HARBOUR BOARD

Timaru Herald, Volume CXLVII, Issue 21529, 16 December 1939, Page 16

HARBOUR BOARD

Sound Position Revealed Review Of Year’s Operations A sound position as a result of the year’s operations was revealed at the monthly meeting of the Timaru Harbour Board yesterday, when the chairman. Mr W. T. Ritchie, presented a comprehensive review of the Board’s activities for the year ended September 30. In presenting the report Mr Ritchie remarked that although it bore his name he wished it to be reI garded as a report by the Board rather than by the chairman personally. Mr Ritchie acknowledged the assistance he had received in its compilation from the secretary. Mr G. R. Lee. “The receipts from all sources,” said Mr Ritchie,” totalled £58.301 5 11 which, for comparison with the loan financial table figure of £32,000. must be reduced to £33.234 4 5 by deduction of harbour rate, employment board subsidy, contractors’ deposits and superannuation refunds. Allowance should also be made for £1,235. 17 2 being the 10 per cent, increase in ships’ dues imposed since the table was prepared, giving a final comparative figure of £31.998 7 3. The estimates prepared at the commencement of the year for the two main items of revenue namely wharfages and ships' dues proved to be accurate. The estimated amounts appear in brackets. Wharfage £11,605 £11,500) ships’ dues £16,593 <£16,500). "On the expenditure side the loan financial table allows for departmental expenditure other than loan charges as follows:—Harbourmaster's and secretary’s departments, provision, £9000; actual. £8906. Engineer's department, provision, £1000; actual. £958. It is satisfactory to note that the expenditure is within the permissible amount and that the items included in the plan under these headings are being proved to be practical. Finances Reviewed “The revenue account for the year ended September 30. 1939, resulted in an excess of receipts over expenditure of £23.102. 1 11 to which must be added the Harbour Rate of £11,560 11.2 making in all £34.662 13 1. (Depreciation has been disregarded for the moment.) This sum was disposed in . the following manner:—(l) Interest on loans £9815 14 6; <2) loan indebtedness reduced by retiring debentures and sinking fund contributions £12.294 3 7; (3) payment to R. and R. Fund £BBl 13 3; <4» investment in the equalisation fund £12,800. To summarise the above, the sum of £9,815 14 6 was spent on loan interest and the balance £25,975 16 10 was applied, in the several directions above towards an improvement in the general finances of the Board. “To arrive at the exact position,” explained Mr Ritchie, “the above sum of £25,975/16/10 must be further increased by the net earnings of the various investment funds, as follows: < 1) Renewal and reserve fund investment earned £3,262/3/7; (2) equalisation fund investment earned £756/5/9; <3) sinking fund investment earned £241 11 7; <4) sinking fund loan of £242.000 earned £lO6 16/-; total £4,376 16 11. making a cash improveI ment in all of £30.352-13. 9. “On the other hand no provision in I the form of cash or investments outi side the Board was made for depreciation. This is hardly necessary while the loans are being repaid at the present rate as the ratepayers of the

harbour district could not reasonably be asked to subsidise both the purchase of the various assets per the medium of loan amortisation; and a depreciation fund to provide for their replacement in the future. However after taking into account the sums spent on maintenance of the various assets the depreciation figure is placed at £5,039. 12/2. This leaves the net improvement in the position of the Board for the year 1938-39 at £25,313/1/7. Organisation and Staff “A notable feature of the Board’s work during the year was the formation of three separate committees for Finance, Works and Trade and Revenue. The above committees have met monthly and the value of the reorganisation has been reflected in the closer control exercised by the Board. The Trade and Revenue Committee was empowered to add to its members from persons other than members of the Board and the services of some twenty citizens, all in key positions, were thus co-opted in

the interests of increased trade. The increased attention which the Board devoted during the year towards the promotion of trade resulted in the appointment of a commercial officer. Mr G. R. Lee undertook the work in addition to his duties as accountant. Later in the year a reorganisation of staff was made to enable each officer to undertake work for which he was better suited. Mr F. Metson became treasurer and Mr Lee. secretary to the Board. Mr Lee retained the duties of commercial officer. The illness of the Harbourmaster and his need for a holiday were met by obtaining the services of Captain Cox. I Harbourmaster at Oamaru, when necessary. The thanks of the Board are due to Captain Cox and the Oamaru Harbour Board for the assistance rendered. Appointments to the position of Second Sailing Master and additional Second Engineer were made on Dredge “No. 350" as a result of the double shift. An appointment to the position of diver was made, but as the appointee was an ex-member of • the Navy he was unable to take up the appointment as the outbreak of war intervened. “I would like to conclude,” said Mr Ritchie, “by expressing my appreciation of the keen interest with which the members of the Board have met the problems of the period under review and also of the work of the staff during the year, which has in many ways, been a difficult one by reason of sickness on the one hand and the gathering momentum of the loan programme on the other.” Several members commended Mr Ritchie on the comprehensive nature of the report which was adopted.