E.—2

Generally speaking, the percentage of expenditure on administration tends to decrease, although a reference to the previous table will at once show that the actual amount spent on administration by Boards and School Committees was considerably •more in 1911 than in any of the previous years. The corresponding percentages for the several Education Boards are printed in Table Fl2. As is to be expected, the ratio of expenses of administration to the whole expenditure is highest in the smallest district (8-3) and lowest m the largest (3-7). . -» i i It would appear at first sight that Boards were not m December, 1911, on so firm a financial footing as in December, 1910, as the total net bank balances decreased from £66,712 to £41,528. As a matter of fact, however, about £19,000 of this difference is due to the fact that Land Boards have not followed the practice of School Commissioners of making the December quarter payments before the end of the calendar year. As in 1910, only one Board had an overdraft. 2. General Account. For convenience, the funds of Education Boards may be roughly divided into two classes—those granted for building purposes, and those not so granted. The latter class will hereafter be called the General Account, and consists of all items m Table F, except Nos. 2, 27-35, and contractors' deposits, these constituting the Building Account. Table F6 shows the cash assets and liabilities of the Boards on the General Account. These may be summarized thus :— General Account, all Boards, 31st December, 1911. Liabilities. £ Assets - ■*- _ Overdrafts 1-323 Cash •• 24,05/ Due to Government .. .. 722 Due Iron, all sources .. 43,0,b Other liabilities 16,259 Deficits .. l-b Balances .. .. •• ..48,957 £67,261 £67^261 Taking into consideration cash., assets, and liabilities, the General Account of every Education Board, with the exception of one, was in credit at the end oi the year 1911 ; the Nelson Education Board had a deficit on its General Account of £126. The'total net credit balance on these accounts for the last three years is shown as follows : — Balances. Deficits. Ivet Balances. £ £ £ ,q 0 Q .. •• 28,167 Nil 28,167 iq-jn .. 30,850 563 30.287 {5Ji ;; ;■; ..48,957 126 is,B3i The position of this account has therefore shown remarkable improvement since the previous year; indeed in two years the balance has increased by £20,000. Only two Boards showed a decrease in their credit balance, and one, which was in debit last year, has managed to considerably reduce the deficit, The total increases over last year amounted to £18,897, and the decreases to £353, a net increase oi £18 544 The largest increase was shown by the Auckland Board—£4,lll. Auckland also shows the largest credit balance—£ll,372. The next in order are Wanganui, £8,414 ; Wellington, £5,284 ; Southland, £5,279 ; Otago, £4,831 ; and Hawke s Bay, £4,592. 3. Buildings Account. The Buildings Account refers to moneys granted for two purposes, which by parliamentary appropriation and by the terms of the grants made by the Department are quite distinct, namely,— (a.) Moneys granted for the general maintenance and replacement oi school buildings out of the Consolidated Fund, and additional sums paid for the rebuilding of schools destroyed by fire, and for the rent of temporary premises during such rebuilding ;

21