ENG-1990 — Page 40

CONSTITUTION AND ADMINISTRATION

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value-for-money studies which have staffing implications and reports to the Finance Committee on changes in departmental establishments and on the size and cost of the Public Service.

The Public Works Sub-Committee consists of 24 members of the Legislative Council, the Financial Secretary (Chairman), the Secretary for Planning, Environment and Lands and the Secretary for Works. It examines the priority and reviews the progress of capital works projects in the Public Works Programme, and makes recommendations to the Finance Committee on the upgrading of projects to Category A of the programme which indicates their readiness for commencement, and on changes to the scope and approved estimates of projects already in that category.

Public Accounts Committee

The Public Accounts Committee, established by resolution of the Legislative Council in 1978, is a standing committee consisting of chairman and six members, none of whom is an official member of the council. Their main function is to examine and report on the findings of the Director of Audit's Reports on the audit of the government's annual statements of account prepared by the Director of Accounting Services, on any matters relating to the performance of the Director of Audit's duties and the exercise of his powers under the Audit Ordinance, and on any matters relating to value-for-money audits carried out by the Director of Audit. Value-for-money audits are carried out under a set of guidelines tabled in the Legislative Council by the chairman of the Public Accounts Committee in November 1986. These guidelines were agreed between the committee and the Director of Audit and have been accepted by the government.

The committee's prime concern is to see that public expenditure has not been incurred for purposes other than those for which the funds were granted, that full value has been obtained for the sums expended, and that the government has not been faulty or negligent in its conduct of financial affairs.

The Director of Audit submits two reports to the Governor as President of the Legislative Council during the course of the year: the first, tabled in April, relates to value-for-money audits; the second, tabled in November, relates to the audit of government's annual statements of account and also value-for-money audits. Following the tabling of the report, the committee holds public hearings and controlling officers for different heads of public expenditure give evidence. The committee's report based on these hearings is laid on the table of the Legislative Council within three months of the laying of the Director of Audit's report to which it relates. The government's response to the committee's reports is contained in the government minute, which describes the measures taken to give effect to the committee's recommendations or reasons why these recom- mendations cannot be accepted. The government minute is also laid on the table of the Legislative Council within three months of the laying of the Public Accounts Com- mittee's report.

Select Committees

The Legislative Council may appoint select committees to consider matters or bills in depth. The purpose is to enable small groups of members to examine complex problems, usually by the taking of evidence, and to report their findings and recommendations to the council. In the last three years, however, no select committee has been formed.