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$800,000 for the erection, furnishing, and endowment of a new Home. This offer has been accepted by the Committee subject to your approval.

3.

The original trustees under the lease have all died and the question of the status of the members of the present Committee, who describe themselves as the trustees of the Sailors' Home, has been considered by the Attorney General. They appear to be merely an informal Committee which sprang out of the body composed of the three original Crown lessees. The Attorney General is of the opinion that an Ordinance should be passed incorporating certain trustees of the Sailors' Home and vesting the present property in them. These trustees would then surrender the property to the Crown and would receive in exchange the new site and the cash payment to which I have already referred. The Executive Council has approved the above proposal and has decided that the members of the present Committee should be incorporated by name, except the Harbour Master who would be a trustee ex officio,

leaving future vacancies to be filled by the Chamber of

Commerce. An informal agreement would be come to in the

first place with the present Committee, which would be

formally adopted after incorporation. The members of the

present Committee are as follows:-

Mr. D. G. M. Bernard, Manager of Messrs. Jardine,

Matheson and Company,

Mr. G. M. Young, Manager of Messrs. Butterfield and

Swire,

Mr. A.0. Lang, Manager of Messrs. Mackinnon, Mackenzie

and Company,

The Harbour Master.

4.

On the site of the Sailors' Home there is a

Church erected in the year 1871 towards the cost of which the Legislative Council granted a sum of $2,500. I enclose

A

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