XN000022-1993-04-28 — Page 23

ACHIEVEMENTS

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WEDNESDAY, APRIL 28, 1993

5.

THE GOVERNMENT'S CONTRIBUTIONS TO PUBLIC HOUSING UNDER THE REVISED FINANCIAL ARRANGEMENTS AND BY WAY OF THE LAND SUPPLY HAVE SEEN CONSIDERABLE RESULTS. I WILL QUOTE SOME EXAMPLES.

224,300 PUBLIC HOUSING FLATS HAVE BEEN PRODUCED {149,400 FOR RENTAL AND 74,900 FOR SALE), PROVIDING HOMES FOR NEARLY 900,000 PEOPLE SINCE 1988/89. THIS IS IN ACCORDANCE WITH THE SET PRODUCTION TARGET AND A MAJOR ACHIEVEMENT BY ANY STANDARD.

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THE MEDIAN RENT-TO-INCOME-RATIO FOR ALL PUBLIC RENTAL TENANTS HAS BEEN KEPT TO ABOUT 7.3% BETWEEN 1987 AND 1992 WHILE THE AVERAGE FLAT SIZE HAS INCREASED BY ABOUT 10%.

THE LIVING DENSITY FOR RENTAL HOUSING HAS 6 SQM PER PERSON TO 7.2 SQM PER PERSON PERIOD.

IMPROVED FROM OVER THE SAME

THE NUMBER OF INADEQUATELY HOUSED HAS DRAMATICALLY FROM 426,000 HOUSEHOLDS (OR 30% OF

NUMBER YEAR.

REDUCED

THE TOTAL OF HOUSEHOLDS) IN 1985 TO 219,000 (OR 13%) LAST

BETWEEN 1987/88 AND 1991/92, A TOTAL OF 199,500 PEOPLE OR 50,700 FAMILIES IN OLD PUBLIC HOUSING ESTATES WERE OFFERED BETTER HOUSING ACCOMMODATION UPON REDEVELOPMENT.

THE HOME OWNERSHIP RATE WITHIN THE PUBLIC SECTOR HAS INCREASED FROM 14% IN 1988 TO 20% NOW.

HOS/PSPS FLATS ARE VERY POPULAR AND PRICES ARE AFFORDABLE. OVER 90% OF THE FLATS ARE AFFORDABLE TO THOSE WITHIN AN INCOME RANGE OF $11,000 TO $20,000.

NEED FOR REVIEW

6.

GENERALLY AS REQUIRING MAY ALSO BE

ALTHOUGH THE CURRENT FINANCIAL ARRANGEMENTS HAVE WORKED WELL, A NUMBER OF AREAS HAVE BEEN CLARIFICATION IN THE LIGHT OF EXPERIENCE. NEEDED TO CATER FOR CHANGING SITUATIONS IN THE YEARS TO COME.

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IDENTIFIED VARIATIONS

THE SUBJECT AT ISSUE, AS SOME MEMBERS HAVE INDICATED THIS AFTERNOON, IS EXTREMELY COMPLEX. IT INVOLVES CONSIDERABLE SUMS OF PUBLIC MONEY, BOTH IN THE FORM OF CAPITAL INJECTIONS IN THE HOUSING AUTHORITY AS WELL AS PAYMENTS BACK TO THE GOVERNMENT. CASH AND CAPITALISED LOANS SO FAR PROVIDED TO THE AUTHORITY BY THE GOVERNMENT AMOUNT TO OVER $26 BILLION. IN ITS TURN, THE HOUSING AUTHORITY MAKES A NUMBER OF PAYMENTS TO THE GOVERNMENT, AMOUNTING ON AVERAGE TO ABOUT $3 BILLION PER YEAR. THERE IS THUS A NEED FOR BOTH SIDES TO PUT THEIR IDEAS TOGETHER IN REVIEWING THE CURRENT ARRANGEMENTS .

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IN