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FiRKT IlEi'OKT : On tliu Claims rcpectini; tlie Land Emlowinent of the University 5- Api)*ndix No. I. Extract from the Survt-yor-Gentrars Report, 183'J, on the Original Lat. ! Kecervation for Grammar School* and the l'niver«ity 14 Appendix No. 2. E?ftract from the Letters Patent of 1828 Krariting certain landn to the University .... 15 Appendix No. 3. Extract from the Letters Patent Rranting certain lands to the University as security for its loans to Upper Canada College 16 Appendix No. 4. Statement showing the Deficiencies in the Lands granted to the University as part of its Endowment, and in the Lands granted to the Univerrity as security for its \c ans to Upper Canada College 1(> Seconm) Ri;i'Ort : On the Claim respecting,' the Aimiiivl (irant of £1,000 sterling for Ifi years to the University out of the moneys payable by the Canada Company pursuant to an Imperial Treasury Warrant, dated in 1IS27 IS TjuRn Report: On loans amounting to $100,137, made by the University to Upper Canada College ; and on claims res])ecting certain other paym^^nts of University moneys to Upper Canada College 29 Appendix No. 1. Proceedings of the University Council respecting the recurity to be given for the loans to Upper Canada College 3tt Appendix No. 2. Extract from the Letters Patent granting security to tho University for its loans to Upper Canada College 38 Appendix No. 3. Order in Council appropriating 34,444.42 of the University Income Fund in 1860 to Upper Canada College 39 Fourth Report : On the Claim for Compensation for the use and occupation of the former University Building and Grounds from 1853 4Q. Appendix No. 1. forrespondence respectmg the Crown's taking possesgioil of the University Park and Buildings in 1863, and other matters 4g Appendix No. 2. Extract of an Order in Council dated the 2lBt February, 1856, setting apart for University purposes the portion of the University Park lying west of the Queen Street Avenue Sg. Appendix No. 3. Memorandum of the Attorney-General, and the Order in Council dated the 23rd April, 1856, appropriating the former University Building as a Branch Lunatic Asylum \ 5g Fifth Report : On the Claims of the University respecting certain Bonds or Deben- tures of the Tay Navigai ion Company 5t^ Appendix No. 1. Copy of one of the Bonds or Debentures of the Tay Navigation Company held by the University 52 Appendix No. 2. Extract of the Report of the Minister of Public Works of Canada, 1867, respecting the River Tay Canal g2 Appendix No. 3. Extract of the General Report of the Minister of Public Works of Canada, 1867-1882 respecting the River Tay Canal ; gft Appendix No. 4. Extract of the Report of the Minister of Railways and Canals for 1882, respecting the re-construction of the Tay Canal ; gj »' . , . ., .■ ■ i vf;' ,-» riRST REPORT : ON THE CLAIMS RliSl'KCTlNC. THE LAND LNDOWMLNT Ol THI; UNIVIiKSITY. To the Sinate of the University of Toronto : The Special Ootnaiibtee of tho Seriate appoiatod to invostigHlH the logai and equitable claims of the University in rcHpect of its Endowment and Assets, ai Hpocitiod in the Resolution of the 1 1th January, 1895, present the following as a Separate R port upon the claims of the University respecting the original appropriition for its Fjiind Kndowmont : Endowmknt op a Univkksity Rkcommbnuku in 1706. 1. The first reference to an Endowment for a University in the Provincp of Upper Canada appeared in a Despatch from Lit^uienant-Governor Siiiicoe to the Colonial Secre- tary, dated the 20ch July, 179G, in which he states that ''appropriations [ot Grown Lands] may be made agreeable to the opinion of the Executive Oouncil to be sold here- after for public purposes — the first and chief of which I b^g to offer with all respect must be the erection and endowment of a University, from which more thin any other 83arce, or circumstance whatever, an at)lachment to His Majesty, morality and religion will be fostered and take root throughout the whole Province." Legislative Address for a Land Endowment, 1797. . 2. During the session of the Legislature of Upper Canada held the following year (1797), a joint address from both Houses was presented to His Majesty pra/ing that a. certain portion of the waste lands of the Crown should be appropriated to form a fund *' for the establishment of a respectabb Grammar School in each District ; and also of a College or University where the youth of the country might be enabled to perfect them- selves in the different branches of liberal knowledge." Imperial Crown's Assent to Such an Endowment, ' * 3. In a Despatch dated the 4th November, 1797, the Colonial Secretary communi- cated to Mr. President Russell the Crohn's compliance with the address of the Legislature, and directed him to consult the Executive Council, Judges and Law Officers, and to report in what manner, and to what extent, a portion of the Crown Lands might be appropriated for the establishment of Free Grammar Schools, and a University ; which Despatch wa» communicated to the Legislature on the 18th June, 1798. \ liOC.vr. (ioVKRNMlNT It K(!ccni))«r, 1798, the Kx«cutivo Council reported their unnnlnioua opinion that His I\I jjimty'H intention rcHpecting frno (JramtnRf ScIiooIm and a UnivorHity for Upper CHniuIn, could only !)<• eH'-ctUrtted l»y '' it liberal proviwon for their estahllBh* nient and maintenance." Tlu-y therefore recoinniended " tliiit an appropriation of .'>00,000 acres, or ten townHliipu ot the waato landH of the Crown, after deducting the Crown and Clergy sevenths, should 1»h sol, apart to forui u HUtliu'ient fund for the establishment and maintenance of four Cramniar Schools, and a University m the Province of Upper Can- ada." And they further rcconiuiendrd that if the proposed appropriation should be found to be insiillicient for the purpoHOK indicated, "a similar selection should be made from the Crown ReserveH." (.S.;« A/i/i'Hitlu: to tlif Journal of Jfoiia-i of AKifinl'li/, IS-U, j>p. 106-8.) Ohown's Appropriation of .T4'J,217 Aciikh fob Hkjiiku Education i.v 1798. 5. From various Parliamentary and other records, your Committee find that in 1798, pursuant to the above Report, the Executive Government on behalf of the Crown set apart twelve townships, then estimited to contain about 549,217 ajren, for the Educa- tional purposes above speciticcl. Subsequent surveys showed that these townships con- tained only 467,G75 acres; from which the surveyor's percentages, amounting to 19,982 acres, had to be deducted. It was also found that 170,719 acres had, apparently through inadvertence, been alienated by Crown grants to various individuals, leaving available, of the original reservation of 1798, only 277,674 acres. To make good these deticiencies, the Surveyor-General, on the 19th November, 1827, reported that certain lands in other townships could be made available for that purpose ; and an Order in Council, dated 22nd November, 1827, was passed, adopting the recommendations of his report to the Crown Lands Departmeat, and setting apart sufficient Crown Lands in other Townships, so as to bring up the Endowment for Higher education to the original reservation of 549,217 acres. The effect of this subsequent action of the Government was to make the reserva- tion 550,274 acres, a small increase of 1,057 acres. {Ste Appendix to the Journal, 183.2-3, pp. 105-6, and Appendix No. 1 to this Report.) Legislative Disappboval of Deficiencies in the Original Appropriat">n. 6. These deficiencies were unfavorably commented upon in the report of the Legis- lative Committee on Education in 1833, as follows : " It may b9 proper to st&te that your Committee do not recognize any deduction for deficiencies in the actual admeasure- ment of the Townships originally appropriated, or the alleged percentage for survey, or for the endowment of Upper Canada College, since they are persuaded that a respectful representation to His Majesty (if it cannot be at once done by the Piovincial Government), ■will restore th<3 grant to what was at first intendel without any diminution whatever. In order to set the matter at rest, it is respectfully recommended that an humble address be presented to His Majesty, praying that he would be pleased to direct that the appro- priation be made up to its original amount, with no other deduction than that for the ,:. Univeiaity ; an 1 that all bid Io'.h h} cxchaagcd eithor for Grown H^nurvui, not already ■old, or for Htich other Orowa LtiuU a^ are go»l nnd uv\iilable." (>SV« Ap)>fitdij\ 28.3.,' S, p. 09.) OOVKIIXMKNT r.lLICY 8UII8K7IKST 10 ISIO UK.Sl'KC I'l Xl'.i tli>' Kxeeutivo rnoordrt furuinh intii- catioDK that it 'vas occiaionally tliu p)licy of th • Iiupjriul und Lical (J'jvrjrniucntH to con- sider the Land Keservatioii of 179H, as upiiropriated to the eniiiblishrnent and endowraimt of the UiiiverHity. Diirinj,' thrtt year the Lieutenant (Jovernor brought the matter before the Executive Council timl rei|iiOHted thorn to consider " u plan for establishinsj an Uni- verBiiy in the Province." After u leview of the proceedings previously tiiken under the Colonial Hccretury'H Hespitchof the 4th Noveuib;r, 17!»7, and the recoinmendjitioa« nude in the rei)ort of the Coiuniittec of Ojiincil, dated the Ut Oeceinber, 17'J8, advisinfj the reaervfttion of r)00,000 acreH of the frown Lands for liramiuar ScIiooIh, and a University, the Executive Oouncil, in a report dated the 7th January, IH19, recornnionded that the formal t-anction of the Imperial Government should be obtained, aulhorizinj; the local Oovernment to kcH or lease " the said 500,000 acres of lar.d for the purpose of establish- ing a University in this Province." And they further advised that provision for Griinimar Schools was not then required out of the original Reservation, as sulHcient provision for their estublishment and maintenance had been made by the Legislature. {Sm Apjjemlix io the Jjurnalu, lS.il, p. lO'.i.) Lk(jislative Pkovision kok Orammau ScnooL.s, IS 1807. The Legislative provision referred to was a grant of )?400 per annum, out of the Pro- vincial llevenuts, towards the payment of the salary of the Master of each Grammar School, made by the Act of 1807, 47 Geo. IIL, chapter 4, and Amending Acts. Further Land Endowment for Grammar Schools in 1823. 8. Apparently in consequence of this advice nothing was done by the local Govern- ment to carry out so much of the original intention of the Crown, as related to the endow- ment of Grammar Schools out of the Land Reservation of 1798, until the Lieutenant Crovernor, in a Despatch to the Colonial Secretary, dated the 13th May, 1823, recom- mended that " much good might bo effected by the organization of a general system of Education ; an object to which might be applied the ])roceed3 of the sale of some portions of the land set apart under the title of ' School Reserves ' ; still, however, reserving a certain portion for the future endowment of a University." {Ibid., p. 108.) Imperial Approval OK Srjcu Endowment. This recommendation was approved by the Imperial Government in a Despatch from the Colonial Secretary to the Lieutenant Governor, dated the 12th October, 1823, in which he said : " I am happy to have it in my power to convey to you His Majesty's consent that you appropriate a portion of the Reserves, set apart for the ostablidhment of a University, for the support of schools on the national plan of education." {Ibid,, p 106.) 8 , Ai'PROPRiATioN OK ll}0,r)7."i AcRKB FOR GuAMMAU Schools. ' 9. Thereupon the Executive (.iovernment, in 1S!23, seleotfd and set apart 190,573 acres as an eiidowiiient for the escablishment and maintenance of District Grammar Schools. The management and silc of thesu Unds, and the distribution of the proceeds among the Grammar Schools, were <;ivon to a General or Provincial Board of Education, appointed by the Lieuteiiant-Govurn -. Uncertain Policy OF THE Local GovERN.MKNT. 10. FrotQ some of the Parliamentary Records available to your Cjdi mi ;tee, it iippears doubtful whether this appropriation of 190,573 acres was always considered by the Executive Government as part of the original L^nd Reservation of 549,217 acres, set apart in 1798, for " the establishment and maintenance of tour Grammar Schools, and a University." There are other Documents which also make it doubtful whether the later appropriation of G3,99G acres (originally estimated ag (JG^OOO acrc&) for thr establishment and maintenance of Upper Canada College, were taken from the original Rfiservation of 1798. BaIuANCe of Original Land Reservation intended lou the Univehsitv. d r m But all of them make it clear beyond question that the balance of tha original Riser- vation wat' intended for the endowment of the University. A Government return pre senti d to ihe House of Assembly .. 1833, after the Grammar School appropriation of 1823 and the Upper Canada ('' '\-o- Endowment of 1831 2, showing the appropriation oi these lardf?, will be found in the Appendix to the Journals of 1832-3, page 72. Another and !?.,??• Return will be found in the Appendix KK of 1811. Au extract from tho Retu'-v r seoted to the Parliament of Upper Canada in 1833 is appended to this Pk^poi ; '.^ 4.V'neudix No. 1. ... .J In li''. I^ii Lanl Reservatxcn of 179S Suitlemented. This Return shows the later action of the Government in 1827 under the Royal Instructions of 1797, and is in accordance with the Le£;islative recommendatim respecting defisiencies in the Land Reservation. It brought up the quantity of land set apart for the Educational purposes then indicated, to 550,274 acres instead of 549,217 acres, origin- ally reserved. • • . ' Reasonable Prssumption RESPacTiNG the Government Policy. ? " It' Assuming, however, that the land endo vments of the Grammar Schools (190,573^ acres) and of Upper Canada College (63,966 acres) should be considered as properly appropriated out of the original, and supplemented, reservation of 550,274 acres, the quantity which then remained for the establishment and endowmant of the Uaiversity, and to which your Committee consider it then becime justly entitled, pur^uaat to the action of the Crown in 1798, consisted of 295,735 acres. Othkr Land ArrRoraiATiONS kou Kdlcatuin. 11. Your Committee think it proper to refer here to other appropriiitions of the Crown Lands for the support of Education in this Province. By an. Ord.;r in Council, dated Q.iebec, 25th August, 1781), 3,598 aoren wore s»'t;ipart for schojls ; but they formed no part o! the subsequent n>servation of 1798. (Scy. A/ipoidix, IS-io, Vol. H, No Ho.) By the Act 2 Vic, c. 10 (1839), the Lieutenant-Governor in Council was aulhoriz^d to aet apirt 250,000 acres fcr the support of Grammar Schools — thus making;, with the form'^r appropriation of 190,.")73 acres, their endowamit 440,573 acre.s. An! by khe Aot 12 Vic, c. 200 (1849; 1,000,000 acrja were sk". apart so as to proluce a cipital fund which, when invested at 6 per cent., would yield an income of SIOO.OOO a year for ilie support of Public or Common Schools. LJut as these appropriations do no^. come within the scope of the present intjiiry, j'our Committee only refer to then to show how the increased and urgent necessities of these sjhiols have b^en recogaiz d and provided for, with just liberality, while those of the University— rqnaliy urgent — have apparently been forgotten. Establishment ok the Univkrsity Recommended in' 1825. 12. Your C)m!U'tt,ee lo v propiS3 to deal with the history of the eniowiuint wh'Mi the establishiu'int of thi Caiversity appeared to hy, an assure! rediity, as well a? a:- indis- pensable and crowning equipment of the Elucitional system of Upper CmaU In a Despatch to the Imperial Government, dated the 19th December, 1825, the Lieutenant- Governor reported that the state ofedujation forcibly imp'essed him with ''the incalcu lable importance of the immediate establishment of an University," and he stated that *' abaut 450,000 acres had been set apart for that objec:." Hut as some pDrtions of the Unds were remote from settlements, and a considerable portion of them was not of the first quality, he recommended that "an eq lal quantity of the best of these lands should be exchanged for that portion of the * Crown Reseives,' which remains to the Govern- ment, baing under lease, as the latter cauld be almost immediately disposed of." Ani in a report on ilie establishment of the proposed University, made by the Kjv. Dr. Strachan at the requast of the Lieutenant-Governor, dated lOch March, 1826, it was stated: "In 1798 about 549,000 acres of land were appropriated for the purpojes of Education and the endowment of Schools. Of this appropriation 190,573 acres have been assigned by His Majesty's Government to the General Board ot Education, leavins; for the endowment of a University, 358,427 acres." (.Sac Report uf the Unicerdty Commis- sioners, 1851, pp. 78-83, and Appendix EEE to the Journal uf 1851.) Imperial Authorization of the Establish.mbnt of tub University in 1827. 