The Land Commission Estimate for the financial year 1934-35 really stands by itself and is not strictly comparable with previous Estimates on account of the new situation created by the passing of the Land Act, 1933, and the changes in land purchase finance that have arisen in consequence of the provisions of that Act. In previous years, the annual Estimate for the Land Commission used to average about £600,000, but this included an annual contribution to the British Government of £134,500 towards the charge for "Excess Stock" and "Bonus" created in the course of financing land purchase under the Land Acts prior to the Act of 1923, which contribution was discontinued in last year's Estimate. The original net Estimate for the year 1933-34 was, therefore, reduced £446,254 on a normal basis. To this had to be added, by Supplementary Estimates, successive amounts of £800,000, £1,420,000 and £57,000, making a grand total for last year of £2,723,254. The first two of these Supplementary Estimates were required mainly for the purpose of meeting deficiencies in the collection of annuities, due to the non-collection of the May-June gale of 1933; the third was necessary to cover certain unanticipated excesses of expenditure, particularly in regard to the improvement of estates. The great bulk of the sums provided in the Second Supplementary Estimate did not make any ultimate demand on the Exchequer or on the taxpayer, being really in the nature of a book-keeping transaction involving the transfer of moneys to and from the Land Purchase Annuities Fund. This item disappears from the Estimate for the current year, and represents the greater part of the total decrease as compared with last year.
A number of the sub-heads of the Estimate are for nominal or comparatively trifling amounts and I need not go into them all. Taking the more important sub-heads as they occur, I may explain, as regards Sub-head A, that the increase of £30,000 odd for Salaries, Wages and Allowances is due mainly to the increase of staff provided for the operation of the Land Act, 1933 —an increase in number from 761 to 830, or 69 extra officials, of whom 63 are in the Acquisition and Resales and Inspectorate, for the purpose of speeding up the acquisition and division of untenanted land. This increase is absolutely necessary if we are to show the results which we desire in this direction. The increase of £6,000 for traveling expenses etc. under Sub-head B reflects the increase in the number of outdoor staff and the greater amount of travelling generally which will follow upon the Department's extended operations. Sub-heads C, D, E and G and H are much on the same lines as last year and do not call for any comment. As regards Sub-head F, the decrease of £15,500 is mainly due to the change of procedure for the recovery of arrears of Land Purchase annuities introduced by Section 28 of the Land Act, 1933, in consequence of which State Solicitors' costs will be largely cut out. It is difficult to estimate, with any degree of accuracy, for items such as these, but the estimated figure is a reasonable anticipation.
Under sub-head I, Improvement of Estates, the increase of £20,000 reflects the anticipated acceleration in regard to the division of untenanted land. It should be borne in mind that these improvement works provide employment for about 1,500 men in the summer months and about 2,000 in the winter months. The Estimate under sub-head (J) shows a decrease of £10,000 as compared with last year. It is particularly difficult to estimate ahead for this item, as it represents the balance between various outgoings and incomings, that is to say, the difference between the payments to be made in the financial year for interest on the Land Bonds representing the price of untenanted land acquired by the Land Commission, but not yet permanently disposed of, together with charges on this land, such as rates and herds' wages, totalling approximately £22,000, and on the other hand, such interest as may be derived from interest payable by allottees, grazing lettings, etc. which are estimated to produce £12,000. The halving of last year's estimate under this sub-head is largely due to the fact that as estimated income from allottees is reduced by 50 to 55 per cent., in consequence of the provisions of Section 16 (3) (a) of the Land Act, 1933, a corresponding reduction has been made in the provision under this sub-head for the interest charge on Land Bonds issued in respect of the land concerned. The balance of the interest charge on these bonds is provided under sub-head R.
