MONEY FOR ROADS

Evening Post, Volume CX, Issue 137, 6 December 1930, Page 26

MONEY FOR ROADS

INTEGRITY OF FUND

NEW ZEALAND PARALLEL

How much the whole world proceeds along a pattern will be'manifest from the-following article from the motor columns of a San Francisco paper, in regard to special taxation for roading purposes and tho danger of the resultant'funds being raided for other purposes than that for which the taxation is levied, i.e., the construction, of highways, a danger by no means unknown in this country and calling for continued alertness, especially when times I are . bad:— j ''• Oh, what a storm of protests have I rent the air since tho suggestion was< made a week ago that efforts would be made at the coming session of the Legislature to bring about the use of part of the gasoline tax for purposes other than the highway building programme. The motoring public, individually and-

collectively, have gone on record strongly opposing any suck x'lan, and in. this | liave the support of State leaders and officials who soo.--.iuiu wrought to ourhighway programme should such a scheme be allowed to bo carried. "It is purely iavcasc' of grabbing, fingers and itolnngipalrps. The.iplan gives: no\;thought to th'd"future oil* the State. It. looks as' though itWas'aimed to advance political ambitions at the cost of ruining a constructive programme that to-day -is reflecting inestimable value Jo all of California. "The scheme as suggested outlines a plan to reduce property taxes by a new method of distributing the gasoline tax, despite .-.the. fact-.that .-.to fasten an undue share of general taxation on highway users would bo class legislation, and, in the minds of those who know, would not be sustained in any Court. "As previously noted in these columns, the suggestion was contained in a recent report,of the State Board of Equalisation, in' which' the board estimated that the income from the gasoline tax i'Or'thevnext ten years-would total some 600,000,000 dollars. Investigation now shows that the board has an exaggerated estimate, and that in its figures it has included refunds that go to purchasers of gasoline for non-highway use. , •- "Among the first to challenge. the proposal were Senator Arthur H. Breed' president pro-teni.of the State Senate;, B. B. Meek, director of the State Department, of Public Works,: and H. J, Brunnier, chairman of the Highways committee of the'-California State Automobile Association. .... -. "Senator Breed is the author of the

i original 2-ceut gas tax Bill and of the subsequent additional 1-eent tax for new construction. Ho is a director of tlio California State Automobile xissociation. In presenting his attitude and that of the motorists'.organisation, Senator Breed said: " 'The needs of the' California highway system for the next ten years will require all of the proceeds of tho gasoline tax, but should there lie a surplus the tax would have to be reduced to keep faith with the motoring public. " 'California is developing the finest system of highways of any State in tho Union. This is the result of a sane plan of financing, and the fact that the gasoline tax has been kept intact for the purpose for which it is levied. " 'The last 1-eent gasoline tax was for the completion of California's highway system. When I introduced the measuro I stated explicitly that should the time ever come when the system was either completed or did not need the- amount raised by the tax I would be the first to advocate its reduction or repeal. " 'The fact, however, is that we can look ahead ten years and see a need for every cent of this money. Beyond that it is difficult to estimate our highway requirements. I will be bitterly opposed to any attempt to divert this money to other uses.' "Regarding the estimate of 600,000,----000 dollars announced by the Board of Equalisation, Director Meek has replied as follows: — -"'.' 'The statement of . tho Board of •Equalisations is most misleading as to the revenues available for State high.way purposes from the gasoline taxes.

While collections this year will approximate'4OjOOO,'OOO dollars, the board has failed to note that refunds to purchasers of gasoline for non-highway use will total '4,000,000"'dollars, and that of the remaining 36,000,000 dollars, one-third, or 13,000,000 dollars, is paid out to the counties for use 'on county high--.ways<:.'¥ ■•";' ;i*; • ' v- -" 'Instead 0f'600,000,000 dollars from gasoline taxes for State highwaya, during the next ten years, estimates of revenue from all sources total 320,352,----750 dollars. California is fast regaining world leadership in highway construction, but if highway funds are to be diverted to other uses California will soon,-find itself trailing, well in the jrear of many other States. " 'The attempt to fasten an. undue share of general taxation upon highway users would be class legislation of the most reprehensible character, without even the virtue of reducing the tax burden.' ■ : ', '^California's . prosperity and progress are- virtually dependent upon its abrlityito build a»d maintain roads in proportion to its growing population and increasing automobile ownership and motor travel. , Mr. Brunnior stated: " 'Engineers of.the State arid of our association havo been working for months' he said, 'upon plans and estimates' of the funds needed to bring the State highway system to a point within ten years"wheie it can take care of the immense volume of .-■' traffic We know, that every cent obtained'from the gasoline tax, from registration fees, and from Federal aid to] State roads will* be .required to complete this programme.' " . . ,