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MARCH, 1885, I'llINTED BY THE eg leave to move that you do now leave the ehair, and tliat the House foi'm itself into committee of 8up- This motion necessarily involves certain explanations on my part, which the House and the Countiy have a riirht to expect, not only as to the disposition to be made of the monies asked from fhe House, hut as to the sources from which these monies are expected to come, and also it will he expected that some infoi-- mation should he jj^iven as to the I'evenue received durin<^ the past tiscal year, and the disposition made of the same; as also the prospects of revenue for the next yeai*, and its proposed econo- mical expenditure for puhlic purposes. I shall y'ive all the intormation T can on these points, and T am sure the House Avill hear with mo while T as hriefly as po.s- sihlo set hefoi'c iron()rahlc memhers my views on our Pi'ovinco financially as respects the pasi, pi-eseiit and future fiscal years. Mr. Speaker, you have experienced the difttculty of makin<^ quostionw of tiguros jiml tinaiu'ial statemenlH interesting to a general audience, even thougli youi- expei'ienee for so manj' 3'ears as a prominent n\enil)er of the bar has given you a facility of expression which I do not pretend to have or ever can acquii'c, hut. Si]'. 1 can ahsui-e you and this House that so far as I am iihle. my statements shall he clear, concise and I'eliahle, and will> I hope, place matters in their true light before this House and the country. (Cheers.) I hold, Ml'. Speakei', that on an occasion of this kind it is my duty to explain things Just as they are, to sliow tlio dark side of the picture as well as the bright side. We must tind out tlio miture and extent of a disease in order to be able to apply the ]>roper remedy, ami aUhoiigh it may not be pleasant at all times to i-efer to disagreeable matters, still I take it this Jlouse wants the true position of atfaii's to be given, und this 1 will attempt to do. THE PEOPLE AND TAXATION. There is no disguising the fact that our Province, financially, is not what we would all like it to be. That we need the closest attention to our tinances in order that they nuiy bo ke[)t at all what the}' ought to be, is evident to evciy one. Our revenue, to say the least, is not increasing much, and in some branches, must, in the nature of things and fi-om cii-cumsiances which are lieyond our control, be seriously lessened before long. The state of pidilic o|iinion in this Pi-ovince is such that it is almost impos- sible lo collect what is honestly due the (."rown, from the fact thai a great part of our |»eoplc have not been accustomed to con- tribute towards (Jovernment expenditure, but, on the contrary, have been accustomed to i-ely upon the Government for assistance for purely local objects, which should have been found from local sources. On the otlu'r haml, it requires almost superhuman etlbrts to keep the exj>enditure for so culled public purposes within proper bounds, ami the fact is })atent that all governments are expending more largely Irom year to year, I do not say in all cases unduly or impro|>ei'ly, but the business of most countries is increasing rapidly, and requires more supervision and more to a iniiny 'acility cquii'o, T am Id will? ..so and d it is irk side out the ply the 11 times c wants empt to iincially, e closest pt at all onue, to ^ranches, liic'h arc Che state ■t impos- the tact i to con- ic )nti-ai'y, ssistance •om local erhiiman 3S within lents are ay in all countries ,nd more expenditure. It is always easier to tind fault with olheis than to EXPENDITURE 1883-84. I shall now i'-ive a short summary of ivceip s and expenditure .rrouped together, which may assist some in runderstanding the accounts l,etter, and at any rate will afford the general public information which they can only obtain through newspaper reports: — KECEIPTS. Dominion of Canada .1:^1,014,712 12 Ontaru .-Un account of interest on Common School ,,^'^"^'V--V 753,37828 ^;^"^'^^^"^^' 2G884048 Y''''''^' 242,1)1091 •Instui' (• mo <)n Public ( Ulicers— percentage ^>^' )_' ^" _ .... 3!l,) 07 Legislation -^d onn no 1 iisurance on LiDrary burned '^-''-'^ "^ ,,.,,, . . l(>,7oo lo Otiicial (nsistent enditure ling the il public wspaper 12 12 100 00 578 28 m 48 )10 91 L80 90 ^95 67 JOO 00 73:5 15 598 88 388 GO 119 99 470 13 979 13 506 66 ,788 58 I I Direct Taxes Teachers' lV^nsiou Fund — Contributions... Trattic Collections— Q. M. 0. iS: (). Railway. Interest on Price— Q. M. 0. & O. Railway. Refuntls 5,757 40 16,02] 37 1,248 98 374,532 82 5,317 54 $2,885,081 59 Trust Funds — Marriaj^e licenses, tkc 8,0()4 81 Repayment of Advances 2,250 00 City of Quebec payment towards North Shore Ry . . 220,000 00 Rent of railway property collected 163 34 North Shore Ry. Co. — Refiuid of amount paid City of Quebec under agreement of 21st Aujr., 1882.. «. 15,000 00 Proceeds of debentures issued under 45 Vic, Cap. 18. 2,363,033 M Temiwiiry Loans 400,000 00 $5,893,593 OS HXI'HNDITUKE. Public Debt $964,192 56 Legislation 216,864 78 Civil Government 202,820 80 Administration of .Justice, including Police, Refor- matories and Insptiction 464.548 51 Public Instruction, including teachers' pensions.... Literary and Scientific Institutions Arts and Manufactures Agriculture Immigration and Repatriation Colonization Public Works and Buildings 1254,075 13 Less to be paid out of Loan, pro- ceeds of debentures 137,854 33 Lunatic Asylums Grants to Charitable Institutions Reformatory and Industrial Schools Miscellaneous Agent in France Fish and Game Protection Club Drill Shed, Quebec Royal Commission re Construction of Parliament Buildings Royal Commission re Jacques Cartier Election 351,315 00 18,399 30 3,000 00 85,941 75 17,000 00 82,246 35 116,220 80 227,.500 00 47,412 00 20,500 00 26,000 00 2,500 00 250 00 15,000 00 300 00 300 00 8 Municipal Loan l-'uud — Salary ami (^xjHinses of Conimissioucr 1,4.VJ 37 EiiLrin('»'r.s I'oi iniiiiiiLr i»iii|M>seis 2,64«) 20 ( rown Lauds <*xiKMulitun' 170,4'"* -lii Ollicial 11,32N (18 Pensions 17,041 2."i Municipalities Fund 7!»2 0(> Stamps, liiconses, 6ic 14,N03 .S4 Kovenue Pi .lict» 2,1G4 82 Lioo.nses, payments l)y Revenue Collectors out of col- lections 18,715 79 liuildin;.' ami .lury Fund — payments by Sheriffs out of collections 10,662 !»9 Traffic Exi)enses— Claims, Q. ISI. & O. Railway 6,700 00 lt3,125,126 28 Trust Funds (distribution of Marriajj^e Licenses fund nnd payment of K. ( '. SuiK^rior Ed. deposit) 7,49."> 00 Parliament I'.uildings — Payments out of proceeds of Loan of 1SS2 83,835 !»5 Court House, (.^"t^hec — to be repaid from debentures. 54,018 38 Seed (Jraiu Loan — truaranteed interest to be paid by Muni(ii)alities 5,616 00 Quebec Central Guarantee l>opo.sit repayments 118,121 31 Railway Subsidies 137,465 80 (l M. O. v\: (). Pailway — Accounts out- standinj.' for construction and lands, $210,428 50 City of Quebec under .agreement of 21st Aug. 1882, (repaid by North Shore Railway ( 'o.) 15,000 00 234,428 59 Q. M. (>. i^ (>. Railway — Changing line from Prince IMward street 203,125 00 Temporary loans repaid 700,000 00 4,0()!»,232 31 Balance 1,224,:56(» 77 Memo : $5,803,503 08 Cash on hand isl .inly, iss;; ,....$1,125,335 24 Less unpaid warrants at oOth June, 1883 (since paid) 03,050 64 $1,032,284 60 Balance of roci'ipts and paj'inents for tlic year 1,S83-S4 ... 1 ,l.'L'4,;5(i(» 77 SL'.25<),()4r> 37 Cash oil liaiul odth Juiio,*l.S84 S2,3-JS,7K5 7S Less uin)aiil warrants 72,()ueii IVoiii the uhove stutcmcnt thai what may ho tormod oi', and with receipts from all suuii-es, trust funds, railway re(teipts, proceeds of loans, &c., hrought tlie amount, received up to $5,893,51)3,08. The expenditui'c upon orUmuiy public services amounted to $3,125,120.28, and for all jiurposs including Parliament buildings, Quebec court house, ridlway. -subsidies and i^-uarantee and towai'ds construction of Xorth .'"UioaO lint!, rep'i^ nient of tem|)Orary loans. Ate, amounted to S-1,'jG;),232.31, leaving a difference of $1,224,- 3oO,G7, excess of gross recoipiS /vei- gross expenditure. The difference between ordinary usual receipts, and ordiiuiry usual expenditure would seem to be $2-i". 000.00, a considei-ablo reduction on former years, and a step in the right direction. As a matter of course the cost of the erectiou of the Parliament build- ings comes out of loans, and of the (Quebec court hous'i out of debentures authorized to be issued b} statute to re-imbui"se the outlay on that building. It will be observed that our princijjal receipts were from the Dominion (rovcrnment. Crown Lauds, Licenses, Justice and In- terest, ranging pretty much the same from year to year. There was a falling off from Licenses last year, of some 30,000 dollars, owing to the change of the law by the Dominion, which I fear will be exceedeil this year. The Crown Lands fell short by $5*, 000 last year, but came up to the estimate made of I'eceipts for that Department. The other items of recei])ts averaging nearly the same as formei- years. The interest upon our public debt was nearly one million of dollars, and Civil Government, Legislation, Administration of nmm 10 Justice,' Education and Agiiculture and Colonization absorbed most of the expenditure aside from what was spent on public buildings. COMPARISON WITH ONTARIO. To show how increase in cxpendituj'o naturally ccmes with with others as well as ourselves, let us look at the Province of Ontario and see whether the expenditure has been increasing there or not. 1871. 1873. 