3 As regards the proposal in the last para: of your Despatch No;

If it is found possible to accelerate this work, the estimated Expenditure thereon during 1900 should be exceeded,

I have to inform you it seems to me undesirable that, having regard to the large Expenditure which it is proposed to incur in the erection of the new Law Courts and the New Post Office, I consider it undesirable that portion of any material, the balance in hand at the end of the current year should be utilised for the erection of the Peak Residence or other smaller works.

If however the balance which is expected at the end of the present year comes up to your anticipations, and in the middle of next year the Estimated surplus of Revenue over Expenditure promises at least to be maintained, I shall not object to steps being taken so as to allow of the work being pressed forward.

3. I gather from the 6th para:

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