REVALUATION OF BOROUGH

Timaru Herald, Volume CXXXVII, Issue 19571, 18 August 1933, Page 14

REVALUATION OF BOROUGH

COUNCIL WAIT ON MINISTER AMENDMENTS TO BE MADE TO ACT An intimation that amendments would be made to the Valuation of Lands Act, particularly to Sections 45 and 50, was given a deputation from the Timaru Borough Council by the Hon. E. A. Ransom, Minister of Lands, last night. The deputation, which comprised the Mayor (Mr T. W. Satterthwaite), Councillors H. J. Mathers, W. G. Tweedy and A. M. Paterson, and the Town Clerk (Mr A. E. S. Killick), asked that some modification be made to Section 50 to prevent any applications for revaluations of property after a local body had made application for the revaluation of its district. Case For the Council. After extending a welcome to the Minister on his first official visit to the town as Minister of Lands, the Mayor said that the deputation wished to lay before him for his consideration some things regarding the valuation of the borough which they considered unfair. Possibly the same difficulties occurred in counties, but the Act was at present operating very unfairly so far as the borough of Timaru was concerned. As he was aware, values of properties had fallen considerably, and for that reason the Council had applied as long ago as June, 1931, for a .revaluation of the borough. They understood the difficulties which the valuer-general had in giving effect to such requests immediately, and, no doubt, requests had been numerous owing to the depression. As a result of further representations made from time to time, the Council had received a letter from the valuer-general that though he had not been able to make arrangements to have the borough revalued for next year’s rating, he expected to have the work carried out for the following year, namely 1935-36. The Council was very pleased to hear that the work was to be undertaken, but there was a difficulty which arose in the meantime and which had already been pointed out to the valuer-general. A number of property holders had applied at various times, individually, for a revaluation of their properties under Section 50 of the Act, and that gave them an unfair advantage over other ratepayers. Consequently the borough rates had suffered considerably, and, as the Council had no option in the matter, their finances were upset. Moreover, it was generally the large property owners \pho benefited as they were in a position to pay the valuation fee. Modification of Act. It was understood that an amendment to the Act was to be introduced in the coming session, and the deputation asked that some modification be made to Section 50, which would prevent any such applications being made after a local body had applied for a revaluation of its district. It was considered unfair that any individual property owner should be given preference ewer the other ratepayers. Present applications being made under Section 50 were only for the purpose of obtaining a reduction in the rates, and the result was that the ttiher ratepayers had to pay the rates wmich were thus avoided by those who had obtained a revaluation. The deputation wished him to consider the amendment of the clause. Councillor Mathers emphasised the point of the unfairness of large ratepayers being able to obtain a revaluation at the expense of the other ratepayers. They obtained a low valuation and low rates and were on the best wicket. Councillor Tweedy pointed out that that the fact that such applications could be made was becoming increasingly known, and it was anticipated that there would be a large number of applications sent in. One way which he suggested out of the difficulty was to appoint a number of temporary valuers. That would involve a certain amount of expenditure, but would bring the revaluation nearer and ease the Council’s difficulty. Councillor Paterson said that he considered it unfair that other bodies should be getting something which the Council was being denied, and he expressed a hope that the Minister would do what he could on their behalf. Minister Sympathetic. “The points you have raised are important, not only to ycurselves, but to the whole of the Dominion,” said the Minister, as he rose to reply. “Applications are coming in and they are getting very pressing, even more than pressing—some have reached the abusive stage.” It w r as impossible for the department to cope with the work. That could probably be overcome by increasing the staff, but the work could be done only by capable and qualified men. He pointed out that the Council had a definite revenue which it had to collect, and if it obtained a lower valuation it would have to increase its rates to bring in the same revenue. He realised that there were certain disadvantages under Section 50. He had had a Bill prepared for the amendment of the Act for over two years, but when he had been asked by the Cabinet whether he had had any representations from local bodies in the matter he had had to reply in the negative. Mr Ransom intimated that amendments would be made to the Act, particularly to Sections 50 and 45. He remarked that he was sorry that the Government could not get a little of the country lands under Section 45, for it would be very useful for small farms. He did not think that the valuer-general would have made a definite promise to make a revaluation, but he thought that if the revaluation was made next year it would meet the position. He was considering the possibility of making the revaluation retrospective to a certain date in respect of ratepayers who were having a valuation made now which would not apply to the present rating period but to the next. Unfairness Recognised. He recognised the unfairness of some of the clauses, especially 45. more than 50. He explained that Section 45 provided that if a man were not satisfied with the valuation placed on his land he could take it to the Court and then if not satisfied offer it to the Government at his own valuation. As an instance the Minister quoted a case in which a property had been offered to the Government for a penny. Referring to Councillor Tweedy’s suggestion. Mr Ransom said that the appointment of temporary valuers would not be satisfactory. If the staff were increased they could not put on other than capable and experienced men, and. to his mind, it was undesirable. He had not yet approached the Minister of Finance on the question. and he questioned the wisdom of the step. In conclusion the Minister assured the deputation that their representations would receive his consideration.