Session 2010 - 12
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Other Bills before Parliament

Lords Amendments to the Localism Bill


 
 

30

 
 

  “(3)  

Any function of the Commission may be discharged on the

 

Commission’s behalf—

 

(a)    

by any person authorised by the Commission to do so,

 

and

 

(b)    

to the extent so authorised.

 

      (4)  

Sub-paragraph (3) does not affect the responsibility of the

 

Commission for the discharge of the function.””

Clause 31

50

Page 29, line 5, leave out subsections (1) to (5) and insert—

 

“(1)    

A Minister of the Crown may, in accordance with the provisions of this

 

Part, require public authorities to make payments of amounts determined

 

by a Minister of the Crown in respect of an EU financial sanction to which

 

this Part applies.

 

(2)    

A requirement to make a payment under this Part—

 

(a)    

may only be imposed on a public authority if—

 

(i)    

the authority has been designated under section

 

(Designation of public authorities); and

 

(ii)    

the EU financial sanction concerned is one to which the

 

designation applies; and

 

(b)    

must be imposed by a notice given to the authority under section 33

 

(referred to in this Part as a final notice).”

51

Page 29, line 28, leave out “an EU financial sanction” and insert “a final”

52

Page 29, line 31, leave out “local or”

53

Page 29, line 32, at end insert—

 

“(8)    

In this Part—

 

(a)    

“EU financial sanction” means a sanction consisting of a lump sum

 

or penalty payment (or both) imposed by the Court of Justice in

 

Article 260(2) proceedings for an infraction of EU law;

 

(b)    

“infraction of EU law”, in relation to an EU financial sanction,

 

means the failure to comply with a judgment of the Court of Justice

 

given in proceedings under Article 258 or 259 of the Treaty on the

 

Functioning of the European Union; and

 

(c)    

“Article 260(2) proceedings” means proceedings under Article

 

260(2) of that Treaty.”

After Clause 31

54

Insert the following new Clause—

 

“Duty of the Secretary of State to issue a policy statement

 

(1)    

The Secretary of State must publish a statement of policy with respect to—

 

(a)    

the designation of public authorities under section (Designation of

 

public authorities);

 

(b)    

the imposition and variation of requirements to make payments

 

under this Part; and


 
 

31

 
 

(c)    

such other matters relating to the operation of the provisions of this

 

Part as the Secretary of State may think it appropriate to include in

 

the statement.

 

(2)    

The Secretary of State may from time to time revise and republish the

 

statement of policy required by this section.

 

(3)    

A revised statement of policy may include saving or transitional provisions

 

relating to the continued application for any purpose of any provisions of

 

an earlier published version of the statement.

 

(4)    

The Secretary of State must consult such persons as the Secretary of State

 

considers appropriate before publishing, or revising and republishing, the

 

statement of policy required by this section.

 

(5)    

In exercising functions under this Part in relation to an EU financial

 

sanction which has been or may be imposed on the United Kingdom—

 

(a)    

a Minister of the Crown, and

 

(b)    

a panel established under section (Establishment of independent

 

panel),

 

    

must have regard to the statement of policy most recently published under

 

this section.”

55

Insert the following new Clause—

 

“The EU financial sanctions to which Part 2 applies

 

(1)    

This Part applies to any EU financial sanction imposed on the United

 

Kingdom after the commencement of this Part, subject to subsection (2).

 

(2)    

If a Minister of the Crown gives a certificate—

 

(a)    

specifying a part or parts of an EU financial sanction, and

 

(b)    

stating that this Part is not to apply to that part, or those parts, of the

 

sanction,

 

    

this Part applies to that EU financial sanction as if it did not include that

 

part or those parts.

 

(3)    

A certificate under subsection (2)—

 

(a)    

may different provision about any of the following—

 

(i)    

the lump sum (if any) paid by the United Kingdom;

 

(ii)    

any periodic payment due from the United Kingdom under

 

the terms of the EU financial sanction before the certificate

 

is given; and

 

(iii)    

any subsequent periodic payment that may fall due from

 

the United Kingdom under those terms; and

 

(b)    

must be given in such form and published in such manner as the

 

Minister of the Crown giving it thinks fit.

 

(4)    

Any provision of a certificate under subsection (2) which has the effect of

 

excluding the whole or part of any periodic payment mentioned in

 

subsection (3)(a)(iii) (including any such payment which has fallen due

 

from the United Kingdom since the earlier certificate was given) may be

 

varied by a further certificate under subsection (2).”

56

Insert the following new Clause—


 
 

32

 
 

“Meaning of “public authority” and related terms

 

(1)    

This section defines various terms used in this Part.

 

(2)    

“Public authority” means—

 

(a)    

a local authority to which subsection (3) applies; or

 

(b)    

any other person or body which has any non-devolved functions.

