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D.—2 a,

have worked traffic satisfactorily and economically in Jersey over heavy gradients of 1 in 40 and round 5-, 7-, and 9-chain curves, with frequent stops from Corbiere to St. Heliers, useful information will be gained, our knowledge of the work done being second-hand. The North Eastern Railway of England ran steam-trains with the locomotive in between two coaches and with a driver's compartment at each end, so designed as to allow of the driver working the train from each passenger-coach, the fireman alone being on the engine. An old light locomotive was used and worked satisfactorily. It had the advantage that old stock was utilized which had become obsolete for heavier work, but was in every way suitable for light work of this description. On the New Zealand railways there would appear to be engines of light design, which it is understood are unable to deal with the work for which they were intended—i.e., Classes L and La, and these might be made use of by attaching a coach for light train service such as would be expected of a rail motor-vehicle. These could take an extra coach, if necessary. We would strongly recommend that these be tried before experimenting with a light type of steam-engine which, if not successful, would be absolutely useless. We also think it unwise and injudicious to work these engines with only one man. On looking into the working on branch lines it shows that engines taking mixed trains are kept standing for many hours. It would be possible and desirable to rearrange the working so as to allow for the running of a light passenger-train by the same engine and carriages. This would enable more use to be made of the men and also of the rolling-stock, instead of using a motor-vehicle. We do not recommend any further money being expended on motor-coaches at present. IV. MANAGEMENT—continued. (■d.) Stores. The Stores Branch is in the charge of a Comptroller of Stores, who is directly responsible to the General Manager for the purchase and distribution of all stores, stationery, timber, and materials of every description, with the exception of coal and hard coke, required by the Working Railways. The purchase of coal and coke is a responsibility of the Locomotive Branch, General Manager's approval being obtained before contracts are arranged. All purchase vouchers and credit issues are, however, dealt with through the Stores accounts, the Stores Branch being responsible for ensuring that all particulars of receipt, vouchers, &c., are in proper order, and conform with the Treasury and Audit Regulations. While the purchase and distribution of stores, as also the conservation of items in his charge, are thus under the direct supervision of the Comptroller of Stores, he has no control over the conservation of stores and materials supplied to branches, as on the issue of these items, as requisitioned by the branches, the responsibility of their custody becomes a matter for the particular branch concerned. Such stores once having been issued are, in fact, lost to the Comptroller of Stores, who neither keeps any record of them nor takes stock of them at any time. Reference will be made to this at a later stage. Organization of Branch. The headquarters of the Stores Branch are situated in Wellington, and at the date of inquiry the authorized staff numbered 398 in all. The Comptroller's staff numbered thirty, this including an Assistant Comptroller, a Chief Clerk, a Second Clerk, a Record Clerk and staff, and a Stores and Sawmills Accounts staff. The Stores Branch staff is generally divided as follows : —■ Management, Accounts, and Records . . .. .. 30 Stores and Stationery .. .. .. .. 126 Sawmills and Bush Areas . , .. .. .. 242 398

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