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84. Books and Forms, etc. Further supplies of military books and training manuals have been obtained during the year, and distributed to district libraries and to the troops for training. Revision of all departmental forms has been continued to keep them up to date, and, where possible, lessen clerical work by their use. 85. Military Publications. The regular issue of General Orders (monthly), New Zealand Army List and New Zealand Military Journal (quarterly), and Reports on Examinations of Officers (half-yearly) has been continued during the year. Regulations for the New Zealand Military Forces and Financial Regulations in book form have been published to meet requirements; also Equipment Regulations for Engineer Units. After nearly four years' experience of the work done for the Department by the Government Printing Office, I feel I cannot render this my fourth annual report without reference to the great assistance which we have invariably received from the Government Printer and his staff. Our work is sometimes very technical, and the demands we make are frequently very exacting, but we have never met with anything but the greatest help, and no trouble has been too great for them to take to meet our requirements. 86. Aeroplanes. The Bleriot monoplane, presented to the New Zealand Government by the British Aerial League, was duly received and taken on charge. Suitable shed accommodation has been provided. The machine was sent to the Auckland Exhibition and flown there, but is now in Wellington. 87. Training and Manceuvre Areas. The training-grounds in the Waimarino and Waimakariri districts have not been used during the year, nor are they likely to be used until it is possible to concentrate all troops in each Island for training and manoeuvres. It is necessary that a Manoeuvre Act such as exists in England and Australia should be provided, in order that the troops may be camped and exercised on the most suitable areas in each district. 88. The Past Year's Expenditure. The amount voted out of the Consolidated Fund last year to defray the cost of defence amounted to £513,747, of which sum £488,569 was expended, leaving a credit balance of £25,178. Ihis balance was unexpended owing to some of the accounts for arms and other equipment not coming to hand before the end of the financial year. Provision will therefore require to be made on the current year's estimates for these items. 89. The Estimate for the Current Yeah. I am submitting the parliamentary estimate for the current year in accordance with the recommendations of the Inspector-General of the Oversea Forces. This means that instead of their being compiled under six different votes as formerly, they are now shown under one vote, preparation and expenditure under those heads: {A) Adjutant-General's Branch; (2?) General Staff Branch; (G) Quartermaster-General's Branch. By this means all the expenditure on personnel, which is controlled by the Adjutant-General, is shown under subhead (A); the training of the troops being a matter for the Training Branch, all expenditure in this connection is shown under subhead (B) ; the business portion of the Department is shown under subhead (C), Quartermaster-General's Branch. Owing to the increased number of Territorials who attended the recent camps, and the concentration of the Senior Cadets for the Inspector-General, the expenditure therewith (which comes into this estimate) is heavier than in former years. 90. Expenditure from the Public Works Contingent Defence Vote. A sum of £50,000 was voted last year for expenditure in connection with drill-halls, rifle ranges, mobilization stores, stables, and all works of a permanent nature. £30,186 was expended, leaving an amount unexpended of £19,814. The amount expended during the year in connection with fixed harbour-defences amounted to £539. 91. Liabilities of Old Volunteer Corps. In my last report I mentioned the fact that a Board was set up in each district to investigate the accounts of these corps. The question of the liabilities was carefully gone into, with a view of having this matter equitably settled. With the exception of a few outstanding amounts, the whole of the expenditure in this connection has now been adjusted. As soon as the required information ,is forthcoming from the officers concerned the Board will be able to make its final recommendations as regards the few amounts still outstanding. 92. Financial Instructions and Allowance Regulations. These regulations have, on the whole, worked well, and have proved of great assistance to the financial administration of the Department. All officers have been impressed with the importance of making themselves thoroughly conversant with the Financial Regulations, and with this object in view copies of these regulations have been widely distributed throughout the four military districts. From experience gained during the year it is found that several amendments and additional regulations are necessary, which will be submitted to you in due course.

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