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E.—2

The total expenditure during the year, including £97 Is. Bd. paid from Native school reserves and £800 from the Tauranga Educational Reserves Fund, was £31,783 Bs. 7d. Deducting recoveries, £291 4s. 3d., the result is a net expenditure of £31,492 4s. 4d., as against £29,681 in 1906. Included in this amount is £3,340 for new buildings and additions and £2,627 for secondary education, including boarding-school fees for holders of scholarships from village schools, University scholarships, and apprenticeships. The new scale of staffs and salaries has caused an increase of £3,653 in the expenditure on this account. Part of this increase is, however, to be accounted for by the fact that in cases where through the operation of the new scale a reduction in salary would have been effected the salary was kept up, for one year, to the former rate. The stall's of the village schools included eighty-one masters, nineteen mistresses in charge, 107 assistants, and three sewing-teachers. Of the 4,183 children attending Native schools at the end of 1907, 788 were Maori or nearly Maori, 79 were half-castes speaking Maori in their homes, 34 were half-castes or nearly so speaking English in their homes, and 99 per cent, were Europeans. At the end of the year there were in the preparatory classes 1,711 children; in Standard I, 561; Standard 11, 581; Standard 111, 530; Standard IV, 422; Standard V, 254; and Standards VI—VII, 124. Of the Maori children in the highest standards, one gained a certificate of proficiency and six certificates of competency during the year. There were 418 European children in Native schools, of whom 292 were in various standard classes, fifty being in Standards VI and VII. Six certificates of proficiency and five of competency were gained by European children in these classes during the year. Of the 3,988 children of Maori or mixed race attending public schools, 607 per cent, were of Maori race, 59 per cent, were of mixed race living as Maoris, and 334 per cent, were of mixed race living as Europeans. Seventeen certificates of competency and thirty of proficiency were obtained during the year. Early in the present year the Minister visited the Native schools in the East Coast, Bay of Plenty, and Taupo districts, and also some of the South Island schools, and was well satisfied with their efficiency and general management, and very favourably impressed with the appearance of the children.

No. 2. The Inspector op Native Schools to the Inspector-General of Schools. Sir, — Wellington, 31st March, 1908. In accordance with instructions, I have the honour herewith to place before you my report on the general condition of the Native schools and the work done by them during the year 1907. At the end of the year 1906 there were 100 village schools in operation. During the year 1907 four new schools were opened and five were closed, making a total of ninety-nine schools working at the end of 1907. New Schools, etc., 1907. Four new schools were opened during the year—viz., Rawhitiroa, near Raglan; Motuti, in Hokianga district; Waikare, Bay of Islands; and Reporua, on the East Coast. At the three lastnamed places no proper buildings have yet been erected, but the schools are being conducted in temporary premises. In connection with Reporua, mention should be made of the fact that the Maoris contributed material help to the Department. They offered the best site available, provided a temporary schoolroom, arranged to accommodate the teacher, carried all the school furniture and material a considerable distance free of any charge, and paid into the Public Account the sum of £200 as a contribution towards the cost of the buildings. With regard to the most promising cases mentioned in last year's report, the following statement shows the position: — Wharekawa. —The buildings have been completed and the school is to be opened early this year. Mataora Bay. —Here also the buildings have been completed and the school will be opened shortly. Te Awaroa, Kawhia. —Inquiries here have shown that a school is badly needed at Rakaunui, where most of the children living in the district near the Awaroa River can attend. It is proposed to remove to Rakaunui the buildings now standing idle at Raorao. Taemaro and Waimahana. —Further investigations have led the Department to decide upon the establishment of a school at Taemaro. A school will therefore be opened in temporary buildings as soon as arrangements can be made and a suitable teacher obtained. Waihapa. —lt seems that many of the children at Waihapa belong to one or other of the abovenamed settlements, and the establishment of a school at Taemaro may probably be found to serve them. Motiti Island, Bay of Plenty.—The probable cost of erection of buildings has caused the Department to hasten very slowly with this case. A visit is to be made by the Inspector at an early date. Matapihi and Whareroa, Tauranga.—The Auckland Board of Education has arranged a ferry service for the children, many of whom now attend Tauranga Public School. Tahuna, near Waiuku, Manuka'u.—A school is to be opened here shortly in buildings provided for the purpose by the Maoris. Kohanga, Waikato River. —A visit paid in the hope of getting the Maoris to agree to give a convenient site for a school proved futile. No more can be done at present by the Department in this matter.

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