B.—4a

PUBLIC WORKS DEPARTMENT. 1489. The activities of the Public Works Department are many and varied, and the Department controls the expenditure on numerous votes and separate accounts. 1490. By way of introduction, we show the actual expenditure for 1914-15 and for 1930-31 under all headings : —

1491. With the exception of expenditure from Main Highways Revenue Fund, practically the whole of the expenditure shown above is provided out of loan-moneys. It has occasionally been possible in the past to allocate relatively small amounts of revenue for the capital purposes of the Public Works Fund, but in relation to the total expenditure from loan-money these allocations are negligible. It must be remembered that any saving which can be recommended in regard to the foregoing expenditure will not represent immediate relief in so far as the budgetary position is concerned. The interest and sinking fund on loan-moneys are provided in the first instance from taxation, but are recouped, where possible, from the earnings of the various works undertaken. Unfortunately, however, in practice it has very often been found that works have not had that productive value which was anticipated when they were started. 1492. It is difficult to obtain a comparison between the two years —firstly, because of changes in accounting methods, and, secondly, because the separate accounts in existence in 1914-15, such as Railways Improvement Account, Irrigation and Water-supply Account, &c., are now merged with the Public Works Fund, and the expenditure which was formerly met from the separate accounts is now met from the General Purposes Account of the Public Works Fund. Then, again, the separate accounts which are now in existence were actually to a degree reflected in the Public Works Fund in 1914-15. 1493. The main point which is to be noted from the foregoing table is that whereas in 1914-15 the total expenditure from the Public Works Fund and other accounts was £2,785,196, for 1930-31 it was no less than £9,307,033. The graph appearing on the next page supplies an interesting comparison of the annual expenditure of the Department, and the expenditure per head of population from 1874 until 1931. It will be seen that from 1878 until 1921 the annual expenditure only twice exceeded £3 per head of population, and for many years it was less than £2 per head. During the last ten years it has, however, with the exception of 1923, been well in excess of £4 per head, until in 1931 it exceeded £5 10s. per head. If any regard is to be had to the credit of the Dominion, it is obvious that this rate of expenditure cannot be continued.

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1914-15. ' 1930-31. Br Bffjfyffii . i. I I 1 Public Works Fund— £ £ Public Works, Departmental .. .. 100,625 131,816 Railways: Railway Construction and Additions to Open 1,146,753 3,035,401 Lines Public Buildings .. .. .. •• 417,000 423,020 Lighthouses, Harbour Works, and Harbour Defences .. 17,131 10,844 Tourist and Health Resorts .. ... . • 8,232 60,288 Immigration .. .. ■■ •• ■■ 33,219 33,544 Construction, Maintenance, and Supervision of Roads, 514,430 1,475,523 Bridges, and other Public Works Telegraph Extension.. .. •• •• •• 288,395 419,756 Lands Improvement . . . • • • • • 13,810 70,534 Plant, Material, and Stores .. .. .. •• 94 Cr. 44,772 Development of Mining .. . . ■ • • • 2,384 Contingent Defence .. .. .. • • j 15, 222 Timber-supply and Sawmills for Public Works Department .. Cr. 2,271 Acquisition and Operation of Quarries .. .. . • •• 4,219 Irrigation, Water-supply, and Drainage .. .. • • 62,614 Electric Supply Account .. . . . • • ■ • • 1,187,797 Total, Public Works Fund .. .. .. 2,557,295 6,868,313* Railways Improvements Account .. .. .. ■ • 9,023 Wellington-Hutt Railway and Road Improvement Account .. . 368| Aid to Water-power Works Account .. .. .. 74,291 Irrigation and Water-supply Account .. .. .. 32,089 Waihou and Ohinemuri Rivers Improvement Account .. 10,004 Land for Settlements Account .. .. .. 92,975 National Endowment Account .. .. . • • ■ 9,151 Main Highways Account: Revenue Fund .. .. .. ■■ 1,091,362 Main Highways Account: Construction Fund . . . . .. 757,906 Education Loans Account .. .. .. • • • • 501,234 Hauraki Plains Settlement Account .. .. .. •• 33,468 Rangitaiki Land Drainage Account .. . . . . ■ ■ 6,767 Swamp Land Drainage Account .. .. . . .. • • 48,063 2,785,196 9,307,113 , i * Includes Railways Improvement Account figures for 1930-31. f Charge to " Unauthorized."