CITIZENS' DEFENCE FUNDS

Poverty Bay Herald, Volume LIII, Issue 16374, 23 June 1927, Page 7

CITIZENS' DEFENCE FUNDS

. HELP TO STRICKEN SOLDIERS LIMITING THE EXPENDITURE A decision to tighten up the expendi- * tore of the Citizens' Defence Committee's funds was made at an emergency meeting of the committee last evening, when if was agreed that- the fund should be used for wounded and sick ex-service-men only, hardships caused solely from unemployment to ue exeludeu. A report was submitted ou behalf of the. claims boards by Lieut-Col. K. F. Gambriii. The claims boards opinions expressed iu the report were that, having regard to the position of the fund and to the fact that in the past the board had been meeting all claims of a genuine nature before it, ih». committee should formulate some definite policy to govern the board's activities. The following payments made <sho wed the operations of the claims board over the seven years just past, and formed; the basis of the board's suggestions: 1920 £5500; 1921, £1668: 1922, £1688; " 1923! £1865; 1924, £1665; 1925, £1626; 1926, £2104. The report added :: " The year 1920 was an exceptionally heavy period hecause during that year many mon were repatriated. For our purposes we disregard that year and work on the aver : ageWthe.sii years,' 1921-1926, both inclusive. We find the total • payments for the six years as follows: Total grants and pensions, £10,662; average per year,. £1775. To this must be added administration expenses,- £3OO per annum,, and: from this must be l - deducted payments by kindred societies for relief afforded to their liabilities, say £l5O. "We therefore arrive at the total: average annual expenditure of the committee, namely £1925, expenditure on relief £1625. LIFE OF FUND LIMITED. " Assuming that the committee has at its ultimate disposal a capital sum of £15,000," and allowing interest thereon •at 5 per cent, per annum, the life of the fund is now limited to 10 years. Assuming that relief is granted on the scale it was granted iu 1926, the fund •frill last only seven years. "We know that a sum of £IO,OOO has been set aside to meet cases likely to arise after a.period of 20 years from 1918. If this sum is to remain intact then in two or three years at the most the total expenditure must be limited to £6OO, assuming, that the £IO,OOO will produce income to that amount, and out' of this amount administration expenses must be paid. It is essential, therefore, that the whole policy of the committee must be definitely settled without delay. "We consider that the supplementing of pensions to disabled men to be the most important function of the committee and for that purpose it is essential that the fund be kept in existence for a? long a period as possible. On the other hand, we must be careful not to preserve the fund so carefully that those for whom the moneys are subscribed will obtain no benefit therefrom. It. appears to us esesntial that the annual expenditure of the committee be curtailed."

In an approximate calculation of the life of the loan, the report showed that, based on the sum of £15,000 bearing interest at the rate of 5 per cent., the loan would last 14A years, if it was spent at the rate of £ISOO per annum. of years if spent at. the rate of £IOOO per annum. "We suggest," the report adds, "that the life of the fund be definitely Sxed as far as it is possible to do so,. and that, the claims board be gtoh* a definite annual allowance to cover all claims arising in that year, & being understood that if circumstances warranted further expenditure, the board must obtain a specil grant from the committee to cover such expenditure.

NOT UNEMPLOYMENT FUND. '• Should the committee approve of this suggestion, the claims hoard r.eqommends that the annual expenditure he limited to £ISOO per annum, widen, alter allowing for £3OO administration expenses, would give the hoard the sum of £I2OO for annual distribution, and the fund a. life of 15 years. This amount is £425 below the average expenditure of the past six years in relief, and £7OO less than was 'paid out in relief last year. . . " To enable the hoard to keep within its limits many applications of a nature hitherto granted must then be refused, and this will no doubt cause dissatisfaction. This board is of opinion, however, that the majority of returned soldiers will accept the proposals as being in the best interests of the soldiers generally if the proposals are given wide publicity. . . " W r e propose to meet the position as follows :

" (a) By declining relief to those who are the responsibilities of other district societies without first obtaining the authority of the societies concerned and consequent refunds. " (b) By granting no relief to ablebodied applicants without dependents, except in very special circumstances, length of service in the force and previous grants (if any) to be taken into particular Account. " (e) Relief to able-bodied applicants with the the dependents to be granted sparingly and according to the number of dependents, length of service and previous, grants to be considered. Cases suitable for relief from charitable aid board to avail themselves of that relief.

