THE MORNINGTON TRAMWAY.

Otago Daily Times, Issue 12394, 2 July 1902, Page 5

THE MORNINGTON TRAMWAY.

THE COUNCIL PREPARED' TO, PURCHASE. At last night's meeting of the Morili|lgton Borough Council, the Mayor {Mr W. Row) said the Tramway. Committee had met, and drafted' a letter 'which' tliay lmd Agreed should'bo sjibnrittcd to the council's, "solicitor in. ofrdip to give him nn opportunity of cooing that it did not coming the council further than was necessary. The solicitor was satisfied with everything in'the letter, which would be read to thp council for its approval. '■ • The ,letter was as follows:— hi, n ' . ,r 2ncl July, JOi®, iue general Manager, Morninglon Tramway Compauy, Duuodin.. Sir, The committee of council, with whom your directors held a conference on the 10th ult., have submitted to the council tho various proposals discussed there, and the council aro now prepared to arrange for'tho purchase of your company's lines, plant, etc., etc., on such Q. valuation bnsis as, a,t the conference your directors expressed their willingness to' subroit, and recommend to your shareholders for adoption, and which may be stated shortly as follows: That an agreement be entered into : under which your company would sell and the council purchase, on a. valuation made by ' valuers (one appointed by the council and one by the company, and an umpire appointed by these two), the whole of your undertaking, tramway line, plant, machinery land, and buildings, both in the City of Duuedin and. in the. Borough of Jlornington; together with whatever goodwill may attach thereto in respect of traffic on the High street lino within' the To\yn Bait, it being understood, and ogreod, that no goodwill shall be claimed, or allowed,in respect oi any traffic to or from Mornington. Will you be good enough, therefore, in accordance with the understanding agreed to at 'the conference, to refer the matter to your shareholders at the earliest date possible, and within (limit yot to bo fixed) communicate the result to us, so that there may be as little delay as possible in arranging n final settlement. Tho Mayor said that practically tho only now matter was tho goodwill on 'the line in High street. ! Or Wood thought they should fix a date within _ which. the company was to send in their reply, otherwise they .might in, dofinitely postpone doing it. Tho Mayor said tho directors ought to bring it before their shareholders at the . annual meeting, which ho understood took pkoe this mouth, but ho could not find that out definitely. Did anyone know what- pro-. 03SS would 'be adopted at the meeting? Would they tako a ballot on the question? Cr Grigg thought' tho company had been given 14 days' notice before they wore palled on to discuss the selling of thp property, and that might again be sufficient ' time. • ' The Mayor said ho would like to bind the company down to' a date, but not to ono that would lie impossible. Cr Anderson said he had understood that at the conference tho directors were to consult tho shareholders immediately after 1 they had tho meeting about amalgamation. Surely tho counoil should have hejird' some 1 word, bv now. They did not seem to have ; takon the least- notice. Cr C'arolin thought the claus'o having reference to the traffic nn the High street line was rather vague. It was a well-known fact that most of tho traffic was on tho High street line, and they took it <(3 far ■ as the Town Belt, and then took it on again. at the Town Belt and conveyed it , down. Tho company might say they, had a claim for goodwill jor all traffic carried , down and up High street. Cr Wills: What about the solicitor's opinion? Tho Mayor said tho letter read both up and down. Cr Carolin had only read half of it. Cr Millar said Hid ratepayers must he consulted b?foro they could conclude the , rmrclinse. They, must tako another vote. Tho late Mayor had. in a letter to the , newspapers, induced the ratepayers to vote on condition that they should be again eon- ' suited. i ! Tho Mayor stated that he had read tho ' letter to Mr Bathgate, and that gentleman , was quite of the opinion that there was no , contract until..the company communicated < with the council, and the council arranged ! for a settlement. Thsro were two things t necessary boforo tho council could con : i cludo the contract: They would require to ] make thoir financial arrangements; and an- ( other thing was the late Mayor had cer- ' tainly given a promise in a letter to tho i newspapers that tho ratepayers would he i taken into confidence again. Mr Bathgate < thought tho council was not bound to do any moro than cany out thoir part: 1 that 1 was to raise the money and see whether 1 the ratepayers agreed with them, the same as the directors ■ must do their part by seeing their shareholders, and getting their opinion, With rcpard to the point raised . by Cr Clarolin, ho (the Mayor) did not know ' but-it might bo mado clearer. The point 0 thoy required to treat very carefully was the agreement to purchase—if they got, that s length,—and that would have to be r<re- u pared by a solicitor. They must see, if a y contract- wes mado, that there was no pos- ' siblo ."lisundersvanding on the Dart,of the i owijvmy. He had asked Mv Bathgate-it b Uw (iiapany chose to accept the letter, #pd «

say, "Very well; ii is agreed. "We will sell on theso terms," "it would beH.WOT'i ing contract, and ho (Mr Bathgate) had replied "No." If thqy mado out tfot2o per cent. of the traifio was not residential the company might claim goodwill for that. The council said that if peoplo irant;to &»•" «• Borough of Mornington at all, thecomp&ny , wore not to bo paid for it, ,- ' . TJip; draft Jotter was then approved wi ' . adopted. It was icsolyed, on the motion' of Or Simon seconded by Or Reynolds, that -before tho letter was sent to tho company's . directors it bo a recommendation to the Tramway Committee to ascertain the shortest time which it' was neoessary to allow fpr a reply to be sent to the council's fetter. Tho ordinary business of the council" WW then proceeded with.