MUNICIPAL SEWERAGE.

Waipa Post, Volume XXIV, Issue 1410, 26 June 1923, Page 5

MUNICIPAL SEWERAGE.

TOTAL COST OF SCHEME. £4OOO BELOW ESTIMATES. An important statement relative to the cost of installing the municipal sewerage scheme was made at last night’s meeting of the Te Awamutu Borough Council. It frequently happens in undertakings of this nature that estimates are exceeded, and therefore the law allows local authorities to raise an additional 10 per cent on the authorised amount, but in this instance it appears that the finished work will cost 10 per cent less than the amount covered in the original provision as sanctioned by loan The amount of loan authorised was £40.000. The work will cost £36.000, the cost thus being £4OOO below the estimate. Speaking to the Council last night, Mr Toogood slated that the expenditure at the close of the last financial year on 31st March had totalled to £29,904 Is 7(1. Since that date, for the period to 21st June, there had been a further expenditure of £950 Os 3d, and there were outstanding liabilities for materials ordered of £S7 15s sd. a total expenditure at date therefore, of £30,941 17s 3d. Looking to the future. Mr Toogood said he estimated that it would cost another £3500 to finish the scheme. To this he added £BOO for house connections, and there was also £4OO allowed for interest, on loan money, while under expenditure. After allowing for al! these things, and taking into accoun the actual expenditure al date, lie said that the total cost, of the sewerage scheme would he £35.641 17s 3d—-say, £36.000 to finish the whole ihing. This was £4OOO below the amount of the authorised loan of £40,000 and the estimates on which the financial provision was made. Cr McCarroll thought it. a matter 1 for congratulation that the figures worked out so satisfactorily. Cr Downes suggested that the £4OOO could be utilised for financing private service lines to connect with main sewers. Mr Toogood said the better way would be tn do this sort of thing by way of hank overdraft. It would he a short-dated loan, and many towns found hank overdraft the more advantageous method of finance for a short term.