TNAG-0658-FCO40-807-Policy-of-Government-of-Hong-Kong-on-education-1977 — Page 161

XCC(77)19

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with any educational institution for the use of its accommodation, person- nel, facilities and services. This provision is necessary in order that the Authority may have the use of school halls etc for examination pur- poses. The Director of Education is authorised to approve the scale of charges for making available such facilities and to determine whether their use by the Authority is necessary. By sub-section (2)(h), the Authority is empowered to make use of personnel, facilities and services of any department of the Government, subject to the Chief Secretary's authorisation. The Authority will require to use such facilities and services, principally of the Data Processing Division of the Government Secretariat, the Government Printer and the Government schools. The Financial Secretary is empowered by clause 13 to determine an annual fee to cover the costs of any service provided by the Government to the Authority.

Financial controls and fees

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Clause 11 reflects the proposal that the financial policy of the Authority shall be directed to ensuring that its expenditure shall not exceed its revenue. In view of this policy and the powers given to the Authority by clause 7(2)(b) to fix the fees to be paid by candidates, subject to approval by the Governor, it is considered necessary in the public interest that the Government should maintain proper budgetary controls over both the Authority's level of expenditure and over the fees for the specified examinations. The public interest should be protected by a check being made that the fees that the Authority proposes to levy are justified and acceptable politically, and as fee levels will partly be consequential upon the level of the Authority's expenditure it is appropriate that the Authority's proposed expenditure, estimated income and proposed level of fees for a coming financial year should be approved by the Government as part of a common budgetary process. This measure of control is pro- vided for by clause 10. It is not intended that approval should be given for any fee increases outside the context of this annual budget exercise, and any unforeseen expenditure incurred by the Authority (such as a pay increase in line with the Civil Service) will be expected to be met by borrowing under the provisions of clause 7(2)(1) and, if necessary, clause 7(3).

Relations with the Government

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It was recommended in paragraph 20(a) of XCC(75)42 that the legislation should contain provision for the Governor to give directions in the public interest which must be carried out by the Authority. Such a provision has been now made in clause 14 of the bill, although, at the request of the Board of Education and the University of Hong Kong, the powers have been confined to the giving of directions of a general nature.

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