TNAG-1447-FCO40-1931-Executive-Council-of-Hong-Kong-memoranda-and-minutes-of-meet-1986 — Page 22

For discussion

CONFIDENTIAL

on 14 January 1986

Introduction

XCC (86)8 Copy No

34....

MEMORANDUM FOR EXECUTIVE COUNCIL

HONG KONG ARTS CENTRE BILL 1986

The purpose of this memorandum is

memorandum is to seek Members' approval to the

the introduction into the Legislative Council of the Hong Kong Arts Centre Bill 1986

annexed. The Bill seeks to repeal and replace the Hong Kong Arts Centre Ordinance (Chapter 304) and to provide a more adequate legislative framework for the efficient management operations of the Hong Kong Arts Centre.

Background

2

and

The existing Hong Kong Arts

Arts Centre Ordinance was enacted in 1974. It provides for the establishment and the of the Hong Kong Arts Centre as an management structure

arts in independent corporate body for the promotion of the Hong Kong.

3

The Hong Kong Arts Centre building was built in 1977 on a site in the Wan Chai reclamation area. The land was granted by Government at nil premium under a private treaty grant. Construction of the building was funded by both private donations and a $16 million syndicated loan from a was guaranteed by Government. As

the Arts guarantee,

Centre building

of banks,

which

group security for the mortgaged to Government.

4

i

was

as

The management structure of the Arts Centre, provided for under the existing Ordinance, comprises a Board of Governors and an Executive Committee. Although both are responsible for the smooth functioning of the Centre, there is no clear-cut distinction between the roles of the two bodies. This has led to administrative confusion and deadlock in the past. For example, under section 8(1) of the present Ordinance, the Board is responsible for keeping the activities of the Committee under review with the object of ensuring that the Centre remains financially viable. Unfortunately, this stipulation effectively isolates the Board from the management staff of the Arts Centre, with the Committee being the intermediary. Furthermore, difficulties have arisen in the past due to the Board and Committee's divergent interpretations of the term "financial viability"

HRROUQ

CONFIDENTIAL

JISTRY

1 7 JAN 1986

79

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