LOCAL GOVERNMENT ENQUIRY

Grey River Argus, 17 March 1945, Page 6

LOCAL GOVERNMENT ENQUIRY

COMMITTEE SITS AT GREYMOUTH Evidence of LocaJ Bodies Evidence on behalf of the Greymouth Borough Council, the Grey Electric Power Board, and the Karamea Medical Association was given before the southern section _ of the Parliamentary, Select Committee on Local Government when it sat at Greymouth yesterday morning. Mr. D. W. Coleman, M. P. for Gisborne, presided and the other members of the committee are Messrs C. R. Petrie, M.F. (Otahuhu), S'. W. Smith, M.P. (Bay of Islands), T. FI. McCombs, M.P. (Lyttelton), and J. Acland, M.P. (Temuka). Mr. J. V. Meech is secretary and Mr. W. Fife assistant secretary. In welcoming the members of the committee, the Mayor (Mr. F. A. Kitchingham) referred to th e romantic past of the Coast and to its resources, which he said were of great benefit to New Zealand. The Hon. C. F. Skinner had spoken most hopefully about the futurb of the district’s forests, and he did not think that his were merely the sugared words that were often got from politicians. What he had said had supported a belief in the local timber and farming industries.

Thanking the Mayor, Mr. Coleman said that some of the members of the committee had nevei’ been to the Coast before and all had looked forward to th fi visit with a good deal of interest. He hoped the visit would be the means of giving some help to the district. The committee was concerned only with local government as it affected the country nationally, but it would be interested to receive representations of local problems, as thej z were linked up with the national issue. All of these matters would later be considered by both the southern and northern sections of the committee when they sat as one at Wellington. It was many years since the Counties Act and the Municipal Corporations Act had been overhauled and it was felt that they were a little out of date and needed improvement. He hoped the result of the committee’s work would be an improvement in the local government in New ZeaBOROUGH COUNCIL'S EVIDENCE The Mayor, presenting evidence for the Greymouth Borough Council, said that a number of questions had not been dealt with by the Borough Council as it was felt that they had been adequately covered by national bodies in their evidence. “Where certain amenities, e.g. sewerage, kerbing and channelling, etc., have been provided for part of a borough by means of a loan charged upon and repaid by rates over the whole borough, the Council should be empowered to raise loans from time to time without a poll, in order to extend such amenities to all necessary parts,” the Council’s submissions stated. ‘‘ln the case premised, only part of the borough area has the amenity, but the whole area supplies the special rates. As population grows the amenity is required for another area, but, under the present system, those ratepayers enjoying the amenity, oppose any proposal to extend the amenity to the non-enjoy-ing ratenayers who may have to wait for the amenity till they have a numerical majority. If the Council could raise a loan without a poll, the calling for objections to the loan and the scrutiny of' the proposal by the Local Government Loans Board should afford ample protection to ratepayers..

“(2) As the business area grows, isolated dwellings or small groups ot dwellings remain as islands amid business premises. Frequently the houses are comparatively old and probably the owners have not got the means to buy dwellings in residentia areas. In many cases they are pensioners. The burden of rates is intolerable in such cases. A dwelling within six chains of Greymouth Post Office, measurim-T 800 square feet on a section of eight perches, is probably 70 years old, but is the home of a widowed pensioner. The rates this year are £l9 19s 8d oi’ over 7s 8d per week. The business premises alongside, a substantial wood and iron building icoveriiig the nine > pterch section (2450 A square feet) carries a rate of £22 3s. The dwelling quoted is typical of a number of eases. Relief has been granted owners of certain rural lands in boroughs. It seems relief should be granted the owners of such islanded dwellings. The position! might be met by the Rating Act Section 74, which gives power to remit rates on the ground of ‘extreme poverty,” but this section may not apply and the injustice arises from the location and mode of use of the land.

