EGMONT FINANCES

Taranaki Daily News, 10 April 1935, Page 12

EGMONT FINANCES

COUNTY LOAN CONVERSION CR. TOSLAND AGAIN OBJECTS. BASIS OF CONSOLIDATION.

At the Egmont County Council meeting yesterday correspondence was received from the Local Government Loans Board relative to the county’s loan tonversion scheme, stating that when an indication had been received that the council was satisfied with the scheme the matter would be considered by the Loans Board. Cr. J. Tosland again objected to consolidation of the loans. A firm of financial brokers advised of the progress of the scheme it was preparing for loan consolidation. It was too late, after obtaining the sinking fund figures from the Public Trustee, to place the scheme before the last meeting of the Loans Board, it stated, but even if this had been possible it would have been quite impossible for the conversion to be put through before the local body elections took place. The usual procedure was for conversions to take place not earlier than four or five months after the loan conversion scheme had been sanctioned.

The chairman, Mr. W. C. Green, said he had seen the broker, who was all ready and was waiting for the Loans Board to say the word. The chairman hoped he would have been able to get a reply before they went out of office. It looked as if they had been a long time over the matter, and he moved that the clerk write to the broker asking him to submit the scheme. Cr. J. Tosland: What is the scheme?

The chairman said the broker was waiting for the Loans Board to say which one it approved of, consolidation over the whole county, or over ridings. Cr. Tosland said that if the loans were to be consolidated over the .whole county he would not stop there, but would make an application to the Minister. If the consolidation was passed on that basis he could not stop there, but would take the matter outside the country to the Privy Council. He felt that the people’s rights were being taken away by the imposition of an unfair share of the liabilities of other people. One section would have to bear a burden from another part of the county. The chairman said he knew it was a touchy point as far as Cr. Tosland was concerned. They had gone as far as they could, and if they decided to make a consolidation over ridings they would have to submit a proper scheme. Each riding would have to carry its own burden, and if they wanted the area loans for by-roads to remain he did not see that any riding could object. Whether it was a riding or a main county consolidation did not make much difference to him, because if he had to pay a larger share of the rate this would be saved by lower interest generally. Cr. Gibson contended that the question could not be discussed without rescinding the previous resolution. DEMAND FOR FINALITY. The chairman said he did not care how the matter was finalised, but he wanted to see finality. He referred to a letter appearing in the Daily News criticising the county council for its operations. “Do you know anything about it, Mr. Pihama?” he asked of Cr. Tosland.

" In reply, Cr. Tosland said he thought the letter had originated as the result of the council blinding Nopera Road with earth. This became light dust in dry weather and did damage to the wool of travelling sheep before shearing. He thought this work of the council had caused the criticism of ratepayers. He pointed out that the council had gone back on its policy of road improvements and had decided to mark time when the slump came on. Cr. Farquhar: We haven’t let our roads go back. I object to Cr. TOsland’s assertion that as a council we have thrown dirt on the roads. -

Cr. Tosland explained that he was not accusing the council of allowing the roads to go back, but said the council had to abandon the progressive policy of doing a fresh section of road each year, and had made shiffr during the depression with patching. He considered this would have to cease, and the progressive policy would have to be resumed.

The chairman admitted that light material had been put on the roads, but said this had the approval of the riding members as a whole. Furthermore, the council did not have enough money to do any more and had struck a low rate. Cr. Tosland agreed that the earth coating did serve a certain usefulness, but he said the material was so light that it was blown away. He considered it would have been more economical to have taken gravel froAi further afield, even if the council had to wait a little longer. “We are wasting time. I have had enough of this,” said Cr. Farquhar, as he proceeded to leave .the table. The chairman: Please resume your, seat, Cr. Farquhar. You can raise a point of order.

Cr. Collins: I raise a point of order. Too much latitude is being allowed in this discussion. There is more behind this than clay blinding on roads! Cr. Gibson voiced objection to the reopening of the loans conversion discussion.

The chairman said that if the Loans Board rejected the council’s proposals the matter would have to be reconsidered, but until then the present position would stand.