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The collection made in August last amounted to £2784, 15s. 6d. The entire amount of the Schoolmasters' Sustentation Fund for the year is £7557, 3s; making in all, with donations and subscriptions, legacies, and interest on investment, and fees of normal school, to the amount of £1112, 13s. 4d,-a total income for the year of £13,006, 13s. 10d. Acting upon the principle of dividing, within the year, the year's income proportionally among the teachers, the Committee have been able to increase slightly the salaries and allowances beyond last year.

The five years of the M'Donald School-Building Fund expired in December 1848, and

it has been found that, owing to the necessarily loose way in which the names of subscribers were originally obtained, the smallness of the sums, irregularity of collection, deaths, removals, and other obvious causes, the actual sum received has fallen very considerably short of what was subscribed. A very careful and minute statement, with ample details, has been prepared by the Committee's direction; but it may be enough generally to say, that the entire sum realised is £41,594, 14s. 4d; of which £6364, 16s. 8d has been paid in instalments to the College Committee; and, on the principle hitherto followed, a sum of £567, 12s. 4d. is now due; that the grants voted are in number 365, and in amount £41,127, 5s. 6d; that the grants voted but not paid are in amount £9075, 178; that the applications are in number 50, and in amount £5000; and that the sum likely to be available for meeting these claims is about £5000.

There are some general inferences and conclusions which the Committee would draw from the preceding abstract. And there are a few propositions and principles which they have to submit to the Assembly, relative to the future prosecution of this Scheme. The Committee, accordingly, subinit to the Assembly and the Church the following facts and considerations :

I. In regard to the extent of our operations, there has been no considerable progress made during the last two years. The returns, so far as they enable us to approximate to the truth, exhibit this result:

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55,395 59,869

58,385

(3.) As to Scholars-the numbers are, N.B.-To this number must be added from 10,000 to 15,000 children attending Free Church schools, not salaried by the Church. But, in this respect, there is little variation during the three years that are now in comparison. (4.) As to the Normal Schools.-The Normal Schools continue to be conducted with the greatest efficiency, and with increasing success. It is gratifying to have to report that the results of the entrance examination manifest each successive year, unusual preparation and great ability generally on the part of candidates for admission to the Training Schools, with the view of qualifying themselves to become schoolmasters and schoolmistresses; and that these institutions furnish at the end of each session a considerable number of highly qualified persons, who have passed both the Government examination and that prescribed by the Assembly's Committee, prepared to engage in the business of education.

II. In regard to our annual income, a more decided advance is to be thankfully acknowledged. It is true that the advance has not as yet been available to such an extent as the Committee would desire, either for raising the salaries of teachers, or for increasing the number of schools. The reason is well known to the Church. From too sanguine an estimate of the educational zeal of our congregations, we committed two great mistakes at the very outset of our extended operations. We resolved to raise the rates of payment for our teachers, under a system of examination as regards new teachers, and classification with reference to the old. And, which was still worse, we made the increase of our allowances take effect a full half-year, at least, in advance of what a prudent calculation would have warranted. Hence, we have had to struggle with a load of debt for some years past. And hence, also, any increase in our income has been so swallowed up as to prevent us from making it available to any considerable extent, either for the extension of our Scheme, or for the raising of the allowances of our teachers.

At the same time, we are enabled to offer a somewhat gratifying statement upon this subject.

1. Our income has been steadily on the increase.

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11,196 15
13,006 13 10

N.B. The large sums for this year under the third column is owing chiefly to

legacies and donations, and, in particular, to one munificent gift from a friend

in Greenock. Still, upon the ordinary sources of revenue, the increase is not inconsiderable.

2. The allowances to Teachers have been larger than they were during the pre

ceding year.

And

3. The debt has been reduced. At March 1849, it stood at no less a sum than £2097: 10: 1; at March 1850, it stood at £15101: 11; this year, at March 1851, it stands at £354 : 19: 2.

:

