NO MORE SUBSIDIES.

New Zealand Herald, Volume LXIII, Issue 19417, 27 August 1926, Page 14

NO MORE SUBSIDIES.

BLIND INSTITUTE DONATIONS. DECISION OF GOVERNMENT. PROTEST BY THE TRUSTEES. "VERY DISCOURAGING ACTION." "Personally, I am in favour of telling the Government to take the institute over itself," said the chairman, Mr. H. E. Vaile, at a meeting of tho trustees of the Jubilee Institute for the Blind, yesterday, in moving a resolution that representations should be made to the Government to reconsider "its decision to discontinue paying its' usual subsidies on donations to the institute. Trouble over subsidies has been experienced with the Government for th© past 18 months, but the decision to reduce subsidies Was not mude known to the trustees until after recent negotiations between the director of the institute, Mr. Clutha N. Mackenzie, and the Prime Minister and Minister of Finance. Reporting on his interviews, Mr. Mackenzie said the Government had proposed to limit its. subsidies to the deficiency on the year's workings. In opposing this arrangement, he'had pointed out that it would not encourage economy and t|iat public contributions would fall away. He had put forward the proposal that the £ for £ subsidy should be continued until an additional capital endowment oi £IOO,OOO hud been obtained. The Government had now replied that it could not continue to give subsidies as previously as it would have the effect of subsidising endowments. It also said the institute was very wealthy and had spocial privileges, and that the present proposals would absolutely guarantee the future finance of the institute. < Subsidy on Pearson Fund. Mr. Vaile said that when the institute wafc formed '* about 30 years ago the Government- 1 agreed to subsidise all donations £ for £. Trouble arose about 18 months ago, when difficulty wax experienced in obtaining certain mofieys. Under the existing arrangement they should have been entitled to £40,000 from the Government as subsidy on the Pearson Fund, but after prolonged negotiations they had agreed to accept £20,000. It was in regard to the building fund that Mr. Mackenzie had approached the •Government,, and, it had finally agreed to subsidise .public subscriptions up to-the extent of £15,000. • .v Since the present Government took over its duties the board. had had to fight for every penny. If nothing could be done in the matter the public, knowing that an equal subsidy could not bo obtained on their contributions, would not give so freely. It was a very shortsighted policy, as the .Government would only have to make up the deficiency. "It is very discouraging, to be treated in this way after, tho hard ...work that has been done," said Mr. Vaile, "especially as we know the Government, could not run the institute as economically as we have done." Effect on Contributions. The Hon. George Fowlds suid. that although the Government liad had heavy calls in connection witli the blind it should realise the expenditure would not be .recurring. This trustees had agreed to forego the £20,000 on the Pearson fund on the distinct understanding that the £ for ; £ subsidy should be maintained on all other moneys. He was confident there would be a : falling : off in contributions. The board had been building up capital with, the sole'idea of somo day relieving the Government of any responsibility. He did not think'the decision of tho Government should be accepted as yet, but that continued applications should be made for more money. • Mr. T. U. Wells: It is a Dominionwide matter and I think a circular should be sent to all members of Parliament. Mr. Fowlds: It is too late to do anything this session, but a move will have to ■ be: next • year. Th<j following resolution, moved by Mr. Vaile and seconded" Fowlds, was carried:—"That .the, . trustees of the Jubilee Institute for the Blind consider the refusal of the Government to continue to pay the usual subsidies on donations as inimical to the welfare of the blind of this Dominion, and highly disadvantageous to the taxpayers. Also, that further representations be made to the Government to continue the subsidy until the institute is in a position to carry on the work without assistance."