13. These recommendations were approved of by the Imperial Government ; and in a Despatch to the Lieutenant-Governor, dated th? 3l8t March, 1827, the Oolonial Sec- retary, informing him of the issue of Letters Patent under the Great Seal, constituting a University for Upper Canada, under the title ot King's College, said : " I have to autho- rize you on the receipt of this Despatch, to exchange such Crown Eeserves, as have not been made over to the Canada Company, for an equal portion of the lands set apart for the 10 purposes of Elucation and the foundation of a University, as saggested in your Despatch of the 19th December, 1825, and more fully detailed in Dr. Strachan's Report of the lOth March, 1 826 ; and you will proceed to endow King's College with the said Crown Reserves with as little delay a? poBsiblf." Avail \B!.E Qltantitv of thr CitowN Reserves for the Endowment. 14. Your Committee notice that in the L'eutenaut-Gavernor's Djapxtch abjve referred to it was stated that there were "about 200,000 acres of Crown Ites-^rves;" and that, in Dr. Strachan's Report, it was state i that "tSe Crown Reserves prayed for in exchange yield about 229,000 asres." Tiie Cfowa Lanls Department, however, repjrted to the Executive Council that the actual quantity of Crown Reserves then available con- sisted of 225,911 acres, and which were specifically described in the Eepart of the Surveyor-General, dated the 19th November, 1827. . - , > Ckant of a Fartial Endowment to the University in 1828. 1.5. On the 3rd January, 1828, Letters Patent issued to the University, by which, after reciting that certain large tracts of Ian is had bean set apart by the Crown in 1798, "for the purposes of promoting education, and for the foundation of a University," and further reciting that it was desirable to exchange Crown Reserves for '• an equal portion " of such reserved lands, and declaring that in place of 225,944 acres, part of the original Reservation, " and which we have resumed to us, our heirs and successors, as no longer to be reserved or set apart for the purposes aforesaid," the Crown granted to the Univer- sity the 225,944 acres of Crown Reserves described in the Patent. An extract from the Letters Patent is appended to this Report as Appendix No. 2. Proof of the University's Claim to the Full Landed Appropriation. 16. The conclusions to which your Committee have arrived, after an exhaustive investigation of the Parliamentary and other Rec jrds bearing upon this claim, are con- firmed by the opinions of the public authorities who have also investigated the history of this Endowment. The University Oommissioners, in their Report, laid before Parliament in 1851, state : *' The residue of the grant of 1798, amounting to 358,427 acres, appears t) have been regarded by the framer of the Report above mentioned (Dr. Strachan), as well as V)y, the Lieutenant-Governor as properly constituting that portion of the Royal grant, which has been intended for the support of the contemplated L^niversity." And further on : " Of the lands constituting the difference between the 358,427 acres remain- ing of the grant of 1798, and the 225,944 acres conveyed from the Grown Reserves to the University in ex"hange for an equal quantity of the former . . . the difference amounts to 132,483 acres ; and by reference to the report of the Rev. Dr. Strachan, before noted, the suggestions of which were approved by His Majesty, it is evident that the whole of the 358,427 acres we'e regarded as appertaining to the University." And the Commissioners commented on che inaction of the members of the Oouncil in neglecting i to press the claims of the University to the lands originally appropriated for its endow- ment " to their legitimate extent." {See Report pp. IG and 17.) »Hl» I 11 ^A CojfPiRMATORY Opinion op the Late Minister of Education in 1881. These conoluaions are further conGrmed by the inveatigations and opiaions of one whoje long and intimate coanectlon with the University, and educa'^ional inattors in tbia Province, enabled him to speak with authority on this matter. In an exhauative R'port. to the Lieutenant-Governor of Ontario, the University, as part security for certain shortages in his accounts as Bursar, (and ia respect of which the University, after all proper credits, suffered an actual loss of ab';ut $5,545), 1,265 acres of land in the Township of Brantford, for which the University had to pay the Grown Lands Department the sum of $8,447.64 on the 11th February, 1842, in order to obtain the Patent, although at the time the University was entitled to the above claims in respect of both the balance of its endowment, and the deficiency in the quantity of land described in the Letters Patent of 1828. Your Committee recommend that this amount, or K ids to the value of this amount, should be claimed, in adjusting the rights of the University respecting its Land Endowment. Duty of the Senate and Graduates Respecting the University's Claim. 21. Your Committee, in conclusion, would earnestly impress upon every member of the Senate, and upon every graduate of the University^ that they should agree to make it their steadfast policy, and their pledged duty, to obtain for our Provincial University not '■ ■ .■ i l•^ only the balance of the Land Endownipnt to which it has long befn equitably entitled, but a recognition of its right, — equally with the subordinate Educational Institutions of the Province, — to a proportionate ghare in the increaeed Land Grants which the marvellously rapid progress of the Fhysicul and Social Sciencep, and Mechanical Atts has made necessary ; and which the enlightened policy of the Legislature and Government of the Province of Ontario has recognized as a national duty to Education. Only to its University, which has long felt the piessing necessity for better educational equipment to meet the scientific and intellectual demands made upon it, has the Province failed in the liberal policy which has made its Educational System famous among other enlightened communities. The result is that, from poverty of means, the available resources of the University are altogether inadequate to meet the modern Educational and Scientific demands of the age. Great Landed Wealth of Ontario, 120,000,000 Acres. 22. The Province has partially drawn upon its great landed wealth — which is esti- mated to consist of over 126,000,OliO acres,* —for the support of its Schools; has given liberal Land Grants in aid of Railways ; and can, out of the same knded wealth, readily do the same for the mors efficient support and aid of its University. " And," as affirmed in the Report of the Legislative Committee on Education in 1833, •' how can the watte lands of the Crown be more usefully disposed of, than in promoting Public Instruction, and in establishing Beneficial Institutions." All which is respectfully submitted. THOMAS HODGINS, Chairman, * "The immense heritage of the Province in its Crown Land)4, is searoely realized by the general public. If it is borne in mind that the tital area of the Province is 126,000,000 acres of which only 21,610,003 acres have been dicposed of, leaving 104,360,000 acres stiJl in the hands of the Crown, of which 87,609,000 acres are uneurveyed, some idea may be formed of the extent of the Crown domain still undispoiied of. No do "it considerable areas are rough and of little agricultural value, but the percentage of y.bs )lutely worthless lands will be found to be very much less than is generally supposed." (Report of the Hon, Arthur S. Hardy, i^.G.,M.P.P.,Comviissii,nerofCro\cnLandsforli>94,p.vL) -T>>V .-fa* ..i-..v u Appendix No. I.— Extract from the Siiivey4ir>iii8latur<|wf I'pper t'anada in IH:i:f, NtaowinK tiir Oriieinal ReMcrvatioii of €rown LandM for District (aramniur HcIiooIn. and the University, made in I70M, an<* supplemented in IH'/i7. The original School Townships of Alfred, Plantagenet, Bedford, Hincbinbrooke, Sheffield, Seymour, Blandford, Houghton, ». ,,. , Middleton, Southwold, Westminster and Yarmouth, were Acres. computed at 549,217 acre?, but actually contained Acres. 467,67^ Alienated from the above for surveyors' percentage 19,282 Alienated by Grants to individuals 170,719 , - The Townships of Java,* Luther, Sunnidale, Ojprey, Merli •* and Proton, made School Townships in lieu of the above aliena- ,• ' " tions, contain , 272,000 Also reserved in the Township of Warwick '. 600 • 740,275- Re-invested in the Crown in lieu of lands granted to the University 225,944 ; v Ke-invested in the Crown in lieu of lanJs granted to Upper •• , Canada College 66,000 . ,' ,.:__„,. _,,^^^. ,, . ....,; 481,945- Lands still disposable ............ ^ .. ; 258,330 10th December, 1832. y • .: (Signed) S. P. Huup, ; . . , - ;^ • Surveyor General, m ■ Note.— From the above 268,330 acres may be deducted the 190,573 appropriated for District Grammar Schools in 1S23. See paragraph 10, and the corrected statement in paragraph 17 of the foregoing Report. Mrhoramdum Appended to the ABoyji: Return. Acres. Acres. University 226,944 Original appropriation 549,217 ' Upper Canada College 66*000 Deduct 291,944 291,944 Amount due . .... ... . , . 257,273- *Now Nottawasaga. 15 II lO .> 4i»piMiili!.cultieB, to contioue forever, to bo called " Kiaj-'s College." •* * * And whereas, by order of His late Most Excellent i\[aje>.ty. King George the Third, certain large tracts of land were reserved and set apart for the purpose of promo. ii.g Education and for the foundation of an University in our said Province, and it hath been represented to Us, that, by exchanging certain other tracts of land belong- ing to us in our said Province, called Crown Reserves, for an equal portion of the lauds which have been so set apart for the purpose of promoting Education and the foundation of an University, as aforesaid, a Fund may the more easily and certainly bo procured for the immediate establishment of the said University, to be called " King's College," con- formable to the provisions contained in our said Letters Patent. Now therefore know ye that, in the place and stead of Two hundred and twenty five thousand nine hundred and forty-four acres, part of the tracts of land so reserved and set apart by His said late Majesty, as hath been hereinbefore mentioned, and which We have resumed to Us, Our Heirs and Successors, as no longer to be reserved or set apart for the purposes aforesaid ; We, of our special Grace, certain knowledge and mere motion, have given and granted, and by these presents do give and grant, unto the Chancellor, President and Scholars of King's College at York, in thp Province of Upper Canada, and to their successors for- ever, all those several parcels or tracts of laud situate in our said Province, {describing them.) Appendix No. :t.— Extracts from the Letters Patent granting the lands for the Endowment of l-piier Canada ColleKe to the I'niversity in trnst to secure the Loans made to the College. Whereas we have heretofore thought fit to direct that the lands and tenements hereinafter mentioned and described whereof We are seized in right of Our Royal Crown, should amongst other lands be set apart and appropriated for the support and endow- ment of Upper Canada College and Royal Grammar School. And whereas the Chan- cellor, President and Scholars of King's College at York in Our said Province of Upper Canada have from time to time, advanced divers large sums of money fi.r the purposes of the said Upper Canada College and Royal Grammar School, which it was ngreed should be charged and chargeable upon the lands which We have been pleasfd to appropriate for the support of the said College and School ; and VVe being willing to ratify an I confirm the said agreement, and to secure the repayment of the said sums of money sj advanced, I 10 or whii h may be hereafter advanced, a^ aforesaid, have consented to Grant to thfi lai.l Chanc( llor, President aad Scholars of King's College the lanJs hereinafter described, upon the trusts hereinafter menticned. Now know yi' that We, of Our spooial i»race certain knowledge and mere motion, have given and grautod, and by these presents ilo fi,ive and grant, unto the Ch(»ncel!or, President and Scholars of King's College at York, in tho Province of Upper Canada, and to tlieir successors forever, all those several parcels or tracts of land situate in our said Province, and containing by admeasurem mt {di'.scrihini) the lotx). *■ * * To have and to hold the said lands and premi8e< unto the said Chancellor, President and Scholars of Kinj^'s College at York in the Province of Upper Canada aforesaid, and to their succegsois forever, in trust to sell ',he same and apply the proceeds thereof towards the repayment of all sums which have b'en or may hereafter be advanced by the Corporation of King's College at'oresaid, in aid o. the said College of Upper Canada and Royal Grammar Sctjool. , " in A|)|MMidi\ No. 4.— Statt'iiii'iit slioHiiiv; tin- Deficiciu'ios in tlic liiiiMls ifi'aiitcd to the liiixTKity sin pairt of its Eiidowiiit'iit : and in tli<' Lands $trant«>d to tlie I'liivcr^ity as sccnrlty for its loans to I immt Canada <'oll<'Si('. Covniy, 7\>ir)iship. Carleton Marlborough P'^ficifiiri/ Tdtiil ill vlo'fS. Voui'/i/. ;iO Grenville Oxford 4 7 " ... VVaiford 115 Leeds Bastard 19 " Elujsley <);5 Lanark Aiontague 8() Hastings Tyendinaga 200 Prince E.lward ..... ..... Mary&burgh ....." 9U " Sophiasburgh 106 30 162 1 12 SG 200 265 Northuniberland Craraahe 20 " , Haldimand 312.1, " . ,. : ' Hamilton 1 11 " ' V Monaghnii 2 , " Murray GOO '' Seymour . 89 : I ill 17 County. " Townnhip. Purham Hope Ontario Pickering 21 Offirifificj/. Acren. ... 40 Total in County, 40 21 York ■ Gwillimbury, North 2H8;] " Markham 12j " Scarborough 105 J Peel Toronto Haltor Trafalgar . 25 Wentworth Beverley 18 " ^ Flaniborough, East , 35 Lincoln Caistor Haldimand Walpole 200 33 Norfolk Oharlotteville 27 " WalaiDgham 298 Oxford Blenheim 200 " Norwich 200 Elgin Southwold 20 " Yarmouth 24 Waterloo Wilmot 105 406 J 4 25 ?3 200 33 325 400 44 105 Total number of acres deficient in the University grant 3,676| Deficiency in the grant to the University for its loans to Upper -, Canadf College 2,004 Total acres due the University under the above grants 5,680i 2 C.U. 18 , , SECOND REPORT: . ' ON THE CLAIM OF THE UNIVERSITY RESPECTING Till-: ANNUAL GRANT OF ;^I,000 STERLING PER YEAR lOR SIXTEEN YEARS, OUT OF MONEYS PAYABLE h\ THE CANADA COMPANY, PUR- SUANT TO AN IMPERIAL TREASURY WARRANT OF 1827. To tht; Senate of the Univeraif y of Toronto : ■ ' The Special Committee of the Senate appointed to investigate and report upon the claims of the University with respect to its endowments and assets, as specitied in a reso- lution of the Senate adopted on the 11th January, 1895, present the following as a Sepa- rate Report upon the claims of the University respecting certain arrearages of the yearly ({rant of £1,000 sterling made by the Imperial Government in 1827 to the University, out of the moneys payable by the Canada Company into the Casual and Territorial, or Hereditary, Revenues of the Crown in Upper Canada. Agreement between the Imperial Autuobities and the Canada Company, 1826. 1. That by an agreement between the Imperial Government and the Canada Com- pany, made on the 23rd May, 1826, by £arl Bathurst, Colonial Secretary, with the Direc- tors of the Canada Company, the Company, under the authority given by the Imperial Act, 6 George IV. c. 75, purchased one million acres of land, for which they agreed to pay the Government by yearly instalments of from £15,000 to £20,000 sterling per annum, for a period of sixteen years, commencing 1st July, 1826, and ending 1st July, 1842. {See Appendix K. to Journals, Upper Canada, 1826-7, and Appendix No. 30, p. 17, to Journals, 1836.) Establishment of the University in 1827. 2. On the 31st March, 1827, Earl Batburst, Colonial Secretary, sent the following Despatch to Sir Peregrine Maitland, Lieutenant-Governor of Upper Canada : — " Sir, — I have the honour to inform you that His Majesty has been pleased to grant a Royal Chj»rter, by Letters Patent under the Great Seal [dated i5th March, 1827], for establishing at or near the town of York, in the Province of Upper Canada, one College, with the style and privileges of a University, for the education and instruction of youth in Arts and Faculties, to continue forever, to be called King's College. Annual Giunt ok £1,000 out ok thk Canada Company's Paymkvts. " I am fur^her to acquuint you that His Majnsty haa beon ploaHt^d to grant X 1,000 per annum as a fund for erecting the Buildings necessary for the CoILm;*', to l>e paid out of the moneys furnished hy the Oanadd Company, and to continue ilurin^ the term of that agreement. Endowment OUT OP Crown Rkservrs. " I have to authori/.e you, on the receipt of this Despatch, to exclmnije such Crown Reserves as have not been made over to the Canada Company, for an e^ual portion of the lands set apart for the purposes of Education and foundation of a University, aa suggested in your despatch of the 19th December, 1825, and more fully detailed in Dr. Htrachan's Report of the 10th March, 1826 ; and you will proceed to endow King's (College with the ■aid Crown Reserves with aa little delay as possible." Message to the Leofslatube on the Establishment of the Univeusity. 