“(3) The question of rating systems has been canvassed much. We are of opinion that the present optional system should continue. When the town is expanding rapidly, rating on unimproved value is not nearly responsive enough. Any increase in rateable value is negligible, and the borough is starved for revenue and loan proposals are liable to be turned down. Rating on the capital or annual value would result in home builders cutting down floor space and household amejjities to the minimum. Rating on the annual value should lead the, town into serious difficulties in case of a depression owing to decline of one of our few main industries. When the Crown’s activities were When the Crown’s activities were limited practically to functions that had been recognised for centuries as essentially Crown functions, the system of the Crown paying a subsidy on rates was probably sufficient and workable, but with the great extension of the Crown’s activities and ownership and occupation of lands, the subsidy system is quite inadequate and inconsistent. Payment of rates in respect of Government housing blocks is a big concession by the Crown, but the Government should pay rates whether the houses are occupied or not. Private landlords do not escape rates while their properties are untenanted. The Government should pay on all Governmentowend or occupied dwelhngs. In Cobden rates are paid on the Holland housing block, but not on Railway Department houses on the opposite side of the street. Each year the number of buildings bought for occupation by Government employees grows. Greymouth had the case of One official who built a house to his own design, and later sold it to the Government, but continued to occupy it as a tenant, thus escaping general rates. The Government should also pay on all Government-owned or occupied buildings , used fox’ trading whether in competition or by way of monopoly or in substitution for private enterprise, and provision should be made for Government Departments to be congregated in one or two Government blocks of buildings. Meantime the Government should pay rates on all private premises which it is occupying. , “(5) Of the 500 acres of Native Reserve, an area of about 135 acres is closelv (in many cases minutely) subdivided and mostly built on: it is administered by the Native Trustee who issues Glasgow leases years

