CO882-(8-9) — Page 535

126

certain authorised deductions). I am to state that the Army Council are unable, in the absence of full information on the subject, to concur in the exemption of any portion of this revenue from assessment I am also to enquire whether the Secretary of State for the Colonies would have any objection to reference being made to this Department in future before approval is given to any Ordinances affecting Colonial military contributions

With regard to the four per cent, deduction from 1st January, 1904, in respect of surplus revenne applied to capital expenditure on productive undertakings, it is observed that in the statement of revenue for 1907 the amounts on which the deductions are calculated are arrived at by adding to the totals given in the corresponding statement for 1906 not only the expenditure in 1907, but also items of expenditure incurred in earlier years, which, it is stated, were omitted from the totals previously given I am to express a hope that it may be possible to impress upon the Colony the desirability of recording in future the amounts in such a manner that the increase from year to year in the total capital expenditure from revenue may invariably represent the expenditure of the year to which the statement relates.

I am, &c.,

R. H. BRADE.

127

Hong Kong as to the amount ($28,448 34) by which the total revenue on which the military contribution for 1907 has been paid exceeds that shown in the Blue Book for that year.

The discrepancy is stated to be due to a decision to apply certain revenue amounting to $28,448 34 to the payment of interest on advances for railway con- struction, and to exclude this amount from assessment in calculating the military contribution.

The Council do not understand on what grounds it is held that revenue so applied should be excluded from assessment, and they would be glad if a further explanation on the subject could be obtained from the Governor. If the railway were working, the Colony would be entitled to deduct from the receipts a percentage in respect of interest and sinking fund on its capital cost, and to claim assessment on net profits only; but until this is the case, it does not appear how the charges con- nected with the railway can affect the military contribution.

20705

I am, &c.,

R. H BRADE.

No. 152.

PUBLIC RECORD OFFICE

Reference:

CO. 882

17224

SIR.

No. 150

STRAITS SETTLEMENTS.

COLONIAL OFFICE to WAR OFFICE.

[Answered by No. 155.]

Downing Street, 8 June, 1909. I AM directed by the Earl of Crewe to acknowledge the receipt of your letter of the 20th of May,* regarding the Straits Settlements military contribution for the year 1907.

2. I am to express his Lordship's regret that the Army Council was not consulted at an earlier stage with regard to the assessment of revenue derived from Government buildings let for profit. I am to explain that in order to provide quarters for Government officers, the Straits Settlements Government have at various times acquired or built houses which are let at a rental calculated on a percentage of the price of the land and of the cost of the construction of the buildings. The houses are assessed by the municipalities as "buildings let for profit, and rates are paid on them by the Government.

It is at the same time

incumbent on Government to maintain the houses in efficient repair, and they may be regarded as productive undertakings.

3. Lord Crewe has no doubt that, in view of this explanation, the Army Council will concur with him in thinking that deductions from the gross revenue were properly made.

4. As regards the deduction made in respect of the portion of the liquor farm rents carried to the Improvement Fund, Lord Crewe will make enquiries of the

Governor.

19656

SIR,

No. 151.

HONG KONG.

I am, &c.,

R. L. ANTROBUS.

WAR OFFICE to COLONIAL OFFICE.

(Received June 12, 1909.)

[Copy to Governor, June 18, 1909. No. 104. L.F. See No. 161.]

[Answered by L.F. transmitting copy of No. 161.]

War Office, London, S.W., 12th June, 1909.

I AM commanded by the Army Council to acknowledge the receipt of your letter, 16032/09,† dated 21st ultimo, enclosing despatch from the Governor of

‡ No. 148.

• No. 1 9.

↑ Luk.

(No. 223.) MY LORD,

STRAITS SETTLEMENTS.

THE GOVERNOR to THE SECRETARY OF STATE.

(Received 21 June, 1909.)

[Answered by No. 154.]

Government House, Singapore, 27th May, 1909.

I HAVE the honour to report that in pursuance of the recommendation of the Unofficial Members, as recorded in the report of the Select Committee on the Estimates for 1909, as follows:-

"In view of the serious increase of establishment and other charges annually recurrent in connection with Education the Unofficial Members recommend that the Government should now consider the necessity of creating a Board for the management of all Education in the Colony,"

a Committee was appointed in January last, consisting of the Attorney-General, Dr. Galloway, Mr. Baker, and the Director of Education, to consider and report

(a) whether it will be advantageous to the cause of education in the Colony to create a Board of Management which should exercise a general supervision and control over all education in the Colony; and

(b) if the answer to (a) is in the affirmative, what would be the best means of creating such a Board, in what manner it should be constituted, what powers should be conferred upon it, and in what relation it should stand to--

(i) the Government,

(ii) the Education Department,

(iii) private educational institutions which at present receive or

do not receive grants in aid from Government,

(iv) existing endowments for the promotion of education.

2. The Committee reported in April, and a copy of their report is enclosed, from which it will be seen that they do not advise the creation of a Board on the lines of those existing in Jamaica or Ceylon, but are in favour of the establishment of a Board the functions of which would be limited to advising the Government upon and assisting in the administration of educational expenditure.

3. On consideration of this report, with the aid of the Executive Council, 1 am disposed, subject to Your Lordship's sanction, to adopt the recommendations of the Committee, with the addition, however, that the duties of the Board to be constituted should also include the duty of advising the Government upon any matters connected with education which may from time to time be referred to the Board by the Governor, and I accordingly submit this proposal for Your Lordship's sanction.

4. By the formation of this Board it is hoped to secure that the money devoted to education may be expended to the best advantage, and that the presence of

6

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH—NOT TO