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70A

5.

The British side has given further consideration to a number

of longer-term issues connected with the overall structure of

Government and with the need for convergence with the post-1997

structure to be prescribed in the Basic Law. It would now like to

share its thoughts with the Chinese side.

6.

The attached notes consider the role which might be played in

the Government of the future Hong Kong SAR by the three main institutions of government, namely:

The Chief Executive

The Executive

The Legislature

(Note 1)

(Note 2)

(Note 3)

7.

Note 1 follows on from earlier consideration (in Paper II of

May 1986) of the method of selection of the Chief Executive and his

powers and functions.

8.

Note 2 examines, in greater detail than hitherto, the role

and composition of a future equivalent of the present executive

council, and the relationship between the executive and the

legislature.

9.

Note 3 follows on from earlier consideration (in Paper II of

May 1986 and Note 2 of October 1986) of the composition and

functions of the legislature.

10. Notes 2 and 3 both touch on the importance of maintaining a

close and co-operative relationship between the executive and the

legislature in the interests of ensuring that government business

continues to be conducted efficiently. They follow on from earlier

consideration of this point in Note 1 of the papers handed over in

December 1986.

11.

In all three notes reference is made to the possible role of

a broadly-based "Grand Electoral College" (GEC). Suggestions for such a body have emerged in the context of the drafting of the Basic

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