1884. Legislation S^ 94,177 133,366 141,440 Civil Government 114,613 202,898 179,825 Justice 182,621 275,244 331,026 Education 351,306 513,347 531,551 Pu])lic Institutions 213,039 648,995 600,216 Immigration 29,712 47,764 43,369 Agriculture 74,927 139,725 195,362 MiaceUaueous 34,559 103,717 84,754 , $1,094,954 $2,065,056 $2,107,643 I have not taken all the items in the Ontario Statement, but the expenditure on other objects is even higher in proportion than those I have given, and show that in what some think the model Province of the Dominion, they are obliged gradually to increase their ox])enditure whether their revenue increases or not. The deticit last year in Ontario, from published statements, that is of expenditure above receipts, exceeded $880,000. I do not allude to this as blaming the Ontario people, or as feeling pleased iU a deliciency, far from it. 1 take it they understand their own Inisiness better than 1 do, and are perfectly competent to man- age their own atfairs, without any outside assistance or dicta- tion. It shows, however, what I have alluded to, the liability, and some think necessity of increasing expenditure, as the country is settled up and population increases, in carrying on public artairs. 1 absorbed t on public scmeB with i*rovince of increasing 1884. 141,440 179,825 331,026 531,551 600,216 43,360 195,362 84,754 2,107.643 ent, but the ortion than i. the model to increase not. >ment8, that . I do not ing pleased d their own )nt to man- 3e or dicta- ability, and he country on public 11 Oui' increase of expenditure will be seen from the following table : — 1871. 1882. 1884. Legislation 128,921 197,l:U 21(i,864 Civil (Government 128.673 179,234 202,820 Justice 271,212 380,093 385,985 Education— Literary and \ ojum^ V->i\'\^7 ".7t>7l4 Scientific Institutions. \ ^^'^^^ ^^^'"^-^ "'^'^^^ Agriculture 59,748 97,767 85,941 Immigration 19,581 14,600 17,000 Colonization 221 ,652 82,240 82,246 Public Works 134,008 121,263 116,220 ^^w''.^:""^""''*''''^^^"} 1^-'^'^^ -'^^''-"^^ -^^''^' $1,420,001 1,727,087 1,775,202 These statements show that Ontario has increased her expendi- ture from 1871, on certain services, from $1,094,954 to, in 1883, $2,0G5,05t], and to. in 1884, 62,107,643, and Quebec, in 1871, from $1,420,000 to, in 1882, $1,727,017, and in 1884 to $1,775,- 202, — an increase in Ontario from expenditure in 1871 to that in 1884 of $1,012,089, almost double in "84 above 1871; and in Que- bec from 1871 to 1884 a dittercnce of $35.'),201, While Ontario between 1871 and 1884 increased $1,012,089, Quebec increased during the same pej-iud only $355,201, These tigui-es show consideralde increase of expenditure both in Ontai'io and Quebec, and there is no question l)Ut the greater part of such increase was necessary in the public intere^'t tbi- the administration of public atlaii's, I wouUl not l)e understood as justifying in any way any unnecessary expenditure by Govei-n- ment, even if our receipts were annually increasing, hence the necessity which exists, in view ul not much increase in revenue, to carefully watch and guard every item of expenditure. The first thing to see is that the money is spent in the ])ublic interest for purely pul)lic pur|)oses, so as not to allow the public welfare to suffer, then to carefully cut oil' all unnecessary expenditure for purposes not absolutely reipiired in the public interest. As to the necessity of making collections 1 will allude to it by and by. 12 LIABILITIES AND ASSETS. 1 now prOHent an approximate statement of lial)ilitie8 and assets of the ri-ovince, made np to the close of the last tiscal year, which shows considerable improvement during the past year. LIABlLtriES. Funded de)-»t outstandinji ••• Temporary loans and deposits • Railway subsidies autliori/xjd but not yet earned.. . Balance of estimated cost of rarliauient building... Balance of estimated cost of Quebec Court House. . Balance of land and other debts of Q. M. O. & O. Railway 209,475 50 .$18,283,980 00 . 011,595 4:^ . 1,528,195 75 20f),8;55 77 95.20(J 44 $20,995,348 89 ASSCTS. $7,600,000 00 Bart of price of Q. M. 0. cSc 0. Ry., paid and invested $ ()00,000 00 Balance of Q. M. O. 4,0()0, the railway subsidy, towards interest on our funded debt. It will be noticed that thei-e is no mention made in the liabili- ties and assets of the legislative appropriations on the one side, or estimated revenue, on the other, for the current year. This simplities the statement, and leaves the question of over- ex[)en(liture or diminished recei})ts on one sid'e ; and, as I said before, it is better to have our statements, as far as possible, agree with the fiscal year's accounts. I have not taken into accouut the pretended balance of w LIS debt and n, although ; mentioned t expenses, '^enue — that ve had not 3t time is session oC on of the I Quebec to id $fi,0()() u 5 I liad an as sinking- inion Gov- li -annually to pay us es. While payable to iglit agree, 1 would be > principal r Order-in- ng foi' the lUm, semi- 3h year to nterest on the liabili- n one side, oar. This of over- as I said s possible, alance of I i accounts against us by the Dominion or the Common School Fund or Municipal Loan Fund. As these are still unsettled, it was better to not attempt to fix amounts on either side, but to leave them out altogether; but, when all these accounts are closed up, I have no doubt the balance of our liabilities will bo reduced. It would be improper for me in this connection not to allude to our improved position, financially, — consequent upon amounts received through Dominion legislation — this year above last year ; and it is a matter of great satisfaction to me personally to know that, as forming ])art of the different (Quebec Govern- ments, I have worked hand in hand with my colleagues in the interest of the Province, and that we have been so far successful in our efforts to improve the finances of the Province. Some years since, in alluding to our claims against the Domi- nion Government, I expressed my confidence in our obtaining that justice to which we were entitled at their hands. We have been so far successful, and T have still confidence that our demands at present before the Dominion Government will soon be adjusted to our satisfactiim. We want only a [)roper recogni- tion of our just claims. These we will continue to urge, and, judging from the past, wo have ever}' reason to hope that the Dominion authorities will accede to our demands. As to the receipts and expenditure for the current year, hon- orable members will recollect that these partial statements for part of a year ai-e not to be taken as a criterion of the whole fiscal year's business. At some periods of the year the expendi- ture is larger than at others, and at other periods the reteipts come in more abundantly than at some other period. For instance, our expenditure is large at the first part of the year, when Colonization, Education and Agriculture grants are dis- bursed, — and, again, our Crown Lands and License receipts come in at other jieriods, so that it is only at the close of the year that we can judge of the whole year's business and how it comes out. At the same time, it is quite proper the House should have such statements for examination, in order to see how revenue comes in and expenditure is made for a certain 16 part of the year. No further allusion to that Htatement furnished the House is required at the present time. SUPPLEMENT^UIY ESTIMATES FOR THE CURRENT TEAR. I now come to certain expenditure for the current year for which the appropriations made last session were insufficient. These are larger than I had anticipated, but T thought it better to wait for the House to pronounce upon them than to issue siiecial warrants during the recess. We have for Legislative Council $ 3,670 27 " " Assembly 14,r)()0 00 Parliamentary Library 900 00 Indemnity to Parliamentary OJlioers for loss by \ iire in the l)iiruing of the old Parliamentary > 1,198 40 Buildings ' $20,328 67 The amount for the Legislative Council is comprised of balance of sessional printing, extra clerks, copying burnt Journals, &c., as estimated by the officers of that House. The amount asked for the Assembly is for extra clerks, $4,000 ; messengers, $1,050 ; stationery, $2,000 ; printing and binding, S(i,000; and sundries, $1,510, Foi- the library, three clerks and messengers, $825 ; and sta- tionery, &C'., $75. The other item mentioned is for compensation to officers of the House for loss sustained by them in consequence of (he burning of tlie Parliament buildings two years since. This, although it must l)e voted and paid, is not properly to be charged against the Revenue of this year. Then we have Civil Government i?6,000. This is composed of contingencies for Lieutenant-Governor's office, $1,500, as the appropritition made was all expended previous to the entry into office of the present Lieutenant-Governor. Eail- way dejiartment, $2,000. tSomehow there was an error made, I presume by me, in not asking enough for this department last i i n nt furnished TEAR. 3nt year for insufficient. ght it better lan to iHsue 3,G70 27 14,r)()0 00 900 00 .session. Cr-own Tjands ilepai'tTnent, §2.000 ; Pul)lic Insti-uction, 1,198 40 520,328 67 id of balance i-nals, &c., as Qrk.s, $4,000 ; tnd binding, 25; and sta- ompensation consequence since. This, be charged . $6,000. it-Governor's ided previous ^'ornor. Rail- rror made, I artment last I I Administration of .fustice .