percent of the estimated revenue, and is inadequate. The almost ridiculously published extraordinary vote is no less than $802,000; an incredible figure, when taken into account with Sir H. Blake's light-hearted admission that this same extraordinary expenditure will "probably mean increased taxation." It is also possible (if not probable) that we have to grant to H.K. officers the same concession in the matter of additional exchange compensation as we have given to those in the F.M.S.
This year's notes for Public Works betray a fact that was made apparent in 1900; a further increase is proposed, with trifling surplus transactions, and a practical certainty of large sanitary expenditure. It is unlikely that the estimated surplus is quite adequate, and it is suggested that at least $300,000 must be provided for; I suggest cutting down the votes for P.W. Extraordinary.
A.F. 4/11 M. Antrobus, Six M. Ommannay appear to think that it rather depends on the nature of I Wacke's proposal.
I think it is clear that the proposed Hongkong Expenditure needs careful consideration. The mission of Messrs Supple and Sons has not broken down, as supposed - I sent on this paper. But that Expenditure and Estimates are questionable.
In my opinion, the proposals this morning thus only relate to fighting the plague with excellent spark. The cutting down should be on P. Works Extraordinary.
By way of caution, I suggest 4/X1 that it is unusual to have a large surplus unless there are exceptional circumstances, as in Stanz Kung, with balances of $1,500,000. A margin of 5 per cent would be sufficient. There are signs that Revenue and Expenditure are "comfortingly light", I would not be opposed, therefore, but would scrutinize the Estimates, and then, if necessary, make adjustments.
J&L(x)--46569~5000-8-01 726