LAND FOR SETTLEMENTS ACT, 1925 (REPORT ON THE).

Appendix to the Journals of the House of Representatives, 1935 Session I, C-05

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1935. NEW ZEALAND.

LAND FOR SETTLEMENTS ACT, 1925 (REPORT ON THE).

Presented to both Houses of the General Assembly pursuant to Section 109 of the Land for Settlements Act, 1925.

The Land Purchase Controller to the Hon. the Minister op Lands. Department of Lands and Survey, Wellington, Ist August, 1935. Sir — I have the honour to submit a report on land-purchase operations for the year ended 31st March, 1935. . , , T Owing to the unstable prices for farm-produce, the marketing problem, and other difficulties it has not been deemed advisable to embark on any extensive scheme of land purchase during the past four years. Any areas offered which have been considered suitable for settlement under the Small Farms (Relief of Unemployment) Act have been diverted for that purpose, and this fact, combined with the serious difficulties that have surrounied land-purchase operations, has slackened the pace of settlement under the provisions of the Land for Settlements Act. < . , 1 T j An area of 10 acres adjacent to the Remuera Settlement, m the North Auckland Land District, was purchased under the Native Land Act. Particulars thereof are to be found U1 T As^ind lasfyear's report, share milkers were established on ten ™ the Galatea Settlement, and results have been for the most part satisfactory. Peudmg an improvement in the economic situation as affecting the dairying industry the offering of sections in this block has been further postponed, and no further share milkers have been installed. The Department's farming operations on the settlement have met with satisfactory results and the stock capacity has materially increased through development _ Ovei_ 18,000 sheep, including 9,000 breeding-ewes, 840 dairy cows and 2,600 run are being win «e and it is estimated that by shearing-time there will be approximately 27,000 sheep stat]oil e T wae Block ig at p resen t wintering 4,250 sheep and 700 head of cattle, and has responded well to development. In addition to having and development costs, the area has returned a substantial profit, and it has also been possioie from revenue to effect considerable improvement to pastures which existed at time of purchase. development, the carrying-capacity of the Kakariki Block has materially tet iSS, 11,000 sheep and 1,400 head of cattle at present tang run on 1116 SSLont »p-«r »ESS 1 "1 "ixeS™ holdings are more encouraging. In the farmed by the Department, and is providing more than the annual interest cnarge o sections of the Arthurton Settlement, comprising sheep-farming properties considered and land acquired ,„,™ 'r Sgether with Revenue Account and Balance-sheet. Tim usual statement during tiie yw. joget „ d Auditor-General) required under the provisions of (duly certified by t - qta-tLvmpnts Act 19 9 5 of the moneys received into and paid section 109 a of the lUnd forettlemnnß Act, 1925 of» J parliamentary of the® Revenue and Expenditure of the Publie Account for the year ended 31st March, 1935. ( W. Robertson, Land Purchase Controller. The Hon. the Minister of Lands.

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Table A. —Number of Properties considered during Year ended 31st March, 1935.*

Table B.-Summary of Private Estates acquired to 31st March, 1935.*

Table C.—Return of Private Land purchased and paid for during Period from 1st April, 1934, to 31st March, 1935.

Table D.—Payment from Land for Settlements Account pursuant to Section 10 (1) of the Native Land Amendment Act, 1932, during Period from 1st April, 1934, to 31st March, 1935.*

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Land District. Number. Are^g^ tateS Land District. Number. Are^^ r^ fcates Acres. Acres. North Auckland .. 3 2,217 Nelson .. .. 1 1,221 Auckland .. .. 3 3,726 Westland Gisborne .. .. .. .. Canterbury .. Hawke'sBay .. .. 3 11,900 Otago .. .. 2 4,350 Taranaki .. .. .. .. Southland .. . . 1 344 Wellington .. .. 2 2,325 Marlborough .. .. .. .. Totals .. 15 26,083 * Not including Native lands for general settlement considered pursuant to section 7 (3) of the Native Land Amendment Act, 1932.

