GOVERNMENT TENANCIES IN DUNEDIN.

Otago Daily Times, Issue 18049, 24 September 1920, Page 6

GOVERNMENT TENANCIES IN DUNEDIN.

TO THE EDITOB. Sib,—The return callc-d for by Hr Stat ham which, appeared in ycair columns shows that 26 premises are occupied by various departments of the public services in Duncdin at a gross rental of £1218. The motive of procuring this return was to show cause why the Government should proceed with tlio building of a new Post Office that would in addition provide space for all these departments. As present and future conditions make that impossible for many years to come, this aspect may be dismissed. Hut there is another aspect—the financial one.' If and when" possible the Government does build, it is certain tliat it could not erect such a building under £100,000, and it is more likely to cost £125,000. On tJie lower figoro at 6 per cent, this would eoun-l an annual charge of JEGOOO, so that- by renting it would appear to save from £2000 to £3000 per annum. Further, when the departments rent premises it is to be supposed the rent is debited along with wages, salaries, and other expenses to each department, whereas I understand when the departments occupy Government buildings no charge is made, or if made is not shown in the public presentation °f 'il 0 accounts. Henco when we see that the Post and Telegraph Department return laid before the House shows ah. excess of rcoeipts over expenditure it may be that if interest (or rent) of Government buildings occupied by the department were also eliown on ' ; " 0 debit s ' (^e surplus might disap--I>ea;T" m , re ? tal vahle of the various Post and Telegraph Offices .throughout the dominion must run into an enormous sum, such a , s"™ l as might seriously affect a baknoo sheet. These services should bo run on a commercial basis, and should be managed so as to pay their way, including rent, and the actual position shown dearly in the public accounts. The position, I understand, .is that sums aro voted from time to Hmo for these buildings and so far as tho department is conoerncd they as a public business concern got the occupation free. Inability is tipped overboard; they arq a present in effect from the public taxpayer to tho department through the medium of the Consolidated' Inimi It may be, probably is, a fact that any surplus which tlio departments earn is returned to the Consolidated Fund, but this is surely not sound methods. In renting from a private individual does the department or Consohdaied Fund pay the rent? If tho department, then it would be better for it to rent than build, as the return shows it bo done cheaper. But there is, of oourse, the State's contribution, to the mnki a , cU L by the , erection of artistic and central buildings for public convenience, which has to be allowed for. This is I think. ™ W t ak ,P° mt - New Zealand 'the Office bmldings aro frequently a sort of cross V 1 . ca ? tio a gaol, whereas they vt m^°°?- Ing y th commercial builduigs, "with altra-ctiv*? sliops and on<j stneious a^ le present and future require ments The shops would let well, and go far * , P:ly T ° n eoet'of JLtniZ I am, otc., Sr.r.F-surpoiiTiNG.