GL—7.

This basis is recommended for adoption. For the above facts we have relied on the statements of the consolidation officers of the Kaipara District. Summary of Position : —

Offer is for the Crown to receive land to value of £511 10s. and for a remission of balance—viz., £2,863 19s. 4d. The land offered to the Crown is part Pouto 2e 2, approximately 1,700 acres. Mangonui, Whangaroa, Hokianga, and Bay of Islands Consolidation Schemes. (Comprising Mangonui, Whangaroa, Hokianga, Bay of Islands, and Whangarei County lands and Native lands in the Town Board areas therein situate.) The total of such charges over the above areas is £46,619 2s. 9d., being —Principal, £29,367; interest, £17,251 16s. 9d. With the exception of Whangarei, the population of these five northern counties is composed almost equally of pakehas and Maoris, the Maori population of the area being about 13,000, the density being greatest in the Hokianga County. The Native land (in common with all land) is of a very variable nature, with a large area of poor country, now looked upon as waste land. Northern lands generally are difficult and costly of development, and cannot stand too great an overhead of charges in addition to the cost of development. The position as regards survey liens is briefly set out hereunder : Total area Native lands, 447,742 acres ; area under lease included, about 44,391 acres. The blocks subject to lien are distributed all over the area, and comprise approximately half the total, the lien due thereon being —Principal, £29,431 ; interest, £17,056. Those lands against which lien has already been discharged represent in the' main the better quality areas, which have been productive of revenue to meet the charge. The lands remaining with liens due are in the main the poorer-class lands and undeveloped areas, the cost of bringing in will be very heavy. The land affected is chiefly of a class varying in value from about 2s. 6d. to £2 per acre, and it is considered— (1) That, having in view other liabilities, future survey costs, rate charges, the heavy development cost already referred to, the maximum survey lien charged on any land should not exceed 5 per cent, of the unimproved value. All amounts in excess of that percentage to be remitted. (2) That lands valued at 15s. per acre and under (unimproved) should be totally relieved of all existing survey liability, also lands in the nature of reserves (historical, communal areas, urwpas, &c.). (3) On the basis suggested it is estimated that £11,000 would remain due, to be satisfied by an award of land of that value to the Crown, leaving the balance of £35,937 to be remitted. The £11,000 to cover the remission of all Crown liens {i.e., possible omissions in the Schedules are included), including private liens taken over. In liquidation of Crown surveys as compromised the following areas are offered tentatively to the Crown :— Bay of Islands and Whangarei Counties — Motatau No. 2, Section 19 (part), excepting thereout parts adjoining Sections 1, 2, and 4, 4a 3, 4b 3. Estimated area, 1,300 acres. Motatau No. 2, Section 20 (part), excepting thereout part north of Marohapa Trig. Estimated area, 2,300 acres. Motatau No. 2, Section 26 (part), excepting thereout eastern portion. Estimated area, 500 acres. Motatau No. 2, Section 40 (part), excepting thereout part west of railway. Estimated area, 1,000 acres. Motatau No. 2, Section 41. Estimated area, 651 acres. Motatau No. 2, Section 65 (part), excepting thereout eastern portion and small southern portion. Estimated area, 2,000 acres. Punaruku No. 2 (subject to verification value of timber). Estimated area, 1,302 acres 2 roods. 2—a. 7.

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Survey Lien. County. r Principal. Interest. £ s. d. £ s. d. Hobson .. .. .. 705 17 6 482 11 11 Otamatea . . .. 696 7 0 457 11 8 Rodney .. .. 158 19 8 97 16 6 Waitemata .. . . 138 10 4 84 13 4 Great Barrier .. .. 346 6 6 206 14- 11 2,046 1 0 1,329 8 4 a i Total .. .. 3,375 9s. 4d.