i f THE DAILY NEWS TO THE PEOPLE OF CANADA I WOULD like to convey to the people of Canada the viewpoint of Ilritish Columbia in respect of our economic anil political relationship to Canada as a whole, with suggestions as to how this relationship can he very much improved not only for the good of Ilritish Columbia, but for the welfare of Canada generally. I think it advisable to do so because I believe that the west understands the cast better than the cast understands the west. It is natural that this should be so, as a considerable ixirtion of our popular tion originally came from the eastern provinces and consequently have first-hand knowledge of eastern conditions. Ilritish Columbia has been criticized in eastern Canada us having carried out extravagant undertaking and as having moved too rapidly in social and welfare legislation. W ith regard to social and welfare legisla- tion, we Iiclicvc that the benefits which are being received more than outweigh the cost. It may Ikj well to note that other provinces and the Federal Government are now moving along similar Icgtsluthc linen. So far as extravagance in public undertakings is concerned, I think I may say that our record in Hritiah Columbia will compare favourably with what has taken place in Canada as a whole, although this is not necessarily a recommendation. REDRESS DEMANDED . . . Ever since Confederation this province has been suffering under a number of disabilities of which our present position is the logical result. To remove these disabilities we intend to make representations to the next Dominion-Provincial conference, which we assume will le held early after tjie General Election, along the following lines, and for the reasons stated herein t J. That there should lc a commission to consider and determine the claim of the province for readjustment of its relation to the Federal Government in respect to matters arising out of the Terms of Union, and development since Confederation. For a long period wc have made representations to Ottawa in this and other matters concerning the Terms of Union between Canada and the province, and during the past vear the present Federal Government recognized the principle of our claim and agreed to an additional interim payment of $750,000 on account of annual subsidy for the year ending March 31st last. The total of the previous subsidy and jer capita grant was 873,000. The per capita grants given to the provinces under the "British North America Act" were in lieu of customs and excise receipts which were surrendered to the Federal authority. From Confederation to March 31st, 193 1, the Dominion has" received in customs receipts in British Columbia approximately $317,000,000, while this province has received in return by way of subsidy a total of some $27,000,000. GRANTS INADEQUATE . . . Per capita grant of eighty cents per head, as fixed under the Terms of Union, was intended to make ample provision for the cost of local services such as administration of justice, education, hospitals. These services now cost the province eight million dollars annually, while the annual per capita grant received from the Dominion is less than six hundred thousand dollars. J. Redefinition of jurisdiction over sources of revenue and taxation. There must be allocated to the province sufficient sources of revenue to enable us to conduct public business in a self-respecting manner, while jurisdiction must Imj placed beyond doubt so that we shall not be in the precarious positiqn of having our authority disputed in the Courts. J. There must lc a refunding of capital obligation to secure lower interest rates. 4. . Redefinition as to exclusive jurisdictions in all matters Mssible in order to prevent conflict. Agreement also as to co-operative effort in all matters of common concern to the provinces and the Dominion, particularly in the marketing of products and upon what may be termed "social and welfare legislation". J NeeeWsary capital for development of natural resoiirrr I j a"i .public works should be made available tot? the provinces at lowest jiossihle cost. I f j U (J. Alsorptiou of the Pacific Great Eastern Railway inp i the Canadian National system. PROBLEM OF P.G.E 'e have constantly pressed our claims for the taking over of I.!. 81 1 1 - '1 ., a ., D i rauroau oy me vanaman national nauway. Some thirty-four railroads have been taken over in other parts of Canada and amalgamated with the Canadian National system. More tban a quarter of a billion dollars has been spent upon canals on the general credit of Canada. The Hudson's Hay Railway was built on the general credit of