CITY MILK SCHEME

Evening Post, Volume CV, Issue 91, 17 April 1923, Page 7

CITY MILK SCHEME

REVIEW AND PROSPECT

FUTURE POLICY OF THE COUNCIL

ADVICE OP RETIRING CHAIRMAN

A brief review of the operations "of the City Council Milk Department, yand a number.of> suggestions as to the future policy of the council in connection with that important trading concern, were made by the chairman (Councillor C. J. E. Norwood) at the final meeting of the Milk Committee to-day. Mr. Norwood is not seeking re-election to the council, and on the eve of his retirement'from participation in municipal affairs, he addressed .the committee on general matters in connection with the' undertaking, explaining tKe ideas which he hop«s to. see the incoming council bring into effect. He/also presented to. the committee a statement of the finances of the department. .

"Before relinquishing my office as chairman of the Milk Committee," began Councillor Norwood, "I would like to place orj. record my opinions upon future.policy, and I trust that these may be of some service to the council and the committee in the future. Since -July, 1919, when' the first instalment of" the municipalisation of the milk supply 1 was taken in hand (in conjunction with the vendor contracts),; the Milk Committee 'has worked, untiringly with an ideal'to accomplish. The members were not surprised, that they found as time weiit on that they had much to learn. It must be \ also remembered that there was no similar undertaking to copy; there were no experienced managers or staff in the community from which to draw managerial and working staff. There wa3, therefore, much pioneering Work to be done. It has been frankly admitted that' rnah- | agsrial mistakes have arisen from time to time, but in this connection I have been able to claim fairly that my "committee lias been alert to observe and not slow to remedy these faults. The two 1 important problems which beset the* Milk Committee at the commencement were: "1. To secure a winter supply 1 which was, prior to the advent of the council, 60 per cent, short of the city's net requirements. " /' "2. To bring about euch conditions as would stop adulteration and the delivery of milk.'to the people unfit for human consumption. FIXATION OF PRICES. - "When going into details I feel I may fairly claim that the Milk Committee solved both of these important problems as borne out by the statements of our leading medical men, the Health Department, and the head of the Agricultural Department; this has been done at a price to the public which has compared favourably with the retail price in force in the leading cities of New Zealand where the vendor system is still operating. Referring now to future policy, there are three important matters which,should engage the attention of the new committee, and which I place here j on record and trust they will have full | consideration when the time comes:— : I 1: The setting up of a tribunal, for the i fixation of prices which the council will I- have to pay the farmer from year to year for its milk supply. } 2. A better method of dealing, with the t two-mile'i-adius farmer who raises milk on his own farm and delivers to the public therefrom. ' .''. 3. A new station designed to meet up-to-date and economic handling and treatment' of' the milk- supply: "As each one of the above subjects is sufficient for a separate and lengthy report, I can only here touch briefly upon the main-points. Referring to No. 1— the price Fixation Board—the personnel which, in my opinion Would be best and most democratic should consist of ah appointee of the council, one of the far- [ merSj and a chairman, the latter to be appointed by the responsible -Minister. | "The fact that the council has'a hibno- | poly of the retail supply within the city makes it the only customer'with-which the farmer may deal. This fact, has the tendency of causing the farmer, however fairly he is treated, to regard the council as some kind of octopus that is working against his-intereri^ and the experii ence of last year when a Parliamentary inquiry was asked for, not by the suppliers to the council, and the evidence given at that inquiry* all in my opinion went to indicate the importance oi some 1 better form of purchase -which will remove the ground for appeals to Parliament, and 1 am satisfied that under such a system where each side will give . its evidence to the board, the board in turn will settle the price fairly as between the city and the farmer. Ths last Parliamentary inquiry cost the council several thousands of pounds, and this was not in sight when the retail price to the public was fixed for the year. NEARBY FARMERS. " . "It is very difficult to. see., how the council can maintain its policy of improving the purity of the milk supply [ from year to year while the two-mile-radius farmer is allowed free and unrestricted rights to go where he will throughout the city in the sale of his milk. I am of opinion that the council should seek power when the amendments of the I Act are under review to take over the ! nearby vendors' rounds, by the payment of reasonable compensation. ' On ( the hills around Wellington it is not possible for all the farmers to secure a water supply sufficiently cool in the summer time to produce anything .like a first-grade article, however careful the farmer himself may be. I therefore put forward the following reasons for seeking the powers referred to above:—

"1. Economy in distribution. Our present staff and managerial expenses would not be materially increWd if they had to deliver a considerably increased daily supply within the area they now traverse. "2. If any of tho fanners within the two-mile radius could so arrange their herds and farms to satisfy the Expert Board now controlling this section, thhfc they could supply unpastenrised certi- > fied first-grada milk, they- would then be able to participate in this nest phase of- the council's policy., which is to supply unpasteurised milk from special farms, and for this particular milk slightly increased , payment would be due to the farmer. . "3. The natural growth'of the population of Wellington makes the position of the nearby fanner temporary only, as the population must spread to the outskirts and gradually absorb tho available land within the radius. "The financial side I figured out. and considered very carefully, and I am satisfied that fair and reasonable -compensation could be paid to those men, with the authority of Parliament, aim the payments for such will in no way^ embarrass the finances, but rather tho change will aid the efficiency of the general working of the council's department. ! A NEW STATION. "I regard the construction of a new milk station, as not tie least important part oi future policy. It must, be remembered that the station is now situ--1 atad in the vory heart of the city, and

the large milk wagons, whichmust become more numerous as Wellington increases its population, have got to pass over all the main tramway routes to reach the station, and the method sof taking delivery of this milk and ho'istmj^it to the top of the building are not sufficiently, efficient although at present necessitated by circumstances. The general design of the building was not arranged to look after nearly as large a supply as is now passing through the department, and although everything possible has been done to minimise the handling and economise in the wbrkinc there is much yet to. be done. The cost of power and steam; can; be reduced from 40 per cent, to 60 per cent., and this alone would be sufficient to pay interest and depreciation ;on a substantial sum of money. Further, it must be remembered xhat this property is situated perhapa in the most valuable area and is too expensive altogether for the permanent servioe of the milk station. The property has all been well "bought and will form a substantial asset to turn into cash when the time: for "the change over, comes, which time; I-trust will riot be more than five years* hence. If the recommendations contained .in my financial report are accepted .b.y; the council, a station could be erestedp.within ft>e years' time without the', department being; in any way hampered by: over-capitalisation as the result of haying started in a_ temporary etation. "In concluding this report, I would llko to make reference to the expert boatfd set up last year after the findings of the Parhamentaiy Committee to deal with newby fanners. The personnel of the?^)krd is the Director-General of Agriculture, Dr. Watt, Health Officer, and. ;Dr..l Hardwick-Smith, representing the; council. This board has already done 'Valuable work in the city, and I am now > convinced that every city, ■whether; the supply is municipalised or not, - should have a board constituted moTe or loss on the same lines with power to make regulations relative to the ; suuply of milk. lam confident myself that whatever may be the fate of the nearby farmer, there is still valuable service to be performed by this board. This is but a scanty outline of my:ideas, and I hope to see the new council carry at least some of them into effect."