LEVIES ON LOCAL BODIES

Timaru Herald, Volume CXLVI, Issue 21361, 2 June 1939, Page 4

LEVIES ON LOCAL BODIES

Burden of System on

Farmers Position of Mackenzie Ratepayers • I I A review of the fiscal position relating to local bodies was contained in a letter which the Mackenzie County Council received at its monthly meeting yesterday from Mr John Anstey, of Timaru, who has represented the Council on the South Canterbury Chamber of Commerce for - a number of years. Mr Anstey has found it impossible to continue his representation in view of advancing years, but he is to be asked to continue as the Council’s representative for another year. “In common with other rural districts the Mackenzie County Council is suffering from an unfair drainage of its resources,” wrote Mr Anstey. “Including the recent increase in hospital levy, half your total rates are sent to Timaru for hospital and harbour purposes. On either a population or wealth basis you are paying three times as much for these purposes as we in Timaru.” The basis of assessment—land values —was entirely wrong. Thus a person living in Timaru with an income of £3OO to £5OO a year lived on a section of land valued at, say, £2OO. A farmer with a similar income had to occupy land valued at £3OOO to £5OOO and paid hospital and harbour r-tes on this unjust basis. Hospital rates, and to an almost similar degree, harbour rates, should be based on wealth and income, Mr Anstey contended. The farmer paid on his total source of income. The town dweller paid nothing on his source of income, but only on the few yards of land his house stood on. Harbour Contribution “In discussing the recent harbour loan wi”’ several members of the Harbour Board I pointed out that while farmers always had and would continue to support any sound proposal for the maintenance of the efficiency of the port, steps ought to be taken to place their contribution on a fairer basis between town and country. They said the port was of vital importance to farmers. What would they do if disaster overtook the port? I replied: ‘Yes, what would the farmers do? They would carry on much as now— -everely handicapped by railway freights and trading facilities with other ports,” continued Mr Anstey. “But what would happen to Timaru? Her trading would be gone. As a tourist and health resort she would disappear; Caroline Bay would be wiped out and Timaru would revert to a fishing village of less importance than an inland town surrounded by primary producers. The port is of three times as much importance to Timaru as it is to rural districts, and their contributions should be reversed.” Position in Mackenzie Half the Mackenzie County was crown land and a further large area was settlement land id educational reserves. The whole of the rents were sent to Wellington where, after being shorn by multitudes of high-paid officials, much of it was spent on overelaborate building! in the centres. Many of them had little or no productive value and were really only collecting bars for collecting taxation from the general public, a very small portion being returned □ the local body. The freehold portion was subject to mortgages nearly up to real values, and the interest thereon sent to the towns. Mackenzie was suffering badly from absentee ownership. “These disabilities are common to most rural districts. A thorough reorganisation of these contributions so as to place them on a fairer and sounder basis is essential to prevent the rapid decline in our farming interests,” concluded Mr Anstey. “All that is very true,” said Mr C. V. Kirke. “It certainly gets to the root of our problem,” said Mr W. R. Davison. It was agreed to write and thank Mr Anstey for his serv: ..j to the county as representative of the County Council on the Chamber of Commerce.