STATEMENT ON WAR FUNDS

Bay of Plenty Beacon, Volume 1, Issue 72, 9 October 1939, Page 2

STATEMENT ON WAR FUNDS

RAISING AND SPENDING TWELVE MAIN BODIES SET TJP USE OF CENTENNIAL machinery "To-day an Order in Count".l wns issued making the Patriotic Purposes Emergency Papulations, 1909, to control war fUiml activities during tlio present Avar. ,7or a better general understanding ol" them It is advisable first to g've a brief outline of the War Funds 191 ">_ and then explain in general terms the scheme now adepted in the light of our experience in the Great War,'' said the Hon W. E. Parry. Minister of Internal Affairs, introducing the 1 emulations for the control ol' war .'lands in the House. The War Funds Act was passed in October, 191 to control a state of aFaii's that had started 14 months earlier, on the outbreak of war. In essence it may be likened to a system of registration and audit. There was nothing in the nature of control in the sense of statutory prohibition cr restriction of the establishment! o" war funds or patriotic activities. The term "war funds'' was defined, but it was open to any section of the community to estabpsh one. There was compulsory registration of Avar funds and the societies in charge of them- and machinery was provided for exerting such measure of control as was possible under the but at no time aat.s there any really effective control over (a) Methods of raising funds: or (b) Overlapping of effort. The inevitable results were nearly GOO separate war funds and just under 1000 separate collecting agencies together -with not only wasteful and extravagant competition and expense in collecting funds but actual as well as wasteful expenditure. In short, it can truly be said that there Avas no coordination of objectives or that larn'e sums Avere lost to the funds, that public generosity Ava.s unduly cxnlo'tcd, and that the public 1"om beginning to end of the Avar AA'ere subjected to an unend'ng barrage of collecting Avith no real guarantee, in manv cases that moneys giA'en would be used to the best adA'antage. AVOIDING MISTAKES, T l ™ regulations been drpCtod as pu effort to aA*o ; d the mistakes o f the last AA r a r . Tn placl of nenrlv fiOO funds of inst Hup it is ivmincod to set up no moro than 12. nn"Aoi\\ p national patriotic fund ond ;f!nnds. Tn place of a .series of separate fund" for separate objects, it is to subst'tnte m^A r ' ho called Wcla'i? chest®.. each embracing iv its objects if necessarv. the vhoie fontf" of ppproA'cd purposes. Out of each such community chest nnvments AA'ill he made as reouired <v»~ fi nc ] all o r i .such purposes. Tt Avili thus bo to regulate expenditure in a Avay that. AA T as impossible during the la c t. Avar. The pov n " to approve mirposes is A-ested in tho "vrinister of Tntcmal Affairs, thus making it possible to 'withhold of any purpose until the need for it arises. The community chest idea necessarily involves the power to collect being A'csted in one body instead of the hundreds that appealed to the public in the last war. The proposal in the regulations is to divide NeAV Zealand into provincial patriotic districts and for this purpose tb* Provincial Districts under the New Zealand Centennial Act ? 1938, are declared to be the provincial districts under the regulations Avith the same subdivisions—zones, sub-zones and local districts. In each province the provincial centennial council is also to be the patriotic council and the A*arious zone and other centennial controlling committees Avill also function as patriotic controlling com mittce.s under the provincial council Avhich in every case is a bdy consisting ofi representatiA'e.s of the various subdiA'isions. The provincial council Avill in each province be the hotly primarily vested with authority to appoint and control the activities of authorised collectors but lvUiy delegate its poWCr;) to controlling eom rnittees Avhich mSy in turn delegate to the mayor or chair,man of any local authority Avithlfl its area. All authorised collectors will, of collect for the provincial fund.