Canada. I am not mentioning these things by way of criticism, but to make clear our own position in respect of the Pacific Great Eastern, which is responsible for nearly half of our net debt. The Pacific Great Eastern Railway had an agreement with the Grand Trunk Pacific, which is now a part of the Canadian National system, under which all traffic originating in eastern Canada destined for the port of Vancouver was to be routed over the Pacific Great Eastern. With the amalgamation of the Grand Trunk Pacific and the Canadian Northern into the Canadian National Railway the benefit of this agreement was lost because traffic originating on the Grand Trunk Pacific destined for the krt of Vancouver is now routed over the Canadian Northern section of the Canadian National Railway. The Province of Ilritish Columbia had nothing to do with the amalgamation of the Canadian Northern and the Grand Trunk, systems, and when the Grand Trunk Pacific was taken hrto the Canadian National system the agreement with the Pacific Great Eastern Railway should have been taken into consideration but it was not. AMALGAMATION SOUGHT . . . Whatever our legal claims may be, there is no doubt that we have an unassailable moral claim and that the Pacific Great Eastern should le taken over by the Canadian National Railway and amalgamated with that system. We have suggested to the Dominion Government that this road should be taken over at its replacement value which, at the present value of the dollar, would be less than half of what It has cost the province. I am glad to say that, due to mineral development, the Pacific threat Eastern Radway is upon a much better financial basU than existed some years ago. This development, and the large tracts of timber tributary to the line and capable of maintaining pulp ami paper industrial endeavour upon a large scale In perjKrtuity, assures the future of the railroad. TRADE RESTRICTIONS ... 7. Regional tariff adjustments or compensation in Ilea thereof. ', . Adjustment of freight rates upon a basts of equality. Adverse freight rate and tariff retriction$ have resulted in an adrerse Imlance of trade as oelirren Ilritish Columbia and eastern Canada of more than fifty million dollar annually. This very arte sum lias had to Ite made up hy famurabU foreign trade Iwlances and hy Itorrotrings, All thest years ir have Iteen forcetl to buy in protected dear markets and to sl in cheap competitive markets. It i obvious that this condition cannot continue indefinitely, and let me here say that notwithstanding our hra,vy unfavourable trade balance with eastern Canada, liritlih Columbia has more than aid its nv.it way in the Confederation of Canada hy way of direct contribution to the Dominion treasury. !) A permanent tolicy in the problem of unemployment. Primary resnsibility for unemployment relief rests upon the Dominion. A national council should be set up with which the provinces, and through the provinces, the muniripalitir could co-operate. V Perhaps it would assist our argument If we reflected upon just what has leen happening in Canada as a whole. LIVED ON CAPITA I 7 Ever since Confederation our periods of prosperity have hen cr.ods of heavy capital cxcnditiire. Indeed it may Iki said that in considerable measure we have leen living upon capital, billion were spent upon railroads in anticipation f increase of population and consequent Increase of buslnesi. Concurrently, billions .were spent upon private endeavour while there was a steady flow of immigration. Some two billions were spent upon war. Today there is no comparable capital expenditure. Immigration has leen greatly restricted and external trade is less than half of its jeak. Under such conditions, need we be surprised that we have unemployment? Canada, with its tremendous area, small Miptilation and great variety of natural resources, must have an export market It order to prosper. Retaliatory tariffs imposed by the United States hare so far cut into British Columbia's timber export business with that country, formerly our lcst customer, that we hae been forced to look for new outlets. In Great Britain we have found timlier and Iumler markets, but these are routtantlr In jeopardy by reason of keen eonictition from the Baltic States and from Soviet Russia. TARIFF HANDICAPS .. . As an example of the handicap created by restrictive tariffs let j : ine cite the cac of halibut fihrrmeii on the Pacific Coast. I American fishing Iioats operating In the same water it j f Canadian ltoat receive two cents per mund more for halibut ' ' than the Canadian boats. ' J his province simply must be able to di-pe of