CAB11-57-2 — Page 110

Page 110

Page 110

3

capitalized value of the Crown rents on the land has been credited to the Printed Colonial Government in the Special Lands Account, instituted in accordance correspon-

dence, with the Colonial Office circular of the 30th December 1894. This has been A 502. done in spite of the fact that practically no land of any value has been surrendered by the War Department, and there are, consequently, no debits against the Colony to be extinguished. The credits could only, therefore, become operative by being set off against the value of surrenders, if ever made, in the future by the War Department. It is probable that more sites will be required for buildings included in the joint scheme, and the question of the proper mode of treating these Crown rents requires settlement.

6. In addition, however, to the services included in this scheme there are other new barrack works which will have to be carried out shortly in the Colony, and for which sites may be required. Since the scheme was drawn up in 1834 there has been a further small increase in the strength of the garrison; and the need for small buildings of various kinds connected with the garrison may be expected to arise from time to time. The question of the cost of sites in these cases is one which should be settled, but at present it must be observed that the incidence of the cost of the buildings themselves is wholly unsettled. Their cost is not supposed to be covered by the general contribution of the Colony, and no other arrangement has been made with regard to them.

7. With regard to defence works an arrangement has been arrived at by A 515. which the Imperial Government bears the cost of the necessary armament, and the Colonial Government that of the permanent works and sites. This agreement has reference to certain specified works, the Imperial share of which is, under the above arrangement, 28,5001., and the Colonial share, 8,2301. At the same time (in March 1897) the War Office agreed that certain services, estimated to cost 11,500l., connected with the completion of existing works of defence were to be carried out entirely at War Department expense. No points requiring settlement have arisen with regard to this arrangement about defence works, and there is no proposal to revise it.

RECOMMENDATIONS.

1. It was the opinion of the Conference that it would be impossible to come to any satisfactory permanent arrangement as to the incidence of the cost of sites, apart from the similar question as to the cost of the buildings to be erected. The present situation, with regard to both buildings and lands, was felt to be one that demanded some clear and general settlement. The Conference accordingly decided to recommend that a standing arrangement for the future should be concluded on a principle of division of cost, similar to that adopted in the case of the existing joint scheme, viz., that the gross cost of all buildings, inclusive of new sites, should be divided in the proportion of two-thirds to the War Department, and one-third to the Colonial Government, and that this should be applicable to all works costing 1001. or more in each instance other than what are strictly speaking defence works, with regard to which a satisfactory arrangement exists.

The Conference recognized that it would be very difficult for the War Office to produce, at present, a scheme of contemplated works which would be likely to be final. But it was agreed that one should be prepared and put to the Colony as early as possible. It would be understood to be not an absolutely comprehensive list, but merely as designed, to give the Colony some idea of its additional liabilities in the immediate future under the new arrangement.

2. In the agreement relating to the joint scheme it was clearly intended that any actual cost of buying land from private persons should be divided between the two Governments, but nothing was said as to the method of treating Colonial land, if required, or the Crown rents on property let by the Colonial Government.

Page 110

59

Page 110

Page 110Page 111