terms with perpetual right of renlwal rent being re-assessed before the issue of each new lease). The land cannot be alienated in any other wav The Native Trustee pay rates on the unleased portion of the reserve mentioned below as footways, but will not pay rates on leased secions Most leaseholds are mortgaged and it is useless to attempt to reach the lessee’s equity in order to recover the rates. We consider that ' the Native Trustee receives a rental probably in the vicinity of £5OOO a year, Section 70 (1) of the Rating Act should apply to the Greymouth Native Reserve, that sub-sec-tion providing that “any rate ... due by an occupier my ... be recovered from the owner . . If this were done lessees and mortgagees of leases would be less nonchalant as regards borough rates because the lessor would see that default did not occur. “(6) Regarding members contracting with their local authority, it is considered that the existing law (Local Authorities Members’ Contracts Act, 1934) should stand, and that notwithstanding the depreciation in the value of money, the existing limits for contracts should not be increased. It is probably only in smaller communities that the restrictions have much effect in restricting the eligibility, of suitable candidates at elections, but it is better that the door should be shut against any personal gain or suspicion of unfair advantage. ‘‘(7) Footways legislation on the lines of that in the Wellington City Empowering and Amednment Act, 1 1919, Section 4, should be made of general application, subject to any control by the Town Planning Board which may be considered necessary. In the borough there is an area of 5000 acres of Native Reserve of which about 137' acres are bush clad and not leased; in addition to this unleased Native Reserve there are in the borough large area_s of hill country which are unlikely to be used for residential purposes. Footways would provide healthy, walks with unsurpassable scenic views, but the Council cannot take the risk of footways crystallizing into streets, to construct and maintain which would become the liability, of the Council if the landowners decided to subdivide the land. If the Council is sufficiently interested it can promote a local act, but footways have been approved by the legislature in the act mentioned, and the Municipal Conference in 1939 carried a remit proposed by the executive of the Municipal Association that the Welington legislation should be made of general application. Accordingly the general legislation should be put through, and we have no doubt that many other towns would be glad of the opportunity of constructing tracks for scenic and recreation reasons. In many cases tracks would not be formed where streets (if ultimately required) would be formed, but in the absence of restricting legislation landowners would so adapt their subdivisions as to put the cost of formation on the local authority. Any legislation should cover ‘access ways', which generally relate to pedestrian short cuts in the populated area of a town, and which were indeed the subject matter of the Wellington Act “(S') We do not know how many tif any) other towns in New Zealand are in a similar situation to Greymouth in having all its business area and a great part of its residential area on Native Reserve, but on the assumption that other towns (e.g. Taumarunui or Rotorua possibly) are in the same position and that consequently the matter is of general and not merely purely local interest, we point out that Section 128 of the Public Works Act, 1928 operates very harshly where such a large area is on the one ownership. That section has been interpreted as meaning that where the one person owns say, a whole borough block bounded by four streets, he must, on the subdivision for sale of any one section, dedicate a strip or strips of land for street purposes sufficient to , make any narrow street or. streets 33 feet in width from the centre line. In one borough block in Greymouth there may be up to say 40 lessees from the Native Trustee—the tenure is Glasgow lease, renewable every 21 years with readjustment of rent. If one lessee subdivides, Section 128 operates as against the whole of the lessees in the black whereas if the land were freehold it would operate only against the subdividing owner. If exemption under the provision of Sub-section 1 of Section 128 is sought, then a building line can be fixed, but the Public Works Department will not impose a building line condition without the consent of all the lessees interested in the land along the street or streets to be exempted. Frankly, it is impossible to get the necessary consents and consequently it becomes impossible to get a transfer or subdivision put through. In one case in Greymouth land on the Native Reserve was subdivided. the leasehold interest sold and paid for some eight years ago, but still the transaction is incomplete for the reasons outlined. It seems that Section 128 of the Public Works Act should be modified so that in the case of Glasgow leases this lessee should be deemed to be the owner for the purposes of the section and the dedication, exemi.Lon, or building line condition should be limited to the land which that particular lessee is subdividing. Mr. Smith asked if a change to rating on the annual value would not cover the case of islanded dwellings. Mr. Kitchingham sajd that it probably would, but the Council was opposed to rating on the annual value because of the danger of smaller buildings being built and the fear of slumps and depressions from whichthe district had suffered periodically in the past. There was no guarantee that depressions would not occur again and the Council did not wish to make a change and then find that it had made a mistake. They believed that the system of rating 'should be left to each local body to decide. Mr. Smith asked if the Council would be satisfied to have the Stale on the same footing as a private landlord, who was relieved of part of his rates on a house vacant for six months. Mr. Kitchingham answered in the affirmative. Replying to further questions-asked by Mr. Smith, Mr. Kitchingham said that the borough had a town planning scheme. He did not think that other local authorities overlapped the Borough Council’s work. There was irregularity, in the districts of the various local bodies. He thought they were all justified in having separate existence.

Mr. Acland asked why rating on the annual value would have worse effect, in case of depression. Mr. Kitchingham said that it was the effect on the Council he was concerned with. The annual value would fall, and many places might be unoccupied and have no value at all. Asked if he thought the hospital rate was too heavy, Mr. Kitchingham said he thought it was, but the opinion of the Council was divided. On occasions it had been a great burden, representing practically 25 per cent, of the rates collected. Mr. Kitchingham also answered several questions regarding the hospital board area and elections and said that a district committee on regional planning had been set up. Mr. Petrie asked if there was only partial sewerage in the borough Mr. Kitchingham said that the Cobden scheme was not completed Ask-

