The Committee issued their report in October and proposed that a Boarding-house should be built and a level piece of ground provided in its vicinity for Football and Cricket. The Boarding-house was to provide a dining-hall, rooms for preparatory studies and dormitories for fifty boys, together with apartments for a Master in charge. The Trust Funds were not sufficient to build the School up afresh, with new Boarding-houses and new Class-rooms and it was a debateable question what site they should choose. The first proposal was to use the recently built School and convert the upper room into a dormitory and so increase the accommodation with a minimum of expense. But the close proximity of the Churchyard gave a suggestion of insanitariness to the site and the absence of playing fields made it impossible. There was a further choice. Near Craven Bank was a certain amount of land belonging to Mr. Robinson and also a field of five acres. Other sites were suggested including one between the Workhouse and the Station but finally in January, 1866, the plot of land near Craven Bank was bought for £375. Mr. Ingram's house--at the present time occupied by the Headmaster--was offered to the Governors for £2,600 subject to Mrs. Kempson's life interest, but it was not accepted. There was a further question of the lines on which the Boarding-house should be run. The alternatives were, to let the buildings to the Master on a rent of six per cent. on the total outlay and allow him to make what money he could out of the pupils, or to adopt what was called the Hostel System. The Master would then have a limited control over the internal discipline of the boys, but the other responsibilities would rest with the Governors. All profit could then be appropriated by them with a view to the adoption of a Sinking Fund and an Exhibition Fund. Finally the Hostel System was decided upon. In March, 1866, Sir James Kay Shuttleworth, Mr. Carr and Mr. Morrison were appointed as a Committee to obtain plans for the erection of a Boarding-house and to prepare a scheme of management for it.