Untitled

Ashburton Guardian, Volume VII, Issue 1701, 2 November 1887, Page 3

He had already shown that the excess of expenditure during the current year over the receipts of the consolidated fund, including the land fund, will probably amount to £080,305, on the snpposition that the expenditure continues as at present, and that no additional revenue is obtained by taxation . It must bo evident to anyone acquainted with the condition of the colony, that something more is now needed to restore confidence than meie trivial economies. Our chief difficulties have undoubtedly arisen m a great measure from a too lavish expenditure, more especially of borrowed money. That xnußt be stopped, and our firet duty therefore is to apply the prnniug knife with an unsparing hand ; but that is only our firatpnot our only duty. There is another, sot less important. We must indeed take all possible means to prevent waste, both of our ordinary revenue aid of money borrowed for public works ; but we must also promote tbe settlement and occupation of the lands of tho colony, by rendering them attractive to nerijonß willing and able to cultivate them, aod to develope their many and varied resources with their own skill and capital, and we must also, as far as practicable, encourage all our other industries by all reasonable means m our power* In these ways we shall m due course raino an increased revenue

without increase of taxation, or conversely the same revenue 'with lesa taxation. These results, no doubt, concern the future, bat a future not (he trusted) by any means far distant. There is no surer way of lifting the country out of its present difficulties than by the introduction of considerable numbers of persons possessed of sufficient means and knowledge to cultivate the land profit ibJy ? not only as ordinary fanners, but as fruit-growers and growers of plants suitable for manufacture or to supply other industries. Our efforts at retrenchment will be comparatively unavailing to restore prosperity unless we can obtain a considerable accession to our population of persons m a position to employ labor. The Govern xnent thought the time for this very favorable and if the House should ap prove of the course they would propose ft, As m essential means towards accomplishing tte above important objects, and — indeed, the settlement of the country gentrally — the Government propose to amend and simplify the land laws, and, bo far as possible, to make them uniform throughout the colony, to allow selectors foil freedom of choice as to t»nure, and above all, and as the dominant ides, to enable the bond fide settler to get geweijjion. p| agd a titll to fye Iwi ifltfc ;*♦• ''*■ • ' • ' **"

I tho least possibly delay and expanse. It would not be appropriate to apeak here Rt length *of the mining industry, though of great importance. He might, however, point to t wo hopeful signs for tbe future, One is that the yield of gold from the qaacfz m nss appef-r^ io be steadily in* creasing, and tbe other is tbe large, ete&dy, and increased output from the coal mines. Tbe Government will be willing to aßßiat In the matter of tachuioal eduoatton bo far as (hey are able, and as far aa they can do so with real effect. The public have long been dissatisfied with what ia called the mismanagement of our railways. He did not share In this dissatisfaction himself as far as the management goes, believing that our officers on the whole have been efficient, and that it Is the inherent defects of tbe system, and not the management, which are at the bottom of the dissatisfaction prevailing. The oon-political Board of Management m Victoria had been admitted to be a great BUcoerß, and looking, tberaf ore, Ho the dissatisfaction existing In New 1 Zealand, with onr present system, and the satisfaction which the Board has given In Victoria, bis oolleagns, the Minister for Pablio Works, will ask for leave to introduce an Aot this session Into Parlia. Mont to constitute a non-political Board of Management for the New Zealand railways. In the meantime, we have to deal with the serious present defiatanoy m oar revenue. Now, it is obvious that without an Increase m the number of taxpayers there are only three ways m whioh a defioienoy of revenue oan be met, or rather m continuanoe and recurrence avoided. First, taxation m»y be imposed for tbe whole amount required ; second, expenditure may be reduoed to the whole extent necessary, if possible ; third, roductlon of expenditure may be m*de and additional taxation may be imposed, wbioh together shall make up the required sum.

