H.—s

The Revenue Account for the nine months ended the 31st December, 1913, is as follows :— £ s. d. £ s. d. Funds at Ist April, 1913 .. .. Nil. Retiring-allowances .. .. .. 0 7 5 Members'contributions .. .. 2,450 15 9 Contributions refunded to members .. 36 14 10 Subsidy from Harbour Board (65 pei cent. Accumulated funds at 31st December. of members'contributions) .. .. 1,592 19 (i 1913 .. .. .. .. 4.051119 7 Interest . . . . . . . . 53 6 7 £4,097 1 10 £4,097 1 10 The statistics of the fund show that at the end of the year there were 261 contributors, with annual salaries of £46,763 and annual contributions of £3,590. At the end of the year there were only two pensions current, for £187 3s. per annum, of which £182 14s. per annum had been granted by the Harbour Board in the manner already explained, the balance of £4 9s. per annum being a liability of the fund. The condition of the fund as disclosed by an actuarial valuation is shown in the following valuation balance-sheet:— Liabilities. £ Value of two pensions for £4 9s. per annum already granti d .. .. .. .. 27 Value of prospective pensions (to present eontributois) for back service since contributing 2,312 Value of prospective pensions (to present contributors) for future service .. .. 32,093 Value of prospective pensions to widows and children of present contributors . . . . 14,470 Value of return of contributions on death or withdrawal .. .. .. .. 5,991 Surplus.. .. .. .. .. .. .. .. .. .. 5,852 £61,345 Assets. £ Accumulated funds .. .. .. .. .. .. .. .. 4,060 Value of present contributors'future contributions .. .. .. .. .. 34,718 Value of Harbour Board's annual subsidy (65 per cent, of contributions) .. .. 22,567 £61,345 The scheme was optional on the part of existing members, and consequently the subsidy was settled as 65 per cent, of contributions to allow for adverse selection on the part of employees when making their choice, but the actual selection has turned out to be slightly in favour of the Board. I should not, however, recommend any reduction of the subsidy until more experience of the actual working of the fund has been gained. 5. Auckland Harbour Board Superannuation Fund. —This fund was established on the Ist April, 1913, after it had been ascertained actuarially that an annual subsidy of 60 per cent, of the employees' contributions would be necessary from the Board to enable the benefits shown in the appendix to be granted. The Revenue Account for the nine montls ended the 31st December, 1913, is as follows :— £ s. d. £ s. d. Funds at Ist April, 1913 .. .. Nil. Accumulated funds at 81st December, 1913 514 2 0 Members'contributions .. .. 319 11 9 Suls'dy from Harbour Board (60 per cent. of members'contributions) .. .. 191 15 0 Interest .. .. .. .. 2 15 3 £514 2 0 £514 2 0 The statistics of the'fund show that at the end of the year there were forty-four contributors, with annual salaries of £8,331 and annual contributions of £566. No pensions had been granted. The condition of the fund as disclosed by an actuarial valuation is shown in the following valuation lialance-sheet : Liabilities. £ Value of prospective pensions (to present contributors) for back service since contributing 338 Value of prospective pensions (to present eontributois) for future service .. .. 8,657 Value of prospective pensions to widows and children cf present contributors .. .. 2,472 Value of return of contributions on death or withdrawal .. .. .. .. 872 Surplus .. .. .. .. .. .. .. .. ..1,588 £13,927 Assets. £ Accumulated funds .. .. .. .. .. .. .. .. 514 Value of contributors'future contiibutions .. .. .. .. .. .. 8,383 Value of Harbour Board's annual subsidy (60 per cent, of contributions) .. .. 5,030 £13,927

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