TIMBER ROYALTIES.

Hokitika Guardian, 13 December 1922, Page 4

TIMBER ROYALTIES.

A GOVERNMENT XOTTFICA- j TION. j COMMENT BY COUNTY COUNCIL.' At‘yesterday’s meeting of the Vicstland Council the following letter v.nsrend from Hon TV. Fraser, lor the Prime, Minister:— “In further reply to your letter of the 11th ultimo, i" tiow have the lion- j our to inform you that there are, on • thei West Coast over 100,000 acres of ; tho best timber lands held under li- ; censes which were granted before the ' enaction of tlio Forests Act, 10211-22. j Though these licenses are over areas which are now within provisional State Forests nevertheless they are subject only to those conditions under which they were granted under the Milting Act. ; It will take about 30 years to cut' out tho areas held under these licenses and, inasmuch as the local bodies will during that time continue to receive— \ with respect to licenses over areas formerly Crown Lands—half the royalties, and with respect to areas known ns Midland Railway Mining Reserves — all the royalties paid for the timber (•tit. it will he seen that they will not he suffering any loss of the revenue which in the past they received. With regard to sawmill licenses' granted under the State Forest Act, J may say that the revenue derived therefrom are, in accordance with the Act, paid to the Stale Forests Account, (if, in the case of National Endowment land, half to the State Forests Account and half to the National Endowment Account. With small exceptions, the lands on the West Coast will he used for grow-, ing timber crops for future supplies, and. in order to do this, it will be necessary to re-ill vest in these lands the revenues received from the existing timber crops in the State forests. If this he not done, the lands will deteriorate into unproductive wastes, carrying noxious weeds and useless .scrub. Though Section -10 of the Finance Act, 1921-22. provides for the appointment of a rent mission in connection with royalties claimed to he due to local bodies, I regret that, with the pressing necessity for economy in public expenditure, I cannot at present! agree to the appointment of such a commission.” Received. COUNCIL’S COMMENT. Tito Qjairman said the letter affected the Council very seriously. I'lte Council lmd a definite promise by Sir F. I). Bell that the Council would have fair consideration, and that an enquiry would be set up, but nothing so far bad been done. The matter was of vital importance to the Council. Mr Duff said that the matter was one of great interest to the Council. The Government now states that t,hev were not going to set up a commission on the grounds of cost. Thrwtts a. very sorry attitude to takt up. Now the Government wore going to repudiate the promise they had liefinitely matte. Where tho Council hat! been looking forward to the receipt of revenue in years to come, now the Government stated they v.ere going to take away the whole of M e revenue and pass it on to the Forestry Department to spend in Ihcir very expensive department. He entered a very strong protest against tho proposal, which would have a crippling effect on the finances of the Council. lie moved that the Council call a cc nterencc at as earlv a date as possible, ol all local bodies interested in timber royalties, with a vi< w to urging the Government not to carry out '.he proposals contained in the letter. Mr Ward seconded the motion, a*. the matter was nl vital imp*, rtanoe to the Council. Tho notification of the Government appeared -'o have been written by one who had an imperfect idea of the actual position. It was a very unjust position and would a licet the Council very seriously and unlair)v. The motion was the right first step to take. The motion was agreed !o.

It- was resolved to bold the b "itference at Greymouth at a date suitable and to ask the Parlia itcuta-y iepnoeiiiatives to attend.