CO129-603-2 Education Department- revised grant code 5-4-1948 - 6-1-1949 — Page 132

132

The Bishop's House

Hong Kong

(3)

18th May, 1948.

My dear O'Connor,

1.

I have heard from George She and Gerald Goodban of the very thorough discussion there was at the Board of the question of a rovision of the Code to give more freedom to Hanagers - and of the failure of our arguments to convince the rest of the Board.

2.

The fact still remains that the Government policy is to have "Boards of Managers", not just "a manager" and that the only schools with such responsible local Boards are still unanimous in their desire for less money and more freedom.

3.

I write now therefore to ask you if you would discuss with MacDougall a new proposal - shortly that any schools who wish to in this case it would be only our six schools - could enter into an agreement with Government to receive less Grant in return for more freedom. My estimate is that the Anglican Schools could between them offer to take between $100,000 and $150,000 less grant per annum if the essential freedom by which alone managers can function is secured to them.

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4.

The proposal is roughly that a Block Grant for three years be fixed on the 1948-49 Estimate with a variable "plus" representing increments in salaries (or a "minus" if through loss of senior teachers and employment of juniors the salary bill was luss) and with a "minus" which would represent approximately 50% of the fees at Government minimum rates. (This "minus" could also be fixed with each school Council to operate for the three years so that the only variable would be salaries).

In return the managers made no claim for equipment, minor or major repairs except such as are now already budgetted for etc. during the three year period. But they are free to make their own arrangements with parents about foes.

5.

The Director of Education would still have the right to report to Government and set the regular Government procedure in motion to reduce Grant if he found, on inspection, inefficiency or extra vegance or believed the fees charged were excessive.

6.

I shall be most grateful if you could find an early chance to discuss this with Hon. C.S. I shall be in the Colony until May 30th and then from June 6th - 16th.

I have not officially consulted the Councils on this point and don't want to do so unless I can be assured that at least full consideration will be given to it by Government,

7.

After three years experiment, a new contract can be mado on similar lines or it can be abandoned as unworkable.

8.

Our Anglican tradition is close contact and cooperation with the community, and we cannot maintain it unless our managers have the power to make decisions on financial matters. It is for

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