TNAG-0316-FCO40-352-Reform-of-local-government-of-Hong-Kong-1971 — Page 19

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

● AUTHORITY to raise loans on the open market to build, for example, more swim- ming pools.

POWER, even, to set its own general rate on property provided the Government ap- proves beforehand.

The present rate is 17 per cent, and the Government collects all the money.

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From April 1, 1973, the Government will give the Council about 5 per cent of this 17 per cent totalling about $100 million – for its budget.

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BUT this does not mean the Council wili have $100 million to "splash" on a series of swimming pools and other big civic projects.

Most of the money will go on wages for the present staff of the Urban Services Depart- ment, and the services they now provide.

April 1, 1973, is the soonest the Govern- ment can put the new arrangement into opera- tion, but the changes in the Council will take place as soon as the proposals in the White Paper become law.

Chinese Publications Ltd., 1317, Central Building.

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