lEBOPOSBD BEDUOTIONS IN SERVICES. It is hardly necessary to Bay that It will be Impracticable to cover the deficienoy of the current year by reductions of expenditure. Seven months of the financial year have already pßseed, and It is Impossible for two or three months to come to obtain macb, if any, effect from redactions. The proposals, however, which he will Bubmit will, he hoped, prove to be of a sufficiently comprehensive character to i&tisfy the most thorough reformer. He then stared to the Committee what the proposed reduction! were. In the first place it was proposed to begin with the Governor's salary, but this redaction could not take effect till the next Governor wsa appointed. It had been said that the 001 ony would lose standing and credit at Home by reducing the salary of the Governor, but Ministers after careful consideration, had no fear of such ill effects. The Government proposed that the Governor's salary shall remain at £5000, but that this Bhall inolude the cost of his staff and all allowances, lhis will be a total reduction of £2500 from the amount at present paid Jn regard to the salaries of Ministers they proposed that the Premier shall receive £1000} instead of £1750 now paid, and that the other Ministers shall receive £ 800, instead of £1250 at present paid ; and also to reduce ihe number of paid Miaisters from eleven to six simultaneously with the reduction of members of the House of Representatives, which he would shortly mention. He mentioned large reductions to be made m travelling allowbnCrs, and m regard to Ministerial residences. In regard to legislative expenditure the Government will invite the Legislative Council to express, by resolution, its opinion that the honorarium paid to its members should not exceed £100, and will aßk the House to reduce the honorarium paid to its own members to £100, with an allowance of £50 m consideration of the additional expenses necessarily incurred by them. No payment should be made to the Chairman of Select Committees of either House ; that all officers of Parliament whoße salaries are provided by Act, should not receive more than the statutory pay at present provided, all extra amounts annually voted being struck off, and the salaries of the other officers of the House being reasonably reduced. The Government intend this session to introduce a Bill to reduce the number of members of the House of Representatives to eeventy, inclusive of the Maori representatives, though this change cannot take effnct until the end of the present Parliament, and next session they will submit a Bill to the Bouse altering the mode of election with other necessary reforms of the electoral laws. They will also, during the present session, invite the Legislative Council to devise a plan by which their number may be reduced to thirty five, one-half of the number of members pioposed for this House, and thereat ter limited to that number, tie next considered what reductions were possible m the Civil Service The total number of persons m the pay of the colony, including the Governor, Ministers, Judges, and others, but exclusive of police, military forces and country postmasters, is 7163, and the amount they receive m salaries, pay, and wages, ia £1,004,2.73 Of these 5882 are receiving weekly wageß, pay, or salaries not exceeding £150 a year ; the total amount paid to this class being £638,519- The Government do not propose to make any substantial alteration m the payments made to these persons. It is probable, however, that their number may be reduced, but at present there has been no time to go into this question. It follows, therefore, that the amount £365,754 paid to persona m receipt of salaries over £150 a year is the principal amount upon which it is possible to make reductions at present. This matter would be dealt with m Committee by the several Ministers m charge of the departments. He would say a few words upon our education system, m regard to which, while admitting that it has given great satisfaction from the purely educational point of view, specialists agree that relatively to population and revenue the system is too costly. The proposals to be submitted by the Government will chow where moderate savings may be made without weakening the system. The principal proposal will be to limit the capitation grant to the statutory amount of £3 15s a head, and not to pay capitation upon any child under six years old, but they wonld make provisions that no country sohool shall be closed m consequence of this change. The saving on the education vote they estimated at about £60,000 per annum. He wished to say that the Government m making redactions deßire to use all possible consideration for the persons directly affected, so far as their duty to the public will allow, more particularly aB regards those of special occupations, such as postal and telegraph officers, and those now entitled to. pensions and allowances. The proposals if assented to by Parliament, will reduce the total amount of the departmental appropriations oat of the Consolidated Fund for a full year by £251,500, and they believe they can make still farther and substantial redactions by means of a more perfectly organised system and amalgamation. of offices compatible with each other. It is clear that sufficient time mußt be given any Government nndertaklng the reorganisation of the Service, and fall power mast be given to that Government If the work is to be done successfully. But when the work they are now proposing to do has been done to the satisfaction of the House, if it is not to be again undone It will be necessary that far greater restrictions should be placed upon the Government of the day than Is the case at present. The Government are of opinion that If the reforms now being Instituted are to ba permanent It will be necesaaty to cltwlfy the Civil Service, (limiting the fwto of w$ oliff «tf

