XN000022-1984-09-09 — Page 11

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SUNDAY, SEPTEMBER 9, 1984

+THIS IS A FACTOR COMPLETELY BEYOND THE CONTROL OF THE AUTHORITY, AS THE AUTHORITY ONLY COLLECTS SUCH RATES WHICH GO TO THE GOVERNMENT AND THE URBAN COUNCIL.+

AS A RESULT OF THE GENERAL RATES REVALUATION, HE SAID THE AUTHORITY HAD TO PAY ON AVERAGE AN ADDITIONAL $22′ MONTHLY RATES FOR EACH FLAT.

WITHOUT THE INCREASE IN RATES, THE USUAL LEVEL OF INCREASE IN RENTS OF PUBLIC HOUSING ESTATES WOULD HAVE CONTINUED TO PREVAIL, HE ASSURED.

BECAUSE RENTS ARE CHARGED AT A LOW LEVEL, THE AUTHORITY'S DOMESTIC ESTATE WORKING ACCOUNT HAS CONTINUALLY SHOWN A DEFICIT YEAR AFTER YEAR ALTHOUGH THE NON-DOMESTIC PROPERTY ACCOUNT HAS A SURPLUS, PART OF WHICH IS USED TO COVER THE FORMER'S DEFICIT. THE SPOKESMAN POINTED OUT THAT THE HOUSING AUTHORITY'S NON-DOMESTIC PROPERTIES CAN GENERATE A SURPLUS BECAUSE IT IS THE AUTHORITY'S POLICY TO RENT THESE PREMISES OUT AT MARKET VALUE AND NOT TO SUBSIDISE SHOP TENANTS WHO SELL THEIR GOODS AT MARKET VALUE ON THE ESTATES.

HE ADDED: IT WOULD BE IMPROPER THEREFORE TO COMBINE THE DOMESTIC AND NON-DOMESTIC ACCOUNTS BECAUSE THE COMMERCIAL PROPERTIES (SHOPS AND FACTORIES) UNDER THE NON-DOMESTIC ACCOUNT ARE MEANT TO GENERATE FUNDS TO FINANCE THE AUTHORITY'S BUILDING PROGRAMME OF 30 000 NEW RENT FLATS A YEAR. THIS PROGRAMME IS DESIGNED TO BENEFIT THE 160 000 FAMILIES CURRENTLY IN NEED OF SUBSIDISED HOUSING ON THE WAITING LIST, AMONG OTHERS.+

AS REGARDS MEMBERSHIP OF THE AUTHORITY, THE SPOKESMAN SAID

IT IS DRAWN FROM A WIDE SPECTRUM OF THE COMMUNITY AND UNOFFICIALS. COMPRISING ELECTED AND NOMINATED URBAN COUNCILLORS AND DISTRICT BOARD MEMBERS, MEMBERS OF THE HEUNG YEE KUK, PROFESSIONALS AND PUBLIC HOUSING TENANTS. THEY ACCOUNT FOR A MAJORITY OF TWO THIRDS.

*THIS ARRANGEMENT ENSURES THAT REPRESENTATIVES FROM ALL WALKS OF THE COMMUNITY ARE CONSULTED AND GUARANTEES A CONSTRUCTIVE INPUT OF POSITIVE CONTRIBUTIONS FROM THE UNOFFICIALS IN FORMULATING BALANCED DECISIONS IN THE INTEREST OF THE COMMUNITY, HE ADDED.