OTAHUHU RATES.

New Zealand Herald, Volume LXVII, Issue 20668, 13 September 1930, Page 13

OTAHUHU RATES.

PETITION BY BOROUGH.

EFFECT ON GOLF CLUB

REPLY MADE BY OFFICIAL.

The contention „ that the additional revenue required by the Otahuhu Borough Council could be obtained if the borough woro revalued and tho rales paid by property owners in tho main street of Otahuhu were assessed on present-day values, was advanced by an official of tho Auckland Golf Club yesterday in replying to tho discussion in the House of Representatives regarding the rating of the club's property.

Claiming that the remission of half the rates on the club's property at Middlemore imposed an unfair burden on the rest of tho ratepayers of Otahuhu, tho Borough Council recently petitioned Parliament with a view to securing an amendment oT the Act under which this relief is granted to the club. Tho Parliamentary Committee, in reporting on the petition in the House, recommended that it should be referred to tho Government for consideration and inquiry with a view to giving relief to the Borough Council. In support' of his contention that the main street properties were undervalued the . club officials cited the following specific instances: 0110 section with a frontage of 66ft. to Great South Road is rated on unimproved value at £535, but was actually sold in 1929 for £1750, or £26 10s per foot. Tho adjoining section of 33ft. frontage is 7-ated on an \iniinproved value of £l9O, equivalent to £5 15s per foot. A third property of 66ft. frontage, rated at £1485 unimproved value, was sold to the present occupier for £4500. This represents a value of £6B 6s per foot. Another property with 27ft. frontage, rated on an unimproved value of £475, was sold for £2380, or £BB per foot. These instances, taken at random, show that values have increased from £2O to £6O per foot according to locality, and that ratepayers with property in the main street of tho borough escapo paying their just contributions to the funds of the council.

Club's Growing Rates,

If the above increase in specific instances was a truo indication of a similar increaso throughout the length of tho chopping area of Otahuhu, it would appear that a revaluation of the borough would increase the value for rating purposes in tho main street alone to tho extent of £IOO,OOO, which, if done, would give an extra £SOOO in rates, and enable the council to reduce the rates payable by the majority of ratepayers Although market values of th" main street had increased since the last valuation in 1926, areas similar lo that utilised by the golf club had decreased. In proof of that was cited the 39 acres recently acquired by the club, the unimproved value of which, according to tho last valuation, was £3930, but in 1928 it was purchased by the club for £2350.

"As to the amount paid in rates by the golf club," continued the official, "since 1918 tho rates have risen from £l5B to £528, and in addition, sinco 1923 the club lias paid £372 in water rates, an average of £62 a year In return for this the club receives absolutely nothing from the council in the shape of drainage, sanitation or road repairs, which amenities of life are enjoyed by other ratepayers in the borough.

Benefit to the Town.

"Not only in the payment of rates is tho golf club of material benefit to the Otahuhu Borough, but the club has nine permanent male employees, exclusive of the professional and house steward. Tho former employs one apprentice and the latter a staff of one man and four girls and his family. All these employees livo -in -Otahuhu and, it might bo inferred, spend the" greater portion of their wages in the town. In addition the club employs some 60 to 80 boys as caddies whose remuneration averages 7s a caddy a week. All material and stores required by the club and steward are, when procurable, purchased locally and approximately £I4OO a year is expended ia the borough. "This, to some extent, contradicts Mr. A. W. Hall's reported statement that as tho borough mostly comprised work-ing-class pcoplo they wero penalised becauso tho golf course was in the borough. The club contends that it is of material benefit to Otahuhu. With regard to the reported sale of part of the properly for £2OO an acre, this is denied by tho club, which has sold no portion of its land sinco 1917. Mr. W. J. Jordan's re-" ported statement that small fruitgrowers have had to pay as much as £8 a year in rates, infers that this condition ha 3 been brought about through the Auckland Golf Club having its course within the borough boundary. This is hardly correct as a similar state of affairs has been found to exist wherever rates are levied on unimproved values."