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1. Tamar to keep harbor view

2. Lantau plan disappoints residents

3. Tamar HQ to be half the density of surrounding sites

4. Audit report unfair, says Henderson

5. LCQ10: Development of cruise terminal

6. LCQ2: Proposed North Lantau Hospital

7. LCQ13: Details of existing outsourced service contracts awarded by the Housing Authority

1. Tamar to keep harbor view
Cannix Yau, The Standard 23 November 2005

With the aim of preserving views of Hong Kong's harborfront, the government will adopt a plot ratio of seven for the new government headquarters to be built at Tamar, which is about half the ratio of neighboring commercial buildings.

Director of Administration Chang King-yiu also assured legislators Tuesday that two hectares of the 4.2-hectare site will be reserved for recreational uses and will be integrated with the future Central waterfront promenade for the public.

However, Chang stood firm on the decision to relocate the government complex to Tamar despite a request by legislator Kwok Ka-ki that the Town Planning Board rezone the site for purely recreational purposes.

"So far, we don't have any figures about the site's total floor area because we're not sure how many bureaus will move to Tamar.

"But the plot ratio for the site's development may stand at seven which will ensure a low building density compared with the plot ratios of nearby commercial buildings which range from 13 to 14 and 15," she said.

The government had earlier proposed imposing a height restriction of between 130 and 160 meters, about 26 to 32-storeys high, against the original 180 meters, to ensure the harbor and ridgeline views from surrounding buildings were not spoiled.

Under the development plan, 2.2 hectares of the site along Harcourt Road will be slated for government buildings and the new Legco complex and at least four high-rise buildings with about 500 car parking spaces will house the government offices.

A low-rise block will house the Executive Council's office and a multi- purpose conference venue. The policy bureaus will occupy one building. Another low-rise block will house the Legislative Council chamber and conference venue, and one will be for legislators' offices.

Chang said the traffic flow produced by the relocation of the government offices will be minimal.

"We denounce any high-density development nor do we intend to build any high-rise buildings that will block the views of the harbor. The traffic flow produced will be very little because we are only planning for 500 parking spaces," she said.

However, two pro-Beijing groups - the Democratic Alliance for the Betterment and Progress of Hong Kong and the Federation of Trade Unions, which are among the most vocal critics of the project - called on the government to consider other options.

"It seems the government is only looking at the Tamar site for the new government complex and refuses to consider other options," said DAB legislator Cheung Hok-ming.

"The DAB strongly opposes the move as the site should be vacated for financial and commercial development to compliment Hong Kong's status as an international finance center."

FTU lawmaker Chan Yuen-han added: "Public demands for the use of harborfront sites have undergone a drastic change. Those who supported the project two years ago may have a different view now. In fact, they now having different views and want the government to review its decision."

"This is the only site along Central that allows views of the harbor and the ridgeline, so what is the rush? Why does the government refuse to listen to public opinion?" Chan asked.

Pro-democracy lawmaker Kwok Ka-ki asked whether it would be possible for the Town Planning Board to rezone the site as a recreational open space.

Chang pledged the government will again review its decision in response to the request by Kwok.

Government sources, however, said it is almost certain the government will not change its plan as Chief Executive Donald Tsang is determined to go ahead with the project. The government halted the Tamar project in November 2003 amid the tough economic climate following the SARS outbreak.

"If we consider other sites, we'll have to start all over again and wait for a long time, at least two to three years, before we can start any project," she said, noting that Tamar had already been through public consultation and the required planning procedures.

Chang said the government will finalize its development plan, including the height restriction, by consulting the Legco and it will submit it to the Legco in March next year.

Work on the project is expected to start in 2007 and be completed by 2010

2. Lantau plan disappoints residents
Wendy Leung, The Standard 23 November 2005

Local residents' groups were dismayed after the government released its revised concept plan for Lantau in the Legislative Council, saying consultation had been minimal and the planning process lacked transparency.

"The government doesn't seem to have learned anything since the Hei Ling Chau super prison debacle," said Bob Bunker, chairman of the Living Island Movement, a residents' group that last year led a successful challenge to stop a giant prison from being built on reclaimed land off Mui Wo.

"They have made the same mistakes - that is, not starting the planning process with a consultation to find out [from stakeholders] what sort of Lantau they want.

