The Guardian And Evening Star, with which is incorporated the West Coast Times. WEDNESDAY, JULY 29, 1931. DERATING FARM LANDS.

Hokitika Guardian, 29 July 1931, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. WEDNESDAY, JULY 29, 1931. DERATING FARM LANDS.

There is a very strong agitation in the North Island particularly on the part of fanners’ organisations, for the derating of farm lands. The demand has come from the difficulties of the primary producers due to the drop of commodity prices on the world markets. The alternative to the rating of farm lands is the increase of tne petrol tax, the amount derived, to be handed over for local requirements. The total derating of farm lands is a very large order and is hardly likely to come to pass. The farmers’ viewpoint appears to be that the occupier of the land is rated mainly for the upkeep of the roads, and as motor traffic is now so general and operates over such a wide area, that that class of traffic shouldi bear the burden of the upkeep of the ror.ds and the construction of the new roads. The farm*

ers consider that as the pioneers of

back block settlement they had to bear the burden of the initial cost of the roads, and as the standard of road now required is far beyond the needs o"( the farmer, the motorist should bear his “share of the cost now in greater proportion than the law provides at present. From the local body point of view it is beirg advanced that all rates are not levied for roads mainly. There are many other obligations now being thrown on the local body apart from roads arid reading, and in many instances the bulk of the rates are collected for those extra services and utilities. It is true of course, that many local bodies have been prodigal in borrowing for roads and road improvements, and have incurred a large loan debt thereby. This debt lias been seen rod by special rates and in that respect of course the land is saddled with a special liability. Stall the loams were raised only with the consent of the settler, who in the ordinary course would be expected to stand by their bargain. There would be grounds to argue that local bodies are entitled to a larger share of the petrol tax for roads built (under finch special conditions, hut the land is presumably benefited by the better roads provided, and all the liability should not he removed from the settler. It is true, too, that in many parts of New Zealand, land was purchased at high values, a price now in excess of the productive value in relation to the slump in farm produce prices, and rather thorn see the settlor pushed off his holding some relief from the burden of rates might be provided. If the land is mortgaged the settler has the right now for some adjustment, and interest is also to he reduced. It follows there should be some relief in regard to rates equitably also, but that should not be at the expense of the local body unless a quid pro quo is provided. A.n increase of the petrol tax is suggested to help local bodies directly, and these in turn would be expected to pass on the benefit bv reducing rates. Probably jn that direction the request for derating will trend as the matter j.s grappled with.