No. 30

I have the honor to forward a printed paper of which
I have become accidentally possessed, containing certain
Resolutions passed, and Statements made by the Chamber of
Commerce at Victoria.

2. You will observe that these Resolutions and Statements,
which attribute somewhat unworthy motives to the Government of this
Colony, were transmitted to you before I became aware of their existence.

*

Now I feel that I should be
neglecting my duty to Her Majesty's Government and to British
Columbia were I to pass unnoticed Statements emanating from
a respectable source and which have been published with
something approaching to accuracy in the daily periodicals
of the Neighbouring Colony. Of the Resolutions, had they
been unsupported by the Statements I should not have had to
complain. They are the expression of the opinion of a beaten
party. You are aware that the Candidates on the Free Port
side were rejected at the last Victoria Elections. The
beaten party have however the support of the people of
Vancouver in so far as they advocate a Union with this Colony.
With us, the Legislative Council has on more than one occasion
unanimously protested against the proposed connexion.

3. I will pass over the earlier portions of the
Statements, but must pause when I reach the assertion that
Victoria—I have no word to say against Esquimalt—possesses
"a Capacious and convenient harbour, approachable at all
times by night or day for sea going ships of every burthen."
I must refer on this point to the highest authority I can
procure, that of Captain Richards, R.N. the present Hydrographer
to the Navy. In his Sailing Directions for Vancouver Island,
page 20 I find, "The entrance to Victoria Harbour is shoal,
narrow and intricate, and with S.W. or S.E. gales, a heavy
rolling swell acts on the coast which renders the anchorage
outside unsafe, while vessels of burthen cannot run in for
shelter unless at or near high water. Vessels drawing
fourteen or fifteen feet may under ordinary circumstances
enter at such times of tide, and ships drawing seventeen feet
of water have entered through only at the top of Spring tides."
Captain Richards proceeds to state that in the harbour "the
space is so confined and tortuous that a long ship has great
difficulty in making the necessary turn; a large percentage
of vessels, entering the Port, small as well as large,
constantly run aground from these causes." Further on, "it
appears not a little remarkable that with the excellent harbour
of Esquimalt within two miles, Victoria should have been
continued as the Commercial Port of a rising Colony, whose
interests cannot but suffer materially from the risks and
delays which shipping must encounter in approaching the
commercial Capital." He concludes his notice of the harbour,
while allowing that Victoria suited the former wants of the
Hudson's Bay Company, "it has been a fatal mistake at a later
date not to have adopted Esquimalt as the Commercial Capital."

4. I will add my own personal testimony, though entirely
unnecessary, to that of Captain Richards. After threading in
safety by the chart and compass on a dark night the narrow
channels among the islands of the Gulf of Georgia, I have
found myself scarcely able to determine which of the indentations
of the Coast was the Harbour of Victoria. No light of any kind
marks its entrance and in a small steamer drawing but three
feet six inches, we have shared the fate of the "large percentage
of vessels small as well as large," and run aground.

5. I wish to dispose of the questions relating to natural
features raised by the Chamber of Commerce before following
their arguments into political matters. Having thus lauded the
harbour of Victoria, they proceed to deal in a less generous
manner with Fraser River. The Statements assert that the
"intricate, narrow and uncertain channel through the Sand
heads at the Mouth of the Fraser is available only for ships
drawing sixteen feet of water, at the utmost, and then
requiring the assistance of Steam." They go on to speak
of the "subsequent danger and delay attending river navigation
to New Westminster, the currents during the summer's freshets
being very rapid."

**

Either the Chamber of Commerce of Victoria
or the Hydrographer of the Navy is very much mistaken. I beg
leave to refer to page 97, of the book already quoted. "Fraser
River in point of magnitude and present commercial importance
is second only to the Columbia on the North West Coast of
America. In its entire freedom from risk of life and shipwreck,
it possesses infinite advantages over any other river on the
coast, and the cause of this immunity from the dangers and
inconveniencies to which all great rivers emptying themselves
on an exposed Coast are subject, is sufficiently obvious."
Captain Richards then alludes to the "fixed and unvarying
character of the shoals through which this magnificent stream
pursues its undevious course into the Gulf of Georgia; and
there can be little doubt that it is destined at no distant
period to fulfil to the utmost, as it is already partially
fulfilling, the purposes for which nature meant it, the
outlet for the products of a great country."

