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A.—4,

(/) The Engineering and Transport Department ceased to exist at the end of 1930-31, the hydroelectric scheme being taken over by the Public Works Department. The amount shown for 1930-31 under Engineering and Transport Department includes sales of capital assets.

Expenditure.

Salaries of all European officers were reduced by 10 per cent, from the Ist April, 1931, and the salaries of the Samoan staff were similarly reduced from the Ist January, 1932. This reduction is reflected in all departmental expenditure for 1931-32. Eor the purposes of comparison the grouping of the various items of expenditure for 1931-32 is the same as for the previous year, but owing to a later rearrangement of these items the totals of the individual heads of expenditure as given above differ from the figures appearing in the printed estimates, though the grand total is, of course, the same. (a) The reduction under item 2 is accounted for mainly by the fact that 1930-31 includes £407 for purchase of motor-car late in year. New car also resulted in reduction of expenditure on motor-car maintenance for 1931-32. A saving was also effected by part use of prisoners on maintenance, Yailima grounds. (b) The reduction under Secretariat is due mainly to lower expenditure on maintenance of Government property and furniture and on officers' travelling-expenses to and from overseas. (c) The reductions under Native affairs are made up of reduced expenditure under salaries. (d) The apparent increase under Customs, &c., is due mainly to a new item, " Refund of banana duty." This was previously shown as a deduction from the revenue item. (e) The small reduction under Justice Department is the result of general economy under various subheadings. (f) The reductions under police and prisons and constabulary are due to the fact that a number of officers have been returned to New Zealand and have not been replaced. (g) The small reductions under Health and Lands and Survey Departments are the result of general economies. (h) The cost of administration of the Chinese Department for 1931-32 was charged to the Chinese Fund. (i) The saving in the Postal Department has been mainly due to staff economies. (j) The increase under radio-station is only apparent, the expenditure for 1931-32 including £2,306 paid to other stations, which expenditure was shown as a deduction from the revenue item for 1930-31. The decrease in actual expenditure is the result of a considerable falling-off of business received. (/<•) The reduction under Education Department is the result of reduction of staff during the year and general economies. (1) The reduction under public works, general and maintenance, is due partly to economies effected and partly to postponement of work where possible. (m) New works expenditure for 1931-32 includes £5,595 for erection of new post-office and telephone exchange to replace that which was destroyed by fire in July, 1930. (n) The Engineering and Transport Department ceased to exist at the end of 1930-31, the Public Works Department taking over the Hydro-electric Section,

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Head of Expenditure. 1930-31. 1931-32. £ £ 1. Permanent charges on public debt .. .. .. 11,071 11,071 2. Administrator and Government House .. .. .. 4,703 4,151 3. Secretariat .. .. .. .. .. .. 11,207 9,614 4. Native affairs — (a) Upolu and general .. . . . . .. .. 7,250 6,184 (b) Savai'i .. .. .. .. .. .. 2,448 2,321 5. Treasury .. .. .. .. .. 3,792 3,662 6. Customs, taxes, and marine .. .. .. .. 10,525 18,987 7. Justice .. .. .. .. .. .. .. 2,888 2,632 8. Police and prisons— (a) Police and prisons . . . . . . j 9,904 8,608 (b) Constabulary .. .. .. 16,561 10,412 9. Health .. .. .. .. .. .. 18,224 17,824 10. Lands and survey .. . . .. .. 1,791 1,423 11. Chinese .. .. .. . . . . . 1,407 12. Post Office and Savings-bank .. 5,008 4,238 13. Radio-station .. .. .. .. , . .. 3,656 5,218 14. Education .. .. .. .. 7,439 6,794 15. Public works— (a) General and maintenance . . .. 9,013 7,738 (b) New works .. .. .. .. 6,713 6,416 (c) Hydro-electric .. .. .. .. .. .. 1,643 16. Engineering and transport .. .. .. .. 6,688 Totals .. .. .. .. .. 140,288 128,936

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