CONFIDENTIAL

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XCC(71)20

The New Territories

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The Heung Yee Kuk, which is more the mouthpiece of conservative land-owning opinion in the New Territories than representative of

the majority of the population, has always resisted any attempt to extend the Urban Council's activities into the New Territories. Nonetheless, such an extension would be entirely logical for a functional body (as opposed to a 'local authority") and might contribute to the efficient provision of services in the New Territories within the range provided by the Urban Council in the urban areas. But even if the New Territories had, for example, five seats on the Council, the Kuk (and the Rural Committees) would be very reluctant to accept this development. Quite apart from its distrust and dislike of the Urban Council, the Kuk would see that such extension must hasten the day when rating will be extended through- out the New Territories; at present properties in Tsuen Wan and along the Castle Peak Road attract rates, but plans exist to extend rating to Taipo, Yuen Long, Clearwater Bay Road and Tsing Yi Island, as soon as the Rating and Valuation Depart- ment can spare staff to make the necessary assess- ments; this should be possible by April 1974;

in addition to the opposition from the Kuk to any extension of the Council's activities into the New Territories, such a change (even if New Territories residents were appointed to the Council) would tend to inflate the Councillors' ambitions;

the establishment of purely New Territories bodies, as advisory councils, is not being pressed by the traditional New Territories groups such as the Heung Yee Kuk since the influence of those now in office would probably be reduced by such a development;

for these reasons no change is proposed in the New Territories, but in due course the New Territories Administration intends to co-opt local residents to such official bodies as the small interdepartmental management committee for Tsuen Wan and Kwai Chung, a body set up to coordinate the provision of services in this rapidly developing area.

If Honourable Members feel able to endorse these proposals generally, the next step (after the Finance Committee has approved the financial aspects) would be, it is suggested (subject of course to such amendment as Honourable Members may advise as necessary), to publish them in abridged form for public information and comment. The proposals could, if necessary, be reconsidered in the light of the comments received, including Urban Councillors' own comments. It is not considered appropriate to consult the Urban Council as such, which by reason of its membership is an ephemeral body.

CONFIDENTIAL

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