In descending
the stream, on reaching Langley, 12 miles above New Westminster,
Captain Richards finds that "the river becomes a broad, deep
and placid stream, and except during the three summer Months
the influence of the flood stream is generally felt and
vessels of any draught may conveniently anchor. The depth is
ten fathoms; the current not above three knots. Vessels
of from 18 to 20 feet draught may enter the Fraser and proceed
as high as Langley or a few miles above it with ease, provided
they have or are assisted by Steam power. The only difficulty
is at the entrance and that is easily overcome by providing
pilots and the means of maintaining the buoys in their
position." The Chamber of Commerce speaks of the "intricate
narrow and uncertain" entrance. I have already quoted Captain
Richards' expression of "undevious." He adds later, "that the
stream has forced an almost straight though narrow passage."
I may strengthen the refutation of the alleged "uncertainty"
of the entrance; I had the Channel recently resurveyed by Mr
Pender R.N. charged with the Admiralty Survey of this Coast.
He found that it had sustained scarcely any appreciable change
since the passage was first marked out on the Settlement of
the Colony.

6. The Statements made by the Chamber of Commerce on
matters susceptible of proof are somewhat remarkable. I
hardly assume in a body professing to represent the Commercial
Capital and intelligence of the two Colonies, an ignorance
of a book of sailing directions for their coasts "published"
as the title page would show them, "by order of the Lords
Commissioners of the Admiralty." If Captain Richards is in
error and his sailing directions calculated to lead ships
into danger, his statements ought, in the interest of Commerce,
to have been boldly met. But he has been left aside unnoticed
and assertions directly opposed to those made public by the
Admiralty have been officially forwarded to you.

7. Although my own considerable yachting experience
has led me to rely with the utmost confidence upon Captain Richards' directions, I feel that statements emanating from
a Chamber of Commerce are at least entitled, where I allow
myself to doubt their correctness, to the respect which requires
care in refutation. I add therefore in support of the directions
of the Hydrographer of the Navy, the enclosed letters from
Vice Admiral Kingcome, lately Commander in Chief of the
Pacific Squadron, and Captain Lord Gilford, commanding H.M.S.
"Tribune," authorities worthy surely of weight with the Victoria
Chamber of Commerce. These letters were published in the
Official Gazette of this Colony.

8. Admiral Kingcome notices that the Arrival of H.M.S.
"Tribune," drawing nineteen feet six inches, opposite this
town, most "conclusively" proves "that direct communication
with New Westminster can be carried on by Ocean Ships of
large tonnage." He says further, "the approach to the entrance
of Fraser River possesses many advantages over that of the
Thames. In the first place, the water is much smoother, and
it is not exposed to any sea such as that raised in the North
Sea by Easterly Gales which, in many instances, has caused
the loss of ships. Secondly, there are no outlying sands,
and the Channel is not near so tortuous and marks can be placed
on the land, which in the Thames is nearly impossible. Thirdly,
the weather is much clearer and the position of a ship more
easily fixed. Fourthly, the Anchorage in English Bay is far
preferable to that in the Downs. In both rivers ships must
wait for the tides, and with the same, or even half the
precautions in the Fraser that are used in the Thames, a
perfect stranger would have no difficulty in taking ships
drawing nineteen or twenty feet to New Westminster."

9. In leaving the river the "Tribune" unfortunately
grounded. Lord Gilford in showing that the accident was
caused by the dull white colour of a pole which marks the
Channel, reports to the Commander in Chief on the Station,
"I deem it my duty to state that, notwithstanding Her Majesty's
Ship under my Command having taken the ground on her
outward passage, I am of opinion that Vessels drawing from
eighten to twenty feet could enter the Fraser in perfect
safety, provided the Channel be properly buoyed with marks
which can be seen at a reasonable distance." The Chamber of
Commerce is aware that great improvements have, since Lord Gilford wrote, been made in marking the Channel, that Iron
buoys have been ordered out from England, and Tenders are
invited, not only in our local papers, but in those of Victoria,
for the construction of a light ship for the Mouth of the
Fraser.

