GRANTS & SUBSIDIES

Dominion, Volume 7, Issue 2215, 30 July 1914, Page 4

GRANTS & SUBSIDIES

AND THE MOTOR TAX COUNTIES' ASSOCIATION VIEWS HON. H. D. BELL INTERVIEWED A deputation-"from the executive of the. Counties' Association waited upon the Hon. 11. D. Bell (Minister of Internal Affairs), yesterday, and placed before him several matters discussed by the executive. Mr. A. E. Jull, president of tho Counties' Association, was the speaker. They regretted, lie said, that they had not been able to discuss the proposals, in the Local' Bodies Subsidies and Grants Bill, which they understood was to come before the House shortly. They asked that copies might be sent to the various counties as soon as they were available. They wished to reaffirm the principle that.any Bill dealing with the subject of 'subsidies should be based on the general principle of ss. in the £ upon the amount of general rate which the county was authorised to raise. Mr. T3ell: Without regard to ' the necessities of one county'to another? Mr. Jull: Unless it is reflected by the amount of rate collected. If the works cost little the rates will be'-small. Mr. Bell: If a county has i a' large population it will get a. large subsidy. Mr. Jul!: We do not think tho population affects the matter much. If there is a small population the necessities or that population as to roads will be met by their requirements. As the necessity for roading increases, tho rates will be increased. ' . . . r ' I think if you will let mo interrupt you that there should be a conference of wealthy counties and another of poor counties. ■ Mr. Jull: I think 99 per cent, of the counties would elcot to go in as poor counties. Subsidies for Small Counties. iMr. Bell was of opinion that some of ; the smaller'counties" might be very strongly opposed to the .proposal. He did not think the diverse view was sufficiently represented at the conference or counties. •' j M''- Jull said that the counties were decided that _tho present system was quite unscientific. CJuite apart from the question of subsidies there was the question of grants. Grants might be mado upon , a system of classification of'the areas, into'those areas which had a lesser necessity for grants; those that had a greater necessity, and those that aid not require Government assistance. He thought the Government would bo justified in their efforts' to secure abetter system of grants to local bodies if they were ablo to dispose first of those a }j Q j ) ui the Minister's opinion, aided by a tribunal which could be set U P{"' o t? «ot requiring assistance. Mr. Boil: You need not be afraid of us muddling up grants and subsidies. Ml'. Jull: Wo wisli to reaffirm our previous unanimous opinion • that tho subsidy should be upon the basis I have indicated. Grants could probably be made the subjcct for differential treatment, according to the necessities of the different bodies. ■ Y

Motor Tax Unfair,. Coming to the Question'of motor taxation, Mr. Jull .said that 'at the last conterenco the delegates passed a resolution affirming :tho principle that motors should bo taxed. The Bill that, had been promoted' ill' tho L House'was in their opiiir6n]' v aistiiictiy ' unfair jn its incidence of taxation, and -more particularly Unfair in tlie mothod by willcn it was-. proposed to 'distribute the revenue raised'under it. • There were certain details relating _to the reduction of. taxation in certain directions which they thought were anomalous, but tliey did not want, to go into them. The ma-ior portion of tho cost of the upkeep of roads would fall upon tho rural local bodies, but the major ' portion of the reveiiuo would hot b,e received by them/ Mr. Boll: Will-you say how it should bo, distributed? Tho, revenue 'from private cars was to bo expended on rural roads, by an independent board, which' would consult tile people concerned. Ho contended, that the Bill had not provided for the cities iand towns as against the rural districts.

Mr. Jull: As wo decided to let this matter stand over till next' conference,' wo are not prepared to step in and put a scheme before you. Mr. Bell: Tfton I object to your coming hero and saying the proposals of the Government are unfair. Either yoji should bo prepared to' agree with them, or you should give some 1 scheme. If you call iiolp me to give a fairer scheme or distribution to rural authorities I will be glad to hear you. I object to your simply coming hero and saying wo aro wrong. . \

Case of Rural Bodies. Mr, Jull 'said that . executive felt that the proportionate amount that, was to he given to rural local;bodies was not adequate to the amount of damage resulting to their roads. Rural bodies could have., the. same oversight of the speed and loading of motor -vehiclesas could the cities. The opinion had bcoil expressed that it would be better for the Government to take the whole of the revenue from the motor-tax, and give a better system of subsidies, ' The motor tax could be used to increase 'the subsidies. Mr. Boll; We thought of that, ■ but you see the taxi uses the. streets, and so does the light trade wagon, A certain part'of the ' taxes derived from them must go to tho body controlling the streets, as distinct from the roads".

After further discussio non the motortax, Mr. Bell said that the question had been well considered ,and every suggestion advanced _ by _ tho. deputation was open to some objection. He agreed with them that the apportionment was hardly fair. • 'Mr. Jull said that the counties had been put to a. considerable expenditure up to date, hut had not made a great deal of noise about it". But there was a considerable body of opinion, even-'in tho rural districts, that tho system of taxation of motors was not an equitable one at all. . . , > Tax for Motor Purposes. .Mr.-, Bell: When the motor is taxed, the whole of the taxes should go for motor purposes Do try and let your districts understand that.. Only do' not say this thing is wrong without showing something better. Mr. Jull brought other matters under the notice of tho Minister. They thought that the Railway Department should accept Liability for the protection of railway crossings. There should be no preferential rate on local timber, as against imported timber, which was an unfair tax on tho country districts. They also protested against_ a tendency on tho part of local bodies to subdivide, and expressed themselves in favour of amalgamation. They also wanted county elections brought into line with Harbour Board elections, at the end of April or beginning of May. Better conditions for installation of county telephones, and a definition of "miner's rights," to prevent- persons taking out miner's rights and swamping local elections were' other matters mentioned. Also tho question of local bodies superannuation was mentioned, and it was suggested that it would be a distinct advantage if the National Provident Act was extended, and a list of<tables applicable to the requirements of local bodies brought in. Minister in Reply. In the course of his reply the Hon. Mr.. Bell said that lie did not agree with t.bo subsidy suggestion put foi'wtfrd br

.the deputation. With rogrtrd to grants, ho said that ho was agreed that they should be upon' a basis independent of tho politics of tho Government of the day, and the member for.,the district should not take it as his function to get money for his district. He thought they would agree that an honest, attempt had been _ made to deal with grants and subsidies.. Ho was sorry the counties had not had an opportunity of seeing the proposed Bill, but he hoped they would be able to appoint a small committee to discuss it. As to the, Motor Dill, he was glad they had discussed it.. A bard effort had boon mado to deal with tho subject. In .reply to a question lie said that it was difficult to say what the revenuo would bo from the tax. There would be at least £40,000 from private cars. 11l England, bo pointed out, the tax brought in tho huge sum of half a million. . t The Minister promised to refer the other matters to the Ministers and Departments'interested. • • ■ .