CROWN RATES

New Zealand Herald, Volume LXXIV, Issue 22670, 6 March 1937, Page 16

CROWN RATES

THE STATE WILL PAY LOCAL BODIES REASSURED PRINCIPLE DEFINITELY FIXED STATEMENT BY MR. SAVAGE [nv TELEfiIUPII —OWN cokhespoxdent] WELLINGTON, Friday "There need be no anxiety about the Government paying rates on Crown lands," said tho Prime Minister, the Hon. M. J. Savage, to-day in an interview. "This means, of course, that the State will pay rates in municipal districts in which its housing scheme is being carried out," he said. "Wo have neither tho desire nor tho intention to injure local bodies or to deprive them of their rights. "J am not in a position at the moment to discuss tho details," Mr. Savage proceeded, "but the principle is fixed. The Government will pay rates on Crown lands and State houses. It is not neces-, sary to say anything more at present." The Lower Hutt Borough Council on Thursday evening received a letter from the Commissioner of Crown Lands, stating that in future tho State would pay' rates on Crown lands in proportion to the amount of rent received —that was, if rent was received on a property for six months only half rates would be paid. The council considered that the letter was ambiguous, as it did not make clear if the Government would pay in proportion to the period for which a property was let or merely in proportion to the amount of rent paid. It was decided to ask the commissioner to make the point clear.