Whereas the Hutt County Council (hereinafter called the Council) has raised certain special loans, known respectively as the Advances to Owners Private Connections Loan, 1938 (relating to the Point Howard Private Sewerage Connections), the Point Howard Water and Sewerage Loan, 1938, and the York Bay Advances to Owners Private Connections Loan, 1939 (hereinafter referred to as the said special loans):
And whereas the sum of 1,970 pounds of the first-mentioned loan, the sum of 1,183 pounds of the second-mentioned loan, and the sum of 1,000 pounds of the third-mentioned loan are not immediately required for the purposes for which the said special loans were authorised:
And whereas, consequent upon the adjustment of boundaries between the County of Hutt and the City of Lower Hutt and the taking of accounts between the Council and the Lower Hutt City Council, the Council has become indebted to the Lower Hutt City Council in the sum of 3,900 pounds:
And whereas the Council is desirous of utilising the said sum of 1,970 pounds of the Advances to Owners Private Connections Loan, 1938, the sum of 970 pounds of the Point Howard Water and Sewerage Loan, 1938, and the sum of 750 pounds of the Lowry Bay Water and Sewerage Loan, 1939, for the purpose of paying in part its indebtedness of 3,900 pounds to the Lower Hutt City Council:
And whereas it is intended that all moneys so utilised shall be repaid by the Council out of its General Revenue Account or out of other moneys now or hereafter authorised to be borrowed for the purposes of paying such indebtedness of 3,900 pounds:
Be it therefore enacted as follows:
(1) The Council may, without derogating from the purposes for which the said special loans were raised, divert and utilise the said sums of 1,970 pounds, 970 pounds, and 750 pounds for the purpose of paying in part the said sum of 3,900 pounds now owing by the Council to the Lower Hutt City Council as aforesaid.
(2) The Council is hereby authorised and required to repay the moneys so diverted by annual payments from its General Account of not less than 800 pounds in each of the years ending on 31 March 1943, 1944, 1945, and 1946, and by a final payment of the balance then outstanding in the year ending on 31 March 1947, and also to pay out of such account the annual interest payable in respect of all moneys so diverted and for the time being not so repaid.
(3) Nothing herein contained shall be deemed to affect the right of the Council to raise any loan which may hereafter be authorised for the purpose of meeting the said debt of 3,900 pounds owing by the Council to the Lower Hutt City Council or any part thereof, and the Council is hereby authorised and required to repay from the proceeds of any such loan all moneys diverted as aforesaid and then remaining unpaid.