The vote for the year 1887-88 was £80,000, and the expenditure £73,459, with liabilities at the end of the year of £36,422, of which £3,145 was for works, and £33,277 for war material. Of the total sum of £130,000 provided for harbour defences in the loan allocations of last BtsSßion, there remained on the 31st March last an unexpended balance of £56,541, which is proposed to be expended during the present year in discharging tho liabilities already referred to and carrying on the works. BAT2S ON NATIVE LANDS. For rates on native lands the amount • required as an advance for the payments which will fall due during the current year is £11.500, and a vote fot that sum will be asked for accordingly. Beyond this amount no further provision is intended to be made for these rates out of the Public Works Fund, the intention being to provide out of Consolidated Fund for each further amounts as may be decided to be expended. The balance remaining on loan allocation for this purpose has therefore been allocated to other services. THERMAL SPRINGS. As regards our Thermal Springs, it is gratifying to observe that they are rapidly i becoming of national importance as the resort of invalids from all qaartere. PUBLIC WOBKS FUND. The fundß available for public works are as follows:— Part 1. — Comprising immigration, some small items of railways, roads of all classee, except roads along the North Island Trunk Railway, waterworks on gold fields, pur chase of native lands, North Island, except lands along North Island Trunk Railway, telegraph extension, public buildings, lighthouses, harbour works., and harbour defences, rates on native lands and thermal springs. In part lof the fund we had at 31st March last the sum of £50,392, and to this there is to be added £87,398, to which this fund is entitled under section 31 of the Government Loans to Local Bodieß Act, and also £14,336 to be recovered from the West port Harbor Board, and £500,000 of the loan recently floated, making in all £652,126. As against this, tho amount proposed to be expended during tho pre sent yenr, including £205,323 liabilities at end of March last, is £374,555, which will leave £277,571 available for appropriation in succeeding years. 