Land District. Number. ) Area. Purchase-money. 1 Acres. £ North Auckland .. .. 53 48,924 455,060 Auckland .. .. .. 75 376,073 1,243,775 Gisborne .. .. .. 26 86,380 790,131 Hawke'sBay .. .. .. 59 264,783 1,714,292 Taranaki .. .. .. 26 30,978 375,881 Wellington .. .. .. 155 160,828 2,350,297 Marlborough .. .. .. 22 224,090 755,482 Nelson .. .. .. 14 48,821 150,473 Westland .. .. .. 3 6,032 14,062 Canterbury .. .. .. 178 451,201 3,521,523 Otago .. .. .. 81 335,212 2,029,409 Southland .. .. .. 34 94,396 522,280 Totals .. .. 726 2,127,718 13,922,665 * Exclusive of purchases under the Native Land Act, 1931, for general settlement.

(For Native Land, see next Table.) Name of Owner. LocaUty. j Acqutoit?on. Settlement. Area. A. R. P. £ | .. Nil. Nil.

Payee. Land. Area. Amount paid. A. r. p. £ Close and Dickesori Estate .. Te Karewa No. 2, Herepoho A No. 10 0 31 96 2, Te Ahuahu No. 3a 1, Block XII, Omapere S.D. (Purchased as an addition to the Remuera Settlement.) * Not including payments pursuant to section 3 (2) of the Native Purposes Act, 1934.

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LAND FOR SETTLEMENTS ACCOUNT. Revenue Account for the Year ended 31st March, 1935.

