LOANS WITHOUT POLLS.

Press, Volume LXVII, Issue 20274, 27 June 1931, Page 16

LOANS WITHOUT POLLS.

FUNDS FOR RELIEF WORKS. EXTENSION OF PERIOD. i'PRESS ASSOCIATION TELEGSAM.J WELLINGTON,. June 26. The Local Authorities Empowering (Relief of Unemployment) Extension Bill was introduced in the House of Representatives this afternoon by Gov-ernor-General's Message, and accorded urgency. The Prime Minister, the Rt. Hon. G. W. Forbes, explained that the Bill extended the period within which local bodies might raise loans without a poll for the purpose of relieving unemployment to July 31st, 1932, They would still have to obtain the consent of the local Government Loans Board before raising loans. Mr D. G. gullivan (Lab., Avon) referred to the good work done by many lccal bodies which had taken advantage of the legislation, and expressed a hope that no difficulties would be raised by the Local Government Loans Board to prevent works from being put in hand.

Mr A. R. Harris (R. t Waitemata) said he believed the operation of the Act was 1 largely restricted' or nullified by the Board. Many local bodies had experienced decided opposition from the Board, and the Government should look into the matter. It semed strange that the Board should raise obstacles when local bodies were prepared to rate themselves in order to assist the Government. Mr Forbes said he did not dispute that unemployment was a national obligation, but under the No. 5 Scheme local bodies had received the benefit, and they could not divest themselves altogether of the responsibility. He thought the composition of the Local Government Loans Board was sufficient to inspire confidence in it. The Board was working in the best interests of the country as a whole. More Freedom Advocated. Mr E. A. Wright (R., Wellington Suburbs) said at present restrictions were placed on local bodies as to the work which the unemployed could do, and it sqemed to him the time had come when local bodies should be a greater measure of freedom. Mr Forbes said the amount of money raised under the Act was as under: — £ 1928-29 .. .. 102,533 1929-30 .. .. 120,400 1930-31 .. .. 110,150 Total .. ..£333,083 That sum had been subsidised by the Government to the extent of £175,102, and by the Unemployment Board to the amount of £63,965. Mr F. Langatone (Lab., Waimarino) suggested that the Government should raise a comprehensive loan for the assistance of local bodies for unemployment relief, as local bodies found difficulty in securing money, otherwise possibly nine-tenths of tho local bodies would not bo able to take advantage of tho Act. Nepessary Works. The Leader of tho Labour Party, Sir H. E. Holland, supported what had been said by his colleagues. He said for the Bill to be made a successful measure depended as much on the Local Government Loans Board as oii the local bodies, and many of the latter were wholly unable with the funds at their disposal to purchase materials for relief works. Quite a lot of very necessary works could not be undertaken under the conditions of the No. 5 Scheme. Mr W. D. Lysnar (Ind., Gisborne) expressed a hope that the Prime Minister would not be induced to interfero with the Local Government Loans Board, which should be permitted to exercise full discretion. Tho Bill was put through all its stages, and passed.