SAN FRANCISCO CONTRACT.

Southland Times, Issue 1572, 3 May 1872, Page 2

SAN FRANCISCO CONTRACT.

Auckland, May 2. The Hon. the Postmaster-General has forwarded the following message to the Press of the Colony with a view to its being published for general information. The following are the leading provisions of the San Francisco contract entered into between Victoria and New Zealand on the one side, and Messrs Webb and Holladay on the other. The contractors are to provide a fourth boat, in every respect equal to the Nevada, Nebraska, and Dacotah. If the fourth boat is specially built for the service by Mr Webb, then for a period of eight months a vessel such as the City of Adelaide, or the Albion, may be used. The employment of four boats will enable the following arrangement to be carried out. The boat performing the up trip will proceed through from Melbourne to San Francisco, calling at Auckland, and there receiving tho New Zealand mails, passengers, and freight. The boat performing the down trip will proceed through from San Francisco to Port Chalmers, calling at Auckland and other ports as at present. At Auckland the Victorian mails, <fcc, will be transhipped to the boat waiting there, and she will proceed direct to Melbourne. Thus the steamer from San Francisco will always proceed through to Port Chalmers, and the boat from Melbourne will always proceed through to San Francisco. The. boat which has last arrived at Port Chalmers from San Francisco, will proceed up the coast to Auckland, collecting mails, Ac, and transhipping' them at Auckland to the boat calling there on her way from Melbourne to San Francisco. The boat from Port Chalmers will wait at Auckland until the arrival of the next vessel from San Francisco, and she will then receive Victorian mails, &c, and proceed to Melbourne. By this arrangement each of the four boats will in her turn make the round voyage from San Francisco to Auckland and other New Zealand ports, back to Auckland, thence to Melbourne, and to San Francisco by way of Auckland, Victoria having the through service on the up route instead of the down, if to pay £5000 more than New Zealand, the respective payments bein*— Victoria, £32,500, and New Zealand £27,500. In respect to £2500 of the extra payment by Victoria, it is agreed that that amount shall be made a preferential charge on the amount of any subsidies from other colonies which may be divisable between Victoria and New Zealand. The subsidies from other colonies are to be thus dealt with after the payment, if any, for branch steamer — One third will be given to the contractors, Victoria will receive the £2500 just mentioned, and the sum remaining will be equally divided between Victoria and New Zealand. The contract is not to come into operation until it has been approved of by the Victorian Legislative Assembly and by the New Zealand House of The precedent of the contract between the Imperial Government and the Peninsular and Oriental Company has been followed on this point, that contract only providing that before its coming into effect it should receive the approval of the House of Commons* Subject to the ratification stated, the new San Francisco contract will come into force in September next, and will continue for eight years and a half. In other words, during the unexpired term of the existing contract, tbe latter will remain in full force until the new arrangement comes into operation as described. It is understood that if Mr

Webb obtains the subsidy from the United States Government, be will build four new boats specially for the line* It is also understood that the Governments of Victoria and New Zealand will jointly, through their respective Agents-General, apply to the Imperial Government for aid to the amount of one-half the subsidy the two colonies are to pay to the contractors, and that whatever amount may be received as such aid will be divided amongst the colonies contributing to the service in proportion to the sums respectively paid by them.