WORK OF COUNTIES

Dominion, Volume 28, Issue 285, 29 August 1935, Page 2

WORK OF COUNTIES

Association Conference

PRESIDENT’S REVIEW Liability of Crown For Rates The liability of the Grbwn for rates, hospital levies and subsidies on road expenditure were the chief subjects referred to by the president of the New Zealand Counties’ Association, Mr. A. E. Jull, M.P., in his address to some 120 delegates at the annual conference of the association, which opened in the Masonic Hall, Wellington, yesterday. In opening the conference, the Minister of Lands, Sir Alfred Ransom, said that local body government had now been a firmly established principle in the Dominion for over 60 years. It was not suggested that perfection had been reached, or that improvements could not be effected, but on the other hand care should be taken before any changes were made. During recent years counties generally had given relief to ratepayers, while at the same time performing their excellent services. The Government had tried to stand by what they considered to be the best interests of the people. He thought it redounded to their credit that they had carried on the government of the country during the period of depression without raising the public indebtedness one penny piece. During the depression only two local bodies bad got into financial difficulties, and these were now recovering. He could not visualise any system of change in local body control. The system of election was entirely satisfactory, and those elected were truly representative of the people.

Sir Alfred Ransom went on to refer to the long and valuable services which Mr. Jull had rendered to the Counties Association as chairman since 1904. As far as the remits which were sent forward by the Counties Association were concerned, they were always reasonable, and worthy of consideration. He went on bo refer to the assistance which the Government had given local bodies in the way of increasing employment during the period of depression, but hoped that county councils would not take advantage of this to cease spending the amount they would ordinarily expend on maintenance works. There appeared to be a misconception in the minds of some county councillors that the Lands Department had instructed Crown land tenants that they were to meet their obligations to the Government before they paid their rates to the local bodies. This was incorrect.; his policy had been that where a tenant could not his obligations, in full he should make a pro rata distribution, and this included the payment of rates.

He was not one, he said, who believed that the prosperity of the Dominion should depend entirely upon the export of produce. He thought it was possible to largely increase the population of New Zealand, aud thus spread the responsibility over a larger number. He wished the conference every success in their deliberations

In proposing a vote of thanks to Sir Alfred Ransom, the president, Mr. Jull, said that the Minister’s remarks let in a ray of hope that some of the measures for which they had been pressing might come to fruition. Presidential Address. a X Mr. Jull, in his presidential address, said that the Transport Co-ordination Board had held an inquiry last year in reference to transport, road taxation and other matters, and the executive, along with other organisations, had given evidence. The executive specially stressed the proposal for a subsidy of £1 for £1 in respeeb to all expenditure on roads other than main highways, iu lieu of the present subsidy on rates.

Subsequent to the inquiry the executive appointed a sub-committee to confer with a committee of the New Zealand Farmers’ Union, with the view of endeavouring to secure unanimity among rural organisations in respect to this important question of subsidies, and he was glad to say that after a thorough discussion on the relative merits of the derating proposals, which had previously been favoured by the Farmers’ Union, that body had agreed to co-operate with the Counties’ Association in advocating the proposed subsidy system. They had also had some unofficial conversations with the Automobile Association with the same object. "I have brought the matter of this very urgent and equitable proposal of £1 for £1 subsidy officially before t-he Government, and asked for legislation to be introduced this session of Parliament to give effect to same,” continued the president. For many years successive conferences bad passed resolutions in respect to the inequitable system of hospital levies now in operation with no result, Mr. Jull proceeded. The Hospital Association had recently formulated some important proposals, and the counties’ executive had met the Farmers’ Union executive, who also had from time to time discussed the question, and it was agreed > to endeavour to secure a joint conference of the various interested organisations with the view of securing a sufficient measure of unanimity to justify the Government in bringing forward some legislation more acceptable than the present system in respect to the apportionment of liability for hospitals. Liability of Crown for Rates. A matter of great importance to all local bodies was the inability to collect rates on many properties leased from the Crown or mortgaged to the various State lending departments. While the Government had really no sound argument to offer as to why the State, ns lessor or mortgagee, should be exempt from the liability which was borne by private lessors or mortgagees, they had refused up to the present to accept the liability. The executive had pressed this matter strongly, and he had endeavoured personally in the House to secure a more reasonable attitude, but had not yet succeeded. The passing ot the Mortgage Corporation Act in respect to all new mortgages and of any mortgages which may be actually taken over in full by the corporation from the State Departments would secure the partial elimination >f Crown exemption, but this would not apply to thousands of mortgages for which the corporation was really only acting as agents for the State. “I am, however, hopeful that before long this long-felt injustice will b n totally removed,” Mr. .lull eontin-.ed. “It Is only fair to say that the granting by the Government of a special subsidy on two occasions of 12} per cent, rebate n all county rates has been of great benefit to rural ratepayers, and has been a recognition of our grievance in respect to exemption of State liability. ( “The payment of 124 per cent, sub-

