LOAN MONEYS.

Hauraki Plains Gazette, Volume XXXVI, Issue 4878, 16 September 1925, Page 3

LOAN MONEYS.

LOCAL BODIES’ BORROWING. PROPOSED BOARD OF REFERENCE Dealing with borrowing from' the Government by local bodies, the Hon. J. G. Coates, Minister for Public Works, in the course of the Public Works Statement says:— “I have previously urged the need of co-ordinating Government and local bodies’ expenditure pn public works, and something has already been done in this connection. The present system, in my opinion, is still likely to permit of ill-considered and uneconomic expenditure upon senemes which might well be deferred, if not definitely rejected. I am certainly convinced that before loans are approved by the Governor-General in Council much closer and more expert examination is required by a body of men qualified to determine whether the proposals for which the power to raise money is being asked are in the best interest of the requisitioning locality or of the country. To go a little further with thijs subject: any man who has given the question of raising civic loans serious consideration must agree that what we need is what' might be called a Civic Exchequer to 'deal with all questions of civic finance. Such a body might introduce several reforms, such as the paying pf rates quarterly, a system that would be welcomed by ratepayers with small means, and would have the additional advantage “of providing local bodies with the use of consid erable sums of, money free of interest. However, I am convinced of the need of a special organisation to deal comprehensively with this subject. To that end I propose to bring down legislation next session providing for the constitution of a board to which all applications for loans by Ibcal bodies will be referred. It will be the function of s-uch board to thoroughly investigate all such applications, and make recommendations tb the Government thereanent, before the same are finally disposed of.”