HONG KONG URBAN COUNCIL
83%), and this source does not keep pace with the increments in Personal Emoluments. Therefore, it would seem only fair for the Central Government to compensate the Council for the difference either by another grant of money or by augmenting our participation in the rates at the expense of the Central Government's share, without recourse to the rate-payer.
Council has not overlooked the fact, when discussing capital expenditure, that the Public Works Department has still to complete a long list of projects in categories A, D and E approved before 31st March, 1973 when the new Council took office. These projects are being paid for by the Central Government under the Administrative Arrangements entered into with the Council. Consequently, even though our own list may not be impressive, there are many projects varying in size and purpose which the Central Government has undertaken to build for the Council.
It is our firm purpose to continue expanding and improving the services we render the public. This development will be carried out progressively, not all at once, because it does not involve just the construction of buildings needed for our purpose but also the recruitment and training of staff to perform our functions properly. Orderly progress must be made all along the line, not haphazardly. The Council cannot stand still; rather, it must search for new ways to become more efficient and effective in its existing services, while expanding its scope as and when the opportunity offers.
There need be no fear at this time that the Council would be living beyond its means. On the contrary, the Council has in short time accumulated a handsome surplus expected to be more than $60 million by the time our fiscal year ends. This was not unexpected. Not only is it due to an increase in revenue but also savings in such directions as warranted; moreover, our capacity to spend certain allocations is dependent upon factors over which the Council has no control.
Council has taken the view that in the provision of services to the public, particularly where they are not statutory, there must be a distinction between community activities, which we want to support as much as possible, and the use of such services for the commercial advantage of private enterprise. In the latter case, the rate-payer should not be expected to give any subsidy at all. Indeed, Council is against hidden subsidies and, in fairness to the rate-payer, must take progressive measures to eliminate them without causing any undue disruption, for those who use public services for their monetary advantage should expect to pay for what such services cost, at the least. If this situation is brought about in time, then the Council would have more means to support such community endeavours as might be in the public interest for the Council to assist in developing.
Page 132 of 212
The Council has a strong role to play in the orderly development of Hong Kong. In new ways, Council is already making an impact, notably in cultural services and recreational programmes, but Council must always do its best in the performance of statutory functions such as providing efficient sanitary services to improve our environmental conditions, regulating the conditions for our restaurants and other food premises to operate, controlling the sale of food in markets and elsewhere, etc. Even though this trend will gather strength with the passage of time, yet I repeat Council must never forget its primary function to help safeguard public health and improve living conditions for all.
MR. HILTON CHEONG-LEEN, Vice-Chairman Urban Council (in English): Mr. Chairman, before I refer to the Estimates of Revenue and Expenditure for next year I should like to say something about the current year's budget.
The budget for 1973-74 was drawn up before the Council was reconstituted, although it was adopted by the new Council at a meeting on 10th April, and it covers the first year in which the Council has had a large measure of control over its own finances. The original estimate was that our revenue would be $266,971,200 and our expenditure $266,154,800 - an estimated surplus of $816,400. Revised estimates made recently indicate that the surplus will be more than $62.7 million because revenue has turned out more than was estimated and spending has fallen short.
We now expect to spend $14 million less than was estimated. Delay in delivery of motor vehicles accounts for no less than $8 million of this. Orders have been placed or are being placed for new vehicles which will not arrive until next year, so the money has to be included again in next year's budget.
Another form of delay is in construction. The Urban Amenities Block Vote, for example, looks like being underspent by $2.4 million and discussions are now taking place with the Public Works Department on this and other construction matters. We have to consider whether the Council should go outside the Public Works Department
=
194
HONG KONG URBAN COUNCIL
83%), and this source does not keep pace with the increments in Personal Emoluments. Therefore, it would seem only fair for the Central Government to compensate the Council for the difference either by another grant of money or by augmenting our participation in the rates at the expense of the Central Government's share, without recourse to the rate-payer.
Council has not overlooked the fact, when discussing capital expenditure, that the Public Works Department has still to complete a long list of projects in categories A, D and E approved before 31st March, 1973 when the new Council took office. These projects are being paid for by the Central Government under the Administrative Arrangements entered into with the Council. Consequently, even though our own list may not be impressive, there are many projects varying in size and purpose which the Central Government has under- taken to build for the Council.
It is our firm purpose to continue expanding and improving the services we render the public. This development will be carried out progressively, not all at once, because it does not involve just the construction of buildings needed for our purpose but also the recruit. ment and training of staff to perform our functions properly. Orderly progress must be made all along the line, not haphazardly. The Council cannot stand still; rather, it must search for new ways to become more efficient and effective in its existing services, while expanding its scope as and when the opportunity offers.
There need be no fear at this time that the Council would be living beyond its means. On the contrary, the Council has in short time accumulated a handsome surplus expected to be more than $60 million by the time our fiscal year ends. This was not unexpected. Not only is it due to an increase in revenue but also savings in such directions as warranted; moreover, our capacity to spend certain allocations is dependent upon factors over which the Council has no control.
Council has taken the view that in the provision of services to the public, particularly where they are not statutory, there must be a distinction between community activities, which we want to support as much as possible, and the use of such services for the commercial advantage of private enterprise. In the latter case, the rate-payer should not be expected to give any subsidy at all. Indeed, Council is against hidden subsidies and, in fairness to the rate-payer, must take progressive measures to eliminate them without causing any undue
HONG KONG URBAN COUNCIL
Page 132 of 212
195
disruption, for those who use public services for their monetary advantage should expect to pay for what such services cost, at the least. If this situation is brought about in time, then the Council would have more means to support such community endeavours as might be in the public interest for the Council to assist in developing.
The Council has a strong role to play in the orderly development of Hong Kong. In new ways, Council is already making an impact, notably in cultural services and recreational programmes, but Council must always do its best in the performance of statutory functions such as providing efficient sanitary services to improve our environmental conditions, regulating the conditions for our restaurants and other food premises to operate, controlling the sale of food in markets and elsewhere, etc. Even though this trend will gather strength with the passage of time, yet I repeat Council must never forget its primary function to help safeguard public health and improve living conditions for all.
MR. HILTON CHEONG-LEEN, Vice-Chairman Urban Council (in English): :-Mr. Chairman, before I refer to the Estimates of Revenue and Expenditure for next year I should like to say something about the current year's budget.
The budget for 1973-74 was drawn up before the Council was reconstituted, although it was adopted by the new Council at a meeting on 10th April, and it covers the first year in which the Council has had a large measure of control over its own finances. The original estimate was that our revenue would be $266,971,200 and our expenditure $266,154,800-an estimated surplus of $40,816,400. Re- vised estimates made recently indicate that the surplus will be more than $62.7 million because revenue has turned out more than was estimated and spending has fallen short.
We now expect to spend $14 million less than was estimated. Delay in delivery of motor vehicles accounts for no less than $8 million of this. Orders have been placed or are being placed for new vehicles which will not arrive until next year, so the money has to be included again in next year's budget.
Another form of delay is in construction. The Urban Amenities Block Vote, for example, looks like being underspent by $2.4 million and discussions are now taking place with the Public Works Depart- ment on this and other construction matters. We have to consider whether the Council should go outside the Public Works Department
No comments yet.
Private notes are available after approval.