This satisfactory result has been attained, partly by means of anticipated grants falling due this year, and partly by munificent donations, but chiefly by the care with which the Committee have been acting upon the principle of making the year's income regulate the year's expenditure. And here it is necessary to explain that even when the balance at March of £355 is wiped off, and the account is shown at that annual date to be square, the Committee will not be in a right position; for their terms of payment being Whitsunday and Martiumas, they ought to have in bank, at the 31st March, the entire contributions from the preceding Martinmas, so as to be in circumstances to meet the Whitsunday payments, without forestalling their revenue. At present, they are obliged to make an estimate, at each term, of the probable income for the six months,that is to say at Martinmas, they reckon the income from the 31st August preceding to the 31st March following; and at Whitsunday, from the preceding 31st of March to the following 30th of September ;-correcting any one estimate by the next succeeding one, so as to make a clear balance at the two dates of 31st March and 30th September. But it is most desirable that we should be able to move on our times of balancing to the terms of payment at Whitsunday and Martinmas, so as to be able to act upon the simple principle of the Ministers' Sustentation Fund, namely, the prin. ciple of dividing at each term what we have on hand. To effect this, we would require to have the balance of £355, at March last, wiped off, and a farther sum placed at our disposal for the payment of the Whitsunday allowances. That sum would amount to about £3000, which falls to be added to the above adverse balance of £355; making, in all, the sum of between £3000 and £4000. Were we in possession of that sum now, we would be in circumstances to start fair, as at the date of this present Whitsunday, upon the plain and safe plan of dividing, at each half-yearly term, the sum actually on hand. It is satisfactory to report that we have been making progress towards that state of matters, and that we are acting upon a system which makes our accomplishment of the end in view, within a limited time, absolutely certain. That system, however, implies such a reservation of our resources as subjects our Scheme and our Teachers to considerable disadvantages. And, in this view, we cannot but express our desire that a few liberal benefactions from our generous friends might enable us at once to extricate ourselves from all our remaining embarrassments.

III. We have still, however, to complain of the remissness of many congregations, and especially of the very inadequate efforts made on behalf of our funds in localities that draw very largely upon them. Following up the instructions of the Assemblies 1849 and 1850, we have begun to deal with such congregations, not in the way of actually enforcing the rule upon which we might, in strict fairness, have acted, namely, the rule of withholding our grants where due efforts are not made,--but rather in the way of preliminary correspondence. And with a view, not so much to report defaulters for the censure of the Assembly as to show how large a field we have yet to work upon, in order to husband and increase our resources, we submit the general results of the proceedings which we have adopted in regard to this particular matter.

1. Thirty-eight congregations and ten stations, which, though receiving salaries, had sent no contributions to the Schoolmasters' Sustentation Fund, during the first nine and a half months of the bygone year; while six of these have not made the annual collection.

Thirty-eight of these congregations and stations are in the Highlands; and not a few in the West Highlands. The amount of salaries drawn by them during the year,

is £806 8 11.

A circular was issued by the Committee to these congregations, representing the claims of the fund to their contribution. The result of this has been, that fifteen have remitted to the fund the sum total of £46: 3:11. This sum added to the amount of the annual collection, (sent by all but six of the whole forty-eight), which is £96: 19: 10, makes £143:3: 9, as the total contributed by these forty-eight congregations and stations during the past year to the Education Fund, from which they have drawn during the same period £806 : 8 : 11.

There are thus thirty-five congregations and stations receiving salaries which have contributed nothing to the Schoolmasters' Sustentation Fund during the past year. Some of these salaries are unusually large, owing to the circumstance of their being paid to privileged teachers, several of whom are connected with single congregations in large and populous districts. Thus, Urray draws £53, 15s. Not a few, also, if we may judge by their contributions to other schemes, are destitute of resources; and the schools connected with them and their districts are in every sense missionary schools, entirely dependent on aid from without. But there are several congregations in the class now under consideration, which are possessed of resources,-contributing for instance £100 and upwards to the Ministers' Sustentation Fund, and which yet, though they have received salaries varying in amount from £11 to £20, £30, and even £40 during the past year, have not remitted a single farthing to the Schoolmasters' Sustentation Fund during the whole twelve months of that year. And it is to be observed, that it is but a comparatively small sum remitted just as the year closes, and perhaps raised by special effort, which has been contributed by the fifteen congregations which have responded to the Committee's circular.

2. About 200 congregations receiving salaries, appeared to the Committee to be contributing (including annual collection) at a rate disproportioned to their means(far below a sum equal to a fifth part of the Ministers' Sustentation Fund; from an eighth to a fortieth.)

A circular was prepared for the purpose of being sent to these congregations. This circular was transmitted to Presbyteries, along with a list of the deficient congregations. In some cases, Presbyteries apparently mistaking its object, have complained that this list did not embrace the whole of the congregations within the bounds.

The circular has been sent, and is still in course of being sent to congregations. By an oversight, it has been transmitted to a few congregations, which, though contributing less than they receive, yet are giving at a rate which bears a fair proportion to their apparent means.

From thirty of those congregations to which this circular has been sent, answers have already been received. These answers for the most part express great interest in the prosperity of the fund, regret the lowness of the contributions in the individual congregation, with explanation of causes, and anxiety for their future increase, and not a few report the adoption of energetic measures for this purpose, and grounds for expecting an improvement next year.

It is on these 200 congregations and the forty-eight in the former list, that the Committee has the greatest claim for a rise in their contributions; and it is to them that the Church must chiefly look for any improvement in the funds in future.