ed whether the Council could not ute lAe area which had scW L afe KbHiiii£rHeve that without it,. M r - te ham said he did not think they could. He did no agree with a that all loans be raised poll but subject to the confu mation of the Local Government Loans Board. . . Mr. Petrie said that the point was cropping up all the time and me su ogestion had been made that the Loans Board would be a sufficient safeguard. Mr. F. F. Boustridge, also representing the Borough Council, said that in a general sense he thought the Loans Board would be a sufficient safeguard. , , „ Mr. Petrie asked if the problem oi island dwellings would be overcome by giving local bodiqs the right to waive rates on grounds other than those of poverty. Mr. Boustridge said that the Council was very chary about granting exemptions. Mr. Petri e said that the statutory authority which was wanted was difficult to write into la'W. Mr. Kitchingham said he thought the job could be left to the Valuation Department. He agreed that a local body would probably have to make a recommendation or an application to the department. The .problem oi premises being kept empty for six months on purpose in order to secure rating relief did not arise here. Referring to the question of collection of rates on native reserve leases, Mr. Kitchingham said that if the rates were collected from the Native Trustees he would insist on the lesssees or their mortgagees paying the rates.

Mr Petrie said he thought townplanning legislation would cover the footways problem raised by the Council. Mr McCombs asked what _ State trading concerns it was considered should pay rates. Did this include the Railways Department? Mr Kitchingham said that it was a difficult problem. The Railways Department had such a long established exemption that it would probably be unwise to suggest that they should pay, but premises occupied by railway houses should be paid for. Other examples were the State Fire Office and the Public- Trust Office. Mr Boustridge said that in the case of buses the Council had to maintain the roadways which they used. Asked how much of the rates on native land the Council did not collect, Mr Kitchingham said that he could not give figures, but all but about 8 per cent, of the rates were collected over the whole area. Referring to-the problem of islanded dwellings, Mr McCombs said that a problem was created by very old dwellings in a very desirable locality. Rating on unimproved value had been adopted for the purpose of encouraging better use of land. Mr Kitchingham suggested that it was for the purpose of discouraging speculative use of land. Replying to Mr McCombs’ further comment that the position might be met by the clause providing for rating relief in cases of poverty, Mr Kitchingham said that he did not think that would cover it. Mr McCombs said that it was the first time that this matter had been represented to the committee. Mr McCombs asked if the provision for the Health Department to require sewerage work to be carried out would cover the question raised regarding securing ratepayers’ sanction for extension of civic amenities. Mr Boustridge said that it would not cover the case of kerbing, channelling and the like. Questioned by the chairman, who referred to the Council’s views regarding members contracting with local authorities, Mr Kitchingham said he thought no temptation should be placed in the way of public men. The Council could carry out the work of the Fire Board, but the board had always done its job well and economically. There were four hospital boards on the West Coast, the hospital farthest from Grey being about 55 miles away as the crow flies. The chairman suggested that hospital work might be done bettor by fewer boards. Mr Kitchingham. said that there was not a continuous population in the area, which was also of very difficult shape. The Health Department was in favour of establishing a main hospital at Grey, with facilities of very kind, the other hospitals being subsidiary, ’where treatment could be given up to a certain point. The chairman commented that there must be more hospitals on the Coast within a fifty miles radius than in any other part of-- New Zealand. Everywhere they went they found people in favour .of amalgamation, but not of themselves. POWER BOARD'S REPRESENTATIONS

Mr W. H. P’arrfltt, chairman of the Grey Electric Power Board, associated himself with the Mayor’s welcome to members of the committee. “In view of the fact that the percentage of electors who h?u r e voted in the past at local body elections has sometimes been very low, and in view of the desirability of obtaining the fullest possible expression of public opinion on these occasions,” Mr Parfit stated, presenting the board’s case, “the board recommends that the elections for local body members should be held during the summer months. This would ensure the recording of votes by many electors who otherwise might be kept at home by inclement weather?’

