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111. REPORTS AND ACCOUNTS OF THE NEW ZEALAND SCHOOL OE AGRICULTURE.

6. NEW ZEALAND SCHOOL OF AGRICULTURE. Members of Council. Chairman. —Norton Francis, Esq., C.M.G. Appointed by tho Board of Governors of the Canterbury Agricultural College.—Professor H. G. Denham, M.A., D.Sc., Ph.D. ; Professor P. W. Hilgendorf, M.A. D.Sc. ; J. R. D. Johns, Esq. ; W. 0. Rennie, Esq. Appointed by the Board of Governors of the Massey Agricultural College.—R. A. Candy, Esq.; Professor T. A' Hunter, M.A., M.So.; A. Morton, Esq.; H. B. Stuckey, Esq. Secretary.—J. Logie, Esq. REPORT. In pursuance of the provisions of the School of Agriculture Act, 1937, the Council has the honour to submit its report for the year ended 31st December, 1938 : — Capital Grants.—The year was noteworthy for the fact that the Government approved of a sum of £52 300 being placed on the Public Works Fund estimates for capital expenditure purposes, £1.7,300 being allocated to Massey Agricultural College and £35,000 to the Canterbury Agricultural College. These votes will enable some of the much-needed additions and replacements to be undertaken at the Colleges, but it is a matter of regret and concern to the Council that little progress has as yet been possible'by the Public Works Department in the carrying-out of this work. The Council also is of the opinion that if the procedure followed on this occasion is to be continued in future, under which the purposes of capital expenditure were determined by the Department of Agriculture and the work was carried out by the Public Works Department; it will be impossible for the Council to fulfil the duty imposed on it by section 14 of the School of Agriculture Act, 1937. If the Council is to control the policy of the two Agricultural Colleges it must determine the purposes for which capital sums provided by the Government are to bemused and must be able to ensure that the Board of Governors of each College works within the limits imposed by the grants. Post-qraduate Courses. —The Council has informed the Academic Board of the University of New Zealand of its opinion that provision should be made for graduates in the fundamental sciences to proceed to the Agricultural Colleges for training in specialized branches of agriculture. Such a scheme would provide a limited number of graduates with a type of training such as would prepare them lor subsequent service in research activities relating to agriculture. The Council is further ot the opinion that the implementing of such a scheme would necessitate the provision of a limited number ot postgraduate scholarships of sufficient value to attract the best type of graduate. Visitors. —Amongst those interested in agricultural education who visited the Dominion from overseas during the year were Dr. G. J. Hucker, of the Faculty of Agriculture, Cornell University, Ithaca New York, and Dr. John Hammond, of the School of Agriculture, Cambridge, who was visiting the Dominion under the direction of the Hon. Minister of Industrial and Scientific Research to report on the organization of an Animal Research Bureau in New Zealand. Both of these visitors showed a keen interest in the work being undertaken at the Agricultural Colleges. Aqricultural Division of the Research Council-The Council of Industrial and Scientific Research invited the Chairman to accept a seat on the Agricultural Division of that Council, and the Council ol the School readily agreed that the invitation should be accepted. Finance.—The Council allocated its statutory Government grant of £27,000 as follows : £15,000 to Massey Agricultural College, £9,000 with an additional amount of £2,500 for the reduction of its bank overdraft to the Canterbury Agricultural College, and £500 for current expenses m carrying out the duties of the Council. As required by the Act, reports of the Chairman of Massey Agricultural College and Canterbury Agricultural College are attached, together with the balance-sheets of the two Boards tor the year ended 31st December last, and estimates of their income and expenditure for the year ending 31st December next. The estimates of Massey Agricultural College, after providing a sum of £625 for depreciation, show a deficiency of £165 ; the adoption of these estimates is recommended. The estimates of the Canterbury Agricultural College reveal a deficiency of £911 after allowing £200 for depreciation. The deficit is partly due to a drop in the revenue derived from endowments and a fall in prices of farm products, and partly to an increase in expenditure which was not anticipated when the year's work was planned. In view of these circumstances the adoption of the estimates as presented is recommended. The accounts of the Council, duly audited, are also attached.

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