CONFIDENTIAL
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6.
The United Kingdom and Hong Kong Governments will agree and the Hong Kong Government will undertake a programme of capital works, which may include purchases of buildings for the garrison, to be carried out during the period of this agreement to normal United Kingdom standards and scales. Expenditure will be spread as evenly as practicable over the period of the agreement. To the extent that the United Kingdom Government is responsible for less than
•
being spent on capital works, including the purchase of buildings in Hong Kong over the
year period of the agreement, there will be no corresponding increase in the cash element of Hong Kong's contribution. To the extent that any such shortfall is the responsibility of the Hong Kong Government, the Government will make up the shortfall by a corresponding increase in its cash contribution.
7.
By agreement, the Property Services Agency may undertake capital works for the convenience of either the Hong Kong Government or the United Kingdom Government.
8. All capital works paid for by the Hong Kong Government will revert to the Hong Kong Government if no longer required by the United Kingdom Government.
The Hong Kong Government contribution will be subject to review at any time if:
9.
The compositions or size of the garrison provided for in this agreement should alter materially.
a.
The indices in Annex B produce results materially out of line with the actual movements of costs: or
b.
C.
The economy of Hong Kong suffers such a serious adverse change that the continued payment of the contri- bution at the agreed level can be shown to be an unreasonable burden on Hong Kong's finances.
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10.
B2
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