PUBLIC BUILDINGS.

Dominion, Volume 5, Issue 1248, 6 October 1911, Page 5

PUBLIC BUILDINGS.

CONTRADICTORY STATEMENTS, WHICH IS BIGHT? Tho financial operations of the Ward Government underwent a good deal of criticism in tho Houso of llopresonlAlives on Wednesday, when Mr Alien, member lor Jiruco, asked tho Minister for Financo (Sir Joseph Ward): "Which of the two following statements dealing with the public debt up to the year 1801 is to bo considered as correct: (1) Financial Statement, 8.-fi, 1909, page iv, "Nonrcproductivo public buildings, .El,800,000'; (2) Financial Statement, B-G, 1911, jingo ix, 'Interest-bearing public buildings, .£1,800,000"; also, will tho Financo Minister explain whv, in tho table above referred to in 8.-li, 100(1, he omitted for tho lwriod 1891 to I'JOB all references to moneys expended on public buildings, defence, lighthouses, mid harbours?" Tho printed reply of the I'rimo Minister, who was not present, ran as follows:—"The honourable gentleman is, I am afraid, quibbling. (J) I havo never stated that public buildings were reproductive ; nor are they. (2) I havo already fully stated in the House that publio buildings may, in connection with loan monev expended U]>on them, bo considered indirectly interest-bearing, for tho 'reason that if tho loan moneys had not boon so expended wo would havo had in every insranco to havo paid vent. Tho total amount of rent would havo considerably exceeded the amount of interest paid upon all tho loan moneys invested iu public buildings, and the one may reasonably and fairly bo taken as a setoff against tho other, and public buildings, though not reproductive, can, under tho conditions stated, with reason be regarded as indirectly inlcrc-st-boanng. Willi regard to the honourable gentleman's inquiry contained in tho last paragraph of his question, my reply is that but for tho extraordinary attacks of tha honourable gentleman and his friends upon tho financial jiesition of the country, more especially during tho last six years, thc.ro would havo bocu no necessity sinco 1900 to havo referred to tho amount of moneys expended on publio buildings at all. I havo since then considered it desirable to show tho amounts so expended 60 that tho investing public ( both in and beyond New Zealand, should have ns full information as possible in order to meet the mutual form of criticism as to borrowing indulged in by tho honournblo gentleman and his friends, who have supported all tho loans that havo been raised willi tho exception of ono in connection with tho nationalising of tho water-powers of the Dominion; aud, in addition to supporting those loans each year, tho lion-' ourablo gentleman and hip friends ask for further hugo loan expenditure m their districts, which if acceded to would still further 6ivcll tho annual amount of tho borrowed money required for publio works throughout tho Dominion. let, though this is dono when the Houso u sitting, in the recess tho honourable gentleman and his friends complain becauso the country's loan expenditure has mounted up. Tho result is that too Minister for Financo finds himself compelled to protect tho country from this unusual aud extraordinary form of financial attack, which is calculated to dam- , ago tho best interests of the country, lor tliosß reasons 1 havo found it nccossary to show tho direction in which tho loan moneys havo lieen expended upon publio buildings as well as other public utility • services." ', Mr. Allen's Comments. ! Mr. ALLEN said the reply given did ■ not touch either of the questions asked. 1 There were two separate statements, olio ' in the Bndgct of 1906, and ono in the 1 Budget of 1911, aud they were coutraI diolo'ry. Ono statement was that public buildings wcro intorcst-bcanng, the other ' that th'ov wcro non-roproductivc. He had ■ asked tho Minister for Financo which ! was correct, and the Minister had not • answered. Ho thought he'was entitled to an answer, and hoped that the AclingI'riino Minister would take an ojyportunity later of giving a verbal reply, since a written reply had been refused. Ho appealod to members as to whether it would uot bo satisfactory to havo a reply to tho question asked. Tho tables given s in tho Hudgot wero not worth tho paper they were written on, being full of mis- ' statements from end to end. The answer t of tho Government in icfcrenco' to these. ~ tablos was perfectly ludicrous. Ho did not know vthcther tho Minister thought i that this paltry attack had any- effect ' ou him (Mr. Allen)—it had hot. Ho considered it his duty to find out wliat tho j finances of this couutry were. Iu tho ■„ interests of his constituents, ho had dona this, and would continue to do so. Ho had nevor attacked tho country, but ho had pointed on occasion to wasteful expenditure, and it was perfectly right that ho should do so. The answer of tho ■ Prime Minister was ludicrous. In otfeot ho said that ho had referred to expenditure upon public buildings boeauso ,of - attaclts mado by tho member for Bruce, 0 and others upon this Dominion. He ', did not know whether anybody took that - seriously. He (Mr. Allen) did not. "Aud 1 tho funny part of it is," concluded Mr. 1 Allen, "that tho lion, gentleman says J f am quibbling!"

