THURSDAY, MARCH 29, 1979
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DR. HO EXPLAINED THAT UNDER SUCH A SCHEME, BENEFIT PAYMENTS ARE MADE PERIODICALLY AND THROUGHOUT THE PERIOD FOLLOWING THE RETIREMENT, DEATH OR INVALIDITY OF THE EMPLOYEE, AND THE RATE OF PAYMENT CAN BE ADJUSTED IN LINE WITH THE COST OF LIVING.
EITHER OF THE SCHEMES WOULD, HOWEVER, ENCOURAGE SAVINGS AND WILL CONSTRAIN SPENDING, THUS HELPING IN A SMALL WAY TO COOL DOWN THE OVERHEATED DOMESTIC MARKET.
ANOTHER SUGGESTION DR. HO HAD TO IMPROVE THE LOT OF CERTAIN VULNERABLE AND UNDERPRIVILEGED CLASSES,+ IS IN THE AREA OF GOVERNMENT SUBVENTION FOR SOCIAL WELFARE SERVICES.
HE SAID THE PRESENT ONE-LINE VOTE SYSTEM IS DETERMINED SOMEWHAT ARBITRARILY, WITHOUT ADEQUATE CONSULTATION AND WITHOUT MUCH REFERENCE TO OVERALL SOCIAL NEEDS, PRIORITIES AND QUALITY OF SERVICES.+
THE PRACTICE OF DEDUCTING COMMUNITY CHEST CONTRIBUTIONS FROM SUBVENTION GRANTS ALSO GIVES RISE TO DISSATISFACTION AND IS COUNTER TO THE ORIGINAL PURPOSE OF THE CHEST, WHICH WAS TO RAISE MONEY TO OFFSET DWINDLING OVERSEAS FUNDING, HE SAID.
AS TO THE LUMP-SUM DISCRETIONARY GRANTS TO PARTIALLY SUBS ID ISE THE OPERATIONAL EXPENSES OF THOSE AGENCIES NOT REQUIRED TO WORK TO APPROVED BUDGETS OR ADHERE STRICTLY TO GOVERNMENT REQUIREMENTS REGARDING STAFF RATIOS, STAFF QUAL IF ICATIONS AND SALARIES, DR. HO SAID THERE CAN BE NO GUARANTEE THAT THE MONEY IS USED PRUDENTLY.
HE HOPED THE GOVERNMENT WILL COMMENT SOON ON A REPORT IT RECEIVED FROM THE WORKING PARTY ON SUBVENTION POLICY OF THE HONG XONG COUNCIL OF SOCIAL SERVICE.
THE REPORT RECOMMENDED THREE TYPES OF SUBVENTION: UNIT RATE, FOR THOSE SERVICES WHICH ARE ESSENTIAL TO BOTH THE INDIVIDUAL AND THE COMMUNITY AS A WHOLE AND WHICH CAN BE QUANTIFIED ON A UNIT COST BASIS- DEFICIENCY FUNDING, FOR THOSE ESSENTIAL SERVICES THAT ARE NOT AMENABLE TO UNITARY CALCULATION AND DISCRETIONARY FUND ING, FOR THOSE SERVICES WHICH ARE NOT CONS IDERED ESSENTIAL BUT NEVERTHELESS DESIRABLE.
DR. HO EXPLAINED THAT ALTHOUGH AT PRESENT ONLY DAY NURSERIES ARE SUBVENTED ON A UNIT COST BASIS, SERVICES OF A MORE COMPLEX UNITARY MEASUREMENT MAY BE INCLUDED LATER.
SUBVENTION ON A DEFICIENCY BASIS WOULD REQUIRE CLOSER CONTROL AND GOVERNMENT SUPERVISION. DISCRETIONARY FUNDING HAS THE ADVANTAGE THAT THE SERVICES COVERED BY IT CAN BE SUSPENDED IF THERE ARE COMPETING DEMANDS, OR WHEN THERE IS ECONOMIC STRINGENCY.
HE THOUGHT THERE COULD BE A FOURTH SOURCE OF SUBVENTION COMMUNITY CHEST AND OTHER CHARITABLE TRUST FUNDS.
THE
PUBLIC MONEY IS NOT ALWAYS SUITABLE FOR EXPERIMENTAL PROJECTS WHICH REQUIRE TIME FOR TESTING, AND FREEDOM TO DEPART FROM ESTABLISHED PROCEDURES.
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THIS FURTHER SOURCE OF FUNDING CAN BE USED TO SUPPORT WORTHWHILE PROGRAMMES AND ACTIVITIES LOW IN GOVERNMENT'S SUBVENTION PRIORITY, HE SAID.
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