3. On the 29th February, 1828, the Lieutenant Governor communicated the above action of the Imperial Government to the Legislature of Upper CanaJa by the following Message : — , . " The Lieutenant Governor transmits to the House of Assembly, in compliance with its addreys, a copy of the Royal Charter for erecting the University of King's College in this Province. *' The Lieutenant-Governor further informs the Ilouao that His Majesty has been pleased to grant, p.s endowment for the University, 225,944 acres of the Crown L^tuds, and to appropriate from the Revenues of the Crown the sum of £1,000 sterling [out of the mpneys payable by the Canada Company] for sixteen years, for the erection of the buildings." (See Journals, 1828, jj. 78.) And on the 18th February, 1829, in answer to an Address for a statement of the funds which had been received and set apart for the University, the Lieutenant- Governor informed the House of Aseembly that the funds consisted of : Ist. A grant from His Majesty towards erecting the building, of £1,000 sterling for sixteen yars from the 1st January, 1828 — of which one year had been received. 2nd. Revenues from a grant of Crown Reserves to the University, which could not then bo accurately ascertained . {See Journals of 1829, p. 37, and Appendix, p. 37,) Casual and Territobial Revenues Suii.ieot to the Cbown's Pbebogative. 4. At this time these Crown Revenues were not subject to Parliamentary control, as they formed part of the Casual aad Territorial (commonly called " Hereditary ") Revenues of the Crown, which the Crown claimed the disposal of by virtue of its Prerogative. In the Colonies these Revenues were «then under the control of the Colonial Secretary and the Lords Commissioners of His Majesty's Treasury, — the latter having a superintendence over the finances of the dependencies of the Crown. {See Todd's Parliamentary Government, V. 2, p. 44t- And this view was subsequently communicated to the House of Assembly by su- i ^1 hi i'l 20 th« LiHutnnant Governor in 1834, in Hnawor to an Addreaa praying to hu infornind of the Rav« Kxvcutivo Uovnrnni«Mtt, uh follows : " TheiH are no Uov- enu('8 under the control of tho Kxecutiv« (Jovornnient of thia Province. The only Uevenuoa under tho control of the LnrdH UouiiiUHHionerN of Hiii MajPHty's Treasury, since the relin- quiiihnient of the Kevenues collected nnder the Imperial Act, 14 (ieorgo III. c. 88, are the (.'asual and Territorial, including tiie inHtalmenta from the Canada Company. * * On these Revenues the Lieutenant (iovornor is authorized to issue Warrants from time to time hy Mpecia! orderH." {SMjuurnafslHSS.'tfii.lSO.) Tkk.\hi'uv Wakiiant (JuAxri.Mi to tiik Univkiisitv ,£l,U(iO a Ykah koh Sixteen Ykahh. T). Your Committee find tliiit on the 20th November, |S'2(i, the Colonial Secretary recommended to the LordH CommisHionnrH of His Majesty'H Treasury, that out of the moneys payahje to the Cro'vn by the Canada Company during the term of its contract the sum of £1,000 Hterling should be appropriat:-d as " an annual grant towards the Build- ing of a College for the Province of Up[»er Canada " This n commendation was concurred in and approved of by the Lords of the Treasury ; and on the 2 ttb July, 1827, they iesued a Treasury Warrant authokizing the Lieutenant-drovernor to issue his Warrants for, and directing the Roccivor (ieneral to pay, the said annual sum of XI, 000 sterling to the Uni- versity for the period and for the puri)08e above mentioned. Instructions to carry out the directions of this Treasury Warrant were afterwards comiiiunio:itod to the Lieutenant- Governor and Receiver-General. And pursuant thereto, the grant commonly known as "The Royal Grant," was paid over to the University by the Receiver-General of Upper Canada out of the moneyi 'eceivod by that otHcer from the (Janada Company, and which were designated in the I'u ilic Accounts antl Parliamentary Returns as Fund D. Ca. Co. (6Ve Appeiidix Nos. 4, l'> and Ql of 18SG.) And in a De8i)atcli from the Colonial Secre- tary dated the 23rd May, 1831, this giant also appears in the schedule of appropriations for 1831, which the Lieutenant-Governor was authorized to pay, as " University, £1,000." {See Appendix No. 132 of 1SJ6, p. 4.) ■ ■ ..■ FiHST Paymknv ok the Gkant madk in 1828. 6. From these returns it appears that, although the Canada Company paid its first instalment about the 1st July, 1827, the first payment to the University was not made until January, 1828, the Treasury Warrant authorizing the grant, not having issued until the 24th July, 1827, and not having been received by the Receiver-General until near the end of that year. ;' !. \. , ' Payment op the Grant Continued fob 4i Years. 7. Prom several independent sources of information your Committee have ascertained that payments were made to the University for only four and one-half years, instead of sixteen years. In a Repott of a Committee of the House of Assembly, printed in Appen- dix 19 to the Journal" of 1335, it appears the £1,000 was paid during each of the years 1828, 1829, 1830 and 1831, and £500 sterling for six months of 1832. In a memoran- 21 dum «>ncloie«l by the Bursar to Mr. Spcrwtnry IlarriHon, il»t»>d 7th May, 184*2, It in itated that " the i{rant waH nnularly paid from the Ist JniiUAiy, KS'JS, to i\w Ut day i>f June, iH.'ia, \mnfi four and onn half yearn." (Scu UnivfiHity < !oiiiiiii!4aicn«Tii' ]i«'poit, IS.M, p. 117.) And in a Report prfpurrd hy tho Fturuar on tho ITtli -luly, 1^4(5, hy direction of tho UniverHity Council, he Htatcd that " tlie donation waH continunl four and one half years, till the Ist July, 18.1-J." (Ihid, p. 243.) Prom th«' Financial Htatt-nients in the Buniar'H OHlco, Hnd from ontrioH on pa^^'R 73 and 7') of the Sf^cond volume of the Min- utes of the TnivcTrtity Council, ;«nd from a llcturn prfBtrnttd to the li«'|;(i) payable under its agieoment with the Colonial Hecretary above referrtd to. Public Action Against the Dksominational Chahactkuok thr Univrrsity Ohautrb. 8. The Royal Charter of 1827, establishing the University of King's Coilego, con- tained provisions which gave a distinctively denominational or sectarian character to the proposed Provincial University ; and public action was taken by the House of Assembly and other public bodies in 1828 and 1831, by Addresses to the Imperial Government pi-aying that the Charter might be cancelled, or that such modification might be made in its provisions as would entirely remove everything of a sectarian or exclusive character, so that the honors and privileges of the University could be enjoyed by all classes of the community, and by all denominations of Ohristians. Assent of thb Imperial Authorities to the Modification of the Charter. 9. The policy advocated in these Addresses was assented to by the Imperial Oov- emment ; and in a Despatch from the Colonial Secretary to the Lieutenant-Oovernor of Upper Canada, dated the 2nd. November, 1831, the objections to the Charter were elabor- ately reviewed, and the following decision was directed to be communicated to the Uni- versity authorities : " I am to convey through you to the members of the Corporation of King's College, at the earnest recommendation and advice of His Majesty's Government, that they do forthwith surrender to His Majesty the Charter of King j College, with any lands that' may have been granted them." But to assure the Canadian people that it was not the intention of the Imperial Crown to revoke any grant of property, or in any way to affect or divert the trust endowment, he added : " It can scarcely be necessary to say that no part of the Endowment of ths College would ever be diverted from the great object of the education of youth. It must aver be regarded as a fund sacredly and per- manently appropriated to that object." ' * ' '^ Refusal of tub University Council to Sukrendrr the University Charter. 10. This Despatch was communicated to the University Cou;„-ui in 1832, and was considered by them at several meetings; and on the 2l8t March-, 1832, they appear to have adopted an elaborate Report setting forth their views, and declining to surrender the I! t «if Charter, or the Kndowment. The Report will be found in Appendix DD to the Journals of 1846 ; and extracts from it appeared in the Address delivered by the Bishop of Toronto, as President of the University, on the occasion of the opening of the University on the 8th June, 1S43, pp. 42-45. « Suspension of the Annual Grant of £1,000 Sterling. 11. Your Coinniittee find that following the refusal of the University Council to comply with the request of the Imperial Government to surrender the Charter, the annual payment of the Koyal Grant was suspended at the end of the following half year. The ci/cumstances connected with such suspension were thus stated in a letter from the Bur- sar to the President. of the University, dated the 19th March, 1838: "The last half- yearly payment which I received from the Receiver-General was on the Ist July, 1832, Upon my applying at the end of the ensuing half year for the usua^ warrant, I was informed by the direction of the late Lieutenant-Governor, Sir John Colborne, that His Excellency had received a Despatch from the Home Government that this Royal boon was to be suspended until the Legislature should pass nn Act for amending the original Charter of the University as should be approved of by the Sovereign." {See Univeraity Commissioner^^ Report, 18ol, p. 115.) A similar statement appears in the Bursar's letter to Mr. Secretary Murdoch, dated the 4th February, 1840 ; and in a document enclosed by the Bursar to Mr. Secretary Harrison, dated 7th May, 1842, he states : "The grant was regularly paid from the 1st January, 1828, to the last day of June, 1832, being 4| years. It was then suspended by a Despatch from the Home Government to Sir John Colborne, (a copy of this Jiespatch is not to be found in the office, the original it is pre.snmed must be in the Government office), until the Legislature should pass su'^h an Act tor amending the original Charter of the Uni'^ersity as should be approved of by the Sovereign." {See Ibid, pp. llJrin.) Ineffectual Searches for the Alleged Despatch Suspending the Grant. 12. Your Committee have caused searches for the Despatch stated to have been the authority for the suspension of the Grant of ,£1,000 sterliag, to bo made in the arch- ives of the Colonial Office and the Public Record Office, in London, England, and of the Offices of the Governor-General, Secretary of State, and Archivest in Ottawa ; but no such Despatch, confidential or official, is on file in any of the offices mentioned, nor has any trace of such a Despatch been discovered after most careful searches.* Legislative Proceedings to Amend ti k University Charter, 1832-1837. 13. Apparently to remove the cause of the reported su':pen8ion of the Grant, and to amend the Charter so as to bring it into harmony with the policy indicated in the Legislative addresses to the Crown, amending Bills were introduced into the House of Assembly in *In a pamphlet published in 1844 on the " Origin, History and Management of the University ofKing/'s College,'' it was stated that the Grant was suspended by direction of Lord Goderich, Colonial Secretary, in a coiitidential Despatch, dated the 5th July, 1832. A copy of this confidential Despatch has been obtained from the Governor General's Secretary, but it deals exclusively with the Address of the Letfislature praying that the administration of the Grrmmar School moneys, theretofore under the control of the General Board of Education, be placed under the control of the House of Assembly. Neither the official nor confidential Despatches, of the date mentioned, make any reference whatever, either to the Grant of £1,000 sterling, or to King's College. . . I ,-..• _, 28 1832-3 and 1833-4, but were defeated in that House. In 1835 and 1836 similar Bills were introduced and carried in the Assembly, but were defeated in the Legislative Council. And it was not until the session of 1836-7 that a measure was carried in both Houses amend- ing the Charter, and repealing the objectionable clauses ; to which measure ^he Royal Assent was given on the 4th March, 1837. (7 William IV. c. 16.) In the speech pro- roguing the Legislature after assenting to the Act, the Lieutenant-Governor said : " Second only in importance * '"' are those amendments in the Charter of King's Col- lege, by which on very liberal principles you have established this Capital as the principal seat of learning in British North America. This long disputed subject being finally settled, the munificent endowment of our Sovereign, will, in addition to other important advantages, now provide a constant supply of teachers qualified to diffuse over the remote parts of the Province the inestimable blessings of education." (See Journal for 1S36-7, p. 643.) University Act of 1837 Removed the Alleged Causes fou the Suspension of THE Grant. I 14. This Act gave efiect to the policy of the Imperial Government as indicated in the Despatches referred to, fulfilled the conditions imposed, and removed the causes which were alleged to have led to the temporary suspension of the year.y payment of this grant of £16,000 sterling. And whether the grant was suspended for the reasons stated, or otherwise, it was claimed that thereupon the University became entitled to the pay- ment of the arrearages, and to receive the subsequent yearly payments authorized by the Despatch of the Colonial Secretary, and the Warrant of the Lords Commissioners of His Majesty's Treasury, above referred to. IN Applications to Government fob the Arrearages and Payment, 1838-1846. 15. Applications for such arrearages and payments appear to have been made by the University to the Executive Government ot Upper Canada in 1838, and in subsequent years up to 1846, but with no results. (See Report of 1851, p. 115-117, and 242.) The claim was formally brought before the Governor-General of Canada, the Right Hon. C. P. Thomson, (afterwards Lord Sydenham) at a meeting of the University Council held in the 29th of January, 1840, at which were present : His Excellency the Governor- General, as Chancellor of the University, the Bishop of Toronto, Mr. Justice Jones, Sir Allan N. McNab, Hon. C. A. Hagarman, Attorney-General, Hon. W. H. Draper, Solici- tor-General, and the Rev. Dr. McOaul, when the following minute was adopted and sub- sequently approved by the Governor-General and Chancellor : " The council took into consideration the state of the Royal Grant of £1,000 sterling per annum, when it was stated that an arrear of seven and a half years was due on this grant to the College, a.Ti.c anting, without interest, to £8,333 63. 6d. currency. The Council deemed it expedient that an immediate application be made to His Excellency the Governor-General respecting these arrears, accompanied with a full statement of the circumstances under which they are claimed." Univ. Min. Book v. 2, p. I48. 1 1 i II 24 LoHD Sti-kniiam's Intention Rkspkcting the Arrearages. ' '> 16. The minutes of this met. ting and the Bursar's letter to the Ohief Secretary of the Governor-General, dated the 4th February, 1840, claiming payment of the arrears then due, will be found in Appendix J. to the Journals of the Legislature of Canada, 1843, and in the Report of the University Oommissioners (1851) p. 114 and 117. And in a subsequent report of the Bursar to the University Council, dated the 17th June, 1846, it is stated : " The records of this office will show that it was the intention of Lord Sydenham to have obtained the arrears for us, had not the more importano events of his administration drawn his attention from the subject." (Ibid. p. 2i3.) ./ iC Conditions upon which the Crown Surrbndbred the Revenues to the Lgoislaturb. 17. The Casual and Territorial Revenues of ^he Crown were surrendered by the Crown in 1841, by the Union Act, 3 and 4 Victoria, chapter 36 (Imp.) But the condi- tions under which the Crown surrendered them to the Legislature were stated in a Des- patch from Lord Glenelg to the Lieutenant-Governor, dated 15th April, 1836, when in dealing with a claim then made, he said : " That amount [of the claim] must be placed on the Casual and Territorial Revenue of Upper Canada, as one of those charges to which the good faith of His Majesty is pledged, and subject to which alone His Majesty has consented to divest himself of his control over that Revenue. I need not here repeat the strong aense which His Majesty entertains of the obligation on him, while contem- plating the surrender of the control over the Casual and Territorial Revenue, to main- tain inviolate all those charges upon it to which his faith had become previously bounden." (See Journals for 18S6-7, p. 465.) Scant Information of these Revenues in the Public Accounts. 