CO537-2188 — Page 187

savingram No. 32 of the 29th April.

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40 In regard to the question whether the process of handing over of functions to the Municipal Council should be described as one of deleration rather than of transfer, which is referred to in paragraph 3(o) of the despatch, we have examined again the minutes on this point in the light of our discussion. As I explained to you, whilst we entirely appreciate the necessity of avoiding any impression that the Municipal Council is to have a mere shadow, and not the substance of power, we should feel great di:ficulty about the notion of a complete surrender of powers to the Municipality, I hope, however, that you will not feel too much difficulty in accepting the second sub-paragraph of paragraph 3(0) in view of the revised wording in paragraph 3(g). As regards the second sub-pāragraph of parag. aph 3(1), where the same principle is involved, I think the wording now proposed brings out more clearly our concept that it is in the field of rates that the Municipal Council must be allowed discretion, I fear that, quite apart from any question of the constitutional principle involved here, we should encounter opposition from the Treasury if we were to attempt to modify our present position any further in the direction of transfer to the Municipal Council of any authority in respect of other forms of taxation, apart from the levying of rates and the fixing of feos.

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