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his mind to accept the late proposals, which, barring accidents, it is supposed will be publicly accepted during the coming summer, before which time he may make his promised visit here. Tawhiao has asked the Tainui people to build a large house for him at the Kopua, a settlement about a mile and a half from this township. No doubt this house is for his next visit. The Natives intend to commence its erection at once. I cannot attribute Tawhiao's visit to any other reason than that generally given by the Natives. 1 trust this interpretation will in a few months prove itself to be the correct one. I have, &c, The Hon. the Native Minister, Wellington. R. S. Bush. •

No. 3. Mr. S. Locke, E.M., to the TJndeb Secbetaby, Native Department. Sib,— Napier, Bth July, 1878. I have the honor to forward the following report on this district: — Hawke's Bat. The general state of the Natives in this part of the country for the past year has been quiet, the old trouble of disputed titles being the principal source of uneasiness. It is to be hoped, for the sake of facilitating the speedy settlement of several of these cases, and others in a like position in other parts of the country, that the new Native Lands Act will give ample powers to the Court for the subdivision of lands that have been partially dealt with or that have not been dealt with at all, and for appointing successors to deceased persons, laying down also some rules in cases of minority, for the defining of the ages of grantees. As the law now stands, a minor may remain such for any unknown period. To these subjects I have referred in last year's and former reports. Powers are also required by Judges of Court to authorize surveyors and valuators to enter on lands for the purposes of subdivision and valuations. Large quantities of grain have been grown here by the Maoris during the past year. The Omahu and Pakowhai schools, I am sorry to say, have both been closed for some time. I would draw attention to the anomalous position of owners under "The Mohaka and "Waikare District Act, 1870," and would suggest that this Act be incorporated in any new Native Lands Act that may be in contemplation. Waikoa. I am Happy to say the Natives here are still persevering in agricultural pursuits, and are going in largely for wheat, and have proposed erecting a flour-mill. Some gross attempts have been made at the Mahia in defying the law, but, as Dr. Ormond, Resident Magistrate, has fully reported on this subject, it is needless to comment on it. A dray-road to Poverty Bay, by the inland track, to open up all lands lately purchased by the Government in that neighbourhood, is much required. The school appears to be a success. Poteetx Bay. The Natives of this district are orderly inclined. One of the great drawbacks to the prosperity of this intrinsically rich part of the country is the complicated state of the titles. In the case of lands that passed the Poverty Bay Commission, through the want of any rule laid down by law to guide the Judges in cases of subdivision, and in cases of lands that have more recently passed the Court under the various Land Acts, the want of rules to guide in subdivisions, and the great number of grantees entered in the memorials of ownership (as I stated last year, in some cases over three hundred names have been enrolled) without any defined rights, or extent of claims, or note whether any are minors or not, or names or presumed age of minors stated, &c. A large extent of country in this district is partially purchased by Government. The land has been surveyed and is waiting for a Land Court to place it in a position to complete the title. It will be essentially necessary, before dealing with the lands, to have at all events the arterial lines of roads through the country carefully defined, and formed at least passable for horse traffic, with gradients for dray traffic. Amongst other roads urgently required are those going through the lands already acquired by Government, along the inland track to Wairoa, and the road up the Poverty Bay Valley to the Oil Springs, thence through to the Te Matei and Waiapu Rivers, along to Kawakawa and Hicks Bay, with branch roads leading to the coast. To make a passable driving road from Poverty Bay to Opotiki, the bush should be felled and burnt two chains wide; on this road I believe a few Native Constabulary are now at work. The great importance of these roads, in a strategic point of view, should not be lost sight of. The great success of the sale of the Patutahi Block shows the rising importance of this district, and should be an inducement to push on settlement. The Maoris are quite alive to this, and, it is said, are making preparations for cutting up and selling a considerable extent of country. Should this scheme of theirs turn out a success, which is to be hoped, it will probably lead to further progress in the same direction, to the mutual benefit of all parties, and stimulate Natives of other parts of the Island to follow the example. I would note that " The East Coast Land Titles Investigation Act, 18G6," the Amendment Act, 1867, and " The East Coast Act, 18(58," have not been repealed. The two Maori schools have been closed for some time ; that at Tologa Bay is still open. Waiapu. The Natives in this district are but little changed of late. Progress cannot be expected until the roads are opened up, and the lands of the district turned to some profitable account by Europeani