THE WELLINGTON COLLEGE.

New Zealand Mail, Issue 422, 13 March 1880, Page 11

THE WELLINGTON COLLEGE.

We have, by request, in order to throw the fullest light upon the vexed question, published below the last report of the Board of Governors, which was forwarded to the Governor on the 17th of last month. The report was then overlooked by us, consequent upon the change of proprietorship of this journal, then just taking place:—

" The circumstances which have led to the embarrassment of the College are clearly set forth in a memorandum submitted to Government by the late Chairman of the Board, the Hon. W. Gisborne, on the 13th April, 1879. " The footing on which the College was reconstituted in 1872 required a certain fixed revenue for its maintenance, as it was intended to supply a want that was felt for high school or secondary education in Wellington, and also to afford, to some degree, higher education as an affiliated College to the New Zealand University. To enable it to perform the latter function, an addition was made to the teaching staff, a grant of £3OO being received from the University for that purpose. This grant was withdrawn after a few years, but no corresponding decrease was made in the staff, the College still endeavoring to carry out its original design as an affiliated University College. " A building fund was provided by private subscriptions, votes of the Provincial Government, and transfers of certain trust funds, and it was obviously intended that the cost of building was not to form a charge against the annual revenue of the College.

" The Governors at that date, however, actuated by a desire to extend the benefit of the College to pupils in the country districts, erected additional buildings for boarders' residence at a cost of"* £SOOO, which sum was borrowed, and now constitutes an annual charge of £SOO. " The support of the College was provided for by certain land endowments, the extent of which was largely increased as the basis of its reconstitution ; but as these additions were not immediately productive, a grant of money was annually voted by the Provincial Government, and it may be presumed that this grant would have been continued until these endowments became productive. "This pecuniary assistance has been continued by the General Government, but in an irregular manner, and on no recognised principle, the vote having to be begged from year to year, giving rise to the impression that the College has been incurring difficulties through some extravagance on the part of the management.

" A return is attached of the amount voted by the Provincial Government and General Assembly from 1872 to 1879, showing the College has received, on an average, £ISOO per annum, and it is only through its revenues being thus supplemented that the College has been maintained up to this time. " A comparison of the cost of the College with that of other similar institutions in the colony, the data for which are to be found in the appendix to the Commissioners' Report on Higher Education, does not show any marked excess of expenditure. The average cost of secondary education is about £22 per annum for each pupil. The cost at Wellington College is £24 per head, but if the number of pupils were in proportion to the population, as elsewhere, the cost would be considerably below the above general average. " On the other hand, the cost of the staff would not be materially increased if the attendance were greater, for though the salaries paid are somewhat higher than elsewhere, fewer masters are employed, and a rearrangement might be made in this direction. " The appended statement of assets and liabilities at the commencement of the year shows a deficiency of £415, and the estimate of income and expenditure for the current year shows that, if the establishment be kept on its present footing, that deficiency will be increased to £1577, and it would be again necessary to apply to the Government for the same amount (£1500) as has hitherto been granted in aid, and the financial arrangements of the College would continue to remain on the present unsatisfactory basis. "As one step towards avoiding this, it would be perhaps desirable to reduce the establishment, and temporarily restrict the work of the College to a lower standard. By this means a saving perhaps of £4OO might be effected. A further step would be to raise the fees to the scale from which they were reduced last year, in accordance with the report of the Reorganisation Committee of the 10th January, as the anticipated increase of attendance in consequence of that reduction has not taken place. "These appear to be the only steps the Board can take to relieve the existing financial difficulty, but they will only do so to a very small extent, and it will be necessary to apply to Government for further help. " This might take the form in the first place of relieving the College of the building debts: secondly, by legislation, to give the Board power to deal with the endowments in such a way as to produce increased revenue ; and lastly, by a renewal of the grant for another year, while the new arrangements are being carried into effect.

" The building debt is now £SOOO, but some further outlay is required to put the building into proper repair. The £SOOO was borrowed on the security of the College Reserves, at per cent, for five years, at the expiry of which term it was found impossible to renew the loan unless at 10 per cent. The Board considers that even if the Government cannot take over the building with its debt by obtaining a vote similar to that lately granted to Auckland for a like purpose, the money at least could be obtained on terms much more favorable to the public interest through their intervention. The land endowments of the College consist of—- " 1. Town sectionn, which at present bring in a revenue of £1054 10s., but with a prospective annual value of £2392 ; but this increase will not take place for fifteen years. "2. Reserve on which the College is built ; 19 acres of which the Governors are empowered to let on building leases, and which will probably add from £4OO to £SOO to the revenue. If the Board had the funds to make the necessary roads, this addition to the revenue would probably be obtained within the next twelve months.

"3. A large area of rural land, valued at £IO,OOO, but which is never likely to bring in any revenue whatever as leasehold unless a purchasing clause be given.

"It is the latter section of the endowments which the Board are of opinion could be dealt with advantageously by selling the freehold and funding the money in' such a way as to secure a reliable and permanent income. " Charles P. Powlbb, Secretary. "February 17, 1880."