The only other class of congregations that do not adequately support the Scheme, is to be found among those that do not receive salaries from the funds of the Committee. Some of these indeed have schools connected with them, and bear unaided the whole burden of the expense of these schools. These, however, are comparatively few, and those congregations, which have no schools connected with them and support the scheme inadequately, ought to consider, that if they have not the benefit, neither have they the expense of a congregational or local school, and that being free from these local expenses which are often a very considerable burden, there lies on them all the greater obligation to assist the educational efforts of other perhaps less able congregations.

IV. On the subject of our relation to the Government Scheme we have a brief statement to submit.

1. As regards our schools generally, we have not, as a Committee, any direct dealings with the Privy Council. The local parties, in every instance, manage their communications upon their own responsibility. From the returns, however, that have come in to us we are enabled to say that about 101 of our schools are more or less in the receipt of Government aid, in the form of annual grants. These are chiefly schools situated in our larger Lowland parishes. We are not able to specify the number of schools that have received building grants. So far as we can judge, from the reports made to us, there are not more than one or two instances, at the utmost, of teachers who have entitled themselves, by examination, to Government aid, being hindered from taking advantage of their certificates of merit by the pecuniary conditions not being fulfilled. To these few instances the Committee will address their immediate attention, and they will do their best to apply some remedy. We believe, also, that a considerable number of teachers are now ready to offer themselves for examination; and we look with confidence to the rapidly rising standard of professional qualification, which our own Normal School regulations, as well as the Minutes of Council, are forming, for the

speedy removal of existing difficulties that stand in the way of our schools receiving annual allowances from Government.

2. The only point at which we come into direct contact, as a Committee, with the Committee of Privy Council, is with respect to the annual grants to which our two Normal Schools are entitled. On this subject we made a report to the Assembly in 1849, representing it as a grievance and an injustice that our Normal Schools were placed upon a less advantageous footing than those in England. The plea urged by the Privy Council Committee, for making a distinction between the English Training Institutions and ours, was that we did not board our students as well as instruct them. Hence it was alleged that we had a claim only to a proportion of the sum granted for each student trained in our Normal Schools. The Assembly in 1849 instructed us to remonstrate against this difference of treatment as not fairly warranted by the consideration on which it was made to rest. And we have now the satisfaction of reporting that our remonstrance has been effectual. Their Lordships first agreed to alter the proportion of the allowance for each student trained by us, as compared with the allowance for each student trained in the English Seminaries, from one-half to two-thirds. And upon our renewed objection even to this modification, they kindly granted a Commission of Inquiry, consisting of Professor Moseley and Mr Gibson, upon whose representation their Lordships have now consented to place our Normal Schools substantially on the same footing with those of England. A subordinate matter of detail remains still to be adjusted. But we consider the matter to be practically settled, and our claim to receive the full Government allowance finally acknowledged.

V. The Committee have had under their consideration the method, according to which, with the consent of the munificent donor, they intend to administer the Maclaren Fund, or the interest accruing from the donation of £7000,-which was reported to the Assembly in 1849. The main object of the Fund is to secure the services of able and distinguished teachers in those districts where there would be no hope of obtaining them, and especially in the Highlands of Perthshire, Argyleshire, and the Western Isles. It is intended that grants shall be given on certain conditions, which will secure that the teachers enjoying benefit from the Fund should realise an income of £60 or £70 with house and garden.

VI. The Committee are proposing to adopt a new plan with reference to Side and Missionary Schools. It is proposed that grants should be given to these schools on the condition that the accommodations are tolerable, and that the teaching is in accordance with the principles of the Church. These conditions being fulfilled, it is proposed that the grant should be given in some such way as this:-at the rate of 4s. a year for the first thirty scholars, and at the rate of 1s. a year for every scholar above the number of thirty.

The Committee are anxious to make known the gratification which it will give them to be entrusted with donations or contributions for the benefit of these schools, to be disbursed according to the views of the donors.

Extract Minutes of Committee of Council on Education, 1850-51, p. cxli. "Detailed statement of annual grants conditionally payable by the Committee of Council on Education, in the year ending 31st October 1851, on account of Pupils, Teachers, and Stipendiary Monitors, with names of apprentices, and current month in which annual examination is to be held; as also in augmentation of salaries of certificated Schoolmasters and Schoolmistresses.

"N.B.-This statement has been corrected to show the results of all examinations reported to the Committee of Council before the end of November 1850, but does not include any decisions subsequent to that date."

In augmentation of 94 Teachers' salaries, being on
an average of £20,

In stipends to 239 Pupil Teachers or Apprentices,
and gratuities to Teachers for their instruction in
126 schools,

£1861 0 0

4067 10 0

£5928 10 0

Number of Teachers and Training School Students in connection with the Free Church (to the 1st January 1851), who have obtained Certificates of Merit from the Committee of Council on Education is 174; besides a number of Students passed at Examination in England.

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