29

F.-6

by the Colony of New Zealand alone for some years. The Colony of New South Wales was later induced to contribute temporarily ; but, as the Government of that colony was expeditiously and satisfactorily served by its service via Suez, its contribution was not regular, and was withdrawn in 1890. Thus the whole burden of maintaining this expensive service again reverted to the Colony of New Zealand, the situation at the present writing being that New Zealand is (with the exception of a nominal re-contribution from New South Wales) now making the entire foreign contribution to this service. In January, 1891, however, the United States Government, evidently in recognition of the benefit derived from this long-established Australasian connection, authorised a subsidy to the line, and later (I think in 1897) made an additional contribution. But these contributions did not in any degree diminish the sum contributed by the New Zealand Government. The commercial benefits derived from the maintenance of this line have from the inception been very largely in favour of the United States. In fact, I think it can be truly stated that the excess of the benefits received by the United States over those received by the Australasian Colonies have in the past twenty-five years amounted to many millions of dollars. My object in presenting this epitome of the service is to endeavour to establish, on behalf of my Government, a claim to an equitable consideration by the United States of such interests as the citizens of New Zealand may have in the formulating of laws in connection with the commerce of the Hawaiian Islands now that they are under the Government of the United States, and thereby amenable to the coastal laws of this country. The mail contract now in existence between the New Zealand Government and the contractors contains a provision (clause No. 6) as follows : "That at least one New-Zealand-owned steamer shall be employed in the service." The contract which contains this provision will expire on the 31st day of March next. And should the recommendation to Congress by your honourable Commission be of such a nature as to advocate the adoption in their entirety of the existing United States coastal laws relating to shipping intercourse between their lately acquired possessions, it would, I fear, prevent the continuance of the employment of a New-Zealarid-owned vessel as provided for in the contract, and thus seriously jeopardize the renewal of the present contract, which in the past has been of such predominating benefit to United States manufacturers and merchants, as well as divert, to a large extent, this increasing trade to other channels; and also deprive my Government of the advantages it enjoys of a twice-monthly mail route to Great Britain. The danger of discontinuing the service is much enhanced by the lately established mailservice to Great Britain vid Vancouver, 8.C., a service heavily subsidised by the Canadian, Australian, New Zealand, and British Governments. I would therefore, with due respect, submit that the New Zealand Government is entitled to some consideration in a matter closely affecting its own citizens, and I would ask the earnest consideration of your honourable Commission to the end that some provision might be incorporated in your recommendation to Congress that would make an exception (in whole or in part) to the application of the United States coastal laws as applied to foreign-owned vessels, which would permit their employment in what may be considered international mail-services, especially as applied to the Hawaiian Islands, which so prominently stand on the highway of commerce. Sincerely trusting that these crude remarks may serve to enlist your kind interest, and that your honourable body in its wisdom may feel disposed to favourably consider some modification of the existing laws in the direction indicated by this communication, I have, &c, H. Stephenson Smith, The Hon. S. M. Cullom, Besident Agent for New Zealand. U.S. Senator and Chairman of the Hawaiian Commission, Springfield, 111.

No. 105. The Seceetaey, General Post Office, Wellington, to the Supebintendent of Foeeign Mails, Washington. Sic, — General Post Office, Wellington, sth November, 1898. I have the honour to inform you that the Mail-agent by the last voyage of the E.M.S. "Alameda" reports that four bags (three for Honolulu and one for Sydney) for transmission by the " Alameda " were left behind at Ogden on the sth ultimo. You will no doubt take due notice of the irregularity which resulted in the mail-steamer being detained at San Francisco for eight hours. I have, &c, The Superintendent, W. Geay, Secretary. Office of Foreign Mails, Post Office Department, Washington, D.C.

No. 106. The Seceetaey, General Post Office, Wellington, to the Managing Dieectoe, Union Steam Ship Company, Dunedin. Sib, — General Post Office, Wellington, 14th November, 1898. I have the honour to inform you that the Mail-agent by the "Alameda" on her last voyage reports [not printed] that the Oceanic Steamship Company was advised by the Railway Travelling Post Office on the afternoon of the sth October that twenty-five bags of mail had been left behind at Ogden, and that the destinations were not known. On receipt of the information it appears that Messrs. Spreekels' agent, without consulting the Mail Agent or the postal authorities in San Francisco, postponed the sailing of the steamer until 10 p.m. on the 6th October. The in-