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the enquiry naturally suggests itself "How is it then, that the General Government had to interfere; to dismiss the Auditor; to cause the suspension of Provincial payments for several weeks; to disallow an Appropriation Act; and address letters to me containing grave reflections, which, however, it is satisfactory to be enabled now to believe, were not intended to be offensive?" It is, however, a particular satisfaction to me to reflect that, although during the past four months the Provincial Government has been subjected to an opposition and interference which almost amounted to a suspension of Provincial administration; no retorts, although the material at hand was abundant, have been indulged in by me. I beg you will not imagine that I am presenting to you a portrait of a Provincial Government in the character of martyrs who have been all along content to meekly offer the other cheek to the smiter; or that we acknowledged our position to be that of departmental officers subordinate to the General Government, and therefore liable to be lectured by it; much less that you should conclude that we were so conscious of being in the wrong that we thought ‘the least said was the soonest mended.’

Quite the contrary; we felt indignant at the treatment we received; but, charged as we were with public interests, we forebore to peril those interests by repelling the attacks made against us in terms which would have been justifiable, but which might have led to still further impediments to the progress of the Province; neither did we forget that the appeal against reproofs administered to elected officers by self-appointed censors resides with those in whom such election is vested.

I take this opportunity of placing on record my view of the case. You passed the “Bridges and Roads Act” last session. To this I assented, and immediately took action to give effect to your wishes, by entering into engagements for the works authorised. I had no reason to suppose that the General Government intended to disallow the Bill; first, because I believed (and still believe) that it was not ultra vires; secondly, because it was obviously their duty, if they had any such intention, to have at once officially communicated it to me, and not allowed several weeks to elapse, during which I was left to enter, under authority of an Act apparently left to its operation, into engagements which covered, more or less, the whole scope of the Act, but which I should have been left in a state of incapacity to fulfil, had I not covered them by a warrant authorising payment. Under these circumstances, and having, moreover, an intention (I may say urgent need) to be absent myself from the Province for some time, it was decided to prepare a warrant to cover the whole expenditure authorised by the Act. This was done advisedly, with the full concurrence of the Provincial Executive.

A warrant to cover the entire expenditure authorised by a year’s Appropriation Act, signed by my predecessor, prior to his departure for England, the form of which was forwarded by the Colonial Treasury (the present Premier being then Treasurer, and my predecessor his colleague), was laid before the Auditor, as a precedent, and the Audit Acts were carefully examined in his presence, and the Auditor certified after full consideration. What ensued is now matter of history. The Auditor was suspended, and then dismissed; and the Act was disallowed. I regard the dismissal of Mr. Dorset as uncalled for and severe; a settler of long standing, and unblemished reputation; experienced in accounts, attentive and punctual in the discharge of the duties of his office, which he held for seven years, to which testimony is born in the report of your various Finance Committees.

Much has been made of the Provincial Account at the Bank being kept in two parts (Nos. 1 and 2). I not only see no objection to this, but I think there are obvious advantages. The intention was to keep the Special Appropriation Act accounts and funds separate from Ordinary Appropriation Act accounts and funds. The Superintendent has power under the Audit Acts to keep a public account at any Bank or Banks in the place. It would seem to follow that, if he confines the account to one Bank, he should a fortiori not be debarred from opening a second account with that Bank. I made the Council fully aware of the source from which I proposed to obtain the funds wherewith to carry out the works authorised by them in the Special Appropriation Act of last session; and I may state that the only desire and aim of the Provincial Executive throughout, has been to carry out the wishes of the Council. Whilst I, at the same time disclaim, on the part of the Provincial Government, any desire to carry on the Provincial administration in any other than a spirit of harmonious co-operation with the Colonial Government. But co-operation implies joint action, and can not exist single-handed; and it is satisfactory to be able to recognise the commencement of a more favourable disposition on the part of the General Government, which it will be the duty of the Provincial authorities to reciprocate.

I have now to draw the attention of the Council to the proposals for the ensuing year. The following Bills will be presented for your consideration, viz.:--