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the Canterbury system of giving each reserve a separate number of its own, by which it will hereafter always be designated. I have divided the town reserves into seven different classes, and the rural ones into sixteen, some of which will have to be subdivided for different trusts. The town and rural reserves contain over 1140 different sections or blocks of land, and the task of properly arranging them, finding out when, by whom, and how they were made has been no slight one. It will be impossible for me without first personally inspecting them, to recommend all the present reserves, such as the gravel, stone, and others to be permanently retained as such, but a detailed list of all the most important ones, such as the Education, Collegiate, School, Cemetery, Ferry, and Sheep Reserves, which it is desirable to permanently retain as public reserves shall be ready during the present session of the Provincial Council.

THE EDUCATIONAL RESERVES.

Ia.—Education Reserves (Rural.)

123 sections containing 11,570 acres, have been set apart for this purpose, 41 of these containing 1462a. 1r. 39p have been granted to the Province under the "Public Reserves Act, 1854;" 5016a. 0r. 13p., in 4 large blocks, have been confirmed by the Provincial Council under the "Southland Waste Lands Act, 1865," leaving 69 sections containing 5091a. 1r. 30p., set apart for an Educational endowment, not yet confirmed. I would suggest that 39 of these containing 2821a. 3r. 42p. should be now recommended by the Council under the XVI clause of the Land Act, as permanent reserves for Educational purposes, and that the remaining 30 sections, containing 2269a. 1r. 38p., which appear to have been selected without reference to position or quality of land, and which could not possibly for years to come, yield any revenue for Educational purposes, should be readvertised as Waste Lands of the Crown; this is necessary as I apprehend that the Governor of New Zealand will not be advised to grant an unlimited quantity of land for any one purpose, and it would not be advisable to swell the total amount of any endowment by land, which could not possibly be expected to yield any income to it.

Ib.—Collegiate Reserves (Rural.)

These reserves contain 462a. 0r. 35p., of which 149a. 1r. 38p. have been recommended as an endowment for this purpose by the Council, the remaining 18 sections will be submitted to them.

Ic.—School Reserves (Rural.)

There are six reserves containing 60 acres that have been set apart as sites for country schools, two of them have been confirmed, the others will be forwarded for the recommendation of the Council.

This will give, should the Council confirm those that I have submitted as permanent reserves, an endowment of 9822 acres for Educational purposes, which ought to yield an annual income, computing at the average rate of one shilling and sixpence per acre—of £736, without including the Educational reserves in the different towns,

II.—Cemetery Reserves.

There are six cemetery reserves containing 46a. 3r. 34p., only two of them have been granted to the Superintendent under the "Public Reserves Act, 1854," two of them have already been confirmed, and the others will be sent down for the recommendation of the Council.

III.—Ferry Reserves.

Ten reserves containing 1831a. 3r. 33p., have been set apart for this purpose; 319a. 3r. 02p. have been leased with the New River Bridge; two reserves containing 403 acres have been recommended by the Provincial Council, and the others will be submitted for confirmation.

IV.—Stone and Quarry Reserves.

The Stone and Quarry Reserves contain 899a. 1r. 06p.; of this 733a. 2r. 00p. has already been confirmed by the Council; most of the rest were selected by the district surveyors as quarries for road metal, and I will duly submit them to the Council with the other reserves.

V.—Gravel Reserves.

No less than 56 gravel reserves, containing 546a. 3r. 39p, have been made in different parts of the Province, of which none have been confirmed; six of them which I know to contain gravel, shall be sent down for the recommendation of the Council; the others had better be left until I have inspected them, and am able to report on the desirability of retaining them for the purpose for which they have been reserved.

VI.—Coal Lignite Reserves.

For this purpose, three reserves have been made, containing 1293a. 0r. 23p.; the most valuable one, at Mr Reinecker’s station, in the Wairaki District, has been confirmed by the Council, the other two had better remain temporary reserves until a geological report has been obtained as to their value.

VII.—Pilot and Lighthouse Reserves.

75a. 2r. 28p. have been reserved for Pilot and Signal Stations; as the Harbor Department to which these reserves properly belong, will probably come under the control of the General Government, these reserves had better be only recommended as such, and the grants for them left unapplied for.

VIII.—Harbor Reserves.

There are two Harbor Reserves, which contain 44a. 1r. 22p.; they include the sites of the Bluff Harbor and New River Jetties; grants for them have been issued to the Superintendent.

IX.—Miscellaneous Reserves.

These contain 1298a. 2r. 22p. under these are classed:—

The Public Park Reserve, containing 200 0 00
,, Lunatic Asylum ,, do 10 0 00
,, Market Reserve do do 227 0 81
,, Race Course do do 411 1 31
,, Acclimatisation do do 50 0 00
,, Flax do do 400 0 00