MONEY FOR ROAD CONSTRUCTION

Press, Volume XCIII, Issue 27992, 12 June 1956, Page 9

MONEY FOR ROAD CONSTRUCTION

Suggestion Of Reserve Fund

WELLINGTON A.A. PROTESTS

(Hew Zealand Press Association) WELLINGTON, June 11. The council oi the Automobile Association (Wellincton) expressed a fear this evening that the Government might "raid” the National Roads Board funds. The chairman of the council (Dr S J. Thompson) said the board s revenue was derived chiefly from petrol tax. heavy traffic fees, motor vehicle registration fees and £1.000,030 supplied from public funds. The petrol tax had been increased specifically to provide money for reading construction A particular advantage to be derived from the ear-marking for road works of motor taxation was that there would be continuity of expenditure according to the revenue available. , The council passed unanimously and without comment the following motion proposed by Dr. Thompson: In view of the special conditions relatin' l to the national roads fund this council is concerned that the policy of the National Roads Board should be influenced in any way by the suggestion of the Minister of Finance that the board should curtail expenditure and budget for a moderate reserve fund. There would appear to be no valid reason for the creation of a reserve fund unless the very presence of the fund should in the future prove a convenient source of extra finance to a hardpressed Minister of Finance. The council decided to forward the resolution to the North Island Motor Union “for action.”