379
4
13. Expenditure is estimated in 1933 at a total of $35,199,247 as under :-
Ordinary Expenditure
Extraordinary Expenditure
Special Expenditure from Surplus Balances
$31,031,324 3,667,923
34,699,247
500,000
$35,199,247
and for purposes of conversion the dollar has been taken at a sterling value of 1s./2d. throughout. The following is a summary of the estimated Revenue and Expenditure for
1983:-
Revenue.
Expenditure.
Ordinary
Land Sales
$32,702,575
1,300,000
Ordinary Extraordinary
$31,031,324
$34,002,575
3,667,923
$34,699,247
This shews a deficit on the year's working of $696,672 in addition to which a further $500,000 on account of the Naval Arsenal has to be met from Surplus Balances. The total estimated deficit for the year is, therefore, $1,196,672.
14. Authority has however been obtained to charge the above sum of $500,000 to Surplus Balances and in time it is expected to recover the cost of the Naval Arsenal Yard but not until it is handed over. Past experience has almost invariably shewn that there are large savings and under expenditure which will more than cover the deficit of $696,672 as shewn in the printed estimates. The aim has been to maintain our surplus at well over $10,000,000.
The anticipated excess of Assets over Liabilities at the close of the year 1933 is arrived at as under:-
Actual Excess as at 1/1/32
5
__
15. The revenue estimates for 1933 have been drawn up on the assumption that revenue will be maintained as heretofore. There is no sign or portent as yet of any decrease. Should these appear during 1933 it will be necessary immediately to prune expenditure and reduce commitments. This can be done not only over Special Expendi- ture and Public Works items but over recurrent Expenditure as well. The building of a new hospital commits the Colony to $3,000,000 (as now estimated) spread over 3 to 4 years and once started will have to be continued so that in the event of a falling revenue other works must be curtailed. The cost of the new hospital will, however, to a certain extent be offset by the sale eventually of a portion of the site of the present Govern- ment Civil Hospital. Such receipts, however, cannot be expected for some years and Government meanwhile must finance both building and equipment. For the latter service a figure has as yet not been given. The programme of Public Works Extraordinary estimated at a total of $3,667,923 is of a very varied nature and moreover is one on which in case of necessity work on many of the items can be stopped without detriment to the work already completed. Furthermore many of the works will not be commenced until well into the year when the financial position can be seen with more certainty. Subject to the reservation noted above as to the revenue for 1933 it is not considered that the expenditure shewn in the printed estimates is beyond the resources of the Colony.
Loan Works.
16. Surplus balances have been drawn on in anticipation of a future loan and on 30th June, 1932, the total amount advanced was as under :--
Aerodrome (Net-credits deducted)..
Vehicular Ferry
Aberdeen Water Scheme
Shing Mun Valley Scheme, 1st section.....
Shing Mun Valley Scheme, Filters....
$297,469
612,140
1,970,029
441,323
103,150
Shing Mun Valley Scheme, 2nd section...
24,654
New Gaol at Wong Ma Kok
820
3,449,585
Anticipated Expenditure during the six months ending 31st
December, 1932
1,361,454
Total..
$4,811,039
$11,347,629
Revised Estimate of Revenue 1932.
33,152,674
44,500,303
Revised Estimate of Expenditure 1932
32,687,500
Estimated Excess at 31/12/32
11,812,803
Estimated Revenue 1933
34,002,575
45,815,378
Estimated Expenditure 1933-
From General Revenue
.$34,002,575
From Surplus Balances including $500,000, last instalment for Naval Arsenal
1,196,672
Anticipated Excess of Assets over Liabilities at 31/12/33
35,199,247
$10,616,131
As the actual expenditure from surplus balances at 31/12/31 was $3,484,014 the additional sum required this year amounts to $1,327,025 and the liquid resources of the Colony should be able to stand this without borrowing.
17. Three new items appear in the Schedule
(a) The Shing Mun Valley Scheme (2nd Section)-Gorge Dam-estimated at $9,200,000. The expenditure on this work during 1932 is estimated at approximately $75,000.
(b) Tytam Tuk Catchwaters estimated at $690,000 spread over two years of which $300,000 is anticipated to be spent in 1933. Approval is required before this can be proceeded with.
—
although
(c) Shing Mun Valley Scheme (2nd Section).-Preliminary Works
new to the Schedule has previously been charged against 1st Section and was shewn as such in Appendix VII (A) of the 1932 Estimates. It is considered that this item being part of the 2nd Section should be transferred and shewn separately and this has accordingly been done and formal approval will be asked.
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