GRS 400
EN CLAIR
RECEIVED IN
REGISTRY No.52
FM HONG KONG 040530Z
4 NOV 1974
UNCLASSIFIED
NICK J
Thy
lair
38
TOP COPY
"I.,
B.U/25 Nov D
noted
TO ROUTINE F C O TELEGRAM NUMBER 1890 OF 4 NOVEMBER. 1974.
Now
in
VOTE ON ACCOUNT.
OUR PRACTICE FOR THE BUDGET DEBATE HAS BEEN TO ISSUE THE DRAFT ESTIMATES AND SUPPORTING DOCUMENTS TO MEMBERS OF THE LEGISLATIVE COUNCIL IN MID-FEBRUARY AND FOR THE FINANCIAL
SECRETARY TO MOVE THE SECOND READING OF THE APPROPRIATION
BILL AT THE END OF FEBRUARY. A COMMITTEE OF THE COUNCIL CONSIDERS THE DRAFT ESTIMATES AND COUNCIL DEBATES THE
APPROPRIATION BILL IN MARCH WITH A VIEW TO IT BECOMING LAW
BEFORE 1ST APRIL.
2. UNOFFICIALS HAVE NOW ASKED FOR MORE TIME FOR THE DEBATE ON
THE GROUNDS THAT THE PRESENT PROCEDURE GIVES THEM INSUFFICIENT
CHANCE TO PREPARE. WE WOULD LIKE TO MEET THIS REQUEST.
3. WE HAVE CONCLUDED THAT, BECAUSE OF THE ADMINISTRATIVE
DIFFICULTIES INVOLVED, WE COULD NOT, DO SO BY PRESENTING THE DRAFT ESTIMATES AND MOVING THE APPROPRIATION BILL ANY EARLIER
THAN WE DO NOW. WE THINK THE ONLY PRACTICAL EXPEDIENT WOULD
BE TO EXTEND THE DEBATE BEYOND 1ST APRIL. WE HAVE EXAMINED
VARIOUS WAYS IN WHICH THE BUSINESS OF GOVERNMENT COULD BE
FINANCED TEMPORARILY IN THE NEW FINANCIAL YEAR BEFORE THE
LEGISLATIVE COUNCIL HAS VOTED THE FULL SUPPLY. WE HAVE
CONCLUDED THAT THE LEAST CONTRIVED AND MOST STRAIGHT FORWARD
SOLUTION WOULD BE TO ADOPT A FORM OF THE ''VOTE ON ACCOUNT''
PROCEDURE.
4. UNDER SUCH A PROCEDURE, WE ENVISAGE THAT, AS AT PRESENT, WE
WOULD PRESENT THE DRAFT ESTIMATES IN MID-FEBRUARY AND THE
FINANCIAL SECRETARY WOULD MOVE THE APPROPRIATION BILL AT THE
END OF THE MONTH. THE BILL WOULD BE IN ITS PRESENT FORM, THAT IS SEEKING APPROPRIATION, FROM THE GENERAL REVENUES, OF THE TOTAL AMOUNT INCLUDED FOR EXPENDITURE IN THE DRAFT ESTIMATES SUPPORTED
BY A SCHEDULE GIVING THE AMOUNT UNDER EACH HEAD OF EXPENDITURE.
/ BUT, IN ADDITION,