Gr. —10.

(A) Tokaanu. This scheme was operated under section 25 of the Native Trustee Act, 1930, by the Native Trustee with his own funds. It was decided to transfer the scheme to the Native Department, and this step was taken on the 31st March, 1932. The expenditure by the Native Trustee up to that date was £9,160, details of which are set out in the schedules to this statement. The sum of £8,000 was paid to the Native Trustee on transfer, and this should be taken into account in the statement of expenditure from the Native Land Settlement account as at the end of March, 1932. The balance payable to the Native Trustee was £1,160. The total area brought under this scheme, consisting of subdivisions of Waipapa, Tokaanu A and B, and Hautu No. 3 Blocks, was 3,325 acres and 26 perches. Officially the area was included in the Aotea Maori Land District, but it was deemed advisable to attach the scheme to the Rotorua office of the Native Department. A full report on this scheme is deferred till the next annual statement. Supervision of Schemes in Rotorua Group. The Rotorua group of schemes is supervised by Mr. W. J. Scott, who also supervises the Ngatiawa and Ruatahuna schemes in the Bay of Plenty group. He also has charge of the schemes which are financed by the Waiariki Maori Land Board (Tihiotonga, Wharenui, and Taheke), and controls all matters relating to stock in the Waiariki Maori Land District. The range of these schemes, which extend from Tauranga to Tokaanu and from Wakatane to Ruatahuna, entails ceaseless activity on Mr. Scott's part and a heavy responsibility. His only advantage is that he is at the headquarters of the Board, and is able to keep in the closest touch with the office. In regard to the handling of the stock, he is assisted by Mr. B. Walker, stockman to the schemes, who has immediate charge of Brent's Farm. He is fortunate in the foremen of the various schemes under his supervision, who are responsible for carrying out his instructions. In the capacity of Consolidation Officer and Field Development Officer, Mr. H. T. Mitchell, of Rotorua, assists Mr. Scott and the Board in the general working of the schemes in the Rotorua district. His practical knowledge as a surveyor and his unique position among Te Arawa and neighbouring tribes enable him to perform invaluable service in laying out development work, arranging unemployment contracts, and in solving the innumerable problems that arise in regard to the Native lands of the district. THE BAY OF PLENTY GROUP OF SCHEMES. Dealing with the second, or Bay of Plenty, group of schemes, the details are as follows :— (I) Ngatiawa. This scheme takes its name from that of the tribe which occupies the territory between Ohiwa Harbour, Whakatane, and the Rangitaiki River. When the Whakatane lands were confiscated in 1866 the lands between the Whakatane River and Ohiwa were retained by the Crown ; those lying to the west of the river were returned to the various sub-tribes of Ngatiawa. Several small areas situated on the west of the mouth of Ohiwa Harbour were returned to that section of Ngatiawa, which occupied the Whare-o-Toroa Village, to the east of the Town of Whakatane. These small areas comprised the Ohope Native Reserves. At the end of December, 1930, strong representations were made by some of the sub-tribes of Ngatiawa for assistance to develop the Ohope sections and for the purchase of adjoining undeveloped lands owned by Europeans. The following purchases were effected before the end of March, 1931 : — . Price, per Acre. Acres " £ s d. Hillcrest and Buddie .. .. .. .. 1,547 110 0 Smith .. .. .. .. .. .. 208 1 2 6 Eivers .. .. .. .. .. .. 1,149 2 10 0 Carter .. .. .. .. .. .. 335 4 0 0 3,239 Reduced on survey to .. .. .. .. 3,219 £6,976 The area of the Maori sections at Ohope was 726 acres. The only expenditure on this scheme up to the end of March, 1931, was £6,976, the cost of the lands purchased. Active development began at the end of May, 1931. The undeveloped part of the land bought from Eivers and the whole of the Maori sections at Ohope, which were covered with manuka, light bush, and fern, were cleared by the middle of September. The area cleared was 1,866 acres and the contract price £1 2s. 6d. an acre, subject to an unemployment subsidy of 25 per cent. The area was burnt in October and sown in grass forthwith. The late delivery of an essential ingredient of the grass mixture delayed the sowing of part of the land, so that there was a partial failure in the pasturing, and some 400 acres had to be resown in the following autumn. Portions of the land were top-dressed. The cost of the grass-seeding with mixing, sowing, and top-dressing was £1 10s. an acre. With the scrub and manuka cleared and sown in grass the next problem was the control of the fern and the consolidation of the pasture. The enclosing and subdividing of the cleared land was pushed on vigorously. Some posts and all necessary battens were obtained on the property, but the bulk of the posts used in the fences were purchased from the Taupo Totara Timber Co., Putaruru. Fencing-material assembled on the scheme during the financial year 1931-32 cost £1,180, and labour

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