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not changed for the better in his character since his former misdeeds were generously pardoned by His Excellency the Governor. So far as my own observation goes (and I have had many opportunities of -watching him), and also so far as I can learn from others, neither he nor his people have done anything objectionable during the past year. On the contrary, they have shown themselves thankful for the clemency extended by the Government to their chief, by endeavouring in every way to prove that they intend to respect and be amenable to our laws. Although Te Kooti himself is (constitutionally now, I think) such a confirmed tippler, he discountenances the habit amongst his people. They have made two visits to other districts during the past year— one to the Thames, and the other to Tauranga and neighbourhood—but I have not heard that either he or his people have misconducted themselves during those visits. He is evidently, I think, desirous of burying the past, and of living a different life in the future. He removed some time ago from Te Kuiti, where he used to live, to a settlement called Otewa, on the banks of the Waipa River, about twelve miles from Kihikihi. He has, however, no land of his own in this district, and is only living there on sufferance, as the land belongs to other Natives. He has, for some time past, been anxious to settle down upon some land which he could call his own, and I think that the action of the Government in giving him and his people a small block of land to live upon will be received by them with thankfulness, and will also be looked upon with satisfaction by the Native landowners of this district, as well as by the majority of Europeans. Before Te Kooti was pardoned by the Government, and whilst he was living in a state of outlawry, the Natives amongst whom he resided considered themselves bound to harbour and care for him, if not to protect him; but now that he has been pardoned they do not take so much interest in him as they formerly did, and consider that their duty and responsibility towards him have ended. Public Works. The public works that have been carried on in this district during the past year have been the prospecting through the King country for the best route for the main trunk line of railway, the carrying-out of the trig, survey, and the formation of the road between Kawhia and Alexandra. The first of these works has been in progress for some months past; different parties of surveyors have been engaged, all of whom have been working in different localities. They have all been able to carry on their work not only without any obstruction by the Natives, but in some cases with their co-operation. The Kawhia-Alexandra Road has been commenced during the past year. The work at tho Kawhia end is being done by Natives of that district; and at this end, or rather at Hikurangi, where the road goes through the bush, a party of Armed Constabulary, numbering about sixty-six, under Captain Capel, have for the last two months been busily engaged. The whole of the work is under the superintendence of Mr. C. W. Hursthouse, Road Surveyor, of the Survey Department. The trig, survey has been the only one that has suffered in any way from Native obstruction, and that only to a slight extent; most of the obstruction that has taken place having arisen cither from a mistaken notion as to what the work meant, or an idea, which is quite common amongst Natives, that to call attention to one's self by pulling down a trig, station, and thus causing temporary trouble, is a preliminary way of demonstrating their ownership of the laud on which the station was erected, and thereby constituting a sort of prima facie case, to which they would not fail to make reference when the land became to be adjudicated upon by the Native Land Court. Such being the case, these slight delays, although vexatious, have been passed over without the law having been called in to punish the offenders. All the stations that were pulled down on account of the above-mentioned causes have been re-erected, and action of that kind on the part of tho Natives has now ceased. Native Schools. I should like to be able to report that the Natives of this district —that is, the Ngatimaniapoto —having seen the evils of intemperance, and, striving as they are doing to put it down amongst themselves, had gone a little further, and taken some steps to provide their children with the means of education. This however has not yet been the case, although Ido not think it will be long before they do so. Some to whom I have spoken on the subject are fully aware of the importance of educating their children, but they are not in a position just yet to take the preliminary steps of giving a piece of land for a school site, as that would necessitate an investigation into title, but that they will do so by-and-by I feel certain. At present their minds are too much taken up with the much larger questions of their recent secession from the King party, and their present action in surveying the large block of land which they claim to own in their own right, and their determination to put it through the Court as soon as the surveys are completed. As this action of theirs has met with the disapproval not only of Tawhiao and his supporters, but also of certain other tribes who claim an ownership within the block, it requires all the care and attention that their leading men can givefe the matter to enable them to bring about what they want, without incurring any serious difficulty between themselves and other tribes. Given the larger matter settled satisfactorily, the smaller ones will quickly follow as a matter of course. Resume of the Past Year. The past year has not by any means been an uneventful one, and several incidents of more or less importance have taken place. In July the King section of the Natives residing at