After quoting Section 23 of the Electric Power Boards’ Act, 1925, providing for the filling of vacancies on power boards, Mr Parfitt said that the board recommended that any casual vacancy on an electric power board should be filled by the unsuccessful candidate with the highest total of votes at the last election. The reason for the recommendation was that the electors had a right to have the man of their choice on the board, and that this right should not be over-ridden by the constituent body when a casual vacancy occurred. Mr McCombs referred to a case where all of the successful candidates had had something like 1000 votes cast for them, while the only two unsuccessful candidates had had only about 100. He suggested that in a case like this, the adoption of the suggestion made by the power board might mean electing one who had been rejected by the public. Similarly where candidates of a particular party had been elected the election of the next man on the list might mean defeating that for which the people had voted. Mr Parfitt said he did not agree that the proposal would defeat the will of the people. There were likely to be anomalies in anv proposal. Mr F'etrie suggested that the’ point at issue was that the man appointed to fill a vacancy should be one who had offered himself for election and not one who had not. Mr Parfitt answered questions asked by, Mr Petrie regarding the area covered by the board’s operations, and the extent of reticulation. The board had no special difficulties, he said. Mr Petrie said it was refreshing to find this position. In answer to Mr Acland, Mr Parfitt said that the board was contemplating extending to outer areas. The board put in the necessary lines in such cases and made a charge To Mr Smith, Mr Parfitt said that the charges of the board were lower than those of the companies operating outside the board’s area. It would be a wonderful thing if a flat ° could be charged all over New Zealand. The board was in a PQS j tion

absorb neighbouring areas and pro* vide cheaper power than that provided by companies operating at pre-, sent. Mr McClymont, secretary of the board, said that the board installed ranges as far away as Waiuta for the same price as at Greymouth, the idea being to make the lot of the outback man easier. Replying to the chairman, who asked whether it might not be more democratic to have an election to fill a vacancy on a. local body, Mr Parfitt said that this would cost a good deal. If a man had been good enough to offer his services that was sufficient. The chairman said that the danger suggested by Mr McCombs also arose when, as at present, the man to fill a vacancy was selected by the local body. HOSPITAL FACILITIES FOR KARAMEA. Mr H. C. Hawes, President of the Karamea Medical Association, gave evidence on the need for hospital facilities in the Karamea' district. One of the chief complaints, he said, was that the Karamea riding was not represented on the Buller Hospital Board. The district was 621 miles from the Buller Hospital, and had a' population of between 800 and 1000. There was a maternity home with nurse and a doctor. The home was controlled by the Hospital Board, and for the past four weeks had been closed, a's the nurse was in hospital. In reply, to the Chairman, Mr. Hawes said that there were five members from nine ridings on the Hospital Board, and because of the change in the franchise all of these had been elected from an area within about 20 miles of Westport. Other outlying districts were similarly without representation. Under the present system it would be possible for all five representatives on the Hospital Board to come from one riding.” He thought outlying districts should be given representation. Replying to Mr Smith, Mr Hawes said that either a system of wards or the amalgamation 'of the County Council and the Hospital Board, with a member from each riding, and Borough representation, would meet the position. He did not complain about the rate burden, but about the service. To Mr Acland, Mr Hawes said that the doctor could attend in a private home if a. woman was having a baby. No emergency cases had been dealt with in the maternity home. They had made representations to have a hospital at Karamea. Answering Mr Petrie, Mr Hawes said that there was a bad road to Karamea, and often it was not open at all. The mail service ran four times weekly.

Mr McCombs said that the position of the Chatham Islands was somewhat similar to that of Karamea. There was a' cottage hospital and two nurses there, provided by .the Hospital Board, and a resident doctor. The residents did not have representation, but the Hospithl Board arranged for someone to act as their representative as though he were elected, though he did not attend Board meetings or have a vote. Mr Hawes said that the county representatives could make representations to the Hospital Board. The residents would he satisfied if they had a hospital and would not worry about representation.

The Chairman said that the representations made by Mr Hawes were not quite within the scope of the committee, but he promised to put the position before the Health Department. He added that the evidence was the lightest the committee had .lad but it had been of an important character. v

At the invitation of the Mayor members of the committee and their staff yesterday afternoon visited the Strongman mine. ( This morning they ST 1 le ™ e f ? r Nelson - where they will Uwk wiu°Sli Jy the’coast B°uUX^. tport '