Haphazard Methods, Mr. W. C. BUCHANAN (Wairarapa) pointed to some further discrepancies in tho Budget of this year and its predecessors. In 1000 iiori-reproductivo loans were stated at .£'20,018,078. _ In tho two succeeding . Budgeis no increase was shown in this item, though tho amount must necessarily have increased. From tho Budget of 1909 it could lie seen that something over .fcI.SOO.OOO of the debt incurred in that year was uon-reproducf ivo. This, added to the amount for 190(1, made tho total J.'ili.SaS.TOfi. In 1910 no reference was made in tho Budget to this feature, at all. in the latest Budget it was'stated ; , that tho non-reproductive debt totalled .£25,.152,()00. Apparently tlioro had boon a reduction of >no less than .£2,44G,798 from the amount of the non-reproductive debt iu 19091 What was tho use, asked Mr. Buchanan, of paying any attonlion to Hie figures inserted in each Budget by tho present Minister for Finance in such a haphazard, slap-dash manner? It was obvious that they were valueless. Various features iu the successive Budgets were subject to tho same criticism, ami showed that I hey wero thrown together obviously with a largo amount ol cunlompt of the knowledge pos-, sosscd by members of tho financial posi-i tion of tho Dominion.

Mr. 1!. I). BOSS (l'ahia(un) said Hint to those «ho considered it justifiable, as ha did, to class public buildings as inlorestbearing, the criticism of tho member for Bruce lost its point. Mr. Boss contended that fuller information than formerly in tho hands of the Colonial Treasurer explained the discrepancies mentioned by Mr. Buchanan. Why, he asked, had tho member for Wairarapa nut coir/mciileil on the slip-shod methods of the Government years ago, instead ol wailing until 191! P

Mr. MASSEV defended his colleagues from (he charge made by M'r. Boss, that criticism such as theirs tended to injurs tTie credit of Iho country. What actually had this effect was the. raising of a loan of five millions at one lime, tho borrowing of 0 1 , millions' in one year, or a. ColonuO Treasurer slating one year that public buildings wore reproductive, and in another year (lie same Treasurer expressing the, opinion (hat tho samo build, nigs were not reproductive.

"A Conspiracy of Silence."

Mr. MALCOLM'declared that the Government wanted a conspiracy of sileneo ill regard to tho financial operations of this country. Government members: No. Mr. L. M. ISl'lT (Christcliurch North) strongly defended the Government's iinan--0."" noTicy, and declared that (liroughout < v .) country the bald rfatomonfs of llio candidates were injuring its credit. Tho lion. J. A. MILLAR said that conn, try ev.liools wv.ro in a, different category irom public buildings. Jlr, Allen: You're getting into a hW* now. Mr. Millar: "No, I'm not in a. bit of a hole.' There, were no other buildings that could be routed instead of the eouiktry school houses, and therefore rent was not raved by building uhem. Mr. Allen again oskod which vrns right, tho statement of 1900 or tho statement of Mr. Millar: It is right now. Mr. Allen,: Then it was wronir in JMG. Mr. Millar: It was not wiving in wot!. Wo did not tnko credit for that mom-r, but wo take it uow, ami jrovo it, and you ,caa i- deny at,