The Provisional Urban Council pledged to work until the last minute before the Government scraps the municipal councils in 2000.
Council chairman Dr Ronald Leung Ding-bong said it would not postpone or stop providing services for the public in spite of the centralisation plan.
'If your boss asks you to retire soon, you can't fold your arms and do nothing,' he said.
Dr Leung said the council would go ahead with its plans to build a central library and film museum.
It would also stick to the plan to formulate the budget until March 2000, even though the councils would no longer exist.
Dr Leung admitted there were still differences in the policies of the two municipal councils.
'Everybody knows there are differences. But we have a mechanism to co-ordinate,' he said, referring to the joint committee on co-ordination.
Noting some legislators had expressed sympathy over the 'one council, one department' proposal, Dr Leung said he was still confident of lobbying the Government to change its mind.