SUBSIDIES TO LOCAL GOVERNING BODIES.

Globe, Volume IX, Issue 1357, 20 June 1878, Page 3

SUBSIDIES TO LOCAL GOVERNING BODIES.

|_"New Zealander," June 14th.] Bearing in mind the Ja*ge 6um . B voted by Parliament i'o*' arterial roadg ' and special works of all kinds, we venture to say that in every ease the subsidy has done no more than relieve the ratepayer and improvg hiq property out of the funds levied from the whole people Bad au thia. is, without a thorough reiorm of the. relations existing between our local governing bodies establishing a more general community of interest, tho subsidy »YsteH»,BO unscrupulously invented by the late Government, must be continued. Without subsidy, tho feeble municipal organisations would'break down altogether. At the same time, it should not be lost sight of that the supplementary stop to suet* a highly necessary reform -nrasfi be" a total ceseaiion of ■sutteidiea" paid by the Colonial Government to local bodice for administrative

expenditure. Such reform, accompanied by a simplification and readjustment of our taxation, would be the beginning of what might render clear aud beneficial that which at present is chaotic and extravagant. If our municipal bodies cannot be placed in a position to manage public interests in town and country, where arterial roads and main railways are in good order, without extraneous assistance, the colony is not ripe for a complete system of local self-government, or selfgovernment is not in accordance with the genius of the people. Subsidies for administrative purposes undermine local self-depend-ence and weaken the possible developments of private enterprise. Bolstered, subsidised governing bodies promote expectations that works and enterprises of every conceivable nature will be carried out as public works, when without such expectations individual colonists or companies would have carried out the same works with more expedition and a groat deal more economy. The subsidies do not directly supply the capital needed for such works, but loanß are raised upon the strength of subsidies, [and very large liabilities have thus been incurred by very inconsiderable sections of the commu»i^y—liabilities these which the colony will find it hard indeed to escape all share of responsibility for. If subsidies are to be the rule, it would be better to give the highest unit in our municipal system the power, when supported by other local bodies, its electorate, or by plebiscite of the ratepayers interested, to subsidise private enterprise in the construction of special worts, projected primarily for local benefit, <>ut of moneys raised upon the security of special rate. The system of subsidies is responsible for one other great difficulty in the reform of the unsatisfactory relations now existing between local governing bodies. When the Colony was partitioned into counties, the most astute members did all they could to contract the boundaries of the counties in which they were interested. The problem they set to themselves was to obtain areas containing a maximum of population and property, with a minimum of public responsibility. In this some were very successful, and there are now twice as many counties as will be dosirable if Connty Councils are all to be true sources of public life, directly representative of all other local bodies in town or country districts. Selfgoverning institutions, sustained by community of interest and inherent vitality rather than by extraneous bribery, are required to deal with all questions which a Central Government cannot ever hope to govern or guide with intelligence. In tho local governing bodies, as in tho highest source of government, central authority must go hand in hand with public, liberty. By such moans only will the power, duties and liberties of the people of New Zealand be preserved and handed down untarnished by the dishonor springing from the lust of personal despotism, class, or wealth.