S. Dhanabalan
Singapore
“Mr Speaker, Sir, on a point of clarification. I said in my intervention on Tuesday that the general election is the right forum to determine the electorate's support because it puts the issue in a total and correct context.”
“Mr Speaker, Sir, with hindsight, of course, we can be very wise. But since one of the three islands was excluded, it was a substantial reduction in the scope of works. The assessment then, which I agreed with, was that if you called for a re-tender, you would get a substantially reduced tender.”
“To the extent that we can, we should work with countries that have a common interest, to come together and form economic groupings targeted at trade liberalisation. We have started this process within ASEAN under the AFTA Scheme. Economic linkages in groupings like APEC are also growing in significance.”
“Mr Speaker, all these questions make a lot of sense when the events are finished, and you look back. But the officer looking at the case at that time had to deal with the facts as they were at that time.”
“ASEAN countries agreed to publish all the Inclusions and Exclusions lists, as well as the full list of actual tariff reductions. The ASEAN Secretariat had since followed up and released, as scheduled, on 1st November 1993, the publications showing these lists.”
“Kallang Theatre was closed for five months in 1992 for cyclical maintenance and upgrading costing $3 million. This included a major upgrading of the toilets, recarpeting the auditorium, rewiring and repainting.”
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“Mr Speaker, Sir, the existing priority schemes of various types, resettlement, multi-tier, as well as for community leaders and so on, affect the allocation of new flats. And these proportions will apply. In the allocation of flats, we will have to take into account these proportions.”
“Mr Speaker, Sir, since rental flats are reducing as a proportion of the total number of HDB flats, it is not a serious problem, but we will apply it also to rental flats. Obviously, we will have to apply it to rental flats.”
“Mr Speaker, Sir, it is true that when I mentioned, for example, that certain HDB housing estates have so many percent Malays, and so many percent Chinese, they do not necessarily reflect that the number of Chinese or Malays are of the same percentage. We all know from the various population figures that we have been given that, for example, Malay households tend to be bigger, Indian households somewhat smaller and the Chinese households tend to be the smallest. We are aware of it. So if you look at it purely in terms of numbers of the various ethnic groups, the number of persons, yes, the racial congregations or groupings are somewhat greater than would be reflected by the number of flats occupied by any ethnic group. Yes, the measures are preventive and we need to consider incentives. And the first incentive, of course, which I have already mentioned, is to create conditions which will attract people to go to areas which they do not go to now. For example, if Malays are not attracted to Pasir Ris, then we ought to do something in Pasir Ris which will attract them there. If Chinese are not prepared to go to Bedok or Woodlands, then we ought to consider how we can attract them to go there. So when it comes to services and facilities, we will try and make it more attractive. If we spread the services and facilities for all the ethnic groups, then I think we will get a better spread of the ethnic groups and a better mix. As for financial incentives, we have not thought of that now. For the moment I think we will try these measures and I am confident that they will work.”
“Mr Speaker, Sir, I mentioned that the vast majority of transactions in the HDB resale market are among people of the same ethnic group. In other words, the seller and buyer are of the same ethnic group. In fact, that will determine more or less the general price in the market. So I do not anticipate a great dampening effect. But there will be from time to time, specific cases of people who may think that if they are able to sell to a Chinese or Malay they could have got a higher price. I think that is a small price we must be prepared to pay in order to ensure that we do build a cohesive, better integrated society in Singapore. I do not expect a great dampening effect because the resale between different ethnic groups is not the major part of the HDB resale market. As to selling to a relative or friend, I have already mentioned that where the transactions are between two persons of the same ethnic group there will be no restrictions at all. So if the relative or friend is of the same ethnic group there should be no problem. And I would assume in the case of relatives, in most cases that would be the case.”
“Sir, I do not think there is anything to reconcile. These three areas Geylang Serai, Little India and Chinatown are basically centres of commercial activity. They do not necessarily reflect the composition of the races living in these areas. Take Little India for example. Going through Serangoon Road, one would get the impression that 90% of the people who live there are Indians. But that is not so. It is a place where Indians from all over Singapore go to do their shopping. Similarly, Geylang Serai; and similarly with Chinatown. So I do not think there is any contradiction. We will still promote these as commercial and cultural areas for the three main ethnic groups. But where it comes to residences we will apply these proportions.”
“Mr Speaker, Sir, there are already existing time limits for HDB owners to sell their flats or move out of their flats because they upgrade to another HDB flat or move out to a private house or apartment. There is a time limit within which they have to sell their flat. And that time limit will apply. Whether they advertise or use agents, it is entirely up to them. And as I mentioned, if necessary, we can make the time limit a little more flexible for such cases.”
“Mr Speaker, Sir, there is no mathematical magic in . We tried, in the first instance, to focus on the neighbourhood and gave some allowance to the neighbourhood in comparison with the present application list. And that is how was determined. For which is the block limit, we just gave a margin of 3% flat for every group. As to whether we could give a range, we could have. But in a policy like this, it is very important to make it very clear in the implementation that we are absolutely fair to everybody. If we give a range, then that means that the limit will vary from place to place and this can give rise to a lot of suspicion and misunderstanding. We thought it is better to just fix a specific limit and use that for all the ethnic groups in all areas. I mentioned that where the existing proportions exceed the limits that we have set out in Table 1, we will allow time and redevelopment to bring about a better mix. So we will certainly give priority in redeveloping areas where the ethnic mix is well beyond what we have set out in the table and use the allocation of the new flats to bring the mix more to the levels that we have set out in the table. This, of course, cannot all be done within a few years but we will be starting on such a programme and I hope that within 3-5 years, the programme will be well under way. As for the criteria for sale of last resort, I thought that is pretty simple. If you cannot sell, you go to HDB. Dr Arthur Beng Kian Lam: Sir, it is not so clear. If the criteria is time span, that means you go to the HDB if you cannot sell it within 2-3 months. Or does a person have to advertise 5 to 10 times before it can be considered?”
“If, as a result of these measures to bring about a better racial mix, a slightly longer period is required, the HDB can consider that. The third point is a good point. If you want to have a better mix of the various ethnic groups in all HDB estates and new towns, then the kind of facilities that will attract the different ethnic groups should also be spread. HDB is aware of it and will take action to ensure that the facilities and services required will be well spread. This will require, of course, that some facilities will have to be put in there early, earlier than necessary, in order to attract an ethnic group into that estate. And that is being considered. As to whether we have considered any other method, the method that we have followed all along has been in the initial allocation of new flats. We have tried in the past, in the allocation of new flats, to follow some sort of ethnic distribution which will reflect the general population. It was easy to do it in the past when we were building at a very high rate and when the waiting list was very long and when people were prepared to take up flats immediately anywhere. But as we began to meet the demand and the waiting list became shorter, and as more and more flats began to come on to the resale market, it has become difficult to only use initial allocation as a basis to bring about a good mix of the different ethnic groups. And that is why we have now embarked on this new open policy of ensuring that there is a good racial mix in each HDB estate and new town.”
