OUT OF CONTROL.

Hawera Star, Volume XLVII, 15 August 1928, Page 11

OUT OF CONTROL.

STATE SPENDING AND PAR LI AAIENT. AUDITOR-G ENERAL’S WOVE N ING. “In connection with, the control oi expenditure by Parliament, it appears necessary to draw attention to this large proportion of the yearly expenditure of the various accounts which, is now exempt from annual appropriation, a great proportion of which is not even included in this Estimate® placed before Parliament” ©ays the Controller anci Auditor-General, AH G. F. C. C'ani]>bell, in iiis annual report presented to Parliament. “in England that part of the expenditure which is authorised by permanent or continuing Statuns®,. and is exempt from annual appropriation, includes only the charges of the National Debt, payments to local taxation accounts, the King’s Civil list, and a number of special salaries, annuities, and pensions, including part of the expense of the Courts of Justice. Durell, in liis book, ‘ Parliamentary Grants,’ states that as such charges are not automatically brought undbr the review of Parliament there is a disinclination to make such permanent charges in any castes which could be provided for without detriment by annual vote. He also mentions that such charges have to be included each year in the Budget statement, though no vote is required. These, restrictions on the use of permanent appropriations appear to have been considerably relaxed in New Zealandi, and* 1 cannot find that there As any definite principal regulating the clas s of expenditure which should be exempted from, annual appropriation. “A comparison of the- expenditure covered by annual appropriation with that not so covered for the year ended Afarch 31. 1928, discloses the fact that the amount of expenditure for the above year not subject to annual appropriation exceeded £31,000,000, out of a. gross total of £57,000,000, while of this amount over £11,000,000 was expended without any amount having been submitted to Parliament by the Departments in their Estimate®. These figures are. of course, subject to adjustment, but are sufficient to show (1) That a very large proportion of the annual expenditure' is governed by permanent authority; (2) that a large proportion of such expenditure i© not included' in the permanent charges of the annual Estimates; (3) that the principle of Parliamentary control of expenditure by means of the annual appropriations is bring seriously weakened .

“In exemplification of what I have said above. I might point out that there appear® to he no good reason wliy such service® a® thfe expenditure on school buildings or- on railways, .improvements which are purely services of an exactly similar nature to other services which are covered bv annual votes under the Public Works Fund, should aiot he subject to the control of annual appropriations, nor is there any apparent reason why the expenditure on works such, as the Ha.urak.ji Plains settlement. Rangitaiki land drainage, and swnmo land drainage, should be exempt from such control, or why sucib, expenditure should he made without any amount having been placed l before Parliament in the Estimate® for the year.”