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HONG KONG PROVISIONAL URBAN COUNCIL
413
I understand the Chairman of the Finance Select Committee, Mr. CHIANG Sai-cheong, will second this motion. I shall therefore leave it to him to spell out the more salient points contained in the budget.
Councillors, I now formally move the motion standing in my name.
Mr. Chiang Sai-Cheong, Chairman OF THE FINANCE Select Committee (in Cantonese):-Mr. Chairman, I rise to second the motion proposing the adoption of the Estimates of Revenue and Expenditure 1998/99.
As shown in the Estimates discussed at the Standing Committee on 6 January 1998, in order to continue improving our community services to the general public, the Council's expenditure has increased from $6.8 billion in 1996/97, to an estimated $7.5 billion in the financial year ending 31 March 1998, and an estimated $8.8 billion for the next financial year 1998/99.
According to our current estimation, there will be a deficit of about $0.2 billion for the current financial year 1997/98, and a projected deficit of $1.2 billion in the 1998/99 financial year. This will reduce the Council's reserves to an estimated $1.8 billion at the end of 1998/99.
As the rates grant for the triennium 1997/98 to 1999/2000 was less than the Council's original requirement, the Council has put in strenuous effort in containing expenditure within the revenue available in preparing its current year's financial forecast and estimates. The Urban Services Department have implemented various cost saving initiatives and resources have been redeployed to maintain the essential service level. However, let me assure Members that this Council will continue to employ the most prudent measures in managing its finance, and to ensure, as always, that in everything we undertake, our prime considerations will be service to the public, value-for-money, and cost effectiveness.
With these remarks, Mr. Chairman, I second the motion.
The question was put.
The motion was carried unanimously.
(2) THE CHAIRMAN, PROVISIONAL URBAN COUNCIL moved the following motion:-
'That this Council endorse the Statement of Aims for 1998/99.*
He said (in Cantonese):-I rise to move in accordance with the agenda the motion standing in my name: 'That this Council endorse the Statement of Aims for 1998/99,'
1997 has been a historic year for the Council and all members of the community. Hong Kong was reunified with China on 1 July 1997 and has since
Page 417 of 654
Page 417 of 654