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NATIVE-LAND SETTLEMENT. The net expenditure from the Public Works Fund for the year under review was £357,818, as compared with £493,695 for the previous * year. The gross expenditure this year was £1,052,777, as against £1,166,103 last year. The difference between the gross expenditure and the net capital expenditure this year—viz., £694,959 is represented by grants from the Consolidated Fund for promotion of employment of Maoris (£400,000) and farm receipts from Native lands in course of development and settlement totalling £294,959. With the exception of £38,953 expended under the Native Housing Act, 1935 (an additional amount of £22,657 advanced during the year 1939-40 from the Special Housing Fund for disbursement by the Maori Land Boards is reflected in the Native Trustee's Account), the above figures represent expenditure on the development, settlement, cultivation, and improvement of Native lands, and the progress achieved in regard to these activities is indicated in the following statement which shows the position at 31st March, 1940 : — Area gazetted for development (acres) .. . . 90.3,000 Area under development (acres) . . . . . . 269,000 Individuals settlers established .. . . . . ]' 900 Labourers employed .. .. .. 3' qoo Dependants (excluding settlers and labourers) .. 17,000 Houses erected to date (total) . . . . . . 1' 222 Live-stock tallies— Dairy stock .. .. .. .. 53,000 Run cattle .. .. .. _ 24 000 _ ® hee P •• •• •• .. 199 ,'OOO Receipts for year— Butterfat (Department's proportion only, £ 40 per cent.) .. .. ..118,600 W ° ol •• •• .. 55,900 Live-stock .. .. .. ..107,500 Sundries .. .. .. .. 12,959 £ 294,959 The development and settlement of Native lands, the construction and repair of houses for Maoris, and the promotion of employment amongst the people are measures which are directed by the Board of Native Affairs and controlled by the Native Department. A full report dealing with the operations of the Board, and the policy adopted to encourage and assist the Maori people in their establishment as self-supporting members of the community, is contained in parliamentary report Gr.-10. Further detailed particulars in respect of public works activities are included ™ th p e attached reports by the Engineer-in-Chief, the Government Architect, and the Chief Electrical Engineer. In accordance with section 24 of the Main Highways Act, 1922, the annual report of the Main Highways Board for the year ended 31st March, 1940, together with a statement of accounts duly audited by the Audit Office, is also attached vide Appendix E.

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