HONGKONG.

MEMORANDUM TO EXPLAIN ESTIMATES OF EXPENDITURE FOR 1905.

Laid before the Legislative Council by Command of His Excellency the Governor.

No. 1904

39

Note.-18. 8d., as for 1904, has been taken throughout these Estimates as the rate of conversion for sterling salaries and as the basis for payment of exchange compensation.

PENSIONS.

POLICE.

Deduct Pensions ceased. The deductions are the outcome of protracted correspondence with the Indian Government.

GOVERNOR.

OTHER CHARGES.

New Furniture.It is not anticipated that more than $4,000 will be speut in 1904 and the unexpended moiety is provided for 1905 to meet such requirements of Government House and Mountain Lodge as may not have been satisfied before the end of 1904.

COLONIAL SECRETARY'S OFFICE.

4 Passed Cadets.--Included in these is Mr. R. F. JOHNSTON who has been seconded temporarily as Secretary to Government at Weihaiwei, but is paid by that Government. Two Passed Cadets on dollar salaries have received substantive appointments. Subject to approval of the Secretary of State, one Passed Cadet, on sterling salary, has been appointed to the post of Assistant Secretary, Sanitary Board. There is reduction therefore of 3 Passed Cadets.

AUDIT DEPARTMENT.

In the absence of any reason for providing the sums required at a special rate of exchange, the rate adopted for the whole of the Estimates has been adopted now for the first time for this Department for the sake of uniformity, and the sterling sums required have accordingly been converted at 1s. 8d.

POST OFFICE.

PERSONAL EMOLUMENTS.

Agencies in China-Shanghai.

Junior Mail man. This new post was approved on the recommendation of the Postmaster at Shanghai who stated that the growth of business necessitated the appointment of an assistant to the mail man already on the Estimates, who, unaided, was overworked.

Postmen. The Postmaster reported that the growth of the European residen- tial district, the increased bulk of inward mails, and the increased frequency of their arrival required the appointment of two additional Postmen.

Canton,

Postmen. For some time past 3 Postmen have proved insufficient to cope with the delivery of letters over such a wide area as is comprised in the City and suburbs, Honam, Fati, etc., and the additional Postman was appointed in January last, being for 1904 paid out of savings.

Amoy.

Postmen. A third Postman had been employed and paid $3 a month out of Incidentals. It is now necessary to provide for his services permanently and to give him $5 a month, $3 being insufficient for a suitable man. The additional

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