H.—2e.

No. 11. Memorandum by Mr. E. Carrow. Stores required for Addington Workshops for the Locomotive Engineer, Christchurch. The contractors have lately demurred to supplying the above, on the ground that the material is required for construction, and does not come under the designation of " railway stores." This refers particularly to about 7 tons of corrugated iron and 6,000 fire-bricks lately ordered to your requisition. I have referred the question to the Commissioner, who has instructed me that all materials required for works authorized by himself are to be supplied by the contractors ; but that the matter of tarpaulin shed, for which you, as I understand, require the galvanized iron, is a matter arranged between the Engineer in Charge of the Middle Island and yourself, so that, the authority not having emanated from the railway head office, the railway store contractors are not bound to deliver. Please state if the fire-bricks are required on work for which you hold the Commissioner's authority. E. Carrow, Christchurch, sth July, 1880. Stores Manager.

No. 12. Mr. Allison D. Smith to Mr. C. Y. O'Connor. (Telegram.) Christchurch, 12th July, 1880. Commissoner refuses to allow me to get stores for new works at Addington under our contracts for stores. We have always hitherto obtained stores in that way for all works at Addington. This action in the matter will upset all my estimates and increase cost of work. Can you obtain Minister's authority for me to purchase stores as I have hitherto done ? The w*ork is well in hand, but will be brought to a standstill in a few days unless I can get the stores under contract. Guthrie and Larnach, finding that the price of iron had gone up, have got him to take this action. Allison D. Smith, District Locomotive Engineer.

No. 13. Mr. C. Y. O'Connor to Mr. Allison D. Smith. (Telegram.) Dunedin, 12th July, 1880. Re purchase of stores. Have referred question to Minister; but, unless you get the authority you ask for within a few days, I think it will be better to make arrangements for obtaining the materials elsewhere. Should think extra cost would not amount to very much. C. Y. O'Connor.

No. 14. Memorandum for the Commissioner of Eailways, Middle Island. I have the honor to inform you that the work in connection with the extension of the smith's shop is completely stopped through non-delivery of galvanized iron. The Stores Manager has written to me and informed me that you instructed him not to supply certain galvanized iron which was requisitioned for the workshops, on the grounds that the authority for certain buildings did not emanate from the railway head office. I beg to point out that the large majority of the work that has been done at Addington has been carried out from authorities received direct from the Public Works Department; and that if your decision in this matter is final, then the contractors who have hitherto supplied the material will have just and equitable grounds for making large claims upon the department. The whole question seems to hinge upon the fact that Messrs. Guthrie and Larnach, finding that the price of iron has risen since their contract was accepted, are striving by every available means in their power to rid themselves of their responsibility. When stores are requisitioned for by the workshop department, in the ordinary course of business, it is not the contractor's place to inquire for what job the stores are required; or if it is, then we shall require to keep two separate store departments, on account of the large and varied assortment of stores used for construction department. The foregoing question affects both the Working Eailways and Public Works Departments; and, as the matter will not warrant delay, may I beg to request that you will see and arrange with the Minister for a final settlement of this question. Allison D. Smith, District Locomotive Superintendent. New Zealand Eailways, Middle Island, Locomotive Department, Christchurch, 13th July, 1880.

No. 15. Mr. C Y. O'Connor to Mr. Allison D. Smith. (Telegram.) Dunedin, 14th July, 1880. Re your telegram of 12th re Addington workshops. I took this to be official, as it appeared to be so ; but, before finally treating it as such, please say if it is intended to be official or otherwise. C. V, O'Connor,

dghhghghh