FOXTON HARBOUR BOARD.

Manawatu Herald, Volume LIV, Issue 4411, 30 October 1934, Page 2

FOXTON HARBOUR BOARD.

MONTHLY MEETING. The monthly meeting of the Foxton Harbour Board was held in the Board’s office yesterday, presided over by Mr J. A. Nash, M.P. Also present were Messrs W. E. Barber, Jno. Ross, IT. Osborne, P. W. Goldsmith, F. C. Raikes, and the secretary (Mr R. Rangilieuea). Apologies for absence were received from Messrs A. J. Kcllow and the Chairman (Mr J. Linklater). MOTION OF SYMPATHY.

On the motion of the Chairman' it was decided .to express the Board’s sympathy with Mrs E. IV. Bills in the recent serious accident which befel her husband while working on the local wharf. It was also decided to forward a letter of sympathy to Mr Bills. REPAIRS TO WHARF. The District Engineer, N.Z.R., wrote estimating that it would cost £25 to repair the Foxton wharf if skilled labour was engaged and a little more in the event of casual unskilled labour being placed on the work. The secretary reported that the local committee had considered the matter and had decided to engage local mien on the job under a skilled Railway man. The work was now well in hand and progressing satisfactorily. The action of the local committee was endorsed. INCREASED RENT OBJECTED TO. A number of objections were received in connection with recent increases in rent imposed in connection with a number of Beach sections where the leases had expired. While several cases were preferred to the local committee for further consideration it was decided in regard to the bulk of the objections, that objectors be notified that the Board cannot see its way (dear to make any alteration 'in the rents fixed and that if tenants are not satisfied they have the right to have the matter settled by arbitration. BEACH STALLS. Mr J. B. Coley waited on the Board with a request that he be allowed to conduct a fruit and vegetable stall at the beach on which he would offer for sale the produce of relief workers.

After some discussion it was decided to refer the matter to the local committee with power to act. BOARD’S FINANCIAL POSITION The secretary tabled an audited balance-sheet for the year ended September 30th, 1934. The income and expenditure account showed expenditure for the year as totalling £1971 16/C and income £2299 10/-, showing a credit for the year of £327 17/0. Inward wharfage was shown at £1341 5/2, outward £34 17/2, pilotage £142 14/-, river lighting £O3, berthages £33 10/-, rents £590 12/9, camp site fees £32 19/0, storage £33 13/8, and Sanatorium Road levy £2l 3/9.

Commenting on the statement, the Chairman said that inward wharfage showed a.' decided improvement. It totalled £1341 5/2 for the year just ended as compared with £942 4/9 for the previous year. All things considered the position was quite satisfactory. During the year the Board had written off the dredge and cradle, £4120.

Mr. Osborne: The balance-sheet certainly justifies our existence. The statement also shows that the wharf is our best paying proposition.

The Chairman, continuing, said that the balance-sheet still showed as assets the artesian bore at the beach and the drag scoop, neither of which were any good. Still they had to take things slowly aiTd these would be written off during the coming year.

Mr. Osborne: Camp license fees show a decide:! improvement. The secretary: Yes, but they go to the Beach Improvement Committee for the next two years. Members expressed their approval of the Board’s position but the adoption of the balance-sheet was deferred until the next meeting which will be the annual one. Accounts amounting, to £41!) 13/5 were passed for payment. LOAN CONVERSION.

Mr J. A Nash reported on the result of his investigations in Wellington regarding the best method of converting the Board’s loan.

Arising from this correspondence was read from the Treasury suggesting that the Board’s present loan be converted into a “table” loan, repayable by equal halfyearly instalments of principal and interest over a new period of 2‘G years as from March 1, 11)35. The principle advantage of this lay in the. fact that whereas the existing sinking funds earn interest at a rate of 31 per cent., the principal repayments on conversion will actually be the amount of interest which is payable on the loan, namely 4} per cent. —a gain of •} per cent, to the Board under existing conditions. The annual charge payable on a conversion loan will be £B4O 3/8 made up of principal and interest as against £B4O , under present conditions.

The Chairman said that while it was realised that money was being offered very cheaply at the present time and it might be said that the Board could get money at, say, 31 per cent., if it did so it would still have to break away from the Public Trustee who held the loan at present and to procure a fresh loan it would have to produce its balance-sheet and show exactly where the Board stood. While he considered the Board’s position quite satisfactory in that respect,

it might still find it difficult to raise a loan. The security would undoubtedly be trei'e, being a rate over the whole district but they had the late Mr Hennessv’s undertaking that no rate would be collected. Tie favoured adopting the Treasury’s suggestion. Mr. Raikes pointed out that the sinking fund under the present loan would not redeem the loan at the end of the term.

Mr W. E. Barber (Treasurer) considered the Board had little if anything to gain. The changeover would mean that the Board would have to pay £5,800 more than under the present loan. The current one matured in another nineteen years whereas in the new proposal the maturity date was not for another -26 years. He admitted, however, that the present loan would not be wiped out at the end of the period whereas the other one would.

IMr Goldsmith ( considered the Board would not be able to better the Treasury suggestion. Interest was 4j per cent, and the loan would be cleared off on maturity. Mr Barber considered that some more information was wanted before the Board committed itself. It should (know exactly what the conversion was going to cost as it

appeared on the surface as if the Board had to pay £B4O for an additional seven years.

Tt was decided to leave the matter in the hands of Mr J. A. Nasi to submit a report to the nex' meeting.