Rush to McTaggart: | Cut armaments, lift tax burden “Key to a lasting solution of the plight of the municipali- ties is to end the present huge expenditure of taxpayers’ money on armaments — some $2 billions annually or about 50 per- cent of all national revenues — and to divert large portions of that money for social services and to lift some of the tax load off the backs of the people’ in lower income groups who 3S now staggering under excessive | taxation.” | This view was expressed by: Maurice Rush, secretary of the Vancouver committee,’ Labor- Progressive party, in a letter to Ald. D. E. McTaggart, municipal representative on the B.C. dele- gation taking part in the federal- pronvicial conference at Ottawa. Welcoming the fact that on the eve of the conference the provincial government had been compelled to add a civic repre- sentative on the B.C. delegation, Rush placed before McTaggart some LPP proposals to relieve overtaxed homeowners and pro- vide improved civic facilities and services for Vancouver. Under the BNA Act, inadequate provisions were made for muni- cipalities to get a large enough Share of public revenues to look after their rapidly expanding needs, said Rush. The result has been that civic governments have been placed in the position of the poor relative, resorting more and more to heavier taxes to meet rising. expenditures. Rush illustrated this point by Siving a comparision of revenues patients. and maintenance for indigent This _ responsibility does not properly rest with local governments and is not the re- sult of local conditions. It should be borne by the senior govern- ments. In 1955 Vancouver tax- payers will have to meet a bill which -will amount to $965,326 for unemployment and _ social services. This cost adds two and a half mills to the tax rate in Vancouver since each mill raises $385,000 in revenue. Municipalities should be re- lieved from hospital costs. This cost should be assumed by the federal government _ re- imbursing the provincial govern- ments for hospitalization of all needy citizens. It is extremely unfair that the load of hospital- ization should be heaped on municipal taxpayers. In 1955 Vancouver homeowners will pay in grants to hospitals $1,115,654. This amount adds nearly three mills to the tax bill. Vancouver taxpayers should be relieved from the present excessive load they are compell- ed to carry for roads. The federal government should make greater revenues available to the. prov- ince to meet a fairer share of road costs. Vancouver receives to show the percentages Sey $23,000 from the provincial gov- ed by the respective levels of government: _ - 1930 1951 Federal 40.5 70.9 Provincial —-20.2 17.2 Municipal 39.3 11.9 : “The crisis of the municipali- | ties stems from "the fact that : while the share of revenues go- ing to municipalities is sharply dropping each year, costs for health, education, unemployment, : Social assistance, roads,. sewer- age, etc. are rising by leaps and : bounds,” said Rush. “The direct result on tax- payers is that their tax bill is climbing each year. It has now reached an all-time high ia Vancouver and most other / municipalities. In the opinion of the Labor-/ Progressive party, the solution | to this problem lies in the direc- | tion. of getting a fairer distribu- } ernment as its share for roads. This amount is a tiny drop in the bucket compared to the $15 million to $30 million which the city engineer estimates Vancou- ver may have to spend in the next five years to keep up with traffic entering the city. The federal government should be urged to re-open the Municipal Improvements As- sistance Fund which is now froz- en at $30 million. This fund should be increased to enable municipalities to borrow money at two percent interest. Vancou- ver is at present paying exorbi- tant debt charges on money bor- rowed on the U.S. and Eastern Canadian money market. Van- couver’s debt charges for 1955 will amount to $7,139,194. If $2 million were cut from present tion of taxes to meet provincial debt charges through borrowing and municipal needs. . i Rush asked ghd ne to sup-' port and urge the ollowing: The federal government should pay the full cost of education of all children of ele- mentary school age out of in- come tax and corporation profits taxes. This would lift the great- est single burden off the back of Vancouver taxpayers. Last year homeowners in the city had to pay 61 mills of which 31.7 amills were for school costs. De- Spite the new education formula in 1955, education costs remain ene of the main burdens on homeowners, with _the average taxpayer having to pay $76 for education purposes. 2 The municipalities should be completely freed from hav- ing to pay unemployment relief from the above fund, Vancouver | taxpayers could save five mills on their tax bill. “The Labor-Progressive party,” concluded Rush, “is strongly of the opinion that the above pro- posals must be acted on at once if Vancouver homeowners are to look forward to substantial tax cuts in the next period of time. . “Relief from costs of unem- ployment and hospitalization and large debt charges could cut Vancouver’s taxes by 10 mills at once. “The additional Savings from school costs and roads would make it possible for Vancouver taxpayers to have their taxes cut while at the same time hav- ing funds left over for expand- ing municipal services.” ‘ FOR THEIR SAKE . .» AND YOURS strengthen the voice that speaks for Canada’s future Dear Reader; I have just returned from a trip to Cumberland, Court- enay and Campbell River which produced 60 subs, in- cluding’ 16 new readers. Our PT supporters in these centres deserve congratulations for their hard work. Now I’m on my way to Powell River, where I hope the results will be equally gratifying. ; Sub score to date (not count- ing paper sales credits) is 343, with Greater Vancouver and the province in a nip and tuck race—the city has 172 subs, the province 171. Let’s try to go away over the 500 mark before next week. Most encouraging news of the week is the upsurge in street sales in Vancouver. Some 200 extra papers were sold downtown and at factory gates last weekend. Two mem- bers of Halperin press club sold 75 papers in one hour and 20 minutes. We need more such salesmen. How about giving it a try. Kita Whyte PREMIUM OFFER _ © False Witness Fill in this form (PREMIUM SUBSCRIPTION OFFER) (Expires November 1) - Circulation Dept., Pacific Tribune ‘ Room 6, 426 Main St., Vancouver 4, B.C. 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