SPENDING AGENTS. The provincial council Avjll be f 'nc authority controlling expenditure of the provincial fund. To enable such expenditure to be made to the best advantage the piwincial council is empowered to appoint as its agents any society or other body of person? which by the nature of its objects and the machinery of its organirntion is specially qualified to expend moneys for any particular purpose. Under this, bodies like the U.S.A., Y,M. C. ' Red Cross, Salvation Army etc., can profitably be used as spending agents and for distribution of comforts and conveniences. Tn the .same way these bodies can, be used 'for collecting moneys for the community chest. The national fund will be one to which it is hoped and felt that moneys Avill be contributed both by the people generally and by Provincial Counc'ls for purposes for which expenditure can best be made by a national body. In particular, all moneys for expenditure oA*er.seas must be paid into the national fund. Th? ! national fund is to be vested in and controlled by a specially incorporated board Avith the GoA r ernor-General as chairman, and other members to be appointed by the Minister. Subject 1 ol course to the regulations it Avill ' be an independent body. The general administration of the : regulations is a function of the Minister. In him Avill be vested the sole) ! power to declare approved purposes, ( thus ensuring, as T alreadv said that purposes AA'ill not be approved , until the need for them arises. There is a general definit'on of patriotic purposes which closely follows the definition c«!! the term "*var fund" in the 1915 Act. and the definition may from time to time be extended by the Minister. ADVISORY COUNCIL. ; To assist the Minister, the regula- ! tions proA'ide for his setting up a - national adA'isory council conristing 1 of such persons as he appoints from - time to time. Th« general functions ). of the council Avill be: (a) To ad vis- the Minister th? ' national patriotic fund board, proA'ineial council and controlling com- ' mittees on all matters affecting the administration of these regulations to the end that activities for approved patriotic purposes shall Inefficiently and economically carried 3 on and that moneys and goods rais- " cd and acquired shall be used to the best adA'antage of those purposes; (b) From time to time make such investigations and inquiries as it , deems necessary or as the Minister . directs it to mako; and 1 (c) Generally to exercise and per--1 form all such specific poAVc-rs and • duties as are conferred or imposed ' on it bv the-'c regulations. It should be possible to control the collection of funds in such a way as . to avoid the extravagance and AA'aste andj in some eases,, scandals that unfortunately marred our efforts in the last Avar. Needless to say, care will be taken to ensure that the members of the council will be carefully selected to ensure its being a truly national body. Summed up, the Avhole purpose of the machinery of the regulations is to provide, in the public interest, national control through the Minister and his AdA'isory Council of proA'incial community effort Avithout in any AA T av destroying local autonomy. It may be objected that it will have the of prohibiting reputable bodies form raising iflunds for purposes for which they are particularly fitted. The answer is that they should be proud to throAV the whole of their Aveight into a true community effort in the knoAA r ledge that their help AA'ill be sought in the expenditure of the community chest to the extent to which they prove themselves Avorthy of that trust. EXEMPTIONS. The regulations, however give the Minister power to grant exemptions from their application, subject to such conditions as he may impose and a first list of) exemptions will be gazetted immediately. Contained in that list Avill be: (1) An exemption alloAving the * carrying oil of the spiritual work and ministrations of any religious denomination amongst members of the armed forces by the 'authorised ministers and officers of that denomination so far as funds ;fbr such purposes are raised by collection made , and sought exclusively from the , members and adherents of that denomination,

It must foe noted that this exeiusP\, tion will cover only spiritual worlc" and ministrations and not what may best be termed the social work of the churches amongst the forces. (2) An exemption i subject to obtain definite safeguards, in favoM of functions or entertainments honour of any member or membeiis of the forces—for instances, larewell gathering's in their own home towns to men going into camp or leaving New Zealand for service overseas. (3) An exemption to allow the col lect. : on of moneys and other gifts tosoldiers among their, fellow ms^hjjers/#/ o1 clubs or other institutions.' or their fellow employees or officers irt any business or service, and communitv gifts from residents in their

home towns

It will be seen from these exemptions that the regulations have been strictly drawn. It is the considered opinion of the; Government that such a namely, very strict control

with a generous power of exempt tion, which can be exercised froct time to time as occasion : n every way in the interests of all concerned, to regulations framed in such general terms as to l:ave loopholes for undesirable

practices

I referred jus:; now to a generous power, of exemption. It is so framed as to allow .the Minister to clo that power subject to safeguarding conditions, to any Provincial Council or controlling committee. In this way reasonable impossible the moment to visualise, can be expeditiously granted. The further power of the Minister to revoke any .such delegation will bean, adequate safeguard against abused. Two particular matters require^

special mention:

1. Centennial funds no longer reonirecl for the purposes for which they were raised may, with the Minister's consent be diverted to approved patriotic purposes of the v/ar 2. W'tli regard to moneys already raised and ; goods donated :V>r tfyt present Avar, provision is made for their being held in trust by those who have collected them for disposal for such approved patriotic purposes as the aopropriate provincial councils direct.