"E.—l

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struction. It was thought advisable to place the whole institution under some recognised responsible head, and Mr. Colborne-Veel, who had been officially regarded as head of the Normal School since 1888, was now definitely appointed Principal. Applications were invited for the several positions in the boys' department, with the result that Mr. J. C. Adams, master of the Waimate District High School, South. Canterbury, was appointed headmaster, and Mr. C. Aschman third master; Mr. Pitcaithly and Mr. Evans retaining their former places as second and fourth masters. No alteration was made in the girls' and infants' departments. These changes took effect when the school reopened after the Christmas holidays. Scholarships.—The scholarship regulations were completely remodelled. The attention of the Board had been directed, as stated in the last report, to the very disproportionate extent to which, under the then-existing regulations, the scholarships were carried off by the children of large town schools, and a committee was appointed to consider how a more even distribution between town and country schools might be effected. Upon the report of the committee the Board resolved to allow candidates from country schools to enter with a year's advantage in point of age ; at the same time the division into four classes was abolished, and the scholarships were allotted in two classes only, junior and senior. A town school was defined as one in which three or more certificated teachers are employed, and a country school as one in which the number of certificated teachers does not exceed two. The junior scholarships are now open to competition by candidates of not more than thirteen years of age if from a town school as defined, or than fourteen if from a country school; and the senior scholarships to candidates of not more than fifteen and sixteen respectively. The new regulations are printed in full in the appendix. Through several causes of delay they w r ere not brought into force till the end of October, only a few weeks before the examination, which took place as usual in the middle of December. In these circumstances the results of the first examination under the new arrangement cannot be regarded as decisive. So far, however, they indicate that the alterations are likely to produce the desired effect, as on this occasion the scholarships were gained by candidates from the two groups of town and country schools in exact proportion to the number of entries from each. The annual examination for scholarships was held on the 20th, 21st, 22nd, and 23rd December, 1892. The number of candidates examined for the Junior Class was 123 (85 boys and 38 girls), and for the Senior Class 12 (7 boys and 5 girls). Scholarships were awarded to eight boys and four girls in the Junior Class ; to three boys and two girls in the Senior. The scholarships current at the end of 1892 were held as shown in the following table [not reprinted]. I have, &c, The Hon. the Minister of Education. T. H. Anson, Chairman.

General Statement of Eeceipts and Expenditure for the Year ending 31st December, 1892. Receipts. £ s. d. Expenditure. £ s. d. To Balance at beginning of year— By Office staff—Salaries .. .. 1,020 0 0 On Building Account .. .. 2,532 0 9 Departmental contingencies .. .. 520 9 7 On General Account .. .. 9,176 15 0 Inspectors'salaries .. .. . !-, 937 10 0 Government grant for buildings .. 4,590 0 0 Inspectors'travelling expenses .. 272 7 0 Special grant for putting Onuku build- Examination of pupil-teachers .. 171 6 9 ings in order .. .. .. 60 0 0 Teachers' salaries and allowances (inSpecial grant for fire-prevention purposes eluding rent, bonus, &c).. .. 54,906 12 4 at Richmond .. .. .. 150 0 0 Incidental expenses of schools .. 6,869 410 Other receipts for buildings— Training of teachers .. .. .. 1,99117 9 A. J. Davey, refund for clock .. 15 0 Scholarships— Springston Committee, refund for fence 114 4 Paid to scholars .. .. .. 800 13 8 Ferry Road, sale of old buildings .. 10 0 0 Examination expenses .. .. 126 0 1 J. Gammack, refund for fence .. 13 0 School-buildings—' Ladbrooke's Committee, refund for New buildings .. .. .. 3,281 4 7 globe.. .. .. .. 0 17 1 Improvements of buildings.. .. 2,804 6 3 Contractors' deposits .. .. 210 13 7 Furniture and appliances .. .. 516 0 6 Government statutory capitation .. 52,098 2 4 Sites .. .. .. .. 558 15 0 Scholarship grant .. .. .. 946 11 7 Plans, supervision, and fees.. .. 456 4 2 Inspection subsidy .. .. .. 500 0 0 Contractors' deposits .. .. 285 0 4 Payments by School Commissioner .. 11,851 14 3 Interest .. .. .. .. 16 8 7 Rent of Mandeville Plains site .. 6 0 0 Expenses in connection with Reserve 777 9 18 0 Hire of room in Normal School .. 010 0 Exchange on cheques .. .. 13 0 5 Education Acts .. .. .. 0 7 0 Balance at end of year— Refund of fee for supervising.. .. 10 0 On Building Account Cr. £343 17 1 Interest .. .. .. .. 137 10 0 On General Account Dr. 7,063 1 2 6,719 4 1 £82,276 3 11 £82,276 3 11 Thos. H. Anson, Chairman. J. V. Colborne-Veel, Secretary. Examined and found correct.—James Edward FitzGerald, Controller and Auditor-General.

SOUTH CANTEEBUEY. Sir,— Education Office, Timaru, Ist March, 1893. In accordance with the 102 nd clause of "The Education Act, 1877," I have the honour to present the following report of the proceedings of the Education Board of the District of South Canterbury for the year ending with the 31st day of December, 1892 : — Board. —At the commencement of the year the Board consisted of the following members : The Eev. Thomas Jasper Smyth; Mr. Melville Gray, J.P.; Mr. John Talbot, J.P. ; Mr. William Barker Howell, J.P. ; Mr. Eobert Henry Pearpoint, J.P. ; Mr. John Jackson, J.P.; Mr. George