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General. Cheviot. Hutt Valley. Total. m t a £ s. d. £ s. d. £ s. d. £ s. d. To Interest on 403,569 11 6 5,638 8 7 .. 409,208 0 1 Capital from proceeds of Crown lands .. •• in n " " ? 8'477 12 0 Value of Crown lands in estates 8,477 12 0 .. .. 12 0 National Endowment Trust Funds .. .. A'zjd L A " " is'sns n in Cheviot Estate accumulated funds transferred .. .. 18,508 0 10 .. •• '„930 Deposits by lessees under section 208, Land Act, 1924 .. -7„ .. . J™ ,1 .. Capital from Land for Settlements Account .. .. •• 4,973 15 O Sundry charges re Loans— 5 299 0 1Q Expenses of raising loans .. .. •• •• » ±w •• 5 0 8 Stamp duty on transfer of stock .. .. • • j> " ° • • • • ' _ Management charges of New Zealand consolidated stock 360 b 5 .. • • < Proportion of premium on loan conversions .. .. £■> 5o3 U U Administration expenses- 10 970 17 10 968 7 9 156 5 8 12,095 11 3 Snd Laws Amendment Act,' 1929 !! .. .. 1/728 6 0 .. .. 1,728 6 0 from estates .. .. •• •• 23.036 1 3 1,418 2 8 .. 24,454 3 11 Rents and interest: Land Laws Amendment Act, 1929 .. 182 6 - Remissions of rent and interest — ■tg&gaS'r. •• •• ««•» »»« 300182 '»«g J Rents, &c., under Land Laws Amendment Act, 1929 .. 238 Under Mortgagors and Tenants Relief Act, 1933— 11,458 2 11 Rents, &c., from estates .. •• •• •• 10 . 9 04 6 . 553 1b 9 .. t " Rents, &c., under Land Laws Amendment Act, 1929 .. 74 3 < Under Deteriorated Lands Act, 1925 Irrecoverable rents, &c transferred to Suspense Account- 701 19 1 13,461 19 0 Rents, &c., from estates .. •• • • •• 9 Lvt A A 715 0 6 Rents, &c., under Land Laws Amendment Act, 1929 .. 715 0 o Annual Appropriation : Vote, Land for SettlementsExpenses— £ B - es .. :: :: :: ««« Travelling-expenses .. • • 4b b b Compensation for injuries on develop- 505 19 J ment works Miscellaneous .. •• 2 346 16 11 .. •• 2,346 16 11 193 17 0 • • 193 17 0 Depreciation of plant, &c. .. • • •• " 358 6 9 1,144 12 6 Miscellaneous expenses incidental to estates . . J s qd.fi' 1 1 8*946 1 I Interest on Cheviot Estate fixed capital (see contra) .. •• l'o70 6 4 ',899 4 3 2'969 10 7 Balance carried down . ■ • • ■ • • • ' ' ' * £696,832 13 11 £18,936 5 7 £8,290 3 11 £724,059 3 5 £ s. d. £ s. d. £ s. d. £ s. d. , „ 81 317 1 1 •• 81,317 1 1 To Balance brought forward .. •• •; " ōl '° " 1 899 4 3 1,899 4 3 Transfer to Profit and Loss Appropriation Account .. • • 6 4 ' 1,070 6 4 Transfer to reserves . . .. • • • • ■ • ' £81,317 1 I £1,070 6 4 £1,899 4 3 £84,286 11 8 Cr - £ s d. £ s. d. £ s. d. £ s. d. By Rents and royalties— 511 249 13 4 18.496 10 7 205 17 4 529,952 1 3 Estates .. •• •• •• *• _' „ o cot 17 9 Land Laws Amendment Act, 1929 .. •• •• 2,632 Interest on sales— 15 151 12 10 304 8 0 6,497 8 10 21,953 9 8 Estates •• •• •• * * io o 64Q 19 2 Land Laws Amendment Act, 1929 .. • • ■ • Interest on capital expenditure— £ d - TeWera Estate .. •• •• 3,960 18 8 Hutt Valley s 10 Brinklands Estate .. .. •• 5 10 Land development .. .. •• 4,/b» 13,881 12 7 .. •• 13,88112 7 Interest on advances— £ d - Land Laws Amendment Act, 1929 .. 8,253 15 1 Deteriorated Lands Act, 1925 .. 596 8 850 1 7 •• •• 8,850 1 7 Interest on loans for roading of endowment lands under section 47, Land for Settlements Act, 1925— £ s. d Wanganui River Trust Endowment .. 95 10 10 Otago University Endowment .. 263 14 * 359 5 6 .. • • 359 5 6 2 719 16 1 •• •• 2,719 16 1 Interest on investments .. •• ,'' en'oin 19 fi 135 7 0 51 075 19 6 Interest on investments in Public Debt Redemption Fund 50,940 2 0 135 7 0 .. 'noil 0 Valuation fees, sections 7 and 14, Land Laws Amendment 119 11 0 Act, 1929 14 9 5 .. .. 14 9 5 Miscellaneous " " s <146 1 1 .. .. 8,946 1 1 Interest on Cheviot Estate (see contra) .. •• >• 1,586 17 9 1,586 17 9 Gross profit on trading .. •• •• 81 317 1 1 •• ■■ 81,317 1 1 Balance carried down ■ • • • • • • • L £696,832 13 11 £18,936 5 7 £8,290 3 11 £724,059 3 5 £ s. d. £ S. d. £ s. d. £ s. d. , . , 1.070 6 4 1,899 4 3 2,969 10 7 By Balance brought forward e" . U n 1« 11 1 140 16 11 Adjustment previous year : Accrued interest on loans for 1,140 16 11 roading of endowment lands under section 47, Land tor Settlements Act, 1925 80 176 4 2 .. •• 80,176 4 2 Transfer from reserve • • ■ • • • ■ • ; £81,317 1 1 £1,070 6 4 £1,899 4 3 £84,286 11 8

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LAND FOR SETTLEMENTS ACCOUNT—continued. Balance-sheet as at 31st March, 1935.

