THE LOAN PROPOSALS.

Manawatu Standard, Volume XLIII, Issue 1720, 22 January 1920, Page 3

THE LOAN PROPOSALS.

CHAMBER OF COMMERCE'S REVIEW

APPROBATION EXPRESSED.

r lhe large loan proposals of. the Borough Council we're exhaustively discussed at a meeting of tho Chamber of Commerce held last night with the object of defining what attitude the Chamber should take up in conn.■( tion with them. The proposals were subjected to a detailed scrutiny and few opinions of an adverse nature were passed as to the necessity or desirability of the matters suggested. Mr E. 11. Crabb occupied the chair, and there were also present : Messrs C. F. Spooner. W. Park, H. Burrows, J. Murray, L, H. Collinson, W. B. Cameron, T. E. French and 11. Coles. THE CHAIRMAN'S ADDRESS. An outline of tho circumstances surrounding the proposals was given by the chairman. Tlie loans, lie said, were the first that had been asked for since the war .commenced; Tho loans represented the cost ot Works and improvements that were tho accumulation of five years. The amount involved might seem a gross extravagance, but it should bo understood that calculated on a yearly basis the sums expended before the war On Borough improvement? were considerably larger. The water and sewerage works were a pressing necessity. There was, he understood, a pretty general feeling in the community that the Council were too extravagant: that being so it was all tho more fitting that the Chamber should discuss the question from all aspects and if any particular item or items seemed undesirable the Chamber should record its objections. Mr Johnston considered that so far the information on jnanv of the points was too scanty and (he proposals too vague, especially in regard to road making matters. The. .chairman, replied that one reason for the publicity of details not being wider was that the affair had to be advertised five times and any greater voluminosity would creato added expense. In any case few of the proposals in regard to road making were in concrete form. The Council could not tie themselves now to a definite course. The money would be spent as experience and exigencies dictated.

ROAD IMPROVEMENTS AND FORMATION.

1 Tho amount of money asked for in connection with reading was then announced as £20,000. Some discussion ensued as to which streets held prior claim to reconstruction and also as to tiie advantages or disadvantages of various types of surface. The chairman explained that the £20,000 could only be used as an instalment. It would not suffice to cover the whole of the work in the Borough. Mr Spooner endorsed the chairman's remarks and added that he would be prepared to support a loan of £60,000 for loading purposes. Tho nature of the formation was indeed a moot point. Different types were being tried with varying success throughout tho Dominion* The chairman approved, he said, of tho concrete surface on roads traversed by heavy traffic. J Other members expressed opinions on the merits and demerits of other types of surface, but it was generally conceded that a covering of some bituminous maerial was desitable on a concrete road.

Eventually it was unanimously agreed that the proposal to raise £20,000 for roadmaking purposes should receive the support of the Chamber. WATER RETICULATION AND SEWERAGE.

The Chamber then turned its attention to other items passing over matters of sewerage and water reticulation, including l extensive works of that nature in Hokowhitu on which it is proposed to spend £12,000, with expressions ot approval. Other smaller matters incidental to the general roaming scheme such as tho_ reestablishment in concrete of certain bridges and the extension of footways and cycle tracks were also approved. A BONE OF CONTENTION.

When the matter of the expenditure of £7300 on the purchase ot a site for tho centralisation ot municipal buildings was brought up, Mr Johnston was voluble in his disapproval. The chairman said, in connection with' this matter, that it was deemed advisable to have the municipal buildings in juxtaposition. The library at present was inadequate and the congestion that reigned in it loudly called for the housing of the books and papers in a larger building. The Council oliices wero unsuitable and not capacious enough, and tho . gas oliices were almost in another quarter of tho town. . . Air Johnston characterised this item as a luxury and added that the Council had held many good sites in the town and let them go. The only dissentient voice, when a motion for the support of the proposal was submitted, was raised by Mr Johnston, so that tho Chamber agreed to the advisability oi this also. RECREATION GROCNDS.

\n item in the proposals for the expenditure of £IO,OOO in the purchase of aieas of land at Terrace End and West End tor use as recreation grounds was made the subject of a few remarks by the chairman. He said that the areas required would each need to be seven or eight acres, m extent. It was a most desirable tiling m a town that there should be large areas for recreation and the advantage would be felt more and more as the years went on and increased prosperity brought denser population. , . Mr Johnston mentioned an area, ot some 20 acres in Scandhvstreet that he imagined was to be used as a recreation ground. Mr Spooner stated that the Scandia street reserve had not been forgotten and that the Council were putting it in order. The desirability of acquiring- the grounds was endorsed bv'several other members and 'the Chamber agreed that this matter also should not go without its support. THE EFFECT ON RATES. After consideration had been given to all the itcriis Mr Johnston asked what effect the loan would have on the rates. The chairman: Which would bo the better- to have a. town without the up-to-date ficililies of other towns or have them and slightly:higher rates? Mr Johnston said that he would like to know exactly what rise would result. Ihe community were faced with this loan and •later a water-works loan could be expected. Then there would be a tramways loan on ■top of that. , , Members interrupted with the information that the water-works loans had always paid for themselves. , , . The chairman said that it was impossible to answer the question off hand, but he advised anvone desirous of the information to ask tlie Mayor at the public meeting to be held on Friday night. In reply to another question the chairman stated that interest, would be at 5£ per cent., the usual Government rate. , Mr Johnston added that maturing loans would have to be considered. He was convinced that a period of financial stringency was at ha.nd and did not think the loans would be renewed at the same rate of interest, . The chairman replied that in the past the Council had met with no difficulty in the renewal- of loans. In any case the point to be considered was as to whether the proposals were in the best interests of the town. If they were then the burden had to be shouldered. He would suggest that n motion be put that' would sound the Chamber's opinion. GENERAL APPROVAL. Mr Cameron then moved, and it was seconded by Mr Burrows, that the Chamber of Commerce should lend its support to the whole of the loan proposals of the Palmerston North Borough Council. The meeting expressed its entire approval except for Mr Johnston, who registered an objection to the municipal building sites item and also the abattoirs proposal. Ho considered that the abattoirs should be removed entirely to a site further from the town where the unsavoury smell would riot assail the residents that now happen to be in the vicinity.