" (d) No medical or hospital expenses to be paid unless service ordered through board.

" It will be seen that the board proposes to offer practically no relief when the disability is purely employment. It may be advisable to consider subsidising to a certain extent the Poppy Day funds of the Returned Soldiers' Association, which is usually applied to tho relief of employment, ' We fool, however, that the " supplementary pension " grants will increase with the passing of years, and that it will be necessary to put on that list' persons who have not yet been before the board with claimsi We think that our annual estimate must always provide for some £7OO expenditure'on this head. Our present pension list is only £24 per month. It is very essential that the policy be'' determined forthwith, and it may be difficult to adhere strictly to our p'roposd scale of monthly expenditure for a few months after its inception, particularly in times like the present. Until the policy is fixed, however, this board feels itself obliged to continue the practice of meeting all claims of a worthy nature that come before it." "PEAK NOT YET REACHED." Mr. D. VV. Coleman, supporting the adoption of the report, said it was l'elt thai, though there were some deserving cases before them, Ike fund was more for men who had been disabled in the war. If they went on with the relief of all deserving cases they would soon have no funds left for those for whom it was raised. Lieut.-Colonel Gambrill mentioned the fact that R.S.A. had commended the report. It would not be possible to retain £IO,OOO for the expiration of 20 years. During the next few years they would find they would have a number of claims, from returned men who would only then begin to "crack up." It had been estimated that the peak period for disabled men's claims in New Zealand would come in live years' time. Hi' did not see how the fund could spend less than £ISOO a. year, and assuming they got 5 per cent, on their investments, the fund should last for 15 years. They should decline to help any 'cases caused by merely unemployment; they should concentrate on disabled and sick ex-service men. He knew it would cause a certain amount, of dissatisfaction, and the only way they could meet such cases was to endeavor to find work, while the committee's activities might also he extended in finding food and vegetables. If was stated that the expenditure of £ISOO per annum for 15 years was based on the assumption that the committee had a capital of £15,000. "Which is doubtful," remarked a member. HOW LONG SHOULD FUND LAST?

Mr. A. 11. Wallis said he had always understoon , that the fund was for disabled soldiers only.

Mr, Coleman stated that up to the present the fund was being distributed among returned soldiers, not necessarily wounded.

Mr. 0. E. Bickford did 'not think a term of 15 years was sufficient, as cases would continue to crop "up over a lengthy period.

A voice: Whore are you going to find the money?

The chairman: Mr. W. G. Sherrntt, said that if £IOOO a year were spent, the fund would last for <JB£ years. Lieut.-Col. Gambrill explained that the Claims Board had gone into the question, and tound that if they spent less than £ISOO annually they" would not be able to help all the cases they should. Should they*cut down the pensions of those who deserved it now, he asked, in order to conserve some for cases that might arise later on? Air. liickford: Certainly not, but should we bind ourselves to exterminate the fund in 14A years? Lieut.-Col. Gambrill said that during the last few years the claims had been increasing. If they wished to make the fund last longer, the present cases must suffer. Mr. (..'. Barton suggested they oould outline their procedure for the present year arid review the position at the end of the year, or from time to time. This suggestion did not meet with general approval. Lieut. Col. Gambrill said the expenditure from December 31 last to date was already over £IOOO, and by December 31 next a lot mure than £ISOO would be spent. What was required at present was an adoption of the principle of the proposal. The chairman: Affirm the principle first. Then you can go into the amount you can spend e.acb year. Lieut.-Col. Gambrill said it was now 13 years since the war. and if the fund lasted for another 15 years it would expire 28 years alter the cessation of iiostihtics, by which tune most of the men could demand the old age pension. the general principle of the proposal was adopted, to operate from January 1 next; also, all previous resolutions' in connection with the appropriation of the funds were rescinded.