CO129-545-6 Air Ministry- request for extra land at Kai Tak 29-11-1933 - 8-2-1934 — Page 13

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If no such new lands or buildings are required at the time, the value of the surrendered lands or buildings should be retained by the Colonial Government until other lands or buildings are required for the garrison, when the value of the surrendered lands and buildings should be contributed by the colony towards their cost.

(2.) If the colony does not wish to retain the lands or buildings, they should be surrendered by the Military authorities to the Colonial Government for sale, the proceeds of the sale being dealt with in the same manner as provided for in the case of the value of lands retained by the colony, i.e., if other lands or buildings are being provided for military purposes, the sums realized should be taken in aid of their cost; and if no such lands or buildings are required at the time, the sums realized should be retained by the Colonial Government, and be available at any subsequent period, when other lands or buildings may be required for military purposes.

6. If some such course as this be not adopted, it is evident that whenever, owing to local conditions, a change of barracks, or sites, in a colony became necessary, the colony would gratuitously acquire valuable properties, while the Imperial Government would have imposed upon it the entire cost of replacing them.

7. An alternative policy might be adopted by the free surrender to colonies of all lands and buildings no longer required for military service, on the understanding that they should provide all necessary lands and buildings for their garrisons. This course, however, might occasionally entail upon a colony an expenditure disproportionate to its means. It would seem preferable, therefore, while ensuring that the value of surrendered lands and buildings shall be made available towards the cost of replacing them, to leave the question of the division, between Imperial and Colonial revenues, of the excess cost, of new over surrendered properties, to be adjusted in each case either upon its merits, or under any general or special agreement which may exist at the time between the Colonial and Imperial authorities.

8. When lands or buildings in a colony have been purchased and paid for by the Imperial Government, their value, when sold or transferred, should be credited to Imperial revenues.