"Instead, their idea of consultation is telling us what projects they have decided on and what colors would we like them in.

"When the Lantau Development Task Force was formed we approached them and asked to be involved in the concept plan.

" We told them we know the island well, and have a wealth of talent and ideas that they could put to good use. But they didn't want to know us.

"[Chief Executive] Donald Tsang himself said a strong government can't happen behind closed doors. But that's exactly what happened with this secretive task force comprised entirely of senior officials."

Clive Noffke, executive committee member of the Green Lantau Association, said the planning process was too fast and that consultation only involved the district council.

Noffke and Bunker said many of the proposals put forward in the revised concept plan were inappropriate.

"Lantau is littered with derelict resorts, sports facilities and other attractions similar to the ones proposed," Bunker said. "And yet the government doesn't even try to find out why these developments never seem to work."

3. Tamar HQ to be half the density of surrounding sites
CHLOE LAI, SCMP 23 November 2005

Buildings around the Tamar site have a plot ratio double those in the CGO plans, the government says. Picture by Edward Wong

The density of the Tamar development will be only half that of sites surrounding it, officials revealed at a Legislative Council panel meeting yesterday.

In an attempt to allay public concerns that the new government headquarters would create a wall-effect on the Admiralty waterfront, Director of Administration Chang King-yiu said the plot ratio would be about seven, while surrounding sites had a plot ratio of between 13 and 15.

She said the estimated $4.9 billion construction cost of the new headquarters and Legco complex was based on the latest information on building top-grade offices in Central.

Speaking at the planning, lands and works panel, officials softened their previously firm stance that shortlisted designs on the new headquarters would not be made public.

The government had earlier cited World Trade Organisation procurement rules that demand all commercial information in a tender be kept confidential.

Ms Chang said: "We will consult legal opinion and try to balance the interests of the bidders and those of the public to see if we can make public the shortlisted designs."

The government's plans for the Tamar site drew strong criticism from legislators.

Daniel Lam Wai-keung, of the Heung Yee Kuk, was the only one to voice support.

"The land has been left vacant for a decade. The government should start construction as soon as possible," he said.

But most legislators at yesterday's panel meeting had strong reservations about the project.

Alan Leong Kah-kit, of the Article 45 Concern Group, was sceptical of the government's design-and-build tender. "You want to build a landmark. But on design-and-build, the emphasis is always on cost savings. I doubt you can have a landmark structure through design-and-build," he said.

Democratic Party chairman Lee Wing-tat questioned why the government wanted to rush the project through.

Ms Chang defended the design-and-build approach, saying: "Design will carry as much weight as technology and cost efficiencies. Construction will be smoother if the whole project is done by one company. It will avoid unnecessary conflict."

She also revealed the government had plans for 500 parking spaces, with more than 100 allocated to Legco.

She stressed the headquarters would generate only 4 per cent of the traffic in Central by 2016. "The amount is very small in the context of Central, so it will not worsen traffic," she said.

Officials believed most people working at Tamar would use public transport, and there would be two footbridges: one connecting with the Admiralty MTR station and the other linking Citic Tower.

The panel will organise a public hearing on the project next month.

4. Audit report unfair, says Henderson
FELIX CHAN and CHLOE LAI, SCMP 23 November 2005

The Post's audit report coverage

An audit report last week on a grant of bonus land for the luxury Grand Promenade project at Sai Wan Ho was unfair and misleading, Henderson Land Development says.

In a full-page advertisement published in seven newspapers today, it complains that the report, which said the government lost about $125 million from the grant, "could cause a negative misconception among the public and undermine the company's credibility".

Developers estimated the company made a $3.23 billion windfall for a land premium of just $6 million after the grant helped it to double the planned number of flats.

In its advertisement the developer says it did not know, when it tendered for the site, that the land was originally planned for 1,008 flats, and no such limit was set when the site was put up for tender in 2000. It says it is unfair to compare the 2,000 flats it built with the undisclosed figure. The company's response comes after the chief executive launched an inquiry into how the bonus 10,700 square metres came to be granted.

The Audit Commission's report said former buildings chief Leung Chin-man used his discretion to make the grant in the face of strong objections from the Lands Department after the company demanded extra land to provide space for a public transport terminus and Marine Police facilities.