18. The Public Accounts of Upper Canada furnish no information, and the Special Returns sent by the Government in reply to addresses of the Legislature, furnish very scant and unsatisfactory information respecting the *' Casual and Territorial Revenues," of which these moneys from the Canada Company formed part. The appropriation of these Revenues was controlled by the Imperial Government, and the House of Assembly had no Parliamentary jurisdiction to vote or in any way control such appropriation or expenditure. Information respecting these special Crown Revenues appears to have been not easily obtainable by the House of Assembly from the local Government. The accounts of these Revenues, as they appear in some of the Returns to the House, were classed under the two special titles of " D. Ca. Go." or Canada Company'.? Instalments, and " K.," or King's Rights. (See Appendix Nos. 4 o,n.d 2t, pp. 54-5, to the Journals, 18S5.) And in a letter from the Receiver-General to the Lieutenant-Governor's Secretary, dated 28th February, 1835, enclosing copies of such accounts for the years 1826 and 1832, it was stated that the original accounts for those years had been " forwarded to the Board of Audit in London for examination." {See hie letter in Appendix Jfo. 191, 1835.) The accounts ^:t 2tr & , referred to in that letter do not appear to have beon printed in the Parlia-nentary liecords of Upper Canada ; but there ia a copy of certain accoaiits of Funi /? im a Return for those years in Appendix No. 19, 1835. m Where Partial Statements op these Revenues may be Fou.vd. 19. Prom the Records so available to your Committet, partial statenienta of the receipts and payments ]on account of Fund D. Ca, Co., and the other funds forming the Casual and Territorial Revenues of the Grown, which were laid bnt'ore the Legislatures of Upper Canada and Canada, were printed in the Appendices to the Journals for the years hereinafter mentioned : Upper Canada — 18334, Appendix, p. 10(5; 1835, Appendix Nos. 4 and 19 ; 1836, Appendix Nos. 18, 99 and 102; 1837-8, Appendix, p. 136 and p. 390 ; 1839, Appendix, p. 588. Canada — 1841, Appendix B. ; 1843, Appendices J. and S. In these statements there appear to be large balances to the credit of the fund D. Ca. Co., at the end of the accounts of each year; portions of which balac:;e8 appear to have been applied to reduce overdrafts on fund K,, or to discharge ceroain liabilities of the local Government, leaving, however, more than sufficient of that fund in each year to discharge the liability of the Province of Upper Canada to the University endonmeat in respect of this grant of .£1,000 sterling. Appendix S. of 1843 contains a statement of the " Casual and Territorial Revenue " of Upper Canada from the 1st January, 1839, to the 9th February, 1841, t. e., up to the day before the anion of Upper and Lower Canada. It is not as satisfactory or as explana- tory as some of the preceding statements. It shows large balances carried over from year to year ; and it mixes charges on funds D. and K. together, a majority of which do not appear to be properly chargeable against fund D., and it shows there were carried into the revenues and accounts of the Province of Canada at the Union, balances of the united funds D. and K. In a statement appended by the Receiver-General to his accounts of these funds given in Appendix No. 19 of 1835, he says that many salaries and charges, although authorized by His Majesty's Government to be paid out of any funds under the control of His Majesty, had been charged against funds K. (King's Rights) and D. (Canada Company) ; and his accounts make this latter fund bear the heavy overdrafts properly chargeable against fund K. The Grant to the University Appropriated by the Province to Looal Purposes. 20. It is, however, clear that Upper Canada obtained the benefit of, and used for looal and Provincial purposes, the University's share in tho funl D. up to the Union of the Provinces of Upper and Lower Canada in 1841 ; and so likewise did the late Prjvince of Canada from the date of that Union, 10th February, 1841, to the date of the receipt of the last instalment from the Canada Company. .. "' - ' 26 Prioritv of the Ouaroes on THE5E SPECIAL Crown Rrvbnvks. 21. From the available sources of information your Committeu infer that these special C/own Revenues were applicable, firstly, to the special charges in favor of the institutions and individuals specified in the Orders or Warrants of the Lords Commissioners of His Majesty's Treasury, or the Despatches of the Colonial Secretary ; and secondly, to the salaries, charges and expenditures of the local Government, only chargeable upon and payable out of any funds received by or placed under the control of that Government. The claim of the University may properly be classed among the first or special charges on the fund D. in priority to any general expenses of the Provincial Government. I i Resume of the Legi.slation Kespectino the Univehsity Endowment, 18;i7-1887. 22. Your Committee consider it important to give a short resumt^ of the Provincial Legislation respecting the property and assets of the University Endowment, as showing the controlling authority in which the management of the Endowment has been, from time to title, vested, since this claim matured. (1) The University Charter Amendment Act of 1837, made the Lieutenant-Gover- nor, the Speakers of the two Houses and the Law Officers of the Crown, together with the President and Professors appointed by the Crown, the University Council ; and under the Charter that body had the management of the endowment. (2) The University Act of 1849, 12 Victoria, chapter 82, changed the name of the University of King's College to that of the L^niversity of Toronto ; and by section 32, vested all the property and effects of King's College in the University corporation created by the Act. By section 33 it was declared that all debts to the said University (of King's College) or to its University corporation, and all securities held by the same, should be available, stand, and continue of good purport and full force and strength, to the corpora- tion of the University of Toronto, with power to sue for and recover the same. The management and superintendence over the affairs and business of the University endow- ment were given to a Senate appointed by the Crown. (See as. o and 10.) (3) The Act also constituted an Endowment Board of five members appointed by the Crown and the other authorities mentioned in the Act, whose duty it was to have the general charge, superintendence and management of the whole property and effects of the University under certain University statutes. (See ss. 21 and 22.) During a portion of the time this Board managed the property and assets of the University, the Hon. (afterwards Sir) Francis Hincks, then a member of the Provincial Government, was the Chairman of the Board. (4) This Act was repealed by an Act introduced into the Legislative Assembly of Canada by Mr. Hincks in 1853, 16 Victoria, chapter 89. By that A.ct all the property and effects which had, by the Act of 1849, been vested in the Corporation of the Univer- sity, were transferred to and vested in Her Majesty in trust for University purposes. And the Act also declared that every right, title, claim or demani^l of the said corporation to any real or personal property, debt or sum of money, should be vested in the Crown 27 (a. 46), And it further provided that the said property should be managed by a Bursar appointed by the Crown, and under such powers as should be assigned to him by the Governor in Council (s. 47). (6) The Act also provided that the management and superintendence of the affairs and business of the University (subject to the provisions as to the property) should be in a Senate appointed by the Crown (ss. 4- 10). (6) These University Acts were consolidated in C. S. U. C , c. G2, but such consolida- tion was declared by chapter 1 of the statutes not to operate as new laws, but as declara- tory of the law contained in the Acts consolidated. (7) The subsequent legislation respecting the University makes no material change either in respect of the Crown's title or its management of the University Endowment. See R. S. O. (1887), c. 230, ss. 85 and 86 ; c. 231, ss. 1, 6 and 7. (8) Thus since 1837 the Legislature has given to the Crown, or its appointees, the financial control over the trust property and effects constituting the University Endow- ment ; and since 1853 has vested in the Crown the exclusive right to sue for and recover all debts, money and property belonging to that Endowment. Summary of the Facts Respecting this Claim. 23. Your Committee submit the following for the consideration of the Senate as a fair summary of the facts respecting this claim, drawn from their investigation of the matters referred to them : — (1) That the Imperial Government in 1827, by the Warrant of the Lords Com- missioners of His Majesty's Treasury, and by the Despatches from the Colonial Secre- tary to the Lieutenant-Governor of Upper Canada, above referred to, charged the Casual and Territorial Revenues of the Crown in Upper Canada with a grant of £1,000 sterling per annum for sixteen years in favor of the University Endowment, such sum being specially charged upon the moneys payable by the Canada Company to the said Revenues, and known in the Public Accounts as Fund D, Ca. Co. (2) That the Province of Upper Canada, up to 1841, and the Province of Canada, up to 1842, received the said moneys payable by ^he said Canada Company subject to the charge of £1,000 a year in favor or the University ; and that each Province, during the , period of such receipt, became liable, and as a trustee for the University, was bound to pay, pursuant to the Imperial orders aforesaid, the said grant of £1,000 sterling to the said University Endowment. (3) That pursuant to the said Imperial orders the said Province of Upper Canada . did pay over to the said University Endowment, the said grant of £1,000 sterling for a period or four and one-half years, amounting in all to <£4,500. (4) That in 1832 the yearly payment of the said grant was temporarily suspended by the assumed direction of the Colonial Secretary, until certain amendments should be . made by the Legislature of Upper Canada to the Charter of the University ; that in 1837 such atnendraents were made, and it thereupon became the duty of the University to claim (an it did) that the right to receive payment of the arrearages, and of ihe subsequent yearly payments of the said grant revived. (5) That neither the Province of Upper Canada, between 1832 and 1841, nor the Province of Canada since 1841, has paid over to the University Endowment any part of the said arrearages or yearly payments of the said grant of £1,000 sterling. (6) That by the Union Act, 3 and 4 Victoria, chapter 35, the Casual and Territorial Revenues (out of which this grant was payable) were surrendered by the Crown to the Legislature of the Province of Canada ; and the reasonable inference is that such sur- render did not afiect ihe special charges theretofore made by the Crown, as indicated in the Despatch proposing such surrender. (7) That on the Union of Upper and Lower Canada, in 1841, the Province of Canada became entitled to all the assets of Upper Canada, and it is fair to assume that thereupon the debts and liabilities of Upper Canada became chargeable or claimable against the said Province of Canada. And by s. Ill of the B. N. A. Act, the Dominion of Canada is declared to be liable for the debts and liabilities of the former Province of Canada^ existing at the Union of 1867. (8) That it seems to your Committee to be the duty of the University to claim that the said sum of £11,500 sterling and interest thereon from the respective periods at which the same was payable, is a debt due to the University Endowment by the former Provinces of Upper Canada and Canada, and for which it is submitted that there are just and equitable, if not statutory, grounds, for contending that the Dominion should assume the liability, pursuant to the said B. N. A. Act. All which is respectively submitted. THOMAS HODGINS, Chairman, ••'■:,■ ^ \ - 29 THIRD REPORT i' ON LOANS AMOUNTING TO $169,137, MADE BY THE UNIVERSITY TO UPPER CANADA COLLEGE, AND RESPECTING CERTAIN OTHER PAYMENTS MADE TO UPPER CANADA t:OLLEGE. To the Semite of the University of Toronto : The Special Committee of the Senate appointed to investigate and report on the claims of the Univ«rsity in respect of its Endowments and Assets, as specified in the order of reference, dated the 11th -Tanuary, 1896, present the following as a Separate Report upon the University's claims respecting certain loans made to Upper Canada College out of the trust moneys of the University Endowment. PURPOSR OP THE LOANS TO U. C. COLLEGE. 1. From various Parliamentary Returns, and the early records of the University, your Committee find that the University Council, prior to the opening of the University, advanced moneys by way of loans to Upper Canada College, between 1829 and 1843, to pay (1) the cost of erecting the College buildings and the residences for the Masters ; (2) the expenses of bringing out from England the Masters for the College ; and (3) the annual overdraft or deficiency in income, so as to make up sufficient to pay the salaries of the Masters and the other yearly expenses of the College. Government Board oi' Education the originaf^ Creditor of U. 0. College. 2. There is nothing in the University records prior to .Tune, 1831, authorizing these advances or loans to Upper Canada College. In response to an enquiry of the House of Assembly, in 1835, as to the authority under which the advances had been made, the then Bursar gave the following explanation : " The late General Board of Education was requested by the Lieutenant-Govbrnor to undertake, with his express sancti,on, the entire management attending the erection of the buildings for Upper Can- ada College ; and the Treasurer of the College, [who was also Bursar of the University], was authorized by the Board to temporarily make use of the Board's funds in his hands, until those of King's College were enabled to repay the same, to which arrangement the University Council gave their assent." {See Appendix to Journals, 1S36, No. GJ/., p. 6.) Land Endowment of U. 0. College. 3. In the Minutes of the University Council of 18th June, 1831,. we find the first reference to the loans which had been previously made to Upper Canada College. At a meeting of the Council, held on that day, a communication from the Lieutenant-Gover- 30 nor'a Secretary was read, enclosing a copy of a letter to the Commisaioner of Grown Lands, informing him that 66,000 acres had been appropriated by the Crown under an Order in Council, as an endowment for Upper Canada College, and intimating that " as certain expenses incurred by the Trustees of Upper Canada College, had been defrayed from the funds of King's College," he was to pay the proceeds of the sales to the Burnar of the University. The University Council in reply requested that such portion of the 66,000 acres as would replace the advances made, and to be made, to Upper Canada College, should bo conveyed to the University. LieutenantGovernok's proposal to the Univeksi TV. At a subat'iuent meeting of the Council, held on the 28th July, 1831, a letter from the Lieutenant-Governor was read suggesting that the Council's proposition should be varied as follows : " That King's College should hold in trust 20,000 acres of the lots ordered by His Majesty's Government to be set apart for the support of Upper f'anada College, until all sums advanced by King's College shall be repaid to that Corporation.'^ The University Council consented to this variation, on the coi; ition that 20,000 acres should then be granted by patent to the University, to hold upon the trusts mentioned in His Excellency's letter. At the same meeting a further letter from the Lieutenant-Governor wai read recom- mending that two members of the Council should be relieved from the personal responsi- bility they had incurred by borrowing, for the use of Upper Canada Colleixe, the sum for which the land set apart in York (Toronto) for the support of a Grammar School had been sold. The University Council assented to this, upon receiving a patent for the land so set apart. The property referred to was known as part of block D. of the Grammar School reser- vation, which had been occupied by the College while the buildings on Russell Square were being erected. {See Univ. Com'rs Report^ 1S51, p. 352, and Univ. Mm, Book, vol. p. 136.) The letters and proceedings above referred to, are appended to this report as Appendix No. 1. Security for University Loans sanctioned by Orders in Council. Your Committee find that the above agreement between the Lieutenant Governor and the University Council, was given' efiect to by several Ordersin-Council dated in 1831 and 1832, and by various Patents vesting the whole land endowment of Upper Canada College in the University upon the special trusts set forth in an extract from the Letters Patent appended to this Report as Appendix No. 2. $169,137.48 taken from the University Endowment as Loans. 4. These loans to Upper Canada College commenced in 1829 and went on increasing yearly up to 1843, when they amounted, without interest (including the Government's loan hereinafter mentioned), to £42,284 7s. 5d. currency, equal to $169,137.48, and they represent so much capital abstracted from the University Endowment and advanced ta 1 1 31 sasmg- 'a loan they led to. Upper Canada College, with the sanr-tion of the Crown. The accounts presented to the Legislature show that the University Oouncil occasionally had to resort to Bank dis- counts to provide for thuse loitns to Upper Canada College. (.SV« Apppiniix Q Q. to the JourntUii, IS.'fU. CoMMKNTS nv TiiR Univeiwitv Commishioners in IS.'il. In the general summary of " Expenses and Losses," given in the re|)ort of the Uni- versity Oominissioners, presented to Parliament in 1851, it is stated that these loans, with the accrued interest up to the end of 1849, amounted to XT."), 506 .5s. Od. currency, equal to $302,025 {See Report, pp. o3 and SJ^S). And in reporting on them the Commis- sioners express their "regret to find that an educational institution so amply endowed by the Legislature and the Crown, as they find Upper Canada College to have been, should have been permitted to trench so largely upon aie resources of the University, to the interest and progress of which it was intended to be contributative.' {IbhU P- -^A see alxo pp. o5 and ■iJ/.O), And they also intimate that had the aflPairs of Upper Ut^nada College been properly attended to, its net income might have sustained a charge for the interest on its i\ibt to the University {p. 34S). Parliamentauy Co.mmittke's Ou.ikctions to such Loans. 