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until the whole of their share equal to one third of the

total cost is paid off.

4.

As this proposal of the General Officer Command-

ing presented some evident advantages, a letter was

addressed to the Treasury asking the views of the Lords

Commissioners upon the question.

5. A reply has now been received to that letter

agreeing generally to the proposal, on the understanding

that it will not affect the arrangement that the Colony

are to bear one third of the total cost whatever it may

whether in sterling or in dollars.

be,

6. Copies of the General Officer Commanding's

letter, of the War Office letter to the Treasury and of

the Treasury reply thereto are forwarded herewith.

7. It is evident that although the original Esti-

mates were made as accurate as the information available

would allow, yet the actual cost may come to a little

less or a little more than the estimated cost, and it is

understood that in either case the Colony would bear the

charge of one third of the total actual cost.

8. I am to request that you will be good enough

to state whether the Secretary of State for the Colonies

would be willing to agree to this change in the original

arrangement

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