188
HONG KONG ANNUAL REPORT
families, and during 1957 constructed a further 30 flats for its Indian and Portuguese staff; and The 'Star' Ferry Co., Ltd., which in 1957 built 50 flats in Kowloon for its local staff.
In its own field as an employer, Government has fostered the formation of co-operative building societies by offering loans to groups of local civil servants on the pensionable establishment to enable them to purchase land and construct blocks of flats. By the end of 1957 85 building co-operatives, with a total of 1,575 members, had been formed, and projects involving the loan of over $46,000,000 had been completed or approved. More schemes are under considera- tion.
The Housing Authority, which was set up three years ago under the provisions of the Housing Ordinance, No. 18 of 1954, and charged with the duty of providing accommoda- tion for people living in overcrowded and unsatisfactory con- ditions, made some headway during 1957. The Authority consists of all members of the Urban Council, ex-officio, and not more than three members appointed by the Governor (two such appointments have so far been made). The Authority functions as a commercial enterprise and, although rents are kept as low as possible, they must be sufficient to cover expenditure. Crown land is allocated at one-third of the market price. Government loans are granted at a low rate of interest; for the Authority's first two schemes the rate was 31%, but in 1955 it was raised to 5% per annum. The Government maintains a general control over the Authority's activities, and all its projects must receive the Government's prior approval.
The routine administration and execution of the decisions of the Authority are carried out by the Housing Division of the Urban Services Department, under the control of the Commissioner for Housing, functioning as its principal executive officer. The staff was considerably expanded during the year and now numbers 56. The salaries of all staff are