New Licensing Duties:

(b).

This

paragraph lists the additional

functions to be given to the Council.

These additions are few in number and

of no great import. We had been

hoping that the Governor would find it

possible to give the Council additional

functions sufficient to generate a

sense of responsibility, but these

proposals are unlikely to achieve that

object, especially when compared with

the additional powers sought by the

Council itself (see sub-paragraph c).

Finance: (f). This sub-paragraph

contains by far the most important

of the proposals and the matter is

pelt

spelled out in greater detail in

paragraph 9 of the memorandum.

The

effect would be to place upon the Council

(which would consist entirely of

Unofficial Members) the onus of

raising any funds required for new

functions by additional rates to be

imposed by the Council or (so far as

capital expenditure is concerned, by

raising loans on the open market).

This approach presents the best hope

of making the Council more responsible

and more efficient.

Use of Cantonese: (h).

This

proposal should be generally welcomed

in the light of the current campaign

to extend the use of Chinese in official

business.

Franchise: (9. We are in general

agreement with the Governor's proposal

that the franchise should remain as it

- 6-

/is.

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