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Annual Report on Capital Works Reserve Fund Block Allocations for the 2006-07 Financial Year

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Annual Report on Capital Works Reserve Fund Block Allocations for the 2006-07 Financial Year For information PWSCI(2007-08)13 NOTE FOR PUBLIC WORKS SUBCOMMITTEE OF FINANCE COMMITTEE Annual Report on Capital Works Reserve Fund Block Allocations for the 2006-07 Financial Year We have been compiling exception reports on block allocations under the Capital Works Reserve Fund (CWRF) to account for the difference between the actual programme and the indicative one which we presented to Members for approving the funding allocation. This report covers the 2006-07 financial year. Enclosures 1 to 11 provide details on each block allocation under the 11 CWRF Heads of Expenditure and include – (a) a comparison of the approved provision and actual expenditure in 2006-07 and the reasons for those items with variations greater than 15%; (b) a list of minor works projects which were implemented in 2006-07 as planned, including those which had had the works contracts awarded but had not started incurring spending (as compared with the indicative list in PWSC(2005-06)33), and those which were shelved or withdrawn; and (c) a list of new injection items (i.e. items not shown in the indicative list in PWSC(2005-06)33) approved in 2006-07. 2. In overall terms, the approved allocation for CWRF block allocations in 2006-07 totalled $7,952 million. The actual expenditure was $6,044 million. ------------------------- Financial Services and the Treasury Bureau October 2007 PWSCI(2007-08)13 Index of Enclosures and Annexes Head/Subhead Reference Page Head 701 - Land Acquisition ......................... Enclosure 1 1 Subhead 1004CA Annex 1A 2 - 4 Subhead 1100CA Annex 1B 5 - 9 Head 702 - Port and Airport Development ... Enclosure 2 10 Head 703 - Buildings ....................................... Enclosure 3 11 Subhead 3004GX Annex 3A 12 - 16 Subhead 3100GX Annex 3B 17 - 20 Subhead 3101GX Annex 3C 21 - 25 Head 704 - Drainage ....................................... Enclosure 4 26 Subhead 4100DX Annex 4A 27 - 31 Head 705 - Civil Engineering ......................... Enclosure 5 32 Subhead 5001BX Annex 5A 33 - 36 Subhead 5101CX Annex 5B 37 - 41 Subhead 5101DX Annex 5C 42 - 44 Head 706 - Highways ...................................... Enclosure 6 45 Subhead 6100TX Annex 6A 46 - 50 Head 707 - New Towns and Urban Area Development ................................. Enclosure 7 51 Subhead 7014CX Annex 7A 52 - 55 Subhead 7015CX Annex 7B 56 - 59 Subhead 7100CX Annex 7C 60 - 62 Head 708 - Capital Subventions and Major Systems and Equipment .............. Enclosure 8 63 Subhead 8100BX Annex 8A 64 - 65 Subhead 8100EX Annex 8B 66 - 69 Subhead 8100MX Annex 8C 70 - 74 Subhead 8100QX Annex 8D 75 - 78 Subhead 8001SX Annex 8E 79 - 82 Head 709 - Waterworks .................................. Enclosure 9 83 Subhead 9100WX Annex 9A 84 - 88 Head 710 - Computerisation .......................... Enclosure 10 89 Subhead A007GX Annex 10A 90 - 94 Head 711 - Housing ......................................... Enclosure 11 95 Subhead B100HX Annex 11A 96 - 98 Enclosure 1 to PWSCI(2007-08)13 2006-07 Actual Expenditure for the Block Allocations under Head 701 - Land Acquisition There are two block allocations under Head 701, namely, Subheads 1004CA and 1100CA. The actual expenditure was $226.5 million, 87.5% below the approved allocation of $1,816.7 million. 2. For Subhead 1004CA, the underspending was mainly due to land title problems of a number of claimants and therefore the compensation payments to them have been held up. 3. For Subhead 1100CA, the underspending was mainly due to failure to reach agreement on the compensation claims in relation to the Penny’s Bay Reclamation Project and slippage of a number of projects. 4. Details on the key expenditure items for each of the above subheads ⎯⎯⎯ are set out at Annexes 1A and 1B respectively. Page 1 Annex 1A to PWSCI(2007-08)13 Capital Works Reserve Fund Head 701 Subhead 1004CA Compensation for surrenders and resumptions : miscellaneous Ambit : Payment of compensation (including ex-gratia allowances) for the acquisition, surrender and clearance of all land and property reverting to the Government, including the costs of resuming and clearing sites in connection with the implementation of statutory outline zoning plans; for projects to be undertaken by non-government or quasi-government bodies, including the Hong Kong Housing Society and the Hong Kong Housing Authority; and for projects undertaken under the Foreshore and Sea-bed (Reclamations) Ordinance and not covered by any other funding arrangements. Actual Percentage change as Controlling Allocation Expenditure compared with the Officer 2006-07 2006-07 2006-07 allocation $’000 $’000 Director of Lands 22,371 1,272 – 94.3% Part I : On-going key items as set out in PWSC(2005-06)33 Actual Project expenditure Project description estimate 2006-07 $’000 $’000 1. Resumption of Inverness Road Squatter Area, 101,053 (2,617)# Kowloon City 2. Termination