WEDNESDAY, JUNE 4, 1986
THE SECOND PROPOSAL CONCERNING PRE-WAR TENANCIES SOUGHT TO RAISE THESE RENTS TO MORE REALISTIC LEVELS AND TO BRING THEM CLOSE TO THE MINIMUM PERMITTED RENTS FOR EARLY POST-WAR PREMISES.
IT WAS PROPOSED TO INCREASE THE PERMITTED RENT FROM 27 TIMES TO 30 TIMES THE STANDARD RENT.
MR TODD SAID THAT THIS CHANGE WOULD RESULT IN AN AVERAGE INCREASE OF ABOUT $132 PER MONTH ON CURRENT PERMITTED RENTS, AN INCREASE OF ABOUT 11 PER CENT, AND WOULD AFFECT 2 200 DOMESTIC PREMISES.
IT WOULD BRING THE AVERAGE PERMITTED RENT OF THESE PREMISES UP TO 60 PER CENT OF MARKET LEVEL, THE MINIMUM LEVEL SOUGHT FOR POST-WAR TENANCIES.
MR TODD SAID THE BILL ALSO PROPOSED SOME TECHNICAL AMENDMENTS TO PART 111 AND VI TO UPDATE THE MONETARY LIMITS OF EXISTING SIMPLIFIED PROCEDURES FOR THE RECOVERY OF SMALL PREMISES WHERE SUCH PREMISES WERE EITHER DESERTED OR WHERE THEY WERE UNLAWFULLY HELD OR OCCUPIED.
HE NOTED THAT THE VALUE LIMITS IN THE ORDINANCE WERE SET IN THE LAST CENTURY AND HAD NOT BEEN AMENDED SINCE THEN SO THAT THE PROCEDURES HAD FALLEN INTO DIS-USE.
IT WAS PROPOSED THAT THE LIMIT SHOULD BE RAISED AND SHOULD APPLY TO PREMISES WITH CURRENT RATEABLE VALUES NOT EXCEEDING $30 000 AND IN FUTURE THE LIMITS MIGHT BE RAISED BY WAY OF A RESOLUTION BEFORE THE LEGISLATIVE COUNCIL.
FINALLY, HE SAID THAT AS A MEASURE OF CONSISTENCY, THE COMMISSIONER OF RATING AND VALUATION WAS ENABLED TO DELEGATE HIS POWER TO WAIVE OR REFUND FEES UNDER PART VII OF THE ORDINANCE AS HE ALREADY COULD UNDER OTHER PARTS OF THE ORDINANCE.
MR TODD NOTED THAT GOVERNMENT REVIEWED THE WORKING OF THE ORDINANCE ANNUALLY, TAKING ACCOUNT, AS HAD BEEN DONE THIS YEAR OF THE PROPERTY MARKET AND THE SOCIAL AND ECONOMIC CONSEQUENCES BEFORE PROPOSING CHANGES TO THE ORDINANCE.
HE ASSURED COUNCIL MEMBERS AND THE PUBLIC THAT ANY FURTHER STEPS TOWARDS DE-CONTROL WOULD AGAIN BE CAREFULLY CONSIDERED IN LIGHT OF THE SITUATION AT THE TIME AND WOULD TAKE ACCOUNT OF THE NEEDS OF BOTH TENANTS AND PROPERTY OWNERS.
DEBATE ON THE BILL WAS ADJOURNED.
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