No. 132

The finances of the Colony are still deplorably bad,
principally on account of all the stores having been filled
with goods while Victoria was a free port, which goods on
Union being effected come free on to the Mainland. Then we
have to pay, as Your Grace is but too well aware heavy interest
and sinking funds on our London Loans. Every reduction is being
made in the expenditure on Public works, and many Government officers
have been discharged, Still the number we have at present is beyond
our requirements and means of support.

2. Among the Gentlemen whose services I am afraid I shall
have to dispense with is Mr Warner Reeve Spalding.

3. Mr Spalding arrived in the Colony in the early part of
1859. He brought the ordinary letter from the Colonial Office. It
was dated 21st October 1858.

4. He was in March 1859 temporarily employed in the Colonial
Secretary's Office of British Columbia. In April 1859 he was sent
to New Westminster as Magistrate. The active duties of that office
were however taken out of his hands as soon as Mr Brew arrived from
England, which happened as soon as any population centred there.
Mr Spalding's principal duties at New Westminster were those of
Postmaster, and in the beginning of 1864, he was created by Sir
James Douglas, Postmaster General. In the summer of 1866 he was
detached by Mr Birch to Cariboo West, and subsequently to Cariboo
East to act as Gold Commissioner.
He was relieved by Mr Ball in May 1867 and in June I sent him to
Nanaimo to take temporary charge of the district.

5. Mr Spalding served in the Army until he reached the
rank of Captain. He has performed with efficiency all the duties
which have been entrusted to him in the Colony and bears a
blameless reputation. Possibly Your Grace might find means of
providing for him in some other Colony.