12th February 1867.

My Lord,

Mr. May's latest Mail states have an application from Mr. Mercer, the Colonial Secretary, to be allowed to retire on a pension, under circumstances which render it probable that Your Lordship and the Treasury may accede to the request.

I am therefore extremely anxious in the present circumstances of the Colony that the arrangements consequent on his retirement should be such as might best guarantee the efficiency of the Public service.

The gentleman filling the post of Colonial Secretary ought, if possible, have considerable local experience and that I think. In my belief the best officer that could be selected would be Mr. Rennie, the present Auditor General. He has been much struck by his assiduity and general ability, as well as by the high standard of Excellence to which he...

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