CO129-541-2 Estimates 1931 14-10-1932 - 19-7-1934 — Page 332

Enclosure no.6.

398

Sir,

I rise by Your Excellency's command to move the

first reading of a Bill intituled "An Ordinance to apply a sum not exceeding $27,585,142 to the Public Service of

the year 1933.

The very full memorandum from the Colonial

Treasurer, which is already in the hands of Hon. Members, shows clearly the foundation on which the Estimates for 1933 have been built up, the essential elements of that

foundation being, first an estimate of 1/2d. as the average value of the dollar, second the view that our surplus funds in these uncertain days should not be allowed to fall below the $10,000,000 mark; and thirdly

the extreme desirability of avoiding additional taxation. To the best of the Government's information and judgment,

1/2d = $1 is a safe average value to accept for the whole year; but should the dollar unfortunately fall below that figure, we have reserved means as I will explain later of retrenching expenditure to meet losses (unless they are altogether abnormal) without disturbing the balance of

the Budget as now before you.

The surplus balance at

the end of 1933, as far as Estimates. go show a surplus balance of $10,616,131, and as the Colonial Treasurer

has explained in the memo the extra taxation imposed during 1931 and 1932 will have its full effect in 1933 and has made it possible to proceed without considering

any further additions.

I have already used the phrase 'the balance of

the