FREEHOLD FOR ROTORUA

New Zealand Herald, Volume LVII, Issue 17596, 8 October 1920, Page 6

FREEHOLD FOR ROTORUA

EMPOWERING BILL DOWN. •v...; - r : ' : /•', ».) < - „ - , ; MUCH OPPOSITION EVIDENT.

LEASEHOLDERS UP IN ARMS. 'V . f-T ' y . ■■ '■ ? "i. '■ 4 'v-;' •••- .

tBT TELEGRAPH.—SPECIAL reporter.] . WELIiNGTON. Thursday. Another fight on the issue of -freehold versus leasehold was opened in the House of Representatives - to-day when the Rotorua Town Lands' Bill was Introduced. This Bill proposes to - confer on tenants of Crown leases "in the town of Rotorua the right to acquire tfio freehold. Opposition to the proposal' from the Liberal and Labour benches was 'announced at once. ; The Minister for Lands, Hon. D. H. Guthrie, said that Members were well •ward there had been an insistent and persistent demand for this Bill for many years past. The measure had • already been before the House. ; Mr. L< M. Isitt (Christchurch): And it has always been rejected. The Bill bad been held over but there Was still a, demand from Rotorua that the freehold should bo granted. The town had been constituted in the early eighties," and Binca that time the only development that, had taken place had been the result of public expenditure. The town was of very great importance, to the whole Dominion (hear, hear). He believed that if the town was to make proper progress its people must be given security of tenure and encouragement to develop the place in a way they had not done in the past. \ Rqtorua up to the present had been a town "leaning on the Government for «suppsrt. The Government did net propose to part with the springs or public reserves. The town at present lacked adequate accommodation, and the reason for that was that the people did not care to spend' money on improving the leaseholds and could not get the financial assistance that they required. Mr. Guthrie added that th town sections were held at present on a 99' years' lease. fie was well awate that the Bill was contentious and that members of the House would %not be in .agreement upon it. He proposed' to refer the Bill to the Lands Committee and to give that committee every chance to take evidence. Objections to' Proposal, ' Mr. G. Witty (Ricearton) said the people of Rotorua were to be given a great ..financial benefit because they i.ad insistent!? demanded it. The people of New Zealand had insistently demanded a reduction in the cost of living but the Government had done nothing. He denied that there was any insecurity of tenure. i '.Mr. J. McCombs (Lyttelton) declared that tens of thousands of pounds had been spent by the Government on developing. and advertising Rotorua, and 'now that i the resort had become famous all over the world a few favoured people "were to get the freehold. % Mr. D. G. Sullivan -{Avon) suggested that the Bi'l should be called " A Bill for the spoliation of New Zealand." Mr. J. Edie (Bruoe). and Dr. Thaeker (Chrifetchttfth East) also declared their opposition to the Bill. Mr. H. E. Holland (Buller) informed the House that the Labour Party was " the logical and legitimate successor to Ballance and Seddont" The party Intended to live up to that claim. , It would fight the Bill every inch of the way. Mr. L. M. leitt (Cbristchurch North), after ridiculing the claim of the Leader of the Labour Partv. declared his firm opposition to the Bill. *4 Mr. G. W. Forbes (Hurunui) said the Rotorua tenants had no legal or moral claim to, the freehold, which meant a gift of public money to them.

Setting Beyoad Control. Sir William Herries, speaking after further debate, said that of all places in the Dominion, Rotorua was the worst served by the Government. There was no question of gift. The full value of the land was to be paid by those who elected to take the freehold. The town was 'maintained at present at public expense, and the tenants paid no rates. The roads were- in a disgraceful condition. If the freehold wet® granted a borough be formed', ana th 6 people would pay their own rates and become responsible for the town. The place was getting, beyond the control Of the' Government ! and the Tourist Department. The drainage required attention. The principal, bath house would have to be rebuilt, and the electric litjht system required the expenditure of £100,000. The reserves, springs, and tourist, attractions generally would remain in the hands of the Government. Sir Joseph Ward, the ex-Leader of the Liberal Party, had expressed himself in favour of the change. He believed the present Leader of the Opposition had also stated his support for the granting of the freehold to Rotorua tenants. The Division List. The blouse divided on the presentation of the Bill, which had come down by ViceRegal Message. The Bill was accepted by 38 votes to 25, the division list being as follows— Ayes (38). * Anderson Luke Bitchener Lysnar Bollard McLeod Burnett McNicol Coatee -» Mander Dickson, J. M. Massey Dickson, J. S. Nosworthy Field ' Parr QJenn Poland Guthrie Ponwre Hamiltopj A. Potter Hamilton, J. R. Powdrell Henare Reed Hervies Rhodes, R. H. [ Hockly Rhodes. T. W. Hudson Smith, W. Hunter Stewart Jones Sykes Lee Wilford Noes (25). Atmore Mitchell Bartram Newman, A. K. Eadie Ngata Forbes Pa try Fraser Savage Harris Sidey Holland Statham Horn ' Sullivan Howard Thacker Isitt Veitch Kellett Witty McCombs Wright Masters Pair. Ayes: Newman. Noes: Hanan. The Bill was then read a first time, and now stands referred to the Lands Committee. Terms of the Measure. The Bill is the same as the Bill which was introduced and read a first time last session. That means to say that it gives to the holders of Crown leases in the town of Rotorua the option of acquiring the freehold by purchase at a valuation to be ; made in accordance with the machinery i provided in the Bill itself. Upon the i lessee giving notice of his intention to ' acquire the freehold, the commissioner of : Crown lands shall call upon the Valuer- ' General to make a valuation of. the cnpital ! value of the land at that date and also of the improvements, the difference be- : tween these two amounts, known as the ' present unimproved value, to be the basis of calculation. In no case is the present unimproved value to be less than the original I unimproved value. An actuarial computa- I tion is then to be made of the present 1 value of the Crown's interest in the land, 1 with interest at the rate of 5 per cent, per annum, payable half-yearly. A similar ca'culation is to be made to ascertain the present value of the rent for the unexpired portion of the lease. The price. to be paid is to be the aggregate of the present value of the rent, 12 per cent, of the difference between the original unimproved value and the present unimproved value in the case of town lands, and 8 per cent. of a similar sum in the case of suburban land, together with the present