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Liabilities. General. Cheviot. Hutt VaIIe y- T ° tal - Loan capital— £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. 3 per cent. .. 429,800 0 0 3J per cent. .. 6,001,733 5 11 .. 160,918 0 0 3J per cent. .. 364,150 0 0 4 per cent. .. 5,444,779 3 11 4J per cent. .. 37,739 12 3 5 per cent. .. 118,520 0 0 5£ per cent. .. 1,500 0 0 5J per cent. .. 19,580 0 0 Funded debt, £4 33,446 6 11 19s. 5'88d. Debentures not 200 0 0 converted 12,451,448 9 0 Less reduction, Finance Act (No. 2), 1,138,600 0 0 1927 11,312,848 9 0 Crown lands included in estates .. 211,940 0 0 Sales of Crown lands .. .. 2,482, 592 11 7 14,007,381 0 7 Jjess amount expended in opening up 425,473 I !0 Crown lands 5 13,581,907 18 9 160,918 0 0 .. .. 13,742,825 18 9 Accumulated funds — Cheviot Estate .. .. .. .. 462,705 12 1 .. .. 462,705 12 1 National Endowment Trust .. .. .. .. 111,363 13 1 .. 111,363 13 1 Deposits by lessees under section 208, 9,445 16 3 .. .. . 9 445 jq 3 Land Act, 1924 Sundry creditors — Interest on capital from proceeds of sales 36,454 4 5 of Crown lands Interest on loans due and unpaid .. 50 14 5 Turakina Domain .. .. .. 317 3 1 Departmental . . .. .. 317 6 11 Miscellaneous .. .. .. 2,524 5 5 39,663 14 3 .. .. .. 39,663 14 3 Interest on loans accrued but not due .. 107,707 19 1 1,373 6 3 .. .. 109,081 5 4 Hutt Valley estates — Purchases .. .. .. .. .. .. 164,760 11 9 Roading and incidental expenses .. .. .. .. 225,026 3 1 Interest .. .. .. .. .. .. .. 71,654 12 10 461,441 7 8 Less deductions, section 11 (2a), .. ... .. 299,925 19 2 Finance Act, 1932 161,515 8 6 161,515 8 6 Railway Improvements Authorization Act, .. .. .. 1.014 14 1 1,014 14 1 1914 : Interest on capital Land Laws Amendment Act, 1929 : Land subject to section 8— Crown Lands Account .. .. 35,414 6 5 National Endowment Account .. 8,711 10 2 Primary Education Endowment Account 177 19 1 44,303 15 § .. .. .. 44,303 15 8 Discharged Soldiers Settlement Account — Merged interests under section 20, Discharged Soldiers Settlement Amendment Act, 1923 — Principal .. .. .. 2,945 11 7 Instalments .. .. .. 77 11 9 3,023 3 4 .. .. .; 3,023 3 4 Payments in advance — Rents, &.C., on estates .. .. 5,710 3 7, 12 3 4 .. 2 5 0 Principal instalments: Sales of Crown 4,603 6 10 .. 1 7 7 land Interest on advances under Deterio- 0 16 3 rated Lands Act, 1925 Land Laws Amendment Act, 1929 : 48 18 1 Rents, &c. 10,363 49 12 34 1 77 250 10,379 0 8 Rents charged in advance .. .. 128,969 19 5 5,790 17 0 .. 3 14 2 134,764 10 7 Suspense Account : Deteriorated Lands 802 8 10 .. .. .. 802 8 10 Act, 1925 Suspense Account: Buildings .. .. 321 16 11 .. .. .. 321 16 11 Writings-off in Suspense Account .. 9,861 19 2 9 8 0 .. 405 19 10 10,277 7 0 Reserves for capitalized interest on land- 27,050 0 2 .. .. .. 27,050 0 2 development schemes Reserve Account, including unexpended 809,411 5 0 7,315 0 2 .. .. 816,726 5 2 loading for roads, &c. Profit and Loss Appropriation Account . . .. .. .. 119,887 9 11 119,887 9 11 Cheviot Estate Account, as per contra . . 262,226 7 0 .. .. .. 262,226 7 0 National Endowment Trust Account, as 63,740 1 6 .. .. .. 63,740 1 6 per contra —— — £15,098,799 10 1 £638,124 6 10 £111,365 0 8 £282,829 II 6 £16,131,118 9 I

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LAND FOR SETTLEMENTS ACCOUNT—continued. Balance-sheet as at 31st March, 1935 —continued.

