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floors covered with soot, which had been washed down the chimneys during heavy rain. Mushroom tops should be fitted to prevent this occurrence. No furniture appears to have been provided for the hospitals. The tables for the dining-room are at present made by the foreman. Five cottages have been purchased, and three of them removed to the Sanatorium, two still remaining at Ohinemutu. I have no doubt that all will at once be needed when the bathing season commences. At the bathing-pavilion a number of improvements and additions have been made. The "Priests Spring" now supplies a large open air-bath for ladies. This has not yet been enclosed. It is constructed of concrete, which does not appear likely to be a successful material, being already somewhat corroded. The water here is not so hot as in the gentlemen's bath, seldom exceeding in temperature 90deg. Fahrenheit. Two small baths are also supplied by the same spring, and are available for special cases requiring separate treatment. A large tank not at present used, but always full, might be, at small cost, enclosed for the use of the Maoris. Eegarding the " Madame Eachel " Baths, the one in the open air for gentlemen is unfinished. Considerable difficulty has occurred in the conveyance of the water from the spring and the cooling-tank to the pavilion. Earthernware glazed pipes, procured in Auckland, proved a complete failure, rapidly splitting in numerous places : (I am disposed to question the goodness of their quality). The pipes have now been under-pinned with stones, and thickly incased with cement. Numerous cracks, however, have given trouble, and it is very doubtful whether the work will ever bear the pressure of water which is requisite. At present it has not been tested fairly. At the pavilion itself, one 2^-inch galvanized iron barrel has been fitted with brass stop-cocks to supply the water from this conduit to the various baths, and this material seems likely to last for a reasonable period. It is, moreover, proof against earthquake shocks, of which there were six occurrences a few nights ago, and which must render the use of cement unreliable. I therefore strongly recommend that a duplicate main of galvanized iron be at once laid from the " Eachael" spring to the pavilion (a distance of about two hundred yards), and there joined to the existing iron supply-pipe. In the not impropable event of a breakdown during the bathing season, the disappointment to invalids from distant parts of the world would be both cruel and unjustifiable. With increased facilities of approach now existing, a large number of visitors may be expected. These visitors constitute the best advertisement which the Sanatorium can have, but if they go away disappointed and unrelieved, an injury will be done which many years will not efface. I heard reports in several places in the North Island that some of the baths had been ruined, and that it was contemplated to abandon them. No doubt these rumours originated with interested parties, with whom the " wish was father to the thought;" but they will have a semblance of truth unless accident be guarded against, and unless the works, now in abeyance through financial depression, be speedily brought to completion. Considerable difficulty occurred in the month of March last, when fifty-two baths were given daily to visitors for one week. This number may be largely exceeded during the approaching season, and provision should be immediately made for dealing with it. I noticed that a " tennis ground" was in course of formation by the " local board," who are also making arrangements for planting the township with trees. Those which have been transplanted from the beds of seedlings have all done well. A valuable supply remains in the beds, but the plants are becoming damaged for the want of space, and the services of the gardener have been dispensed with, which appears to me to be a matter for regret, and likely to occasion the loss of valuable stock. His services are also needed for stocking a vegetable garden, without which, no supplies will be obtainable at any nearer distance than Tauranga. The two above-named springs are, at present, the only ones in use. Others in the immediate vicinity of the Sanatorium possess good reputation and still remain to be dealt with. Since my last visit, the Post and Telegraph Office, with other buildings, have been erected on the township. There is also a commencement of private enterprise apparent; a row of cottages already affords accommodation to two private boarders, and a " temperance " boarding-house is to be erected immediately by the same proprietor, nearly fronting the present residence of Dr. Lewis, the Eesident Medical Officer. From the constant inquiries made as to accommodation, I should judge that this venture, if properly conducted, cannot fail of success. 1 had the advantage of a long interview with Dr. Lewis, who gave me much valuable information, and appears sanguine as to the ultimate success of the Sanatorium when once fairly started. Hitherto, the appliances at his command have been rudimentary and imperfect. August 19th, 1884.

I have been occupied during the whole of this day in visiting and inspecting the Eotorua Township and sanatorium, with the various buildings recently erected thereon. It is greatly to be regretted that all Government works have been at an entire standstill since my last report. Instructions have, however, recently been issued to make arrangements for receiving hospital patients, and to extend the bathing accommodation. Private enterprise is beginning to awaken also. A temperance boardinghousp is in successful operation close to the bathing pavilion, and the rooms become occupied as fast as they can be finished. I met with two proprietors of town sections, who had come to look after their property, with an apparent view to its development, and I shall not be surprised to see a good hotel erected here at no distant date. Meanwhile the hotels at Ohinemutu are crowded with tourists and invalids, while twenty of the latter class are residing in " whares "at Whakarewarewa. The journey hither, via Cambridge, is now by no means a difficult one, and, with increased railway facilities, a prodigious influx of visitors may