“RATE INCREASE NOT ALARMING.”

Star (Christchurch), Issue 17880, 23 June 1926, Page 10

“RATE INCREASE NOT ALARMING.”

SURPRISE EXPRESSED AT COUNCILLOR AGAR’S STATEMENT. “ There certainly has not been an alarming increase, ” said Mr Waiter HilL chairman of the Christchurch Drainage Board commenting on a statement made by Councillor C. P. Agar at Monday night’s meeting of the City Council that the increase in the board’s rates was certainly alarming and would be inquired intoMr Hill said that the reference was probably to the. rate for the £700,000 loan which had been raised from

29-64ths of a penny in the pound on the capital value last year to 49-64ths this' year, or'nearly doublc. “-The explanation is quite simple,” said Mr Hill. “The rate* will go increasing each year until the whole: of the £700,000 loan' is expended and the board has authority to rate up to a penny half-penny in the pound, but it is hoped that that will not be necessary.” The amount to be raised for • the £700,000 loan over the whole of the special loan area this year was £24,000, as compared with £13,500 last year. About half of the special area is included in the city. The sewered area does not contribute anything for interest and sinking fund on the loan. With regard to the increase of o-64ths of a penny in the pound in the rate for the sewerage area, Mr Hill explained that this was due to last year’s rate not producing the amount estimated, resulting in a deficit of £2OOO at the end of the year. In addition to that amount a sum of £2OOO oyer and above ordinary expenditure had been included in the estimates for improvements to water-course, making it necessary to raise about £4OOO more than was raised last year.