HIGHWAY FUNDS.

Thames Star, Volume LXIV, Issue 17970, 20 August 1930, Page 5

HIGHWAY FUNDS.

GOVERNMENT ATTACKED. Mr. Coates’ Charges. t “DIDDLING” THE PEOPLE. IMPORTANCE OF POSITION. (Special to Star.) WELLINGTON, Aug. 20. That the Government was dishonouring an agreement honouiably made was the contention of the Leader of the Opposition, t'».» Rt. Hon. J. G. Coates, when commenting in the House of Representatives- yesterday on the proposals regarding the Main Highways Fund in the Finance Bill.

When it was decided to pay certain sums over to the Main Highways Board, said Mr Coates, it was calculated and decided that those sums were quite a fair contribution from the Consolidated Fund. The Government was now proposing to destroy that arrangement. The Prime Minister, the Hon. G. W. Forbes: We are not doing away with it.

That was what the hon. gentleman was telling the country, Mr Coates replied, and the public was believing it. The Government intended -to charge interest on the £1,226,000 which had been given to the roads of the country and that would meAn "Another £61,000 out of the pockets of the taxpayer. Mr W. J. Poison (Independent, -Stratford): That will increase each year.

Mr Coates; Certainly. Mr Forbes: That is not interest. That is sinking fund. “Interest, and sinking fund,” Mr Coates said. Where would the country be if it was not for its roads? he asked. The Government was asking the primary producers to find money from another source. In addition to that the Government had another startling proposal which could pnly be termed a steal. Tlffit was the £220,000 which would not be paid in subsidies. It was a question of sufficient importance to require the opinion of the electors of the country. A party 26 strong with the assistance of the Labour Party was going to reverse a piece of legislation which had been in force for 40 years. ' No one would be foolish enough to suggest that the people of New Zealand ever expected to be “diddled” out of £200,000, he added. Mr Forbes: We are raising the money for it. Mr Coates: You say that the Government is paying for it. The general taxpayer is not paying for it. The extra twopence will pay for it. Mr J. McCombs (Labour, Lyttelton) : Who imposed the petrol tax first ?

Mr Coates: The Reform Party. Mr McCombs: For the same purpose.

The money tvas to come from the users of motor-cars and the farmers, Mr Coates said. The Minister of Lands could not have designed the Bill, he eontmtied, because he talked Tvith tears in his voice and almost in his eyes about the unfortunate backbioeks farmers.

The Minister of Lands, the Hon. E. A. Ransom: You threw out the extra penny which was to go to the backbioeks.

Mr Coates: Thank you for nothing. Is every man who owns a car to pay for backhlock roads?