-?9,27" Polico 200 In the statement published containing the details of certain services for next year, I have li'iven in detail the salaries of all the officials connected with justice made up from the pay-sheets, which shows the amount required for next year to be $35(5,646.48, and the vote at last session for the current year was, 8347.."i(i7, leaving the balance of $9,27^.48 now asked for, to complete the current year. The same is true of police voted last year $13,800, whereas required for next year $14,090, leaving $290 required to finish the current yeai-. Reformatories $10,000 For Eeformatories (prisons for boys)$lO,000 is required to tiinsh payment for this yeai", owing to an increase in the number of inmates. I vei-y much question whether these institutions are doing all the good that was anticipated when they were estab- lished and it seems tome that moi-e care should bo exercised in the sentencing of young boys to these reformatories — so called. I am afraid that many parents, in order to get i-id of the care of their children, bring charges against them for tJ'ifling offences so as to have them cared for by the State, to relieve themselves of what they consider as a burden. Rents, insurances and repairs of pubiii buiMiiiu's $4,876 This amount is i-e(|uired for Laval Noi'mal School, S600, special guard additional, $1,400, alterations, Spencer Wood, $1,376, and electric light, $1,500. New Parliament 1)uil(lin^fS S30,000 Que))e(' Court House 1(),000 These sums will be required before the 30th .Tune, and need no explanation. SiTBUccr Wood— tialanco due on recousti-uction of stables. $450 r>3 This item explains itself. Koformat( >ry Scliools for jiirls $2,740. Industrial Sehoois 1,208 18 There is no question but there are great abuses connected with the admission and retention of inmates in these institutions, and the Government has been endeavoring with, I am sorry to say, onl}' partial success to remedy existing evils. I am satisfied that by far too many are sent to these places, and that parents are to blame for so many being committed, and unless some prom])t measures are taken, the cost of these institutions and Re- formatories for boj^s will entail a serious burden on the Province, with no cori'esponding good results. In the Reformatory School for girls. Good .Shephei'd, Quebec and Montreal, 1-10 inmates at $(\Ct a year, amounts to $9,240, and the appi'opriation was only $()',500, leaving a balance of S2,t40 to be provided for. In the Industrial Schools, Nuns', Quebec and Montreal, and Ladies' Benevolent Society, Montreal, Protestant, there are in the former— 312 inmates at $C>0, making $18,720.00. The cost of the Protestant institution amounts to $588.00, making together $19,308.00. The appropriation last session was $18,100.00, leav- ing $1,208.00 to be provided. The two remaining items are Crown Lands. Eejristration Service . . . And Suspense Account . $5,000 GO 2,000 00 $7,000 GO The first item is towai-ds the expense of services rendered in the Cadastral Branch of the Crown Lands Department and the second to pay monies deposited on account of purchases of lands, which must bo refunded, of course, if foi" any reason the lands bought cannot be given to the parties wishing to purchase, It is clear it is impossible to know beforehand how much to provide for this service, but I preferred to have a special account to meet these demands than to have amounts refunded from year to year merged into general expenditure account. The monies i-eceived by the Crown Lands Department are in fact trust funds, held till it is ascertained whether the lands asked for can be sold or not. IT sold, the money goes into general Consolidated Revenue account, if not sold, the money deposited is returned. onnected with ^titutions, and am sorry to I am satisfied that parents 1 unless some itions and Re- the Province, ihei-d, Quebec $9,240, and of 62,740 to Montreal, and ore are in the tie cost of the ng together 1,100.00, leav- $5,000 00 2,000 00 ?57,000 00 rendered in iiont and the ises of lands, >n the lands to purchase, ow much to 3cial account !'undod from count. The ) in fact trust sked for can Consolidated returned. t9 The whole of the current year >upplciuontary estimates amount to 01O2,lo2.»;8 of which S30.000 is foi- public buildino-.s to come out of loans and not annual revenue. The expenditure for the current year must exceed considerably what was est iniMted by me last session, because there is a large expenditui-o I could not foresee or provide for. For instance : the aid to distressed people in Labrador; the expenses of the extra guard and electric light around the i)ublic liuildings, caused by the dynamite explosions; the expenses connected with the two paj'liamentary commissions and others which could not be foreseen or calculated upon. ESTIMATEO RKCErPTS FOR TriE XEXT YEAR. I now ])ass to the estimated receipts fjr the fiscal year begin- ning the 1st .Tuly next, and closing 30th .Tune, 1886'. These are made up from the estimated receipts furnished from the several departments, and founded upon the receipts of former years, and from the i)rospoct of business expected to be done, collections nuide, i*tc., 6cc., and are more or less liable to fluctuations from year to year. All anyone can do in estimating i-eceipts is to act according to the best of one's judgment and circumstances, continually changing, it is impossible to calculate ])0sitively upon what may be received. I am afraid that .some of my calcu- lations made last year will not be reached, others will, 1 hope, be somewhat exceeded, and on the whole, I trust there will be no great reduction from what I anticipated. I now give the details of expoete 1 receipts for next year, made up according to the best of my judgment, making such explana- tory remarks as 1 consider necessary. The first and principal item is the Dominion Government subsid}' ;^S89 252 80 Allowance for Government 70 qqo qq I nterest on trust fimds 5^; 459 .52 ^^'i'^'"s $1,014.712 12 Tben in luidition subsidy iimk^r Act ons,S4 127,460 68 Interest on ^n-aiit tor Q., M., (). c^ O. Railway 119',7O0 00 Makino- in all from tlio Dominion .$1,261,872.80 i 20 Those two latter items are the result of the Acts passed by the Pomiiiion Parlianioiit last year, and are in addition to what before that time wo received from the Dominion. The tii'sl of tliesc is the inlcrcst at five pci- cent, upon the capi- tali/.ation of the amount withheld from us from 1867 to 1873, at which latter ])eriod the Dominion assumed the siirplus debt of the late Province of C^anada, placed l)v the Confederation Act upon the Provinces of Ontario and (Quebec. The second item is intei'cst upon the grant on part of Q., M,, 0. & O. Ry., and l only regret that we did not receive, as we ought to have received, what was improperly withheld from us upon that part of the railway from 8t. Mai'tin's Junction to Quebec. The next item is Common School Fund. Interest from Ontario S40,000 00 There will be at least this amount due, even if w^e receive what should be paid this year. We have only received this year $25,000, but T expect before the end of the fiscal year another 825.000 from Ontario. License duties ^255,000 00 The License question is one which has given me a good deal of trouble during the past year, owing to the passage of the Dominion License Act of 1883, which has aftected our revenue considerably, and will do so more during the current yeai*. From this source it is doubtful to say what may be realized, but I have estimated it at the above amount. It was supposed that when the conr;titutionality of the Quebec License Laws was submitted to the Supreme Court of Canada, if the decision was in favor of the Provinces, the Dominion (Tovornment would acquiesce in the judgment and consider the question settled, and feeling the importance of having the ques- tion fully submitted to the Court and argued from a provincial standpoint, the Government emploj'cd counsel to represent this Province before the Supreme Court in common with some of the othoi' Pi'ovinces. The case was ably argued on both sides, and finally the Su[)reme Court unanimously decided that the Provin- 21 )asHecl by tho ) what before [)on tho capi- 7 to 1873, at IS debt of tho on Act upon 3m is intci-ost I only rogrot xl, what was railway from S40,000 00 receive what ed til is year year another 255,000 00 a good deal ,ssage of tho our revenue urrcnt year. realized, but tho Quebec t of Canada, Dominion consider tho ng tho quos- u ])rovincial present (his some of tho h sides, and the Provin- cial authorities alono had the right to regulate and issue licouses for the sale of intoxicating li([Uors by retail, but that the Dominion Ciovernmcnt bad the right to issue wholesale licenses, and licenses to vessels for the sale of li([Uors. This question was discussed in Ottawa in January last, and although no ])ositive statement was made that tho case would bo submitted to the Privy Council in England, at tho same timo that such would most pi-oliably bo done, was pretty clearly indicated. One ditticulty which occur- red to the Ottawa (rovernment was tluit theditt'erent Provinces had dilterent standards as to what constituted a sale by whole- sale. Some of the l^i-ovim-e-' live gallons and upwards, others three gallons, and sonic a quart and U])wards, and that if the Pro- vinces had the i-ight to issue licenses by retail, there seemed no reason why they should noi issue st'.