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that visitors arriving in the Colony bave failed to realise, at first, that there was anything abnormal. Nor would I pass from this subject without a sincere and cordial tribute to the magnificent and heroic services rendered by the Fire Brigade and the Police, as well as by the St. John's Ambulance Brigade during the horrors of the recent Po Hing Fong collapse.

PUBLIC WORKS.

We regret the necessary postponement of the work on the new prison on the Kowloon side and hope in the meantime that the noticeable reduction in crime and therefore the strain upon the accommoda- tion of our present prison will continue to be experienced. In this connection there can be little doubt that the recent house to house visitations of the Police and Military have had a most salutary and wholesome effect, and we suggest that these might be, with advantage, still carried on, from time to time. It is wel- come news that the new Kowloon Hos- pital is to be opened at last and that the equally delayed Saiyingpun School is within sight of being opened. With re- gard to the postponement of some portion of the public works which it was intend- ed to carry on, and more especially road improvements and developments, whilst fully appreciating the wisdom of "going alow" for the time being, it is our opinion that too drastic cuts are not advisable or necessary and that sufficient work should anyhow be continued to justify the carrying on of your present staffs, unless there are clear indications of Departments being seriously over-staffed. Whilst upon this subject I may add that we are in agreement with the principle of staff reductions where possible, but not at the expense of sending Home qualified Staff Officers, who, within 12 months, might have to be indented for again, and we are sufficiently optimistic of the future of this Colony to believe that you are justified in taking a risk in this connec- tion. We should like to be assured that the water schemes in view will be pressed forward and especially that the mechanic. al filters at Bowen Road will not be dropped but installed at the earliest possible moment, in order that we may have the benefit of proved experience similar to that already gained in the Taikoo Sugar Refinery. And we shall be glad to know whether they have been definitely ordered and, if so, what system has been adopted.

MILITARY ESTABLISHMENTS.

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We have noted both from the estimates and from your own speech, Sir, that no provision has been made in connection with reprovisioning the Military Establish- inents and that you have reluctantly been obliged to notify the Secretary of State for the Colonies that we cannot take any further steps in the matter. We presume from this that the " Oakley Award" not definitely accepted by the War Office and that there is, therefore, no obligation upon the Colony. Certainly, in view of the tremendous fall in land value, should the necessity arise at a later period, we ruay be able to come to more satisfactory terms than were possible at the time of Sir John Oakley's visit which coincided with the biggest land boom the Colony has ever known.

PORT DEVELOPMENT.

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We have been impressed with the heavy cost of the "Port Development Depart- ment " in comparison with the amount of work to be carried out, but it is the unanimous opinion of my colleagues that it would be an economy again to merge this Department with General Publie Works Department, with the Director of Public Works in charge. We should fur- ther be interested in hearing whether the Government has yet formed any clear opinion as to a definite scheme for port development.

QUESTION OF LOANS.

We are glad to find that Your Excel- lency is so whole-heartedly in favour of financing Public Works Extraordinary by separate short term loans-a policy which has been consistently advocated by Un- official Members of this Council, especially by myself, for several years past. Never- theless we agree with you, Sir, that the times are not propitious for raising money for Port Development or for Public Works

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