i > i Q • j.-• value of the Crown interest ill tRe land. The purchase may be for cash Within, six months of the first \ giving of notice- by the lessee, or on the deferred system. In I the latter case the purchaser _ must pay 5 per cent, .of the price within .the ? six I months, upon which he is given a license to Occupy, and is - required to pay off the I remainder of the price with interest at 5 j per cent, within a period of- 19 years. He is given the right to 'complete the- put- | chase ; at any time within that period. | Penalties for the : non-fulfilment 'by the purchaser of any of the terms of his purI chase are provided in the ordinary way, I while provision for the purchase of a por* tion of a leasehold' and the retention bf the balance under-lease is also made.

Retention of Hot Springs, The retention by ,the Crpwn of ail hot springs and other thermal attractions is provided for by the following clause " Nothing -in this Act shall authorise the acquisition of . the fee simple of any land which is kn<iwn to contain any mineral spring, hot spring, mud spring, geyser, or natural gas, and in the event of any such appearance on any of the' land to which this Act relates after the completion of the contract to purchase, and whether, before or after the issue, of the title, the Crown shall have the right to resume the said land or any portion thereof on payment. of compensation." The compensation is to be assessed in the method-provided by, the Public Works Act, x and the value of "the hot springs is not to be taken into account, with the consent* of the original lessee the sublessee of any of the lands may acquire the freehold by, application to the commit sioner direct, any unsold Crown lands within the defined areas may be offered for sale by public auction. -

GOVERNMENT HOUSE. THE COST OP MAINTENANCE. [fit TELEGRAPH. —SPEC! At REPORTS*.] WELLINGTON 1 , Thursday. In moving the second reading of the Civil List Bill in the Legislative Council to-day Sir Francis Bell said that, according to a practice of which ho did not know the origin, bftt which has- been in force for a long time, certain rooms in Government House, - Wellington, had been furnished, and kept in order by the Government, these rooms being called " public rooms." All the rest of the house had been furnished, kept in order, and painted by the Governor43eneral. This meant that a Governor-General, on coming to New Zealand, had to buy furniture, plate, spoons, cups and saucers, and all the rest of the paraphernalia of house' keeping, including beds, and then make the best sale he Could of them when he went away. There wae no reason for this, and it was not in accordance with the dignity of His Excellency, or with the honour and credit of the country. Therefore, upon the appointment of the present Governor-General the Government notified that it proposed* to invite Parliament to create Government House the country's house, provided by the people of New Zealand for His Majesty's representative. (Councillors: Hear, hear.) Thus, in lieu of the former provision that certain rooms should be provided at the expense of the Government and the rest at the expanse of the Governor-General, and that furnishing, etc., should be done partly by the Government and partly by the Governor-General, the provision now was that all the rooms should be kept in order, furnished, and maintained at the public cost.

IMPERIAL CONFERENCE.

PRIME MINISTER MAY GO.

[Bf TELEGttAPa.-SPECX.Vtf REPORTER.]

WELLINGTON.» Tljur*d*». A question was asked by Mr. W. E. Parry (Auckland Central), as to whether it was intended to hold an Imperial Conference in Jane next, and if the Prime Minister would be the Dominion's representative at such a conference. Mr. Massev replied that it had not yet been decided what form the representation of New Zealand would take, but if it' was decided that the Prime Misister should go to the conference, the hon. gentleman could rest Assured that 1 New Zealand would be well represented. TLaughter). Mr. Parry: Will we have an opportunity of discussing it? Mr. Massey : Yes.' 1