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Another section of the bill enables the Ontario Hydro to supply power to Northan municipe#itiecs at a flas rate, instead of at cost. Such a fla: rats now portains to Sudbury and Capreol. The bill also empswors the Hydro to enter into unorganized town-- ships without municipal agreements. The Ontario Hydro intends to carry is own insurance to a greater ex-- tent. and the bill widens the Com-- mission's power in this respect. The Commission will carry the entire fire and personal liability insurance on | the Hamilton Street Railway. In the | past three yoars and ton months the Hydro has paid to insurance com'l bames the sum of $146,000 and has rollected only $36.000. | At the present time the Commission is working on the study of clectrolysis with a view to finding further markets for power. The Commission, through the bill, will also receiv> authority to purchass patents. and any money made through the sale of such patents will be applied to the Hydro munici-- palitics for the reduction of rates. The Commission also receives the right to make an adjwtment in the price of power to the Town of Neu-- stadt. In that centre the Commission installed equipment on power loads geared to these industries which later left the town. By the bill the Hydro can pay unforeseen expenses by reason of the loss of use of this equipment. Under the present Hydro Act the Commission should have put away since 1930 ten conts a horsepower for stabilization funds. This, howsever, has not besen dons. due. it is under-- stood. to the amount of unwanted power taken from Quebec. The fund was never sot up by the Commission. The new bill empowers the Hydro to Plase any per horsepower amount it s*es fit into this fund. ince Introduces Bill, In introducing the bill, Attorney-- General Arthur W. Roebuck pointed out that this is the first major step on the part of the Ontario Hydro Commission to handle its own financing. The Ontario Hydro bonds will be guaranteed by the Province. TLegislation was introduced in the Ontario Legislature yesterday whereby the Hydro--Electric Power Commission will be given the right--by lasul.ng & i!.s $187,000,000 of capital debt ef the Province. This amount represents capital advances made by the Ontario Government to the Commission and approved of by Order--in--Council. 1t is understood that the major por-- tion of this indebtedness is in con-- nection with the Chippawa develop-- ment, about $70,000,000, which, when the Provincial bonds fall due in about four years' time, will be refunded as Ontario Hydro bonds. 'These capital advances to the Province now appear as part of the net debt of the Prov-- Bill Authorizes Commission _ to Handle Own Financing As far as the Provincial debt is concerned, this action will place On-- tario more on a par with Qucbec. At the present time the debt of the latter Province does not include any such similar items as the money the Ontario Govornment has invested in Hydro. Hydro Assumes $187,000,000 -- Of Ontario Debt assume approximately OF G. S. HENRY *"'*Be sure you get the vest on right,." Teopold Macaulay advised the %ow;- ernment. PORTRAIT The former Premier wrinkled up his forehead in his fanmfous "I don't know what this is, but I don't like it" expression as he heard his name men-- tioned in the comfmittee report. C t t on hy °° _ yoork e a Y i can't support. I don't know the facis," Conservatives were squelched as they applauded. "I assure you," said the Colonel, "that I have no desire to 0ppose my own panty, certainly not in support of that party opposite." Walkervilic, Hon. David _ Croll charged, while Conservatives argued for the rights of that municipality, had deliberately tried to deceive the public by budget manipulation, with no provision for debt principal. Mr. Croll declared emphatically that only by amailgamation could the Bor-- dor Cities be extricated from their present financial difficulties. He pointed out that the head of the Ford Motor Car Company of Canada, the biggest taxpayer in East Windsor, had commended the amalgamation move, and that the head of the Chrysler Corporation had done likewiss. He also recalled that former Attorney-- General Price had repeatedly in past years uged this action. The bill, Mr. Croll explain=d, did not mean that any one of the centres will have to bear part of the other's debt. Each area will be responsible for its own obligations,. "Will the taxes of the new city be increased?" Mr. Croll was asked from the Opposition side. '"We believe taxes will be lowered," he said, and added: "If they aren't, it means my neck " jJoin his nine peers on the walls of the Premiers' picture gallery in Queen's Park. A Léegislative committee passed on paintings of the former Premier and the former Speaker, Colonel T. A. Kidd, yesterday. Mr. Henry's portrai; is to cost $1,000, plus the frame, and the choice of the artist will be left to his discretion. passed second reading NOR in lImct ninhktn. 15 sinn 4,, 3. ; (O, ~MADIG WINEAOULE BVi~ sion in last night's Legislature unde; qualified fire from the Opposition an from Colonel Fraser Hunter, Liberal member tor Toronto St. Patrick, Joining in the Conservative demand that the Amaigamation Commission report should be laid on the table, Colonel Hunter also urged that the legislation should be referred to some committee "where every one can speak without fear Oor ThwWiw" ¥E kka_ T22 Whole Colonel Hunter Joins in Opposition Ex--Premier's Painting Will Cost $1,000 Border Bill TAX ON GIVEN SECOND CORPORATIONS , said the Colonel, "I Reading where every one can speak d to Committee of the Apri 16 Henry will shortly amalgamation bill ue taX on corporations.'" The principle that the only way to get money is to go where the money is was cited when the Premier moved his resolution raising the succession duties Extended Ontario Treasury opera-- tions were forecast in the finance resolutions. The Lieutenant--Governor-- in--Council was empowered to float loans to pay, refund, or renew current Provincial obligations. There was no statutory authority, the Premier ex-- plained, for such operations. This power was granted in addition to the routine motion granting power to borrow a total of $60,000,000. Arguing that profits should be taxed rather than capital, the Premier declared the corporation tax was handed on to the consumer in do-- mestic markets and handicapped the exporter abroad. 'The principle is unsound," he said. "If there were one tax I wish I could remove, it is the tax on cornoratinme * The economic principle of the cor-- poration tax was condemneq by Pre-- mier Hepburn in yesterday's Legisla-- ture--but at the present time, he added, every Government needs money. CONDEMNED 2110 licasury opera-- ast in the finance Lieutenant--Governor-- empowered to float