Governor, and the aggregate amount thereof refunded from the Commissariat Chest, under the authority of the senior Military Officer, at such periods as the state of the Colonial funds might render desirable. From the two monthly statements and accounts furnished by the Assistant Commissary-General Turner to the Treasury and the Commissioners of Audit, it appears that a sum of £28,355 lis. Bd. has been advanced or repaid to the Colonial Chest by the Commissariat in New Zealand, for working pay and superintendence, See., between the Ist August, 18)7, and the 31st July, 1852. In explanation of the large amount expended on account of " working pay,'' i. e., in payment of the Pensioners employed accord ng to the t»rms of enrolment, on public works during the first year after their arrival, Governor Grey, in his Despatch to the Secretary of State for the Colonies of the Bth February, (851, remarks—" This expense commenced Lite in the year 1847, and was continued beyond the term required by the conditions of enrolment in consequence of the urgent necessity for the completion of some portions of the works, and by reason of the position in which many of the men were placed by the non-completion of their cottages, which had subjected them to many hardships and privations during the winter months, and gave a strong claim for temporary employment at the rate of Is. 6d. per diem ; the average rate of wag s of labouring men at 'he time being about 4s. per diem." And from due regard being had to the objects for which the Pensioners were enrolled for service, it was not deemed advisable, even if practicable, to throw the men into the labour market immediately on their arrival. The attention of the Treasury was early directed by Assistant CommissaryGeneral Turner to the outlay for providing the Fencibles with cottages. In his letter of the 17<h September, 1847, that Officer states — "I have ventured to omit the Estimate of the probable Expenditure," to be provided for by the Commissariat during the ensuing quarter. " from a thorough conviction of its inutility in the present instance. The arrival of the Pensioners enrolled for service in New Zealand will swell the demand on the Chest to an amount which cannot at present be susceptible of estimate, the cost of their cottages alone is expected to axceed £60,000." Communications on the subject were in consequence addressed by the Treasury to the Secretary of State for the Colonies, and in January, 1849, their Lordships were furnished with a copf of a letter to the Board of Ordnance, from the Assistant Insp- ctor-General of Fortifications, statin? that he had received an Estimate amounting to £3/,843 10s. 5d., for the erection of cottages and providing temporary accommodation for the Pensioner in New Zealand, «n 1 applying for instructions how to deal with this item of expenditure. It was subsequently determined by the Treasury that theoutTy incurred by the Ordnance Department in New Zealand should be considered as an advance from the Commissariat Chest to Colonial funds, repayable to the Ordnance account in this country. A sum of 6,4791. 9s. 9d. expended by the Ordnance in 1847-48 had been borne on the estimate of that department previously to this decision ; but the expenditure incurred in 1 1 48-49,1849-50, and 1850-5 I, amounting to 28,047f. Is. 3d., has been transferred from the Commissariat Chest account to the credit of the Ordnance account. According to the latest accounts received in this country, a further expenditure to the extent of £2,145 10s. 9d. has been incurred in 1851-52 by the Ordnance Department in New Zealand, on account of the. cottages of the Fencibles, of which £353 Is. Id. awaits the decision of the Treasury before being included in the account of advances repayable to the Ordnance from* the Commissariat Chest account. In pursuance of an arrangement made py the Secretary of State for the Colonies in communication with the Secretary "at War. an authority was given to Assistant Commisiary-General Turner to advance the sum of £2500 to Major Kenny, to enable that Officer to provide cottages for the two last Detachments of Fencibles sent to New Zealand ; but it appears that these cottages have been completed tor a sum of £2.239 6s. 7d. and the Treasury are informed that no further expenditure will take place on account of the working pay of the Pensioners, and that, as all the cottages are finished, no further outlay on that account will be incurred To this amount of £38,911 Bs. 4d. expended in the erection of cottages, a sum of £2,251 os. 2d. advanced from the Commissariat Chest in New Zealand for the transport of building materials, and a sum of £188 165., the value of provisions, fuel, and light issued to the Pensioners, and for the transport of baggage hospital attendance, &c., are to be added.

Advances for cottages