ELECTION CAMPAIGN

Evening Star, Issue 23881, 10 May 1941, Page 6

ELECTION CAMPAIGN

THE MAYOR AT NORTH-EAST VALLEY MR ALLEN ANSWERS CRITICS ALWAYS WORKING FOR THE CITY , Continuing his mayoral campaign, Mr A. H. Allen addressed a meeting of between 40 and 60 people in the North-east Valley Hall last night, Mr William Begg occupying the chair. At the outset Mr Allen referred to the repeated criticism levelled at him by one of his opponents, Dr D. G. M'Millan. At all of the latter’s meetings, the Mayor stated, Or M'Millan had seen fit to criticise him and the working of the council under his administration, and his statements were a misrepresentation of the true position. This was his tenth meeting, continued Mr Allen, and up till now he had refrained from making any reference to Cr M'Millan or his campaign, but the time had come when ho should defend himself. Cr M'Millan had stated that he would co-operate with the Government in any undertaking for the development of Otago, and he had also stated that it was the mayor’s duty to advance the interests of Dunedin. “I want to ask Dy M'Millan what he has done for Dunedin, either m Parliament or out of it,” said Mr Alien. That gentleman had mentioned the Haast Pass as a matter in which he had interested himself. However, the late Richard John Seddon, one-time Prime Minister of this country, had visualised this connecting road between South Westland and Otago. If/any credit was due to anyone for the Haast Pass road it was due to the Otago E.\pansion League and the Dunedin Chamber of Commerce, both of which bodies had been continuously hammering away at the Government. Mr Allen stated that in 1930 he had headed a party from the Chamber of Commerce on a tour through Central Otago in the interests of that district and its irrigation. He had continually advocated such a (proposal. For years he had been' a frequent visitor to the •JCentral and was well known throughout that wide district as one who had its interests at heart. No one realised more fully than he that the welfare and prosperity of Dunedin were linked with the development of the back-coun-try areas. . Mr Allen also touched upon the work he had inaugurated for the development of further industries in Dunedin. He had formed the City of Dunedin Development' Council, a brochure setting out the advantages to manufacturers commencing in the city was issued and sent to every country in the British Empire. The work of this council, un.iiappily, had been halted by the war. “ I have -taken a very real and live interest in the city,” he said, “and I ask again what has Dr M'Millan done but talk in his election speeches? ” Referring to a statement by Dr M'Millan that the mayoral office should be occupied by a man with the most time to devote to it, Mr Allen said he, could not see how the doctor, with his patients, would have more time than the speaker. During the past three years his business had not seen him more than five minutes a day. He had devoted his time, and so had Mrs Allen, wholly and solely, to the mounting work of his office, and he was prepared to give all that time, both day and night, to the citizens if again elected. Dr M'Millan had also referred to the Citizens’ Association and its advertisement supporting the mayor. He was not a member of the association, said Mr Allen, and was not brought out by that organisation, but he was very proud to, feel that such a body of responsible citizens gave him their support. . I ■ ADMINISTRATION EXPENSES. sent council has increased its administrative expenses,” stated Mr Allen. “The figures quoted by hirh in reference to the city’s income and expenditure during the life of the present council are hardly worth referring to. As a comparison they are quite worthless. He has apparently lumped together all the receipts of the municipal account, the water account, the gas account, the transport account, and the electricity account, and likewise all the expenditure of these branches, for the last three years, and then proceeds to compare the results with corresponding figures for the preceding three years. Only a schoolboy would make such a ridiculous comparison. It proves absolutely nothing. “ Does Cr‘ M'Millan suggest that over a period of three years there can be nonormal increase in income?. 1 ’ he continued. “ Does he honestly believe that the trading departments must not expect any increase in business? On the other hand, does be suggest that expenditure can remain stationary, even although wages rise, hours of work are reduced to 40, and costs of ma-