In its ad, Henderson Land says the practice of building public facilities in exchange for bonus land was common. Henderson says it was natural for it to strive to get the best value for a project in the interests of its shareholders. It also says the company plan for the site varied between 500 and 3,000 flats but it finally chose for mid-way option.

Henderson vice-chairman Colin Lam Ko-yin told the South China Morning Post that neither the tender document nor the land lease mentioned the maximum gross floor area, the number of units allowed or their size. Only the minimum residential gross floor of 80,000 square metres was spelled out.

He said the Audit Commission report had unreasonably portrayed the developer as greedy and made the public think that something suspicious was going on.

"What the government has discussed internally has nothing to do with me; the Audit Commission should not blame me for building this number of units," Mr Lam said.

A Housing, Planning and Lands Bureau spokeswoman said it was inappropriate to comment on the issue now as the government had set up an independent committee of inquiry to look into the matter.

5. LCQ10: Development of cruise terminal
Hong Kong Government, 23 November 2005

Following is the question by the Hon Cheung Hok-ming and a written reply by the Secretary for Economic Development and Labour, Mr Stephen Ip, in the Legislative Council today (November 23):

Question:

It has always been the intention of the Government to develop cruise terminal facilities in South East Kowloon (i.e. the Kai Tak area), but the plan cannot be implemented in the near future as the Kai Tak Planning Review is underway. In view of this, the Tourism Commission announced on the 3rd of this month that interested parties are invited to submit Expressions of Interest for the development of a new cruise terminal, in order to ascertain whether there were suitable locations other than Kai Tak that might enable an earlier development of a cruise terminal. In this connection, will the Government inform this Council:

(a) as it is stipulated in the Invitation Document that no residential development may be included in the Cruise Terminal Development, whether it has assessed if such a stipulation will discourage the commercial sector from investing in the development of the cruise terminal; and

(b) whether commercial developments may be included in the Cruise Terminal Development; if so, of the floor area that may be developed; if not, the reasons for that?

Reply:

Madam President,

(a) & (b) It has been the Government's view that the site at the end of the runway of the former Kai Tak Airport at South East Kowloon (Kai Tak) is most suitable for the development of new cruise terminal facilities. Before making the final decision on the location, we must ensure that the selected site is the best site available and it is acceptable from the town planning point of view. We launched an open invitation for Expressions of Interest on the third of this month, the purpose of which is to ascertain whether there are suitable and feasible sites other than Kai Tak for the development of a new cruise terminal before 2011. If we cannot identify a site that can meet all our requirements through this invitation for Expressions of Interest, the Government will not consider any sites other than Kai Tak and will focus on developing a new cruise terminal at Kai Tak. If there are suggestions that meet our requirements, the Government will follow the current planning procedures by conducting an in-depth study on the overall suitability of the proposed sites for development of a new cruise terminal, and put the site to competitive bidding after public consultation.

The Government's Invitation Document has specified a number of requirements. The Government will not consider any suggestion in the Expressions of Interest that fails to comply with such requirements. Based on town planning considerations, one of the requirements is that the suggested site for cruise terminal development must be compatible with other land uses in the vicinity. According to the study of our cruise consultant, the terminal will be busy with ground handling activities, e.g., embarkation and disembarkation of passengers, luggage handling, provisioning of supplies, minor repairs, etc., and will need to operate 24 hours a day. The consultant considered that the cruise terminal would be incompatible with residential development. We have specified in the Invitation Document that any suggestion on enhancement facilities for the new cruise terminal must not include residential development. It can, however, incorporate other tourism-related facilities to enhance the attractiveness of the cruise terminal to visitors and also its financial viability, making the project more attractive to investors. Such an arrangement is in line with the development concepts proposed in the current Outline Concept Plans of the Kai Tak Planning Review.

As the location of the cruise terminal has yet to be confirmed, the land use and planning details such as commercial floor area are not available at the moment. We will work out such details in accordance with the established planning procedures. Once these details are confirmed, the new cruise terminal and the related tourist facilities will be put to competitive bidding.

