LEGISLATIVE COUNCIL ─ 18 May 2011 10383 OFFICIAL RECORD OF PROCEEDINGS Wednesday, 18 May 2011 The Council met at Eleven o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE JASPER TSANG YOK-SING, G.B.S., J.P. THE HONOURABLE ALBERT HO CHUN-YAN IR DR THE HONOURABLE RAYMOND HO CHUNG-TAI, S.B.S., S.B.ST.J., J.P. THE HONOURABLE LEE CHEUK-YAN THE HONOURABLE FRED LI WAH-MING, S.B.S., J.P. DR THE HONOURABLE MARGARET NG THE HONOURABLE JAMES TO KUN-SUN THE HONOURABLE CHEUNG MAN-KWONG THE HONOURABLE CHAN KAM-LAM, S.B.S., J.P. THE HONOURABLE MRS SOPHIE LEUNG LAU YAU-FUN, G.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG DR THE HONOURABLE PHILIP WONG YU-HONG, G.B.S. THE HONOURABLE WONG YUNG-KAN, S.B.S., J.P. THE HONOURABLE LAU KONG-WAH, J.P. 10384 LEGISLATIVE COUNCIL ─ 18 May 2011 THE HONOURABLE LAU WONG-FAT, G.B.M., G.B.S., J.P. THE HONOURABLE MIRIAM LAU KIN-YEE, G.B.S., J.P. THE HONOURABLE EMILY LAU WAI-HING, J.P. THE HONOURABLE ANDREW CHENG KAR-FOO THE HONOURABLE TAM YIU-CHUNG, G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, S.B.S., J.P. THE HONOURABLE LI FUNG-YING, S.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, S.B.S., J.P. THE HONOURABLE FREDERICK FUNG KIN-KEE, S.B.S., J.P. THE HONOURABLE AUDREY EU YUET-MEE, S.C., J.P. THE HONOURABLE VINCENT FANG KANG, S.B.S., J.P. THE HONOURABLE WONG KWOK-HING, M.H. THE HONOURABLE LEE WING-TAT DR THE HONOURABLE JOSEPH LEE KOK-LONG, S.B.S., J.P. THE HONOURABLE JEFFREY LAM KIN-FUNG, S.B.S., J.P. THE HONOURABLE ANDREW LEUNG KWAN-YUEN, G.B.S., J.P. THE HONOURABLE CHEUNG HOK-MING, G.B.S., J.P. THE HONOURABLE WONG TING-KWONG, B.B.S., J.P. THE HONOURABLE RONNY TONG KA-WAH, S.C. THE HONOURABLE CHIM PUI-CHUNG LEGISLATIVE COUNCIL ─ 18 May 2011 10385 PROF THE HONOURABLE PATRICK LAU SAU-SHING, S.B.S., J.P. THE HONOURABLE KAM NAI-WAI, M.H. THE HONOURABLE CYD HO SAU-LAN THE HONOURABLE STARRY LEE WAI-KING, J.P. DR THE HONOURABLE LAM TAI-FAI, B.B.S., J.P. THE HONOURABLE CHAN HAK-KAN THE HONOURABLE PAUL CHAN MO-PO, M.H., J.P. THE HONOURABLE CHAN KIN-POR, J.P. DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN DR THE HONOURABLE LEUNG KA-LAU THE HONOURABLE CHEUNG KWOK-CHE THE HONOURABLE WONG SING-CHI THE HONOURABLE WONG KWOK-KIN, B.B.S. THE HONOURABLE IP WAI-MING, M.H. THE HONOURABLE IP KWOK-HIM, G.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.S., J.P. DR THE HONOURABLE PAN PEY-CHYOU THE HONOURABLE PAUL TSE WAI-CHUN DR THE HONOURABLE SAMSON TAM WAI-HO, J.P. THE HONOURABLE ALAN LEONG KAH-KIT, S.C. 10386 LEGISLATIVE COUNCIL ─ 18 May 2011 THE HONOURABLE LEUNG KWOK-HUNG THE HONOURABLE TANYA CHAN THE HONOURABLE ALBERT CHAN WAI-YIP THE HONOURABLE WONG YUK-MAN MEMBERS ABSENT: DR THE HONOURABLE DAVID LI KWOK-PO, G.B.M., G.B.S., J.P. THE HONOURABLE TIMOTHY FOK TSUN-TING, G.B.S., J.P. PUBLIC OFFICERS ATTENDING: THE HONOURABLE HENRY TANG YING-YEN, G.B.M., G.B.S., J.P. THE CHIEF SECRETARY FOR ADMINISTRATION THE HONOURABLE JOHN TSANG CHUN-WAH, G.B.M., J.P. THE FINANCIAL SECRETARY THE HONOURABLE STEPHEN LAM SUI-LUNG, G.B.S., J.P. SECRETARY FOR CONSTITUTIONAL AND MAINLAND AFFAIRS DR THE HONOURABLE YORK CHOW YAT-NGOK, G.B.S., J.P. SECRETARY FOR FOOD AND HEALTH THE HONOURABLE MATTHEW CHEUNG KIN-CHUNG, G.B.S., J.P. SECRETARY FOR LABOUR AND WELFARE THE HONOURABLE MRS CARRIE LAM CHENG YUET-NGOR, G.B.S., J.P. SECRETARY FOR DEVELOPMENT THE HONOURABLE EDWARD YAU TANG-WAH, J.P. SECRETARY FOR THE ENVIRONMENT LEGISLATIVE COUNCIL ─ 18 May 2011 10387 THE HONOURABLE EVA CHENG, J.P. SECRETARY FOR TRANSPORT AND HOUSING PROF GABRIEL MATTHEW LEUNG, J.P. UNDER SECRETARY FOR FOOD AND HEALTH CLERKS IN ATTENDANCE: MS PAULINE NG MAN-WAH, SECRETARY GENERAL MRS CONSTANCE LI TSOI YEUK-LIN, ASSISTANT SECRETARY GENERAL MISS ODELIA LEUNG HING-YEE, ASSISTANT SECRETARY GENERAL MRS PERCY MA, ASSISTANT SECRETARY GENERAL 10388 LEGISLATIVE COUNCIL ─ 18 May 2011 TABLING OF PAPERS The following papers were laid on the table under Rule 21(2) of the Rules of Procedure: Subsidiary Legislation/Instruments L.N. No. Inland Revenue (Double Taxation Relief and Prevention of Fiscal Evasion with respect to Taxes on Income) (Japan) Order.......................................................... 64/2011 Inland Revenue (Double Taxation Relief and Prevention of Fiscal Evasion with respect to Taxes on Income and Capital) (French Republic) Order .......................... 65/2011 Inland Revenue (Double Taxation Relief and Prevention of Fiscal Evasion with respect to Taxes on Income and Capital) (Principality of Liechtenstein) Order....... 66/2011 Inland Revenue (Double Taxation Relief and Prevention of Fiscal Evasion with respect to Taxes on Income) (New Zealand) Order ............................................. 67/2011 Specification of Arrangements (Government of the Grand Duchy of Luxembourg) (Avoidance of Double Taxation on Income and Capital and Prevention of Fiscal Evasion) (Amendment) Order 2011............ 