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The General Managed, New Zealand Eailways, to the Secretary, Waimea Bailway Company. g Dunedin, 12th February, 1885. ' With reference to the discussion which has, by your request, taken place this afternoon on the subject of a through service and interchange of traffic with tho company, I now have the honour to enclose a copy of the draft of the terms discussed between us for your directors' consideration. I have, &c, J. P. Maxwell, Tho Secretary Waimea Plains Railway Company. General Manager, New Zealand Railways.

Enclosure. Eailways Departmont, Dunodin, 12th February, 1885. Memorandum of Arbangement for the Interchange of Traffic between the Waimba Plains Railway Compant and the New Zealand Railways, and for the Transit of Goods and Passengers via the Company a Lino between the Government Railway-Stations. • , Tee company will work the traffic upon its own line, and will be responsible for the safety of the Government rolling-stock, passengers, and goods passing over the same. All rates fares and charges for the company's line will be fixed by the company. The company will furnish tho Minister with full particulars of all such rates, fares, and charges in proper time before they come into °PerAn°passensers travelling on tho company's line shall re-book at the Government junction stations. Goods and parcels may bo booked between tho Government stations via the company s line, and from Government stations to tho company's stations. . Tho rates and charges on goods and parcels received from the New Zealand Railway stations consigned to stations on the company's line shall be paid to tho Railway Department by the company, and be collected by the oompany from the consignee. , , , • • i j. v ii The rates and charges on goods and parcels received from the company's stations, consigned to stations on the New Zealand Railways, shall be paid by the Railway Departmont to the company, and bo collected by the Railway Department from tho consignees, except in case of consignments to Government flag-stations, the rates and charges on which must be prepaid. The rates and charges on goods and parcels passing over the Company's line between the New Zealand Railway stations will be collected by the Railway Department and paid to tho company. For goods and parcels booked between Lumsden or Gore and tho company s stations the company shall pay the department as follows: Cd. per ton on goods classed A, B, C, D ; 3d. per ton on Class E ; Id. per hundred superficial feet of timber ; Cd. per truck on Classes F, M, L ; 2d. per ton on Classes M, P ; Id. per bale on wool; Id. on each parcel. Such payments to bo made on local bookings only which have not been consigned from or to stations on the New Zealand Railways, other than Lumsden or Gore. The Railway Department will run a daily service between Lumsden and Kingston to connect with the company a services which shall run daily as follows: Leave Goro 2.50, p.m. ; arrive, Lumsden, 5.25 p.m. Loave Lumsdon, 9.50 a.m. ; arrive, Gore, 12.35 p.m. , The Railway Department will supply two carriages and a brake-van free of charge for tho purpose of conveying through passengers and luggage from the New Zealand Railways over the company's line. The company's officers while on tho New Zealand Railway premises will be subject m every respect to the rules, regulations, and by-laws in force from time to time on the same. . Tho company shall transmit waybills for goods and parcels passing through between New Zealand Railway Stations over the company's line as required by the department. The Minister shall furnish the directors and the secretary of tho company with free passes between Dunodin ana Kingston by way of the company's line. t Members of Parliament and railway officers may pass free over the company s lino. • Tho Minister will supply additional rolling-stock at the following rates: Engines, £3 10s. ; first-class carriages 10s. per day ; and second-class or composite carriages, 7s. Gd. per day ; break-vans, 5s per day, used solely for local traffic on the company's lino. Wagon stock at Id. per mile run, for loaded or partly loaded stock used for traffic purposes. No wagon stock shall be used for ballasting or repairs except by special arrangement with tho Railway Department. Sheets, Is. each per day. , , . , The company shall pay all claims arising from loss of goods and parcels, and claims for personal damages, which Wise on tho company's line, and the Minister shall similarly pay all claims arising on the New Zealand Railways. This arrangement shall commence on the 2nd of March, 1885, and may remain in force for twelve months, but it may bo terminated before tho expiration of twelve months by three months' notice on either side. Tho Geneeal Manages, New Zealand Railways, to the Secretary, Waimea Plains Railway Company. glB _ Railway Department, 14th February, 1885. I have tho honour to enclose herewith a copy of the draft agreement for interchange of traffic between your oompany and the New Zealand Railways, as finally arranged by discussion with your chairman, Mr. Wales and yourself, for signature I shall be glad of a copy of your rates, to print for issuo to our stations immediately on the agreement being signed. , . , , ~ It is, of course, understood that the company's time-table will be inserted m our posters, under proper headings Upon assent to the agreement, if settled at onco, we can put the time-table into operation on Monday, 23rd The Secretary, Waimea Plains Railway Company, Dunedin. J- P- Maxwell. Tho Secbetaby, Waimea Plains Railway Company, to tho General Manager, New Zealand Railways. g IE _ The Waimea Plains Railway Company, Limited, Dunedin, 14th February, 1885. Referring to the arrangement made between your department and the company for the interchange of traffic, I have the honour to enclose a printed copy of the company's tariff of charges in respect of traffic to all stations on the oOmpanyTho lfollowing will be tho charges on goods, &c, between all stations on the Now Zealand Railways passing over tho company's line, namely: Government classification: merehandiso, Class A lCs per ton ; merchandise, Classes B and C, 12s. per ton; grain, Class E, 7s. 6d. per ton; wool, Class H, 2s. per bale ; sheep and cattle, Class M, 225. per truck ; other descriptions of goods, &c, according to tho printed tariff of rates enclosed. I havo, &0., The General Manager, New Zealand Railways, Dunedin. E. H. Leahy, Secretary.

By Authority : George Didsboby, Government Printer, Wellington.—lBBs.