New Zealand Times. (PUBLISHED DAILY.) FRIDAY, OCTOBER 15.

New Zealand Times, Volume XXX, Issue 4546, 15 October 1875, Page 2

New Zealand Times. (PUBLISHED DAILY.) FRIDAY, OCTOBER 15.

The Constitutional amendment, passed during the present session, has the effect of disturbing the financial arrangements of the colony, so far as provincial administration is concerned. For example, Provincial Councils are not to meet again, although provincial administration will continue as at present, until the Abolition of Provinces Act comes into operation after the first session of the new Parliament; in other words, until long after the Provincial Appropriation Acts and Ordinances for the services of the current year have expired. Of these, three expire on the 31st December, 1875 ; four expire on the 31st March, 1876 ; and two on the 30th June, 1876. The Government propose to heal this legal defect by special legislation. For this purpose, a Bill intituled the " Provincial " Appropriations Extension Act, 1875," has been prepared, and will be brought before the Legislature to-day. It consists of seven clauses, and a schedule reciting the Provincial Acts which it is proposed to continue to the 30th September, 1876. The following are the leading features of the Bill : Clause 2 enacts that "the appropna- " tion by each of the Appropriation Acts " or Ordinances mentioned in the sche- " dule, of any moneys for the payment of "salaries, and of the miscellaneous and " contingent current expenses in the i " maintenance of the Government of the

" province to which such Act or Ordinance "relates, is extended from the date of "the expiration thereof until the 30th " day of September, 1876, so that all " such salaries and expenses shall be pay- " able until the said 30th day of Sep- " tember, upon the same scale as in such " Act or Ordinance set forth."

This provision is absolutely necessary, if the public services in the provinces are to be conducted efficiently. It neither adds to nor diminishes from the provincial establishments, but takes for granted that the several Provincial Councils made sufficient provision for the conduct of their public business. The Government could .not undertake to revise these Appropriation Acts ; that task must be undertaken during the recess, when Ministers will have more leisure than they can possibly command in session.

Clause 3 is intended to give effect to one of the conditions of the compact between the Government and Opposition on the Abolition of Provinces Bill. It enacts that where, by any such Provincial Act or Ordinance, '' money is appro"priatedfor any public work or other " special service, the Superintendent of " the province may, subject to the provi- " sions of the twenty-sixth section of " the Abolition of Provinces Act, 1875, " enter into any contract or incur any " expense for the execution or perform- " ance of such work or service on or "before such 30th day of September, " 1876: Provided that no such contract " shall be entered into, or expense be " incurred, without the consent of the " Governor, by which the total expendi- " ture of such province shall exceed the " total estimated revenues thereof for the " period ending on the said 30th day of " September, 1876, and the estimate of " such revenue shall be made by the " Superintendent, and on being approved " of by the Governor shall be'deemed to " be the total estimated revenue for the " purposes of this Act!" This is a necessary clause. It does not bind the Provincial Executives by any hard-and-fast line during, their irresponsible administration, but takes precautions' to guard colonial interests in the matter of local expenditure on public works. We are not disposed to think that any of the Superintendents would have taken undue advantage of their position ; but it was clearly the , duty of the Government to take care that such a thing should not happen. The Superintendents will have the best information for estimating the revenue of their respective provinces, and the Bill proposes to treat such estimate as final, for the purposes of the Act. This is so manifestly fair and liberal that no objection can be taken to it.

Clause 4is important. It provides that in case the revenues of any province exceed the expenditure chargeable thereon up to the 30th September next, " the " Superintendent of such province may "agree with the Governor as. to any "public work or works, grants to road " boards or other local bodies, or for any "public service for the benefit of such " province on which such excess may be " spent, and may, with the consent of the " Governor, but not otherwise, contract " for or otherwise incur the expense of "the execution of such work or works, " grants or services, at any time on or " before the said 30th day of September, " 1870 ; and all moneys so expended '' shall be deemed to have been appro- " priated by the legislature of such " province." This clause effectually disposes of the difficulty which must have arisen in respect of unauthorised expenditure under the Provincial Audit Acts. The whole question is narrowed into the smallest possible compass. The General Government retain the power in their own hands, and being really responsible for provincial administration pending the coming in force of the Abolition of Provinces Act, it i 3 only reasonable that they should have a sufficient check over unauthorised expenditure, which measures framed for a different state of things did not give them. At the same time, it is to be regretted that such a clause was necessary. It would be much better, were it possible, to spend public money under specific appropriations only, but the exceptional circumstances of the case justify such an enactment as the one now proposed. The sth and oth clauses provide for the raising of money by Treasury bills to the extent of £92,000, in aid of the revenues of Auckland and Westland. Clause 5 provides that if the revenues of these two provinces shall, be insufficient to provide for the expenditure chargeable thereon respectively, the Colonial Treasurer may, at any time before the 30th September, 1876, make advances out of the Consolidated Fund, in aid of the revenues of either of the two provinces named, to the extent of such deficiency, provided that the advance to Auckland shall not exceed £60,000, and that the aid to Westland shall not exceed £30,000. Clause 6, as we have said, authorises the Treasurer to raise this amount by the issue of Treasury bills. Why • the sth clause should be restricted to Auckland and Westland does not appear. It is possible that other provinces might need a grant in aid of revenue, besides those named, whose necessities are at present known, but in that event, unless the clause be amended, the Government would be unable to come to its relief.

Clause 8 is the sequence of clause 4, and is as follows : —" After the passing of " this Act, it shall not be lawful for the " Superintendent of any province under " the authority of the 12th section of the " Provincial Audit Act, 1860, or under " any other authority, to issue any " special order directing the Provincial " Auditor to certify any warrant for the " issue of money in excess of or without " the appropriation of the Superinten- " dent and Provincial Council of such " province, nor for the Provincial Auditor " to certify any warrant in obedience to " any such special order, unless such " special order shall have been first " assented to by the Governor, and every " such special order and warrant shall " without the Governor's assent be null " and void."

We think, now that the Abolition of Provinces Act has been passed, the Bill, whose provisions we have just _ summarised, should be accepted, without question, by both sides of the House. It completes the former measure, and enables the ordinary administration of the provinces to be carried on without any jar until the provincial system expires, as provided by law.