5. In a report of the Legislative Committee on Education, presented to the House of Assembly in 1833, the practice of making loans to Upper Canada College by the University Council had been similarly disapproved : " It appears from evidence and docu- ments on the Journals of your Honorable House, that the Minor or Upper Canada Col- lege is greatly indebted to the University of King's College. This fact, btruding itself on the notice of your Committee, they consider it their duty to bring it under the notice of your Honorable House. * * * How far the University Council is legally author- ized to expend their funds for any other purpose than that of promoting the object for which the Charter and Endowment were granted, your Committee presume not to deter- mine ; but with every respect for the members of that Council they feel no hesitation in expressing their decided disapprobation of such a proceeding. Nor do they believe it to be regular, or justified by precedent." And they add : " It is indeed stated in the Treas- urer's evidence that such disbursements are secured on the endowment of Upper Canada College; but is such security sufficient? And can the money so invested be repaid the moment it is wanted ? Repayment seems in truth hopeless." (See Appendix, 183^-3, p. 69.) Government's Loan of $25,571.62 toU. C College, through its Board of Education'. 6. With reference to the explanation given to the House by the Bursar in 1835, above referred to, your Committee find that the Parliamentary Returns show that the General or Provincial Board of Education, which from 1823 to 1832, had the superin- tendence of the Grammar and Common Schools (for the support of which 190,573 acies had been appropriated), and were also the Government Trustees of Upper Canada Col- lege, had advanced to Upper Canada College on behalf of the Provincial Government, 025,571,62 out of Grammar School moneys, for the purposes mentioned above. '■>:!' S2 flOVERNMKMT's LOAK RrdKRMRD Ol'T OF UnIVKRHITY FUNDfl. the ad\ in tliH Keturns laid bofore the IIoubo in 1830 (Noh. 18 and 04) these advanoeH or loans, appoar in tho lioani's acuounts as hnvins; heen made " until the funds of t.li« Uni- ver?!'>y of King's College are able to redeem them ; " and in IS.'U-') they nppeur to have l)een po redeemed by sundry paynientH of University moneys to the Receiver General, but f ntered in tho University accounts as paid " on account of School lands." And in a memorandum appended to the accounts he stAtud that, " The sums temporarily liorrowed from the funds of the late General Board of Education have since been restored, and paid into the hands of the Receiver-General of the Province/' In tho accounts of 1835 the loans made by the University, and tho Hoard, to Upper Canada College were united, and were carried forward as the " Upper Canada College debt due to tho funds of King's College." It appears, therefore, beyond ip-.estion, that the loans out of the Grammar School Funds were redeemed by tho University Pmrsar, paying to the Govern- ment in 1834-5, the sum of $25,571.02, out of the capit-"! of the University Endownunt. U. 0. CoM,KriE Dkht 01' $302,025 to the Univkrsity Oanckm-kd in 1849 without CONSIDKRATION. • * 7. By the University Act of 1849, 12 Vic. c. S2, s. 68, this large indebtedness of Upper Canada College to the University Endowment, which with interest then amounted lo $302,02.'), was declared to bo " absolutely cancelled and discharged." No considera- tion was ^iven to tho University for tliis legislative receipt for the debt, nor was any compensation or other provision made, by the Legislature, or the Executive Gov- ■ernment, to recoup the University this enormous loss of $302,025 to its Endowment ; which compensation the University was justly and equitably entitled to, — more especially because it had, on the faith of the Crown, advanced its trust moneys for the benelit of Upper Canada College, and had paid into tho Public Trettsury another portion of its trust moneys to redeem the loan of $25,571.02 previouftly made by the Provincial Govern- ment to Upper Canada College, the security for the repayment of which, as well as its own loans, had been confirmed to the University by Orders-in Council and L' tters Pntent. University's Claim on the Equity op the Crown. 8. Your Committee consider that notwithstanding this legislation of 1849, the Uni- versity has an equital 'e claim on the good faith and honour of the Crown to recoup the University out of its ungranted Crown Lands for the loans so made on the faith of its Orders in Council and Letters Patent. {Hee Univ. Com'ra Report 1851, p. 10, 17 (tnd 18 ; Appendix to the. Journals 1S3I, pp. 105-9 ; Sessional Papers, 1881, No. 31, p. 2.) University's Dealings with U. C. College. 9. The facts stated in this Report will show how the University has dealt with Upper Canada College ; and your Committee concur in the remarks of the late Minister of Education that " the record of the College has been one of much educational useful- ness ; .and from the nature of its work, it has performed an important and beneficial part :i:{ in the higher oducation of tho youth of this Province ; and durintj its exiMtonco of halt h century, it has had an importftnt influenm upon our national cliarp.cter." (S'lin, I'api r No. 3J [1881'\, p. 2.) Hut, whilo conceding thin, your Comniittec submit that it was not jUHt to the important claima of University education that a larn« portion of an endow- ment specially dedicated hy the Orown, and charged with tho trust and duty of provid- ing for tho higher lirancheH of Literary and Sciciitilic Education, Hhould havo Ih^imi diverted to fluhordiniite educational purposPH. And it n subniiliml that if tho endow- ment of Upper Canada College waa insutlioieiit for tho educational woik it was ebtab- lished to perform, its claima ahould havo been recognized and dealt with by tho Legisla- ture and Covernnicnt which were responsible for its estabiishmont. LKfiisi.ATivK Oi'iNiox ON- Lavd APPROPai ations roR EnUCATIOS. And in support of this view the lleport of the J-ogislativo Committeo on Education, previously referred to, may be cited :— '" In regard to the support of I'pper Oanadii Col- lege, your Committee entertain no doubt that on a respectful representation to His Majesty's Government, an endowment will be granted to that Sjminary as a separate and Royal pift, exclusive of the school lands originally set ap\rt for tho University and District Gr.iuimar Schools. It is, indeed, manifest from the spirit of the letter of the Duke of Portland in 1797, that further gr'J.) * Land Endowment of T7. 0. College. Your Committee find that the land endowment of Upper Canada College consisted of 06,000 acres of land (or 03,966 acres owing to shortages), and some lots in Toronto, including the site of the College (formerly Russell Square) on King Street. And its in- come was supplemented by an annual grant of £1,000 sterling up to 1859. The capital of the endowmept, exclusive of tho Tor»nto properties, was estimated hy the Bursar in 1850, at $291,328: (see Appen property of its Corputalion, and was de.signated the "Special Income Fund " of Upper Canada Ojl- lege (f. 77). The remainder of tho General Income Fund was designated the " University Income Fund,' (ind the (iovtrnor-in-Council was iiuthori/ed to appropriate out of it whatever (sums should be rrquirod tor the current » xponses of the University and Uni- versity College (s. 7H). Tho Act then provided that " any surplus of tho University In- come Fund remaining at the end of any year, after defraying the expenpea payable out of the same, shall constitute a fund to.be from time to time appropriated by Parliament for Academical Education in Upper Canada " (s. 81). By the present University Property Act, 11. S. O. c. 231, 8. 22, this "Surplus Income Fund'' is declared to be the permanent property of tho University. Advance of $4,444.42 to U. C. Colleois not waruantkd iiy Statutk. 11. Your Committee, after much deliberation, submit that under the statutory pro- visions then governing the appropriation of this "Surplus Income Fund," it was not within the pru'ogative of the Governor-iti-Council to authorize tho Bursar to pay any moneys out of that fund to Upper Canada College, without the statutory appropria- tion of the Fund by Parliament for Academical Education ; and that, as there was no such Parliamentary appropriation of this money, nor any Parliamentary authority for Euch payment, the University should claim that this sum of ^4,444.42, so improperly or improvidently taken out of the University moneys, is a debt or liability of the late Province of Canada ; and that steps should be taken to have the eame refunded to the University Endowment, with interest thereon from the 13th June, 18G0. Irregular Payment of 81,600 out of University Funds in 1858. 12, Your Committee have further to report that on the 16th May, 1855, there was paid to the University Trusts Fund the sum of $1,600 on behalf of an unnamed person who declared that he could not retain the money as " it did nob belong to him but to the University." This sum (apparently " conscience money ") thereupon vested in the Crowa as part of the General Income Fund of the University pursuant to section 49 of the Act 16 Victoria, c. 89. _ ' ' ; • M ,1 ;l.n On thti I'.tth June, 18.")S, the Seiiatfi (lirfl.^^«•(l thw IturHur to appropriiit»« tho !?l,()00 of th« Univer-tity funds to Upper (Janala O.Mi«^o. (.nV-' Sen'Uf Minuti H >ok, r. .', pp. .',11 J, .',11',.) Thero bfinc; no OrJor in Council nor any ilirt^jtion from tlu) (Jrown for such an ap- propriation of I'liiviTHity funclH, your CoiiiniittJM! submit that thealiovn iipprojiriation wan uot warrant* (I l>y tiiH Ntatute. FuRTiiKit ruuKi;ir,vu Loans to U. C. Cullkuk, lf^r»7-18r)9. / 13. Your Committee alao tiiiil tliat on tho iL'th Novornber, ISJ", a loan of S 1,000, and on tl>e Mai Dfioombor, ls.")7, a further lo\n of •■?2,"'>0, woro w.iiU to Upper C\nadi Ooilege out of the IJnivreraity funds ; that tiieao loins (S'J.OOO) woro repaid to tho Univer- sity on the lOiii Juu", IH')!), but without interont. Your Ooininittee 8ubu\It that thu Univeisify was entitled to tho interest on these loan^ for the period thi adopted, viz.: That King's College, in the first instance, shall hold in trust 20,000 acres of the lots, ordered by His M^jasty's Govern- ment, to be set apart for the support of Upper Canada C liege, till all sums advanced by King's College shall have been repaid to that Corporation. That King's College shall have full power. to create a revenue for Upper Canada College till all sums advanced by King's College shall have been repaid to that Corporation. That King's College shall have power to create a revenue for Uppfr Canada College ; to sell the lands set apart for the support of Upper Canada College ; to defray from the proceeds of the sale of these lands the current expenses of Upper Canada College, and to replace such sums as have been advanced by King's College, or shall be advanced, on account of the build- ings or expenses of Upper Canada College, "By adopting this course, King's College Council will become gradually the Trustees of the endowment, and the wild land Cax cannot be demanded for any part of the (36,000 acres. " (Signed) "J. C. "Government House, 25th July, 1831. '' After deliberation, the Council adojited the following resolutions : That the Council accedes to the arrangements suggp.ated by His Excellency the Jieutenant-Governor, conceiving it to be the intention of His Excellency that the 20,000 acres spoken of are to be granted by patent to the Corporation of King's College, upon the trusts mentioned in his Excellency's letter ; and that with respect to the residue of the 66,000 lucres, the College Council shall assume the agency of disposing of it for the pur- poses stated by His Excellency, the title to the bid remiining, as at present, vested in the Crown until patents, from time to time, shall issue to the CDrporation for rfuch tracts as will cover the contracts of sale which the CjUege Council shall have entered into, through the Bursar, in order to enable thaiu to make deeds to the respective purchasers. 88 The following comruunicatioa was also read : " The Lieutenant-Governor acquaints the College Council, that it appears desirable that the deeds of the land which was set apirt in this town for the support of a Grammar School, should be placed in possession of the Council, and that the Archdeacon of York and Colonel Wells, should be relieved from the poraonal responsibility which they have incurro 1, by borrowing, for the use of Upper Canada College, the sum for which the land in question was sold." " Government House, 27th July, 1831." ' The Board having inquired of the Bursar relative to the sales of the school reserva- tior. alluded to, acceded to the proposition of His Excellency ; and upon receiving a patent for the land which was set apart in this town for the support of a Grammar Solnol, will assume the responsibility now held by the Archdeaoon of York and Liaut-Col. Wells, aa suggested by His Excellency. (Univ. Min. Book, vol. 1, pp. 177-lSO.) Exiract of the Minutes of a Meeting held on Saturdaii, 16th March, 18S3. The followinf^ communication from His Excellency was read: — , " Government House, 9th March, 1833, "Sir, — I am directed by the Lieutenant-Governor to state for the information of the Council of King's College, that a deed for 18,000 acres of land has been transmitted to the Secretary and Registrar of this Province, part of the endowment sanctioned by His Majesty's Governruent for the suppart of Upper Canada College. His Excellency con- siders that the interests of both institutions would be advanced by the I'emainder of the lands 66; apart f jr Upper C mada College bsing disp js^d of through the agency of King's College Council, and requests to know whether the Council will consent to authorize the lots to be sold by the Bursar for the benefit of Upper Canada College. "I have, etc., ' (Signed) " WM. ROWAN." It was resolved that His Excellency's recommendation, communicated in Lieutenant- Colonel Rowan's letter of the 9th instant, '• that the remainder of the lands set apart for Uppe'; Op.nada College be disposed of through tlie agency of King's College Council," be accepter' and carried into eflect ; and the Bursar is hereby authorized to sell the said lands for the benefit of Upper Canada College. (Uaiv. Min. Book, vol. 1, p 192, 4 J APPENDIX No. '^.— Gxtraots from the Letters Patent j^rantiiis: the lands for the endoMincnt of Upper Canada Colleg^e t» the University in trust to secure the loans made to the College. ••' Wherkas We hc^ve heretofore thought fit to direct that the lands and tenements hereinafter mentioned and described whereof We are seized in right of Oar Royal Grown, should amongst other lands be set apart and appropriated for the support and endowment or Upper Canada College and Royal Grammar School. And Whereas the Ohancellor, President, and Scholars of King's College at York, in Our said Province of Upper Canada, have, from time to time, advanced divers large sums of money for the purposes of the said N •39 Upper Canada College and Itoyal Grammar Sshool which it was agreed should be charged and chargeable upon the lands which We have been pleased to appropriate for the support of the said College and School, and We being willing to ratify and confirm the said agree- ment and to secure the repayment of the said sums of money so advanced, or which may be hereafter advanced as aforesaid, have consented to grant to the said Ohancellor, Presi- <]ent and Scholars of King's Ojllege the lands hereinafter deacribod, upon the trusts here- inafter mentioned. Now, know ye, that We of Our special grace, certain knowledge, and mere motion, have given and granted, and by these presents do give and grant unto the Chancellor, President and Scholars of King's College at York, in the Province of Up- per Canada, and to their successors forever, all those several pircels or tr^tcts of land sit- uate in our said Province, and containing by admeasurement (describing the lots) * * To have and to hold the said lands and [(remises unto the said Chancellor, President, and Scholars of King's College at York, in the Province of Upper Canada aforesaid, and to their successors forever, in trust to sell the same, and apply the proceeds thereof towards the repayment of all sums which have bnen, or may hereafter be, advanced by the Corpora- tion of King's College aforesaid in aid of the said College of Upper Canada and Royal Orammar School." APPEMIIX No. :t. Order ot the Ooveriior-<;eiieriil in 4'tiiiiieil, No. »40, dated 'jriiid Hay, 1H<'»0, appi-opriatiiisr $4,444. 