77
No. 1.
SPEECH OF HIS EXCELLENCY THE GOVERNOR AT THE OPENING OF THE
SESSION OF THE LEGISLATIVE COUNCIL OF HONGKONG,
7TH OCTOBER, 1885.
HONOURABLE GENTLEMEN OF THE LEGISLATIVE COUNCIL,
I have summoned you to meet at a somewhat earlier period of the year than on previous occasions, because, in addition to the Estimates for 1886, and to several important Legislative measures, I desire to submit for your consideration a Loan Bill, and a Bill to establish a Spirit Farm, similar to that successfully established in the neighbouring Colony of the Straits Settlements.
2. It will be remembered that, in opening the Session for 1884, I addressed you as follows :—
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Hongkong is probably the only State or Colony of importance, which at the present day is not only without a Public Debt, but which possesses assets nearly equal to its annual revenue. However, the existing balances will not be sufficient to carry out several Public Works, which are urgently required by this community, in addition to those 'strong and complete measures of sanitation,' which Mr. CHADWICK, (the Civil Engineer recently sent out from England), has reported to be absolutely necessary for the immediate benefit of the public health. Under these circumstances, I concur with the Executive Council in what appears to be the general opinion of the Colony, viz. that the present generation of Colonists ought not to be deprived of the advantages referred to, while it cannot, of course, be expected to defray the entire cost of works of a permanent and reproductive character; so that, consequently, it will be expedient to raise, on the exhaustion of the existing assets, a moderate loan not much exceeding the revenue of a single year. This question will not have to be decided in its details during the present Session; but, I desire to elicit the opinion of the Council on the principle involved."
3. In your address in reply, the Council said: "We agree with your Excel- lency in the opinion that, in justice to the present generation of tax-payers in Hongkong, a moderate loan should be raised on the exhaustion of the existing assets, to defray a portion of the cost of those Sanitary and other Public Works, which are recognised as of permanent importance for the security of the general health and well-being of our population."
4. You have, therefore, Honourable Gentlemen, already sanctioned the prin- ciple of a loan; and there will now be laid before you Bills (already approved by Her Majesty's Government), for raising One million of Dollars, (that is, less than one year's income of this Colony,);—and to establish a Spirit Farm, the produce of which will be required to provide for the interest and Sinking Fund of the Loan.
5. From the Report of the Acting Colonial Secretary and Auditor General, it will be seen that the state of our Finances is briefly as follows:-In consequence of the exercise of rigorous economy in the general administration, while considerable progress has been made in the chief Public Works, there will still remain in the Treasury on the 31st of next December a balance of $190,000. Now, the Extra- ordinary Public Works, that is, those to be defrayed out of Balances and Loan, including among others, the Tytam Water-Works; the completion of the Victoria College, and of the permanent Lazaretto; the Defence Works, and the Sanitary Works; are estimated to cost $579,800; consequently, it will become necessary to raise by loan during the ensuing year not less than about $400,000.
6. The Estimates for 1886 show a surplus (in round numbers) of $122,500, if we include the increase expected from the proposed Spirit Farm, which is estimated at about $63,500, and which will be devoted to the payment of interest and Sinking Fund on the Loan. Consequently, there will remain only a nett surplus of $59,000, not more than is required to meet unforeseen expenses.