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Cook aDd other islands Administration, Wellington, 14th November, 1907. Sir, — Office Quarters. I have the honour to acknowledge the receipt of your letter of the 9th October last, stating that you have terminated the lease of F. Fataiki's building used for office quarters, and, in reply, to inform you that your action meets with my approval. I have, &c, The Resident Commissioner, Niue. James McGowan.

SIGNALLING FLAGS AND CODE. No. 68. Sir, — Niue Island Administration, Niue, 10th October, 1907. I have the honour to request that a set of signalling flags and a copy of the " International Code of Signals " be obtained for this Administration and forwarded by an early boat. At times ships stand in close to the island and make signals, but at present we have no means of reading them nor of making any reply. I havej &c, H. Cornwall, Resident Commissioner. The Hon. the Minister in charge, Cook and other Islands, Wellington.

No. 69. Sir, — Cook and other Islands Administration, Wellington, 2nd December, 1907. I have the honour to acknowledge the receipt of your letter of 10th October last, asking to be supplied with a set of signalling-Hags and a copy of the " International Code of Signals " for the use of the Niue Island Administration. In reply, I beg to inform you that a set of signalling-flags and a copy of the Code have been obtained, and will be forwarded to you by the first opportunity. The cost, amounting to £13 16s. 6d.—viz., flags, £12 145.; Code, £1 2s. 6d.—has been paid out of advances, and I shall be glad if you will forward a cheque for the amount as early as possible. I have, &c, The Resident Commissioner, Niue. James McGowan.

ESTABLISHMENT OF A SCHOOL AND APPOINTMENT OF EUROPEAN TEACHER. No. 70. Sir, — Niue Island Administration, Niue, 12th November, 1907. With reference to the matter of establishing a school in Niue for teaching the English language, &c, I have the honour to report that the Niue Island Council is desirous that such a school should be established in Niue, and two suitable sites situated in Alofi have been offered to me for that purpose. I propose to accept the most suitable site on condition that it is conveyed to the Crown free of cost. This, of course, will be subject to your approval. It will probably be some time before the matter is finally settled, as the Natives of the island are proposing to compensate the owners of the chosen site. If we get the land the greatest obstacle will have been cleared away. I notice, according to a discussion that took place in the House this session (see Hansard, pages 419 and 420), that there is an impression abroad that the London Missionary Society is doing great things in the matter of teaching English to the Natives of the Islands. Certainly something has been done in Rarotonga and Aitutaki, for which the Rarotongan Administration contributes as subsidy £250 per annum; but nothing of any practical value has been attempted in Niue, where there is a native population of just under four thousand. The London Missionary Society is not prepared to do anything at Niue, although their receipts in Niue exceed the expenditure by about £400 per annum, which money is being used for missionary work in other lands. The absence of a school is a matter that is freely commented upon by some of the white residents, and more especially by persons who visit Niue. If the land is given to us, as I anticipate, it will be necessary to erect a schoolhouse and schoolmaster's residence. That would probably run into, say, £300, and the working-expenses would, I estimate, amount to about £300 per annum — &&j, £250 per annum for a teacher and £50 per annum for contingencies. The most promising boys and girls from each village could be trained, and in time they would become qualified to take charge of village primary schools. In that way we could develop a regular system, with the head school at Alofi. lam of the opinion

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