^amboat licenses to vessels trading wholly' within the Province, and not give such power to the Dominion authority. In view of the case going to the Privy Council, 1 thought that inasmuch as the whole ditticulty as to the license question arose from the Dominion Parliament interfering with Provincial rights, and that, so far, the judgments of Provincial Courts, almost with- out exception, and of the Supreme Court having been in our favor, we should not be obliged to pay out money to defend our rights in Kngland. I i-epresented this view of the ([uestion to Sir John A. Miicdonald. and he agreed that the Dominion would pay all the costs incurred in carrying the license case to l'']ngland, where we will take good care to l>e fully represented. (Cheers.) I must say that [ am disappointed at the non-acquitscenco in the decision of the Supreme Court : at the same time, a decision of the Privy Council, which, I have no doubt, will be in favor of the Provinces, will finally remove all doubts on the subject, and main- tain the Provincial authorities in their determination to preserve their rights granted in the (Confederation Act. In some cases the Dominion conunissionors issued licenses without seeing that the provincial duties were paid, in others, parties sold li([Uor on the strength of Dominion certificates, with- out any license whatever, and the Dominion commissioners did not prosecute for an infringement of their law and it is very ques- 22 tionablo whether oiii" officers have any right to pronocule thoHO acting under Dominion authoi'ity. ThoKo there, and take more stringent means to prosecute those who sell without license in the city. This will be considered bye- and-bye. Crown Lauds Ke venue. $584,200 00 The Honorable Commissioner of Crown Lands has estimated this for next year at some ^1G,000 loss than last year. I feel sure that his estimate will be fully niaintained and probably exceeded. lie probably preferred that his estimate of revenue should be ex- JHOCUtO thOHO iv (»!' Inland Act until the that if the st Provinciul nccs against to take out le, weriouHly 878," better '• much with 1 loss to us. I will result and the cost perity of the le of intoxi- onuo will be s final, I had e number of !ing certain lake our law under consi- sion 01' not ; proposed in L the license secnte those sidcred bye- 84,200 00 18 estimated I feel sure y exceeded. iould be ex- I M 23 eoodcd by the actual ieceii)th than that his receipts should not come up to his estimate. We next come to ihe Adminisd-alion of Justice :-— Law Stamps $175,000 00 Ilt^gistration Stumps IfJ.OOO 0(> Law fees oxchisi vb of Stamps 6,500 (K) ' Buildinaynient; in fact, it has been paid already; that we are poor and cannot pay; that our money was spent in public works of general utility and we have besides been taxing ourselves sub- .se(jueiitly in aid of railway extension which the public acknow- ledged as important by conti-ibuting towards the same railways." These and many other excuses have been made and ai-e made daily tui- non-payment and I see no other way, as I have said, than to enJbrce collection by ^hw. There are many cases whore to exact the full amount due would be too onerous for the munici- palities, but in most cases there is a seeming determination not to pay even what could be easily paid, and mild measures having failed, recourse must be had to law proceedings to insure collection of amount due. Wliile speaking of the unwillingness of municipalities to pay what is justly due the Government, or i-ather due the Province, I may in this connection refer to amounts due the Building and Jury Fund — due for the keep of lunatics, for keep of prisoners in jail and other debts, and it is wonderful to see the unanimity of oui' people generally to avoid payment of those comparatively small amounts for each Municipality, but in the aggregate amounting to a large sum for the Province. Hereafter leniency in collecting those will cease to be a virtue, and other and more stringent and efficacious means must and will be ado])led to force defaulting or neglecting municipalities to contribute towards the PAY. sl confess I am tlii> year, rnjt- by my dopai't- rso open to the law to collect i said " we did unt borrowed ; Wo did not get ex])ectcd. The a the loan than tor shovdd not r ; that we are n public works ourselves sub- )ublic acknow- imo railways." and are made lavo said, than ascs where to 3r the munici- u-mination not jasures having sure collection 3alities to pay le Province, I Building and )f prisoners in unanimity of omparatively lie aggregate if'tor leniency her and more opted to force e towards the 2S Provincial Revenue, especially when the debts contracted were for moneys they had and spent, (Cheers). The amounts contributed by ^[unicipalities towards the support of Public Institution-- in this Pi'ovince is a mere bagatelle as com- pared with other countries, and the sooner our people begin to feel their responsibility in this regard the better for them and the better for the countrj-. While on an unpleasant subject, I had almost foi-gotten one branch of it, that is the loan made by the Legislature in 1872 to certain munici])alities in the counties of Chicoutimi and Charlevoix for the purpose of ])urchasing seed grain, some ^20,000. Almost notbing nas been ])aiee how they bund needing time to time. Wo paid on this account last year $964,102. 5(1, and appropria- tions foi' iho service foi- the current year amount to $0!>1,787.43, and the vote asked now for the next tiscul year is $085,817.65. This includes sinking fund to redeem such part of the French loan as may be determined by lot, and sinking fund for that part of the loan of 1874 not provided for by statute. This amount is one that must be met at all hazards to keep our credit "-ood abroad, and can be reduced oidy as last as our debentui-es are paid. LEGISLATION. This includes both houses of the Legislature, expenses (con- nected with the library, election expenses, printing and binding the laws, law clerk, &c. These services cost for last year $210,804.78, and the appropriations for this year, including sup- plementary estimates, amount to $109,811.17, and the estimate asked from the House for next year for the same services is $105,475.00, made up as follows: — Legislative Council, compris- ing speaker's salary, indemnity to members and mileage, salaries and contingent expenses, including i)rinting. binding, i^c, $30,C.'{0,00; Legislative Assembly, comprising speaker's salaiy, indemnity to members and mileage, salaries and contingent expenses, printing and binding, and $12,000.00 for the codifica- tion of the laws— $112,295.00; library grant and salaries, $0,600.00; ex])enses of elections. $3,000.00; clerk of the Crown in Chancery, $800.00, printing, binding, and distributing the laws, $5,500.00; law clerk salaries and contingencies of othce $3,650.00, and d 'abates of the Legislature, $3.000.00— making in all for these services, as 1 have said, $105,475. Next comes CIVIL GOVEIINMENT. The amount expended last 3'ear on this service, including $00,024.23 for contingencies, was $202,820,80. The apju-opria" tions for the current yeai- $191,750,00 and asked for next year $188,200. The small pamphlet in tiie hands of honorable members gives the detail of the various departments of the Civil 28 Service. The salaries are the same as last year, with the ex- ception of the Treainry Department, $750. 00 less than last year. Cro\\Ti Lands Department an increase of $200.00 to an officer who iuis had given him the superintendence of game in the Province, Public Instruction Department an additional clei'k in the l^nglish liranch and one extra messenger, at a cost of SI, 100. 00. Thus the increase of salaries proposed exceeds the past and present year by 8550.00 only. This will, I hope, be satisfactory to the House, but I may be allowed to remark here that there are a few of the employes who are not paid enough for their services, and so soon as our tinancial posi- tion is in better shape, as [ hope it will be soon, if I .ve any- thing to do with the (rovernment 1 shall certainly recommend to the Hou^o an increase to some of the civil servants. I am not aware upon what principle the Civil Service Commission pro- ceeded, but I am unable to agree with them in some of the reduc- tions recommended. As I have said befoi-e on this subject, my plan would be to employ the best talent that can be procured, pay well for services rendered, see that the work is kept up and well done and dispense with the services of inefficient clerks. (xYpplause). The next item is ADMINISTRATION OP JUSTICE. The expomliture upon this branch of the Civil Service last year amounted to $385, 985.0!), the appropriations for this year to S356.()i6.-l:S, and tbo estimated expenditure for next year to $35U,t!4G.-48. In the pamphlet shewing details of certain services tor next tinancial year 1 have adopted a new system from that which form- erly obtained by giving a detailed list of the sheritt's' salaries in the old districts, of prothonotai-ies and clerks of Ciicuit Courts, and clerks of the Crown and Peace, coroners, district magistrates, with estimates of the contingent expenses, criminal prosecutions, tSic, for the year. This will show the members of the House, in as complete a form as possible, what the ajipropriation is re(|uired for. 1 shall not repeat what 1 have so often stated as to the rv*J^ 29 yeai-, with the cx- .00 less than last of S200.00 to an itendenco of game nent an additional tra messenger, at sahiries proposed only. This will, 1 lay be allowed to oyes who are not our tinancial posi- m, if r A'e any- inly recommend to rvants. 