. E. Parker) said that a reduction of 7 per cent, in the rate of the sinking fund would give an annual easement otf £43 each to the associated fire insurance companies and the Levin. Borough Council. That would leave a sinking fund of two per cent., which, in this opinion, was ample. There'had been some discussion in the lobbies of the House on the lines that the sinking fund question should be considered, in view of the very bad years being experienced. The Board should make an effort to secure a reduction, acting on behalf of the bodies it represented. "While I would like to se» an easement of the sinking fund at the moment," said Mr Milnes, "we have to remember that we are to be faced shortly with further expenditure, in a new fire engine. Before reducing the sinking fund, we should consider that. We have roughly six years, at the present rate, to eliminate our liability. The Board should de.cide whether we should go on and pay that off and apply to the ratepayers for a loan, or whether we should endeavour to get a reduction in the sinking fund and apply the proceeds."

The Chairman: I cannot see the time when we will need a new engine. Personally, I think it will last for ever. 'Mr A. H. Clerke said he would like to know wihat Mr Milnes had in his mind with regard to the engine. ('•'There is other equipment coming on the market," Mr Milnes responded. J K *' We may be far away from buying, , but the time will come when we will be forced to'. I think it is only my duty, as' a member of the Board, to bring this matter before it.'' Six years would wipe out the loan liability at the present rate; in another six years the engine would probably have to be replaced. The Chairman: This is on land and buildings. The motor has been paid for long ago. Mr Milnes: A little time ago the Government took a very firm stand in regard to the renewal of loans. i l!he Chairman: They are realising today that that stand is not the best for the country in some eases, and they have given an easement with, re-

spect to Rural Credits and State Advances loans; and that might foe applied in other directions next session. Mr Parker added that the Board) had land and concrete buildings which it kept up-to-date. Messrs Clerke and L. A. Hutton undertook to interview the Inspector of Fire Brigades concerning the prospect of a reduction in the rate of the sinking fund.