68/2011 Road Traffic (Public Service Vehicles) (Amendment) Regulation 2011 ..................................................... 69/2011 Professional Accountants (Amendment) Bylaw 2011....... 70/2011 Electoral Affairs Commission (Registration) (Electors for Legislative Council Functional Constituencies) (Voters for Election Committee Subsectors) (Members of Election Committee) (Amendment) Regulation 2011 ..................................................... 71/2011 LEGISLATIVE COUNCIL ─ 18 May 2011 10389 Electoral Affairs Commission (Nominations Advisory Committees (Legislative Council)) (Amendment) Regulation 2011...................................................... 72/2011 Electoral Affairs Commission (Electoral Procedure) (Legislative Council) (Amendment) Regulation 2011...................................................... 73/2011 Electoral Affairs Commission (Electoral Procedure) (District Councils) (Amendment) Regulation 2011 ............. 74/2011 Electoral Affairs Commission (Electoral Procedure) (Election Committee) (Amendment) Regulation 2011.......... 75/2011 Electoral Procedure (Chief Executive Election) (Amendment) Regulation 2011...................................................... 76/2011 Electoral Procedure (Village Representative Election) (Amendment) Regulation 2011 .............................. 77/2011 Particulars Relating to Candidates on Ballot Papers (Legislative Council and District Councils) (Amendment) Regulation 2011 .............................. 78/2011 Electoral Affairs Commission (Financial Assistance for Legislative Council Elections and District Council Elections) (Application and Payment Procedure) (Amendment) Regulation 2011 .............................. 79/2011 Pension Benefits Ordinance (Established Offices) (Amendment) Order 2011 ...................................... 80/2011 Places for Autopsies (Amendment) Order 2011................. 81/2011 Buildings Energy Efficiency Ordinance (Commencement) Notice 2011............................................................. 82/2011 10390 LEGISLATIVE COUNCIL ─ 18 May 2011 Legal Aid Ordinance ― Resoluton of the Legislative Council (Commencement) Notice ......................... 83/2011 Legal Aid (Assessment of Resources and Contributions) (Amendment) Regulation 2011 (Commencement) Notice ..................................................................... 84/2011 Other Papers No. 91 ─ Early Retirement Ex-gratia Payment Fund for Aided Secondary School Teachers Financial statements together with the Director of Audit's report for the year ended 31 August 2010 No. 92 ─ The Government Minute in response to the Report of the Public Accounts Committee No. 55 of February 2011 Report No. 22/10-11 of the House Committee on Consideration of Subsidiary Legislation and Other Instruments ADDRESSES PRESIDENT (in Cantonese): Address. The Chief Secretary for Administration will address the Council on "The Government Minute in response to the Report of the Public Accounts Committee No. 55 of February 2011". The Government Minute in response to the Report of the Public Accounts Committee No. 55 of February 2011 CHIEF SECRETARY FOR ADMINISTRATION (in Cantonese): President, laid on the table today is the Government Minute (GM) responding to Report No. 55 of the Public Accounts Committee (PAC). When presenting Report No. 55 on 16 February, the Chairman of PAC set out comments on three chapters in the Director of Audit's Reports, viz LEGISLATIVE COUNCIL ─ 18 May 2011 10391 Administration of the Direct Subsidy Scheme and Governance and administration of Direct Subsidy Scheme schools, Residential treatment and rehabilitation services for drugs abusers, and The Community Investment and Inclusion Fund. We are grateful for the time and efforts that the PAC has devoted. We accept the PAC's various recommendations and Government's specific response is set out in the GM. Today, I would like to highlight key measures we have taken in the relevant areas. The Administration agrees that the recommendations made by the PAC on the administration of the Direct Subsidy Scheme (DSS) and the governance and administration of DSS schools are conducive to the sustained improvements to the implementation of the scheme. We also consider that the recommendations can help DSS schools attain good governance. In response to the PAC's concerns and recommendations, the Education Bureau has been taking follow-up actions at two levels. First, the Education Bureau has followed up the malpractices and irregularities identified in individual DSS schools and as of now most of the cases have been settled. Second, the focus is being placed on improving the mechanisms at both the operational and system levels. Regarding the improvement measures