REPORT OF THE

PUBLIC ACCOUNTS COMMITTEE

ON

THE REPORTS OF THE DIRECTOR OF AUDIT

ON

THE ACCOUNTS OF THE GOVERNMENT OF

THE HONG KONG SPECIAL ADMINISTRATIVE REGION

FOR THE YEAR ENDED

31 MARCH 2011

AND THE RESULTS OF

VALUE FOR MONEY AUDITS (Report No. 57)



February 2012

P.A.C. Report No. 57

---

CONTENTS
				Paragraph	Page
Part 1	Introduction
	The Establishment of the Committee			1	1
	Membership of the Committee			2	1
Part 2	Procedure
	The Committee's Procedure			1	2 - 3
	Confidentiality undertaking by members of the Committee			2 - 3	3
	The Committee's Report			4 - 5	3
	The Government's Response			6	4
Part 3	Report of the Public Accounts Committee on Report No. 54 of the Director of Audit on the Results of Value for Money Audits [P.A.C. Report No. 54]
	Laying of the Report			1	5
	The Government Minute			2 - 4	5 - 6
Part 4	Report of the Public Accounts Committee on the Reports of the Director of Audit on the Accounts of the Government of the Hong Kong Special Administrative Region for the year ended 31 March 2010 and the Results of Value for Money Audits (Report No. 55) [P.A.C. Report No. 55]
	Laying of the Report			1	7
	The Government Minute			2 - 30	7 - 26
Part 5	Committee Proceedings
	Consideration of the Director of Audit's Report			1	27
	Meetings			2	27
	Arrangement of the Report			3 - 4	27
	Acknowledgements			5	27
Part 6	Observations of the Public Accounts Committee on the Report of the Director of Audit on the Accounts of the Government of the Hong Kong Special Administrative Region for the year ended 31 March 2011			1	28
Part 7	Chapter
	1.	Food labelling and nutrition labelling of infant and special dietary foods
		A.	Introduction	1 - 3	29
		B.	Nutrition labelling of infant and special dietary foods	4 - 35	29 - 39
		C.	Food labelling	36 - 80	39 - 57
		D.	Conclusions and recommendations	81	57 - 72
	2.	Records management work of the Government Records Service		1 - 22	73 - 80
	3.	Water losses from unauthorised consumption and inaccurate metering
		A.	Introduction	1 - 4	81 - 82
		B.	Enforcement action against unlawful water taking	5 - 27	82 - 89
		C.	Inspection of unauthorised water consumption	28 - 44	89 - 96
		D.	Management of water meter accuracy	45 - 53	96 - 99
		E.	Performance reporting	54 - 55	99 - 100
		F.	Conclusions and recommendations	56	100 - 108
SIGNATURES OF THE CHAIRMAN, DEPUTY CHAIRMAN AND MEMBERS OF THE COMMITTEE					109
CHAPTERS IN THE DIRECTOR OF AUDIT'S REPORT NO. 57 DEALT WITH IN THE PUBLIC ACCOUNTS COMMITTEE'S REPORT					110
Appendix relating to Part 1: "Introduction"
Appendix 1	Rules of Procedure of the Legislative Council of the Hong Kong Special Administrative Region				111 - 112
Appendix relating to Part 2: "Procedure"
Appendix 2	Paper presented to the Provisional Legislative Council by the Chairman of the Public Accounts Committee at the meeting on 11 February 1998 on Scope of Government Audit in the Hong Kong Special Administrative Region - 'Value for Money Audits'				113 - 115
Appendix relating to Part 3: "Report of the Public Accounts Committee on Report No. 54 of the Director of Audit on the Results of Value for Money Audits [P.A.C. Report No. 54]"
Appendix 3	Progress made in implementing improvement measures for the footbridges and subways identified by the Audit Commission				116 - 118
Appendices relating to Part 4: "Report of the Public Accounts Committee on the Reports of the Director of Audit on the Accounts of the Government of the Hong Kong Special Administrative Region for the year ended 31 March 2010 and the Results of Value for Money Audits (Report No. 55) [P.A.C. Report No. 55]"
Appendix 4	Location of the five commercial buildings and the five footbridges in the Central District				119
Appendix 5	Letter of 5 January 2012 from the Secretary for Development				120 - 121
Appendix 6	Latest position of the progress made by the Education Bureau on matters outstanding in the Government Minute laid before the Legislative Council in May 2011				122 - 133
Appendix 7	Latest progress in implementing Audit's recommendations on the Community Investment and Inclusion Fund				134 - 135
Appendices relating to Part 5: "Committee Proceedings"
Appendix 8	Witnesses who appeared before the Committee				136
Appendix 9	Introductory remarks by Chairman of the Public Accounts Committee, Dr Hon Philip WONG Yu-hong, GBS at the first public hearing of the Committee in respect of the Director of Audit's Report No. 57 on Thursday, 1 December 2011				137 - 138
Appendices relating to Chapter 1 of Part 7: "Food labelling and nutrition labelling of infant and special dietary foods "
Appendix 10	Opening statement made by the Secretary for Food and Health at the public hearing on 6 December 2011				139 - 143
Appendix 11	Opening statement made by the Director of Food and Environmental Hygiene at the public hearing on 6 December 2011				144
Appendix 12	Opening statement made by the Director of Audit at the public hearing on 6 December 2011				145 - 147
Appendix 13	Letter of 4 January 2012 from the Secretary for Food and Health				148 - 164
Appendix 14	Letter of 7 December 2011 from the Director of Food and Environmental Hygiene				165 - 170
Appendix relating to Chapter 2 of Part 7: "Records management work of the Government Records Service"
Appendix 15	Letter of 19 December 2011 from the Director of Administration				171 - 196
Appendices relating to Chapter 3 of Part 7: "Water losses from unauthorised consumption and inaccurate metering"
Appendix 16	Opening statement made by the Director of Water Supplies at the public hearing on 1 December 2011				197 - 199
Appendix 17	Letter of 19 December 2011 from the Director of Water Supplies				200 - 215
Appendix 18	Letter of 20 January 2012 from the Director of Water Supplies				216 - 217
Appendix 19	Letter of 20 December 2011 from the Director of Water Supplies				218 - 220
ACRONYMS AND ABBREVIATIONS					221 - 223