SAN FRANCISCO MAIL SERVICE.

New Zealand Times, Volume XXXI, Issue 4863, 23 October 1876, Page 2

SAN FRANCISCO MAIL SERVICE.

The following,papers have been laid upon the table of the House:The Hon. the Colonial Secretabt, Sydney, to the Hon. the Colonial Secretary, Wellington. (Telegram.) Sydney,. 13'th October, 1876. If you wish our co-operation, you had better seek alternative permission. Auckland, twelve hours longer, most objectionable. Secretary, Sydney. : The Hon.'the- Colonial Secretary, Wellington, The Hon. P. ‘Whitaker to the Hon. the Colonial. Secretary, Sydney. I (Telegram.) Wellington, Oct. 14, 1876. ! The question of- modifying existing San ; Francisco service discussed in House of Repre- ■ sentatives last night. Appended resolution carried by large majority. It will be observed that it has been left to the contractors to determine port of call. Presume this will : meet objections your Government. The modified service must be a four-weekly - one, as , there are fatal objections to calendar monthly trips. Hope the resolutions may be acceptable your. Government and contractors, and that question be now settled without further delay. Government regret being unable to obtain Parliamentary sanction at an earlier period. Will iyou please furnish Gilchrist with- copy this 1 telegram. The following is the resolution : “ That, in the event of the contractors for : the San- Francisco mail service being desirous of modifying the conditions of their contract, and in the event of the Government of New South Wales deeming it expedient- that the contract should be modified, this House would consent to such modification on the following terms : “ (1.) That thfe service be direct from San Francisco to- Sydney, calling at Honolulu and at Auckland, or at the Bay of Islands, at the option of the contractors. “(2.) That the coastal service be performed by the ; company by ten-knot boats, to bo approved of by the Govern-

meat. “ (3.) that the share of New Zealand'contribution to the subsidy be reduced by £7500 if calling at Auckland, or £IO,OOO if calling at the .Bar of ■ Islands.” ■ Fbedk. Whitaker. The Hon. tho Colonial Secretary, Sydney. The Hon. F. Whitaker to Messrs. Gilchrist, Watt, and Co., Sydney. ' (Telegram.) Wellington, Oct. 14, 1876. Decision arrived -at last night by House of Representatives on Pacific Mail Company’s

proposal to modify the San Francisco service. The resolutions of the House have been telegraphed Colonial Secretary, and I have requested him to furnish you with copy of my telegram. Fred; Whitaker, Postmaster-General, Messrs. Gilchrist, Watt, and Co., Sydney. The Hon. Dr. Pollen to the Hon. the Colonial Secretary, Sydney, Colonial Secretary’s Office, Wellington, October 14, 1876. Sib,— With reference to previous communications relating to the proposed modifications of the route for the San Francisco mail service, I have the honor to inform you that the question having been brought under the consideration of the House of Representatives of this colony, the House has agreed to the following resolution (vide No. 2):— 2, I have by this mail communicated a copy of this resolution to the agents in Sydney of the Pacific Mail Company, informing them that, subject to the concurrence of the Government of New South Wales, this Government would be prepared to agree to a modification of the contract on the terms stated in the resolution.

3. You will perceive that, in deference to the views of your Government, an alternative authority has been obtained to make the Bay of Islands the New Zealand port of call; it has, however, been impossible to do this without stipulating for some pecuniary concession to meettheextra expenditure which would thereby be entailed upon the Government. The abandonment of Auckland would save so little time in the voyage to Sydney, while it would be so inconvenient to New Zealand, and in all probability be disadvantageous to the company, that I trust, upon reconsideration, your Government may not think it necessary to insist upon this condition. 4. I shall be glad to receive, at your early convenience, any information which you may be able to communicate on the subject of this service. 5. My colleague, the Postmaster-General, transmitted to you by telegraph this morning a copy of the above resolution, requesting you to be good enough to communicate a copy of the same to Messrs. Gilchrist, Watt, and Co. 6. I enclose a copy of that telegram.—l have, &c., Daniel Pollen. The Hon. the Colonial Secretary, New South Wales. The Hon. F. Whitaker to Messrs. Gilchrist, Watt, and Co. General Post Office, Wellington, October 14, 1876. Gentlemen, —With reference to your letter of the 29th ultimo, and to various telegrams respecting a proposed modification in the route for the San Francisco mail service, I have the honor to inform you that the subject has been brought under the consideration of the House of Representatives of this colony, and that the House yesterday agreed to the following resolution (mde No. 2). 2. I shall feel obliged if you will communicate this resolution to the Pacific Mail Company, and inform them that, subject to the concurrence of the Government of New South Wales, this Government will be prepared to agree to a modification of the contract on the terms stated in the above resolution.