“Mr Speaker, Sir, on the question of whether HDB should buy back at prevailing posted prices or market prices, it is true that the market prices are higher than posted prices in many areas. But the market prices vary, not only from block to block but from flat to flat and it is very difficult to establish what exactly is the market price. In fact, the premiums paid by people are such that in an analysis of the prices of HDB flats, we have not been able to really establish quite clearly a pattern, either by race or by area. There are instances where Chinese pay a premium; there are instances where Malays pay a premium for the same type of flat in the same area. This may be due not only to differences in the internal finishes of flats but people's own assessment as to what they are prepared to pay for something that they want. So if HDB were to try and pay market prices, I do not think it will be able to determine what exactly is the market price. Of course, we may be able to determine a price which is in the ball-park, which will not leave many people satisfied. My own assessment is that while a few may not be able to get exactly the maximum that they expect, they would still be able to get, with these new measures, prices well above the posted prices. At the same time, as I have mentioned in various statements in the past, the HDB itself intends to move its posted prices closer and closer to market prices. So this gap will narrow. How will difficulty be determined? Well, when an HDB flat owner sells his flat and moves to another flat or to a private apartment or a house, he has a certain period within which he has to sell his flat. If he cannot sell it within that period, that means he has difficulty in selling it and he can sell it back to the HDB.”
“Mr Speaker, Sir, can I take the second point first whether HDB can use all the available new technology to inform HDB residents of the proportions in each neighbourhood block. Yes, I will certainly ask HDB to look into how they can most effectively and best inform HDB residents. Regarding the first point, I think it may be useful, Mr Speaker, Sir, if some of the points that I made could be re-stated because the Member has asked whether these measures are, in fact, necessary. I would like to have it re-stated in Mandarin for the benefit of the Chinese press and others who speak Mandarin. So I will ask my Minister of State to answer this.”
“So I feel that the measures mentioned by the Minister would be a kind of restriction on some of the people. Is this kind of restriction necessary, and will this be feasible? My second question is: I would like to ask the Minister whether he would consider using the existing technological system and technique such as telephone, electronic communication and teleview or employing well-trained enquiry counter officers so as to minimize the inconvenience caused to residents when they resell their flats.”
“Mr Speaker, Sir, I thank the Member for this opportunity to clarify Table 1. As I mentioned in my statement, these permissible proportions are based on a number of factors. The racial composition of the population is only one of the factors. The more important factors are the rate at which new households are being formed in each one of the racial groups and the present composition of applications. Applications for HDB flats at present do not reflect the racial composition in Singapore as a whole. If you look at the applications, Malays accounted for about 19% of the applications; Chinese accounted for 74% of the applications; and Indians and Others as a group accounted for 7% of the applications. Because of the greater unmet demand from Malays, the present applications are higher than the proportion of the population. So we took this into account and fixed the proportions accordingly and allowed some variation. So if you just compare the composition of the population by race to these figures, of course it appears that we have allowed more latitude for one group and less for others. But if we take into account the composition of the applications and our estimates of the rate at which new households are being formed, then I think this will work. The second point is what happens if there is a change in the composition of population. Of course, we will have to review from time to time and bring these permissible proportions in line with such changes. Mr Peh Chin Hua (Jalan Besar GRC)( In Mandarin): Mr Speaker, Sir, on the problem of racial congregation in separate enclaves, I have two questions to ask the Minister. First, as it stands today, we have not seen any sign of any racial disharmony among the people in the Housing Board estates.”
“Mr Speaker, Sir, may I take the questions as they come up. Mr Speaker, Sir, it is true there are blocks outside these 35 neighbourhoods where the limits already exceed those that I have set out in Table 1. But the transactions that are likely to be affected, if we go by past experience, would be very few. We estimate that about 18% of the blocks outside these 35 neighbourhoods will be affected. But if we go by past experience, out of a total transactions of 8,000 or more, only 500 would have been affected by these measures. Therefore, I did not mention these figures. As to the first-come-first-served policy, as I mentioned, HDB will try as far as possible to follow this policy. In the first instance, in the allocation of new flats, HDB will allocate according to the first-come-first-served policy until the proportion for any one of the ethnic groups is reached. Then, allocation for that ethnic group will be stopped and we will go on to the other ethnic groups. So, in effect, there will be four lists. One is the normal list all applications starting from 1, and running in consecutive order. And then there will be another one for each one of the groups - Chinese, Malays, Indians and others. The first list will form the basis for allocation as a start. Once a particular race or ethnic group has reached the proportion set, then they will skip and go on to the other ethnic groups. So there will be a change in the policy.”
“If as a result of this policy to ensure a balanced racial mix in HDB estates, anyone finds it difficult to sell his flat in the open market, the HDB is prepared, as a last resort, to buy back the flat at prevailing posted price. I would like to repeat the assurance that no one will be asked to move from his present flat. Where the present proportions exceed the limits, we will allow time and redevelopment of the area to bring the proportions down and to achieve a better racial mix. Mr Speaker, Sir, our multi-racial policies must continue if we are to develop a more cohesive, better integrated society. Singapore's racial harmony, long-term stability, and even viability as a nation depend on it.”
“The permissible limits only arise when the buyer and seller are of different ethnic groups and they are in neighbourhoods where the limits are already higher than the limit set out in the table. This way we will contain the problem. Where the limits have already been exceeded, our measures will prevent the situation from deteriorating. However, these measures will not force the proportions down. Out of the 125 HDB neighbourhoods, the HDB has identified 35 neighbourhoods which will be immediately affected by these measures. Table 2 shows where these neighbourhoods are. These are the neighbourhoods where the owners have already occupied the flats for more than five years and are thus free to sell in the open market, and these are neighbourhoods where the existing levels or proportions for any one of the three ethnic groups exceeds what we have set out in the table. But it does not follow of course that everybody who lives in these neighbourhoods will be affected immediately or even in the long run. It will only affect those who own and want to sell their flats. Only such people will be affected. Resale statistics show that most HDB owners who sold their flats sold their flats to buyers of the same ethnic group. Based on this trend, the HDB estimates that fewer than 1,200 owners in these 35 neighbourhoods will be affected in the next 12 months if they want to sell their flats, say, in the next year. In other words, if these measures that we will be introducing had taken effect one year ago, there would have been about 1,200 transactions that could not have taken place.”
