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     ROYAL GAZETTE EXTRAORDINARY. 
     
    
   
   
    
     :* I 
     
    
   
   
    
     Copy of a Report of a Committee of the Honor- 
     
     able the Privy Council, approved by His Ex. 
     
    
   
   
    
     cellency the Governor General, in Council, on 
     
     the 14th December, 1869. i 
     
    
   
   
    
     The Cummittee of Council have had under con- 
     
     sideration, a memorandum, dated 11th December, 
     
     1869, from the Hon. Sir George E. Cartier and 
     
     Messrs. Tilley and Kenny, stating, that at the 
     
     desire of their Colleagues, they visited the Island 
     
     of Prince Edward, in August last, and having, 
     
     while there, had the opportunity of discussing, 
     
     informally, with members of the Gevernment, and 
     
     other leading public men, the question of the 
     
     political union of the Island with the Dominion, 
     
     and having, in view of the importance of estab- 
     
     lishing a basis on which such union can be efl'ect- 
     
     ed,,careiully considered the question under its 
     
     financial aspect, they have come to the conclu- 
     
     sion that the following proposals, which they 
     
     submit for the concurrence of the Council, should 
     
     form the financial basis of such union, viz: 
     
    
   
   
    
     1st. The Dominion Government will assume 
     
     and defray all the charges for the followingser- 
     
     vices, viz: ' ' 
     
     _ (21.) The salary of the Lieutenant Governor. 
     
    
   
   
    
     (B.) The salaries of the Judges of the Sn- 
     
     preme Court and District or County Courts, when 
     
     established. ' 
     
    
   
   
    
     (0.) The charges in respect of the department 
     
     of Customs. 
     
    
   
   
    
     (1),) The Postal Department. 
     
     (111.) The protection of the Fisheries. 
     
     (R) The provision for the Militia. 
     
    
   
   
    
     (G.) The Light Houses, Shipwrecked Crews, 
     
     Quarantine and Marine Hospitals. 
     
    
   
   
    
     (IL) The Geological Survey. 
     
     (1.) The Penitentiary. 
     
    
   
   
    
     (J.) Efficient Steam Service for the convey- 
     
     ance of Mails and Passengers, to be established 
     
     and maintained between the Island and the Domi- 
     
     ,nion, winter and summer, thus placing the Island 
     
     in continuous communication with the Intercoloo 
     
     nial Railway and the Railway system of the Do- 
     
     tnjnion; and such other charch as may be inci- 
     
     dent to and connected with the services, which, 
     
     by the B. N. A. Act, 1867, appertain to the 
     
     General Government, and as are, ~ or may be, 
     
     allowed to the other Provinces. ' 
     
    
   
   
    
     2d. Canada to be charged with the debts and 
     
     liabilities of the Island existing at the time of the 
     
     union. 
     
    
   
   
    
     3d. That the Island not having incurred debts 
     
     equal to those of the other Provinces now consti- 
     
     toting the Dominion, shall be entitled to receive, 
     
    
   
   
    
       
     
    
   
   
    
     I 
     
    
   
   
    
     by half-yearly payments, in advance, from the 
     
     General Government, Interest at the rate of live 
     
     per cent. per annum, on the difference between 
     
     the actual amount of its indebtedness and the in- 
     
     dcbtedness per head of the population, at which 
     
     Nova Scotia and New Brunswick are now allowed 
     
     in the Union, "or the'payment of such difference, 
     
     in five per 'cent. Government Bonds, payable in 
     
     London, as the Island Government may elect, 
     
     taking the population of the Island in 1861 as the 
     
     basis of the calculation. 
     
    
   
   
    
     4th. The Dominion Government to pay $25,000 per 
     
     annum to the Island to meet the expensrs of the Local 
     
     Government and Legislature. 
     
    
   
   
    
     5th. An annual payment to be made to the Island 
     
     Government equal to 80 cents per head of the pepula- 
     
     tion. to be augmented in proportion to the increase of 
     
     the population as may be sheWn by each Decennial Con; 
     
     sns, until the population amounts to 400.000, at which 
     
     Rate such Grant shall thereafter remain, it beingundero, 
     
     stood, that the FirstCensus shall be taken in the year 
     
     1871. 
     
    
   
   
    
     They submit that much discontent has for many years 
     
     existed amongst the Inhabitants of the Island, arising 
     
     from the fact that the Lands of the Colony had been 
     
     granted by the, Imperial Government in large blocks, 
     
     and chiefly to perSons resident abroad, thus leaving the 
     
     Government‘of the Island no lands, the proceeds ot the 
     
     sale of which could, as in the other British Colonies,be 
     
     appropriated toWards Local ImprOcheuts and the 
     
     maintenance of the Government. 
     
    
   
   
    
     That this discontent has been increased from the ' 
     
     fact. that many of the settlers in the Island can only ob- 
     
     tdnland on lease. instead of the purchase, as in the 
     
     other British North American Colonies. 
     
    

    
     That up to the present titne,‘.the Island Government 
     
     have failed to secure a consideration in lieu ol the lands 
     
     thus granted by the Crown. Notwithstanding the 
     
     efforts that have been made by the Government and 
     
     Legislature of the Island to remove the obstruction to7 
     
     the settlement of the Colony arising lrom this cause, 
     
     there still remains about one-third of the Island owned 
     
     by absentee Proprietors, a Very considerable portion of 
     
     which is unoccupied and in the condition ul'n wilderness. 
     
    
   
   
    
     'I‘hutin the event of theIsldnd becoming part of the 
     
     Union. the Government of the Dominion Wlll endeavor 
     
     to Secure for the Island. from the Imperial GUVernment, 
     
     fair compensation for the loss ofCrown Lands. Should 
     
     the Dominion GOVernment fail in their efforts to secure 
     
     such compensation, they will undertake to raise by 
     
     Loan, guaranteed by the Imperial Government, or upon 
     
     their own securities. should such guarantee be refused. 
     
     Eight hundred thousand dollars ($800,000), and pay 
     
     the same to the island Government as a compensation 
     
     for the loss of such Crown Lands—this sum to be in 
     
     addition to the other sums mentioned in the precedin' . 
     
     preposals. That the Dominion Gevernment will also 
     
     use their influence to secure sueb Legislation as will 
     
     enable the Gm’crumcnt ol the Island to purchase the 
     
     Land, now held in large blocks. upon terms just and 
     
     equitable. to all parties concerned. The Committee 
     
     concur in the said memorandum and submit the same 
     
     for your EXt-clleney’s sanction. 
     
    
   
   
    
     Certified. 
     
     “'51. II. LEE. Clerk. P. C. '