CAN NOT PAY

Hauraki Plains Gazette, Volume 53, Issue 32411, 24 March 1944, Page 5

CAN NOT PAY

POSITION OF RATEPAYERS LEVY NOW ALMOST DOUBLE SUPPORT FOR HOSPITAL BOARD A T A. Barrett, of the Ohinemuri •County Council in opening the. meeting pointed, out that any increase in hospital rate would, defeat the object of stabilisation. -He quoted figures showing a sharp rise m the. hospital levy as far as the Ohinemuri County was concerned. Farmers, he said, considered that they could not meet the levy as it would be in the future. The conference had not been calle < o hinder the hospital board but to bring the position to the notice of the Minister of Health. Mr S. Bonnici, of the Waihi Borough Council said that the position in Waihi was that the mine paid most of the rates. The mine was going down and the burden when the mine closed would be too much for those left behind. Waihi could not afford to pay any more and the Government should assist. Continuing, he expressed the opin--4 ion that Thames was not the best place for a base hospital. If any money was to be spent it should ibe spent on a central site and Paeroa m his opinion was the best in the area. Mr A. L. Burke, Thames Borough Commissioner, objected' to the question of site being introduced into the discussion, pointing out that the con-, ference was called merely to discuss the incidence of taxation. The chairman agreed with Mr Burke and urged the conference to keep to this .point. Mr Edwin Edwards, Mayor of Paeroa, said that the borough had not objected to the raising of the £50,000 loan. When the question of re-build-ing was first mooted Paeroa had objected to the expenditure of any great sum on the present site. The council had considered building costs were too high and had advocated that a commission be set up to investigate the most suitable site. Referring to the incidence of taxation, Mr Edwards said that actually Paeroa was possibly the smallest con--z tributor to the hospital board but the levy had doubled during recent years. The council appreciated that the present hospital was absolutely inadequate to serve the sick people of the district and were therefore prepared to find their share to alleviate the position. If, however, the money was going to be spent to lay the foundation of the future base hospital at Thames on the present site then the council objected to the loan until a commission had investigated the question of site. Mr E. A. Mahoney, clerk to the Hauraki Plains County Council, asked that any comparisons of levy -be taken

without quoting figures for the depression years. Mr T. A. Barrett, Ohinemuri County Council, said his council was not able to collect rates from Native and Crown lands and therefore the levy, was correspondingly heavier on the rest of the ratepayers. Mr S. Hovell, Waihi Borough Council said Waihi was one of the largest taxpayers in the hospital board area. His council considered 1 any increase in the levy would be unduly burdensome to the ratepayers of Waihi. Mr D. Courtney, of the Thames County Council said his council was of the opinion that their ratepayers were already overburdened with rates and any addition would place them in serious difficulty. He explained that the Thames county was a difficult one as three-quarters of the county was Crown land. They had long lengths of roads to maintain and this made a heavy burden on the small area which was rateable. About 52 per cent, of the income of the council was taken up in paying interest and sinking funds on loans. He quoted figures to show that the hospital levy had risen tremendously. Continuing, he said his council appreciated that the hospital could not handle the number of sijjk people needing hospital treatment and that the board was taking the only possible step open to them. His council’s concern, however, was that the Thames County could not afford to pay the increased levy which the additions would mean. Increased hospital accommodation would result in more cost in maintenance to run the hospital. Farmers in the Thames County were paying £1 per cow per year for hospital levy.. Already the council was having to sue to collect rates and any increase would mean more and more would not be able to pay their rates. Referring to stabilisation he said the industry had been promised that costs would be held. He suggested that a committee be set up to meet the Minister of Health to discuss the problems facing local bodies. Mr C. W. Parfitt of the Hauraki Plains County Council said that his council had not objected to the loan although his district was not any better off than the others. The trouble, he said, was because of larger numbers of people seeking to get into the hospital. This was, in his opinion, the result of Social Security. He quoted figures to show that the hospital board was worse off to-day than before Social Security was introduced. If the number of beds was increased the cost of maintenance would ibe higher than ever. However, he continued, the people had a duty to get the sick people well so that they could be earners and not spenders. He referred to the conference held at Hamilton recently which had decided to ask the Government to peg local body rates. This meant that any

additional costs for building etc., would have to be found' out of the Consolidated Fund. He urged the conference to support this suggestion. The Prime Minister had stated that he was not prepared to deal with the question of hospital taxation at the present time 'but there was nothing to say that local body rates could not be pegged. The Thames Hospital Board was following the only course open to it, he pointed out, as they had to provide accommodation for the sick people of the district. Mr D. G. McMillan, Paeroa Borough Council and Hauraki Plains County Council said he had viewed the proposition from the angle that provision had to be made for the sick of the district. His objection was entirely on the point of the incidence of taxation. He pointed out that more people were using the hospital and he .questioned whether people were not as healthy as in the past or was it because of the introduction of Social Security. He endorsed the proposal that the local body rates should be pegged and the remainder paid from the Consolidated Fund. This possibly meant an increase in the Social Security Tax which might satisfy a large number of people. He was not confident that the Minister would agree to an increase in the Social Security Tax. Mr S. Ensor of Thames Borough Council, said he had the utmost confidence in the Thames Hospital Board and their administration. He referred to the need for more accommodation in the hospital and agreed that the board was only doing what was right in providing treatment for the sick people of the district. All responsible people would agree in this matter. The local bodies would not oppose them in this work, but should endeavour to assist the board in the question of finance. He agreed that the pegging of the rate was a good suggestion and that the remainder should be paid out of the Consolidated fund. The maximum that the borough of Thames could pay was £l5OO per year. Mi* Courtney (Thames) then moved the above resolution asking that levies be pegged which was seconded by Mr Hovell (Waihi). A vote of thanks to the chair and to the Ohinemuri County Council for calling the conference brought the meeting to a close.