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The Military Contribution increase is the natural result of larger revenue; the Pension increase is more or less an accident and the Education increase have been in great part approved beforehand, and the Post office increase is mostly due to increased Transit charges &c. (see Mr May's memo).

As to the details of the Estimates, there is little to add to the Governor's explanations. They have been annotated with great care and everything of any importance has been approved beforehand.

PUBLIC DEBT

There will of course be a considerable increase under this head if a loan is to be raised, but the Governor proposes to meet the interest and Sinking Fund charges by raising taxes.

PENSIONS

This item is swelled more than any other by taking the dollar at 1/8. Probably at least $16,000 should be deducted on that account.

Colonial Secretary &c., See despatch. The two Cadets were appointed at this last examination. We need not say anything. His position seems right in principle.

Post Office.

If, as I understand, he means eventually to introduce some such scheme as Mr May proposed (we left him discretion to do so) some $7,000 more will be required.

Personal Emoluments.

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