8,-1 forwarded this morning a copy of the resolution by telegraph to the Hon. the Colonial Secretary, Sydney, requesting him to communicate to you a copy of the same.—l have, &0., Whitaker, , Postmaster-General. Messrs. Gilchrist, Watt, and Co., Sydney. The Hon. Dr. Pollen to the Hon. the Colo- ; hial Secbetabt, Sydney. (Telegram.) Wellington, October 17,1876. Has Gilchrist power, to negotiate modification ? If not, as Vogel goes to England via New York, we propose he should negotiate with Pacific Company to make a formal offer for approval of two Governments, but without binding either, on the basis of New Zealand resolutions. Do you agree ? Daniel Pollen. The Hon, the Colonial Secretary, Sydney. The Hon. the Colonial Secretary, Sydney, to the Hon. the Colonial Secretary, Wellington. (Telegram) Sydney, October 17, 1876. In .answer to your telegram of this date, Gilchrist has authority to negotiate. Colonial Secretary, Sydney. The Hon. the Colonial Secretary, Wellington. The Hon. the Colonial Secretary, Sydney, .to the Hon, the Colonial Secretary, Wellington. (Telegram) : October 17, 1876. _ Your parliamentary conditions, as communicated to us on the 14th instant, would render continuance of service by Pacific Company impossible. The company have telegraphed Gilchrist that they will forfeit penalty, and withdraw entirely, rather than run your coastal service, or undertake any responsibility in connection with it again. This colony will not be content with longer postal time without sharing in savings on subsidy, which, by your. proposal, you claim entirely. Nor is it clear that there would be ten thousand pounds saving ; for if the company were to run coastal service, the reduction from present subsidy would be small. The only principle likely, to be approved by our Parliament is, that, whatever saving be effected should bo shared equally by both colonies. We recommend reconsideration, and that the two colonies offer to the company seventy-five thousand pounds, Frisco, Honolulu, Bay of Islands, Sydney, thirteen trips a year. Separate tenders for the coastal service to be called and jointly approved. The cost thereof to be joint and equal between our respective Governments. The whole to be subject to the approval of Parliament. Meantime the service might be performed by proposed new route. Colonial Secretary, Sydney. The Hon. the Colonial Secretary, Wellington.

The Hon. Dr. Pollen to the Hon. the Colonial Seobetaby, Sydney. (Telegram.) Wellington, October 18, 1876. . We did not propose to take all savings effected by alteration of contract, but to divide them with you. Our proposal was to take originally proposed C service for seventy-five thousand, and therefore limited our payment to one-half —namely,' thirty-seven thousand five hundred. We think that company should make some deduction from £75,000, their former offer, in consideration of being relieved from our coastal service. Will they do this, or are we to consider present proposal final, and ask Parliament to say yes or no. Hope you will assent to Auckland instead of Bay, as it will be great convenience to us in distribution of mails to places not provided for by arrangement with you, and will cost much less. .Daniel Pollen. The Hon. the Colonial Secretary, Sydney. The Hon, Dr. Pollen to the Hon. the Colonial Seobetaby, Sydney. (Telegram.) Wellington, October 18, 1876. Have made careful inquiries as to the cost of distributing mails; probable cost from Auckland, via West Coast, about five thousand ; from Bay more than double, as East Coast of New Zealand has no ports between Auckland and Wellington suitable for mail steamers, and most of traffic on West Coast. Aa you will get whole benefit of terminus, we think you should not insist on additional expense and inconvenience for the sake of twelve hours at most. Daniel Pollen. The Hon. the Colonial Secretary, Sydney. The Hon the Colonial Seobetaby, Sydney, to the Hon. the Colonial Seobetaby, Wellington. (Telegram.) Sydney, October 20, 1876. ■ With reference to your first telegram of the 18th instant, we are with you that the saving on any new arrangement for the Pacific Mail

Service shall be equally divided between our respective colonies. You say in effect, in your second telegram of same date, that while five thousand pounds would be sufficient for your coastal service if the mails be landed at Auckland, it would require more than ten thousand pounds if they were delivered at the Bay of Islands. Wo are unable to, understand why you cannot arrange for the mails being carried from Bay of Islands to Auckland, which would place them in the position which you seem to desire, which we believe could be done for an annual subsidy of : one; thousand pounds. You are already aware that the contractors will rather forfeit penalty than do coastal service., Pending our negotiation Pacific Mail Service, Gilchrist asks permission, in accordance with the concluding paragraph of our telegram of the 17th instant, to perform service by way of Honolulu, Bay of Islands, and Sydney. Do you consent ?' Reply promptly, as Gilchrist urgently desires to send instructions to Fiji by telegraphing to “Australia,” leaving Auckland to-morrow. Colonial Secretary, Sydney. The Hon. the Colonial Secretary, Wellington.