 

(3)    

This subsection applies to—

 

(a)    

any of the following in England—

 

(i)    

a county council, district council or London borough

 

council;

 

(ii)    

the Common Council of the City of London (in its capacity

 

as a local authority);

 

(iii)    

the Greater London Authority; and

 

(iv)    

the Council of the Isles of Scilly;

 

(b)    

a council constituted under section 2 of the Local Government etc.

 

(Scotland) Act 1994;

 

(c)    

a district council within the meaning of the Local Government Act

 

(Northern Ireland) 1972;

 

(d)    

a council of a county or county borough in Wales.

 

(4)    

References to functions are to functions of a public nature.

 

(5)    

References to non-devolved functions are to functions which are not

 

devolved functions.

 

(6)    

References to devolved functions are to—

 

(a)    

Scottish devolved functions, that is to say functions the exercise of

 

which would be within devolved competence (within the meaning

 

of section 54 of the Scotland Act 1998);

 

(b)    

Northern Ireland devolved functions, that is to say functions which

 

could be conferred by provision included in an Act of the Northern

 

Ireland Assembly made without the consent of the Secretary of

 

State (see sections 6 to 8 of the Northern Ireland Act 1998); or

 

(c)    

Welsh devolved functions, that is to say functions which are

 

exercisable in relation to Wales and could be conferred by provision

 

falling within the legislative competence of the National Assembly

 

for Wales as defined in section 108 of the Government of Wales Act

 

2006.

 

(7)    

References to a public authority with mixed functions are to a public

 

authority which has both non-devolved and devolved functions.

 

(8)    

The “appropriate national authority”, in relation to a public authority with

 

mixed functions, means the following national authority or authorities

 

(according to whichever one or more of the following paragraphs apply to

 

that public authority)—

 

(a)    

the Scottish Ministers, if the public authority has any Scottish

 

devolved functions;

 

(b)    

the relevant Northern Ireland department, if the public authority

 

has any Northern Ireland devolved functions; and

 

(c)    

the Welsh Ministers, if the public authority has any Welsh devolved

 

functions.”

57

Insert the following new Clause—


 
 

33

 
 

“Designation of public authorities

 

(1)    

A Minister of the Crown may by order designate a public authority for the

 

purposes of this Part.

 

(2)    

The order must—

 

(a)    

specify the public authority by name;

 

(b)    

identify any EU financial sanction to which the designation applies;

 

and

 

(c)    

describe the activities of the authority which are covered by the

 

designation.

 

(3)    

The order may identify an EU financial sanction for the purposes of

 

subsection (2)(b) by—

 

(a)    

specifying an EU financial sanction that has been imposed on the

 

United Kingdom;

 

(b)    

specifying any Article 260(2) proceedings that have been

 

commenced and providing that the designation is to apply to any

 

EU financial sanction that may be imposed on the United Kingdom

 

in those proceedings;

 

(c)    

specifying a judgment of the Court of Justice finding that the United

 

Kingdom has failed to comply with an EU obligation and providing

 

that the designation is to apply to any EU financial sanction that

 

may be imposed on the United Kingdom for failing to comply with

 

that judgment; or

 

(d)    

specifying or describing any proceedings under Article 258 or 259

 

of the Treaty on the Functioning of the European Union that have

 

been or may be commenced and providing that the designation is

 

to apply to any EU financial sanction that may be imposed on the

 

United Kingdom for failing to comply with a judgment of the Court

 

of Justice given in those proceedings.

 

(4)    

The order may, for the purposes of subsection (3)(d), describe any

 

proceedings under Article 258 or 259 that may be commenced by reference

 

to the subject-matter of—

 

(a)    

a Reasoned Opinion addressed to the United Kingdom under

 

Article 258 or 259 (as the case may be); or

 

(b)    

any other document sent to the Government of the United

 

Kingdom by the Commission of the European Union or by another

 

member State which gives notice to the Government of the

 

possibility of proceedings being commenced against the United

 

Kingdom.

 

(5)    

The activities described for the purposes of subsection (2)(c) must be

 

activities of the public authority which—

 

(a)    

are carried out in the exercise of non-devolved functions of the

 

public authority; and

 

(b)    

take place after the provisions of the order describing the activities

 

come into force.

 

(6)    

The following may not be designated under this section—

 

(a)    

the House of Commons, the House of Lords, the Scottish

 

Parliament, the Northern Ireland Assembly or the National

 

Assembly for Wales;

 

(b)    

a Minister of the Crown or a United Kingdom government

 

department;


 
 

34

 
 

(c)    

a member of the Scottish Executive;

 

(d)    

the First Minister or the deputy First Minister for Northern Ireland,

 

a Northern Ireland Minister or a Northern Ireland Department;

 

(e)    

a member of the Welsh Assembly Government;

 

(f)    

a court or tribunal.

 

(7)    

Before making an order designating a public authority a Minister of the

 

Crown must consult—

 

(a)    

the public authority concerned; and

 

(b)    

if it is a public authority with mixed functions, the appropriate

 

national authority.

 

(8)    

In sections 32 to 33 references to “acts”, in relation to a public authority

 

which has been designated under this section, are to acts within a

 

description of activities covered by the designation.”