4'i out oftlie liiiversity Hiiriiliis liieoiiie Fund to Upper 4'aiiada ('olle»e. " The Committee have had before them a memorandum dated 18th May, 1860, from the Honourable the Solicitor General, Upper Canada, stating that the annual legislative grant to Upper Canada College of |4,444.42, has, this session, been discontinued. . . That no provision has been made in view of so large a deduction from its income. That, consequently, the funds at the disposal of the Institution are not sufficient to meet the current expsnses of the present year — expenses incurred upon the faith of receiving the usual annual appropriation, and unless relief is afforded great embarrassment will result. " That a large amouht is standing to the credit of the University Surplus Fund, which Fund, under the University Act, is applicable to Academical Education in Upper Can- ada. "That he would therefore recommend that an amount equal to the former annual appropriation, viz : ;$4,444.42 be g:anted from such Surplus Fund to Upper Canada CjI- lege to enable it to meet the expenses of the current year. That he would also further suggest that, as the Income Funi of Upper Canada College will hereafter, in all probabil- ity, be insufficient to meet the annual expenditure under its present system and manage- ment ; and as it is considered practicable to reduce the expenses of the Institution, without impairing its efficiency, the subject be brought under the notice of the Chancellor of the University, and it be intimated to him for the information-of the Senate, that the Gov- «rnment cannot hold out any encouragement that any further appropriation will be made by Parliament in aid of Upper Canada College, and that the College, after this year, must -depend upon its Endowment and tuition fees for support. " The Committee advise that the above suggestions of the Solicitor-General be Approved and acted on." BWaMBW 49 1 FOURTH REPORT : > ON THE CLAIMS OI- TUIC IMVKRSITV FOR COMPHNSATION FOR THE USE AND OCCUPATION OI- THE FORMER UNIVERSITY BUILDING AND GROUNDS FROM 1853 TO 1869. To the Senate of the University of Toronto : -..'.-■" The Special Committee of the Senate appointed to investigate and report upon the claims of the University with respect to its Endowment and Assets, as specified in the Resolution of the Senate adopted on the 11th January, 1895, present the following as a Separate Report upon the claim of the University for compensation for the use. and occu- pation by the Executive Government of the late Province of Canada of the former Univer- sity Buildings and grounds, taken possession of by that Government in 1853, and subse- quently used as a Branch Lunatic Asylum from 1856 to 18G9. University's Purcuase of the University Park in 1828. 1. Your Committee find that the property comprising the original University Park consisted of the northern halves of park lots 11, 12 and 13, now in the City of Toronto, together with the Queen and Yonge Street Avenues, containing the number of acres hereinafter mentioned, and were purchased, in 1828, by the University from the under- mentioned parties : Easterly portion. Park lot No. 11, north 52iVo acres. . Hon. John Elmsley. .. Hon. • Wm. D. Powell. . . Hon. D'Arcy Boulton. ..Hon. John B. Robinson. ..Hon. Wm. D. Powell. . . Hon. John Elmsley. '':'',.::-''■■•'-,,-,' f A Reliable and Available Asset of the University. ' ^ 2. The University Oouimissioners in their Report presented to Parliament in 1851, stated that this property had cost the University (exclusive of the University Building and Caretaker's cottages), up to the end of 1849 the sum of $59,440, and that its then value was about $224,000. They also state : " The first disbursement made by the Oouncil for the benefit of the University foundation was the purchase of the King's College grounds in the vicinity of York now within the Oity of Toronto, containing over Centre " " 12, " 52,% Westerly " «« 13, " 52 Avenue to Queen Street . 5r'A (( (1 : 5i¥. " Yonge Street 4rt';, Containing in all .. nik , ■y -1 ■ :!' -,i 41 .;i?- '-« :i ■•-■■"• 180 acres. These grounds are perhaps at present the most beautiful public enclosure in British America. No investment ever made by the University authorities can be regarded as equal to this, either in present or prospective value. The property may bo regarded as a reliable and available asset of the University, wiiich would at any time produce three or four times the total cost. In the event of the reduced state of the general endowment, conjointly with tlie continuance of the present excess of expenditure over income, rendering necessary a further recourse to the Sxed .system of replenishing funds by fresh sales of marketable property, the College grounds will be found well suited to the wants of the University." {See Report of the University Cuinmissionert!, 1851, pp. 3SJ4), Valuations of the Umvkrsitv Park, 3. It may allbrd some assistance to the Senate in formulating the claim of the Univer^ sity for compensation for the property herein reported upon, to give some of the recent estimates of the cost and value of the Park property to the University Endowment, as an investment. Your Committee tiud in the report of the Accountant of the Bsard of University Trustees dated the kJth October, 18'J2, that his estimata of the cost to the University of the 48 acres leased to the City of Toronto as '' Queen's Park" was in 1892 $582,708, equal to 812,141 per acre. Applying this ratio to the whole of the University Park property it would make the estimated cost to the University of the 171 iV.. at the date above mentioned, amount to the sum of $2,077,810. In 1891 we find thtt the Assess- ment Commissioner of the City of Toronto estimated the Park property at $15,000 per acre. In view of these values, your Committee, before dealing with the particulars of the present claim, suggest to the Senate and members of the University to consider, in the light of certain dealings with this property, how far the opinion of the University Commissioners of 1851 that " this property may be regarded as a reliable and available asset of the University which would at any time produce three or four times its total cost," has been, or is likely to be, realized. Former Mismanagement ok University Endowment. 4. Before discuasing the details of the claim respecting the University Park property, your Committee regret to report that the early history of the administration of the Endowment, as given in the Report of the University Commissioners of 1851, discloses several unfortunate and disastrous instances of mismanagement, negligence and actual breaches of trust, whereby on doubtful investments, in some cases made on estimates of prophetic values, or uncertain or expected advantages ; and, in soma cases, without such preliminaries, some of the moneys and properties of the University Eadowmont wereim- providently invested or parted with ; so that the depletion of the original endowment may unfortunately be now estimated at a large sum. Your Committee regret to call attention to these historic and later instances of improvident management. It was perhaps unfortunate that there was no proper super- vision over, nor any watchful or inquisitive beneficiary to criticise, except for purely political purposes, the early financial administration of the University Endowment. 42 The fonner trust nuthorities of the University were bound to have administered their great educational Endowment with a watchful care and conscientious desire to conserve it intact, and thereby extend the benefits and widen the intluenoe of University Educa- tion in the Province ; and in some instances it must be conceded that they did eo. As was once observed by a former Governor-General in addressing a sister University in another Province : " Tlie Endowment enjoyed by the University of Toronto is a most valuable element in the future progress of the country ; and such an endowment once lost, or diverted to other purposes, is not easily recovered." {See A/ipciidh' Xo. 11 of 1S50.) Legislation of 1853 Affectixo the University. 5. Your Committee find that during the Parliamentary session of ISoS, two Acts were passed affecting the University, under which the Executive Government of the former Province of Canada obtained important controlling powers over the Endowment and property, as well as the general government, of the University. One of the Acts was the statute IGth Victoria, c. 89, passed ou the 22nd April, 1853, whereby all the property of the University, and every right, title, claim or demand of the corporntion of the University of Toronto, to any real or persoaal property, debts or sums of money, was vested in Her Majesty in trust for the University (s. 56). The other was the Act IG Victoria c, 161, passed on the 14th of June, 1853, whereby the Grown acquired authority to expropriate that portion of the University Endowment lying at the head of the Queen Street Avenue •' uoi required for Collegiate purposes," as the Governor-General in Council should deem requisite for the erection thereon of Parliamentary and other Public Buildings. And it further enacted that the ground set apart for the purposes aforesaid, should be vested in the Crown for the public uses of the Province. Crown's Autuority to Exi'uohr'ate the University Property Conditional. 6. In granting this authority to expropriate the property just vested in the Crown in trust for the University, Parliament attached to its exercise the following conditions, which your Committee submit have never been repealed : " The ground which shall be so set ofi and taken for the purposes aforesaid, shall be valued by competent persons to be appointed by the Governor ; and the interest of the value thereof, so ascertained, at -six per ceut. per annum, shall be paid yearly out of the Consolidated Revenue Fund to the credit of the University Income Fund, and shall form part thereof." Crown takes Possession of the University Park in 1853. 7. Your Committee find that on the 6th August, 1853, the Government Architect, act- ing under the instructions of the Provincial Government, notified the President of Uni- versity College, and the Bursar of the University, that the Government required posses- sion of the University Building and so much of the park lands as were described in his letter of notification, for the purposes of a site for the proposed Parliamentary Buildings, under the Act, c. 161, of 1853, above referred to {Ste Appendix No. 1 to this Report) 48 Th it on the 20th August, 1853, the Buraar notified the GDverninent Architect as follows : " You will remember that according to the arrangement intimated hy you this diy terminates the occupation of the University grounds for University purposes." Your Oommitteo find that thereupon and on or about the 2l8t August, iH't'i, theCroyn as represented by its otticer nbjve mentioned, took possession of tho University Building in the Park, the cottages of the gate keepers, together with thit portion of th^ University Endowment, consisting of the Queen and Yongo Street Avenues, and the Park lands lying between the Observatory and Experimental Fiirm on the west, and the eastorn bjundary of the Park on the east, and between tha Avenues on the south and Bioor Street on the north. 8. Your Committee hive notobtiiaed any estiinite of the then valuo of th^ landed property of the University Eadowmeat so taken pjssosaion of by the Proviaclal Govern- ment. But in answering a liiturn ordered by the Legislature in 1853, for a stitement of the cost of the buildings and expense of fitting up the grounds " which formerly belonged to the University of Toronto," the Bursar reported that the total cost of the buildings and disbursements on acjouat of tho grounds (not including their original cost) ^' up to tho date of their being taken possession of by the Government in 1853, was £'29,- 785," equal to $119,140. (See Appendix No. 11 {Second) to Journnlafjr 1856.) tfi University loses the Builoino erected for Collegiate PuaposES* The University building referred to had been trejted by the University about ten 3'ear8 previously (1842-3) at an actuil cjst of §57,62 S, an! wjis the oaly building it was then possessed of containing lecture and class roons suitable, all of which were then " required for Collegiate parposes," — purposes which apparently excluded it from the expiopratory power given to the Crown by the Act 16 Victoria chapter 161. 9. YourCjmmittee also find that in addition to the loss to the University by this action of tho Provincial Government, the expanse of the removal of the University to thj Par- liament Buildings, and of the repiirs require 1 to tit up the latter for Collegiate purposes, entailed a farther fiaancial low upon th? University of $1,483.50, basidas other expandi- iures, — no portion of which was ever recouped to the University by the Governmant. Protest of the Chancellor and Senate in 1854. 10. This action of the Provincial Government in compelling the University to vacate the only building it possessed for University and Collegiate purposes, and which had been erected at the expense of the University trust funds,* was earnestly protested against in the Annual Report of the Senate for 1854, which appears to have been written by the Hon. William Hume Blake, then Uhancellor of the University. He says : "The Senate do not presume to question the policy of the Statute, 16 Victoria chap- ter 161, by which the Executive Government is empowered to take possession of a valu- able portion of the property of this Institution without its consent, with a view to the *In the Bursar's return of tlie coit of the University Building including repairs " up to the dite of their being taken poasession of by thINO LOTS. 1 9. From the correspondence and plana submitted, it appears that the Government then occupied and used for the purposes of the Branch Lunatic Asylum a much larger quantity of land, nearly all of which was outside the limits of the Queen's Park, as described in the lease, and included several lots which were authorized to be leased at a ground rent for the benefit of the University Income Fund. Your Committee have ascertained that the actual quantity so occupied and used by the Government for the purposes of the Asylum was about eleven acres. Loss OP Rentals to the IJNivBasiTy. 20. Your Committee find that owing to this occupation of the lots by the Government, the Bursar was prevented for several years from leasing the Building lots laid out on the. easterly side of the Queen's Park ; and also from enforcing several of the covenants of *In 1875 the City agreed with the Senate to lease the northerly 35 acres of the University Park, at a rental of $8,C00 a year for 42 years rerawable on a valuation, and to cooipensftle two tenant* en the property for their outlays and the surrenders of their leases. A By-law No. 671 was passed by the City Council to carry out this agreement ; but on certain objections being made to it by the Senate, another, No, 674, wast parsed to remove the objectionable provisions. The lease, hrwever, wos never executed, and the property has never realized the agreed income for the University. (See Senate Minute Book for 1875, pp. S7 and 3SC>). 47 the City corporation contained in the loaso of tho Park to the City. Your Coniaiitteo would specially refer to tho letters of the Bursar, dated tho 7th June and 1 tth Dec, 18(51, and to the reply of the Provincial Secretary, dated tho 'i.^rd Soptemhef, IStJl, in which tho Government informed the Buraar that the extra jjround so occupied l)y tho Branch Lunatic Asylum could not be given up ; and that tho Oovcrnment could not thoii authorize the laying out and leasing of the Building lots referred to in the correspondtmce. Opinion ok thk Univkrsitv Commissioneus ov 18G3. 21. Your Committee also report thit this claim of the University for compensation is sustained Uy tho University Commissioners in tlioir lleport laid before Parliament in 18(33, as follows: "The Commissioners are under the necessity of calling special attention to the occupation by the Firanch Lunatic Aiylum of a larj^e and valuable pro- perty belonging to tho Univorsity. The building was erected out of the Endowment uL a cost of about $r)5,000,* and \vas in use for Univerdity purposes until tho year 185 "J, when it was taken possession of by the Government under tho Act for tho erection of Government I3uildings in Toronto, and has been occupied by the Branch Asylum for eight years, without compensation or allowance of any kind to tho Endowment Fund. In a letter to the Hon. Provincial Secretary dated 1 Uh December, 18(51, tho Bursar showed how much injury to the University h^id resulted from this occupation. A^muih larger space than was originally intended has been taken possession of, and it is impossiljle to carry out the plan for leasing a portion of the Park laid out in lots for Building leases, so long as the University property is thus . ithheld from its legitimate use. If it is deemed necessary that the Building should be reserved for an Asylum, a fair compensa- tion should be made to the University Endowment, and only so much land taken as mar be found absolutely necessary. The Commissioners further consider that a fair claim exists for rent during the whole period of the occupation." (Sei Sessional Paper, Feb- ruary Sessioti, 186 J, No. 19.) 