E.—2

2

1879 ought to be given effect to, and with that view the following resolutions were passed: (1.) That, in the opinion of the Senate, the benefits of university education should be extended to the North Island of New Zealand, by the establishment of two colleges—one at Auckland, the other at Wellington —capable of affording an academic education of the same standard as that obtainable at the Otago University and Canterbury College. (2.) That the scheme for establishing and providing a governing body for such colleges be that recommended by the Boyal Commission on Education in 1879. (3.) That, in the opinion of the Senate, the erection of college buildings might be deferred, and temporary premises rented. (4.) That the Senate considers an annual grant of £3,000 for each of the proposed colleges would be sufficient for the present. (5.) That the Senate concurs in the recommendation of the Boyal Commission on Higher Education that university land endowments be made for the proposed colleges at Auckland and Wellington respectively, so tliat a sufficient revenue to maintain these colleges respectively may be derived from endowments, and so that the Colonial Treasury may be relieved from the charge as soon as possible. (6.) That a copy of these resolutions be submitted by the Chancellor to the Government, requesting them to invite Parliament to make provision, during the ensuing session, for founding and maintaining these colleges. This scheme recommended by the Boyal Commission is based upon that devised in 1845, by the late Sir Bobert Peel, for the promotion of university education in Ireland; and it might be as well to observe that, though the Queen's University in Ireland became merged in the Boyal University of Ireland under an Imperial Act of 1879, the Queen's Colleges in that country were in no way affected by the legislation, but had all their rights and privileges preserved intact. The principle of Sir Bobert Peel's scheme of university education has been, with some modification, recently carried out in England by the foundation, under a Boyal Charter, of the Victoria University, to meet the wants of the large cities in the north of England. Owen's College in Manchester, which is the seat of the University, and which may be regarded as the nucleus of the scheme, is already in full operation as one of the colleges of the new University; and colleges of this University are now being established in Liverpool and Leeds, and probably in other large cities. This is the scheme which appears to the Senate suitable for New Zealand: it is of moderate expense, and capable of expansion, should the circumstances of the colony warrant hereafter the foundation of other colleges. A statement of the income and expenditure for the twelve months ending the 31st December, 1880, audited as prescribed by your Excellency, is hereto appended. Henry John Tancred, 4th March, 1881. Chancellor.

Sub-Enclosure to Enclosure in No. 1. * Details op Expenditure.—General Account. 1. Expenses of Senate, — £ s. d. £ s. d. £ a. d. £ s. d. Travelling expenses of mem- Brought forward 1,192 19 11 2,637 14 1 bers ... ... 304 17 0 Stationery, 1880... ... 27 5 0 Care-taker ... ... 3 3 0 Imprest to Registrar, 1880 100 0 0 Cartage ... ... 0 2 6 Clerical assistance ... 3 0 0 1,320 411 Printing ... ~, 8 0 0 To which has to be added, as 319 2 6 share of expenses of ad2. Salaries and office, — Tertising, next class, twoRegistrar ... ...366 13 4 thirds of total, £15818s. 105 18 8 Clerical assistance ... 47 5 0 1,426 3 7 Rent and furniture of office 56 18 6 Coals ... ... 114 6 6. Advertising ... ... 158 18 0 Messenger and cleaning ... 11 10 0 From which has to be de484 1 4 ducted as chargeable to ex8. General printing and stationery,— aminations ... ... 105 18 8 General printing ... 312 9 0 52 19 4 Stationery ~. ... 22 1 3 7. Miscellaneous, — 334 10 3 Cheque-book ... ... 0 8 0 4. Transfer to Scholarship Account ... 1,500 0 0 686^011 °f 50 0 5. Examinations, — Legal opinion ... ... 110 Supervisors, 1879 ... 181 13 1 6 9 0 Examiners, 1879 ... 941 5 0 8. Petty expenses, — Telegrams to and from Eng- Postages ... ... 12 7 land, 1879 ... ... 28 2 4 Telegrams ... ... 515 4 Ditto, 1880 ... ... 22 15 0 Miscellaneous ... ... 712 10 Miscellaneous, 1879 ... 19 4 6 14 10 9 Carried forward £1,192 19 11 2,637 14 1 Total... ... ... £4,137 16 9 Note. —In this summary the sum of £100 imprest is included as an expenditure. The imprest was not closed until the end of January, owing to the absence of the Treasurer in discharge of duties for which it had been granted. It will be brought to account in due course. —J. Olliviee, Provincial District Auditor. —26th January, 1881. * Details of Expenditure.—Scholarship Account. £ s. d. £ s. d. £ s. d. £ s. d. 1. Scholarships, — Brought forward ... ... 1,457 10 0 Junior scholarships ... 562 10 0 2. Transfer to General Account ... 521 8 10 Senior and third year ditto 795 00 3. Miscellaneous—Cheque-book ... 0 8 0 Medical scholarship ... 100 0 0 4. Fixed deposit ... ... ... 5,130 0 0 1,457 10 0 Total... , -£7,109 6 10 Carried forward ... ... £1,457 10 0 —

# [Summarised from full details in the original.]