making It necessary to report to Parliament the employment of any extra oi outside aaaiatanoe. The Government have a Bill m preparation, bnt it would be premature to Introduce it during the present eeeeion, PROPOSED REDUCTIONS IN GRAKTS IN AID. He now came, to the consideration of grants to local bodies, and however pain- ; fal it may be, we must reoognlse the fact | that if the assistance now being given to them is to continue our taxation muat be increased to a proportions c amount. SUBSIDIKS TO LOCAL BODIES. These uubaidies under existing arrangements have always been regarded by everyone acquainted with our fiqanoial position as a most precarious source of revenue to local bodies, and the late Government, no doubt with much regret, proposed to Parliament to reduce the amount of the sabaidles paid last year by one-half for the current year, and he also, with maoh regret, had now to make a similar proposal on behalf of the present (Government. They hoped to bo m a position to continue thera at the same rats next year, If Parliament Bhall see fit, but they were of opinion that, after the present year, these subsidies should be charged wholly upon revenue, and not as now, one-half upon loan; and, further, that they should be separated from our ordinary finance, and not only fixed for a definite time, but be paid from a definite ■ource, as, for Instance, by appropriating to the purpose a given fraotion of the property tax. For the present there is no doubt that the looal bodies are hardly pressed to provide f ands to oarry on their necessary works, and Government regretted they oouid do no more for them. SUMMARY OF BBDUOIIOKS. Adding together the whole of the proposed redactions, it would be found that trhen complete effect is given to them, the jxpenditure chargeable for a year upon bhe revenues of the colony will be reduced ay £300,000. As follows ;— £ Salaries of Ministers „« ..« 3,450 Allowances to Members of the General Assembly 10,000 Departmental A ppioprlations, including reductions m respect of Ministers' residences, travelling allowances, &o ... „, 252,520 Elates on Grown Land 34,000 Making a tot*l of £300,000 for a full ioanolal year. The amount Government would probably be able to obtain by these ■ednctions within the current financial ?ea< will be about £71,000. PROPOSALS RELATING! TO THE CURRENT TEAR. He had already intormed the Committee ;hat If the expenditure continued at the ))d rate it would exoeed the income by 2389,305. Thla sum will, however, be esßened by the savings from the reduciona they would be able to give efftofc to, istimated at £71,000 ; aud it wan pro >osed to still further reduce it by noreaslng the property tax from thirteenlixteenths of a penny to one penny. Pheae reductions will leave a sum of about 2253,000 expended 'n excess of revenue to he 31t)t March next to be provided for. Phis, together'with the deficit of last year, (mounting to £92,293 on the ordinary ■evenuo account at 3lat Match 1887, aud >f£s4 623 on the land fund account, nakes a total of nbuut £399,500, for which provision has to be made. It will alao be lecessary to meet the amount to be paid is compensation for loss of office Thla fill probably be a considerable sum, ndeed, forge In proportion as the ultimate laving is large, but It is Impossible to state he amount, even approximately, at preen t or until the Government have letermined upon the speoifio redactions md amalgamations. PUBLIC WORKS PROPOSALS, It will be necessary to plnoa the North island Main Trunk Railway Loan upon tie London market early next year. No i account, which contains the balanoes of he loans raised prior to 1886, is really trhauated. There was to the oredit of the icoount on the 30th September last 2247,292, with liabilities amounting to £280,495, of which at 'east £162,000 will some In for payment by March next, eavlng only £85,292 for expenditure next rea<% with outstanding liabilities of 3118,495. It Is therefore evident that no lew votes cau be taken against thia tccounfc, and yet tbe Minister for Publio tVorks, assures that he will show, when ie makeß his Statement, that there are vorks to the amount of £150,000 which t will be impossible to avoid, asserting hat they are absolutely necessary oomplenents to undertakings already entered nto, and they must therefore be authorised hla session. They consist principally of ■oads to open up Grown Lands before sale, public buildings, and echool building*, iurchase of Native Lands, telegraph ex* >enßlon and harbor defences. la point of ! aot the £150,000 la a liability, though lot brought to book, almoat as muoh as he liabilities which have been brought to )ook, and must tharefore be provided for n No 2 account. After referring at florae length to the STorth Island Alain Trunk Railway loan, Srlajor Atkinson went on to speak of the MIDLAND R4ILWAY. The Government intend to deal with the question immediately m another way Fhe Importance of the work In a colonial tense has been repeatedly reoognfsed by the Legislature, but tbe Oomaiittee will have scon from the papers laid on the table that the negotiations with the Company are still incomplete In important particulars. The Government, however, hope with the further aid of the Leglsla ture to brine; the negotiations to a successful conclusion. CONCLUSION. He had no doubt members would be pleased to hear that, on the assumption that the ordinary revenue for 1888-89 comes up to the amount noweßtimaedfor the current year, and after making provision net only for half a year's Interest (£20,000) on the North Island Main Trunk Railway loan proposed to be taised m April next, but providing for the extincof aay £40.000 on the deficit at the end of thlß pear, In the matn-tr already seated to the Committee, Government hoped to be able as nearly as can bo new foreseen, and it would be their earnest endeavor m 1888-89 to oarry on the servloas of the colony chargeable upon the ordinary revenue, without being under the ne. cPßsity of proposing additional taxation. With ragard to the Land Fund, if their proposals with respect to it Era agreed to, they had every reason to hope that the revenue will be quite equal to expenditure, without sacrificing the publio estate. In conclusion Major Atkinson said the account he had given neither conceals or exaggerates our difficulties, while it shows that It if entirely within onr own power to overcome them. It needs but the will to do |t, and the measures he had proposed, embodying as they do three trite but vital economic piinclpals — of foregoing suoh things as we can mort. easily spare than pay for, of making suoh money as we spend produce the best possible results, and of Increasing and encouraging the wealth producers of the oolony ; and embodying also, last, but not leaßt, a wholeßome self-reliance, these measures would be trusted, commend themselves to tho Committee, as hs believed they would to the country ai large.

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