10. I admit that Esquimalt possesses all the Advantages
ascribed to it jointly with Victoria, but the "fatal" mistake
alluded to by Captain Richards now causes irritation and
inconvenience in both Colonies. I can see no objection to
Merchandise destined for us being transhipped in Esquimalt,
but I do object to the present system under which our traffic
is artificially conducted up the narrow and tortuous harbour
of Victoria, causing a great loss of time and increase of
expense. I have no certain information as to the amount of
delay, but I believe that a fortnight to three weeks elapses
after the arrival of a ship in Esquimalt harbour before any
portion of her cargo reaches New Westminster.

11. The 12th paragraph states that under a former
rule the advancement of each Colony was regarded as the
benefit of the other. Unquestionably, even now, the
legitimate advancement of each Colony is regarded as the
benefit of the other.

12. I am in ignorance of the motives which induced Her
Majesty's Government to make two Colonies of the British
Possessions to the Westward of the Rocky Mountains, to lay
out the plan of a city of vast dimensions near the mouth of
the Fraser, and to sell the lots on the faith that on them
would stand the future Capital of British Columbia. If the
Mainland was to continue to be the dependency of an outlying
Island, no second Capital was required and steps ought boldly
to have been taken, regardless of the private interests of
the Hudson's Bay traders and others, to erect a great commercial
town on the fine harbour of Esquimalt. Unquestionably under
the rule of my Predecessor Victoria became the principal
English Port on this Coast and New Westminster commenced a
retrograde course early in its history. It could hardly have
been otherwise. The Governor and other Public Officers drew
their full salaries from British Columbia and resided in
Vancouver Island. Victoria escaped all indirect taxation
while heavy duties were collected on all articles consumed on
the Main land. The Hudson's Bay Company ran their steam
vessels to the Fraser to connect with the river Steamers
and draw down to the seat of Government and of Commerce the
Miners immediately on their arrival from the Gold fields.
The San Francisco Steamers called at Esquimalt only, and
thus passengers for California had no inducement of any kind
to remain even a few hours voluntarily in this Colony. While
waiting for the Steamers, the Miners spent their money in
Victoria and thus billiard rooms and drinking Saloons arose,
and the place acquired sufficient importance to depopulate
New Westminster without attaining any solid foundation or
considerable prosperity for itself. The Chamber of Commerce
speaks of the trade with China, the Sandwich Islands, Russian
America and other places. How, if this be important, is it,
that the prospect of a portion of the traffic of British
Columbia taking the short and undevious route by the Fraser,
shakes the whole of Victorian Society to its foundations,
and causes a state of political ferment such as the Island
had never seen? Victoria did not attain any solid prosperity
while having her interests set above those of this Colony
and of the whole of Vancouver Island not included in her Town
lots. Let me state how British Columbia fared.

13. I had not seen even in the West Indies so melancholy
a picture of disappointed hopes as New Westminster presented
on my arrival. Here, however there was a display of energy
wanting in the tropics, and thousands of trees of the largest
dimensions had been felled to make way for the great city
expected to rise on the magnificent site selected for it.
But the blight had early come. Many of the best houses were
untenanted. The largest hotel was to let, decay appeared on
all sides, and the stumps and logs of the fallen trees blocked
up most of the streets. Westminster appeared, to use the
Miner's expression, "played out."

14. But it would have been urged, before the late
excitement in Victoria, that the two Colonies prospered and
that therefore it mattered but slightly if those who bought
land in New Westminster were losers by the speculation. It
is not for me to report on the condition of Vancouver Island,
but I have to state that British Columbia did not prosper.
You are aware of the passionate appeals for Separation which
came from this Colony.

***

The revenue of 1864 fell short of the Estimate
by fifteen thousand pounds (£15,000), and, but for the accidental
discovery of Gold on the Kootenay, at the close of the year
the receipts would have shown a deficiency of twenty one
thousand pounds (£21,000) on the Estimated Revenue. At the time of my
taking over the Government there was a local debt of fifty
three thousand eight hundred and fifty-eight pounds (£53,858), in
addition to that incurred in England, composed chiefly of
Road Bonds and an overdrawn Account at the Bank of British
Columbia.

****

The Miners were not prosperous, and the labourers
in Cariboo had diminished in number. What class was then
thriving? Merchants there are but few. The Chamber of Commerce
states (para. 22) that there is not at this moment a single
importing Mercantile Establishment throughout the Colony. Yet
the Number of traders who have taken advantage of the Insolvent
Debtors Act, was one third greater in 1864 than in 1863. Perhaps,
however, the Country Gentlemen who had introduced large Capital
and acquired land at a low price were the class who flourished
while other interests drooped. Not so I regret to say.
Prosperity had not yet favoured their meritorious labours.
The Legislative Council expressed a wish that some unpaid
Magistrates should be appointed. I offered a Commission to
three of the principal Country Gentlemen. One accepted the
Office. A second told me frankly he had sunk everything and
was on the brink of Insolvency unless further remittances
arrived from England. The third sent me in a statement of
his circumstances, shewing that if pressed by his creditors
he would be unable to meet his liabilities.

