I.—sb

36

Now it is hereby further agreed between the Queen and the Company,— 10. That as soon as conveniently may be after the execution of this contract, the lands shown by a red border and colour on the map hereunto annexed and marked C shall be withdrawn from sale and set apart to be granted to the Company under the powers and to be dealt with in manner respectively provided by Parts I. and V. of the said Act, and that the selection of such land for the purposes of the said Act and of this contract shall, after the construction of the said railway or of any completed section or sections of the same, be conducted and carried out as follows, that is to say,— (a.) For the purposes of such selection, the estimated cost of constructing the said line of railway shall be the sum of five thousand pounds per mile throughout its whole length, estimated at eighty-four and a quarter miles. (b.) For the purposes of such selection, the several parts of the land set apart as aforesaid shall respectively be deemed to be of the value per acre shown in the Second Schedule hereto, and which said value has been ascertained in the manner prescribed by section one hundred and two of the said Act. (c.) For the purposes of such selection as aforesaid, the said line of railway shall be deemed to be divided into the several sections numbered from one to twelve, shown in figures coloured red and in circles upon the map marked A, hereunto annexed; and when and so soon as the Minister for Public Works for the time being shall be satisfied that the said line of railway, or any section thereof, which can be usefully worked for public traffic has been completed and is fit for such traffic in accordance with the said Act, the Company shall be at liberty to select and shall receive a grant for so much of the said lands as, looking to the scheduled prices thereof, they may be entitled to in respect of the number of miles of the said railway comprised in such completed section; and, if there shall be any difference or dispute as to the area the Company is entitled to select, the decision of the Governor shall be binding and conclusive on the Company, and every such selection shall be subject to the approval of the Governor. Every grant made under the last preceding clause shall be subject to the provisions of "The Railways Construction and Land Act, 1881," respecting the terms and conditions upon which grants of Crown lands may be made to a Company thereunder. In dealing by way of sale or otherwise with any lands which shall become vested in the Company pursuant to any such selection as aforesaid, the Company shall conform to the rules and regulations set forth in the Third Schedule hereto: Provided, however, that this and the two last preceding clauses shall not have any force or operation so as to give the Company any right, title, interest, or claim in or to the land proposed to be withdrawn from sale as aforesaid, unless and until the allocation of the land so set aside and intended to be granted to the Company shall be approved by the General Assembly of New Zealand in the manner prescribed by sections thirteen and fourteen of the said Act. And whereas the land shown by the red border on the map hereunto annexed and marked C, taken at the aggregate of the values set forth in the Second Schedule hereto, is insufficient to provide the amount of endowment in land agreed to be granted to the Company under the powers contained in Part V. of the said Act: Now, it is hereby further agreed between the Queen and the Company,— 11. That if, within the period of five years computed from the date of these presents, Her Majesty the Queen shall acquire lands within the area shown by a yellow border upon the map hereunto annexed and marked D, and such lands, or a proportionate part of the same, shall, in the opinion of the Governor, be available for the purpose, the same, or a proportionate part of the same, as the case may be, shall forthwith after such acquisition be withdrawn from sale and set apart to be granted to the Company under the powers and to be dealt with in manner respectively provided by Parts I. and V. of the said Act, and shall be and be deemed to be subject to selection by the Company in like manner as hereinbefore provided in respect of the lands shown by a red border and colour on the map hereunto annexed and marked C, but so nevertheless that the total area of lands so to be set apart and selected shall not, when valued and assessed as by the said Act provided, exceed in value the sum of twenty-nine thousand eight hundred and five pounds. 12. That when and so soon as any lands shall have been acquired as aforesaid the same shall be assessed and valued with all convenient speed, in manner provided by the said Act, in order to render the same available for selection by the Company; and the Company may accordingly select the same in like manner, and for the like purposes, and subject to the like provisions and conditions as are hereinbefore contained in respect of the lands shown by a red border on the map hereunto annexed and marked . 13. And it is hereby further agreed between the Queen and the Company,— That the maximum tolls, fares, rates, and rents to be charged by the Company for the carriage upon the said railway of passengers, produce, animals, goods, merchandise, articles, matters, and things, and for the storage of goods in any of the Company's sheds or warehouses, shall not exceed the scale for the time being in force upon the Wellington and Masterton Eailway, and shall, until such last-mentioned scale shall have been altered by the Minister pursuant to the powers vested in him in that behalf, not exceed the scale set forth in the Fourth Schedule hereto, so far as the same are in force upon the said Wellington and Masterton Eailway: Provided that the Company shall be at liberty at any time, in the manner prescribed by the said Act, to reduce the said tolls, fares, rates, and rents, or any of them: Provided further that, if at any time the Minister for Public Works for the time being shall be satisfied that the said tolls, fares, rates, and rents, or any of them, are excessive, or ought to be increased, he may, by giving one calendar month's notice in writing to the Company, require the tolls,