SPEECH BY MR. MYERS.

Dominion, Volume 5, Issue 1460, 7 June 1912, Page 6

SPEECH BY MR. MYERS.

» THE CIVIL SERVICE. lIAILWA VH: POSITION TO HE RI'.'VIKU'EU. (By Telegraph.--Press Association.) Auckland, June li. A presesMonfil address In (he electors of Auckland Hast was delivered'by the Hon. A. .M. Myers (Minister for Railways) tonight. There were about GOII people present. There were sealed on the platform the Hon. \V. lieehan, M.L.C., and Messrs. .1. C. Thomson, M.l\, and A. K. Glover, M..l\ Messrs. Poland and Reed, M.l'.'s, were also present.

Air.-Myers was received with cheers, lie referred to the statement that the Government did not represent the majority of the people. An examination of the votes polled at the recent election showed that -18 per cent, were in favour of Liberal candidates, and 3:U per cent, for those bedding Opposition views. Continuing, Air. Myer.s .said that one fact that marked the earnestness of the Government was the appointment of three commissions to inquire into subjects which vitally affected the prosperity and stability of the country. It. was not expected that tho Cost of Living Commission would solvo a problem that had perplexed the greatest economists, but no practical solution would be attained except by the collation of reliable facts, and tho Government was determined tljit tho New Zealand quota of information would bo beyond all dispute. "I am convinced," said Mr. Myers, in reference to the Civil Service Commission, "that it is ill tho interests of the State that tho whole public service shall entirely freo from party polities. Tho service' belongs to the taxpayer, and not to (he party for the time being in office. Four things are necessary to bo maintained: The right of every child, no matter how poor or uninlluential his or Iter parents are, to enter the public service; promotion by merit after entry; freedom from party or political influence; and a- fair salary for equivalent, service, ami proper service for a fair salary. If these principles are adhered to, our public service will be a credit to the Dominion. If after the commission has reported 'Parliament finds there are any defects, measuves can at once be taken to remedy them." . , The Minister revicwod the financial position of the Dominion. He stated that it was apparent that a vigorous policy of closer settlement must be pursued. Tho total area of Native lands alienated during last year bv ivay of lease and sale was 629,732 acres. A statement had been made by Mr. Massey that there was need' for an adjustment in tho valuation ot improvements and for an amendment of the law that would remedy the position under which people were actually paying taxation on their debts. It agreed with the view held by Mr. Massey that a man's mortgages should be deducted, from the unimproved volue of his land before the graduated tax was imposed. That-'was done iii the ease of ordinary tax, but not in the case of graduated tax, because if mortgages .were deductable for graduated tax its main object to brook up the large ostatos would bo defeated, and it would be rendered impotent as a revenue producing factor. Ilis reference to valuation of improvements was open to a similar objection, for if improvements were valued •at the figure desired by the taxpayer tho immediate result would be that the unimproved value would be rapidly diminished. There would be a big decrease in revenue and rate of the tax would have to be raised to bring the revenue back to its former level, so that tho taxpayer would receive no benefit.

Reviewing the operations of the State Guaranteed Advances Oflice the Minister referred to remarks b.v Mr. Massey at the Auckland Farmers' Union dinner in the course of which Mr. Massey said the cost of Stato loans had increased from 31 per cent, including sinking fund, under the old Act to 5J per cent. The payment of 35- per cent under tho old system did not include sinking fund. The State had to continue the payment of interest on tlio money borrowed for loans to local bodies and would have to repay the debt incurred amounting to over <£<1,000,1)00. 'Ilie present rate of interest was ,£-1 17s. G'd. for a 3V per cent loan and .£5 Is. for n 33 per cent loan, including sinking funds. Tile present system was not restricted to ,£200,000 per annum, and during the period of a little over two years since it commenced'the Department had lent, or agreed to lend, to local authorities a total of J32.324.f120. Mr. Massev evidently wished to convey the idea that local Iwdie's were being charged an exorbitant rate of interest by the Government, but on the debt of ,£17,000,000 owing bj- local bodies, apart from that owing to the Government, they were paying an average rate of interest, r.ot including sinking fund, of .£( lis. 7d. The fact that the Government was unable to meet the demands of local bodies was.surely sufficient index of the ponularity of the system.

During'the next*decade the benefit of the'enlightened legislation of the past few years should be extended io the pioneers and their wives and children. They should have good roads and bridges. The backbloeks were clamant in their desire for money, and if the Government attempted to borrow to satisfy their legitimate needs the old cry of reckless borrowing and plunging finance was raised. However, it seemed that a solution lay along the line* he had indicated.'

_ Tlieve hail been a substantial increase in tlio volume of traffic and revenue in the Department of Railways, compaic.d with tlio previous year. The number of passeugers carried showed an increase of (i!)0,nn0: coaching item?, 80.000: goods, 45,000 tons; anil revenue, .C 182.327. The net earnings on the total capital expenditure were etpial to a return of 4:3 IBs. per cent., which must be regarded as highly -satisfactory. There would lie considerable improvement ill the suburban train services of thf four chief towns, and if the Government was satisfied that other lines required increased facilities tlioy would be for no good purpose was served by starving any district of railway facilities merely for the .purpose of i lowing increased revenue. An endeavour would be made (o devise a scheme <jf light, railway construction to develop the country districts as yet badly roaded, and, therefore, inaccessablo for settlement. Any lifrht railways should be capable of conversion into standard lines if the development of traffic mado such a step necessary. A petrol motor-carringo wns being built at Peton-e, and would be computed in a week or two, and if it was successful in its trials others would be erected as an economical means of carrying Da.wengcrs where the population was small.

"T believe (hot our best brains are required to do justice to the responsibility of the Railway Department," said Mr. Myers. "The position will have to lie reviewed, especially as the chief officials aw near the lime for their retirement. It is a splendid opportunity to review tiio whole 'position, and with that end in view the Government will submit certain proposals, which T have no doubt will result in providing most -efficient management, and the introduction of most modern ideas so far as railway management is concerned." "

A vote of thanks nnd confidence was carried in Mr. Myers as Minister and representative, and confidence that tho Mackenzie Ministry posseted the confidence of the majority of the electors in the Dominion.