Page 72 of 174
107
106
HONG KONG URBAN COUNCIL
I wish to take this opportunity to commend the Urban Services Department and its Health Inspectors for their performance of duties on this occasion and for taking instant and correct action in accordance with the instructions of the Food Hygiene Select Committee.
At the initial stage, the Select Committee had discussed whether or not to impose an official ban on the "problem milk powder". However, before sufficient evidence of contamination was found, it was thought inappropriate to believe in a one-sided story and act hastily, thereby arousing criticism. The result of the test has proved that the decision made by the Committee earlier was a wise one.
Although over $70,000 has been spent on the tests, the money was indeed well spent bearing in mind that it was important to protect public health, to clear up suspicion and to set the public free from worry.
MOTIONS
(1) THE CHAIRMAN, URBAN COUNCIL moved the following motion (in English):-
"RESOLVED that the audited Statement of Assets and Liabilities and Statement of Revenue and Expenditure of the Urban Council for the year ended 31st March, 1977, be adopted."
He said: The audit of the Council's accounts for the financial year ended 31st March 1977 is over. Accordingly, the Statement of Assets and Liabilities and the Statement of Revenue and Expenditure are now presented for formal adoption. They have been considered by the Finance Select Committee and accepted by the Standing Committee of the Whole Council after discussion.
The audit report is without qualification. The Council is obliged to the Director of Audit for inviting attention at the same time to a few matters which call for further action and decision. They have since been dealt with conclusively where possible, or are being followed up by the department when more time is required to do so.
There is a surplus of $25.7m on the year's operation. Together with what the first three years yielded, the Council has now an accumulated surplus of $146.2m. Accordingly, our general reserve fund stands at $35m and the capital projects reserve fund at $100m, with $11.2m carried forward as the current credit balance. The Council has, of course, no debt of any sort and happily all building projects are paid for out of revenue.
It would be prudent to say however that all this money that has been salted away is committed in some manner for the public good. For example, the Council has 378 approved capital projects with a good number of other minor works in addition. Many are under construction and the rest in various stages of preparation. They will call for far more money than the resources the Council now has, but these projects will take many more years to complete even though the Council is now turning to the private sector in order to hasten work on civic structures long lacking here. Anyway, there is little or no money to spare even now. For, apart from such heavy capital commitments, there are increasing recurrent staff emoluments to pay. The more the Council does for community betterment, the more personnel it needs. People must be engaged well in advance of requirement and trained to be ready to do their work properly when these public facilities are open. There is also the cost of equipping all these new physical structures.
Moreover, the Council is stepping up most impressively its activities in providing the community with cultural and entertainment services. The scope of museum work is being enlarged with a science museum under study. The opening of more libraries is being brought forward for earlier completion if feasible. In both the visual and the performing arts, the Council's presentations are now more varied and ambitious in support of local talent. In fact, the Council has a Chinese orchestra under rehearsal and a Cantonese repertory company just on the stage in addition to the Hong Kong Philharmonic Orchestra in throes of further improvement. The Council is also well pleased with the rapid development of its free outdoor entertainment activities in all ten urban districts so that hardly a day goes by without one or more popular presentations in response to what the people like.
Obviously, all these community projects and programmes cost money. To the extent that is possible and reasonable, a practical approach is taken to ensure that counterpart revenue is also engendered. Still, as a service to the community, many such activities have to be heavily underwritten, here just as much as elsewhere.
All in all, while the present financial position may be gratifying because the Council has made ends meet so far and even managed to put aside each year a relatively small sum for a rainy day, a careful watch must still be kept on the financial position all the time as it can be thrown off balance with ease, specially because so very much
Page 72 of 174