REPORT OF THE

PUBLIC ACCOUNTS COMMITTEE

ON

REPORT NO. 68 OF THE DIRECTOR OF AUDIT

ON

THE RESULTS OF

VALUE FOR MONEY AUDITS



July 2017

P.A.C. Report No. 68





CONTENTS


Paragraph

Page

Part 1Introduction

The Establishment of the Committee

1

1

Membership of the Committee

2

1

Part 2Procedure

The Committee's Procedure

1

2 - 3

Confidentiality undertaking by members of the Committee

2 - 3

3

The Committee's Report

4

3

The Government's Response

5

4

Part 3Committee Proceedings

Consideration of the Director of Audit's Report

1

4

Meetings

2

4

Arrangement of the Report

3 - 4

4

Acknowledgements

5

4

Part 4Chapter

1.Government's support and monitoring of charities

1

5

2.Monitoring of charitable fund-raising activities

A.Introduction

1 - 12

6 - 13

B.Government's efforts to promote transparency and accountability of charitable fund-raising activities

13 - 23

13 - 17

C.Administration of public subscription permits for charitable fund-raising activities

24 - 41

18 - 25

D.Administration of lottery licences for charitable fund-raising activities

42 - 47

25 - 27

E.Administration of temporary hawker licences for fund-raising activities involving on-street selling

48 - 60

27 - 32

F.Way forward

61 - 70

32 - 39

G.Conclusions and recommendations

71 - 73

39 - 51

3.Management of squatter and licensed structures

1 - 6

52 - 56

4.Provision of district council funds for community involvement projects

1

57

5.Kai Tak Cruise Terminal

1 - 5

58 - 60

6.Management of projects financed by the Lotteries Fund

1 - 5

61 - 63

7.Provision of dental services

1 - 6

64 - 66

8.The Language Fund

1 - 6

67 - 71

SIGNATURES OF THE CHAIRMAN, DEPUTY CHAIRMAN AND MEMBERS OF THE COMMITTEE

 
72

CHAPTERS IN THE DIRECTOR OF AUDIT'S REPORT NO. 68 DEALT WITH IN THE PUBLIC ACCOUNTS COMMITTEE'S REPORT

 
73

Appendix relating to Part 1: "Introduction"

Appendix 1Rules of Procedure of the Legislative Council of the Hong Kong Special Administrative Region

 
74 - 75

Appendix relating to Part 2: "Procedure"

Appendix 2Paper 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'

 
76 - 78

Appendix relating to Part 3: "Committee Proceedings"

Appendix 3Witnesses who appeared before the Committee

 
79

Appendices relating to Chapter 2 of Part 4: "Monitoring of charitable fund-raising activities"

Appendix 4Speech made by Director of Audit at the public hearing on 16 May 2017

 
80 - 82

Appendix 5Opening statement made by Secretary for Home Affairs at the public hearing on 16 May 2017

 
83 - 84

Appendix 6Opening statement made by Director of Social Welfare at the public hearing on 16 May 2017

 
85 - 86

Appendix 7Opening statement made by Director of Home Affairs at the public hearing on 16 May 2017

 
87 - 88

Appendix 8Letter dated 26 May 2017 from Director of Social Welfare

 
89 - 131

Appendix 9Letter dated 25 May 2017 from Director of Home Affairs

 
132 - 134

Appendix 10Letter dated 26 May 2017 from Director of Food and Environmental Hygiene

 
135 - 138

Appendix 11Letter dated 16 June 2017 from Director of Social Welfare

 
139 - 142

Appendix 12Letter dated 16 June 2017 from Director of Home Affairs

 
143 - 186

Appendix 13Letter dated 16 June 2017 from Director of Food and Environmental Hygiene

 
187 - 200

Appendix 14Letter dated 16 June 2017 from Secretary for Home Affairs

 
201 - 209

Appendix 15Letter dated 26 May 2017 from Secretary for Home Affairs

 
210 - 225

Appendix 16Letter dated 26 May 2017 from Director of Lands

 
226 - 227

Appendices relating to Chapter 3 of Part 4: "Management of squatter and licensed structures"

Appendix 17Letter dated 2 June 2017 from Director of Lands

 
228 - 247

Appendix 18Letter dated 26 May 2017 from Commissioner of Rating and Valuation

 
248 - 252

Appendix 19Letter dated 29 May 2017 from Director of Civil Engineering and Development

 
253 - 255

Appendix 20Letter dated 1 June 2017 from Director of Buildings

 
256 - 260

Appendix relating to Chapter 5 of Part 4: "Kai Tak Cruise Terminal"

Appendix 21Consolidated reply dated 1 June 2017 from Secretary for Commerce and Economic Development and Commissioner for Tourism

 
261 - 293

Appendices relating to Chapter 6 of Part 4: "Management of projects financed by the Lotteries Fund"

Appendix 22Letter dated 29 May 2017 from Secretary for Labour and Welfare

 
294 - 296

Appendix 23Letter dated 26 May 2017 from Director of Social Welfare

 
297 - 314

Appendix 24Letter dated 26 May 2017 from Director of Architectural Services

 
315 - 316

Appendix 25Letter dated 5 June 2017 from Director of Housing

 
317 - 319

Appendix relating to Chapter 7 of Part 4: "Provision of dental services"

Appendix 26Consolidated reply dated 26 May 2017 from Secretary for Food and Health and Director of Health

 
320 - 332

Appendix relating to Chapter 8 of Part 4: "The Language Fund"

Appendix 27Letter dated 2 June 2017 from Secretary for Education

 
333 - 353

ACRONYMS AND ABBREVIATIONS

 
354 - 355