RURAL LANDS IN BOROUGHS' COMMISSION

Manawatu Times, Volume LIII, Issue 6668, 23 July 1928, Page 3

RURAL LANDS IN BOROUGHS' COMMISSION

Concludes F'eliding Sitting Adjourns to Capital City t The Commission of Enquiry into the rating on rural lands in boroughs, consisting of Messrs, li. M. Watson, S.M. (chairman), ,W. T. Strand, and W. Nash, concluded the taking of evidence in . Feilding on Saturday morning and adjourned to Wellington where further Dominidn-wide evidence will be taken during the coming week.

,jSacajit Town Sections. On resuming its sitting on Saturday morning the Commission heard evidence from the Town Clerk (Mr N.-' O'. Harding),, relative to the rating on vacant , town sections, tendered with the object of showing that the rural lands, were not, in - comparison, so heavily rated. . ' Mr Harding stated. that there were 572 vacant sections in the inner area in the borough, representing a total area of 366 acres. Owners of these sections which were in most cases unsaleable at present, were suffering greater- hardships than the owners of the rural or farm lands, so that it would not. be fair in giving relief to the rural lands to place any additional burden on the.-inner area. To Mr Nash:’ He did not suggest that the bwflej’s of the vacant sections sections in the inner "areas should bo given relief, any more than he suggested that relief should be given to the farm lands. If, however, relief was given to the farm lands then the owners of these vacant sections should receive consideration.

Fund. Faming was the cardinal and main industry of the country and it should, mot be harrassed by undue taxation. While it was so burdened, as in the local cases mentioned to the Commission any’relief granted should come from the Consolidated Fund and not from any one section of the community.' ' ' ■" / Mr C. E. Taylor; considered that questions of speculation coujd. be eliminated as lands. bought in the . boom period had since fallen in value and that-loss was accepted by the owners. Apart from the reduced value which followed the slump a further gradual reduction in value had taken place through increasing rates. During the past ten years rates had increased from £1 per aero to £2 per aero and the capitalising of that additional £1 during the last two years had further reduced the value of the lands by £2O per ■ acre. Counsel urged that land which, could-not possibly be used for building , purposes should not be so heavily rated. Mr T, Pagan - (Borough Solicitor), said that there was a very strong feeling in the town that the findings of the Commission may be confined to Peilding. Fcilding did not .ask for the Commission, and the feeling was that the Crown should have provided counsel to represent the different interests instead of putting the borough to expense. It would appear from the evidence that even a small increase in rates , would fall very heavily on the inner area. On behalf of the borough ho entered a-strong protest against any recompicndation that special legislation be brought down in regard to the alteration of the rating matters in Fcilding. Commission Adjourns.

Mr Nash: Then you favour the system of classification suggested by the Valuer-General?-; Classification would be difficult to introduce to meet the position of tJjo vacant sections. When it was pointed Out to witness that classification would not be on a zoning .basis, bo agreed that it may be possible to provide -differentiation in rating to meet the peculiar circumstances of certain of the vacant town sections pending their being used for building-purposes. They were all potential building; lands, but there was not; any great demand” for building 'sites at present.' Address by ‘Counsel. Mr L. A. Elliott, on behalf of certain owners of rural’lands, submitted that they had been rated for services which they had not received. The evidence generally had not brought out some of the essential facts; It had all to do with the'excluded area which, along with the rest of the LiVougb, was generally taxed for special services, from which they could not derive any benefit. Counsel held that the provisions of the Local Bodies Loans,"Act, of 1926 —a consolidated measure—had for years enabled boroughs to create a special roll for voting on loans for services to be utilised in a defined area. In other words, the borough could have created special rating areas, including only tho land which would receive benefit from the special service. He would suggest that the law.be amended to provide for a compulsory declaration by tho local authority to define the area which was going to benefit as the result, of a loan. Counsel did not think rating on the unimproved value had any bearing on the question of ra'ting. ,Mr J. Graham, also representing owners of rural lands, emphasised the hardships arising from excessive rating based on unfair valuations. There was a great deal in what the Mayor of Feilding had said regarding relief being granted from- the Consolidated

The chairman said that the Commission desired to thank counsel for: the assistance they had given in the direction of submitting the evidence required. It had been the duty of the borough council to give the Com-, mission every assistance it could and the Commission appreciated the very full information “which had been supplied from the borough , records. The Commission had been set up to investigate the anomalous taxation in regard to the rating of farm lands in boroughs, a position which obtained in Tedding as much as anywhere else, and it was the desire of the Commission to assist Fcilding as well as ‘ all other places concerned. The thaifks of the Commission were also due to the borough council for the use of the Council Chambers during the time the Court house was occupied for other business. The Commission is to adjourn to Wellington, where it will.hold ,its first sitting at 10 a.m. to-morrow morning at-the office of the Department of Internal Affairs. This fact was mentioned so that any interested persons from any part of the Dominion could attend to tender evidence.

In conclusion, the chairman said that the Commission had endeavoured to assist the Fcilding Borough Council as it was quite evident the council had endeavoured to assist the Commission.