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for drill instruction on Saturdays. With this end in view Government has been asked for the services of a drill instructor, and, as soon as the Board has ascertained the number of teachers who will attend at each centre, the information will be forwarded to the Defence Department for the purpose of completing arrangements. Disteict High Schools.—The Board has received application from, the School Committees of Wanganui and Hawera for the establishment of District High Schools at those places, and as a fair number of pupils are promised the Board purposes to comply with the request, provided that no claim for extra staffing is made upon the funds for primary education. Application has been made to the Minister for his sanction as required by the Education Act, 1877. Pupil-teachebs.—The annual examination of pupil-teachers was held in June. Eighteen candidates presented themselves in the first class, twenty in the second class, and twenty-one in the third class, making a total of fifty-nine. In the first class seventeen passed and one failed. Of the seventeen who passed, eight were boys and nine girls, and a boy headed the list. In the second class fifteen passed and five failed. Of those who passed seven were boys and eight girls, and a girl headed the list. In the third class sixteen passed and fivefailed. Of those who passed, four were boys and twelve girls, and a girl headed the list. Scholarships,—The usual scholarships competitive examination was held in December, when seventy-four candidates presented themselves—viz., thirty-six for the senior and thirty-eight for the junior class. Of the seniors, thirteen qualified and twenty-three failed to score the necessary percentage. Three girls secured the highest places in this class, and were awarded scholarships of £40 a year each for three years. Two of these competitors were pupils of the Wanganui Girls' College, and one a pupil of the Terrace End School, Palmerston North. Of the junior competitors, ten qualified for scholarships and twenty-eight failed, to obtain the necessary percentage. The boy who headed the list did not take up the scholarship offered him. Four scholarships were awarded to the next highest competitors, one of £15 a year to a Wanganui girl, and three of £40 each to pupils of country schools. To qualify for a scholarship candidates must obtain not less than 65 per cent, of the possible number of marks. The Board has found it necessary to comment on the folly of parents or teachers presenting candidates who are quite unprepared for such a contest, a course which entails useless trouble and expense. Finance.—The statement of receipts and expenditure shows a debit balance in the General Account of £262 3s. 3d. and there are liabilities (principally for School Fund) amounting to £475 12s. 7d., making a total of £737 15s. 10d. Of this sum £610 4s. lid. is a debit on account of the Wanganui, Palmerston North, and Hawera Technical Schools, which, if deducted from the above gross amount, would leave a net debit balance on the General Account of £127 10s. lid. The Building Account shows a credit balance of £3,117 13s. 4d., with liabilities, on account of contracts accepted, amounting to £2,968 6s. 2d., leaving a credit balance of £149 7s. 2d. There are, however, contingent liabilities for buildings promised, but for which contracts have not yet been entered into, which will more than absorb this nominal balance. With reference to the balance against the technical schools, the Board trusts that Government will make a special grant to clear off the deficit. I have, &c, The Hon. the Minister of Education. . Geo. J. S. Bridge, Chairman.

Genebal Statement of Receipts and Expendituee for the Year ending 31st December, 1900. Receipts. Expenditure. £ s. d. Balance— £ s. d. Office staff—Salaries .. .. .. 505 0 0 On Building Acoount.. .. .. 2,371 14 9 Clerical assistance .. .. .. 10 0 Oil General Account .. .. .. 61 19 2 Departmental contingencies .. .. 219 14 3 Palmerston North Technical School, fixed Inspectors' salaries .. .. .. 777 210 deposit .. .. .. .. 200 0 0 Inspectors' travelling-expenses .. .. 291 8 7 Government grant for buildings .. .. 5,867 0 0 Truant Officer's salary and expenses .. 200 0 0 Subscriptions and donations for buildings 3 10 0 I Examination of pupil-teaohers .. .. 67 5 9 Other receipts for buildings— Teachers' salaries and allowances (includOontractors'deposits .. .. .. 1.22 4 0 ing rent, bonus, &o.) .. .. .. 28,828 14 10 School-bites leased ~ .. .. 25 15 8 Incidental expenses of schools .. .. 1,736 12 3 Government statutory capitation .. 30,810 15 1 Training of teachers .. .. .. 200 15 0 Scholarship grant .. ■ .. .. 422 8 6 ScholarshipsInspection subsidy .. .. .. 300 0 0 Paid to scholars .. .. .. 562 0 0 School Commissioners .. .. .. 1,922 11 8 Examination expenses .. .. 21 7 0 Other receipts— . School buildings— Rent .. .. .. .. 150 New buildings .. .. .. 2,562 4 7 Truant-inspection fines .. .. 214 0 Improvements of buildings .. .. 1,670 1 7 Training of teachers .. .. .. 16 5 0 Furniture and appliances .. .. 411 16 0 Technical School— Sites .. .. .. .. 371 8 4 Bees bequest .. .. .. 10 10 0 | Plans, supervision, and fees .. .. 141 8 7 Government capitation .. .. 152 410 Contractors' deposits .. .. .. 115 12 0 Government grant .. .. .. 50 0 0 Members' expenses .. .. .. 105 12 6 Sohool fees .. .. .. .. 550 12 3 Standard examination .. .. .. 47 5 9 Cookery fees and capitation .. .. 30 15 5 Technical Sohool— Palmerston North Technical Sohool, in- Salaries and travelling-expenses .. 775 1 1 terest on fixed deposit .. .. 6 0 0 Scholarships.. .. .. .. 8 2 6 Balanoe .. .. .. .. 262 3 3 Building .. .. .. .. 12 19 2 Furniture and apparatus .. .. 18 13 2 General expenses .. .. .. 113 7 1 Cookery class expenses .. .. 102 2 5 Balance — On Building Account .. .. .. 3,117 13 4 Palmerston North Teohnioal Sohool .. 206 0 0 £43,190 8 7 £43,190 8 7 A. A. Beowne, Secretary. Examined and found correct.— J . K. Wa'bbubton, Controller and Auditor-General.