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Note for Public Works Subcommittee of Finance Committee

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Note for Public Works Subcommittee of Finance Committee For information PWSCI(2008-09)12 NOTE FOR PUBLIC WORKS SUBCOMMITTEE OF FINANCE COMMITTEE Annual Report on Capital Works Reserve Fund Block Allocations for the 2007-08 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 2007-08 financial year. Encls. 1 to 11 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 2007-08 and the reasons for those items with variations greater than 15%; (b) a list of minor works projects which were implemented in 2007-08 as planned, including those which had had the works contracts awarded but had not started incurring spending, and those which were shelved or withdrawn (as compared with the indicative list in PWSC(2006-07)48); and (c) a list of new injection items (i.e. items not shown in the indicative list in PWSC(2006-07)48) approved in 2007-08. 2. In overall terms, the approved allocation for CWRF block allocations in 2007-08 totalled $8,534 million. The actual expenditure was $6,634.1 million. ------------------------- Financial Services and the Treasury Bureau November 2008 PWSCI(2008-09)12 Index of Enclosures and Annexes Head/Subhead Reference Page Head 701 - Land Acquisition ......................... Enclosure 1 1 Subhead 1004CA Annex 1A 2 - 3 Subhead 1100CA Annex 1B 4 - 8 Head 702 - Port and Airport Development ... Enclosure 2 9 Head 703 - Buildings ....................................... Enclosure 3 10 Subhead 3004GX Annex 3A 11 - 15 Subhead 3100GX Annex 3B 16 - 18 Subhead 3101GX Annex 3C 19 - 22 Head 704 - Drainage ....................................... Enclosure 4 23 Subhead 4100DX Annex 4A 24 - 28 Head 705 - Civil Engineering ......................... Enclosure 5 29 Subhead 5001BX Annex 5A 30 - 33 Subhead 5101CX Annex 5B 34 - 38 Subhead 5101DX Annex 5C 39 - 41 Head 706 - Highways ...................................... Enclosure 6 42 Subhead 6100TX Annex 6A 43 - 47 Head 707 - New Towns and Urban Area Development ................................. Enclosure 7 48 Subhead 7014CX Annex 7A 49 - 52 Subhead 7015CX Annex 7B 53 - 56 Subhead 7016CX Annex 7C 57 - 58 Subhead 7100CX Annex 7D 59 - 61 Head 708 - Capital Subventions and Major Systems and Equipment .............. Enclosure 8 62 Subhead 8100BX Annex 8A 63 - 65 Subhead 8100EX Annex 8B 66 - 69 Subhead 8100MX Annex 8C 70 - 74 Subhead 8100QX Annex 8D 75 - 77 Subhead 8001SX Annex 8E 78 - 79 Head 709 - Waterworks .................................. Enclosure 9 80 Subhead 9100WX Annex 9A 81 - 85 Head 710 - Computerisation .......................... Enclosure 10 86 Subhead A007GX Annex 10A 87 - 91 Head 711 - Housing ......................................... Enclosure 11 92 Subhead B100HX Annex 11A 93 - 94 Enclosure 1 to PWSCI(2008-09)12 2007-08 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 $372 million, 80.3% below the approved allocation of $1,889 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(2008-09)12 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 2007-08 2007-08 2007-08 allocation $’000 $’000 Director of Lands 21,510 8 – 99.96% Part I : On-going key items as set out in PWSC(2006-07)48 Actual Project expenditure Project description estimate 2007-08 $’000 $’000 1. Resumption of Inverness Road squatter area, Kowloon City 101,053 — 2. Resumption of Stonecutters Island Lot No.1 for defence 23,565 — purposes 3. Hong Kong Housing Society's Urban Improvement Scheme 990,653 — at Ma Tau Kok Road, Pak Tai Street, Pau Chung Street, San Shan Road, Sui Lun Street and Wang Cheung Street 4. Redevelopment of the squatter area at Diamond Hill for 93,800 — public housing development and schools 5. Resumption of Tung Chung Area 30, public housing 573,000 — development, Tung Chung New Town Development, Lantau 6. Resumption of land for Home Ownership Scheme 7,710 — development at Siu Lek Yuen, Sha Tin New Town Area 36C 7. Resumption