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Enclosure No. 2. From the Goveenment to the Paeliament of the Cook Islands. We welcome you at this, your third meeting. We are glad to be able to do so in a Parliament House which belongs to all the Islands, and which has been paid for from the Federal revenue. The revenue for the year ending on 30th June, 1893, including balance in hand on Ist July, 1892, has been $7,542 75c. The expenditure, including subsidies and other sums to be yet paid, will be $7,426 55c. Full accounts will be laid before you for your information. The estimates for the coming year will also be laid before you. It will be for you to say whether they shall be accepted as they are, or whether you think that alterations should be made in them. The imports for the year have been $110,795. The exports for the same period have been $129,103. Detailed statements of imports and exports will be placed before you. Last year the coffee crop was poor, and the prices for copra and cotton were very low. This season the coffee crop is very good; and we hope for larger returns of imports and exports, and consequently for a larger revenue in the year to come. We are glad to hear that coffee is being more largely planted in the other islands, as well as in Earotonga. Coffee must be regarded as the staple and most profitable article that can be produced in these Islands. The Government of New Zealand kindly agreed to have the new stamps, which you authorised last year, executed in New Zealand, and they will soon be ready for issue. The old stamps that may be left on hand will then be destroyed. ■ The British Government have agreed that we may place the Union-jack in the upper corner of the Federal flag adopted by you in the last Parliament. They require that a distinctive mark shall be placed in the centre of the Union-jack, and you will be asked to decide what that mark shall be. The Premier of New Zealand, the Hon. John Ballance, has died since the last Parliament met. Mr. Ballance took great interest in these Islands, and it was chiefly through him that we enjoy the blessing of British protection. We shall propose to you a resolution of sympathy with Mr. Ballance's wife in the great loss which she and the people of New Zealand have suffered. We have not prepared any new laws for your consideration. The Federal Government is still young, and we think the fewer laws that are made the better. The Councils will know better how to make the laws which each island may require; but you will be asked to consider the spending of money to introduce insect-eating birds, and for other like purposes that concern all, and which you can do better than each island can do for itself. We are informed that the London Missionary Society contemplates the early establishment of a central training-school in the Cook Islands for the teaching of English, and that eighty boys and girls will be taught in the school free of charge, and be selected from all the Islands. We think this one of the best things that could be done for the people, and are sure that it will have your cordial support. It is proposed that the buildings shall be put up by subscription in the Islands. The necessary teachers will then be sent and paid by the Society. We shall bring proposals before you for a contribution from the Federal revenue, not exceeding one thousand dollars a year, towards the maintenance of the pupils in the school when it is established, as your share in this good work. We pray that the Almighty may bless your deliberations, and that your meeting in this Federal Parliament may lead to a more perfect union among the different islands; for we are now all living under one flag, and are one people. Makea, Ariki, Earotonga, sth July, 1893. . Chief of the Government.

Enclosure No. 3. Statement of Eevenue for the Year ending 30th June, 1893. $ c. $ c. Import Duty ... ... ... ... ... 3,755 46 Post Office and Stamps ... ... ... 2,30193 Less paid to New Zealand Government towards cost of new stamp ... ... ... 666 66 1,635 27 Miscellaneous, Shipping fees, &c. ... ... .... 112 38 $5,503 11 J. H. Gaeniee, Collector of Eevenue. I have examined the above accounts, and compared them with the vouchers, and hereby certify that they are correct. Earotonga, 3rd July, 1893. J. Scaed, Auditor.