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report the following sentence occurs: "As the feasibility of initiating such instruction has thus been amply demonstrated, it is the hope of the Board that, in connection with other schools, advantage will be taken of the opportunity provided by the Act recently passed to bring this important branch of education within the reach of the scholars attending." The Board regrets that in no other school district have steps been taken to secure the benefits of manual training. Attendance.—The total roll-number for the district on the 31st December was 1,397. The average attendance for the year was 84 per cent, of the average roll-number. There is a slight fall in this proportion, but it is more disquieting to find that the roll-number of the district has experienced so great a reduction during the year. The effect on the financial position of the Board is grave, and serious consideration of the matter will be necessary in the near future. Teachees. —The number of teachers under the Board at the end of the year was sixty-two, including eleven head teachers, twenty-three sole teachers, fifteen assistants, eleven pupil-teachers, one monitor, and one sewing-mistress. Scholabships.—During the year there have been ten scholarships in force. In December thirty-four candidates presented themselves for examination, and scholarships of £23, £15 10s., and £8 18s. respectively, tenable for two years' have been granted. Finance.—During the year £559 lis. 6d. has been expended in the Building Fund, and at the end of the year £499 9s. 3d. was in credit. This includes a special grant of £300 for certain districts and not yet expended. Engagements have, however, been entered into that will absorb a very large portion of the balance, the most important being the erection of a school at Jackson. The serious fall in the numbers attending the schools, already referred to, has greatly reduced the Board's income in connection with the General Account without diminishing the expenditure to an equal extent. The result is a deficiency in the year's operations of £97 Bs. 3d., and the account closes with a debit balance of £15 9s. Bd. Economy in every direction, including a rigid adherence to the regulations in the allotment of staffs, will be very necessary during the year 1899. I have, &c, The Hon. the Minister for Education. J. McWhieteb, Chairman.

Geneeal Statement of Beceipts and Expenditube for the Year ended 31st-December, 1898. Receipts. £ a. d. Expenditure. £ a. d. To Balance— By Office staff—salaries .. .. .. 352 0 0 On General Account .. .. 81 18 7 Departmental contingencies .. .. 117 1 2 On Building Account .. .. 9 0 9 Inspector's travelling.expenses .. 89 4 0 Government grants for buildings .. 1,050 0 0 Examination of pupil teaohers and Government statutory capitation .. 4,668 15 0 scholarship candidates .. .. 19 7 0 Scholarship grants .. .. .. 94 17 11 Teachers'salaries and allowances .. 4,553 16 6 Inspection subsidy .. .. .. 175 0 0 Incidental expenses of Bchools.. .. 137 15 8 Capitation grant, Kumara technical Scholarship payments .. .. 99 0 0 class .. .. .. .. 23 110 School buildings (improvements, &c.) .. 463 211 District High School fees .. .. 250 15 0 Members' travelling-expenses .. .. 44 15 0 High School Board subsidy .. .. 100 0 0 Capitation grant, Kumara teohnical Other receipts .. .. .. 615 6 class .. .. .. .. 23 110 Balance on General Account .. .. 15 9 8 Other expenditure (school requisites, furniture, &c.) .. .. .. 77 0 11 Balance on Building Aooount .. .. 499 9 3 £6,475 14 3 £6,475 14 3 John McWhietee, Chairman. A. J. Mobton, Secretary. Examined and found correct—J. K. Waebueton, Controller and Auditor-General.

REPORTS ON DISTRICT HIGH SCHOOLS. Hokitika (Secondaby Class). This class is comprised of twenty-one pupils, who are distributed as follows : Fourth year, one ; third year, two ; second year, six; first year, twelve. With the exception of four pupils that for special reasons omitted Latin, all were presented in the six compulsory subjects—English, Latin, Euclid, arithmetic, algebra, and geography. In addition, a majority secured satisfactory marks in chemistry, and one pupil good marks in French. The pupils of the second, third, and fourth years all obtained very satisfactory average marks, only one failing to reach 80 per cent. It is not to be expected that large percentages will be secured in the first year, but it is very satisfactory to find that all the junior pupils have recorded an average of 50 per cent., three reaching 80 per cent. It is hardly necessary to add that the various subjects have been well prepared, and that the class has again recorded a most successful year's work. It is a matter of regret that no pupils have presented themselves for the matriculation examination of the present year. Several are quite ready for such a test, but the absence of any apparent practical benefit, the excessive fee charged (£2 25.), and the fact that the examination is not held in Hokitika, deter parents from securing a valuable record of the work done. The following pupils have been successful in the examinations stated up to the 31st December, 1898 :— Matriculation, New Zealand University. —B. W. Watson, F. W. Furkert, G. C. Bodda, Honora Crowley (twice), P. J. Kelly, Minnie Potts (twice), Ada J. Dwyer (twice), J. C. Malfroy, Johanna Crowley, W. Mcintosh, E. Fitzgibbon (Junior University Scholarship examination, with credit), E. C. J. Clarke, T. V. Mackay.

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