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the draft of the Estimates was complete I received your Despatch No.139 of the 26th July, 1899, in which you informed me that you would consider the proposals of the Director of Public Works for the augmentation of his staff and the increase of salaries, when you had received the draft Estimates. The Estimates for the Public Works Department were therefore made identical with those for the previous year, with the exception of the omission of the office of Superintendent of Crown Lands, which was about to be abolished.

3. Mr. Ormsby's proposals are identical with those which he originally brought forward for inclusion in the 1900 Estimates and which have already been transmitted to you and recommended by me for your favourable consideration. I have therefore only to add that I am still of opinion that they should be adopted.

I have the honour to be,

Sir,

Your most obedient

Humble Servant,

Henry Arthur Blake

GOVERNOR, &c.

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