8.—2,

23

to borrow for special purposes on special securities, we desire to make it necessary that they should obtain the consent and approbation of the ratepayers, and that with that consent they may go into the market and make their own financial arrangements. lam not thoroughly familiar with the system at Home; but I believe that to some extent it includes Government supervision, with, in some cases, a power of approval or veto. After much consideration, we think this would not be desirable here. Anything of the kind in the colony would be construed into a quasi liability; and the Government would not be strong enough to resist the argument that their approval of a loan committed the colony. At Home, the Government is so powerful, and so accustomed to disregard inferential claims of the kind, that they would treat with indifference any liability not direct and explicit. EXPENDITURE, 1876-77. I place before the Committee a statement of the proposed expenditure for the year ending June 30th, 1877 :— ■ £ s. [d. £ s. d. Civil List ... ... £29,750 0 0 Permanent Charges ... ...£1,081,570 12 2 Less Interest on Provincial Loans for 12 months, and on Railways for 3 months ... ... 22 S, 89S 19 2 852,671 13 0 Class I.—Public Departments... ... 162,308 18 3 „ ll.—Law and Justice ... ... 202,221 6 4 „ lll.—Postal and Telegraphic ... 229,424 0 0 IV.—Customs and Marine ... 79,107 3 6 „ V.—Miscellaneous ... ... 75,721 0 0 H Vl.—Native ... ... ... 35,985 18 4 „ Vll.—Militia, Volunteers, Armed Constabulary, and Defence ... ... 85,552 10 0 „ Vlll.—Public Domains and Buildings ... ... 40,611 4 0 „ IX.—Railways ... ... 322,689 0 0 „ X.—Municipalities, Road Boards, &c. ... ... 112,000 0 0 2,228,042 13 5 Capitation and Special Allowances (three months) ... 75,000 0 0 Moiety of Stamp Duties „ ... 14,375 0 0 Total ... ... £2,317,417 13 5 It will be seen that provision is made to meet the altered circumstances of the Colony which will immediately follow the close of this Session. It would be impossible to exaggerate the difficulties there have been in making up these Estimates; it has been necessary —without the knowledge which the actual control of the departments would have given—to incorporate" the various Provincial Estimates with the general Estimates for the Colony. Honorable members are aware that, some months since—when we saw that the duty of taking over the Provincial Departments necessitated deciding which of them should be absorbed, and which be done away with or be left to local management—we sent three officers of the Civil Service to the several Provinces, for the purpose of obtaining particulars. It was thought by the Government that it would be desirable, if possible, to have some officers who, from

Or, on account of indirect authority.

Estimated Expenditure, 1876-77.

Taking over Provincial Departments:

Visits of Officers to Provinces.