1 am not ) Commission pro- 1 some of the i-educ- Q this suhject, my : can be procured, )rk is kept up and ' inefficient clerks. dl Service last year 3 for this year to for next yeai* to I services for next n that which ibrm- sheritt's' salaries in Circuit Courts, and strict magistrates, ninal prosecutions, s of the House, in priation is ro(|uirod 1 stated as to the obligation of the Dominion Government to assume the cost of the administration of criminal justice. This matter was again bi-ought before the Government in Ottawa in January last, and it was ])romi8ed attention, particu- larly with reference to amending the law so as to provide for a further extension of the speedy trial system before police and district magistrates, by taking away the i-ight of the accused to ask foi- a Jury trial for minor ott'ences. tiiereby assuring more speedy conviction of offenders or their release, if innocent, as the case might be, and saving a large cost to the Province, not only in trials foi- offences, but in keeping of prisoners in Jail avs^aiting their trial. I am afraid, Mr. Speaker, that in man}^ cases officers of our courts tiy to induce prisoners for ]>etty offences to ask foi- a Jury trial instead of a trial befoi-e a police or district magistrate, so that it may be necessary to summon grand and petty Jurors, in order that they may obtain fees in summoning the Jm-ors and witnesses, entailing lai-go expense's (>n the Crown, in ])aynient of crown officers, Jurors, constables and witnesses. The relieving of a few of such officials from liirtlier sei'\ices under the C/'rown would produce a good effect. I POLICE. I In the pamphl'M alluded to the details of cost of the police are given. There was spent last }'ear on this service $l-f,523.83, and a)t])ropriated foi' the ])iesent year 814,090.00, and required lor next year !?l-4,0!)0. There is but little variation in this service from time to time. THE REFORMATORY PRISONS FOR BOYS, Montreal, Leivis and Shcrhronkc. There Avas spent on thes(> reformatories last year $54,500, and voted for this year 855,000, and asked for next year's operations S5f),000. 1 am not at all s:itisfied with the oj)eration of these institutions. There are too many young boys sent there Ibr trilling olfences ; they derive little, if any, good from Iheii- detention; when liber- ated, not knowing anything ab(mt farming pursuits, they go to the cities for employment and fall again into vice and finally in 30 many instaneos graduate in the ponitontiarios. They ought Id 1)0 broug-lit up far more to agi'icultural pursuits than tliey now are, not so many kept together as thei-e are in the city insti- tutions, and wlion liberated, the hoj-s would seolc work in the countiy pai'ts. and be far less likely to fall again into crime. (Cheers.) Again, the price paid for the keep of the boys is by far too high and when another contract is made, I hope this will be looked after. Then comes INSPECTION OP PUBLIC OFFICES. Upon this service there was spent last year 80,539.50, and granted hy the House for the current year $7,000.00, and requii-ed for next year 87,000.00. The details of this service ai-e also given in the statement referj-ed to and need no ex2)lanation. Justice, un- der the various heads given, amounts in the whole to S4'32,7;}0.48 a> against paid out for the same services last year |4:G4,548.51. PUBLIC INSTRUCTION. The amount spent for superior education last 3'oar, including high schools, Quel)ee, and Monti-eal, and compensation to fioman (Jatholic institutions for high school grants, was $78,410 ; the same granted for last year, and, asked for this year. COMMON SCHOOLS. The sums asked for are : Commou Scbools $100,000 00 Sc]io« lis in jioor municipalities 6,000 00 Normal Scliools 42,000 00 Inspection of Schools 29 ()75 00 Superuunuated Teachers 8,000 00 Bouks for I'rizes , 4 500 00 Schools f( u' the l^eaf and Dumb 12,200 00 Sclutol for Deaf and Dumb, Mile End 1,000 00 Council of Public Instruction I.750 00 Jovnifil of Pnhlir rmlrndion, French and English 1)00 00 Rimouski Colle^-c, towards n^-bnilding, last payment. 2,000 00 St. Ther^so CoUey,!^ 000 00 So'urs des SS. Noms de Jt'sus et Marie, at St. Bartlie- lei"' 150 00 St. Roch de L' Achigan Convent 150 00 Tliese amount to in all $348,735.00 They ought Id han tliey now the city insti- k work in the in into crime. B boys is by far )pe this will be 80,539.50, and 0, and requii'cd ) are also given n. Justice, an to ^4:32,7;}(>.48, |4a4,548.51. 'eai', including tion to Koman Si 8,410 ; the $100,000 00 6,000 00 . 42,000 00 . 29,075 00 . 8,000 00 4,500 00 12,200 00 . 1,000 00 1.750 00 000 00 2,000 00 2,000 00 150 00 150 00 .$348,735.00 31 Thei'c was paid out for almost similar services last year, with a few exceptions. 8351,315.00. and voted for the present year year $340,885.00. 1 have not, as regards the grant tor superior education or common schools, made an}' deduction for the Poly- technic school, or for the deaf mutes and blind, choosing rather to let the House deal with these exceptions, but I may remark that a good deal of complaint was made about taking so large a percentage off common school grants, as being more than a just proportion, taking into account the numbers of chil- dren attending (uir common schools, as compared with those un- foi'tunate blind and tleaf mutes. At all events, if any amount is taken oif, we must try and have it moi-e eleai-ly e.Kpressed as to what is really meant, than was done last year. The next item to come to is LITERARY ANB SCIE.VTIPir rNSTITUTION'S. For copyinc; and i)ublishing Canadian Arcliivo^s S5,000 00 School ofNavi<.'ation ■ 500 00 And to secure a supply of vaccines 500 00 Making in all $0,000 00 There was paid for similar objects on a much larger scale, however, last year, 818,300,30. It was found necessary to ex- clude from the list of gi-ants last year many institutions, literary and sciontiric, which formerly received aid from the public trea- sury, and 1 did not see my way clear to i-oplaco them at this time, although there wore amongst them several I would gladly have aided, had il been possible consistently with the means at our disposal. As to the supply of vaccine, T have thought it best to place the grant in the hands of the City of Montreal Board of Health, and 1 am sure that body will see to the expend ituro of the money so as to give t!ic largest possible bonetit to the whole Province. It is important that a supply of gooil healthy vaccine should bo kej)t, so that in case of need it can be procured by any medical man at cost price, to prevent the spread of small pox. m ARTS AND MANUFACTURES, Tho grant pi-oponed for next year is Uirgev than last year's, as the Hoard had some money on hand before, which will be wholly spent this year. This school 1 consider of great importance, especially to our young mechanics, by giving them instruction in drawing, making plans of machinery, buildings, <&c., during the winter evenings, which ihoy could not otherwise obta,in. It is doing a good work, and deserves the support of private indivi- duals and the public to a larger extent than many are aware of. Tho amount spent last year was 68,000, and that for this year ^tJ,000, and, as i have said, asked for next year !?D,000, (Applause.) AGRICULTURE, IMMIGRATION, REI>ATUIATI0N AND COLONIZATION. AyriciUiuri : Conncil of Agrioiilturo % 8,000 GO Agricultural Societies (by statute) 50,000 00 Journal of Agriculture, French and English 3,000 00 o Agricultural Srhools, French and English, $S00 each. 2,400 00 Vek^rinary Schools, French and Englisli , . . : 2,300 00 Aid to Gazette des ('anqjagnes 500 ftO Butter and Cheese Factories, salaries, &c 2,000 00 Dairy Association (if the Province of Queliec 1,000 00 Miscellaneous Agricultural subscriptions to publica- tions 400 00 Encouragement to culture of Fruit Trees and Vines . . . 500 00 Farnhani Beet Sugar l-'actory (by statute) 7,000 00 Horticultural and I'ouiological Society, .Montreal 1,000 00 rerniancnt Committee of Exhibition, Montreal, 4th in- stalment of #3,300, and interest at 5 p. c. upon $0,600. 3,630 00 Immigration and Repatriation 10,000 00 Colonization : Colonization Roads 70,000 00 Societies 5,000 00 Bridge over the Richelieu River, between LacoUo and St, Thomas, 3r(l i)ay ment 2,000 00 Bridge over the Ottawa River, bet'.veen Calumet Island and Bryson, 2d payment 2,000 00 Bridge over Chaudiere River, between St. Nicholas and St. Romuald, 2nd payment 2,000 00 Total for Agriculttire, Immigration, Repatriation and Colonizatiou $167,730.00 , as >lly ICO, in the t is ivi- of. 3a I- c.) L The amount paid last year \va,s, on Agriculture, $85,941.75 • on Immigration and Repatriation, §17,000, on (,'olonization. $82,- 246.35. The appi-opriations laet year were, on Agriculture, 87.3 '- 895 ; on Immigration and Repatriation, $10,000, and on Coloni- zation $82,000, as against lor these united services for next year $167,730. Last year there was no grant for the Council of Agi-iculture as they had a balance on hand now expended, and the usual amount has been placed on the estimates for next yeai-. The other items for Agriculture are the sam(.' as last year. ' The item for Immigration and Repatriation the same amount asked for as last year, which, in my opinion, is by far too small, if we would advance in population equally with our sister Provinces. PUBLIC WORKS AND BUILDINQS. Rents, insurances and repairs of public buildings generally, $59,184. This is largoi- than last year, but we have to provide for insurance this year, which will cost some $5,000, and other repairs are needed to public buildings, of which 1 can give de- tails when we go into committee. Inspection of Buildinu^a $ 1,500 00 New Parliament Buildings, construction . . 