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of a covering paper with 4 annexes covering briefly the detail of the options identified: capitalisation, hypothecation, our own compensation/safeguards package: and doing nothing. The covering paper would then look at the political issues which arise in each case. I realise that we will not be able to finalise the hypothecation Annex before a meeting with Margolis; but perhaps a framework could be produced in time for the Governor's visit.
3. I hope that we could use that paper to begin to narrow down the options in preparation for Ministerial discussion. We have been discussing possible solutions to the HMOCS problems for some years now, and it is increasingly important that we end the uncertainty for HMOCS officers by drawing the subject to a conclusion.
4. I would welcome your comments on this proposed approach.
Young
You
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Andrew Burns
cc. Mr Kerby, ODA
Mr Fish, ODA, East Kilbride
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