of Block Crown Lease (Cheung Chau) 26,000 — 3. Resumption of Stonecutters Island Lot No. 1 for 23,565 — defence purposes 4. Hong Kong Housing Society's Urban Improvement 990,653 (63)* Scheme at Ma Tau Kok Road, Pak Tai Street, Pau Chung Street, San Shan Road, Sui Lun Street and Wang Cheung Street 5. Resumption of Tung Chung Area 30, public housing 573,000 — development, Tung Chung New Town Development, Lantau ——————————————————————————————————— # This refund of compensation payment arose from uncollected cheques issued in 2005-06. * This refund arose from return of unused compensation money held by the Hong Kong Housing Society for this item. Page 2 Annex 1A to PWSCI(2007-08)13 Head 701 Subhead 1004CA - Continued Actual Project expenditure Project description estimate 2006-07 $’000 $’000 6. Redevelopment of the squatter area at Diamond Hill for 93,800 — public housing development and schools 7. Resumption of land for Home Ownership Scheme 7,710 — development at Siu Lek Yuen, Sha Tin New Town Area 36C 8. Resumption of land for phase 2B of the Tung Chung 510,000 — New Town Development Area 31, Lantau 9. Lands Resumption Ordinance (Chapter 124) under 900 — Gazette Notice 258 dated 20.2.1957 Sub-total of Part I : (2,680) Part II : New items which were implemented in 2006-07 as planned Nil Part III : New items which were shelved or withdrawn in 2006-07 Nil Page 3 Annex 1A to PWSCI(2007-08)13 Head 701 Subhead 1004CA - Continued Part IV : Injection items approved in 2006-07 Actual Project expenditure Project description estimate 2006-07 $’000 $’000 1. Resumption of land at San Kwai Tin to facilitate the 25,175 4,091 boundaries of administration 2. Resumption of land for the expansion of Pok Oi 2,310 117 Hospital, phase 2, Yuen Long, New Territories 3. Resumption of land for roads providing access to the 10,108 (256)# developments on Ma Wan Island Sub-total of Part IV : 3,952 Total for Subhead 1004CA : 1,272 ——————————————————————————————————— # This refund of compensation payment arose from change in project scope and therefore a reduction in the amount land cleared. Page 4 Annex 1B to PWSCI(2007-08)13 Capital Works Reserve Fund Head 701 Subhead 1100CA Compensation and ex-gratia allowances in respect of projects in the Public Works Programme Ambit : All land acquisition costs, other than direct works costs, and all ex-gratia allowances in respect of projects in the Public Works Programme. Actual Percentage change as Controlling Allocation Expenditure compared with the Officer 2006-07 2006-07 2006-07 allocation $’000 $’000 Director of Lands 1,794,352 225,239 – 87.4% Part I : On-going key items as set out in PWSC(2005-06)33 Actual Project expenditure Project description estimate 2006-07 $’000 $’000 1. Penny’s Bay Reclamation 1,061,000 — 2. KCRC East Rail Extension - essential public 156,000 1,364 infrastructure works for Hung Hom to Tsim Sha Tsui Extension 3. Castle Peak Road improvement between Area 2 and 73,181 15,215 Sham Tseng, Tsuen Wan 4. Yuen Long South Eastern Extension - proposed road 231,912 4,617 works in Area 14 5. Construction of roads and drains to serve the housing 62,859 — development in Area 56, Tuen Mun 6. Drainage improvement in Tuen Mun and Sham Tseng 65,311 — (package B) 7. Construction of access road at Tsiu Keng, Sheung Shui 30,402 13,377 8. Yuen Long bypass floodway, Yuen Long 142,691 1,442 9. Remaining engineering infrastructure works for Pak 46,000 2,796 Shek Kok development, work package 2, phase 2B - construction of Roads L3, L4 (part), L5 (part), L7 and Yau King Lane extension at Pak Shek Kok Page 5 Annex 1B to PWSCI(2007-08)13 Head 701 Subhead 1100CA - Continued Actual Project expenditure Project description estimate 2006-07 $’000 $’000 10. Yuen Long bypass floodway ancillary road works 127,318 671 11. About 90 other items 39,871 Sub-total of Part I : 79,353 Part II : New items which were implemented in 2006-07 as planned Actual Project expenditure Project description estimate 2006-07 $’000 $’000 1. Drainage improvement in Northern New Territories - 59,256 995 package A, stage 2 - road works ancillary to drainage improvement works in Kau Lung Hang, Yuen Leng, Nam Wah Po and Tai Hang Areas 2. Resumption of land for Yuen Long, Kam Tin, Ngau 45,495 — Tam Mei and Tin Shui Wai drainage improvement, stage 1, phase 2B - Kam Tin (works package C) - drainage improvement works to Cheung Chun San Tsuen and Kam Tsin Wai 3. Drainage improvement in Northern New Territories - 38,544 1,212 package A, stage 2 - drainage improvement works in Kau Lung Hang, Yuen Leng, Nam Wah Po and Tai Hang areas 4. Resumption of land for drainage improvement in 31,754 11,120 Northern New Territories, package B - drainage improvement works in Kwu Tung South, Sheung Shui, New Territories 5. Resumption of land for drainage improvement in 24,667 9,466 Northern New Territories package A - Ping Kong drainage improvement works - drainage channel works, Ping Kong, Sheung Shui, New Territories Page 6 Annex 1B to PWSCI(2007-08)13 Head 701 Subhead 1100CA - Continued Actual Project expenditure Project description estimate 2006-07 $’000 $’000 6.
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