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H.—2l

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Lots 9, 15, 21, 23, and 23a, 67 acres 2 roods 16 perches, Suburbs of Auckland — St. Stephen's Industrial School. Sir William Martin, being duly sworn, states (Eecord copies, Eeg. iv., Nos. 32, 33, and 48, in all 67 acres 2 roods 16 perches, allotments Nos. 9, 15, 21, 23, and 23a. of section 2, suburbs of Auckland, St. Stephen's School, Taurarua, produced) : The first grant, Eeg. iv., No. 32, containing in the aggregate 40 acres 11 perches, is a free grant of land ; the two other grants, for 18 acres and for 9 acres 2 roods 5 perches respectively, for the same purpose, recite that money was paid for the land out of funds supplied by the Government for the establishment and support of the school. I have been conversant from the first with the history of this school, as having been a member of the Native Board of Education, by whom money was from year to year appropriated towards its support. Eev. G. A. Kissling had a school at Kohimarama for Native girls in 1849. On the destruction of this by fire in or about that year he removed to premises of his own, still continuing the school with Government aid, until the main buildings of St. Stephen's were completed, about 1851, when he removed the school thither. A letter from myself, on behalf of the Board, addressed to the Native Minister, of the 6th May, 1864 (see Appendix to Journals of House of Eepresentatives, 1865, E. No. 3a.), contains a summary of operations of the school, and a statement of the average cost of the pupils to the Government, up to that date. The cost of the main building (erected, I believe, in 1861) was £1,060 ; contained a hall, kitchen, wash-house, and four dormitories, and rooms for the resident manager. In 1854-55 there were thirty-five scholars on the books, with an average attendance in the school for the year of twenty-six, all Natives —girls and young boys. The back building was erected two or three years subsequently, at a cost of £500, and contained twelve rooms. The first building was of wood ; the second had stone walls, with brick partitions between the rooms, but the roof was shingled. I believe the buildings were erected out of moneys supplied by Governor Grey, and which were at his sole disposal, but I cannot say from what special funds they were supplied. The fencing and most of the improvements on the estate were effected out of funds supplied by the Bishop, and not derived from Government. The proceeds of the estate have been devoted to the maintenance of the insurance, repairs of the buildings, and other purposes of the estate itself. The history of the institution during the operation of the Education Act of 1858 is summarized in the Bishop's letter, printed in the Appendix to the Journals of House of Eepresentatives, 1865, E. No. 3b., p. 7. In 1857 a stone cottage was built, at a cost of £570, upon the land, and paid for out of moneys being the balance of the yearly reserve funds then in the hands of the Native Education Board, provided by the Government, and applicable to school buildings (vide letter of Sir George Grey, Appendix to Journals of House of Eepresentatives, 1856, vol. ii., A. 7). Afterwards two wooden cottages were erected, at a cost in all of nearly £300, out of the same funds. After the expiry of the Statute of 1858 all Government moneys were paid over direct to the Manager of Schools, except in the case of St. Stephen's, when for a short time (less than a year) they continued to be made through the Board. No such Board has been elected since 1866. [A report presented to the General Synod in last year was here handed in, also the Church Almanacs for 1867, 1868, and 1869, containing the yearly accounts of the trust.] The changes in the management are detailed in the letter E. No. 3a. above referred to. Sir G. Grey's plan, in 1861, for introducing a somewhat different form of education, though still combining the religious, industrial, and English training, as referred to in the Bishop's letter E. No. 3b., was accepted by the Trustees, and has continued in operation to a certain extent to the present day. In addition to the students preparing themselves as teachers there were a class called Associates, learning trades as printers, carpenters, &c, away from the school during the day but attending tuition at the school in the evening, and living on the premises as their home. Of students who have left the establishment, besides those mentioned in the Bishop's letter, four have opened village schools, of which three still exist, supported entirely by Native contributions ; one of these men had a school among the Arawa of fifty scholars, in receipt of aid from Sir G. Grey, and is now in the employ of the Native Lands Court as a clerk. Since the withdrawal of the Government aid at the end of 1868 the school has been maintained from private funds. The present number of male scholars is seven (Natives and Half-castes), aged from nine to thirteen : two are expected from the East Cape and one from Waikato. There are Associates, who support themselves : two printers and a tailor. The "Outline of English Law," in Maori and English, lately presented to the Government, was printed at this institution by them during the past year, besides other works. Two boys—one a carpenter and one learning to print— have lately left, and enlisted under Captain Gundry. In April, 1864, the Trustees resolved to grant to the Managers of the Orphan Home a site for twenty-one years, at a nominal rent, comprising 5| acres of the St. Stephen's estate, making only the stipulation that the institution should be conducted on the principles of the Church of England, this condition being required by the Trustees, as holding their trust for that Church. From May, 1864, to October, 1865, the children were housed at St. Stephen's. By this date a new building was completed at the cost of the Managers of the Orphan Home. Children of either race are admitted without distinction. The education given is in accordance with the terms of the trust. In 1868, the Trustees offered (before the meeting of the General Synod) to the Managers of the Orphan Home to recommend that the Orphan Home be incorporated with the trust, but that offer was declined on the ground that the school estate was unproductive; while, from the existence of a contrary impression, such incorporation would probably lead to a great diminution of the private contributions. The soil of the estate is unavailable for agricultural purposes or for depasturing. The Trustees make it a rule to procure contributions to as large an extent as possible from Natives who may bring their children to them. From the commencement of St. Stephen's, the

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