“If he sells to a non-Malay the proportion will come down. A non-Malay, however, who intends to sell his flat will have to sell his flat only to a non-Malay. He cannot sell to a Malay because if he does so, the proportion of Malays in the neighbourhood will go beyond the 22%. Similarly, suppose in a neighbourhood the Chinese occupy 90% of the flats and thus exceed the neighbourhood limit for Chinese which, Members will remember, is 84%. A non-Chinese in this neighbourhood may only sell his flat to another non-Chinese because if he were to sell to a Chinese he will cause the proportion of Chinese in the neighbourhood to go up even further. A Chinese, however, is free to sell his flat to a buyer of any ethnic group. If a Chinese sells his flat to a non-Chinese, the proportion occupied by Chinese in the neighbourhood will come down. The proportion will not be allowed to go back to 90% as this exceeds the limit that we have set. So we will allow the proportions to come down as and when a Chinese sells to a non-Chinese, and we will not allow the proportions to go back to the 90%. Let us take a third example. Suppose the proportion of Chinese in a neighbourhood is 80%, ie, below the limit set for the neighbourhood for Chinese, but there is a block in the neighbourhood with 95% Chinese, much higher than the block limit for Chinese. Then a non-Chinese owning a flat in that block will only be allowed to sell it to another non-Chinese, whereas a Chinese can sell it to anybody. From this example, it will be clear that an HDB owner can sell his flat freely as long as the buyer is of the same ethnic group. Similarly, someone looking to buy a flat in the resale market can buy one freely as long as the seller is of the same ethnic group.”
“The neighbourhood limits set out in the table will ensure that each neighbourhood has a good racial mix of residents. In addition, the limits on individual blocks will prevent any single block from developing a concentration of a single racial group. The limits on blocks are set three percentage points higher than the limits for neighbourhoods. This is to allow some variation of ethnic proportions from block to block. For example, you can see from the table that while Chinese can occupy 87% of the flats in a block, they may not exceed 84% of the flats in a neighbourhood. In the sale of new flats, the HDB will use these proportions as a guide to allocate the flats and will as far as possible follow the existing first-come-first-served policy. I would now like to explain how these proportions will apply in the resale of flats. If the existing proportions in a neighbourhood or block are within the limits set in Table 1, there will be no restrictions. Anyone can sell his flat to any buyer, regardless of race. The operative limit is the neighbourhood limit. As long as the neighbourhood limit is below that which we have set out in the table, transactions can take place freely, until such time as the permissible limit for anyone of the racial or ethnic groups has been reached. Let me now illustrate how these proportions will work in different contexts. For example, let us assume that Malays already occupy 22% of the flats in a neighbourhood, the Malay proportion will therefore have reached the limit set for Malays. A Malay in this neighbourhood may sell his flat to a buyer of any ethnic group, because by doing so, he will not be increasing the proportion of Malays in the neighbourhood. If he sells to a Malay the proportion will remain the same.”
“Each has its share of talent and community leaders. Each MP is familiar with the problems of every ethnic, social and economic group in Singapore. Grassroots leaders too are familiar with these problems and can therefore play a more effective community development role among their residents. Most importantly, each racial group has developed an understanding of the other racial groups that make up our nation. This explains how we have been able to forge a consensus on social issues and carry the population with us. Mixing the various communities in proportions that approximate the general population has given us racial tolerance and harmony for the last 20 years and more. To allow them to regroup now will be to go back to the pre-1965 period when conditions bred distrust and misunderstanding among the various races and when there were even racial riots. We will, therefore, set limits on the maximum proportions of each racial group allowed in each HDB neighbourhood. These are, as I have already explained, set out in Table 1. These proportions take into account the existing racial composition of our population and the projected demand for HDB flats by each racial group. The projected demand is based on the rate of formation of new households as well as recent trends in applications. We have chosen the HDB neighbourhood as our basic unit to apply the racial proportions because the neighbourhood is a distinct entity with a well-defined physical boundary. A neighbourhood comprises an average of 50 blocks with about 5,000 flats. Every HDB new town is made up of a number of neighbourhoods, each designed around a neighbourhood centre, which is a focal point for community activities.”
“There are clear signs that racial congregations are re-emerging. Although the problem has not reached crisis proportions, the experience in other multi-racial societies such as the United States shows that while racial groupings start slowly, once a critical point is passed, racial groupings accelerate suddenly. With the slowing down of HDB's construction of new flats, resale flats will have an increasing influence on the ethnic composition of the HDB estates and new towns. We must therefore introduce open and clear policies early, to stop these trends. In the late 50's and early 60's, various sections of our population were gathered in different pockets, distinguishable by their race or dialect groups. Older Singaporeans will remember that the Malays were concentrated in Geylang Serai, Eunos and a few other areas. The Indians were found in disproportionate numbers in the Serangoon Road and Naval Base areas. The Chinese gathered in dialect groups: the Cantonese in Kreta Ayer, the Hokkiens in Telok Ayer, the Teochews in the Upper Serangoon and Boat Quay areas, and the Hainanese in the Beach Road/Middle Road areas. Each group was fiercely proud of its own identity and defended its narrow interests stoutly. Each clung to its own race or community for security and mutual assistance. It was clear that something had to be done if we wanted to build a cohesive, stable and harmonious society and a nation. The Government seized the opportunity of the massive public housing programme to mix the population. We made sure that every HDB new town and estate reflected the racial mix of the population as a whole. With few exceptions, we have made each electoral constituency representative of the racial and social mix of Singapore. Each HDB new town has a cross-section of Singaporeans.”
“723 - 726) Mr Speaker, Sir, I would like to give the assurance that no HDB owner, whether he is Chinese, Malay or Indian will be requested to move from his present flat. The measures that we will be introducing to ensure a good racial mix will only affect the allocation of new flats and the resale of flats after 1st March 1989. Let me now explain the reasons for the measures and how they will work. I have also distributed to Members three Annexes. (Cols. 719 - 722) May I ask them to refer to these annexes now. Annex I shows the racial distribution of applications for new flats. It shows that proportionately more Chinese applied for flats in Ang Mo Kio/Hougang Zone and proportionately more Malays applied for flats in the Bedok/Tampines Zone. Annex II gives the position for resale flats, applications to buy resale flats. Here Members will note that Malays bought more than half (55%) of the flats in the Bedok/Tampines Zone. In Bedok new town alone, if present trends continue, the proportion of Malays will reach 30% by 1991, and will exceed 40% in 10 years' time. Annexes - APPLICATIONS FOR NEW FLATS BY RACE AND ZONE, APPLICATIONS FOR RESALE FLATS BY RACE AND ZONE, PURCHASES OF RESALE FLATS BY RACE AND ESTATE IN 1988 (Cols. 719 - 722) Similar trends are emerging in other estates, largely through open-market resale of HDB flats. This is illustrated by a more detailed analysis of purchase of resale flats by race and estate, and is shown in Annex III. You can see from Annex III that a high proportion of buyers in Bukit Merah, Redhill and Henderson were Chinese. In Bedok, Eunos, Teban Gardens and Taman Jurong, more than half the buyers were Malays. In parts of Yishun and in Kampong Java, there was a high proportion of Indian purchasers.”
