point of view, it would be very desirable that the house should be transferred to the Colony (by which it is required) in exchange for Buildings above named, now in Military occupation. Under that I propose would, I am convinced under any circumstances, the arrangement would, in my opinion, cause a saving to the State of some £10000; for, as already observed, if it be not handed over to the Civil department, it must be repaired at a heavy expense to that of the Ordnance, while, if transferred, it can be repaired and altered out of monies already at Command, which, if next devoted to this purpose, will be expended in the execution of a new Government House estimated to cost £14,940.7.7.

8. The Albany Buildings above alluded to were made over to the Military Department in May 1847, when the Ordnance stipulated to pay for them £333.16.8 annually, being the rate at which they had been previously rented; but this arrangement was disapproved of in your Lordship's Despatch of the 23rd July 1847, and the Military have been in consequence in possession of them rent free since that date, and between £1100 and £1200 has been saved to the State.

9. Your Lordship will have the goodness to understand that I am induced to make this proposal solely under the expectation that Housing with ...

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