85,000 00 New Court House, Quebec 90.000 00 Repairs Court Houses and Gaols 15,000 00 Rents Court Houses and Gaols 1,205 00 Insurance of Court Houses and Gaols 6,000 00 Making total for Public^Works and Buildings $257,889 UO ' As against spent last year 254,075 13 And as appropriated for tlio current j'oar 296,057 53 Now we come to CHARITIES. Under this head come our Lunatic Asylums at Beauport, St. .lean do Dieu and St. Ferdinand dllalifax, $230,000. This amount is ai-rived at by taking the number of inmates in the three institutions mentioned. Under the new system proposed in the Bill before the House, it is hoped that pai'ties who are not 3 5 ;■ 34 proper subjects for admiHsioii will be kept out, and a better classi- fication adopted which, with additional modicial attendance, may assist in the recovery of many of those nnfbrtunates to their former state of health and reason. Then Mist'ollaneous Charities, which need no special mention, amountini;- to 6i>T,T7r!, and art; merely a repetition of the lists of tbrmer years. Then lieformatorj' schools, $0,240.00, and Industrial schools, $19,.",08.0o. The latter institutions, as I have already remarked, are becom- ing a lieavy burden on the State, and means should bo taken to remed}' the gross abuses which exist in the way of committing to these institutions delinquents of tender years who ought to be under ])areutal control and not consigned to the care of others. I am in ho])es legislation will l.»e had m this dii-ection at the pre- sent session. The amount paid last year on charities was 0295,- 412; the amount of the appropriations for the current year ^298,9 12, and asked for next year $29(),324. Then come Miscellaneous Services as follows : — Miscellaneous general $20,000 00 En<:inccr, for miuing purposes, comprising explora- ti< m iind inspect ion of uiimjs 4,500 00 Agent in France — salary and allowance for oHice . . . 'J,500 00 Pension Fund (by statute) 15,000 00 Municipalities Fund— C S. L. C, cap. 110, sec. 7. . .. 3,Ono 00 Registration Service througli Crown Lands 1(),000 00 Surveys Crown Lands 30,000 00 ^ General Expenditure Crown Lands GO.IjOS 00 Crown Lands suspense account 15,000 00 QuBl)ec Oilicial Gazette 13,000 00 Stamps, Licenses, including allowance Inspection.. 12,000 00 Seed Grain Loan, under 30 Vic, cap. 3. — Balance of Capital , $18,720 00 Interest at ti per cent. May, 1884, to Juno, 30tli, 1885 1,310 40 20,030 40 [Making for Miscellaneous Services $217,032 40 Tho«e several amounts arc mosti v the same a« last year's appro- priations an< I cost last jear, although not precisely ,he sHmo Items, 1276,701.55. ^ ^ ^^ RAILWAYS. * Q. M. O. & 0. Conetrnctiou-settlemont of nntstandine accounts, of wl.ich 817.028 are a revote ,^25 000 00 . Balance duo on Ian, Is an.l property, of which ^:]7 074 ' are a revote ' Q. M. O. 6c 0. trallic oxp;;^;^";.;^' 'ntst^ndin: '''''' '" <^a.ms, of which Sr,,014 are a revote jg on no Subs.dies to Railway (Vunpanies 2.5O,W0 00 Total for Railways 8340,000 00 Quebec Central Railway Co, guaranteed deposit, .'9 \n-., cap. 3, and 40 Vic, cap. r,, i>avnient of interest on deposit made by Co S135,2i)3 34 Less on account of interest 4'909 50 • 130,383 84 The whole of the appropriations for the next fiscal year amounts to q ^a- 09 Of which is to be paid out of proceeds"of ^,5-lo,929 37 loans and to be deducted : ?f'T ■;■;••••• 8340,000 00 tTUaranteed deposit repayment 130 383 84 Parliament Building ^5,000 00 555,383 84 Leaving to be provided , *'>990 545l3 . The total estimated.'revenue for next year is placed at^'],'o42,'722 20 Leaving a difference of 7~7Z~Z: oJ,17(> 0/ Mr Sj)eaker, those estimates were ma^lo up without any rofer- Tri.eUM"Tf''r; ^'"'' '''' '' '' '''''^'^ «-^ expenditure. Theie will, I trust, bo as much collected as I expect, Ld at the same l^ime there is no doubt there will be certain expenditures called for, at present unknown, which will have to be met One Uiingl may safely si.y, that th. propose.! expenditure to be voted V. .11, I think, be suflficent for the public service. (Cheers) Tbe same necessity exists for 36 ECONOMY AND RETRENCnMENT Lo-(hiy as lias existed for yeai's past. At the same time there is no ol" ('aiiada, wbii'h in other words is obliging the Provinces of (Quebec and Ontario to pay whatever may be thus added. The first item is what is (julled '• The Upper Canada Improvenieut Fuml." When the question came before the arbitrators apjiointed under the 15. N. A. Act of 1867 to settle the accounts between the two provinces and the Dominion, 1 presented a slatement of the ilcbt of the late Province of Canada which was adopted by the Privy Council at Ottawa. This statement showed the debt to be less than claimed by Ontario by the amount of the said Upper Canada Improvement Fund alluded to, Ontai-io claiming that she was entitled to certain funds, the proceeds of certain school and crown lands in Ontario, the amount to be added to the old ])rovincial debt, and these pro- ceeds to be handed over to Ontario for distribution to certain muni- cipalities interested for local ])urposes. 1 called attention to the memorandum which T had laid before arbitrators in January IStO, with the concurrence uel>ec. Nova Scotia am New IJrunsw!' k, in -viiicii the same are situate or arise, subject to any truai ijxibt.ln^ ;u respect thereof, and lo 40 any interest other ihiin that of the Province in the same." It neemed to ine, and 1 urged strongly that the words " subject to any trust existing in respect thereof and tf) any interest other than that of the Province in tlie same," could have no other mean- ing than thai all claims of thii'd parties whether of individuals, corporations or Indians, must be mot and liquidated by the Pro- vince upon whose lands thus given to it any trustor claim existed in flavor of third parties at the time of confederation. In t/ j Indian treaties referred to, it is stated that the annuity guaran- teed to the Indians might be increased to one pound cy. per head provided the value of the lands thus ceded by the Indians to the Government would warrant an increase, or at the pleasure of the (jroveromenl. This shows that a trust was created on these lands and the amount payable from the proceeds of the fian;- might be increased from time to time. The supposition '■ * Lie- tension of the Dominion Government that the value of the lands and the returns from them justified an increase in the amount of the tmnuity per head led to the increase proposed by the Dominion Government, and formed the basis of their calculation whereby the surplus debt of old Canada should be largely increased for Ontario and (Quebec to pay. I should mention here that the treasurer of Ontario did not allow that the annuities to I ho Indians for lands ceded to the Government of ( 'anada were a lien or trust on the lands ceded, and moreover that taking into account the expenditure made in ordei- to o])en u[) those lands for settlement by the late Province of Canada and by Ontario, tJic ditference between exj)enditurc and re^'cijits would not Justify any increase of annuities, and further that the census of the Indian tribes shewed that the Dominion Covernment had no right to claim lor so many Indians uh they had against the land referred to. I am convint ihI that the Dominion has no right to go back upon the settlement of the Indian ajinuily ([ucstion, the amount having been fixed by the tlu'ee (Jovernmenls and included in the estab- lished amount of the surplus debt o^' the kite Province of Canada yea I's ago, and further that in any case the Province of (Quebec should not bo obliged to pay any sum whatevei- with renpoct to fl 41 reen of iheti liim ] |)ori |:ib- idii tho increased claim on behalf of the Indians, but that if this in- creased claim is imposed by the Dominion. Ontario should and must pay tho whole. The pretensions of Ontario that, although the whole of the proceeds of tho sale of the lands mentioned in said Indian treaties and the lumber dues thereon, which are large, go to the protit of Ontario, Quebec is still responsible for her share of the amount of debt to be added to Canada, cannot be listened to for a moment and must not bo con- ceded; it amounts in other words to this, that while Quebec made a pi-esent to the Indians of large ([uantities of lands in Lower Canada without compensation of any kind we must now pay for Indian lands bought of the Indians, all the profits arising fi'om which go to Ontario alone. This question is also before the. \ttorney -General for his consideration. Owing to the absence of the Dominion premier, Sir John A. Macdonald, the further con- sideration of the question was deferred till another opportunity. We discussed also the mode of keeping the accounts, and dis- puted quite a number of items, some of which were allowed, others postponed, and on the whole we made considerable progress towards a settlement. The c(>m])()und interest charged us on any balances which might h.'ive been against us Avas to l)e taken off. The charge for keeping insane convicts from the penit;o7it,iaries will be taken otf, and it is only fail- to say that the minister of finance. Sir Leonard Tilley, showed every disposition to do us justice, and took memorantlums of our objections foi- further con- sideration. One (|uestion amongst others which came up foi- dis- discussion was the position of the Montreal Turn])ike Trust, put down in the B. N. A. Act, iSCt, as an asset, and awarded (»>iicbcc by the arbitrators. The Dominion governmeni have been charg- inir us with interest on certtiin debentures of that trust in their hanils whiidi the trustees have failed to pay fi'om year to yeai'. I am inclined to think that these debentures belong to tho Province and not to the Dominion, and this (piestion is now under considera- tion at Ottawa. 