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Assets. General. Cheviot. Hutt Valle y- Total - Land Account — £ s. d. £ s. d. £ s. d. £ s. d. £ 8 . d. Estates leased .. .. .. 10,409,315 9 1 358,385 9 1 Estates unlet .. .. .. 276,917 .9 3 365 0 0 .. 118,346 0 0 10,686,232 18 4 358,750 9 1 .. 118,346 0 0 11,163,329 7 5 Land Laws Amendment Act, 1929— Land leased .. .. .. 88,407 0 0 Land unlet .. .. .. 10,940 0 0 99,347 0 0 .. .. .. 99,347 0 0 Provisional State forest .. .. 3,158 6 6 .. .. .. 3 158 6 6 11,265,834 13 11 Unpaid purchase price (not yet payable)— Buildings on estates .. .. 114,880 9 8 20 9 7 Sales of settlement land .. .. 452,289 1 7 5,621 0 0 47,189 8 4 124,756 13 11 Sales of Crown land .. .. 517,657 8 2 Land Laws Amendment Act, 1929 — Buildings .. .. .. 249 13 1 Sales of land .. .. .. 12,703 5 2 1,097,779 17 8 5,641 9 7 47,189 8 4 124,756 13 11 1,275,367 9 6 Realization Account .. .. .. 3,290 1 5 .. .. .. 3,290 1 5 Hutt Valley estates— Purchases .. .. .. 164,760 11 9 Roading and incidental expenditure .. 225,026 3 1 Interest .. .. .. .. 71,654 12 10 461,441 7 8 Less deduction, section 11 (2a), 299,925 19 2 Finance Act, 1932 161,515 8 6 .. .. .. 161,515 8 6 Railway Department: Balance unpaid on .. .. .. 26,389 8 0 26,389 8 0 area taken for workshops Advances on mortgages — Land Laws Amendment Act, 1929— Current Account: Crown lands .. 131,102 8 7 Instalment mortgage : Crown lands 4,944 7 9 Current Account: Settlement land 19,153 15 7 Instalment mortgage : Settlement land 272 18 8 155,473 10 7 .. .. .. 155,473 10 7 Deteriorated Lands Act, 1925 — Current Account .. .. 9,911 4 7 Instalment mortgage .. .. 1,538 5 9 11,449 10 4 .. .. .. 11,449 10 4 Advances for roading of endowment lands under section 47, Land for Settlements Act, 1925— Wanganui River Trust Endowment .. 2,095 18 0 Otago University Endowment .. 1,703 10 10 3,799 8 10 .. .. 3,799 8 10 Land Laws Amendment Act, 1929 : Expenditure on development of Crown and settlement lands— Crown lands — Improvements .. .. .. 107,838 18 9 Equipment .. .. .. 10,213 9 5 Stock and Farm Accounts .. 16,309 5 1 Settlement lands — Improvements .. .. .. 108,638 9 1 Equipment .. .. .. 8,697 2 3 Stock and Farm Accounts .. 31,338 19 10 283,036 4 5 .. .. .. 283,036 4 5 Interest on capital expenditure . . 27,050 0 2 . . .. . . 27,050 0 2 Carried forward .. .. 12,532,132 6 9 364,391 18 8 47,189 8 4 269,492 111 13,213,205 15 8

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LAND FOR SETTLEMENTS ACCOUNT —continued. Balance-sheet as at 31st March, 1935—continued. Assets —continued.

W. Robertson, Under-Secretary for Lands. W. E. Shaw, Accountant. I hereby certify that the Revenue Account and Balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as _ disclosed thereby, subject to the following exception: No interest has been allowed to the Cheviot Estate m respect of the assets of the Cheviot Estate Account, which have been transferred to the Land for Settlements Account; and, moreover, the Cheviot Estate has been charged interest on the value of such assets other than cash. As a result, the accounts do not disclose the true amount of revenue earned by the Cheviot Estate and the Land for Settlements Account respectively. The following comments are appended: (1) The account contains no charge for the cost of exchange on payments made m London ; (2) to avoid de ay the accounts of some land districts, the audits of which have not yet been completed by the local Audit Inspector, have been accepted from the Department's records.-J. H. Fowler, Deputy Controller and AuditorGeneral.

