2
261
Two
Encl.No.2.
Encl. No.3.
Encl. No.4.
amended estimates. A copy of this speech is enclosed.
noteworthy additions have been made, namely, provision to the
extent of $10,000 for a grant to the British Fund for the Relief
of Distress in China and an increase of the grant to the University
of Hong Kong from $355,000 to $455,000. The latter has been made
in response to pressing representations from the University
Authorities who find that the University's income has been so
seriously reduced by the collapse of the value of its investments
in Shanghai as to hinder their plans for the expansion of the
activities of the University. Items which have been deleted or
reduced are the provision for the building of a new Lighthouse
Tender for the Harbour Department, for a new block of offices and
quarters at the Central Police Station and for the proposed
Infectious Diseases Hospital at Kowloon.
4.
The estimated deficit of $7,553,776 shown in the draft
estimates as presented on 16th January, 1941, has been reduced by
the above-mentioned changes to $3,856,715. It has been explained
to the Legislature that if revenue falls short of expectations or
if, as may well be the case, it becomes necessary to incur
expenditure at present unprovided for in the estimates it will be
possible to defer action on certain items of public works
extraordinary and to curtail other special expenditure.
5.
I have accordingly to request Your Lordship's approval
of the estimates for 1941-42 as passed by the Legislative Council
on 20th February, 1941. I have also to ask Your Lordship's
approval of the resolutions, of which copies are enclosed, passed
by the Council on the same day; these resolutions authorize loan
expenditure and the new or additional duties referred to in
paragraph 2 above. Expenditure out of the Waterworks Renewals
and Improvements Fund is now for the first time authorised in the
Appropriation Bill instead of by resolution; this expenditure is
estimated at $832,000 for 1941-42. In addition I enclose for