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" Statistics, covering a period of six years, collected from the case-sheets of patients who had undergone treatment in the Sanatorium, were published in the special ' Rheumatic Number of The Archives of the International Society of Medical Hydrology ' in August last, and our results compared very favourably with those obtained at any of the European Spas. " The Bathhouse and other Buildings.—These have been maintained as efficiently as possible for service, but lack of funds to expand our work has at times seriously interfered with progress. That this fact is apparent was manifested by a widespread press criticism throughout the Dominion —a criticism which, though it may be productive of ultimate benefit, kept many visitors from coming to Rotorua at that period of the season. This year a new massage-room was added to the Main Bath building. This has considerably relieved the congestion in the women's massage department. " Massage and Electrical Therapeutics.—Owing to the increase in our work of physiotherapy, various items of electrial equipment have had to be duplicated—viz., Bristowe tables and diathermy apparatus. The X-ray plant installed last year has proved invaluable as an aid to diagnosis, and the financial returns show an increasing revenue from this source. The Plombi4re douche, which has been to hand for some time past, is still waiting accommodation for its installation. " Staff. —During the past year the staff have carried out their duties in a loyal and faithful manner, and a great deal of the success of our work here has been due to their whole-hearted co-operation. " Summary. —I have stated in my previous reports the need for additional accommodation to adequately carry out and expand the work of this Spa, and, as each season arrives, the limitations of our buildings are more acutely felt. The Old Pavilion buildings have long since fallen into decay ; the Blue Bath is in an almost similar state ; the Main Bath building requires extensive repairs ; and the Sanatorium —an institution which is endeavouring to provide for the treatment of rheumatic patients —has long outlived its sphere of adequate usefulness. However, lam in hopes that the present year will see the beginning of a new era of progress, when, with a new and well - equipped Pavilion building, a new and commodious swimming-bath, the attractions of our Spa should induce a considerably augmented patronage. Also, a new Sanatorium is a contingency which will have to be met in the near future, for not only is the present building out of date and inconvenient, but it is too small for the demands of our work. " In this connection 1 have pleasure in stating that the plans for the new Pavilion Baths and the extended Blue Bath (swimming) have now been definitely settled and agreed upon by the Government Architect (Mr. J. T. Mair) and Dr. Duncan. The final plans are being attended to with despatch by Mr. Mair and his staff ; the necessary authority has been obtained from Cabinet, and I hope for the very early calling of tenders for these most necessary works. The improvements in the Sanatorium establishment and the repairs to the main Bath buildings will have the attention of the Department when these first-mentioned works are completed. " There has been a considerable amount of dissatisfaction during the year owing to the dust nuisance in the gardens, caused by the large motor traffic there, and the Public Works Department have under attention the question of oil-spraying the paths, or finding some other means of coping with this trouble. " The Exhibition at Budapest having been abandoned, the conference of balneologists at which Dr. Duncan was to represent New Zealand had also to be abandoned. " In conclusion, I should like to place 011 record my appreciation of the interest and support which the Dominion members of my profession have given to our work at this Spa." Waitomo Caves. I have the pleasure of once again having to report an increase over the previous year of £2,243 18s. 6d. The total cash receipts amount to £12,405 ss. 3d., against £10,224 6s. Bd. last year. During the year 15,000 visitors inspected the caves ; this number is 1,845 in excess of last year, when 13,155 visitors were recorded. The new hostel was completed and handed over by the contractor last May, and was completely furnished in time for this year's tourist traffic. Our visitors are very generous in their praise of the appointments of the new building, which they state is equal to any hotel in this country. It is very gratifying to know we are now in the position of being able to properly cater for the tourist traffic and I am certain that in a short time we will have to make further extensions to meet the demand that is put on this popular resort, for on several occasions we have had to refuse applications for accommodation. The work of forming roads and footpaths around the Hostel grounds was carried out by the Public Works Department, and is completed except the tar-sealing, on which a start will be made this month. During the year several railway excursions from Auckland, Wellington, and other places were run by the Railway Department. Te Aroha. The revenue for the year ended the 28th March, 1929, shows a decrease of £64 os. 6d. as compared with the previous twelve months. Baths show an increase of £5 18s. lid., massage an increase of £30 55., library an increase of £14 35., but games show a decrease of £91 9s. 4d. This is accounted for by the small number of season tickets (bowls) sold, the extremely hot weather, and also the tennis club having their own playing-areas. Bath Buildings —Drinking -fountains. —The necessary work in connection with the upkeep of the bath buildings, &c., has been carried out. The pipe-lines, both hot and cold, have been put in good repair, new valves being put in where required. Two old drinking-fountains were replaced with two

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