“Mr Speaker, Sir, in a speech to community leaders on 6th January, I referred to the trend in some HDB estates where concentrations of racial groups are beginning to form. The President, in his Address to Parliament, also highlighted the gravity of this problem. I would like to inform the House today of the measures that the Government is going to introduce to ensure a better racial mix in HDB estates. The Government will set a limit on the maximum proportion allowed for each racial group in each HDB neighbourhood. It will also set a separate limit on the maximum proportion for each block. These limits are set out in Table 1 (Cols. 723 - 726). Some Tables and Annexes have already been distributed to Members. May I ask them to turn to Table 1? I will take them very briefly through this Table. Table 1 sets out the proportions of flats permitted for each race, each neighbourhood and block. You can see from this Table that for Malays who comprise 15% of the population, the permissible proportion of flats in each neighbourhood is 22% and for each block is 25%. For Chinese who comprise 76% of the population, the permissible proportion in each neighbourhood is 84% and in each block is 87%. And for Indians and others who make up about 9% of the population, the permissible proportion for each neighbourhood is 10% and for each block is 13%. These limits will cover the allocation of new flats as well as the sale of resale flats. They will take effect from 1st March 1989. Table 1 - PROPORTIONS OF FLATS PERMITTED FOR EACH RACE IN EACH NEIGHBOURHOOD AND BLOCK, NEIGHBOURHOODS AFFECTED BY LIMITS SPECIFIED IN TABLE 1 AS AT 15 FEB 89 (Cols.”
“Mr Speaker, Sir, where the flats are to be cleared and demolished, I see no purpose in giving them a face-lift. But those that are going to be retained will be given the usual face-lift in accordance with the cyclical repairs.”
“Mr Speaker, Sir, I do not know what the Member means by "these flats". Does he mean the flats affected by relocation?”
“Mr Speaker, Sir, 23,701 tenanted rental units were affected when the relocation exercise commenced. By 1 January 1989, tenants in 23,254 units (or 98% of the total) had been relocated. The remaining 447 cases are being offered rental flats in the same or nearby estates. HDB will give them priority if they intend to purchase flats. The HDB will retain an adequate number of 1-room and 2-room rental flats for those who require transitional housing or the few who are unable to purchase their own flats.”
“A number of sites in Tiong Bahru GRC will be available for redevelopment by the HDB once the vacant rental blocks are demolished. HDB is working out a comprehensive redevelopment plan for these sites. The first redevelopment project is likely to be implemented in 1990. text - ADVICE OF THE ATTORNEY-GENERAL ON THE JUDICIAL COMMITTEE'S JUDGMENT IN PRIVY COUNCIL APPEAL NO. 10 OF 1988 - JOSHUA BENJAMIN JEYARETNAM v THE LAW SOCIETY OF SINGAPORE (Cols. 361 - 364)”
“But if there is a major project and the Town Council can convince its residents to contribute by way of a special contribution, well, good luck to them. That is allowed under the provisions of the Bill. Town Council members are public servants. I think there was some concern expressed as to what this really means. This is really meant to protect the Town Councillors. In the discharge of their duties, they will be considered as public servants under the Penal Code. This means that anybody furnishing false information to a Town Councillor or anybody causing obstruction to a Town Councillor in the course of carrying out his duties, or threatening a Town Councillor will be liable to be prosecuted under the Penal Code, just as if the Town Councillor were a public servant. So it is not meant in any way to put an additional burden on the Town Councillor but it is really meant to protect the Town Councillor in discharging of his duties. Mr Deputy Speaker, Sir, I have dealt with some of the main points. But as I have said, I am aware that some detailed points have been raised. But I do not want to address them in this debate. But if any Member feels very strongly that the detailed point that he has raised has to be answered and if he can so indicate, I will try and answer the point. Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee on the Bill. - [Mr Dhanabalan]. Bill considered in Committee; reported without amendment; read a Third time and passed.”
“" At the time when the HDB comes in, of course, whatever they collect from that point on will have to be used to manage the constituency, to provide the services in the constituency. And what has been mis-spent in the past, well, it is a loss. I think the responsibility and the onus must be very clear, and very clearly laid on the Chairman as well as on the Town Council as a whole. I think that is an important principle that we should not deviate from. If the Government holds out that this is an experiment, if you make a mess of it, we are going to come in and pick up the pieces, then I think we are not going to start off this whole project on the right basis. We should make the responsibility very clear. There are many other details that have been raised and I do not know whether this is the proper time to address the details because these will have to be worked out in the actual course of practice - what kind of funds can Town Councils raise, what kind of assets will they be able to accumulate over time, and how these assets can be used to borrow funds, and so on. I think these will have to be worked out. Basically, Town Councils are free to raise funds, either by way of actual contributions by the residents for particular projects or they can, in fact, embark on projects in order to raise funds like maybe to have a Fruit Fair or whatever, or borrow money from banks on the basis of assets that they have. But, of course, the lender has to ask himself whether the Town Council's assets are worth lending against and whether he is likely to get his money back. The transactions and these considerations must be left to the lender and the borrower, and the Government should not get involved in these matters.”
“This must be the responsibility of the Town Council. HDB has a pool which it will put into the HDB company. HDB will be prepared to negotiate with every Town Council, but whether HDB is, in fact, given the job or some other manager is given the job, will have to be something that the Town Council and HDB or the manager to decide and come to terms. It is a commercial decision and they must be free to negotiate and agree on commercial terms. When the Town Councils are set up, the whole idea is to rest the responsibility of the management of the funds as well as the estate with the Town Council. If a Town is mismanaged and HDB as the lessor finds that it has to move in, then there are provisions in the law for HDB to move in. But there is no question of the Government coming in to bail the Town Council out, in the sense that if funds are mis-spent, or if there is mismanagement, or people have lent to Town Councils and these borrowings have been mis-spent and the lender cannot recover, that the Government will come in and make good. If the Government is going to stand here as a safety net, then that will only encourage more mismanagement. The whole idea of this exercise is for people to be careful in the choice of their MPs as well as in the choice of the Councillors, in the sense that if the MP is good, he could choose good, honest, competent Councillors to help him. It is important that people realize that they have to live with the consequences of their choice. If they elect an MP who chooses a bunch of crooks to help him and together they run through the coffers in no time and leave the constituents in the lurch, well, they have to take the consequences. The Government is not going to come in and say, "We will take over now and make good all the losses.”
