ENG-1992 — Page 28

CONSTITUTION AND ADMINISTRATION

the Secretary for the Treasury are in attendance. It examines mainly the creation, redeployment and deletion of permanent and supernumerary posts remunerated from the directorate pay scales and changes to the structure of Civil Service ranks and grades (including pay scales, new grades and new ranks), and makes recommendations on them to the Finance Committee. It also reports to the Finance Committee on changes in departmental establishments and on the size and cost of the Civil Service.

The Public Works Sub-Committee consists of 32 members of the Legislative Council and the Financial Secretary (Chairman). The Secretary for Planning, Environment and Lands, the Secretary for Works, the heads of all works departments and the Environmental Protection Department and two representatives from the Finance Branch are in attendance at all meetings to provide technical advice. The sub-committee reviews the progress of capital works projects in the Public Works Programme, and makes recommendations to the Finance Committee in 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.

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Public Accounts Committee

The Public Accounts Committee, established by resolution of the Legislative Council in 1978, is a standing committee consisting of a chairman and six members, none of whom is - an ex-officio 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 the 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 recommendations 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 Committee's report.