SCOTTISH FORESTRY IN REGARD TO DEVELOPMENT FUND. 1 45 



by the terms of the Act from making grants or loans to 

 private individuals or to companies trading for profit. The 

 Commissioners were of opinion that one consequence of these 

 restrictions was that few schemes have been submitted for some 

 of the important purposes mentioned in the Act, including 

 aftbrestation. They suggested that this difficulty might be 

 overcome by the formation of suitable National Associations 

 (not trading for profit) which might receive and administer 

 advances from the Fund. On 25th November 1912, the draft 

 Constitution of a non-profit company was prepared and 

 submitted to the Commissioners for consideration. The 

 Constitution submitted provides all the executive powers that 

 the Commissioners lack, so that the company could assist, or 

 carry out, any scheme that the Development Commissioners 

 could advance money for. 



It was, a few weeks ago, intimated by the Commissioners that 

 they had been advised by the Legal Authorities that no loans 

 could be given even by this means to private owners for the 

 encouragement of afforestation. The question as to whether 

 they have power to recommend money for schemes to be 

 carried out on a co-operative basis by the proposed company 

 is now engaging the attention of the Legal Authorities. ^ 



Fifiaiices of the Development Fund — {Relation to other Funds). — 

 The Commissioners point out that there are several funds 

 in existence which can be applied to purposes for which the 

 Development Fund is also applicable, and the question has 

 arisen as to whether these other funds must be exhausted 

 before any claim can be made on the Development Fund. 

 The case which has caused most difficulty is the Agriculture 

 (Scotland) Fund, with an annual income of about _;,^ 200,000, 

 which was created in 191 1, about two years later than the 

 Development Fund. This Scottish fund is applicable to forestry 

 amongst other purposes, and the question is. Can the Develop- 

 ment Commissioners advance money for this purpose in Scotland 

 so long as the income of this fund is unexhausted? It is 

 recognised, however, that the primary object of this fund is 

 the encouragement of small holdings, and the Commissioners 

 say they are prepared to agree, subject to the approval of the 

 Treasury, that expenditure for small holdings should have 

 priority over other purposes to which the Scottish fund could 

 ^ It is understood that an affirmative reply has now been received. 