“But if the full-time workers, for example, if the Chairman of a Town Council or a Town Councillor becomes a full-time Councillor, then I think it is up to the Town Council to work out what is necessary. We would not intervene in it. And if disparities arise, it will arise because of the Town Councils themselves making the decision. I think the Member for Bo Wen expressed some fear that there may be disparities and I take it that behind that fear is the idea that perhaps Government should stipulate what the fee should be. Well, we cannot have it both ways. If the Government intervenes too much to fix the salaries and fees in every respect, then the Government will be accused of interfering and controlling the Town Councils too much. If you allow Town Councils to decide these things for themselves, of course, some disparities may arise. But I think we should take the risk of allowing such disparities to arise rather than be too close in our control of Town Councils. Basically, the idea is to allow Town Councils to make the decisions as to the kind of services they should buy and what they should pay for these services, whether the payments are to companies or to individuals. There was also a fear or concern expressed by the Member for Bo Wen and by others that the Town Councils may not be given adequate staff. It is up to the Town Councils to employ their staff. Of course, if they go to the HDB company and ask the HDB company to provide the staff or the service, then they have to negotiate with the HDB company, what they have to pay and what kind of people they will get. But this is, in fact, one of the tests of the management of the Town Councils. How they go about getting the right staff and what kind of salaries or terms they pay.”
“Where, of course, a rental flat is vacant or where a purchased flat is vacant because the HDB has purchased it, then the HDB will pay the Town Council because the HDB, as the owner of the vacant flat, is being provided a service by the Town Council. So it is right and proper that the HDB should pay the service charge to the Town Council. This is an important principle to establish. I think if the HDB collects the service and conservancy charges and then passes on to the Town Council, we will break this link that we are trying to establish. This accountability of the Town Council to the residents, and the link between the residents and the town council in terms of what they want, the kind of suggestions and ideas they may want to put up to the Town Council is important. So this will have to stay. In fact, it is a key provision in the Bill and I think the HDB should not take on the responsibility of collecting the service and conservancy charges. The Member for Bo Wen made an important point. Who will monitor the Town Councils and whether, in the course of monitoring, the Town Councils will be closely controlled by the Government? That is not the intention. The intention is to give the Town Councils as much latitude as possible for them to manage their areas. Broad principles, of course, will have to be laid down, as the Bill itself now stipulates, in terms of how they manage their finances, publication of accounts and so on. But the Town Councils will be given a lot of latitude to employ the kind of people who are necessary, to pay them the kind of fees that are necessary to get the work done. The allowances for Chairman and for Town Councillors may be prescribed by the Minister.”
“But in the first instance and certainly in the present exercise, it will only apply to HDB estates. The other point which I think in a way related to arrears is the question of who should be responsible to collect the service and conservancy charges. The Member for Jalan Kayu made the point that it should be collected by the HDB. I think this is a very important point. We want to establish in the Town Council a close nexus between the residents and the provider of the service. At present, HDB collects the service and conservancy charges not by virtue of its position as landlord. It happens to be the landlord. But the service and conservancy charges are collected by the HDB because it provides a service. It is payment for service and it is paid to HDB in its capacity as the provider of the service. When the Town Council begins to provide the services, these charges have to be paid to the Town Council. It is important that the residents in the Housing Board estates should establish a direct relationship with the provider of the service, ie, the Town Council. This should be so even for the rental flats. Because from time to time, the Town Council may want to increase its fees or charge a special levy in order to fund a special project. The discussion and the decision should be one between the Town Council and the residents. The HDB cannot, as landlord, agree with the Town Council. We would like in practice to make it very clear and to establish in the minds of the people living in an HDB area that their relationship in terms of the fees they pay every month for service provided is with the Town Council.”
“The older flats, of course, require more maintenance and the ages of the flats will be taken into account in working out the subsidy. I would like to assure Town Coun- cils that subsidies are not going to be just worked out on a flat basis for all Town Councils, on the basis of the number of flats. We will take into account the type of flats and the age of flats in working out the subsidies. This should, I think, assure Members who will be Chairmen of Town Councils that they will not be short changed in this exercise. Some very detailed points were raised as to how sinking funds will be built up, what kind of works will have to be listed in the annual budget of the Town Councils. These are matters of detail and they can be worked out in actual practice. We are dealing with the basic principles of different aspects of a Town Council. There is no intention to impose procedures on Town Councils which will make it absolutely impossible to work. After all, the whole intention of this exercise is to enable Town Councils to work and there can be sufficient discussions between the HDB, the Ministry of National Development and the Town Councils, to ensure that whatever procedures and other aspects that are agreed on are workable. There are two other important points that were raised; one by the Member for Yio Chu Kang - whether private estates will be included within the Town Councils. The present Bill, as you can see quite clearly, excludes not only private estates but even HUDC estates which are now managed by their own management corporations. It only covers areas in a Town Council which are Housing Board areas. Whether at some future date other parts of the Town Council should be brought in, I think that is a matter to be decided later.”
“Strictly speaking, in purely legal terms, after the period of defect liability, the HDB is not responsible for any defects that emerge. But the HDB being a responsible housing authority has in the past and will continue to repair any inherent building defects. The Member for Kebun Baru mentioned the spalling of concrete from ceilings. Yes, in fact, in some cases, it is years, 5, 6, 7 years, after the flats have been sold that this problem has begun to emerge. And the Housing Board has agreed to attend to these defects at its cost, although it is strictly not required under the terms of the sale of HDB flats. I think the Housing Board will continue to adopt this practice. Where it comes to subsidies especially - grants is another question but subsidies - a number of Members expressed concern about Town Council areas which may have old flats which require much more maintenance and repairs than the newer flats. This is, in fact, an important point and it will be taken into account when the subsidies are worked out. The subsidies will take into account a number of factors. First of all, from the present service and conservancy charges, we know that in the case of l- and 2-room flats, the subsidy is very high. In the case of the bigger flats, the 5-room and Executive flats, the service and conservancy charges cover costs. In working out the subsidy for a particular Town Council, the Housing Board will, in fact, tote up the number of l-room, 2-room, 3-room, 4-room, 5-room and other types of flats and work out the subsidy according to the types of flats, so that the Town Council gets a fair subsidy. It will also take into account the age of the flats.”
