(b)
(c)
40
The decisions not to direct KCRC to make payments were to enable KCRC to plough back profits to meet their funding requirements. It is worth noting that in the four years 1990-1993, Government directed KCRC to make payments averaged about $144 million per annum.
We understand that KCRC intend to raise a $3 billion loan later this year. This will form part of KCRC's working capital to meet the Corporation's overall operating requirements, including the expenditure items listed in the answer to part (a) of the question. It is not appropriate to make artificial allocations of the working capital towards individual expenditure items.
Government will consider each year whether KCRC should be directed to make payments in that year in the light of the finances and business plans of the KCRC. In so doing, Government will take the views of the KCRC Managing Board. No separate discussion is held with the Board specifically on the question of such payments.
As regards payments for this year and thereafter, Government has so far not taken a decision.
End
Publicity expenses for housing policies explained
Following is a question by the Hon Federick Fung and a reply by the Secretary for Housing, Mr Dominic S W Wong, in the Legislative Council today (Wednesday):
Question:
It is learnt that the Housing Authority spent about $2.72 million in 1995/96 on publicising the policy of "Safeguarding Rational Allocation of Public Housing Resources", of which $1.3 million was spent on publicity in newspapers and on radio and television. On the other hand, the accumulated expenses on publicising the "Rent Assistance Scheme" since its implementation in 1992/93 only amounted to some $580,000, averaging about $145,000 per year. In this connection, will be Government inform this Council if it is aware: