C.—l.

(c) and (d) Developed Allotments disposed of.

(e) The Total Amount advanced to Crown Tenants for the Development, of their Holdings, the Number of Advances, and the Purpose for which such Advances have been made. Number of settlers assisted .. . ■ • • • • • • 494 Loans approved — £ Improvements .. •• •• •• 216,865 Stock 8.597 Total .. •• •• •• •• •• £.225,462 Amounts actually advanced — £ Improvements .. .. •• •• •• •• 176,925 Stock .. .. •• •• •• •• 1)813 Total £1 TO >738 Small-farms Scheme. During the year there has been comparatively little extension of the area included in the smallfarms scheme, the main item being the furtherance of the land-development operations, which have been very successful. The principal reason for not launching out on new work has been the need for the Board to take into account the fact that three-eighths of the wages-cost of development has, from Ist June last, been charged to capital, and, therefore, must be loaded on to the land. As mentioned in the report of last year, much of the land being developed or available for development is " marginal " land which cannot be developed economically by ordinary settlement, and which cannot bear any portion of the labour-costs ; and the Board could not conscientiously undertake additional work on such lands, knowing that there would be losses of capital. Several of the development blocks were completed sufficiently to permit of their being subdivided and the sections placed under the individual management of the occupiers, who were allotted herds for milking. In no case has a tenure been given, but, where the revenue is sufficient, the occupiers have been allowed to collect a proportion of the dairy cheques ; in other cases, the men have remained on a wage basis of £4 per week, less 10s. per week rent for cottage. The carrying-capacity and production have increased enormously in the case of most of the blocks, and this will" be seen from a perusal of the reports of the Superintendent of Land Development and the Chief Drainage Engineer in respect of the blocks under their control. For example, six blocks under the control of the latter have produced 223,961 lb. of butterfat, representing an increase in the case of each individual block of from 50 per cent, to 100 per cent, over the previous year. In the four main blocks mentioned in last year's report butterfat-production has increased in value by 80 per cent., wool by 168 per cent., and pigs by 115 per cent. Full details of production will be found in the appendices. . Of the individual holdings settled, apart from the larger development blocks, be said safely that, generally, they are a success. In every case of the purchase of " one-man " farms the Board was extremely conservative in the matter of valuations, and a fair price only was paid, which is, no doubt the real reason for the rapidity with which the tenants are finding their feet and beginning to pay their way. In a number of cases in the North Auckland and Auckland Districts men are milking from thirty to forty cows (in some exceptional cases the figures are higher still) with capital charges of approximately £1,000 only ; and these men in ordinary conditions cannot fail to prosper. Such properties as these are, unfortunately, not now forthcoming ; in fact, it was found during the year that so small a percentage of properties offered was measuring up to the Board's standards of valuation and carrying-capacity, as well as complying with the requirement that their purchase should not throw the vendors" on to the labour market, that the Board withdrew its invitation to applicants to locate and submit particulars of individual farms suitable for purchase. This was a big disappointment to the applicants, but much expense in making fruitless inspections, both by the Board's officers and by the applicants themselves, was saved.

4

Number of Rental Annual Rent Block. Allotments Area. j Tenure. Capital or Interest disposed of. Value. receivable. ! ! -— Acres. £ £ s. d. Wharekohe " 996 RL - 9 > 595 f79 lb _ ° . fEX. 8,325 416 5 0 TeKauwhata .. .. •• 6,165 369 1 6 0neml * 13 1,356 EX. 12,285 614 5 0 Koromatua .. .. •• •• 4 538 EX. 2,900 145 0 0 Mangatutu .. .. •• •• 5 771 EX. 4,680 234 0 0 Ngakura .. .. ■■ • • 20 3,155 EX. 26,491 1,324 11 0 Total 71 8,551 .. 70,441 3,582 17 6 * In addition, eleven sections selected under small-farms scheme.