Under sub-head (K), the increase of £1,340 on last year's revised Estimate is due to the return to normal conditions in regard to the liability for interest on the land bonds issued in discharge of the liability assumed by the State in connection with the resale of Land Bank and "committee" lands. Last year's original estimate of £18,800 was reduced by £3,000 owing to arrears of annuities in certain Land Bank cases being funded under the Land Act, 1933, instead of being charged to this sub-head. While the amount of this saving was exceptional, the necessity is also avoided for making provision for arrears in the Land Bank cases likely to be closed during the year 1934-35, as such arrears have been funded or remitted under the Land Act, 1933, and this accounts for the estimate for the current year being as low as £17,140. Sub-heads (L) and (M) represent merely nominal provision and do not call for comment. A forecast under sub-head (N) is particularly difficult, except within wide limits. The original estimate for last year was £2,500, but only £1,000 was required and the saving was taken into account in a Supplementary Estimate. It is considered that £1,500 should be sufficient to meet charges arising under this sub-head during the current year. The estimate under sub-head (O) is also largely problematical. Up to the present, no charge has actually been made under this head, but owing to the increasing number of estates in which the purchase moneys have been allocated and the difficulty which might be experienced in recovering the amount required to redeem Land Bonds in cases where there was an over-issue of bonds the estimate has been increased from last year's nominal figure of £100 to £1,000 for this year, to provide for cases in which recovery may prove to be impossible. The difficulties which have been referred to in estimating the provision under sub-head (N) apply also to sub-head (P), under which the original estimate of £2,000 for last year was found to be excessive by as much as £1,500. As a matter of prudence, however, a sum of £2,000 is again put down to provide for any contingencies under this sub-head which may arise in the current year. Sub-head (Q) represents merely a token estimate.
Sub-heads A. to Q represent those items which are at all comparable with last year's Estimates. In this year's Estimate a number of new sub-heads have had to be introduced mainly consequent on the provisions of the Land Act, 1933. The new sub-head R represents by far the largest item in the Land Commission Estimate, and, roughly speaking, may be said to represent in itself the main difference between the Estimates ante and post the Land Act, 1933. Deficiencies in the Land Bond Fund due to the revisions and reductions in land purchase annuities under the Land Act, 1933, must be provided for out of the Vote, and such provision will remain a permanent charge until the Land Bonds are ultimately redeemed. I need hardly remind Deputies, however, that this charge on the State Exchequer in respect of the Land Bonds issued under the Land Acts, 1923 to 1933, is more than offset by the retention for the benefit of the State Exchequer of the land purchase annuities receivable under the Acts prior to the Land Act of 1923. Deputies may be inclined to contrast the amount of £555,000 under this sub-head with the amount of £795,000 provided for a similar purpose in a supplementary estimate of last year. I may explain that the big difference between these two sums is to be accounted for by the necessity to provide last year for the moratorium which was granted in respect of the full annuities payable on the first gale of the year 1933.
The new sub-head S is required to provide for advances and bonus moneys remaining to be paid in the comparatively few transactions still pending under the old Acts of 1903 and 1909. Such requirements have heretofore been provided from the Emergency Fund, but are to be financed in future from the Land Commission Vote. The sum of £25,000 should be sufficient to meet the total commitments under the Land Acts of 1903 and 1909, and as soon as these are disposed of this sub-head will disappear. The new sub-head T follows on the provisions of Section 14 (4) of the Land Act, 1933, whereby the Land Commission have to pay to the persons entitled thereto any arrears of interest in lieu of rent remitted, and also the full interest in lieu of rent accruing after the first gale of 1933 instead of the 50 per cent. thereof which they collect from the tenants. These liabilities are estimated to amount to £4,000 during the current year. The new sub-head U provides, pursuant to Section 17 (1) of the Land Act, 1933, for the payment by the Land Commission to the persons entitled to such ascertained arrears of rent and costs and expenses as are due from sub-tenants to their immediate landlords, of a sum equal to that part of the funded debt for which the subtenants are not entitled to credit under the terms of the Act. The round figure of £1,000 is put down to cover contingencies under this head.
