LOCAL BODY FINANCE.

New Zealand Herald, Volume LXII, Issue 19124, 16 September 1925, Page 13

LOCAL BODY FINANCE.

t CONTROL OF EXPENDITURE. SPECIAL BOARD PROPOSED, j EXAMINATION OF LOAN SCHEMES [BY TELEGRAPH.—SPECIAL REPORTER. ] WELLINGTON, Tuesday. Legislation to establish national control i over local authorities' expenditure is proposed by the Minister for Public Works in his annual statement. " I have previously urged the need of , co-ordinating Government and local bodies' expenditure on public works, and ■ something has already been done in this connection," Mr. Coates says. " The present system, in my opinion, is still likely to permit of ill-considered and uneconomic expenditure upon schemes, which might well be deferred, if not definitely rejected. lam certainly convinced that before loans are approved by the Gover-nor-General in Council much closer and more expert examination is required by a body of men qualified to determine whether the proposals for which the power to raise money is being asked are in the best interest of the requisitioning locality or of the country. " To go a little further with this subject : Any man who has given the question of raising civic loans serious consideration must agree that what we need is what might be called a Civic Exchequer to deal with all questions of civic finance. Such a body might introduce • several reforms, such as the paying of , rates quarterly, a system that would be welcomed by ratepayers with small means, and would have the additional advantage of providing local bodies with the use of considerable sums of money free of interest. " However, I am convinced of the need of a special organisation to deal comprehensively with this subject. To that end I propose to bring down legislation I next session providing for the constitution of a board to which all applications for loans by local bodies will be referred. It will be the function of such board to thoroughly investigate all such applications, and make recommendations to the Government thereanent before the same are finally disposed of. IRRIGATION IN OTAGO. SATISFACTORY RESULTS. POSSIBLE EXTENSIONS. [BY TELEGRAPH.—SPECIAL REPORTER. ] WELLINGTON. Tuesday. In six years, the area of land in Otago irrigated by Government schemes has increased sixfold, and now amounts to 19,897 acres, occupied by 239 settlers. No new works were commenced during last year, the completion of schemes under construction and surveys and investigation of new schemes proposed occupying the attention of the department. The Ida Valley and Galloway schemes are in operation; and, though the revenue from. these schemes is derived from only about half the available area while working expenses as for the whole were incurred, the results are satisfactory. The revenue was £4620, while the workingexpenses were £2130, leaving a balance of £2490. All the other schemes in hand are practically completed, or will be by the commencement of the next irrigation season. The Minister remarks that so far irrigation operations have been confined to Otago almost entirely. He hopes to expand the area under irrigation, and. concurrently under intensive culture, as fast ,as the demand for land • by new settlers requires, so that eventually every area of land which possesses the necessary elements of fertility and to which water can be provided, may be brought into the maximum possible state of development. He considers the wonderful results in Otago will cause the farmers of many of the dry parts of Canterbury, and even Marlborough, to move for the provision of irrigation systems in their districts, and it will be the policy of the Government to meet the demand. PROVISION FOR DEFENCE. ACTIVITY AT NGARUAWAHIA. [BY TELEGRAPH. —SPECIAL REPORTER. J WELLINGTON. Tuesday. Contingent defence expenditure last year totalled £27,132 out of a vote of j £40,000. The estimated amount required j this year is set down at £45,000. The gross expenditure at Ngaruawahia this year is _ estimated at £25,000. Last year the estimate was £31,000 of which : £13,000 was expended. j.