Colonial Despatches
The colonial despatches of Vancouver Island and British Columbia 1846-1871
Despatch to London
Douglas, James to Pelham-Clinton, Henry Pelham Fiennes 5 January 1861, CO 305:17, no. 2033, 2.
Abstract
Despatch to London.
Minutes (3), Enclosures (untranscribed) (1), Other documents (3).
Douglas forwards Newcastle a copy of the
Victoria Harbour Act 1860,passed by Vancouver Island's Legislative Assembly and its Legislative Council, along with a justification for Douglas's decision to
postponeimplementation of the act. The act enables the colony to raise a loan of £10,000 to pay for public works related to the improvement of Victoria's harbour and Douglas is concerned that he does not have the authority to proceed without permission from the Colonial Office.
No. 1, Legislative
1. I have the honor to forward herewith the Copy of an Act entitled
the "Victoria Harbour Act 1860," which yourGrace
Grace will observe has
passed the House of Assembly and the Legislative Council and now
awaits my assent.
Grace will observe has
passed the House of Assembly and the Legislative Council and now
awaits my assent.
For reasons however which I shall proceed to state, I propose to
postpone its execution, until I have ascertained from Your Grace
whether or not I am authorized to deal with certain provisions
containedin
in the Act.
in the Act.
2. Its object is to raise the sum of £10,000 by loan partly for the improvement of
Victoria Harbour, and partly for the formation of a road connecting it with Esquimalt; and for payment of the debt so created: the Act assigns the proceeds of certain
fees levied on Ships entering and leaving the Port of Victoria
Victoria.
Victoria.
3. Concurring in opinion with the other branches of the Legislature
as to the great importance of the contemplated works, I have
nevertheless declined to confirm the Act in consequence of the
following passage which occurs in the 21st section of my
instructions from the Queen, vizt:
And you are notto
to give your assent to or pass any Act whereby Bills
of Credit may be Struck or issued in lieu of money or for payment of
money either to you our Governor, or to any person whatsoever, unless
a clause be inserted in such act, declaring that the same shall not
take effect until the said act shall have been approved and confirmed
by us our Heirs and Successors.
The
to give your assent to or pass any Act whereby Bills
of Credit may be Struck or issued in lieu of money or for payment of
money either to you our Governor, or to any person whatsoever, unless
a clause be inserted in such act, declaring that the same shall not
take effect until the said act shall have been approved and confirmed
by us our Heirs and Successors.
The intention of that passage I conceive not only prohibits notes
from being declared a legal tender for money but is also meant to
restrain Colonial Governments from contracting debts without having
first obtained Her Majesty's sanction to that effect.
3. I would also beg to draw your Grace's attention to the dues
levied on ships as setforth
forth in Schedule D under the Title of
"Landing Permits" and that your Grace will be pleased to inform me
whether the levying of such dues in this Colony does in any respect
conflict with the laws relating to Trade and Navigation.
forth in Schedule D under the Title of
"Landing Permits" and that your Grace will be pleased to inform me
whether the levying of such dues in this Colony does in any respect
conflict with the laws relating to Trade and Navigation.
I believe there can otherwise be no objection as the rates are not
burdensome to trade and the proceeds are to be devoted to objects ofgreat
great commercial importance.
great commercial importance.
Trusting soon to receive your Grace's instructions with respect to
these points.
To His Grace The Duke of Newcastle
&c &c &c
&c &c &c
Minutes by CO staff
Sir F. Rogers
From what I have heard of the respective merits of the two harbors I should be inclined to believe that it wd be more advantageous to spend this money on Esquimalt in preference to Victoria Harbor. But the Legislature has settled the point in favor of the Capital.
From what I have heard of the respective merits of the two harbors I should be inclined to believe that it wd be more advantageous to spend this money on Esquimalt in preference to Victoria Harbor. But the Legislature has settled the point in favor of the Capital.
ABd
7/March
I think that the clause of the Instructions to wh the Govr refers was only intended to prevent the Legre from authorizing virtually
the issue of paper money and not to prevent them from contracting a Loan
witht sanction from Home. Perhaps the dph shd be communicated to
the Try with an intimation that unless their Lps shd think
differently it was the intention of the D of N. to communicate the
above opinion to the Governor.
At the same time I [propose if?] contracting
a loan at rather more than 12 per cent interest (taking the discount
of 5 per cent into account) is somewhat startling.
FR
8/3
Documents enclosed with the main document (not transcribed)
Copy of "The Victoria Harbour Act of 1860" not on microfilm.
Other documents included in the file
Elliot to J. Booth, Board of Trade, 23 March 1861, forwarding copy of
the despatch and enclosure and asking whether they had any objection
to the proposed fees being levied.
Elliot to G.A. Hamilton, Treasury, 23 March 1861, forwarding copy of
the despatch and enclosure and asking whether they would object to
informing the governor that the clause he quoted was not intended to
prevent a colony from raising a loan without Imperial sanction.