6. LCQ2: Proposed North Lantau Hospital
Hong Kong Government, 23 November 2005

Following is a question by the Hon Wong Kwok-hing and a reply by the Secretary for Health, Welfare and Food, Dr York Chow, in the Legislative Council today (November 23):

Question:

With the gradual increase in the population of Lantau and the opening of the Hong Kong Disneyland, the demand of both residents and tourists on medical services has increased. Regarding the progress of the construction of the North Lantau Hospital, will the Government inform this Council:

(a) of the anticipated number of people to be served by the Hospital;

(b) whether it has formally consulted the relevant District Council and the Tung Chung Rural Committee on the proposed location of the Hospital and decided on the location; if it has, of the location; if not, when a decision will be made; and

(c) of the expected dates of the commencement of the construction works and the commissioning of the Hospital?

Reply :

Madam President,

(a) According to our preliminary planning, the proposed North Lantau Hospital (NLH) will be commissioned in phases. Phase 1 will come into service some time in 2011/12 the earliest to serve about 120,000 residents. When it is in full operation, the hospital is expected to serve about 260,000 residents.

(b) We briefed the Islands District Council (IDC) in June this year on our plan to construct the NLH in Tung Chung Areas 13, 22 and 25. We also undertook to consult the District Council and the Tung Chung Rural Committee (TCRC) on the proposed location of the hospital and the services to be provided, after completion of the feasibility study and preliminary planning of the project. The Technical Feasibility Statement for the project has been completed recently, which confirmed its technical feasibility. As a next step, we will proceed to conduct an Environmental Impact Assessment (EIA) study. Thereafter, we will carry out a formal consultation exercise at the district level on the detailed arrangements of the proposed hospital, including its proposed location and services to be provided. The site for the proposed hospital is located in Tung Chung Areas 13, 22 and 25, with a gross area of about 48 720 sq. m. The current planned use of Area 13 is "Government, Institution or Community (G/IC)" while that of Areas 22 and 25 is "Residential (Group A)". We will submit an application to the Town Planning Board (TPB) at a later stage for a change of the land use for the purpose of constructing a hospital at the above site.

(c) We need to conduct an EIA study, consult the IDC and the TCRC on the proposed location and the services to be provided, as well as to make an application to the TPB for a change of the land use, and to seek funds from the Public Works Subcommittee and the Finance Committee of this Council. Furthermore, we also need to take into account, among others, the prospective increase in the population of Lantau Island and the local residents' demand for emergency medical services. As such, according to the current plan, it is expected that construction works for the hospital will start in 2008/09 at the earliest and the hospital, which will be commissioned in phases, go commence operation some time in 2011/12.

7. LCQ13: Details of existing outsourced service contracts awarded by the Housing Authority
Hong Kong Government, 23 November 2005

Following is a question by the Hon LEUNG Kwok-hung and a written reply by the Secretary for Housing, Planning and Lands, Mr Michael SUEN in the Legislative Council today (November 23):

Question

Will the Government inform this Council of the details of each of the existing outsourced service contracts awarded by the Housing Authority ("HA") in the form of the following table?

Location where the outsourced service is provided and name of contractor

Estimated cost of service as set out in the tender document

HA's approved price of outsourced service contract (Please indicate whether this is the lowest bidding price)

Number of staff required and terms of remuneration for cleaning workers and security staff as set out in the tender document

Number of staff employed by contractor and their remuneration

Reply

Madam President,

1. Four types of outsourced service contracts awarded by the Housing Authority involve the employment of cleansing workers and security guards, namely, property management contracts, cleansing contracts, security service contracts and carpark management contracts. During tender assessment, the Housing Authority takes into account a host of factors, including the service proposals submitted by contractors, proposed remuneration packages for workers, past performance, tender bids, etc. The Housing Department monitors its service contractors through regular inspections and performance appraisals to ensure that their service meet the stipulated requirements and pledges.

2. Details of the outsourced service contracts are set out at the Annex. Under normal contract terms, contractors are usually allowed to employ temporary or part-time workers according to actual circumstances and operational needs. As we do not keep detailed records on contractors’ employees and their remuneration, such information is not readily available. Nevertheless, the periodic checks and inspections conducted by the Housing Department on contractors’ staffing and payment records confirm that most of the contractors discharge their contractual obligations and undertakings conscientiously. If exploitation of workers is found, actions against the contractors, such as issuing warnings, terminating contracts, or even banning them from future tendering exercises, will be taken.