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Department, there has been an increase in cream for the first five months of the present season over a similar period of the previous season of 6,722 lb. The factors contributing to this success are no doubt the top-dressing of the pastures last season, and the continuance of the policy of culling the cows showing the poorer returns by the scheme of herd-testing, which in turn is gradually improving the quality of the herds. The orchard yielded a bountiful crop of apples last autumn, and the sales realized over £135. Owing to the heavy rainfall experienced in October, November, and December, the prospects for the coming season are not so good, and it seems certain we shall have a much poorer crop this year. The change of conditions from the Reformatory to meet the Borstal requirements has been gradual, but are now well established. A dining-room has been fitted up with furnishings made for the most part by inmates. Admission to the class is made subject to serving a probationary period on good behaviour, and the privilege may be withdrawn on conviction of any misdemeanour. The privilege is greatly appreciated by the members, and the conditions of gaining and retaining its membership prove a splendid reward for and the maintenance of good conduct. On similar conditions a social class has been established for recreation in the evenings, the playing of indoor games, reading, &c., and is carried on under the supervision of an officer. On Saturday afternoons the members of this class take part in cricket and other outdoor games, and during the summer are given the opportunity of bathing in the Mangatutu Stream. That the games arouse their interests is shown by the zest that is thrown into the sports, and speaks well for the system. A class in cabinetmaking and woodwork has also been formed for the evening tuition, under an artisan officer, of others showing an aptitude for the work. The class has turned out some very useful articles for the institution, including desks for the school classes. Although staff changes involved changes in instructors, the drill squads have been kept up to a very high standard of efficiency. For the more convenient working of the scheme the inmates have been divided into three squads, one for the better-trained youth, one for new arrivals and those slower at grasping the exercises, and one of shorter duration for inmates employed on the dairies and as teamsters, whose hours of labour are necessarily longer than the others. The influence of these classes is far-reaching, for besides building up the physique of the inmates it imparts a ready realization to themselves of the results obtained by prompt obedience to orders when they can see the effect of their movements carried out in unison, it gives a more active movement to the inmates in the exercise of their other duties, removes the slouching carriage which many are affected with on their admission to the institution, and the marching learnt is noticeable in the ranks of the working-parties proceeding to and returning from labour. This in turn gives the officers in charge a better grip over their parties from a disciplinary point of view. In the schoolroom night classes were regularly held, and the Schoolmaster has been aided by the voluntary assistance of three capable inmates. In addition to the usual school curriculum, lectures on various topics were frequently given, and to engage the study in matters of general interest and to teach the inmates to express their thoughts more clearly debates were held at intervals throughout the year. In this regard remarkable progress was made. Negotiations are being made to arrange for series of lectures to be given in the ensuing year by volunteers from the professional ranks in the district. The spiritual welfare of the inmates has been catered for by four visiting chaplains from Te Awamutu, and we are also indebted to these gentlemen for bringing out from Te Awamutu, often at great personal inconvenience, parties of musicians and concert entertainers. The Borstal Visiting Committee, comprised of five gentlemen residing in Te Awamutu, has paid frequent visits to the institution, and has shown a keen interest in the working of the institution and the welfare of the inmates. Attention has also been given by the committee to the finding of employment for inmates on their discharge. In conclusion, I may add we are attempting to assist those thrown on our care by giving them, under disciplinary control, healthy employment (for the most part in the open air), healthy exercise and recreation, with added interests in life. We can at least claim that we are giving a training to each to be a better man on his release, with a greater chance of making good in his future life. Institution School: Report of Schoolmaster. During the year we held classes three nights a week, each lesson being of one hour and a half duration, the average attendance being about 47 men. We arranged a series of lectures for the year, one lecturer taking elementary physical science ; another, elementary civics and economics ; and myself, practical agricultural science. These lectures were continued throughout the year, each lecture as far as possible being complete in itself ; and there is no doubt that the men appreciated our efforts to stimulate their interest. This year we started monthly debates, choosing teams of five speakers from each side, with the rest of the school acting as audience. These debates were successful from the first, as we had two really good speakers as leaders. Later on I made the two leaders stand down, to give the others more confidence ; this, too, answered so well that we were never short of speakers ; while the men themselves, as far as possible, chose their own subjects for debate. On the syllabus of work itself, we tried to concentrate on the immediately useful subjects, having arithmetic up to Standard VI once a week ; the English group, reading, letter-writing and spelling, once a week, and lectures the remaining night, with a special letter-writing night on Fridays for primers up to Standard 111 to assist them in their weekly letters home. This class has proved most beneficial—in fact, in some cases at first we had to draft the letters to be copied by them until they were able to do this for themselves. The discipline and tone of the school is good. During the whole of last year I did not have occasion to report a single case of disobedience or bad behaviour in the school, this being due in no

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