HIGHWAYS FUND

Otago Daily Times, Issue 22257, 9 May 1934, Page 12

HIGHWAYS FUND

APPROPRIATION BY GOVERNMENT PROTEST BY MOTOR CLUB At a general meeting of members of the Otago Motor Club held last evening, a strong protest was voiced against the action of the Government in diverting to the Consolidated Fund revenue raised by the taxation of motorists and originally intended for the construction and maintenance of highways. The president (Mr P. W. Breen) said that for each of the past two rears, the Government had appropriated frOm the Highways Fund £500,000, which was paid into the Consolidated Fund. This was distinctly unfair, as the Highways Fund was intended solely for the construction and maintenance of roads. When the petrol tax was first instituted, motorists were given to understand that the revenue thus derived would bo'used entirely for this purpose. As a result of the Government s action, however, instead of the full amount going to the Highways Fund, 2Jd out of the 10id' tax levied on each gallon of petrol now went into the Consolidated Fund. This %vas a mistaken policy, as the money was badly, needed by the board. Many of the roads constructed by the board were at present deteriorating so badly, and so rapidly, that they would soon bo beyond repair, if the amount necessary for their maintenance were reduced much further. If the present state of affairs were allowed to continue, 10 times the amount at present required for maintenance would be needed for reconstruction. The road over the Kilmog was a glaringexample. It was an absolute disgrace, and in many places it was undermined and falling away in lumps. Repairs were useless, and the long section to the summit and from the summit down to Merton already needed to be relaid.- Ho considered that the meeting (should make a strong and request the South Island Motor Unibn to make representations to the Government.

Mr W. Wright then moved: "That this meeting of members of the Otago Motor Club .protest strongly against further'appropriation by the Government from the Highways Fund, and asks the South Island Motor Union to make every effort to see that in future years this fund is used solely for the purpose for which it was raised." " ■•■''■<

Mr T. Rosa seconded the motion, which was carried.