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to meet the difficulty with its limited funds is a question which, with the wants of other Lbards, will have to be faced. The remedies so far suggested are of a restrictive character, either limiting the age or the standards, neither cf which would affect the case of districts m which no school places are provided. Nor can the Board see how local rating is going to lighten the burden ot education, if the burden is to be borne , and how country districts would fare under such a system is only too clear At the present, time there is considerable dissatisfaction in country districts at the Board's inability to provide school accommodation, although a considerable sum earned by the city schools is transferred for the better support of the country schools. , The following table shows the amounts of the building grants from 1878 to Wbo, with the principal heads under which the money was expended : —

j i i : ! i —. ■ —! — In 1878 a new school was built at Opaki teachers' residences at Tawa Flat, Clareyille, and Waihenga, repairs and enlargements were carried out at the Terrace, Mount Cook Girls , and Masterton schools , additional sites were purchased in Sydney Street, Tawa Flat, Carterton, Upper Hutt, and Waihenga. ~ , , -m i.- -v j In 1879 new schools were built at Thorndon, Newtown, Mungaroa, Parkvale, liketanuna, ana Judgeford , additions were made to Featherston sites were purchased for Thorndon School. In 1880 new schools wore built at Featherston (to replace the old one burned down) and Willis Street, To Aro additions were made to To Aro Infants' School and Tait a School. _ In 1881 new schools were built at Karori and Wadestown, new residence at Karori, additions were made to Carterton, Greytown, Hutt, Mount Cook Girls', Newtown, and Terrace schools. In 1882 now schools were built at Masterton, Taueru, Whiteman's Valley, Wallace, Mungaroa; and teacher's residence at Opaki. . . In 1883 now schools were built at Parkvale, Kaitoke, Petone, Waikaheke, Vogeltown, Xi brrme, and Wangaehu. A new residence has been built at Pahautanui. A site was acquired at Kilbirme. A sito and building was purchased at Cross's Creek, and a site at Johnsonville-. Additions have been made to Fernridge, Hutt, and Judgeford schools. The residences at Featherston, Clareville, and Upper Hutt have been added to. Improvements have been effected at Carterton, Greytown, Featherston , and the sanitary arrangements of the Thorndon, Terrace, Willis Street, and Mount Cook Boys', Girls' and Infants' Schools, have been placed on the most approved basis. Residences.—Thirty-one of the Board's schools have residences, and twenty-five schools have none. Of those twenty-five schools, twelve at least urgently require to be provided with residences before adequate results for tho expenditure can be hoped for their want is the main cause of an almost incessant change. Teachers.—There were in tho Board's service at the end of tne year 38 male head-teachers, 15 female head-teachers, 18 assistant male teachers, 29 female assistant teachers, 6 male pup u " teachers, and 63 female pupil-teachers. In the accompanying return the names, status, school where employed, and salaries of all the teachers in the Board's employment are fully set forth. Attendance.—The attendance continues to steadily increase. At the beginning of the year the number on the rolls was 5,767, at the end of the year 6,840. The average attendance at the beginning of the year was 5,232, and. at the end of the year 5,344. The regularity of attendance, though still not quite satisfactory shows an advance on previous years, and there is reason for hoping that the educational value of continuous attendance is gradually being better appreciated by parents. Results.— The Board is satisfied that, on the whole, sound and groat results are in process of realization. Much of the criticism to which the system is subjected is quite independent of facts , small allowance is made for the comparatively short period the system has been in operation, and less for the influence which the large influx of comparatively ill-taught children introduced by the public works policy has had on the results produced by our school system. It is significant that the percentage of adults who can read is higher in New Zealand than in any other of the colonies, and the same may be said of tho children of school age. Scholarships.—A competitive examination for nine scholarships, tenable for two years, was held on the same days in the Normal School, Wellington, and the Greytown Public School. Fifty candidates submitted their names, and forty sat for examination. The papers were set and the examination was conducted by the Rev W H. West, 8.A., LL.B., and A. McGregor, Esq., M.A. The scholarships were won by Ewen McColl, £30 Edward Beaglehole, £20; Cecil Palmer, £30 , Robert Drummond, £30 , Francis B. Meacham, £20 , Walter Bethune, £20 , Fred. Evans, £20 , Annie Ranwell, £20 Percy Gardner, £20. For fuller information the examiners' report is appended.' 1 - Committees.—The Board takes this opportunity of recording its appreciation of the value of the services rendered to the cause of education by tho various School Committees. To their interest and zeal for the welfare of their respective schools the improved attendance and tone

* Not reprinted here,

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Year. Grant from Government. New Buildings. Enlargements, Improvements, andBepairs. School Furniture, and Appliances. Purchase of Sites. Plans and Supervision. Total. 1878 1879 1880 1881 1882 1883 £ s. 8,000 0 11,800 0 13,200 0 4,750 0 2,182 0 6,412 12 a. 0 0 0 0 0 0 £ s. d. 1,601 17 4 6,6.32 0 6 8,234 5 7 2,501 6 9; 1,843 13 0 2,036 10 0 ■s, s. a. 3,673 7 11 1,591 8 10 812 9 (V 2,828 3 5 1,107 5 0 2,554 10 11 £ s. a. 812 10 2 '598 2 11 ■726 14 7 418 5 3 '408 16 4: £ s. a. 617 2 0 4,600 0 0 £ s. d. 234 2 6 221 1 3 415 3 9 374 8 0 180 0 9 '229 11 5 £ s. d. 6,126 9 9 13,857 0 9 10,060 1 9 6,431 5 9 3,749 4 0 6,248 18 8 200 0 0 1,019 10 0;