Under sub-head (V) a nominal sum of £100 is put down to cover any deficiency in the Church Temporalities Fund by reason of the funding of revision of annual payments provided for by Section 18 of the Land Act, 1933. The amount of the actual deficiency will depend on the applications made by payers for revision of their annual payments and the orders made by the Land Commission thereon. It is probable that such deficiency will be counterbalanced by the reduction in one of the Statutory Charges on the Church Temporalities Fund (that is, the annual contribution to the Teachers' Pension Fund) and, therefore, only a token vote is necessary. With regard to sub-head (W), the sum of £48,000 should be sufficient to cover the cost of such warrants as may have to be issued each half-year to the county registrar under the powers of Section 28 of the Land Act, 1933. Sub-head (X) provides for any deficiencies in the Land Bond Fund arising from the extinction of the annuities on submerged lands, under Section 37 of the Land Act, 1933, and the round figure of £1,000 is put down for the current year.
As regards the Appropriations in Aid of the Vote, the total amount for the current year is expected to be less, by over £25,000, than last year's revised figure of £155,930—which itself was less than the amount originally put down for last year by £16,000. The reductions occur mainly under the items Nos. 6 and 7, that is to say, excess annuities and the repayment of advances in respect of additional sums under Section 51 of the 1931 Act. The decrease in the receipts under both of these heads is mainly due to the revision of annuities under the Land Act, 1933. The excess annuities were reduced as from 1st May, 1933, so that the Estimate is 50 per cent. of what these annuities would realise in the current year at the full rates. The repayments by tenant-purchasers of "additional sums" have been halved for the November, 1933, gale, and subsequent gales, and, as in most cases, the final instalment will fall due on the first gale of 1934, little more than one instalment will be received in the current year. On the other hand it is estimated that about £8,000 will be received by way of repayments of sheriffs' fees paid in connection with proceedings under Section 28 of the Land Act, 1933, and this comes on as a new item under Appropriations-in-Aid.
As regards the general work of the Land Commission, I may say that with respect to the division of untenanted land under the Land Acts, 1923-33, during the past year a total area of something like 35,000 acres has been divided among 3,000 allottees. I have only approximate totals at present, as it takes some time to get in all the returns and to analyse and tabulate them in the office. The area divided is practically the same as in the proceeding year, 1932-33, and represents the best the Land Commission could do in the conditions prevailing, and with the staff available. During the last few months of the year 1933-34, since the new Land Bonds became available under the Land Bond Act, 1933, an additional area of 15,000 acres has been acquired for division. The preliminary proceedings for acquiring untenanted land have also been pushed forward, and during the past year, ended 31st March last, an area of no less than 150,000 acres (on some 660 estates) has been inspected as to suitability for acquisition. This compares with an average area inspected during the previous five years of 40,000 acres per annum. This great increase is largely due to a new procedure adopted for speeding up the work generally. Arrangements are made for a concentrated "drive" in particular counties which need special attention, and a "flying squad" of inspectors is mobilised to the number of a score or so and allocated to a particular area, under the control of a divisional inspector. No effort will be spared by the Land Commission during the current year to acquire and divide the maximum area of land, consistent with the settled standards of justice to the owners, suitability of the allottees and efficiency in administration. The provisional figures I have received for the two months April and May are encouraging. Some 37,000 acres have been inspected, some 10,000 acres acquired, and some 13,000 acres divided.
As regards the other branches of the Land Commission, I need only say that the work is proceeding normally and efficiently. The Purchase Branch, which deals with the estates vested in the Land Commission under the Land Act, 1931, is occupied with the inspection of holdings, and the clearing up of the various matters in regard to rent, boundaries, occupancy, rights, etc., which have to be disposed of before the holdings can be finally revested in the tenant purchasers. The Collection Branch is in full swing again, dealing with the revised annuities now payable. The collection for the November-December gale was satisfactory in the circumstances. The Registrar's and the Examiner's branches are busy with the clearing of titles and the distribution of the purchase moneys of the estates, and the Accounts Branch is gradually making up the mass of financial adjustments necessitated by the land legislation since 1931. All the branches of the Land Commission have to deal with a very heavy correspondence, amounting in the whole to over 200,000 letters received annually, apart from about 450,000 receivable orders received and dispatched twice yearly. Deputies, I think, understand the enormous volume of work that passes through the Land Commission. Frequently, we have complaints regarding delay in our operations. Land acquisition and division are, as Deputies know, difficult and tedious operations. Our staff are working at top pressure, and every effort is being made to obviate delay and to push forward the all-important work on which we are engaged.