of land for phase 2B of the Tung Chung New 510,000 — Town Development Area 31, Lantau Page 2 Annex 1A to PWSCI(2008-09)12 Head 701 Subhead 1004CA - Continued Actual Project expenditure Project description estimate 2007-08 $’000 $’000 8. Lands Resumption Ordinance (Chapter 124) under Gazette 900 — Notice 258 dated 20.2.1957 Sub-total of Part I : — Part II : New items which were implemented in 2007-08 as planned Nil Part III : New items which were shelved or withdrawn in 2007-08 Nil Part IV : Injection items approved in 2007-08 Actual Project expenditure Project description estimate 2007-08 $’000 $’000 1. Ex-gratia allowance payments for fishermen claims arising 47,000 8 from various marine projects undertaken before 2000 Sub-total of Part IV : 8 Total for Subhead 1004CA : 8 Page 3 Annex 1B to PWSCI(2008-09)12 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 2007-08 2007-08 2007-08 allocation $’000 $’000 Director of Lands 1,867,490 371,970 – 80.1% Part I : On-going key items as set out in PWSC(2006-07)48 Actual Project expenditure Project description estimate 2007-08 $’000 $’000 1. Penny's Bay Reclamation 1,061,000 — 2. Castle Peak Road improvement between Sham Tseng and 73,173 — Ka Loon Tsuen, Tsuen Wan 3. Drainage improvement in Tuen Mun and Sham Tseng 65,215 50,674 (package B) – drainage improvement in So Kwun Wat 4. Engineering infrastructure works for Pak Shek Kok 47,828 1,431 development, stage 2B – improvement and extension of Yau King Lane 5. MTR East Rail Extension – essential public infrastructure 120,000 566 works for Hung Hom to Tsim Sha Tsui Extension 6. Resumption of land for Yuen Long, Kam Tin, Ngau Tam 49,988 14,067 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 7. Drainage improvement in Northern New Territories – 60,275 24,957 package A – road works ancillary to the proposed drainage improvement works in Kau Lung Hang, Yuen Leng, Nam Wah Po and Tai Hang areas 8. Construction of roads and drains to serve the housing 62,859 — development in Area 56, Tuen Mun Page 4 Annex 1B to PWSCI(2008-09)12 Head 701 Subhead 1100CA - Continued Actual Project expenditure Project description estimate 2007-08 $’000 $’000 9. Drainage improvement in Northern New Territories – 41,230 21,059 package A – the proposed drainage improvement works in Kau Lung Hang, Yuen Leng, Nam Wa Po and Tai Hang areas 10. Yuen Long South Eastern extension – proposed road works 231,912 1,029 in Area 14 11. About 100 other items 136,281 Sub-total of Part I : 250,064 Part II : New items which were implemented in 2007-08 as planned Actual Project expenditure Project description estimate 2007-08 $’000 $’000 1. Resumption of land for Tai Po development – formation and 127,375 — servicing of Areas 12 (part) and 39 phase 2A 2. Drainage improvement in the Northern New Territories – 87,250 6 package C (phase 2) – drainage improvement works at Tai Po Tin and Ping Che of Ta Kwu Ling and Man Uk Pin and Lin Ma Hang of Sha Tau Kok 3. Resumption of land for drainage improvement in Northern 83,143 33,135 New Territories package C (phase 1) – drainage improvement works at Lung Yeuk Tau, Kwan Tei, Tan Shan River and Leng Tsai, Fanling 4. Drainage improvement in Southern Lantau 53,000 33,419 5. Drainage improvement in Tai Po – road works ancillary to 45,000 3,701 the proposed river improvement works in Upper Lam Tsuen River, She Shan River and Upper Tai Po River 6. Drainage improvement in Tai Po package C – the proposed 43,937 2,922 improvement works in Upper Lam Tsuen River, She Shan River and Upper Tai Po River Page 5 Annex 1B to PWSCI(2008-09)12 Head 701 Subhead 1100CA - Continued Actual Project expenditure Project description estimate 2007-08 $’000 $’000 7. Resumption of land for Yuen Long, Kam Tin, Ngau Tam 39,100 — Mei and Tin Shui Wai drainage improvement, stage 1 phase 2B – Kam Tin (works package D) – drainage improvement works to Cheung Po, Ma On Kong and Yuen Kong San Tsuen in Pat Heung, Yuen Long 8.
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