COUNTY COUNCIL FINANCES

Southland Times, Issue 23826, 25 May 1939, Page 7

COUNTY COUNCIL FINANCES

Net Credit For Year Of £14,659 CHAIRMAN’S ANNUAL REPORT At the close of the financial year on March 31, the amount standing at the Southland County Council’s credit at the Bank of New Zealand was £17,263, compared with £15,522 at the same date last year, stated the chairman (Cr G. W. Whittingham) in his annual report to the council yesterday. “As an offset to the credit at March 31,” Cr Whittingham added, “the council has contract liabilities totalling £3622. In trading accounts and wages due, the total for the period ended March 31 payable in round figures was £lOOO, and after taking into consideration the subsidy due and payable to the council by the Main Highway Board, a total of £2OlB, the net credit was approximately £14,659. The credit for the previous financial year, after allowing for the above-mentioned deductions was £7172. Considering the volume of business which the council is handling, its net credit is on the low side for economic working, as the major portion of the revenue is not received until the later end of March in every year and a considerable amount of liquid funds is required to finance the wprk during the early part of each year. TOTAL RATES

"The total amount levied in rates by the council this year was £67,217, as against a total of £65,860 for last year. The percentage collection for the 193738 year was 91.47 and for last financial year the percentage collection was 91.8. The total of 1938-39 rates outstanding as at March 31 is £4840. The total power board rates collected for the year were £BO4 and after deducting the council’s commission £782 was paid over to the Power Supply on March 31. The general rate struck last year, excluding hospital board and special rates, was £45,634. The collection was £42,267, leaving arrears totalling £3345 after remissions totalling £22. The payment of rates in the special rating areas has been on a par with that of the payment of general hospital board rates. The county’s rating assets during the year were considerably reduced by the operations of the Southland Adjustment Commission, a total of £6670/12/3 having been extinguished by the commission during the - last financial year. The council has communicated with the Attorney-General and the Minister of Finance , on the matter, claiming, on behalf of the council some relief to offset the amount which the council has lost as a result of the Adjustment Commission’s rulings. Representations in this matter have not borne fruit. SUBSIDY ON RATES "The question of subsidy on rates has been considered by the council on several occasions during the year, and the council still adheres to the principle that all rural local authorities shoula be on the same basis for subsidy in that the amount of subsidy on rates struck or collected should be the same for all rural local authorities. The subsidy during the past few years has been paid out of Highway Board funds. These funds accrue from motor taxation and it is inequitable that the motorists of Southland 'who are ratepayers in the county should receive only a rate subsidy equalling 1/2 in the £l, whereas ratepayers in adjoining and northern counties receive a subsidy of up to's/- in the £l. “The loan debt of the county now stands at £46,275 as against £49,682 last year. The accrued sinking funds total £3548. The loan redemptions during the year were £B3OO, the total debt reduction for the year being £2761.”