Approximate Cost of Paper.—Preparation, not given; printing (500 copies), £10 10s.

By Authority: Gr. H. Loney, Government Printer, Wellington. —1935. Price 6d.]

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H j Cheviot! | f Hutt VaI,ey ' j Tote '' £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Brought forward .. •• 12,532,132 6 9 364,391 18 8 47,189 8 4 269,492 1 11 13,213,205 15 8 Station accounts, including improvements 142,736 6 10 •• •• j •• 142,736 6 10 and live-stock Plant and machinery .. •• •• »>°°° 7 ft Less Depreciation Reserve .. •• -,528 . 0 1,357 13 0 •• 1,357 13 0 Postponements of rents, interest, &c.— Under Land Act, 1924— 117 1« 7 Rents, &c„ from estates .. 124,015 0 9 117 16 ia 17 11 Instalments from sales of Crown lands 1,413 148 Land Laws Amendment Act, 1929 : 71 19 0 Rents, &c. Under Mortgagors and Tenants Relief Rents, &c., from estates .. •• 6,315 17 10 376 3 5 Instalments from sales of Crown lands 187 17 10 • 132,004 10 1 494 0 0 18 17 11 •• 132,517 8 0 Sundry debtors for— 2 S9 17 7 Rents, royalties from estates •• 463,773 9 2 6,911 11 10 Principal instalments: Buildings .. I „ fi ,, ,, Principal instalments: Sales of Crown 18,409 17 2 . • Principal instalments: Sales of settle- 30,327 11 3 340 10 0 . • 3,35- 17 10 ment lands Principal instalments : Advances under -1 3 4 Deteriorated Lands Act, 1925 Principal instalments : Loans for road- 4-5 9 6 ing endowment lands under section 47, Land for Settlements Act, 1925 Interest on loans for roading endowment 979 17 2 lands under section 47, Land for Settlements Act, 1925 _ t ka 11 a Interest on advances under Deteriorated 1,154 11 Lands Act, 1925 Interest on sales of Crown lands : Sec- 186 19 4 tion 5, Land Laws Amendment Act, Interest on sales of settlement lands .. 15,448 16 3 155 15 0 .. 8,810 14 4 Land Laws Amendment Act, 1929 — Rents . 1 ,252 5 7 Interest on sales!.' .. , 180 8 3 Interest on advances under sections 7 10,58:2 1- 10 and 14 n Principal instalments : Sales under 60 1 0 section 8 Principal instalments : Mortgages .. is 1 Insurances *1 18 Departmental .. •• •• , toe a i Miscellaneous .. •• 1,498 8 i I 562,427 1 1 7,413 5 11 416 12 11 12,403 9 9 j 582,660 9 8 Interest on national-endowment trust funds 407 12 9 overpaid Interest accrued but not due on 4 Investments .. •• •• 467 17 4 .. •• • Sales under deferred-payment licenses, &c. 6,459 8 11 405 19 10 7 0 Outstanding losses Account .. 9,8bl 19 f g gj 9 2 0 .. •• 1,292,516 19 5 Investment in Public Debt Redemption 1,288,997 17 b d,oiM & u Fund . £ • j. iQi iifii ft 9 •• 131,461 8 2 Consolidated Fund : Proportion of interest 131,4bi 8 i on Loan Account _ 20,504 0 0 Premiums on loan conversions . . -0,504 o u •• 63 740 1 6 .. 325,966 8 6 Land for Settlements Account: General, .. 2b-,2-b 7 0d,/4U as per contra OR , s » .. 252,11b 8 7 Cash .. .. •• n'afiK 0 0 " •• ■■ 17 ' 865 0 0 Investment Account • Securities held .. 11, 8bt> u u £15,098,799 10 1 £638,124 6 10 £111,365 0 8 £282,829 11 6 £16,131,118 9 1