This thesis addresses the problem of where the costs and benefits of soil conservation lie. Are they National or Regional in character? It also questions how Regional Authorities might deal with this issue following the 1989 Regional Government reform. Hospital Creek catchment, Central Otago is used as a case study. The existing body of knowledge relating to slope stability and erosion, local Catchment Board records and analysis of climatic data are drawn upon to assist in clarifying these issues. Finally possible future policy directions are suggested.