sidy on rural rates bas opened up the question as to whether the amount of the portion of such subsidy payable on the general rate up to jd. in the £1 should be first deducted, and the ordinary subsidy paid on the balance. The departmental requisitions to county councils for dissection of the rates were so intricate and would involve such an amount of work that I protested strongly to the department, and have also taken up with the Minister of Finance the question of the validity of the departmental claim.” The Local Authorities Interest Redu Hon and Loans Conversion Amendment Act, passed in 1933, had been of material benefit to many counties, the president continued, and a considerable number of counties had made satisfactory conversions enabling them to secure considerable relief in interest charges, and greatly reducing and simplifying the internal working of the council’s finances. A number of councils had also taken stops to abolish the keeping of separate riding accounts under the powers given by statute. Possibilities of the Future. “May I add a word or two as to the possibilities of the future,” concluded the president. “It is possible that from time to time additional duties and responsibilities may be asked of the county councils, and that functions now carried out by other bodies may be entrusted to the counties. If such additional duties are asked of you in the general interest of the Dominion, do not (as I am sure you will not) shirk them, but recognise that, as we have developed from the old road board system, and have satisfactorily met the conditions brought about, by the newer forms of transport on our roads, so I feel sure that the men who are responsible to-day for our county administration will show that they are able to handle any extra local administration work which the future may call for.

“It must be always remembered that there are many who are advocates of further centralising of control of all our Governmental and local body activities. There are others (myself included) who are advocates of decentralising, but it has been well said that ‘eternal vigilance is the price of freedom,’ so can it be said that equal vigilance is necessary to maintain powers and responsibilities already secured and increase them as conditions demand.” Remits Approved. A remit, put forward by the executive, to the effect that Government departments lending on rural lands, such as the State Advances and Lands Departments, Should be liable in the same manner as other mortgagees for rates on their lands, was carried. The conference reaffirmed its previous decision to renew application to the Government for a £1 for £1 subsidy in respect to all expenditure on roads other than main highways. The delegates were blie guests of the president, Mr. Jull, at luncheon at Kirkcaldie and Stains’s rooms yesterday, and the afternoon was spent in committee work.

ASSOCIATION’S REMITS / Questions of Rating Various aspects of laud legislation, rating, taxation, and other questions affecting the administration of counties throughout the country were dealt with in remits adopted at last night’s session of the Counties’ Association. Included in the remits passed were the following:— That urgent representations should be made to the Government to bring down legislation along the lines of the Native Rating Bill whieh approved of at a representative meeting of borough aud county councils interested in the native tating problem and held at Rotorua in May, 1934.

The conference is of the opinion that the Rating Act, 1925, and amendments do not provide the machinery whereby local authorities may enforce payment of rates on native lands and now urges upon the Government to give consideration to the, following alternative measure: That the native rating problem be treated from a national viewpoint in lieu of the present method of placing a burden upon sections of the community for the most part sparsely populated rural areas.

Section 112 of the Rating Act, 1925, should be amended so as to allow the interest of any occupier of native land to be sold for non-payment of native rates. The Maori Land Boards or the Native Trustee, where they are mortgagees, should be made responsible for rates in the same way as private mortgagees. Waterworks, publie plantations, recreation and other .similar reserves owned by municipal corporations and situated in counties should be not e.xempt from rates. Schools in counties (other than State schools), should be not exempt from rates for all land over four acres.

The association reaffirms the principle that the present system of rating for hospital purposes is most unfair in its incidence. and is of opinion that a conference should be held between representatives of the Counties’ Association, the Farmers' Union and .Hospital Board's Association and Municipal Associations. In the case of lands under the control of a native land board, the board should be made responsible for the cost of eradication of ragwort and other noxious weeds. The English style of re-licensing motor vehicles and issuing of number plates would prove more satisfactory than the present New Zealand style.

The issuing authority should be authorised to cancel a motor-driver’s license when the holder is found .to bo physically unfit, provided the license holder is given the right of appeal against the decision of the licensing authority. The counties should protest against the Government using moneys from the highways accounts for development and national undertakings such as the Milford Sounds Road instead of being used on highways.