RATE REBATE

Nelson Evening Mail, Volume LVI, 1 September 1923, Page 3

RATE REBATE

SATISFACTORY RESULT OF NEW

SYSTEM

NEARLY £20,000 RECEIVED

The Mayor (Mr W. Lock) made brief reference at last night s meeting to the new method adopted of levying the rate in one instalment instead of in two as heretofore. The Mayor said lie thought it only fair to explain the position, as he had been opposed to the innovation. As a result of the rebate allowed, lie said, the Council was in a far better financial position for this time of the year than in any previous year. Already they have received rates to the amount of £19,645. Under the old system not a penny of this would have been collected for rates, as the demands were not sent, out until some time, during the month of August, and the rates did not commence to come in until about the middle ol September and the greater part was not collected until the. end of that month. So far as could be judged at present, there should be no necessity lor having any bank overdraft. During the last three days of the discount- period a great rush took place at the. office, ratepayers desiring to avail themselves of the concession. This involved a big tax upon the staff and if was pleasing to record that notwithstanding the great demand upon the staff the cash balanced to a penny. A very large number of small ratepayers took advantage of the cash rebate, and a number of the large ones did not; but generally, both small and large paid the rates. Going oil to refer to the District Fund account, the Mayor mentioned 'that alI though it. showed an abnormal credit

balance of £17,384, and the (las account a credit balance of £4.675, making a total credit of £22,059 oil August 27th, yet they must- keep a watchful eye over the expenditure so that they should not exceed their allocations for the year. lie wished to point out that fiom the £17,384 credit in the District Fund a sum oi £8,519 would be required within the next two or three months to meet payments for interest and sinking funds as they fell due. Of this balance of £8.865 lie suggested that £5,000 should be placed on fixed deposit, as follows: — £2OOO at 3 months: £2OOO at- 4 months, and £IOOO at 6 months. Besides the advantages mentioned above, these sums would be earning interest. This left a working current account after payment of interest and sinking fund as above of £3865. The Mayor’s suggestion to place £SOOO in fixed deposit was agreed to. In reply to Cr Colt-man, the Mayor said the balance on the gasworks account was money actually in hand.

Cr. Nightingale, said that in that case he would move that £2OOO be placed on fixed deposit for 6 months. Seconded hv Cr. Coltman.

Or. Moffntt thought the public should know that the money to tlie credit of the gasworks was to be spent, on building lip the works for the benefit of the town. Cr. Edwards agreed with Cr. Nightingale, but before the motion was put he would like to know if there were any committments to meet.

The Engineer said there were two shipments of Newcastle coal on order; but, lie did not know what the quantity would be . The motion was carried.