XN000022-1987-09-28 — Page 4

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MONDAY, SEPTEMBER 28, 1987

SWAC ENDORSES PRINCIPLES OF CENTRAL ADMINISTRATION SUBVENTION

A STANDARD FORMULA DEVISED BY THE SOCIAL WELFARE DEPARTMENT FOR CALCULATING THE LEVEL OF SUBVENTION FOR CENTRAL ADMINISTRATION OF THE VOLUNTARY AGENCIES WAS ENDORSED BY THE SOCIAL WELFARE ADVISORY COMMITTEE TODAY (MONDAY).

THE COMMITTEE AGREED THAT THE FORMULA SHOULD MAKE PROVISION FOR EACH OF THE THREE COMPONENT PARTS OF CENTRAL ADMINISTRATION, NAMELY CO-ORDINATION AND PLANNING OF SERVICES; FINANCIAL CONTROL AND ACCOUNTING; AND GENERAL ADMINISTRATION, INCLUDING PERSONNEL MATTERS.

NOTING THAT THE AMOUNT OF SUBVENTION AS WELL AS THE RANGE OF SERVICES BEING SUBVENTED HAVE INCREASED CONSIDERABLY OVER THE YEARS, THE COMMITTEE ENDORSED THAT FULL SUBVENTION, I.E. 100 PER CENT SUBVENTION, SHOULD BE GIVEN FOR CENTRAL ADMINISTRATION TO ENABLE AGENCIES TO ACQUIRE STAFF FOR THE OVERALL PLANNING AND ADMINISTRATION OF SERVICES AND THE MANAGEMENT OF FINANCES, THUS ENSURING THAT PUBLIC MONEY IS WELL SPENT.

IT WAS FURTHER AGREED THAT SUBVENTION FOR CENTRAL ADMINISTRATION SHOULD BE PROVIDED IN RESPECT OF SUPPORT FOR SUBVENTED SERVICES ONLY. IN THIS RESPECT, CATEGORY I AND CATEGORY SERVICES SHOULD BE GIVEN EQUAL WEIGHTING IN CALCULATING THE LEVEL OF SUBVENTION.

ALSO ENDORSED WAS THE PRINCIPLE THAT AGENCIES WITH SPECIAL REQUIREMENTS, FOR EXAMPLE THOSE HAVING A PURPOSE-BUILT HEADQUARTERS BUILDING, SHOULD BE GIVEN SEPARATE CONSIDERATIONS OUTSIDE THE GENERAL FORMULA.

IN ADDITION, IT WAS ACCEPTED THAT WELFARE AGENCIES CURRENTLY RECEIVING SUBVENTIONS FOR CENTRAL ADMINISTRATION SHOULD NOT BE WORSE OFF AS A RESULT OF APPLYING THESE PRINCIPLES.

THE COMMITTEE NOTED THAT BECAUSE OF THE UNIQUE POSITION OF THE HONG KONG COUNCIL OF SOCIAL SERVICE, PROPOSALS IN RESPECT OF SUBVENTION FOR THE COUNCIL WOULD BE SUBMITTED TO THE SUBVENTIONS LOTTERIES FUND ADVISORY COMMITTEE FOR ADVICE.

AND

THESE

THE IR

PRELIMINARY CALCULATIONS INDICATED THAT BY APPLYING PRINCIPLES, THE NUMBER OF AGENCIES ELIGIBLE FOR SUBVENTION FOR CENTRAL ADMINISTRATION WOULD INCREASE FROM 39 TO 44 (EXCLUDING COUNCIL) WHILE THE TOTAL SUBVENTION FOR THIS AREA WOULD INCREASE ABOUT $7.3 MILLION TO $42.9 MILLION PER ANNUM.

THE BY

CHAIRMAN OF THE COMMITTEE, MR LEE JARK-PUI, SAID HE WAS GLAD THAT A POSITIVE STEP HAD BEEN TAKEN TO RATIONALISE THE BASIS FOR THE SUBVENTION OF CENTRAL ADMINISTRATION WHICH HAD BEEN THE SUBJECT OF MUCH DISCUSSION BETWEEN THE GOVERNMENT AND THE VOLUNTARY AGENCIES QUITE SOME TIME.

FOR

THE VOLUNTARY

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