XN000022-1986-03-27 — Page 21

THURSDAY, MARCH 27, 1986

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RECYCLE HOUSING FUNDS INTO OTHER AREAS

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THE HOUSING AUTHORITY CAN FURTHER ENHANCE ITS CONTRIBUTION TOWARDS CAPITAL EXPENDITURE ON THE PUBLIC HOUSING PROGRAMME WITH THE ULTIMATE AIM OF BECOMING SELF-SUPPORTING, THE HON F.K. HU SUGGESTED IN THE LEGISLATIVE COUNCIL TODAY (THURSDAY).

SPEAKING DURING THE ANNUAL BUDGET DEBATE, MR HU NOTED THAT THE CONTRIBUTION OF THE HOUSING AUTHORITY IN 1986-87 MIGHT REACH 43 PER CENT OF TOTAL CAPITAL EXPENDITURE ON RENTAL HOUSING ESTATES, AND THE TREND INDICATED THAT IT COULD CONTRIBUTE EVEN MORE IN FUTURE.

HE ADDED THAT THE HOUSING AUTHORITY SHOULD AIM TO BE COMPLETELY SELF-SUPPORTING IN, SAY, FIVE YEARS' TIME WITHOUT SLOWING DOWN ITS LONG-TERM BUILDING PROGRAMMES, INCLUDING ITS RE DEVELOPMENT PROGRAMME.

+ THE PUBLIC FUNDS HITHERTO SPENT ON HOUSING CAN THEN BE USED TO FINANCE OTHER URGENTLY NEEDED ADDITIONAL PROGRAMMES AND SERVICES, HE SAID.

AS CONVENER OF THE COUNCIL'S INTERNAL WORKING GROUP EXAMINING THE DRAFT ESTIMATES ON SOCIAL WELFARE, MR HU SAID HIS VIEW WAS SHARED BY OTHER GROUP MEMBERS.

TO ACHIEVE THE GOAL, HE SUGGESTED THAT FIRSTLY THE GOVERNMENT SHOULD CONSIDER TRANSFERRING THE HOME OWNERSHIP SCHEME TO THE HOUSING AUTHORITY.

AS THE HOME OWNERSHIP SCHEME INVOLVED A LESSER SUBSIDY THAN RENTAL HOUSING, THE HOUSING AUTHORITY WOULD BENEFIT FINANCIALLY THROUGH THIS TRANSFER, HE SAID.

FURTHERMORE, HE BELIEVED THE HOUSING AUTHORITY COULD BE PROVIDED WITH THE FLEXIBILITY OF CONVERTING SOME RENTAL HOUSING DEVELOPMENTS TO THE HOME OWNERSHIP SCHEME.

MR HU'S SECOND SUGGESTION WAS FOR ARRANGEMENTS TO BE MADE WITH PRIVATE DEVELOPERS TO DEVELOP SITES AT THEIR EXPENSE, WITH THE DEVELOPERS RETAINING THE COMMERCIAL PREMISES AND SOME RESIDENTIAL BLOCKS FOR THEIR DISPOSAL AND THE HOUSING AUTHORITY BEING HANDED BACK AN AGREED NUMBER OF RESIDENTIAL BLOCKS TO BE USED EITHER AS RENTAL HOUSING OR HOME OWNERSHIP SCHEME BLOCKS.

THIS SO-CALLED +MODIFIED PRIVATE SECTOR PARTICIPATION SCHEME + COULD TAKE ADVANTAGE OF SPEED AND EFFICIENCY OF PRIVATE DEVELOPERS, AND EXPEDITE THE PUBLIC HOUSING PROGRAMME, HE SAID.

MR HU