FINALITY REACHED

Wanganui Chronicle, Volume 77, Issue 148, 26 June 1934, Page 6

FINALITY REACHED

NEW OBSTETRIC HOSPITAL GOVERNMENT TO FIND £20,000 TOTAL OF £30,000 IN SIGHT GIFT OF £6OOO FROM SAVINGS BANK [ Per Press Association. ] DUNEDIN, June 25. Negotiations between the Otago Hospital Board and the Minister of Health in connection with the new obstetric hospital reached, finality to-day. A statement was received from the Minister that -e was prepared to reconsider trie position on a basis of the Government finding the sum of £20,000 in an, including the Unemployment Board’s contribution, thus leaving tile Hospital Board to finance the balance in such a manner as it pleased. Mr. W. E. S. Knight (chairman of the Hospital Board), despatched the following telegram to the Hon. J. A. Young on Friday:— “Please take it as absolutely final that the board is not prepared to levy for capital purposes on its ratepayers for more than £2OOO for thc obstetric hospital and understand that the Savings Bank gift (£6000), is to be withdrawn on June 26 if arrangements are not finalised.” A reply from Mr. Young came on Saturday stating:— “I regret i am unable to accept this as your final offer. I am prepared, however, to reconsider the position on the basis of the Government finding the sum of £20,000 in all, including the Unemployment Board’s contribution, thus leaving the Hospital Board to finance the balance in such a manner as it pleases. I strongly recommend acceptance of this offer.” The whole question was discussed at a special meeting of the board this evening and it was finally agreed to accept the Minister’s offer. The position now is that the hospital will be erected. Thc Government win pay £20,000, including the Unemployment Board’s costribution, the Duneam Savings Bank will make a girt of £6OOO, the sale of the Batchelor Hospital, it is estimated, will produce £l5OO and the, Otago Hospital Board will find £2 500, m a king a. Jo tai of £3 6,000.