15. This is the state upon which British Columbia entered
the London Market as an applicant for a further loan of one
hundred thousand pounds (£100,000). What security had it to offer?
The Merchants of Victoria were in no way liable. The Miners,
owners of the most valuable claims, have no habitation in the
Colony. The Statement respecting the Importing Merchants is
not wide of the truth. Our creditors have, therefore, but the
hard pressed owners of the soil to depend on.

16. It will hardly be cause for surprise if a document
which deals loosely with facts should exhibit carelessness
when it comes to deal with motives. The Chamber of Commerce,
without any communication with myself or the Legislature of
this Colony, state that our recent Legislation has been
"intentionally antagonistic to Victoria."

*****

This view was adopted at a public meeting held in that town. I enclose
a copy of the Petition which there originated, and of my own
reply. The Legislative Council attached so little weight to
the signatures that the petition was not even taken up by the
House. My answer will I trust dispose of the Statements in
the 23rd paragraph. As to the dissatisfaction supposed
in the 24th to exist, I may at once say, that Miners, like
other men, are not partial to taxation, but that, although
they have been worked upon in every way by the political
agitators of Victoria, the only public manifestations of
feeling which we have seen recently were the receiving the
Steamer (which, I believe, brought up the petition) in New
Westminster, with three groans for the Hudson's Bay Company,
whose Agents are prominent among the Agitators against recent
Legislation. The last batch of Miners on landing here
spontaneously gave three cheers for the Governor, whom, had
they attended to the directions of the Victoria press, they
would have opposed by all means, fair or unfair. Immediately
after cheering the Governor, three cheers were given for Mr
O'Reilly, the Gold Commissioner of Cariboo, who had in the
Council taken a prominent part in recent Legislation.

17. The 25th paragraph alludes to the circumstances,
of vessels having to clear at New Westminster instead of
Victoria for the North West trade. I would venture to call
your attention to the Duke of Newcastle's despatch No. 33 of
15th June 1860, which states, what the Chamber of
Commerce is well aware of, that the Collecting of duties at
Victoria on vessels bound for this Colony cannot be enforced.
If the Commerce of Vancouver Island is put to inconvenience
by coming up the Fraser, I can only say it is by the Action
of my predecessor. His proclamation of 2nd June 1859,
declares New Westminster to be the only Port of Entry in the
Colony. I have induced the Legislative Council to give me,
by Ordinance, the power of creating additional Ports, and I
shall avail myself of its provisions in relief of the North West Trade.

18. You will observe in the 26th paragraph a minute
account of the inconvenience and loss to which a vessel was
exposed by having no alternative but to clear at New Westminster
when the doing so became physically impossible on
account of the ice on the river. I send a Statement of the
case, made by the Collector of Customs at this port, from which
you will observe how widely inaccurate are the Statements of
the Chamber of Commerce. Mr Hamley also disproves all the
assertions respecting the closing of the river by ice for
four months in the winter. Without further explanation let
me simply say that during all official experience of upwards
of twenty years I have not met with a series of Statements so
carelessly made by so respectable a body.

19. But I take this carelessness or absence of candour
as the most convincing proof of the earnestness of the signers.
There must be great feeling; respectable men must suffer much
before they allow themselves to deviate however slightly from
the strict paths of truth. Doubtless the old position of
the Merchants of Victoria, engrossing the whole traffic of
British Columbia without sharing in its burthens, was an
enviable one, but the larger Colony languished and grew weaker
under the operation, and threatened to deprive Victoria of its
Commerce by simply relapsing into wilderness. Let us hope
that a time will ere long arrive, when sharing equally in
the public burthens, the Merchants of Victoria may derive a
solid prosperity from the increased vigour which a respite
from the exactions of Absentee traders will give this Colony.

20. I enclose an article from the "North Pacific Times"
of the seventeenth of March on the subject of the Resolutions
and statements of the Chamber of Commerce.