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future, be undertaken altogether by some one of the masters, who can then give his whole time and attention to the evening classes, and thus avoid interference with the ordinary work of the school, but no definite arrangement could be made until the arrival of the new headmaster. The annual examination of the school in December was conducted by Neil Heath, Esq., headmaster of the Girls' High School, and the Eev. C. M. Nelson, M.A., the latter gentleman examining the boys in Latin, French, geography, composition, and dictation, and Mr. Heath in trigonometry, Euclid, algebra, arithmetic, chemistry, English, and history. The reports of the examiners are appended. On the 25th January notice was received from the Chancellor of the University of New Zealand, stating that in pursuance of " The Auckland College and Grammar School Act, 1880," the Senate had appointed Messrs. F. M. P. Brookfield and J. A. Tole, and the Eev. C. M. Nelson, M.A., members of the Board of Governors. During the year, three members, viz., Colonel Haultain, and Messrs. F. D. Fenton, and F. M. P. Brookfield, retired according to rotation, all of whom were re-elected. Mr. Edwin Hesketh also resigned his seat as a member of the Board, and his place has been filled by the appointment of Mr. E. A. Mackechnie. The Hon. the Minister of Education, Jno. James, Secretary.

Beceipts and Expend itttee for the Tear ending 31st December, 1881. Receipts. £ s. d. Expenditure. £ s. cL Balance, cash in hand ... ... ... 3 16 Balance, Bank of Now Zealand overdraft ... 942 18 O Rents... ... ... ... ... 2,129 11 6 New Grammar School ... ... ... 144 5 0 Interest ... ... ... ... 491 18 6 School repairs ... ... ... ... 45 19 0 Schoolfees ... ... ... ... 1,365 0 0 School salaries .... ... ... ... 2,93116 8 Securities realized ... ... ... 1,400 0 0 Books, prizes, and stationery ... ... 91 2 5 School Commissioners ... ... ... 3419 Printing and advertising ... ... ... 78 7 0 School salary refunded ... ... ... 25 0 0 Insurance (school building and properties) ~. 122 1 3 Evening-class fees ... ... ... 73 5 0 City rates on property ... ... ... 58 10 5 Balance-— City rates, asphalting ... ... ... 37 11 6 Bank of New Zealand overdraft ... 972 12 6 Repairs to property ... ... ... 550 17 2 Petty cash due to Treasurer ... ... 0 5 5 Miscellaneous* ... ... ... ... 246 13 9 Examinations ... ... ... ... 33 3 0 Evening classes ... ... ... ... 21512 6 Interest ... ... ... ... 69 12 1 Office salaries ... ... ... ... 150 0 0 School furniture ... ... .., 28 0 9 Purchas inquiry ... ... ... 746 3 8 Cash in hand ... ... ... ... 2 2 0 £6,494 16 2 £6,494 16 2 * Particiilars of "Miscellaneous:" —Travelling expenses, £19; refitting District Court (temporarily used during erection of school building), £48 17s. 5d.; property expenses (commission on leasing), £41 Is. Bd.; elections, £6 15s. 6d. j Board-room furniture, £18 145.; law expenses, £4 18s. 6d.; water-rate, £10 10s.; gas, £18 18s. 4d.; coal and wood, £14 16s. j cleaning, &c, £11 Bs. 9d.; closets, £17 19s. 3d.; office expenses and sundries, £33 14s. 4d.: total, £246 13s. 9d. John James, Treasurer. I hereby certify that I have examined the books and vouchers of the Board of Governors of the Auckland College and Grammar School for the year ended the 31st December, 1881, and that I find the same to be correct. —L. A. Dtjkeieu, Auditor.—loth February, 1882.

AUCKLAND GIELS' HIGH SCHOOL. The Board has the honour to present the following report of the school for the year 1881! —• The school is still conducted in the premises known as the Wesley College, Upper Queen Street* The site is a very suitable one, but the accommodation is most unsuitable and inadequate. The lease of the premises will terminate on the 31st December, 1883, and it is therefore necessary that immediate action should be taken towards providing a suitable building. The number of pupils in attendance during the year was 200, showing a decrease of thirty-five pupils from the number in 1880. The report of the Headmaster deals fully with the internal arrangements of the school and with the work done during the year. The Board deemed it expedient to discontinue the holding of an annual competitive examination at Christmas. The school is under the inspection of the Rev. W. J. Habens, Inspector-General, and examinations on the work done in each class are periodically made by the Headmaster. A statement of receipts and expenditure is subjoined. The usual yearly grant of £1,200 was voted by the Assembly, in lieu of an endowment. The income derived from secondary education reserves was only £34 Is. 9d. It is clear that, until an adequate endowment is provided, the school must depend upon a special grant from the Assembly for its maintenance. Free tuition is given to girls holding scholarships or certificates of proficiency. A list of those1 girls is appended to the Headmaster's report. The Board cannot too strongly urge the importance of action being taken during the coming year" to provide a school building. The school, being now permanently established, ought no longer to be left unprovided with a building suitable for its requirements. J. M. Clack, Chairmaa.