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Stop-banks. The Tarawera stop-banks have been kept in good repair during the year, and new banks have been erected where found necessary on the west bank of the river. The Priestman dredge working on this river northwards from the main Te Teko-Rotorua Road is erecting a fine bank as it proceeds, and this is now complete as far as the northern boundary of Section 147. Drains in Operation. The total length of drains in operation to date is as follows : Dredge cuts, 33 miles 55 chains ; main outlet drains, 94 miles 0-06 chain ; road-drains, 26 miles. Roads in Operation. The total length of roads in operation is 106 miles. Workshops. A great deal of repair work has been carried out in the workshops, and as a result dredges have been kept going very satisfactorily. A blacksmith was engaged and a new smithy erected during the latter part of the year, and now all ironwork for dredges, bridges, and general work is done on the job. Buildings. All buildings n connection with the works have been kept in good repair. A wooden store-shed near the Thornton Wharf was purchased and removed to headquarters to be used as a garage for the new Thornycroft lorry. The shed had to be enlarged considerably, but is now a fine roomy building, and serves its purpose excellently. Rolling-stock. In July, 1921, a new Thornycroft 4-ton lorry was purchased, and since then it has carted coal out to all the four dredges, as well as supplying the three new dredges with benzine, and carting timber out to the bridge-sites. With the exception of a. few breaks caused by rough roads during bad weather the lorry has run well and is in good order. Plant and Machinery. This consists of four Priestman dredges, one Bay City walking land-dipper, and two Monighan walking drag-line excavators, four coal-punts, three oil-launches, one towing-barge, and various small boats and punts. Tho No. 3 dredge pontoon is in a bad state of repair and will require renewal early in the next period. Summary. M. oh. Cub. yd. Now drains .. .. .. 4 61 38,340 Widening and deepening ... .. .. 25 45 89,268 Cleaning drains . . . . .. .. .. 73 24 Surfacing roads .. .. .. .. 5 30 New stop-bank .. . . .. .. ..10 Fencing .. . . .. .. .. .. 17 37 Pile bridge .. . . .. .. .. ..90 Sill bridge .. .. .. .. .. .. 25 0 Flood-gates .. .. .. .. .. ..20 Spoil dredged .. .. .. .. .. .. 13 21 473,994 Levels taken . . . . . . . . .. 81 0 Survey traverses .. .. . . .. 26 69 Proposed Works. Dredging new canal from Te Rahu Canal to White-pine Bush.; rcdredging Te Rahu Canal and parts of Mangaroa Stream and Whakaire drain ; redredging Reid's Central Canal and part Kopeopeo Canal; dredging Tarawera Western drain ; completion dredging Section 109 drain ; redredging Awakaponga Canal and drain ; flood-gate on old Rangitaiki River; silt-traps in Mangaroa and Awakaponga Streams ; new outlet drains, and general development and maintenance works. Works Expenditure. The total amount expended during the year was £81,839, which includes the purchase of tho new American machinery. Day labour amounted to £26,610, piecework £.13,774, and hire of teams £2,718. General. The local office at Thornton is responsible for the preparation of all wages-sheets, contracts, and team-hire vouchers, and this work was satisfactorily carried out. All vouchers are finally put through the Auckland Office, where the books are kept. The local officer in charge is Mr. J. H, Treseder, Land Drainage Engineer. I have, &c, 0. N. Campbell, The Under-Secretary for Lands, Wellington. Acting Chief Drainage Engineer.