Tramway Finance.

Star (Christchurch), Volume LXVI, Issue 20296, 4 May 1934, Page 6

Tramway Finance.

Rate to be Struck

Board Forced to Take Action. RATE of 3-16ths of a penny in the £ was decided on by the Christchurch Tramway Board yesterday, the resolution being carried unanimously. A further resolution proposing a* special meeting of the board for May 19 for the purpose of passing an order fixing a special rate, which will bring the total rate up to Id in the £, was also carried, but with two dissentients. The chairman of the board, the Rev J. K. Archer, who presided over the meeting, said that they had hoped to be able to avoid the imposition of the general and special rates, but the sta’te of the board’s finances made their imposition necessary. When the next special meeting was held, it might be found, upon review of the position, that it would not be necessary to impose the special rate.

Mr E. J. Howard, M.P., who moved the motions, said that the board had engaged accountants who had submitted emphatic answers showing that there was no honest way out except by a rate. The general rate, it is estimated, will show a return of £29,067 and the special rate £8505, a total of £37,572. Referring to the general rate, the following motion was carried unanimously:— “ That steps be taken to make a general rate of 3-16 d in the pound on the capital value of all rateable property in the Christchurch tramway district for the period commencing on April 1, 1934, and ending on March 31, 1935, such rate to be levied and collected by the Christchurch City Council, the New Brighton, Sumner and Riccarton Borough Councils and the Waimairi, Paparua, Heathcote and Halswell County Councils within their respective districts, and to be payable in one sum on the days respectively appointed by the said local bodies for the payment of rates for their respective districts; and that a special meeting of the board be held on Saturday, May 19, 1934, at 10 a.m. for the purpose of passing a resolution by way of special order making such rate and directing the same to be so collected ; and that the general manager publicly notify the board’s intention to make such rate accordingly.” Two Dissentients. The following resolution relating to the special levy was also carried, Messrs C. E Jones and W. J. Walter dissenting: “ That a special meeting of the board be held on Saturday, May 19, 1934, at 10 a.m. for the purpose of passing a resolution by way of special order to provide that, for the period commencing from April 1, 1934, and ending on March 31, 1935, the special rate made for the purpose of the Christchurch Tramway Board conversion loan No. 2 by resolution passed on January 22, 1934. and confirmed on February 19, 1934, be levied and collected at such rate in the pound as will yield £8505. and that the instalments of principal, interest, sinking fund and other charges on the securities authorised to be issued under the Christchurch Tramway Board Loans Conversion Orders, 1933, Nos. 1 and 2, in respect of the loans set out iji the said orders, and also the interest, sinking fund and other securities issued in respect of such loans, over and above the said sum of £8505, and such amounts as may be available from the sinking funds, be paid out of the board’s general fund.” The procedure now is that the special orders will be made at the meeting on May 19. unless the remote possibility of some wav of avoiding the special levy is reached, and will come up for confirmation at a meeting of the board one month later.