1965-HKRS32-8-71_Part01 — Page 22

LEG

TIVE

COUNCIL

Mcoting to bo hold m Vodnesday, 11th august, 1965 at 2.30 p.m.

ORDER OF BUSINESS

1. CONFIRMATION OF LINUITS OF LEEFING HELD ON 20TH JULY, 1965.

3

PAPERS TO BE LAID.

QUESTIONS.

Mr. G.R. Ross, pursuant to notice, will ask the following question :-

It has beon publicly stated that the re-constructim of Nathan Road

between Arran Street and Changsha Strest will take approxima toly sixteen montha to complete. Is it not possible to expedite this work on this very busy thoroughfare?

GOVERNMENT BUSINESS.

(1) Cross Barbour Tunnel.

Resumption of debate on the following resolution :-

Rosolved that this Council approves in principle the grant of

a franchise to construct and operate a tunnel across the harbour between Wanchai and Hung Hoan in accordance with the basic conditions sat down in the Schedule,

SCHEDULE

(1) The Victoria City Development Company (or such other

company as may with the approval of the Company and Government be substituted for it) (hereinafter referred to as "the Company") to be granted an exclusive franchise to construct and operate a four-lane vohicular hunnel between Wanchai and Hung Hom.

(2) The franchise to bear no rights for the construction of

a second turmel on the same or any other route.

(3) The franchise to run for 30 years from the date (here- inafter referred to as the "start of construction") on which permission is given by Government to commence physical construction works on the tunnel afte. There is to be no right of renewal thereafter.

(4) (a). A royalty of 12% on gross operating receipts to be

payable for the period of the franchise provided that on application by the Company the annual cash payment during the first ten years of operation of the tunnel, may be reduced so that it is less than 12%, but not less than 7%. Any arrangements for reduced royalty are to be reviewed annually. Tho difference between the amount due at 123% and the actual cash payment at the roduced rate to be credited to Government in the accounts of the Company and the balance to earn compound interest at 7% per annum compounded quarterly. This account to be liquidated not less than 5 years before the end of the franchise.