QUESTION OF RATE

Nelson Evening Mail, Volume LXXI, 1 May 1937, Page 10

QUESTION OF RATE

FIGURES REGARDING RODING WATER PROPOSALS DETAILS PROVIDED BY MAYOR Figures showing the cost of the Rodmg water supply scheme and the rate necessary were given by the Mayor of Nelson (Mr G. L. Page) to-day, as follows: £ The cost of the headworks. tunnel and main-pipeline is estimated to cost 95.000 Less Government grant 35,000 60,000 City reticulation 28,000 Amount of loan £BB.OOO Interest at 3J per cent., Sinking Fund ]), per cent., equals 5 per cent, on £BB,OOO, is £4,400 per annum. The rate necessary as security for the loan is 6.',d on the rateable value of properties and this rate has an added Statutory 10 per cent. The actual rate to be collected, however, will be fixed after allowing for other funds available and after certain savings on present supply have been effected. Payments which were made last yearon the present system, most of which will be saved when the Roding Scheme comes into operation are as follows: Pumping, £274: headworks, £435; new mains, £1814; surveys, £391; a total of £2914.

These savings together with profits now being credited to the Water Account will be available in reducing the new water rate. The Mayor stated an addition of 4d to present rates should be sufficient to finance the Roding water scheme, and when the country districts are linked up and pay their quota, the rate will probably be as little as 3d.