Right Hon. W. L. MACKENZIE KING (Prime Minister) moved that the house go into committee at the next sitting to consider the following proposed resolution:
Resolved, that the Federal District Commission Act, 1927, be amended to provide,
1. That the period for the payment of the annual grant to the commission, at present fixed at sixteen years from the first day of April, 1927, be extended to thirty years from the first day of April, 1928, the said annual payment to remain at the sum of $250,000;
2. That the commission may issue securities and the governor in council may authorize the guarantee of the payment of principal and interest thereon, the proceeds to be deposited to the credit of the Minister of Finance in trust for the commission and released by the minister in his discretion for the purposes of the act;
3. That a sinking fund shall be created and maintained by the commission out of its actual annual income to provide sufficient funds to redeem such guaranteed securities as they respectively become due, and the provisions of the Expropriation Act instead of the railway act shall be made applicable to proceedings of the commission.
He said: His Excellency the Governor
General, having been made acquainted with the subject matter of this resolution, recommends it to the favourable consideration of the house.
Motion agreed to.