“Of course, the HDB will assist, if necessary, to recover these charges. But basically, at any point of time, there will be arrears and the authority in charge of providing the service and which has been paid the fee will have to recover the arrears, either through the Small Claims Tribunal or through the courts or, in the last instance, by actually repossessing the flat and selling it. That is, in fact, the procedure adopted by HDB and the same powers will be given to the Town Council. The Member for Jalan Kayu also raised in this respect the provision in the Bill which enables the Town Council to recover arrears either from the past owner or from the present owner. He thought that the present owner should not be liable for any debts incurred in this respect by the past or previous owner. This is the same provision that is found, in fact, in the HUDC Act and this gives the Town Council the authority or the power to go against either party. In actual practice, what will happen is that no flat will be sold in the market without the transaction going through the Housing and Development Board because the buyer will still have to satisfy the HDB that he is eligible to buy an HDB flat and the transaction, in fact, will be taken through the HDB. At that point, it is always very simple to ensure that, if there is any outstanding service and conservancy charges, these amounts are deducted before the seller gets his proceeds. I think in actual practice, it should not pose a problem. It can be worked out. The other point that has been raised by a number of Members is what happens to inherent building defects. I think the Member for Kaki Bukit even suggested that a subsidy or grant should take into account any defects.”
“20 cents depending upon where the car park is, do not give a reasonable return on the cost of building these car parks. If the HDB is going to hand over the car parks to the Town Councils for management, the HDB will expect to be paid at least what it is making now from the car parks. So there is no question of a Town Council being forced to take on terms that make the car park not viable. There are established and proven incomes from car parks and HDB will work out and say, "When we lease out these car parks in the whole town, this is what we expect to be paid." If the Town Council, having taken over the car parks, manages to increase its revenue by, for example, changing the parking rates in the Town centre area or in car parks which are near markets and they make more than what the HDB has been able to make before, then they will be allowed to keep a sizable portion. We have got to work this out, but obviously it must be sufficient to make it worthwhile for the Town Councils to take over the car parks. But no terms will be imposed on the Town Council which will make it an unviable proposition. The terms will be based upon actual practice that HDB has had with these facilities up to now. But actual details will, of course, have to be worked out and will vary from Town Council to Town Council. A point was also raised about the conservancy and service charges which are in arrears. Who will be responsible? At the point that the Town Councils take over, they will become responsible for the collection. At any point, there will always be some arrears. But the Town Councils Bill gives the Town Council adequate powers, powers that are no less than what the HDB now has, for the Town Council to recover unpaid service and conservancy charges.”
“The reason why the NTUC Cooperatives have survived, thrived and grown is because they have allowed competent, qualified specialists and managers to manage the Cooperatives. So it is for the country. MPs are national leaders. They are not just here to debate. They are here to help make good decisions. From the MPs, the Cabinet is formed. They make the policy decisions. It is absolutely important that they should be men of integrity and competence and of proven experience. We are not saying that every MP should be a graduate, but every MP must have these qualities that I have just described. So MPs in Singapore do have a role to play at a national level. But in actual practice, they are very much involved in the daily life and problems of their constituents. And I think it is absolutely logical and proper that MPs should be the leaders of the Town Councils. I will come back to the Member for Potong Pasir's detailed points that he raised after I have dealt with the points raised by other Members. One of the points that has been raised by a number of Members relates to the type of activities that will be handed over to the Town Council and particularly a number of MPs, including the Members for Chong Boon and Jalan Kayu, raised the problem of car parks. They were under the impression that the car parks run by the HDB are a good source of revenue and therefore this should be given to the Town Councils. There is provision for the car parks to be handed over for management by the Town Councils, but they will not be handed over for free. In fact, the car parks, as presently managed by the HDB, with the kinds of rates that they charge, ranging from $25 to $50 per month depending upon whether it is a covered or open car park, or an hourly rate of 60 cents to $1.”
“That is the reason why we think that the Member for Parliament is eminently suitable and qualified to lead the Town Council. Yes, we do look for people who are competent, people of integrity, people who are qualified. The Member said that it is not necessary to be a trained specialist in order to be a Member of Parliament or in order to be a leader of a country. All that the leader of a country needs to know is to know how to employ good managers, people who know the job. If leading a country were that simple, then every country would have good leaders. All that they need to do is to know who to employ. That requires intelligence. It requires intelligence to know when there is a problem, what the problem is and what kind of people need to be employed to tackle the problem. The Member reminds me of the story of a candidate who was accused by his opponent during election hustings of being mediocre and the candidate said, "Well, what is wrong with being mediocre because I represent the mediocre people?" Now, if that is the way that a country is to be ruled, I think the country can be in serious problems. In many ways, leading and managing a country is like leading and managing a large corporation. I am not saying it is so in all ways, but in many respects it is the same. Nobody would suggest that because an electronic company employs 3,000 workers, therefore that company should be managed by the workers. In fact, that was the philosophy at one time in Singapore when workers formed cooperatives. And since they said the cooperatives were meant to serve the workers, therefore it should be managed by workers. And most of the cooperatives got into very serious problems. In fact, I think none of them really survived.”
“Does a political reason necessarily make the Bill a bad Bill, a law bad for Singaporeans? We went to some extent to explain why it is absolutely essential that Singaporeans should be made to think carefully before they cast their vote, that they should vote sincerely and ask themselves very clearly what is in their interest, and not allow temporary misgivings or dissatisfactions with the Government to cloud the issue. We make this very clear and we stand by it. This Town Councils Bill is an important step in the political development of Singapore, and it is important that Members of Parliament should be given this responsibility. My colleague, the Minister for Trade and Industry, has explained. Our Parliament is unlike Parliaments in other countries which may sit for maybe nine months continuously. Members of Parliament come every day to Parliament. Ministers have their offices in Parliament. That is not the way we operate in Singapore. We sit, maybe, on the average, three or four days a month, except for the long sessions during Budget or when we debate the President's Address. So our Members of Parliament, frankly, spend most of their time not in Parliament but in the their constituencies looking after the interests of their constituents. I was quite dumbfounded when the Member for Potong Pasir said that the MP is an outsider in his constituency. Yes, he may live outside the constituency but surely the MP must know the problems, the aspirations of his constituents. He should be there several times a week, as Members of Parliament from the PAP do. They spend several times a week and they come to know in great detail the problems of their constituents. Who can better represent the problems in the daily life in Housing Board estates than the MP?”
“Mr Deputy Speaker, Sir, I thank the Members for their comments on this Bill. I note that, with the exception of the Member for Potong Pasir, all the Members are in support of the principles and the philosophy behind the Bill. The kinds of problems that they have raised really relate to the detailed workings of the Town Council. Some of the problems have cropped up in the pilot projects; others are being anticipated by Members. Since the Member for Potong Pasir is the only one who has, in fact, raised the question of the basic philosophy behind the Bill, perhaps I should deal with that first. He made the point that the main reason behind the Bill is a political one. I have made it clear yesterday in moving the Second Reading of this Bill that there are two purposes behind this Bill. One, of course is to enable residents in Housing Board estates to determine for themselves the kind of environment that they want to create. I said there was also an important political reason behind it, and the First Deputy Prime Minister spent much time, in fact, he made a longer speech than I did, explaining the political philosophy behind this Bill. So we are not trying to slip in the reasons behind the Bill quietly with a paragraph in my speech. We drew attention of the House as well as Singaporeans to the basic thrust of the Bill. The question really is not whether or not there is a political purpose. The question is: is the purpose a good one for Singapore? Will it make for a better Singapore? Will it make for a more stable and secure Singapore? Will it make for a better life for our citizens? That is the question that we ought to ask. And I am surprised that the Member for Potong Pasir never addressed these questions. All he said was, "There is a political reason." So what?”
