to supplement income. In 1973, it was decided to sell a further 79 acres to Leighton Properties for a housing development, but the sale fell through because Blue Mountains City Council would not agree to re-zoning the land for residential purposes. At the end of 1973, the directors resolved to offer the whole of the property to the Church of England Retirement Villages at a peppercorn rent, and also indicated that they would be prepared to supplement costs via a contribution from the investment income of the BCH. This proposal also fell through as the then NSW Crown Solicitor opposed the scheme. A similar approach had also been made to NSW Legacy, but failed for the same reason. In 1977, it was decided to reorganise the operation of the BCH, as it had shown an operating loss of $123,516 for 1976/77. The company had not shown an operating profit since 1969. It was decided that the then chairman, Mr T B (Basil) Silk, MBE, be asked to vacate the chair and take up the position of General Manager, effective 1 June 1977. During the subsequent financial year, the deficit was reduced to $53,116. The Board decided that further action was needed and sought to put the greatest asset of the BCH, the land, to better use. It was decided that the use of the place as a retirement village should be explored. Discussions were had with the Crown Solicitors, and the NSW Attorney General, Frank Walker, who indicated support for the proposal. legal opinion was sought over the ensuing period and an action commenced in the courts to alter the terms of the trust deed. Basil Silk, Director of the BCH filed an affidavit in the hearing before the Supreme Court of New South Wales (N 1547 of 1982) in which the need for the alteration to the Trust Deed was dealt with in some detail. He cited an "Inquiry into Health Services for the Psychiatrically Ill and Developmentally Disabled" (The Richmond Report), published by the New South Wales Health Commission in March 1983. This outlined the need for expanding need of care for the aged, and in particular, those suffering from dementia. The major problems highlighted included: Inadequate and inappropriate accommodation: Lack of skilled staff trained in assessing and treating the psychiatric disorders of old age; Lack if support services for families who are the major "therapists" for demented