Supplementary Estimates Discussed By Parliament

Taranaki Daily News, 21 August 1942, Page 4

Supplementary Estimates Discussed By Parliament

Press Assn.

Question of sum voted for earthquake repair.

Wellington, Last Night.

Votes totalling £2,361,048 are contained in supplementary estimates which were presented in the House of Representatives to-day. This sum, together with that voted on the main estimates, makes a total of £67,018,611. An additional £623 appears on the vote of the Prime Minister's Department for the purchase of a motor-car for the New Zealand Legation at Washington. Grants to local bodies for earthquake damage amount to £6500. This sum is to cover the extra expense incurred through the erection a second time of chimneys, interest on overdrafts of local bocncs brought about through earthquake expenditure, and the cost of clearing sti'eets and miscellaneous costs after earthquakes. , „ An additional £150,000 is voted for present war pensions and allowances. It is stated that new claims are being established at the rate of 600 a month. There is a vote of £29,500 for construction work on the South Island main trunk railwav line. Compassionate Grants. Compassionate grants of £500 are made to th° widows of the following members of the House of Representatives who died while serving with the armed forces: Colonel J. H. Allen, Major A. N. Grigg and Lient. A. G. Hultauist. Grants to members and dependents of members of the police force and Home Guard killed on duty at Koiterangi last October total £3750. Adverse comments on a ciause in tnsurange policies imposing a £50 franchise on earthquake risks was made by members when the vote in the supplementary estimates of £206,500 for earthquake damage was under consideration. The Leader of the Opposition, Mr. S. G. Holland, said he thought the time was ripe for the Government to state its policy in respect of earthquake repairs. Great hardship was being suffered by many people who had insufficient money to meet earthquake damage costs. The deputy-Leader of the House, the Hon. D. G. Sullivan, said that while £200.000 had been provided for general expenditure in respect of damage done, the Government would not hesitate to provide additional sums should they be required. Tbe i'inister of Primary Production for War Purposes, the Hon. W. J. Polson. said that in many instances insurance companies escaped without a penny of liability because no payment was made unless the damage amounted to £50. He thought the whole question needed investigation. Tlie Minister of Railways, the Hon. R.

Semple. said the experience of recent times showed that insurance companies were escaping a liability they should carry because they were collecting the premiums all the time, and earthquakes were infrequent. There should be no £50 exemption. Mr. Holland said earthquake insurance was on the same level as other insurance. It was a question of the premium charged. , Mr. Sull'van said the whole question might be discussed between the Government flnd the companies. As far as the State Fire Office was concerned instructions had been issued for making generous provision in respect of its policies. The power possessed by the Land and Income Tax Department to enable deductions to be made from employees salary to meet arrears in income tax was mentioned by Mr. J. A. Lee (Dem. Lab., Grey Lynn), who said he woulci like the assurance of the Minister that this power was not being used in such a way as to keep some people virtually in prison or on probation for the rest of their lifetime for a debt that had becorne a burden and too onerous. The Minister in charge of the department, the Hon. A. H. Nordmeyer, gave an assurance that this power was not administered harshly. The Commissioner of Taxes, he said, endeavouted to ascertain from the defaulter what he could afford to pay. and where a reasonable offer was made it was accepted and the power to make a deduction from wages was not put into operation. Deparfmental Employees. When the National Service supplementary estimates were under consideration Mr. W. S. Goosman (Opp., Waikato) drew attention to the inerease in the number of employees in the department, which had risen from 413 last year to 821 this year. The cost of the department last year was £107,000, and this vear it was £360,000, he said. Mr. Sullivan said the department had enormous responsibilities, and it was inevitable that there should be a large expansion and increasing expenditure. Mr. Goosman said his point was that much of the work had now been completed. Mr. Semple, who was formerly Minister of National Service paid a tribute to the work of the department, and said that in future its activities might not be so widespread and important as they had been earlier. Although, however, its responsibilities might diminish in some respects, the manpower problem would grow as the war continued. ■When the social security estimate was under consideration Mr. Holland asked if the vote of £10,000 for specialist services meant that this service was to be given at the State's expense. The Minister, Mr. Nordmeyer, said no official arrangement had yet been made, although the matter had been discussed with the B.M.A. The position was a confused one at law, but the vote was to institute a specialist benefit when opportunity offered.