“Or even to rear chickens if he likes in Potong Pasir, and not to waste the time of MPs in Parliament debating over such matters. Short of any hazards to public health, public safety, and public order, why should the HDB be involved? Mr Chiam See Tong: Right.”
“This is not a criticism of HDB or HDB staff, but a recognition of the problem arising from centralization of decision-making. Requests from constituencies have to be carefully considered because once approval is given, it has to be applied uniformly throughout the country. So we can understand why HDB has to exercise extreme caution. In doing so, they take longer to decide even small municipal matters, and sometimes must say "no" to projects which are worthy but which may set expensive precedent. There is another problem with centralized decisions. In the long run, it must lead to a dependent mentality among our people. The more HDB decides for the people, the less the people know how to do things for themselves. This is not conducive to developing self-reliant communities and community leaders. It certainly does not foster the development of a vibrant and creative society. Ideally, people should decide things for themselves. They should make their own decisions. If they make a good decision, they benefit from it. If they make a wrong decision, hopefully they learn from it. If they run their Town Councils efficiently, their constituencies will be safe, clean and green. If they do not, they only have themselves to blame. We should let them decide on the types and levels of services which they want for their constituents or how they want their estates landscaped. It should be up to the Member for Potong Pasir to decide where he wants to plant that "very rare, exotic tree". I do not know whether he still remembers the name of the tree. What was that? I think it is called Sterculia Nobilis. Am I right? But seriously, it is up to him to decide which tree he wants to plant in Potong Pasir and where he wants to plant it.”
“That is over-centralization and such over-centralization is undesirable. While the HDB has discharged its responsibilities admirably, it has done this at a price. The price is uniformity and a rather inflexible set of rules. A central agency must be strict and must be uniform in its decisions. It cannot exercise flexibility nor make quick decisions at the constituency level. If it is generous in one constituency, other constituencies will demand equal treatment. When some constituencies have PAP MPs and others Opposition MPs, it is even harder to be flexible without being accused of bias. Even being fair can lead to complaints of bias. Take, for example, the Member for Potong Pasir. When he was not allowed to plant a tree in Potong Pasir where he wanted, he complained loudly that HDB was biased, even though no other MP has been allowed to plant a tree wherever he wants to. Furthermore, as things stand, decisions are not made by people who are affected by them. The grassroots leaders, most of whom live in the constituency and know it well, and the MPs, who have been elected by the people to represent and look after them, can recommend to HDB what they want, but do not have the final say as to what goes in into the constituency. They must pass every request to HDB, even trivial matters like installing benches in void decks for old folks or putting up poles for bird singing. They have neither the power to decide nor the responsibility for making things work. HDB, on the other hand, has all the power to decide, but not the speed of decision-making, especially if a request is the first of its kind, say, a covered walkway between a market and a block of flats.”
“It gives them, and the residents, greater power and responsibility to manage their own affairs and to participate in their estate's development. Second, because MPs will have increased authority and responsibility, voters will be more likely to vote carefully and sincerely, and to choose honest and effective MPs. Town Councils will make it harder for weaker candidates to win, whichever political party they come from. But it will not prevent the stronger ones from winning. They will, in fact, help opposition parties if they are able to assemble strong candidates. By getting voters to vote according to their true preferences, Town Councils will add ballast and stability to our political system. This Bill gives more power and responsibility to MPs, and also to the grassroots leaders who become Town Councillors. After the Bill is passed, they, and not the HDB, will be responsible for managing the social and physical environment of their constituencies. I know that some MPs are apprehensive about this responsibility. So also are many grassroots leaders. They are used to the job being done for them by the HDB. And I believe, of late, many have started saying that HDB has done a good job. It is an indication of their apprehension over having to assume new responsibility. But it is right to change, and to devolve some of HDB's power into the hands of local constituency leaders and the elected MP. It was never the original intention that HDB should become the management corporation for 80% of our population. This situation has evolved by itself, as HDB built more and more housing estates every year, and just continued to manage and look after the flats which they have sold off to the people. Bear in mind that the HDB makes housing rules for 2 million people.”
“As I have said, residents will be more directly involved than now in decision-making on matters that affect their immediate living and social environment. The Town Councils Bill will provide the framework for individual HDB estates to reflect the aspirations and creativity of the residents. In the long run, we should find that different estates and different towns will take on a different character and people will not complain that every HDB town or estate looks the same. It is up to the people to determine for themselves how they want to shape the environment, what kind of additional facilities they want to put in and how well they want to maintain their surroundings. This Bill represents the result of nine months of intensive work by officers of 10 Government Ministries and Departments and the Chairmen of the three Ang Mo Kio Town Councils. They have come up with this framework which incorporates the necessary powers and latitudes for the effective functioning of Town Councils with sufficient in-built safeguards to protect the interest of the residents. Sir, I beg to move, Question proposed. 11.52 am The First Deputy Prime Minister and Minister for Defence (Mr Goh Chok Tong): Mr Deputy Speaker, Sir, the Minister for National Development has already explained the reasons for the Town Council Bill. I want to elaborate on the philosophy behind the Bill. In 1984 and early 1985, before and after the General Elections, we pledged to seek the participation of our people, both young and old, in building an even better Singapore. We also emphasized the need to provide stabilizers to our democratic political system. This Bill will contribute to the attainment of the two philosophical objectives. First, it transfers some power from the HDB to the MPs and grassroots leaders.”
“For estate management, the Government will provide the Town Councils with the same financing as that now provided to the Housing and Development Board. The grants-in-aid to be provided will be worked out based on the HDB's current rate of service and conservancy expenditure. In other words, households in estates managed by Town Councils will be subsidized at levels no less than that of households in estates which come directly under HDB management. The quantum of grants will vary with flat-types and with the age of the flats. To start off Town Councils on a sound footing, the Government will, in the initial years, provide additional financial assistance in the form of grants and soft loans for capital projects. Details of the financial package which will be given to Town Councils are being finalized and will be released in due course. The Bill provides certain powers to Town Councils to enable the recovery of unpaid service and conservancy charges. This is to ensure that Town Council operations are not hampered by cashflow problems arising from non-payment of these charges. Specifically, the Town Councils are empowered to: (a) recover the arrears due in a Small Claims Tribunal; (b) go to Court for a writ of seizure and sale of movable property belonging to the owner; and (c) impose a charge and, upon expiry of the notice of intention to sell, dispose of the flat. The Members of Parliament and their appointed councillors will be fully accountable to the residents for their actions and decisions. From the point of view of HDB residents, the formation of Town Councils will give greater opportunities to the people for direct participation in the management of their housing blocks and their surroundings.”
