UNIMPROVED VALUES SYSTEM.

Otago Witness, Issue 3101, 20 August 1913, Page 3

UNIMPROVED VALUES SYSTEM.

WATER RATING THEREUNDER. Ills Honor Mr Justice Williams sat in Banco on the 13th, when the case of John Soutcr versus tho Borough Council of Mosgiel, was brought before him. Sourer prayed for an injunction to restrain tho council from levying a certain water rate, and alleged that that water rate had been wrongly struck. Mr John MacGregor appeared for Scuter, and Mr Allan for tho council. Tho Borough of Mosgicl is -a borough in which tho rating on unimproved values system has boon adopted, and by tho Rating Act of 1908, section 103, that system does not apply- to water rates, gas rates, electric , light rates, sewerage rates, or hospital and j charitable aid rates, but by tho Rating ; Amendment Act of 1911 the system of rat- | ing on unimproved values is expressly to | apply to these rates. Tho mode of assossI ing water rates is fixed by section 83 of the j Municipal Cororations Act, which provides | for a scale based upon tho annual rateable i value, and varying with the amount of j that annual value, and varying also accord - j ing to whether water is or is not supplied, and can or cannot he supplied. The | difficulty that arose was as to how effect was to be given to the Act which said j water rates were to bo assessed under tho I unimproved value system, and at tho same time give effect to section 83 under its sliding scale. j The defendant borough admitted in its statement of defence that it was not levying its water rates on unimproved value, and counsel for tho borough (Mr Allan) contended that the Amendment Act of 1911 did not require it to do so, and that if it had any application at all it must apply to other water rates than those provided for by the Municipal Corporations Act, such as water rates under the Water Supply Act. Mr MacGregor contended that tho course taken by tho Mosgiel Borough amounted to ignoring tho Act of 1911 altogether, and that it was not concerned - with the difficulties it might experience in endeavouring to give effect to that Act. But it was tho business of the council to find a way of giving effect to the Act. The case was argued at considerable length, after which his Honor reserved his decision, stating that the question seemed to him a very difficult and troublesome one. It has been pointed out that tho Hon. tho Attorney-general is in charge of a Bill to amend the Municipal Corporations Act. This Bill has passed its second reading in tho Lower House, and consequently has not reached its committee stage. If is hoped that in view of these facts his Honor will see his way to deliver his judgment in time to permit of its being a guide to the committee in passing clauses to clear away iho difficulties which seem to surround the whole I question.