the issue of dry rations took insufficient account of the basic household needs required to maintain a minimum standard of living and the special needs arising from any particular disability suffered by any member of a family.
57. A revised scheme was therefore approved by Government; and financial authority for this was given in August 1970. The scheme was to be improved in two stages, the first stage taking effect on 1st January, 1971 and the second, main stage on 1st April, 1971, im- mediately after the period covered by this report.
58. Under the first stage, the scale of assistance was improved to $40 per adult and $20 for each child; and the issue of dry rations was converted to the provision of cash assistance, in the form of vouchers, cashed monthly at specified Post Offices, Treasury Sub- offices and New Territories District Offices.
59. Under the second stage, all families or individuals who had resided in the Colony for at least one year were to be eligible for assistance-apart from persons or married couples of working age who had no dependents and were available for work. Any family whose monthly net income, after deducting rent payments up to an allowed maximum (based on Mark IV resettlement estate rents), education expenses and essential travelling expenses, was less than $50 per person for the first 3 family members, $40 each for the next 3 family members, and $30 for each succeeding family member, would be eligible for a monthly cash allowance to raise their net incomes up to these levels. A single adult living alone whose net income, after deducting allowable expenditure on rent and essential travel, was less than $70 a month would be eligible for a monthly cash grant to raise his net monthly income up to this figure. In addition, the Director of Social Welfare would have discretionary power to meet special needs e.g. for a special diet. And there would be discretionary powers to take action to preserve incentives for those able to work whose families were in receipt of assistance.
60. To enable the revised scheme to be launched, a new Public Assistance Division with field units was set up in August 1970. The Division is responsible for all public assistance policy matters, while the field units are responsible for dealing with applications, investiga- tions, assessments, authorizations of payments and periodic reviews of need. A new Administration Branch was set up to be responsible
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