22. The Commissioners, without taking into account the provisions of the Act of 1853, allowing the University six per cent, on the value of the property taken, estimated that the allowance to be made to the University should be at the rate of five per cent, per annum on the original cost or value of the property occupied by the Governnrent for the Branch Asylum from 1853 to 1862, which they computed up to the date of their Eepoit would amount to $27,500. 23. Your Oommittee also report that the Senate made 8.;)veral applications to the Gov- ernment respecting their continued occupation of the University Building, and the non- payment of rent of the same, but without success. Universitv Entitled to Compensation from the Okown. 24. Your Oommittee having thus brought out the prominent facts respecting this claim, submit that the Executive Government of the late Province of Canada, having exer- cised the powers given by the Act 16 Vic. c. 161, by taking possession of a portion of *The actual coat of the Building, excluding repairs, up to 1849, was |67,(>28. See Report of the University Gotniniseioners, 1861, p. 35. 49 the University Kmlowment, nuil likvin^H) lal'tm and hflil pimxtHHioa of hucIi Kixiowiiifiit, the University has u ri^ht to claim a r«iison ihln cjinpfinsition, f>ith»tr timt proviih'd for ill thf Act of 18r)3 up t) tho lut January, IS'ii), whim a portion of Huch Kndowniont wag leasod to tho City of Toronto, or sh may \ie othnr^riHo ascertained, And having ulto from tlie dutoH nhove ni'-ntioned, rutainod poMoggion of the Stone Building; and ailjacent jiroperty, ant! apjiropriattd it to othir purpoKca than thorn; aulhori/cd by thn Act, and under wliioii Huch poHsesaion wag olttainotl frcini the University, it ig siiWniittcd that there are good grounds lor claiming on behalf of tho University, and against the down, com- pensation for tho use and occupation of tho Building and property used by the Govern- ment for the purposeg above mentioned. 25. Your Committee therefore reoorem«'nd that a proper repro.sentation bo made to the Executive (iovernnicnt of Ontario, so that iraniediatc fiteps may be taken to recover for tho Univttfgity Kndowment a reasonable oompojisation for tho uao and occupation by the Crown of the Trust property mentioned in this Report, 26. The Oorrespontlenco and Orders in Council laid before your Committee relating to tho matters hero reported upon, are appended to this Report. All which i-s respectfully submitted, THOMAS HODGINS, . Chuinnnn. AFI*liX7M\ >o. I. 4'oi'n's|»oii4l4'iir4' K«'K|MM'tiii»' llic 4'ro>vu\ Tiikiiiu I*on- st'MMioii ol* the riiivcrsily Park tiiMl Itiiihliiius in IS5:t and Otlior llalttTM. ToKONTO, (Jtli August, 185;'>. Sir, — Under instructioiis from the Government, 1 have notified the President of the University College of Toronto, that the Parliament Buildiag-i will be vacated on tho 15th instant, requesting him to avail himself of the same as soon thereafter as possible with a "'ew to the transfer of the University Building to the Government on or before the 20th instant. The West wing of the Parliament Buildings will be reseived for your Otlice and residence. With reference to the lands of the University, namely the Avenues, and Park land lying between the Observatory and Experimental Farm to the West, and the Eastern Boundary; and between the East Avenue and the Ist Concessiop of York; I am to request that you will take the necessary steps for their transfer, with all Buildings and fences thereon, on the 20th instant ; and I submit whether, in connection with said transfer, it be not advisable that a proper survey be made of the property, its boundaries established and deRned, and the value of the Buildings ascertained, pursuant to the clauses of the Ac I. passed for that purpose.* I have the honour to be, etc., ^ •:'••-= ; . ... ' (Signed) FRED. CUMBERLAND. David Buchan, Es 40 i ! n. ■*■."- Univkhhity and Ooixkorh, 1U;r,har'h Office, Toronto, Hth Auguit, 18.'):V Sir, — I have the honour to acknowledge rocoipt of your letter of fith inntant, and have to inform you in reply that I have given instructions to the Supcrintendtmt of grounds to he prepared to roHign poHsession o' that portion detincd in your letter, l>y the 20th instant. With reference to your suggestion about a survey of the grounds, and a valuation of the buildings, I am satistied both are necessary. I understand that you have instructed a surveyor to measure and detine the groundn, and I shall be happy at any time to t'urniHli him with every information and assistance in my power. I have already Huggested to Government through the Solicitor General (West) the necesnity there exista for an immediate arrangement being made for the valuation both of the groundn and buildings which are about to be taken from the University ; but, lesc amidst the multiplicity of other matters requiring attention this may be overlooked, I will make a foriiial communi- cation immediately, requesting either the direct action of Government, or instructions how I am to proceed. ' I have given directions at the Medical Building for some one to be always in attend- ance in order that in case of your going up or sending any one else, there may be no disappointment. I have the honour to be, etc., (Signed) JJAViD liUCHAN, Burmr. F. W. CUMBEKLAND, Esg , Architect, Toronto. Univkraity and Colleges, Bursar's Office, Toronto, 8th August, 1853. Sir, — I received on Saturday from Mr. Oumberland 4 communication, of which I have the honor to enclose a copy in which he informs me of the arrangements which are in progress for the assumption by Government of the present University grounds and the Buildings thereon, and he suggests the propriety of getting a survey of the grounds, and a valuation of the buildings iu order to the proper carrying out of the transfer. I understand that he has already ordered a survey to be made, and in acknowledging receipt of his letter, 1 have stated my readiness to afford every information and assist- ance iu my power. With reference to the valuation, I presume it would be proper to have the value, not only of the Buildings but of the grounds themselves ascertained, as also the loose building material which is on the grounds, of which there is a large quantity, originally intended for King's College. ^ 4 c.u. • '. - ' ■ - A 00 I have not seen a copy of the Act authorising the erection of the Parliament Build- ings, and the assumption of the University Park as a bite for them and a Government House ; but according to my recollection of the newspaper version of the Bill, the pro- perty was proposed to be valued Ly competent parties, and six per cent, interest paid on such valuation to the University Income Fund. Mifi;ht I presume to suggest that this valuation should be made as soon as possible ; and that Government should either themselves name the valuators, or authorise Mr. Cum- berland and myself, or any other more capable or spptopriata party, to select competent persons to represent in such vaiuation the general public interest on the one hand, and the University interest on the o^her. At any rate, in whatever way the valuation is arrived at, it appears to me exceedingly desirable that it should be as nearly simultaneous with the transfer as possible. I have the honour to be, etc. , /Signed) 1)A7ID EUCHAN, Bursar. The Hon. A. N. Mobin, Provincial Secretary, ^ « Quebec. Secretakv's Office, ' Quebec, 13th August, 1853. 3iR. — I have the honor to acknowledge the receipt of your letter of the 8th infjtant, transmitting a copy of a letter from Mr. Cumberland on the subject of the assumption by the Government of the present University grounds and th^ buildings thereon ; and to inform you that the subject will receive Hip Excellency's consideration. I have the honor to be, etc., David Buciian, Esq., Bursar, Universiti/ and Colleges, Toronto. (Signed) A. N. MORIN, Secretary. . Buhoab's Office, TouoNTo, 20th August, 1853. Sir, — You will remember that, according to the arrangement intimated by you, this day terminates the occupation of the University Grounds for University purposes. You are aware, I believe, that 1 have intimated to all the men under Mr. Buckland's charge that they must cease from to-day to -ok to the University for employment, and are ci ' I' aaaa 01 W^H! .»* henceforth dependent en you. Mr. Buckland ia now with me. He has charged the men to look after the grounds as usual to-morrow ; but on and from Monday, it will be neces- sary that they have your instructions what they are to do. Mr. Bup^land desires ine to say that he will be happy to render you any assistance in^his power, until your Superintendent is ready to enter upon his duties, in case he may not yet be on hand. I am, etc., (Sife >ed) DAVID BUOHAN, IJursar. F. Vv, Cumberland, Esq., Toronto. (Extract. ) Toronto, 30th August, 18.53. Sir,— On the subject of the Public buildings, etc., I have to bring to your notice : 1, That the whole of the University property, avenues, park, buildings, etc., have beenjtransferred^by the authorities to me as agent of the Government in the matter. .<;. , That such transfer will involve an arbitration in accordance with the Act of last Session, and that said arbitration could be more conveniently made now than at any future period. 2. That in consequence of said transfer it has become necessary to rutain three labourers and a foreman in charge and care of the grounds', whose wages become due weekly, for which a.s yet no provision has been made. I request your authority and directions as to these and other incidental petty dis- bursements, observing that it would be a very convenient and satisfactory arrangement if some Government otlicer re.sident in this city should be appointed Paymaster of these accounts on ray certificate. Otherwise I am connected with payments in cash, which is not desirable or within the range^of ^my duty. The Bursar of the University, a Government ollicer, already acquainted with these matters, wonld be willing to undertake the service. I have the honor to be, etc., (Signed) FRED. CUMBERLAND. T. A. Begley, Esq., Public Works, Quebec. 5th September, 1853. Sia, — With reference to that portion of your letter of the 13th ultimo,* respecting th'' transfer of the University property at Toronto, I am directed to request that you will transmit the document to this olRoe, together with a plan of the whole property. (Signed.) T. A. BEGLY, ' ' Secretary, F. Cumberland, Esq., Toro nto. ^ *Thi8 letter of 13th Auff., 18.53, cannot be found in the Department of Public Workg. 52 Toronto, 12th Sept,, 1863. Sir, — With reference to your letter of the 5th inst., directing me to transmit the document transferring the Universitj property in this city to the Government, together with a plan of the whole property, I have to inform you that no such document has come to my hands, the Bursar of the University having communicated to the Honourable the Provincial Secretary upon the subject. No accurate or authorized plan of the property being in existence I have caused the same to be surveyed and the plan is now in course of preparation, by a Deputy Pro- vincial Surveyor, for registration, a copy of which I will transmit so soon as completed. The property having been transferred, it became necessary to take steps for its care and management, especially with a view to its preparation for its contemplated purposes. I have accordingly placed it in charge of Mr. William Mundie whose plan tor the Botanic Garden had already been approved, and who has so successfully laid out the grounds of the Provincial Normal School. The Grounds require thorough draining, planting, etc., and he is authorized to proceed with those works. No funds being yet officially at my disposal for these services, I have opened an account at the Bank of Upper Canada for the necessary payment of wages, the monthly returns of which will be regulai J transmitted to you. I have also let a contract for the fencing in of those parts of the Park including the sites of the Governor's House and the Parliament Buildings. This is necessary to prevent the Park and Grounds beinpr injured by building operations. These steps, as well as the transfer of the Parliament Buildings to the University authorities, have been taken on verbal instruction from Members of the Administration, here, as further delay awaiting the formal Order of Council would have resulted in the total loss of this season, and extreme embarrassment in regard to completion within the allotted period. * . - , > I I have the honour to be, etc., A. Beoley, Esq., Secretary Public Works, Quebec. (Signed) FRED. CUMBERLAND. Toronto, 26th Feb'y, 1855. Sir, — By your letter (No. 16776) of the 6th instant, we are directed to transmit " a full " Report on the state of the public Grounds and " the several Buildings connected with them, the Observatory, Medical Building, etc.," describing their present state, the expenditure " on each and how occupied, the nature of " the work remaining to be done to the " Observatory, if any, and the cost thereof." We accordingly proceed to report Ist. As to the Grounds : On the 25th January we had the honor to report to you the intention and purposes resulting in the transfer of these grounds from the University to the Government by an Act of Parliament passed in that behalf. These Grounds ". fyrfTffxrTT^-TTr- smesM having been adopted by iibe then OoTemment as the site for the propoaed Parliament Buildings, they were transierred to our charge on the 20th August, 1853, and on the 30th August, 185?, I reported the same together with the propriety of establishing the terms of said transfer by Arbitration as directed by the Act of Parliament aforesaid. On the 12th September, 1863, we reported the necessity for procuring an accurate and authorized plan of the property for registration and such a plan has since been made and transmitted to you. (Signed) CUMBERLAND & STORM. The Secretary, Public Works, Quebec. Bursar's Office op the University of Tokonto, 7th June, 1860. Sir, — Tn reply to the question put by you to me this morning, I have the honour to inform you that the portion of the University grounds in this city taken possession of by the Government of the day, under the Hincks' Act for the erection of Parliament and other public buildings in Toronto, consisted of the Avenues and the Easterly 100 acres of the 150 purchased by King's College, When authority was given for the erection of the new Univpirsity Buildings, Govern- ment released possession of all that portion of the 150 acres which lies to the westward of the line of the Queen Street Avenue. Again, under the Act of Parliament, and 'subsequent Order-in-Oouncil, (dated 15/18 December 1858) authorizing the lease to the City of a portion of the grounds for a public park, the avendes and a portion of the east 50 acres were surrendered subject to the right of Government. " to use the building reserved lor the temporary accommodation of L'-'^nat'.Cd. " And now that the Government have authorized the disposal of a portion of the park in building lots, I conceive that there has been surrendered, that poriicu of the east 50 acres, which lies between the public park and the Yonge Street Avenue on the south, and ' the Elmsley property on the East, a,% far north as the park extends. It seems to me, therefore, that what etill remains to be surrendered is the piece of land east of the line of the Queen Street Avenue and north of the city park, for I take it for granted that, under the Order-in Council quoted, the Lunatic Asylum portion will fall into the hands of the University whenever the Lunatics are removed, which we all hope will be soon. I have the honour to be, etc., , The Hon. J. 0. Morbison, ^ Solicitor General, Toronto. (Signed) DAVID BUCHAN, Bursar. u Univkrsity Borsab's Officb, , Toronto, 7th June, 1861. Sir, — Stay I request the favor of your informing me when I may expect to be put in possesaion for the University of Toronto, of the building and grounds belonging to the University, at present occupied by the branch Lunatic Asylum 1 Or, if there is not immediate prospect of the building being vacated, whether I can get possession of the ground between the building and the eastern boundary of the park, extending northwards as fai- as used by the Asylum 1 Having been authorized by the Government to lay out and lease building lots there, I am anxious to complete my arrangements. I have the honor to be, etc., (Signed) DAVID BUCHAN, Bursar. E. A. Meredith, Enquire, , Secretary Board of Prison Inspectors, Quebec. Secretary's Office, Quebec, 5th September, 1861. Sir, — I am directed by His Excellency the Governor General, to acknowledge the receipt of your letter of the 7th June last, addressed to the Secretary of the Board of Inspectors of Asylums etc. requesting to be informed when you may expect to be put in possession for the University of Toronto, of the buildings and grounds belonging to the University, at present occupied as a branch Lunatic Asylum, or whether, in the event of tha^ building not being immediately vacated, you can get possession of the ground between the building and the eastern boundary of the University park, extending northwards as far as used by the Asylum. His Excellency directs me to inform you, that the temporary Lunatic Asylum in question cannot at present be given up to the University. * With regard to your application for a portion of the ground attached to the Asylum, I am to state that it will be