its prlmarr Ihicts timber, metals, fish, fur and agriculture in order in prosper. . . . Tariff adjustments, however, tale time, and meantime what are we going to do w ith the problem of unemployment, which is the most difficult problem immediately facing usT British Columbia has probably leen under greater handicap with recard to unemployment than any other province In th Dominion, by reason of the fact that nearly one-third of the slncle fit homeless men in Canada who are on relief migrated to British Columbia. Their presence here undoubtedly created great discord and unrest in the minds of the (Kipulation generally. This has !ccn very trying to industry as a whole. On many occusions I have pointed out that private endeavour has done as much as it can in the rc-employment of labour, and I have frcque ntly suggested to the Dominion Government, and suggest here, that in order to meet the present emergent conditions of unemployment, the Dominion Government should advance money to the various provinces to undertake essential and desirable public works to do two things, namely, to. meet a growing public need and to provide employment instead of the present demoralizing method of relief. PUBLIC WORKS NEEDED ... There are innumerable directions for profitable public endeavour. In our own province money is badly needed for roads, bridges and mining trails. School accommodation has not kept pare with school imputation. Hospitals and other health institutions require money, our eiial institutions likewise. There is necessity for reforestation, the building of water-works and other essential municipal undertakings. These art all of a necessary character so far as this province Is concerned, while money could profitably lie spent in other directions such as urban beaul ideation uml park development. I have suggested to the Doiiiiujoii Government that these monies should lie loaned to the province without interest, but that the monies should lie repaid by the provinces during the anticipated lifetime of the work. This suggestion has lieen called inflationary, but I venture to think that as we have Ihi resources and the manpower, and there exists the need for the development of these resources nnd the profitable use of this manpower, that it is not an insuperable tak to bring the , two together, and it seems to me that it is our duly to do so In order to preserve the manhood of our country and the Integrity of our institutions. . FDIMf MIMItTff F limiK SSLUMtlf THE GOVERNMENT OF THE FED'INCE OF BRITISH COLUMBIA 1-rcaa 61 j.. It Will B' Y r J Greeted I : r.'r.jtta I j Th Thee"' 1 -g h Th I' el c . n Mi.ovo.nJ 9. 1 1 "vayBL i ... . vc ? IS 1 j, Alv Com!. l Cartoon Mairi Starts Monday Canada's Own Stor of the Orrat lest We Forget' Special Matinees Monday and Tondiy At I PM. Everybody Happy Visitor from ToronU Sf friatt Ho pert Throuih Rmr ChvKt On Brief Vhit OfeftoM weather g We, wondful pt the wj John p c . dent ( the Can r. Ltd, a?aka of Pnn f P wm here vraUrdry . the dMrHmttoc of el omtne he ealie KevMj to tw the p- ; thetn their noruVrr i . denUr Mr. Cyl( bra-.. Rupert and in the t from (anniented c s, behind hla produc make the world ri!.-. he to coming bark : r of the new Indiutr . : i t r t Orange Dance Wa$ Held Last Night Enjoyable Time at Kvrnt la (Mi-fellows' Hall With M1m Htm Howe in Charge A Scoteh and Cam'! .t featuring some spot u put on teat mht by u. I B A. in the OddfeDowv !;: i E MeKay a master of -and music by Mrs B'.. k tra. Hie committee m )..r c aUted of Mis Ora-f H v rcner. Mrs. oiady F-" Doris Webster. Mr V Mtn'". Mrs. Evan and Mr Da: I" ' A very enjoyable tiniP a large crowd belli? i:f ;r' ' Today's Weather Terrace, part cloud;. u. tem perature 50. Anyox, part coudy i. Stewart, part rlou. a."' Hazel ton, cloudy, ea)rr !" Bmlthers, doudy ralm Durna Lake, rain, c ai ii? District News BURNS LAKE Don Sutherland, dlr; r' turalUt, Smlthera, aftrr a via w the Vanderhoot ejunrv east, oi here. t At ntesent VJ-i: (ng w farms of the OoUa ana rrw" Lake areas In the courso tif a wur of the entire dlstrtct 11c J organ Uons next month as w-ii us shows In the fall. Department oi AKriculture officials, includtog P" slblv Hon. Dr. K. C MacDonalfl, minister of agriculture itre expected to attend the contentions. Mrs. A. A. Connon and daughter-Yvonne, are expected at Franco Lake early next montli to pay visit with Mrs. Connon pa"""1 n. uiiu Airs, f. nr Connon has Just taken a PtloB In a mining camp In the iovw A1Ker n.mi .it-.mboat spector, Vancouver, tnudd w spcctlon Thursday of vcfk Ihtk tVonnl. l.lrd fcrrf He turns, to Prince Rupert Uils-end enroute to the Yukon.