Legislators approved a HK$5 billion (US$643 million) fund on Friday to help non-governmental organizations build and run transitional flats to house low-income residents on the waiting list for public housing.
An NGO hailed the move as timely in view of the growing need for such homes in the current recession, saying it reflects the government’s resolve to improve the people’s livelihoods.
Legislators approved a HK$5 billion (US$643 million) fund on Friday to help non-governmental organizations build and run transitional flats to house low-income residents on the waiting list for public housing
Under Secretary for Transport and Housing Raymond So Wai-man told a meeting of the Legislative Council’s Finance Committee the fund will be distributed to more than a dozen NGOs as startup capital for building homes that can mostly be used for three years or above.
The government had earlier set a target of providing 15,000 transitional flats over the next three years. As of January, NGOs had provided up to 763 transitional housing units.
The subsidy program was supported by 35 of 46 lawmakers, some of whom expressed concern that it would allow the government to “outsource” its responsibilities to NGOs. They also cast doubts on the capability of the non-profit-making organizations to provide quality flats and complete them on time.
Besides providing financial aid, So said, the government will be involved in the projects by simplifying administrative procedures and hiring professional consultants to offer technical aid. NGOs can be more “flexible” and “creative” in carrying out the projects, he added.
NGOs will have to follow government instructions, such as giving priority to residents who’ve been on the public housing waiting list for over three years, and reporting to the authorities annually, he added.
Lawmaker Wilson Or Chong-shing of the Democratic Alliance for the Betterment and Progress of Hong Kong urged the housing authorities to directly participate in building shelters for the underprivileged. He also suggested that the rental ceiling for transitional homes be lowered from the current 40 percent of a household’s income to 25 percent.
The Lok Sin Tong Benevolent Society — the first NGO to operate transitional flats in Hong Kong that has so far provided nearly 100 units — said the funding shows the government is determined to improve the livelihoods of residents.
The society’s chief executive, Lau Oi-sze, told China Daily her organization could only help a very limited number of families in the past because all the decoration and maintenance costs were covered by donations.
As various sectors have taken a hit from the COVID-19 epidemic, she said the demand for transitional flats would rise in the next few months. “With the HK$5 billion fund, more NGOs can take part without worrying about a lack of resources,” she said.
NGOs play a unique role in these projects, as they let those receiving help return the favor by becoming volunteers, as demonstrated by many transitional housing tenants, Lau added.
