PROPOSED SPECIAL LOAN.

Poverty Bay Independent, Volume i, Issue 29, 30 July 1885, Page 2

PROPOSED SPECIAL LOAN.

At the Council meeting on Tuesday, the discussion of this subject having been postponed from the last meeting, on the motion of Cr. Joyce, he now stated, in answer to a request that he should first express his views, that he presumed that all of the Councillors wished to do their best for the community. He did not know whether the law permitted them to raise money except for a specified object, but he supposed that would be fully explained by the numerous law-givers they had to advise them. He certainly thought that when they had paid their just debts, and squared up with the Bank, that there would be very little left out of £"10,000. Then, again, he was under the impression that they could not raise money except for a definite object, but he was willing to hear an expression of opinion from others. Cr Kenny thought that from what had fallen from the Chairman on this subject, he should like to hear his oninion.

" The Chairman said the subject was a most important one, and it was very difficult to get a clear expression of opinion from a public meeting. There was no doubt but what the public looked to the Council in these matters, and would endorse whatever course of action the Council took. He did not think it would be advisable to pledge their credit -for fifteen years on £ 10,000, and it would be better to wait three or four months before deciding upon the question. He could.not see the necessity for any great hurry, as the last loan did not become due for a long time yet. It had been urged that the last loan took a very long time to raise, but things had materially altered since that time, and the credit of the place stood much higher now. Also, there was abundance of money to be got just now. He certainly thought they should take a little further time to consider the matter, as there was the question of stone, which would have to be considered in conjunction with the Harbor Board and County Council. Another matter which" he had thought of was possibly worthy of some consideration. If the harbor loan was successfully floated there would be a large sum of money to be let out at interest until wanted by the Harbor Board, and he thought that the Borough might advantageously borrow some of it. He only mentioned this as a suggestion. At the end of some three years he trusted to see the Borough rates very largely increased, and they would then be in a better position to borrow a larger sum. Me certainly thought it would be a pity to pass a

resolution without due consideration which will tie up their credit for fifteen years. Even if they went in for a further loan at the end of that time they would certainly find that a second mortgage was not like a first one. The proposition of Cr Townley to raise a £l O,OOO payable in fifteen years with a Sinking Fund of £"400 a year was either too long or too short as they must certainly soon face the difficulty of a water and drainage question. Councillors seemed frightened at the question of undertaking a drainage scheme, but it was not so formidable as supposed. Of course he did not allude to sewage, as that was out of the question at present. The water was standing in several places

even in the summer, and breeding disease. Why not incorporate these matters with the present propsal. Mr Weaver had informed him that it was possible that water could be obtained for .£4OOO or £"5000, and they should certainly give the matter their consideration. Of course the water would pay for itself and something must be done shortly. He thought the present motion should be adjourned until they got all the necessary information as to cost &c., on these subjects, and then to consider if they could do anything in the matter, and decide upon some good scheme to go to the ratepayers upon. Cr Kenny moved that the consideration of the subject be adjournci for four months. Cr Lewis agreed with Cr "Townley that thej' must have the money ready to pay the loan, but he considered that there was no hurry, and that they could take plenty of time to consider the other schemes before deciding. Cr Joyce thought it advisable to let the discussion stand over for some time, until they considered the subjects mentioned by Cr Graham. Cr Kenny said the Borough was now well known, and their credit was good. They could get the required money very quickly. They should certainly consider the water scheme if it was obtainable for .£5,000, and perhaps they would find that even the drainage scheme would come within their means. Tne Chairman : Of course if people want these things they must pay for them. Cr Joyce : If they are able. Cr Townley wished to know why the question should be delayed for four months. As to getting the necessary data spoken of, it could be obtained in a couple of weeks as there was much of it already compiled. They had been months and months already talking about the same things. If they adjourned this matter for four mdnths what were they going to do for money to go along with. They were already overdrawn to the full limit, and if they raised the £lO,OOO it would renew their credit and give them some money to go on with. If they waited to get up ail the proposed schemes they would only find in the end that t' ey would not be able to undertake them. His own scheme would relieve the Borough of the payment of £3OO a year, and would only extend the payments for a few years longer. He had no objection to an adjournment for a short time, but he could not sec the necessity for waiting three or four months. It wou’d far longer to raise the loan than most people thought. As to borrowing money from the Harbor Board, he was sure that it would be found impracticable in many ways, and if done would be found more expensive than going on the market. There were large sums of money in the hands of the Public Trustee, and he had been about to propose that the money should be borrowed through that channel, so as to keep the money in the Colony. After some further discussion it was resolved to adjourn the subject for one month.