recommended more frequent visits to schools. However, it observed that the existing establishment of the Education Department's regional staff would not be adequate for such an undertaking. In response to the Committee's recommendations, the Director of Administration and Management Services has been requested to undertake an organisational study of the Schools Division which is responsible for the management and administration of schools. The study covers the Schools Division system of regional administration of schools, the duties and the workload of its staff and the general machinery for handling complaints from the public. This study is expected to be completed in the near future and its findings will form the basis of further discussions within Government for a strengthening and a reorganisation of the structure of the Schools Division.
Control of aid to aided schools
5
The Director of Education has had extensive informal discussions with the major school sponsoring bodies and schools councils on proposals to improve:
(a) financial control over aided schools, including the control of trading operations in schools; and
(b) the administration and management of aided schools.
Agreement in principle has been reached with the major sponsoring bodies and schools' councils on the need for legislation to control trading activities in schools. The Director of Education therefore recommends that the regulations made under the Education Ordinance (Chapter 279) should be amended to require supervisors of schools, in receipt of public funds under the codes of aid, to seek permission to enter into business arrange - ments for the supply of food, books, writing material, uniforms or personal effects to students. Furthermore, it is proposed to make it an offence for any person to apply the profits from such business or trading operations for a purpose not directly benefitting the students of the school without having obtained the prior approval of the Director of Education.
6
Formal discussions have started with three major schools' councils to review and improve the Codes of Aid. This will be a long- term exercise. A preliminary list of items needing review has been drawn up and it includes proposals to restrict the use of Tong Fai to a specific list of approved purposes and the inclusion of additional items which may be charged to the capitation grant account. One of the most important items to be considered in the course of this review is the question of what the codes should prescribe concerning teachers' terms
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