III. . 4 - even becoming unsafe. These needs are discussed more fully later in the report. Budget demands, too, have been such that it has not been found possible to put into effect a recommended system or salary increases based on experience and years of service and adopted some four years ago. Only in one or two instances were any changes made. This is in the face of increased living costs, and an average salary somewhat lower than that paid in other ~ institutions for instructors of equal training and ability. A continuation of this policy ultimately may lead to the loss of highly-desirable staff members to other institutions or commercial concerns. ENROLLMENT For the third successive year, the enrollment has shot up to a new level, bringing 345 men of college level, to the institution for the fall quarter of 1936-37 alone. This is an increase of 68 students over the enrollment at the end of the fall semester of 1955-36, California Polytechnic having changed from the semester to the quarter system in the Not only was the total number greater than the previous year, but meantime. the increase was also greater-~68 compared with an increase of 41 the previous year. The big growth was in the freshman class, indicating a greater interest throughout the state on the part of undergraduates. Of the 345 students enrolled, more than 200 were freshmen. If this proportion is retained, together with the addition of a full year of instruction, every facility of the institution will be crowded during the next two or three years. All dormitory rooms were filled before school opened in the fall, and some 60 students were sent to private homes in the city of San Luis Obispo. Of greatest significance is the statewide educational service of California Polytechnic, with enrollment from 43 different counties.