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GREY. Sic,— Education Office, Greymouth, 20th March, 1903. I have the honour to submit the report of the Grey Education Board for the year ending the 31st December, 1902. Boabd.—ln July the three retiring members, Messrs. J. Byrne, J. Petrie, and J. McCarthy, were re-elected unopposed. The Board has thus throughout the year consisted of Messrs. J. Byrne, J. Flynn, S. E. Harris, J. Kerr, W. R. Kettle, J. McCarthy, J. Petrie, F. White, and Hon. James Marshall. During the year twelve ordinary and three special meetings have been held. Schools. —There were thirty-one schools in operation at the end of the year, this being an increase of two on the previous year. The Teremakau Settlement School was reopened in April, and the Swedes' Mill School was opened in July. Attendance.—The average attendance for the year was 1,394, this number being an increase of twenty-five on that for the preceding year. Considering that the average attendance for 1901 was ninety-two less than that for 1900, the increase, though small, is very hopeful. Teachers.—The total number of teachers employed at the end of the year was 58 (11 males and 47 females). Of these 10 were head teachers, 21 were sole teachers, 15 were assistants, and 12 were pupil-teachers. Excluding the pupil-teachers, there were 17 uncertificated teachers in the employ of the Board. At the pupil-teachers' examination held in December, 4 passed to a higher grade, 1 failed to do so, and 1 was absent. The rest have passed the necessary examinations. Scholarships.—At the annual examination there were seven candidates, and two scholarships were awarded to pupils of the country schools. Physical Dbill.— Owing to ignorance of the provisions of " The Physical Drill in Public and Native Schools Act, 1901," many of the teachers did not attempt to teach the subject at all. In several of the schools, notably the Greymouth District High, School, very satisfactory work was done. Now that the teachers have an opportunity of attending drill classes, which during the current year have been conducted every Saturday for upwards of three months, the subject is attempted in all the schools. Finance.—At the end of the year the General Account showed a debit balance of £5 13s. 3d., and the Building Account a credit balance of £195 7s. Id. Without explanation these figures are misleading, as to the former must be added £41 13s. 6d., the unexpended balance of a special grant for the training of teachers, which was included in the total. In December the Board received an advance of £500 on the building grant, otherwise at the end of the year there would have been a debit balance of over £300. After paying all the liabilities, the Board has but a limited amount to provide for the maintenance of buildings for the current year. I have, &c, The Hon. the Minister of Education, Wellington. F. White, Chairman.

General Statement of Receipts and Expenditure for the Year ending 31st December, 1902. Receipts. £. s. d. ; Expenditure. £■ a. d. Government grant for buildings .. .. 887 10 0 | Dr. balance at beginning of year .. .. 317 1 8 Sale of old buildings .. .. .. 24 17 6 Office stafl—Salaries and clerical assistance 175 0 0 Other grant 3 from Government — ■ Departmental contingencies .. .. 50 9 8 Capitation for relieving-teachers .. 25 17 5 Inspector's salary and travelling-expenses 225 0 0 Allowance, £250, and capitation at Truant Officer's salary and expenses .. 25 0 0 lls. 3d. .. .. .. .. 1,024 5 6 . Salaries—teachers of secondary olaas .. 182 15 0 Addition to statutory capitation, 1901 184 410 Paid to scholars for scholarships .. 100 0 0 Salaries and allowances of teachers and Training of teachers .. .. .. 25 0 0 pupil-teachers — j Teaohers' salaries .. .. .. 5,621 16 2 Net amount paid by Government .. 5,612 0 2 Teachers'house allowances .. .. 265 16 8 Amount paid by School Commissioners Pupil-teachers' lodging allowances .. 20 0 0 —reserves revenue .. .. 44 0 0 Incidental expenses of schools .. .. 92 0 0 Scholarship grant at Is. 6d. .. .. 103 17 2 School buildings— District High Schools —Capitation .. 216 5 0 New buildings .. .. .. 40 0 0 Grant from Greymouth High School Improvements of buildings .. .. 236 5 9 Board .. .. .. .. 100 0 0; Furniture and applianoes .. .. 197 7 7 Manual and technical instruction — Rent of buildings used for school puiBefund .. .. .. .. 2 5 0 poses .. .. .. . • 60 0 3 Other reoipts, viz.— Plans, supervision, and fees .. .. 40 8 6 Rent .. .. . • .. 2 0 0 Other expenses— Refund, Gas Account .. .. 15 0 Printing and advertising .. .. 142 12 6 Members' travelling-expenses .. .. 194 15 0 Grant for swimming .. .. • • 5 0 0 Sanitation fees (Building Account) .. 711 3 Bank charges .. .. .. 14 13 9 Credit balance at end of year — On Building Account, Cr. £511 15 0 On General Account, Dr. 322 1 2 189 13 10 £8,228 7 7 • £8,228 7 7 F. White, Chairman. H. Smith, Secretary. Examined and found correct, except as to a payment of £30, which has been made to the exChairman for his expenses to Wellington, but which, not being authorised by law, is disallowed, and the amount of which must be refunded to the Board fund.— J. K. Warburton, Controller and Auditor- General.

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