terials and services generally continue to advance? Cr M’Millan must indeed have been hard put to it to produce such a ridiculous set of figures and expect them to be accepted as proving anything at all.” One instance only was needed to show how entirely misleading they were, continued the speaker. For the year epded March 31, .1937, the Labour council budgeted for an expenditure of no less than £272,tH)3. Despite the introduction of the 40-hour week and advance in wages and cost of materials, the budget of the present council for the year ended March 31. 1941, totalled only £273.944. It was unnecessary to labour the point, he added. Every citizen knew that the Labour council had no compunction whatsoever in expanding expenditure in all departments of the council to the breaking point. TRAM FARE CONCESSIONS. Cr M‘Millan blamed the present conned for increasing tram fares, and stated that if elected he would bring about a reduction, though he made no-attempt to explain how that was possible, Mr Allen continued. On January 29, 1937, the Labour council abolished the Id fare for the first section which had been in operation for very many years. The number of rides on concession tickets was reduced as follows :—l4 onesection rides for Is, reduced to 10; 14 two-section rides for 2s, reduced to 12; 15 three-section rides for 2s fid, reduced to 10 for 2s. This resulted in an increase in income for 12 months amounting to £25,000. The 40-hour week, which came into operation' in September, 1936, cost the transport department £21,290 for increases in staff and wages. On July 13, 1939, another increase in the cost of concession tickets was , -adopted by the present council as follows; 10 rides for Is were reduced to eight, 12 rides for 2s were reduced to 10, 10 rides for 2s were increased to 2s fid. This increase was estimated to produce £6,396. A restricted service in the quieter hours of the day was put into operation to economise in working expenses, and as a result of this and the increase in fares the profit of the transport department for the year ended March 31 last amounted to £13,268. It was Ids hope that the. increase in fares of July 31, 1939, would have been cancelled some months ago, but in consequence of an agitation for the restoration of the 10-minute service, and increases in wages and running expenses, the profits for the present year were estimated to fall to £2,883 and make reduction in fares impossible. “ When the Labour council took office the working expenses per car mile were llsd, whereas for the year ended March 31 last they reached I7jd —an increase of 50 per cent., due to increased w-ages and increased cost of materials.” “ It is obvious, therefore.” said Mr Allen, “ that with the steady increase in the cost of running expenses it is impossible to reduce fares unless the loss is to become a charge on the rates, and that the Labour council lost to our citizens the former cheap fares of Id per section. ■ REDUCTION OF RATES. Dealing with the question of rates, Mr Allen said the airy proposals of Dr M'Millan and his party to reduce the rates called for some’ comment. Such a reduction could be effected in either one of two ways, dr a combination of both —viz., by increasing the revenue available to the municipal account, and by reducing expenditure in the municipal account. When the Labour council was in office they adopted alternative No. 1. They diverted large sums of money from the, trading departments’ renewal funds to boost up ” 'the revenue available to‘the general’ account. “But did they reduce the rates then, or at any time during their term of office?” he asked. “ The facts are that, despite the huge accretion of renewal funds which they diverted to the general account. the late Labour council gave no rating relief to the ratepayers. They not only made no alteration in the general rate throughout their term, but, on the other hand, they imposed an additional Id water rate, plus the obnoxious charge of 10s for hose taps. During the Labour council’s regime they made two budgets only. They failed to make a budget during their final year before they .went out of office. What further increase they might have made in the rates if they had made the final budget can only be left to speculation. “ Their record further shows that the Labour council made no attempt to reduce -rates by reducing expenditure,” he continued. “ So far as expenditure is concerned, they had no compunctions whatever. In that respect they commandeered every available penny and spent lavishly and without any idea whatever of reducing rates or any other municipal charge. - “ In face of that record the same people now try to persuade the citizens that they will reduce rates. They have given no specific information as to how the reduction is to be effected. Tho only light that has been thrown on the method to be employed is a suggestion that what they Jose in the rate reduction they will get out of the profits of the trading departments. Such a suggestion could only be made by one in ignorance of the true position. The fact is that already more than a failshare of these profits of the trading branches has been “ earmarked ” for relief of rates and for ordinary working capital by the departments.” Last financial year the electricity department made a profit of £39,820. I* or the incoming year it had to provide £20,484 for transfer to the municipal department and £27,500 for capital expenditure, of which £24,000 is required for completing the tunnel at Waipori. It was obvious, Mr Alien said, that there was nothing more here for rate relief. The water department -made a profit of £21,648. The estimates for the incoming year, after allowing for essential capital expenditure totalling £15,800. and an increase in the transfer to the municipal account in relief of rates from £1,015 to £6,015 showed an estimated surplus of £6,500. This department had to have funds to construct the new storage reservoir which was so urgently required. The £6,500 would be all that was available for that necessary work, if it were taken, there would be nothing for the reservoir. The gas department made a profit of £7,350. It was making a transfer of £2,982 to the municipal department in relief of rates. It required £4,000 for capital expenditure this year, hence there was absolutely no prospect of this department providing anything further for the suggested rate reduction. “ There remains the transport department, which made a profit of £10,732 last year,” the Mayor continued. “ Due to the recent restoration of the tramway time-table the bulk of this surplus is likely to vanish this year. In common fairness to the users of tho tram cars, any available surplus should be applied after meeting the legitimate requirements of the department for capital expenditure and increased costs, in a reduction of the fares. “ As an indication of the difficulty this department will have to meet during the present year.” he. added. “ it can be stated that the surplus of re-

ceipfcs after expenditure at March 31 over the whole system, including the buses, is estimated at £2,883. On the face of these figures no one with any sense of proportion could possibly make any increased demand on the transport department for rate relief. THANKS AND CONFIDENCE. At the conclusion of his address Mr Allen briefly touched upon the wide activities of the Otago Provincial Patriotic Council, which lie had fathered since its inception. All he wanted was an opportunity to carry on this work, for who could be better fitted to do so than he. He strongly repudiated any suggestion that he was making political propaganda out of the war. Mr Allen also stated that lie was in favour, providing the citizens agreed, of raising a loan for the purposes of improving the Leith and Lindsay Creek. Carrying on this work out of revenue would mean many years before it was completed, and it was only proper that people of the future, who would reap the benefit, should provide some of the cost’. Mr Allen answered a number of questions and was accorded a unamimous vote of thanks and confidence. DR M’MILLAN AT ANDERSON’S BAY At his meeting at Anderson’s Bay Dr M'Millan again explained the programme that the Labour Party would put into operation if returned on May 17, It included recommencement of the housing scheme to enable those who washed to borrow money at a low rate of interest to do so, more footpaths in the suburbs and more sealed carriageways, an increase in the number of rides on the traimvay concession tickets,_ and a reduction in rates and electricity charges. Dr M'Millan said that the issue was simple. If the electors wanted a'general rate of 2s 3cl they would vote Citizens’ Association, and if they wanted one of 2s Id they w’ould vote for the Labour ticket. In reply to a question, Dr M'Millan said that he would support any move to reclaim the Anderson’s Bay inlet and make it a recreation area. (Published by Arrangement.)