1 have, I feai'. wearied you, Mr. Speaker, and the House by my explanations upon the settlement of the accounts between the Domi lion and Ontario and Quebec, but the questions alluded to are so important for oui* Province that I thought it only 42 [ ■ ■ right to communicate uU I know about them ho us to aid whoever miiy have to meet, them again, as they will have to be met, in order that our interests may be protected and we obtain Justice and a settlement. Arrangements were made for another meeting in Ottawa to lurthor consider the settlement of the accounts pend- ing, in the early part of January, but the ti-easurer of Ontario not being able to attend, the meeting was jjostponed till some future time. Our principal object was to establish a fair basis for settle- ment with the J-)ominion. As to most of the items chai-ged against us in their aceount, there can be little difficulty in deciding, in fact many are already settled, and we could see no reason for bringing i ) the account the proportion of the surplus debt of Canada agu ' "he «vo Provinces when it had been wiped .out in 1873. -i-- ■ 'he open accounts between Ontario and Quebec, there will;, 1 think, be little dilficulty in arranging these. The most important questions now between the Dominion and the Provinces and between Ontario and us, are those I have alluded to, of increasing the ilebt of old Canada both by Ontario and by the Dominion, which if carried out will seriously affect our finan- cial position, and every effort should be made to prevent such additions being made either by the Ontario or Dominion govern- ments, as I am convinced Quebec has just grounds in resisting to the utmost the pretensions of both governments. (Hear Hear). I have within a few days received from Judge Cassault the factum of (Quebec presented by our solicitors before the arbiti'ators and certain memoranda which I have not yet had time to consult, and which 1 have no doubt will jjrove very useful to whoever has further negotiations on these questions. THE RAILWAY SUBSIDY. In the month of .February the Hon. Premier and I were at Ottawa on public business and took occasion to ui'ge the claim of (Quebec to the payment of St>,<*^^' '^ "lils of subsidy to which this Province is entitled foi- that part of the i},. M. 0. & O. liailway between Quebec and Montreal, withhold last year, and also as to certain reforms m ihe atlministratfon of justice so as to lessen the cost thereof. This we did in order to show that we did not > 43 acquiesce in the present state of things, and in liopes that oui' just claims would bo allowed. Subsequent to our return from Ottawa a memorandum respecting the railway subsidy was sent officially through the Governor-General reiterating oiir demand for the balance of the subsidy withheld from us, and also tbi- an increase of the per capita subsidy upon the last census returns, instead of the census of 1881, and that the amount should be raised from eighty cents to one dollar per head. With regard to the balance of the railway subsidy, that concerns the Province only, and is justly our due; but wnth respect to the per capita 8ub^idy, that question atTects ?11 the other Provinces as well as Quebec, as what- ever increase may be made in the per capita subsidy to our Pro- vince must equally be made to all the others. The documents have already been submitted to the House and a resolution as to the railway subsidy passed by both Houses of tiie legislature and sent to Ottawa. OUR POSITION AS A PROVINCE. It has been shown that the deficit of last year is considerably less than for quite a number of years past, and our statement of Liabilities and Assets shows a gain of nearly two and a half mil- lions during the past year, consequent on the legislation at Ottawa. I see no good reason to fear for our future as a Province. Wo need and must have, to bring our linancial position into a satis- factory shape, prompt collections of sums due to the Provioce, still further retrenchment in our expeiiditure and strict economy in every branch of the public service. The expenses of Legis- lation might be considerably diminished without any decrease of efficiency ; the printing ex})enses are by for too large ; masses of returns are printed which we never read ; there are too many employees about tiie Houses, and it does seem to me that there is room for reform in our Legislation ex])ei\ses. The expenses of the Civil service have been diminished considerably. The cost of the Administrati )n of .Tustice is by far too large. Some years ago when the office ( f Solicitor-tieneral was abolished, I took occa- sion to deprecat j the doing away with that office. A Solicitor- 44 General who had the su])orvi^iou of onr shoi'irt's, prothonotarios, high constables, bailills and other oiRcers of justice, could, 1 have no doubt, save tliree or four times his salary in scrutinising the accounts sent in and in preventing toi'ins of our C/riminal Courts when not necessary for the proper administration of justico. (Hear Hear). I don't know, Mr. Speaker, but what I am travel- ling out of the record in alluding to such raatteivs, but I thought no great harm could arise from calling attention to some methods of curtailing unnecessary expenses. 1 shall now conclude my remarks with a few general observa- tions, thanking you, sir, and this House, for the patience shown in listening to what must have been tedious in some respects. Let us look at what EDUCATIONAL PROGRESS ll. has been mjidefor some years past in our Province. I take from a speech y Mr. (/urran, member for Montreal Centre, the follow- ing, which I have no doubt is correct. Mi". Curran said with respect to education in Montreal : " My friend, Mr. Edward Murphy, one of the School Commissioners, " who acts jointly with the clergy, because there are both laymen and " olerjfyinou on the Board, sends me this statement : — I send this state- " iiKUit to show the progressive increase in school attondani;e. From 0,405 " in 1H77 it increased to 7,005 in 1S81 ; to 7,31() inlS82 and to 9,932 in 1884. " This is the attendance at the (Commissioners' schools and those assisted " by them. Theni are of course a irreat many othei-s indoi)endent of the " Commissioners, but the report of the Commissioners shows an increase '• in school atiendancc from 0,405 in 1887 to !),9o2 in 1884, or 55 puT cent. " in scnen years, and tliat tlioso schools now under the charge of the " Roman Catholic <'ommissioners ami other schools under independent " management had prospered equally. Tim schools under the Christian " Brothers showeil a similar rate t)f progress." From a memorandum obtained from our department of Public Instruction I find that in the year 1873-74 the Province paid for Educational purposes ^812,802, in 1878-79, ^354,33(5; in 1883-84, $351,51)0, and that in those years there was paid by local taxation in 1873-74, $2,048,9i)l ; in 1878-79, $2,4U5,25U, and in 1883-84, 45 82,432,44*7. In the whole for these yearn, contrihutod by the (xovernmcrit and hy local assessment, in 187H-T4, $L','5i)l,8r)3 ; in 1878-79, 82,819,58':-; and in 1883.84, $2,784,037. The niimbev of schools and school-houses were in 1873-74 : school-houses, 3,482 ; schools, 4,367 ; in 1878-70: school-houses, 3,948; schools, 4,791; in 1883-84: school-houses, 4,974, and schools, .").()80, showing an increase of school-houses in 1878-79. of 1,026, and in 1883-84, of 1,492, and of schools in operation an inci-ease in 1878-79, of 289, and in 1883-84, of 713 ovei- the year 1873-74. As to the number of teachers they were in 1873-74,5,830; in 1878-79, 6,283; in 1883-84, 7,296, showing an increase of teachers in 1878-79, of 1,013, and in 1883-84, of 1,4(]6. The number of pupils attending schools was, in 1873-74, 229,50(5; in 1878-79, 242,383, and in 188.3- 84, 253,079, showing an increase of school attendance in 1878-79, of 10,696, and in 1883-84, of 23.573. Such facts as these are very gratifying indeed and show that our people i-ecognise the neces- sity of obtaining education for theii- children and are disposed to do everything they can to secure it. (Ap)ilause). Another evi- dence that the country is gradually prospering will appear from the deposits in THE SAVINGS BANKS. The record of the City and Distiict Savings Bank, Montreal, shows a steady rate of increase. In 1877 there were 17,203 depositors in that institution, with an aggregate sum on deposit of $3,385,765 ; in 1883, the number of depositors had increased to 29,756, and the amount deposited to $6,212.630 ; in 1884 there were 31,231 dejjositors, representing $6,328,093 of deposits, and on the 28th of February last the figures gave a furthei* increase during two months to 31,906 depositoi-s, with an aggregate amount deposited of $(),396,600. These figures I give from Mr. Curran's speech alluded to, and they show progress beyond (|ues- tion, and what is to be noted also is that t he average deposits are about $200, showing that the poorer part of our population are laying up something for a rainy day if it should come. From a statement kindly furnished me by the manager of the Savings Bank Jranch of the Union Bank in this city the same I : # satisfactory result is shown as to the deposits there. In 1882 there wore 2220 depositoi-s, with deposits to the amount of $(520,891 ; in 1.SS3 there were 2,280 depositors and deposits to the amount of p'M/M]^, and in 1884 there were 2,280 depositors, with deposits amounting to $6G5,018, an average of nearly $300 to eacli depositor. In the Caisee d'Economie de Notre Dame de Quebec we find equal signs of prosperity. From a statement kindly given me I obtain the following. I give only tlie past five years. In 1880 there were 11,15.'5 depositors, with $2,360,241 deposited ; in 1881, 12,053 depositors, and $2,634,495 deposited; in 1882, 12,951 de- positors, and $2,915,434 deposited ; in 1883, 11,938 depositors, and $2,690,575 deposited; in 1884, 12,910 depose rors, and $2,586,t77 of deposits. F now give the amounts deposited in the