necessary, previously to coming to a decision upon that appli- cation, to ascertain whether the retention of this piece of land, is essential to the well- being of the temporary Asylum. I have the honour to be, etc., . ;' (Signed) E. A. MEREDITH, Assistant Secretary, D. BucHAN, Esq., Bursar, University and Colleges, Toronto. o;) Skcrktauy's Office, QuEBKC, 23rd Sept 1861. it in the not the irds lere, ■* ■Sr ' the of in Ithe of sen as in im, )li- 3ll- SiR, — Adverting to the letter to you frim this Department of the 5th inRtant, I have the honour to inform you that the Medical Superintendent of the Provincial Lunatic Asylum was requested to report upon that portion of your letter of the 7th June last, in which you ask to be informed whether you can get possession of the ground between the brauch Asylum in the University grounds and the eastern boundary of the park, extend- ing northwards as far as used by the Asylum. I have now to state that that officer reports that he considers the retention of the whole of the grounds, at present occupied by the temporary Asylum in question, essential to the well-being of the patients, and that he should consider any curtailment, but especially that mentioned in your letter, as rendering the building unfit for the purpose of a Branch Asylum. His Excellency cannot thereii^e authorize at present the laying out and leasing as building lots of the grounds referred to. I have the honour to be, etc., David Buchan, Esq., Bursar, University and Colleges, Toronto. (Signed) C. ALLEYN, Secretary. Office op the Bursar op the University, ' ToBONTO, 14th December, 1861. Sib, — I have the honour to request that you will lay before His Excellency the Governor General in Council the following statement, of facts connected with the occupa- tion of the old University Building and a considerable portion of the University Park, for the benefit of some of the Lunatics of the Province : At the time the arrangements were in progress for leasing a part of the University Park to the City of Toronto, to be converted into a Public Park for the "benefit of the Citizens, and when the question of the approval of the Statute of Senate in that behalf was before His Excellency in Council, the Honourable the Attorney General (U.C.) reported that the Statute should be approved "subject to the right of the Government to use th e Building reserved for the temporary accommodation of lunatics, which may be provided for in the proposed lease," and the Order-in-Council was passed accordingly. As the above mentioned condition, suggested by the Honourable the Attorney General, refers to a reservation provided for in the Statute, it will be proper to quote the words of the Statute on that subject. They are as follows : " There shall be reserved in and by the Lease thereof the Stone Building with the Ground immediately around it as laid down in the said plan and marked ' Reserved.' " 56 That His Excellency may have a clear view of what this reserve is composed, and its relative position to the Park leased to the City, I enclose a tracing of the plan in so far as necessary. In the end of 1858 the Lease was stgned. It contains very strict oovnnants on the part of the City for the planting of the Park with ornamental trees, fencing and making roads, etc., but the authorities of the University cannot enforce these covenants, because the Medical Superiiitendent of the Lunatic Asylum holds in possession a much larger piece of ground than that which is reserved by the Lea^e and the Order-in-Counoil which authorized the lease. Part of the over-plus ground so held is within the limits of the City Park, and part is comprehended within the bounds of another piece of ground which has been put under my charge for the purpose of being leased as building Lots around the City Park, or Queen's Park as it is now called. It will perhaps be remembered by some of the members of the Executive Council that the plan of this land appropriated for leasing purposes, the form of the lease, and elevation plans of the houses to be erected were submitted to and approved of by His Excellency Sir Edmund Head. After a good deal of trouble and many goings to and fro, I have been able to get a contract of lease executed with a respectable party in the City for two of the lots ; on which he is bound to erect a house, according to plan within two years from the date of the Lease. The plan of the ground laid out in lots has also put on record in the Register Office for the City. I am therefore, so far in a position to bring the remainder of the lots into the market ; but I hesitate to do 80 until the difficulty arising from the occupation of the over-plus ground by the Asylum authorities is removed ; or, at least, until I know that it will be removed within a certain definite limited time. I fear also that I may get into trouble with the party who has already obtained a leeise, as be cannot get access to the front of his lot until the road there is made. I shall be very agreeably surprised is he pays his rent when it becomen due. Such being the circumstances, I have to request, on behalf of the University, that the occupation for the benefit of the Lunatics of, at any rate, the ground not embraced in the said reservation may be put an end to. Also that even the building and ground compre- hended in the reservation, may be given up ; for it seems very hard that not only should the property of the University be appropriated without compensation, to a purpose quite foreign to its original destination, but that the occupation should be continued to the serious damage of the University's interests. v. * ' .. . \ '. ' . I have the honour to be, etc., i ;" ;• . ! , (Signed) DAVID BUOHAN, ' Bursar. The Hon. The Provincial Secretary. ■ lll f l ll fPJI M W . 67 I .« •« 1 Offior of the Inbpbotor of Asylums and Prisons, Toronto, 3rd July, 1869. Sir, — I have the honour to communicate for the information of the University authorities that it is the intention of the Government to transfer the patients at present confined in the University branch of the Provincial Asylum to the main building on or about the Ist September next, when possession of the building now used for asylum pur- poses will be given up. - . I have the honour to be, etc. (Signed) J. W. LANGMUIR, Inspector. David Buchan, Esq., Bursar, University College, Toronto. Bursar's Officb, Toronto, 2l8t Dec., 1869. Received from the Honourable the Commissioner of Agriculture and Public Works the keys of the building situate in Queen's Fark^ Toronto, and recently known as the " University Branch Asylum," the same received without prejudice as to any future settlements or adjustments respecting said building or its contents. (Signed) DAVID BUCHAN, Bursar. APPENDIX No. '^.—Extract of a Report of a Committee of the Honorable the Executive Council, dated the %lst February, 1856, approved by His Excellency the Crovernor-Cieneral in Council on the same day. On a petition from the Chancellor, Vice-Chaqcellor and Senate of the University of Toronto, for the a8si&;nment of a certain portion of land as a site for the University Buildings, and for the early erection thereof. The Honorable Attorney-General for Upper Oanada recommends that the portion of the University Grounds lying west of the College Avenue, be set apart for Universitj purposes, but the Senate be authorized to contract for the necessary University Build- ings thereon. The Committee humbly advise that the recommendation of the Honorable the Attor- ney-General be approved and carried out, it being assumed that the Senate will enter into no engagements beyond the limits of the resources of the University available for the above purposes. , Certified, - (Signed) W. H. LEE, C.E.C. To THE Honorable The Provincial Secretary. .^ 08 ii>' APPENDIX No. :t.— Menioraiidiiiii of the Attorney-IJeiieral, iind Order in Council appropriiitiiiK the rornier luivertiity MuildiiiK for a Branch Lunatic Asylnni. Copy of the Memorandum of the Attorney-General to the Executive Council, leapecting iU- UvAveraity Buildimj. The uniicroigned haa the honour to state for the information of Your Excellency that the building on tli.-^ East side of the OoUege Avenue in Tcontc, formerly used by the Uni irei'sity ii no^ Mficc ipied, < nd under the control of the Board of Works. It has been suggepted that t \i^' building might at a comparatively small expense be fitted up for the rec&) ion of inatict^, until the erection of a perL'ianent Asylum in Upper Canada. The undersigned therefore re8|)ectfully recommends that the Commissioners of P'lbli.; Works be instructed o communicate with Dr. Workman, the Medical iiuperintendent, and to report without delay on the extent of accommodation which this building will afford, aiid the sum required to fit it for such temporary occupation. ToHONio, April 23rd, 1856. (Signed) JOHN A. MACDONALD. i Copy of a Reporv of a Committee of the Honourable the Executive Couucil, dated SSrd April, 1866, approved by Hia Excellency the Governor-General in Council on the same day. On a memorandum f^om the Hon. Attorney-Creneral for Upper Canada, stating that the Building ou tL.i East Side of the C'ollege Avenue, in Toronto, formerly used by the University is now unoccupied, and under the control of the Department of Public Works ; that it ha.; been suggested that this building might, at a comparatively small expense, be fitted up for the reception of Lunatics, until the erection of a permanent Asylum in Upper Canada. He, therefore, suggests that the Commissioners of Public Works be instrrcted to communicate with Dr. Workman, the Medical Superintendent, and to report without delay on the extent of accommodation which this building will afford, and the sum required to fit it for such temporary occupation. The Committee submit the above recommendation for Your Excellency';^ approval. (Signed) WM. H. LEE, C.E.C. To THK Honourable The Provincial Skcretart. i ti. -:'■.; ,* r' * , ■j .'■/>■ 09 FlFTfl RHPORr: ON THE CLAIM OITHK UNIVERSITY RESI'ECTIN(i CERTAIN HONDS OR DEBENTURES OF THE TAY NAVIGATION CO^^•A^Y. To the Senate of the Univermity of Toronto ; ' The Special Committee of the Senate appointed to investigate certain claims of the University with respect to its Endowment and Aeaeta, specified in the Resolution of the 11th January, 1895, present the following as a separate Report upon the claim of the Uni- versity respecting the investment of $2,000 of the capital of the Endowment, in two bonds or debentures of the Tay Navigation Company. Invkstment op 82,000 m Tay Navigation Bonds in 1841. 1. Your Committee find in the Minute Book of the University Council under date of the 2nd October, 1841, the following entry : " The Bursar exhibited the receipts of the Cashier of the Bank of Upper Canada for the following Debentures purchased since the last meeting of Council and delivered over to the Bank for safe custody and management. '• No. 4 Tay Navigation Company for £250. " No. 5 " «• " «« .£250." The Cash Book of the Bursar shows that these bonds were purchased, apparently from the Bank of Upper Canada, on the 18th May, 1841. A copy of one of these Bonds is appended oo this report as Appendix No. 1. The Tay Company Incorporated in 1831. 2. The Tay Navigation Company was incorporated in 1831 by 1 William IV,, c. 11., with a i>«i jital of i$16,000, for the purpose of improving the navigation of the Rive- Tay, or bvUding a canal between Perth and the Rideau Lake and Canal ; and the persons so incorporated were Henry Graham, Son. Alexander Fraser, Hon. Roderick Matheson, John McKay, George Hume Read, Jonas Taylor and Henry Glass. The Hon. William Morris afterwards became the President of the Company. The Act also specially repealed so much of the Rideau Canal Act of 1827, (8th George IV,, c. 1), as authorized the Ciown to improve the navigation of the said River Tay, as part of the Rideau Canal. Grant of Perth Town Lots to the Company in 1833. 3. During the construction of thf ()anal the Company obtained from the Executive Government of Upper Canada by Letters Patent, datod the 31sb January, 1833, a free graut of certain town lots, containing fiv^e and one half acres of land on Cockburn Island, in aboat the centre of th j Town of Perth, and then used as a Market Place ; but your Comi-itfie hav^ not investigated whether the title to those town lots atill remains in the Company. , ^ «i() OOVEKNMRNT LoANS OF '^7,000 TO THK OoMFANY. 4. In 1834 tbe Oompany alao obtained a loan from the same Ooveruiuent of 84,000, payable in ten years, with interest thereon at six percent, per annum, under tbe proviaiona of 4 William IV., c. 42 ; and in 1837 a further loan of $3,000, payable in twenty yeara, with interest thereon at nix per cent, per annum, under 7 William IV., c. 76. The loans were to be secured by a Bond and a mortgage on the property of the Company, and the tolls to be collected from the navigation, and such other real and personal security as the Lieutenant-Governor should deem suflicient. 6. These loans amounting to $7,000, have never been re-paid ; and in the Public Aenoiints of the Province of Canada for 1865, thfy are enterpd under the title of " Loans to Incorporated Companies ; Tay Navigation Company, $7,764.05." {Sm Canada Si'. or oii4> oX Wn- IIoiuIm or ll4'lM'iiliir<>N of Tii.v \\\%\- fftitioii 4'oiii|iiiii.v lirld by tli«> I iiivci-Mity. Know all men by these preRontH that the President and Directors of the Tay Navi- gation Company, and (heir successorH in oflicp, are hereby held and firmly bound to the President and Directors of the Bank of Upper Canada in the penal sum of Five Hundred Pounds of lawful money of this Province conditional as follows : The condition of the above obligation is nuch that the above bound Tay Navigation Company shall pay to the President and Directors of the Bank of Upper Canada aforesaid or to their assigns on the first day of July one thousand eight hundred and thirty seven the sum of Two Hundred and Fifty pounds of lawful money, and shall in the meantime at the expiration of every six months from the lUto hereof, pay to the said liank or their assigns, the lawful interest accruing on the said sum of Two Hundred and Fifty Founds, then this obligation to be void or else to remain in full force and virtue. Given under my hand and seal at Perth in the said Province this third day of October in the year one thousand eight hundred and thirty-three. (Signed) WILLIAM MORRIS, [L.S,] Witness : (Signed) (Signed) President, Tay Narif/ation Compamj. James Wilson. Wm. Kirki'Atrick. 4PI*E\UI\ No. rj.— Extract of tlu' K<'|»<>rt of the illiiiistcr ol* riiklic Works furjlHtn, oil the Khor Tuy Canal. "The River Tay, which may be considered a bianch of the Rideau Navigation falls into the Rideau, at the foot of Lower Rideau Lake. - "The town of Perth is situated on the River, about 8 miles above its mouth. ' "In 1831 a Company was incorporated with a capital of $10,000, for the improve- ment of the navigation of this river. The works wore immediately commenced, and in 1834, were opened for navigation. " They consistfof five locks, with dams and slides for passing timber ; four of the locks are of stone, the remaining on. with the other works is of wood. The Company never declared any dividend ; and the works are in a dilapidated state. u^\ "The locks arejabout 101 by 20 feet, with four feet of water. "The Government of Upper Canada, during the session of 1833-4, loaned the Com- pany $4,000; and in 1836-7,83,000. c. , ' "The total cost of the works, so far as CAn be ascertained, up to 30th June, 1867, amounted to ^7,764.05." (See Sessional Papers 1867-8, No. 8, p. 61.) illlX \». ».— E\tra<'t oi ttir Ooiinal Kciiort of (lie MinlMtrr ol Pub. llr WorkM, IHUI-IMH-!. on tlir Kivcr Tiiy (iinnl. "The town of i'<>rth, in 1H34, waa connected with tho Rldeau Tiake by a canal oon> Btru:!t«(l on the line of the River 'Pay, which flowH from Perth and uniptiofl into the eaat onI:M»I\ No. I.-Extraot of tlio Report of the ^liiihter for Railways and Canals Tor 18Hri, respei'tinij; the re-conHtrnetion of the River Tay (*anal. " Tay Oanal. A survey has been carried out having in view the canstruction of a short Branch Oanal to connect <;ho Town of Perth .nd the extensive mineral interests now being developed, of which it is the centre, with the Rideau Canal ; such connection formerly existed by means of a channel maintained by dams and locks, which have long fallen into disuse and decay, along the line of the River Tay, ending at Port Elmsley on Lake Ridoau, a distance of about 10 miles. It has been decided to adopt a line of com- munication, starting from Beveredge'H L., ,.n Like Rideau, at which point a short cut in which two locks, the only ones to be constructed, will be built, giving access from the Lake to the River. " At the point of junction with the River a dam will be formed, raising the River waters sutRciently to give with the deepening of the channel in certain places, a navigable depth up to Perth. Some of the more abrupt bends of the river will also be cut through, makjng the distance to be traversed about six miles." (Sessional Paper No. 8, of 1833, p. xxxiv.) The Report of the Government Engineer in charge of the reconstraction of the River Tay Oanal, is appended to the Report of the Department of R^lways and Oanals for 1882, as Appendix No. 6, p. 119. (See Sessional Papers, 1883, No, 8.)