“The functions of a Town Council are to control, manage, maintain and improve the common areas of the residential and commercial property in the housing estates of the HDB within the Town. A Town Council shall have the powers to: (a) establish and maintain places and facilities for recreation, relaxation and other educational and cultural purposes; (b) provide and maintain additional facilities or make improvements to existing facilities; (c) acquire and hold property of any description provided this is necessary for the performance of its functions; and (d) impose charges for the use of facilities or services. A Town Council may also by agreement with the HDB maintain the common areas in an industrial property and manage the operations of car parks, markets and hawker centres located within the Town. These are additional responsibilities which a Town Council can opt to take on when it is ready to do so. The Bill provides Town Councils with the necessary authority to carry out these functions. It can make by-laws for the purpose of carrying out such functions and duties. It is empowered to appoint a Secretary, agents and other staff to assist it in carrying out its functions and duties. The Bill also provides the following financial provisions: (a) The Government may make grants-in-aid to Town Councils; (b) Town Councils are required to set up and maintain sinking funds to enable the carrying out of cyclical repair works. Contributions to the funds must not be lower than the prescribed rates; (c) Town Councils may borrow money for such purposes as meeting expenses incurred in respect of cyclical repair works; and (d) Town Councils can invest their surplus funds that are not immediately required in trustee stocks.”
“It has the benefit of very high level consideration and the actual experience that we have had so far in Ang Mo Kio. Under the Bill, the Minister is empowered to designate as a Town an area comprising any single constituency or a combination of two or three constituencies where the Members of Parliament have agreed to their constituencies being combined. The advantages of combination or grouping are obvious - it facilitates amenity sharing and more economical use of resources resulting in cost savings. It is also obvious that where Members of Parliament have different ideas, it will be counter- productive to force them to group themselves together into one Town Council. A Town Council will consist of all Members of Parliament for the constituencies comprised within the Town. In addition, the Chairman of the Town Council can appoint not less than six or more than 30 members and these members have to be nominated by the Members of Parliament within the Town. At least two-thirds of the appointed members must be residents of the Town. This is to ensure that Council decisions reflect the views of the residents. At the same time provision is made for those not living within the Town to be also on a Town Council because Town Councils may be able to benefit from the expertise and experience of people living outside the Town. But in order to make sure that the views and interests of the residents within the Town are well reflected and protected, at least two-thirds of the appointed members must be residents. The Chairman is appointed by the Members of Parliament of the Town Council from among their number. In the case of a single-constituency Council, the Member of Parliament for that constituency is the Chairman.”
“The experience of Ang Mo Kio residents shows conclusively that the concept of Town Council can be applied successfully to other HDB estates to allow residents to participate more in such decision-making on local estate management matters. The Government has, therefore, in the light of the experience in the pilot projects in Ang Mo Kio, decided to extend the concept of Town Councils to all constituencies with HDB estates. Thus we have this Bill before the House. An important feature of the pilot project, and which is incorporated in the Bill, is for Members of Parliament to be Chairmen of Town Councils and to select or nominate the other Town Councillors. There are very important reasons for this - reasons that have to do with our survival under the system of representative government. It is crucial to understand the philosophy and arguments for this approach and the First Deputy Prime Minister, who will speak after me, will explain and elaborate on this aspect. The Bill before the House provides for the incorporation of Town Councils, their constitution and their functions. The main provisions in the Bill follow recommendations by a Working Committee which was chaired by the Minister of State for National Development. This Committee which met between May 1987 and Feburary 1988 was in turn guided by a Ministerial Steering Committee chaired by the First Deputy Prime Minister. The three Chairmen of the pilot Town Councils in Ang Mo Kio sat on both Committees and provided valuable feedback based on their experience in running the pilot Town Councils. This Bill, therefore, has been very thoroughly considered and it is not just something drafted by legal draftsmen.”
“In Ang Mo Kio West Council, for example, the residents and Councillors embarked on a project costing $62,000 to paint large wall murals at void decks to liven up the surroundings. This has given a distinctive feature to the neighbourhood. They also constructed additional staircase access to the Ang Mo Kio Town Garden West and improved estate landscaping by providing a small Japanese Garden and a mini-garden with benches and colourful shrubs. This may be considered small projects but they do show what residents would like to do if they are given the responsibility to decide things for themselves. Other projects undertaken by residents in the pilot Town Councils include the provision of additional carpark facilities to accommodate residents patronizing shops and markets in Ang Mo Kio West and the installation of new play equipment in selected playgrounds in Ang Mo Kio East. In carrying out these projects, residents had to make their own decisions on how to allocate limited funds available to the Councils for projects that bring benefits to all residents living in the estate. As another example, the Ang Mo Kio South Council agreed to allocate a sum of $20,000 to improve the Town Garden in their area. It is conceivable that for more ambitious projects and more ambitious improvement works, the residents may be willing to make a small contribution in addition to whatever charges they are paying now with a small additional contribution going to meet the new improvement work of special project. There is scope for more such cooperation among residents.”
“Mr Deputy Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Mr Deputy Speaker, Sir, 20 months ago, we started a pilot Town Council project in Ang Mo Kio New Town. We wanted to see how residents can participate in the management of public housing estates. As the national housing authority, the Housing and Development Board has to provide the same amenities and have the same rules and regulations in all estates. This is the only equitable approach when one housing authority is responsible for the management of all public housing estates. There is little room for the HDB to vary what it provides to suit individual estates and neighbourhoods. Such flexibility is possible with the setting up of Town Councils, under which residents can decide for themselves the kind of living environment that they want. Each Town can then develop a distinctive character of its own according to local conditions and the desires of its residents. Town residents can participate in the day-to-day running of their estates. This will help to enhance their sense of belonging and instil responsibility and pride in them for their immediate surroundings. The Ang Mo Kio pilot projects have shown that self-management is a workable concept for public housing estates. In the Ang Mo Kio Town Councils, residents have participated with enthusiasm in the running of their own estates - making suggestions and proposals to shape their living environment to give it a distinctive character. Various committees have been formed, such as a Business Liaison Committee and an Environmental Committee. These involve more people in making decisions on maintenance or improvement over and above existing standard facilities.”