Post Office Savings Bank : Amount of deposits June 30th, 1884 $13,245,552.64 . " June 30th, 1879 3,105,190.80 Increase in 5 years $10,140,361.84 The amount deposited in all the savings banks of the Dominion Government was : On June 30th, 1884 $29,217,536.84 On June 30th, 1879 9,207,683.20 Increase in5 years $20,009,853.64 Amount of deposits June 30th, 1884 $29,217,536.84 ," " June, 30tb, 1883 26,219,107.55 Increase last fiscal year $2,998,429.29 These figures, which cannot be disputed, show a state of things highly satisfactory, and show that our country is rapidly increa- sing in wealth, and that notwithstanding all the efforts of some to cry down our country, and prophecy hard times and failures in commerce, manufactures and agriculture, the country is pros- pering rapidly, and our people have no reason to fear for our future as a nation. We ai-e ])rospering and will prosper, I believe, beyond our most sanguine expectations. (Applause). I hope, Mr. Speaker, that I have not wearied you and the honorable members of the House with these details. I consider them important, as showing the sound financial condition of our country, and the steady advance making in substantial pi'ospority. There are other savings banks and institutions showing equal prosperity, but I do not wish to weary the House with fiu'ther statistics, and have given those merely as samples for the con- sideration of the honorable members of this House. Then again, another branch of industry particularly affecting our farmers — the export of animals to England. I take from one of our city papei-s of Monday last, a statement copied from the report of the Minister of Agriculture, Ottawa, which shows the importance to Canada of the cattle exports, and which is un- questionably correct. It is said : "The export trade of cattle from Canada, during the year 1884, shows an increase over the pi-evious year, the total number being 61,843 cattle, against 55,()25 in 1883 ; but there is a large decrease in the numbers of sheep exported, viz.: 67,197 against 114,352. " The numbers shipped from each port during 1884, are as fol- lows, viz. : Cattle. Sheep. Montreal 50,705 62,985. Halifax 3,G11 30 Quebec 680 747 Entered at Montreal for Boston and Portland 6,757 3,435 **• ' • • ■" 61,843 67,197 "Which, taken at a fair valuation, represents — 61,843 cattle at $126 ; $7,730,375 67,197 sheep at SIO 671,970 Total. ...^ $8,402,345 Being an increase over last year of S 67,999 "In addition to the above, a considerable number of Canadian cattle and sheep have boon taken to England via. Baltimore, on account oftJie extraordinary low freights from that port, and con- Ih : > ' ' ' ! ■ ^ i; j i i 4$ sequently are classed, on arrival, as American. They are, how- ever, tieatecl as such, and are subjected to the compulsory slaugh- ter clauses of the Contasjjious Diseases (Animal) Act, "The growth ol' the trade since 1877 is thus shown : — Ykaes. Cattle. 1877 6,940 1S78 18,655 1879 25,009 1880 50,905 1881 45,535 1882 35,378 18S3 55,625 1884 61,843 Another very gi-atifying fact is shown in the report of the Minister of Agriculture with respect to the number of our population represented as leaving Canada for the United States, year by year. The statistics of the United States officials are not reliable, and the secretary of the Minister of Agriculture clearly shows their unreliability in the following: " r think it is better to point out the leading fiict which is estab- lished by the figures representing the total movement of passen- gers /rom Canada and to Canada by the whole of the Grand Trunk system in the east and in the west. " The figures are as follow : Sheep. Swine. 9,509 450 41,225 2,078 80,332 5,385 81,843 700 62,404 75,905 114,352 67,197 • • • • • Total outs from Canada to United States 210,941 Less — European passengers 9,010 Total net out 201,931 Total inti to Canada from the United States 206,616 Less — Euroi^iean passengers 1,778 Total not im 204,834 Net gain to Canada of diflerence ins and outs ,.,.. 2,907 ' ' I have no doubt of the perfect truthfulness of these figures, the details of which are appended hereto (marked exhibits A, B, C, 49 D, E, F and G). They were offieiully furnished by Mj-. T. B. Ilawson, the traffic auditor of the Grand Trunk Railway and thoy ai-o alwolutely destructive of the statement that Canathi can have lost the poi)ulation by emigration to the United States which is represented by the rig-ures in the United States table. ] believe, also, th. u they are equally destructive of the theory of any appreciable emigration from Canada during the year named. I mean net emigration— that is, the difference be- tween ins and outs. "If we test the figures at the two points of Sarnia and Detroit by the figures of the Grand Trunk system referred to, wo have the following results : Net outs at Sarnia (Port Huron) 33 657 ^O' Windsor (Detroit) 36 312 ^ot^^ • 74,969 Net ins at Sarnia ;]1 ^n do Windsor 39I338 Total 70749 Difference, showing net loss by Canada at the two ports iiamed 4220 "And this is the real fact, to be set against the claim of the Washington Bureau of 49,1-1:5 emigrants from Canada at Detroit and Port Huron. "I have to state that the methods of obtaining these so-called statistics are of precisely the same character as those described in my previous i-eports. I have, acting under your dii-ections, taken pains to verify this flict. But 1 dovht if it is again worth while to occupy your attention by a re (.o;> ted statement of the same class of details. " It is, however, a fact of sufficient importance to be again pointed out, that the chief of the Unitetl States Bureau of Statis- tics, at Washington, in the annual volume of reports and state- ments officially published, does give pretended details respecting all those so-called immigrants from Caniida, tis to their last place 4 y. enhancing the price of farm produce, cheapening the cost to the farmer of those necessaries he requires from the cities, and promoting and encouraging all kinds of manufactures for the use and comfbi-t of the whole community. Villages are springing up all along our lines of railway, inducing the introduction of various industries hoi-etof(n'e unknown in our Province. The value of real estate is increasing year by year. The value of cattle, liorso!?, sheep, and other animals of improved breeds — the \alue of all kinds of agri- cultural implements of impi'oved kinds is increasing year by year. The log house is givi!,g place to the frame building, well finished, painted and ornamented. The frame buildings are giv- ing place to houses of brick and stone. The old-fashioned log stable and barn superseded by the large convenient mammoth barn, finished off better than houses formerly were, and these changes and improvements are to be seen in all parts of our Pro- vince — noi'th and south, oast and west, and all consequent upon the enterprise and public spirit manifested by the Legislature in fostering and encouraging and aiding in the construction of rail- ways alluded to. (Loud applause). While it is true that our finances have become temporarily embarrassed by such a large outlay, still it is only temporary, and the general public, the whole Province, have u*ained a hun- dred fold to remunerate them for all the outlay made. THE BRITISH ASSOCIATION. The visit of the members of the British Association of Science last summer cannot fail to produce good effects in making Canada known in Europe. The people of Canada, and especially the people of this Province, did honour to our guests from Britain, on the occasion of their late visit, and did honoui- to 52 themselves by their open-handed generous hospitality, mani- fested to Kome of the most distinguished men from the old country. The members of the Association will make known the resources of Canada to the people at home, which will induce many to come oat and make their homos in Canada. Possibly the Western Provinces of the Great West may receive the larger number of their immigrants, but in settling and building the great grain producing part of our country, we in the east will supply them with manufactured goods of every description, and thus derive benefit from the influx of population. (Cheers). The nations of Europe seem in an un- settled state at present, England and France, from whence our principal population came years ago are engaged, the one in the Soudan and the other in China in foreign war, and there are rumours of difficulties between other nations of Em-ope which shew a restlessness and uneasiness that almost foreshadow trouble between them. In this country we have peace and plenty in all our borders, and although there has been a slight depression in business affairs for some time past, still it is only temporary, and the low price of provisions is a great boon to the poorer part of onr population. Wo have no need to envy any other nation either as respecte our political insititutions, our civil and religious liberty, the proper administration of our laws, or the diffusion of education among our people. In this Canada of ours we have a goodly heritage. Let us then each in our respective sphere, either as private citi- zens or legislators, see that we do our part towards advancing our country in material prosperity, in doing all we can to enact wise, judicious laws, in seeing to their proper administration, in spread- ing education amongst om* people to the utmost of our power — thus doing our part in establishing our country in that righteous- ness which oxalteth a nation. The hon. gentleman resumed his seat amid loud and continued applause. i ! ' * L' e e h e h •8 )f tl. ir 31' ti- MV iO, id- 118- Led