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On the General Account the Board received during the year £5,582 ss. Bd., and expended £5,715 19s. The debit balance on the Ist January, 1891, was £316 Bs. 7d., on the 31st December, £450 Is. lid., showing an increase of £133 13s. 4d. There was therefore a reduction of expenditure for the year amounting to £35 Is. Bd., the deficiency being caused by falling-off of revenues. On General Account the assets at the end of the year amounted to £279 3s. 2d. and the liabilities to £503 13s. 6d., leaving a debit of £224105. 4d. On Building Account the assets were £733 4s. 5d., and the liabilities £32 15s. 6d., leaving a credit of £700 Bs. lid. On Building Account the Board received during the year £1,890, and expended £665 12s. 10d. The debit balance at the beginning of the year was £491 2s. 9d. the credit balance at the end of the year was £733 4s. sd. No new buildings were erected during the year Eepairs were effected at all schools excepting Kynnersley Orwell Creek, Ngahere, Eed Jack's, and Marsden. The largest expenditure upon a country school was at Westbrook, the cost of repairing and painting the schoolhouse and teacher's residence, and fencing school reserve,'being £99 Bs. 3d. Cobden coming next with £45 17s. 9d. Excepting Westbrook School, there was not a school at the end of the year but required some expenditure upon the building. The Board desires to thank the Minister for his liberality in connection with the supplementary building grant. At the same time it is necessary to point out that the total amount allotted to the Board was still insufficient to meet all the requirements of the district. At the end of the year eighteen pupil-teachers were employed and two probationers. The new regulations for the employment and payment of pupil-teachers, adopted by the Board and approved by the Minister, are likely to secure the engagement of the scholars most suitable for the occupation The Board made representations to the Eailway Commissioners concerning the charges for railway travelling for teachers, and asked for further concessions, without effect. Though the results of the Inspector's examination show a slight falling-off from the year 1890, the Board considers there is cause for satisfaction with the general condition of the schools. As provided by the regulations, four scholarships were competed for in January 1891—two for town schools (Greymouth and Cobden) and two for country schools. The town scholarships were awarded. None of the country competitors gained the percentage (60) necessary for obtaining a scholarship, and consequently none were awarded. Thirteen pupil-teachers were examined in December under the Government regulations. Seven passed with credit, and the remainder passed, one or two rather weakly The Board would again press upon your consideration the very low salaries paid in the district, and respectfully request your assistance m improving them. Small educational districts such as this are difficult to manage satisfactorily with the capitation at present allowed, and the Board would urge upon your consideration the advisability of granting an additional ss. per head of average attendance. Though the manner of conducting the election of Committees was altered considerably by the Act of 1890, very little difficulty was experienced in giving effect to the provisions of the Act. The Board desires to express its recognition of the assistance rendered by the Committees in this matter and generally in managing the educational affairs of the district. I am, &c, The Hon. the Minister of Education, Wellington. James Keee, Chairman.

Genebal Statement of Eeceipts and Expendituee for the Year ending 31st December, 1891 Receipts. £ s. d. Expenditure. £ s. d. To Government grant for buildings 1 890 0 0 By Balance at beginning of year— Deposits 43 0 0 General Account 316 8 7 Government statutory capitation 5,148 3 9 Building Account 491 2 9 Scholarship grant 80 7 5 Office staff—Salaries 150 0 0 Inspection subsidy 125 0 0 Clerical assistance 47 10 0 Payments by School Commissioners 99 0 0 Departmental contingencies 112 4 7 District High School fees 92 10 0 Inspector's salary 150 0 0 School requisites 5 4 6 Inspector's travelling expenses 100 0 0 High School Board 25 0 0 Examination of pupil-teachers 12 12 0 Kent 7 0 0 Teachers' salaries and allowances (inBalanco at end of year— eluding rent, bonus, &c.) 4,457 17 0 General Account 337 0 3 Incidental expenses of schools 229 10 7 Add unpresented cheques 113 1 8 Scholarships 75 0 0 School-buildings— Improvements of buildings 494 9 2 Furniture and appliances 100 7 5 Plans, supervision, and fees 56 4 6 Interest 14 11 9 Rent 31 16 0 Printing 116 0 0 Advertising 33 17 0 Travelling expenses of members .. 79 15 0 School requisites 119 16 10 Balance at end of year — On Building Account £735 1 5 Less unpresented cheque 117 0 ■ 733 4 5 On Deposit Account 43 0 0 £7 965 7 7 £7 965 7 7 James Kerb, Chairman. Edwaed T Eobinson, Secretary Examined and found correct (except as to the payment of £50 for the travelling expenses of the Secretary and Chairman of the Board to Wellington, for which there is no authority of law, and is therefore disallowed).—James Edwaed FitzGekai*, Controller and Auditor-General,