<persName ref="prs:shepherd"><surname>Shepherd</surname>,<!--<roleName>HBC Governor</roleName>--><!-- GL, Not sure if HBC Gov role is really needed, it is explained in the bio and I don't think other HBC governors have the roleName --><forename>John</forename></persName> to <persName ref="prs:labouchere_h"><surname>Labouchere</surname>, <forename>Henry</forename></persName> 14 July 1856, CO 305:7, no. 6281, 363. Shepherd addressee Labouchere

Published by Jim Hendrickson and the University of Victoria.

Shepherd,John to Labouchere, Henry 14 July 1856, CO 305:7, no. 6281, 363.The Colonial Despatches of Vancouver Island and British Columbia 1846-1871, Edition 2.6, ed. James Hendrickson and the Colonial Despatches project. Victoria, B.C.: University of Victoria. https://bcgenesis.uvic.ca/V565MI21.html. CO 305:07 CO 305 7 6281 363 V.I. 1856 registered 15 July co_305_07_00365r.jpg Transcribed from microfilm archives, marked up in Waterloo Script, then transformed into TEI P5 XML.

The project glossary items have xml:id attributes beginning with trm_, and we use a trm: prefix to refer to them when linking from term elements.

We link to orgs in orgs/organizations.xml using the org: prefix.

We link to places in places.xml using the plc: prefix.

We link to people in bios/*.xml using the prs: prefix.

We link to vessels in vessels/*.xml using the vsl: prefix.

We link to other documents in the collection using the cdc: prefix.

The cdt (ColDesp Document Type) prefix used on catRef/target points to a central taxonomy in the includes file.

We link to other documents in the collection using the cdc: prefix.

Public Offices document. Minutes (5), Other documents (2).

Shepherd writes to Labouchere regarding the financial position of Vancouver's Island, the settlement’s ability to defray the current expenses of the Government of that Colony, and it’s impact on the HBC Company’s financial return.

The minutes discuss whether the inhabitants on Vancouver Island will have to cover government expenses if the local funds (derivable from the sale of land) fail them.

Enclosed are two draft replies - one from Labouchere to Douglas and another from Merivale to Shepherd with instructions for Douglas on how to proceed with the Island’s finances.

Shepherd,John
Hudson's Bay House
Labouchere, Henry Inserted revisionDesc with @status="unproofed". Changed idno @type="received" into a date element. Gave existing date an @type="sent" and reordered bibl contents.
Shepherd to Labouchere 6281, CO 305/7, p. 363; registered 15 July
Hudson's Bay House
July 14th 1856 Sir,

The Governor and Committee of the Hudson's Bay Company have lately had under their consideration the Financial Position of Vancouver's Island, particularly with reference to the prospective means for defraying the current expenses of the Government of that Colony.

You are aware that hitherto these expenses have been provided for, principally by the sale of sections of land at the rate of 1 per acre; by the amount received for Royalty on Coal, the produce of the Hudson's Bay Company's Coal Mine; and the amount received in the Colony for Licences and Fines.

TheThe first source of revenue, vizt, that arising from the Sale of land, will, it is to be feared, prove much less productive for some years to come than during the preceding period. The Hudson's Bay Company, and the Puget's Sound Agricultural Company, have completed to the full extent their purchases, and notwithstanding the modification permitting the payment of the purchase money by instalments, which has been lately introduced with your sanction, the Governor and Committee do not anticipate that such an impulse will be given to future sales as will make up for the loss of income caused by the cessation of purchases by those Companies. Under such circumstances the Governor and Committee are of opinion that the time has arrived when it has become necessary to send instructionsinstructions to Governor Douglas to take into consideration the best mode of providing additional means for defraying the expense of administering the affairs of the Colony; and, considering that the purposes for which the funds are required are those which are essential for the happiness and protection of the Colonists, the Governor and Committee trust that Governor Douglas will receive the support of the Legislative Assembly should it be found necessary to impose duties on trade, or other taxes for the accomplishment of this object.

The Hudson's Bay, and the Puget's Sound Agricultural Companies and their Servants, have expended a very large capital in the Island, in the hope that in the course of time some adequate return will be forthcoming, and although the uncertain prospect of such return within a reasonable periodperiod has now compelled them to inculcate on their Agents the necessity of adopting more caution in the expenditure of money on works not calculated to be immediately remunerative, yet they will be ready cheerfully to contribute their proportion of any tax or duty which may be imposed for defraying the necessary expense of administering the affairs of the Colony.

I have the honour to be Sir Your mo: obedient humble Servant John Shepherd GovrGovernor The Right HonbleHonourable Henry Labouchere &c &c &c Colonial Office
Mr Merivale ABd 15 July
Mr Ball It was certainly part of the understanding on which Vanc. I. was transferred to the Company, that they were to be at the expense of governing it, & this is to be implied from the terms of the grant, though I cannot find it distinctly stated. But I think that when local funds (derivable from the sale of land) fail them, they are fairly entitled to call on the inhabitants to provide for their own government. At the same time it is so obvious that this system of self-government & self-taxation cannot be maintained concurrently with the vesting of the Exclusive ownership of the land in the Company, that I should think the SecycompanySecretary of State may answer that he cannot in reason issue such instructions, unless the Company are prepared to come to an arrangement for surrendering it. HM July 19
Mr Labouchere I am disposed to agree with Mr Merivale. It is time to consider what position the British GovtGovernment shdshould take with regard to this Dependency having in view the probable extension of population on the American frontier. The circumstances connected with the Arro islands though not very important seem to show the difficulties which will probably ensue from the continuance of the present state of affairs. In another point of view it may be doubted whether this island will remain British if there is not an influx of British population & it does not appear that the practical effect of the present system is to attract population. JB 21 July
Mr Merivale I should like to speak to you about this before the answer is written.

I am inclined to think that some power of Taxation if necessary to provide for the govtGovernment of the Colony shd be allowed.

HL 30
Answer that the substance of this letter will be communicated to the Governor with a statement that I consider it reasonable under the circumstances that some moderate imposts shd be levied to help to defray the expense of govert. HL A 5
Draft reply, Labouchere to Douglas, No. 17, 23 August 1856.
Draft, Merivale to Shepherd, 25 August 1856, relaying the instructions that were being issued to Douglas on the subject.