OTAGO HARBOUR BOARD.

Otago Witness, Issue 2785, 31 July 1907, Page 41

OTAGO HARBOUR BOARD.

THE PROPOSE© NEW LOAN. .DEPUTATION TO THE PRIME MINISTER. (Fkok Ouk Own Cohbespondent.) WELLINGTON, July 29. An Otago deputation waited on the Prime Minister this afternoon with the object of enlisting his assistance in the getting of a Harbour Board Loan Bill through Parliament this Bession. The Hon. J. A. Millar, who introduced the deputation, said the matter had been left rather late, and there was not now time to comply with the Standing Orders. It was, however, necessary for the board to borrow £100,000, and they were desirous of obtaining facilities to get a Loan Bill passed thi6 session. Mr Barclay, as chairman of the Finance Committee of the board, explained the position. He said that during the last few years they had expended £207,000 out of revenue, and of this sum at least half had been spent upon works of a permanent charrcter, and these ought justly to have been charged to <»pital account. A wry considerable sum most, however, continue to be epent upon the general upkeep, but wihile all recognised that importers and traders should pay their fair eh&ne they oould not b-i saddled with the cost of carrying on all ■works of a permanent character. The new loan would not_need to be all raised in one sum, but only as circumstances demanded It was, he pointed out, absolutely necessary that they should have increased wharf and shed accommodation and reasonable facilities for handling cargo. Ac to the board's ability to meet the increased interest, there could be no doubt, its financial position being such that the last bonds, sold only a week ago, realised £109 10s. Sir J. G. Ward: "What was the interest, Mr Barclay?" Mr Barclay : " Five per cent., and that is the smallest price we. have yet received. During the last 20 years the board has carried on without borrowing, but our predecessors did "borrow with a splendid freedom 27 or 30 years ago. Since the 1884 loan was expended, however, we have confined ourselves entirely to our revenue, but we naturally feel that it ia not safe to go on draining so much from the traders and the shipping, and that works which we feel are of a permanent character should go to loan account." Mr Robin said their nredeeessore had borrowed in all some £600,000 or £700,000. When* he joined the board that money was aid spent, and many people said the board would have to go insolvent. They had, however, gone on progressing. He pointed out that the requirements of the Lower Harbour est>ecially needed consideration, so that all vessels that came to New Zealand could go up to Port Chalmers at all events. At Harrington Point they had done considerable work, and £11,000 had been spent on training walls and other permanent works. That money had been well spent. In regard to dredging, their dredge was a good one, but it was utterly unable to cope with the work they had in hand, and a lot more dredging required to be done. He wag sorry they were a little late in making application, but he hoped the Prime Minister would help them in the matter. Mr Ttoss said there was no doubt about their wanting this money to enable them to get a safer entrance, deeper water, and up-to-date shipping facilities. That was the matter in a nutshell. For some years past they had been spending £15,000 a year in permanent improvements out of revenue. Mr J. C. Stevens also spoke of the necessity for the bill. Mr. E. G. Allen then exploded a bombshell in the camp. He began by saying he wanted to make his position clear. Some years ago there was a proposal to increase the indebtedness by £100,000, but it was outvoted. He was opposed to it. At the present time, however, he would not oppose the passage of this bill, provided the loan was earmarked so that the facilities for shipping in the Lower Harbour should be all provided before any money was spent in the Upper Harbour. On these terms only would he be glad to support the passage of the bill. A member of the deputation had stated that there were 14 miles of dredging to be done, but that was not so, and he pointed out that at present the Upper Harbour was in such a condition that the smaller class of vessels couM get up to Dupedin. Mr Barclay said he wished to add a few words to correct the invpreesion that might be left by Mr E. G. Allen's speech. That gentleman had spoken -of an upper and a lower harbour, but they (the members of tho board) knew nothing of the sort. All they "knew of was the Otago Harbour. As to earmarking the loan, that suggestion he con&idered wps a reflection upon the honesty of the members of the board. Sir Joseph Ward said he would bo only too glad to do what he could to facilitate the introduction of the local bill, and also to assist its passage through the House. As to how they were going to provide for the expenditure out of the proposed loan, that was a matter for the consideration of those piomoting the measure, and not one for the , consideration of the Government. He did not know hdw they could get the bill in, seeing that the 30 days had elapsed, but he v.ould confer with the Speaker and see what could be done. He realised that the works they were suggesting were necessary in the interests of the port, and he recognised that capital expenditure should be provided for by" way of loan. That their security -wa« a good one he had no doubt. I The deputation thanked Sir Joseph for , the way he had met them. | Several Otago members from both Houses j were present during the interview.