C. S.

M. F. 237.)

ex-

for

1933 report has been printed and will be distributed as soon as cer- tain maps, which are pected daily, are ready incorporation. The Malariologists report for 1932 occupied 30 pages (out of a total of 202 in the annual Medical report, that for 1933 oc- cupies 50 pages out of a total of

226.

The honourable member may rest assured that the Government has no intention of allowing the proposed residence for the Manager of the Railway to encroach on the playing field area of King's Park. The site contemplated lies within that portion of the King's Park area which was set apart for resi- dential purposes many years ago.

New Territories.

With regard to the marketing of New Territories produce the honourable member must, I think, have overlooked the fact that addi- tional laans for New Territories produce have already been provided in Kowloon. The provision of funds for feeder roads in the New Territories was considered with the 1935 budget but had to be post- poned for want of funds. The question of encouraging agricul- tural industries in the New Terri- tories has also been referred to by my honourable friend the senior

Chinese Unofficial member. Honour- able members are aware that this problem has already received and is still receiving Your Excellency's most serious consideration.

My honourable friend Mr. W. H. Bell refers to the street lighting of Kowloon. I can confirm his under- standing that experiments are being carried out with a view to evolving a more satisfactory type of street lighting.

Leprosy.

is continually on the watch ensure free competition and that he for anything in the nature of rings or combines prices at an unfair level.

intended to maintain

answer

It has not been possible in the time at my disposal to every question and to investigate every point raised in this debate by my unofficial friends. however be happy to furnish them I shall with further information at a later date, should they so desire, on any matter which has adequately dealt with this

not been

noon.

after-

GOVERNOR'S REPLY.

More Works This Year

If Possible.

LEPROSY INQUIRY.

His Excellency the Governor said: Honourable Members.-The Budget has been dealt with so adequately by honourable members, official and unofficial, that it would be almost further comments on details. I will unkind of me to burden you with therefore restrict myself to a few salient features.

honourable

I congratulate my friend, the Colonial Secretary on his able speech introducing the Budget and thank him and his officers for the excellent work which they have tion of the Estimates. I also thank done in connection with the prepara- the Hon. Colonial Treasurer and the Hon. Director of Public Works for their useful memoranda. Further, I wish to express my appreciation of the good work done by Mr. Butters in connection with the Budget. He has had a lot of difficult detail to ous work, and he has performed the contend with, requiring much assidu- duty most efficiently.

The Honourable Dr. T'so has raised the question of leprosy in the Colony. This matter has for some time engaged the attention of I am indebted to honourable mem- the Government and Your Ex-bers for their careful consideration cellency has already decided to ap- of the Budget and for their helpful point a Committee to consider it. comments and criticism. In accord- There are two points in the ance with the traditions of this Coun- cil the Unofficial spirit has through- the efforts of Government to fulfil out been sympathetic and tolerant of its duty in the best interests of the Colony.

scrutinized.

been

by the

Honourable Mr. Owen Hughes re- marks on which honourable mem- hers may expect me to comment. On the question of Transport and Conveyance allowances I can assure On behalf of my wife and myself the Honourable Member that these I thank the Unofficial members for allowances are very closely the kind and graceful reference to

The totals appearing Senior Unofficial member.

us made on their behalf in the Budget are made up of a very large number of small items

Difficult Position. and reductions have

This is the fifth Budget which wherever they were found possible. since I assumed my present post and made has been submitted to the Council

Market Prices.

it is not too much to say that the The Government does not exer- position has become increasingly cise supervision over charges made difficult. The trade depression hangs by stall holders in the various very heavily on us and there has markets but leaves competition to since the last Budget. I am, how- been little or no sign of it lifting keep prices at the lowest practi- ever, cable level.

an incurable optimist and I I am informed by the think that it is permissible to hope Head of the Sanitary Department that we have almost reached bottom, that everything possible is done to for although the revised estimate of

:

101

revenue for the current year is over two million dollars below the ori- ginal estimate it is contemplated that, apart from the accumulated proceeds from the profit on exchange transactions, the revenue for next year will be approximately the same as the revised figure for the current year.

The Balances.

In view of the serious shrinkage of revenue it is very fortunate that we possess substantial credit bal- ances, though the drain on them dur-

ing this year will seriously diminish them. This happy position is due in a large measure to a policy of not hastily spending our reserves in the pious hope that to-morrow will see an improvement and that all will be well. I realize, however, that ex- cessive caution should be avoided.

There are critics of our policy of

we

maintaining a balance not less than ten million dollars, but I am strong- ly of opinion that this figure is not excessive having regard to the mutability of exchange and the fact

that

almost invariably have heavy commitments extending appre- ciably beyond the year for which we are budgeting. I submit that the policy is sound; and, were it not for the fact that such substantial resources exist to-day, we might well be perturbed in regard to our ability to meet future liabilities in respect of works on which we have already embarked. It is indeed probable that we shall have to reduce our balances to below the prescribed limit for a short period.

Grave of Many Hopes.

I am not averse from this, part- ly because in times of depression it is desirable that Government should do its utmost to afford employment, justify our postponing our most es- partly because our resources do not

can look forward to the realization sential works and partly because we in a few years' time of certain as- sets which will reinstate

our bal- ances at the figure laid down. These assets have been referred to by my Secretary, and include the present honourable friend, the Colonial

Naval Arsenal Yard, part of the present site of the Government Civil Hospital and Victoria Gaol. With the best will in the world, however, it has been impossible to avoid a severe pruning of public services. It has, to my sorrow, been unavoidably necessary to postpone certain works which might fittingly be described as essential, and I feel that once again we must regard the Budget as in a measure the grave of many hopes.

As

Much Work in Hand. As honourable members however will see, there are many important works in hand and the total to be spent on public works extraordinary and loan works is substantial. you are aware, I have, during the past few years, carried out the policy of submitting a special supplemental Budget before the middle of the year when our financial position has policy has been approved by the rendered such a step safe. This

Secretary of State and this Council and I hope that it may be possible to follow it again next year, though this will depend in a large measure

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