58

Insert the following new Clause—

 

“Establishment of independent panel

 

(1)    

This section applies where—

 

(a)    

an EU financial sanction to which this Part applies has been

 

imposed by the Court of Justice; and

 

(b)    

at least one public authority is the subject of a designation order

 

under section (Designation of public authorities) which applies to that

 

EU financial sanction.

 

(2)    

A Minister of the Crown must establish a panel for the purpose of carrying

 

out any functions it may be given by or under any provision of this Part in

 

relation to that EU financial sanction.

 

(3)    

The panel must be established before any warning notice is given to a

 

public authority in relation to that EU financial sanction.

 

(4)    

The panel is to consist of one or more individuals appointed by a Minister

 

of the Crown who appear to a Minister of the Crown to have suitable

 

qualifications, expertise or experience to carry out their duties.

 

(5)    

A Minister of the Crown may invite nominations for appointment to the

 

panel from such organisations as a Minister of the Crown considers

 

appropriate.

 

(6)    

The validity of any acts of the panel is not affected by a vacancy among its

 

members.

 

(7)    

A Minister of the Crown may pay to a member of the panel such fees,

 

allowances or expenses as a Minister of the Crown may determine.

 

(8)    

A Minister of the Crown may provide such staff, accommodation or other

 

facilities as a Minister of the Crown may consider necessary to enable the

 

panel to carry out its functions.”

Clause 32

59

Page 29, line 34, leave out subsection (1) and insert—

 

“(1)    

Before a public authority which has been designated under section

 

(Designation of public authorities) can be required to make any payment


 
 

35

 
 

under this Part in respect of an EU financial sanction to which the

 

designation applies—

 

(a)    

a Minister of the Crown must give a warning notice under this

 

section to the public authority;

 

(b)    

the procedures set out in the warning notice (with any changes

 

made under subsection (7)) must be followed; and

 

(c)    

a Minister of the Crown must determine the matters mentioned in

 

section (Matters to be determined before a final notice is given)(4).”

60

Page 29, line 39, leave out “the Minister” and insert “a Minister of the Crown”

61

Page 29, line 40, leave out from “Justice” to “financial” in line 41 and insert

 

“imposing the EU”

62

Page 30, line 3, leave out “a payment under this Part” and insert “payments under

 

this Part (which may be or include ongoing payments)”

63

Page 30, line 3, leave out “that” and insert “the EU”

64

Page 30, line 4, leave out subsections (3) to (5) and insert—

 

“(3)    

The warning notice must also—

 

(a)    

identify the EU financial sanction to which the notice relates;

 

(b)    

specify the total amount of that sanction (see subsection (6C));

 

(c)    

if that sanction is or includes a penalty payment, specify the amount

 

and frequency of any periodic payments that fall due from the

 

United Kingdom under the terms of the penalty payment (see

 

subsection (6D));

 

(d)    

set out the reasons for making the statement required by subsection

 

(2);

 

(e)    

set out the proposed procedures and arrangements for determining

 

the matters mentioned in section (Matters to be determined before a

 

final notice is given)(4) (which may include arrangements for

 

securing that matters arising under the notice are dealt together

 

with matters arising under other warning notices given to other

 

public authorities in respect of the same EU financial sanction);

 

(f)    

propose a timetable for those procedures and for any steps to be

 

taken by the panel or a Minister of the Crown before any

 

requirement to make a payment can be imposed on the authority;

 

(g)    

invite the authority to make representations to a Minister of the

 

Crown about the matters mentioned in paragraphs (e) and (f);

 

(h)    

invite the authority to make representations to the panel (with any

 

supporting evidence) about anything the authority considers

 

relevant to the matters mentioned in section (Matters to be

 

determined before a final notice is given)(4), including its response to

 

any representations made (and any supporting evidence

 

submitted) to the panel —

 

(i)    

by a Minister of the Crown or a government department

 

(whether in relation to matters arising from the notice or

 

matters arising from any other warning notice given to

 

another public authority in relation to the same EU financial

 

sanction);

 

(ii)    

by another public authority which has been given a warning

 

notice in relation to the same EU financial sanction; or

 

(iii)    

by the appropriate national authority in response to an

 

invitation under paragraph (j) included in the notice; and


 
 

36

 
 

(j)    

if the authority has mixed functions, invite the appropriate national

 

authority to make representations about anything contained in or

 

arising from the notice.”

65

Page 30, line 40, at end insert “of the Crown giving it”

66

Page 30, line 41, at end insert—

 

“(6A)    

Before a Minister of the Crown gives a warning notice to the authority, the

 

Minister of the Crown must consult the panel as to the contents of the

 

notice (including in particular the proposed procedures and timetable

 

mentioned in subsection (3)(e) and (f)).

 

(6B)    

If the authority has mixed functions, a Minister of the Crown must—

 

(a)    

consult the appropriate national authority before deciding to give a

 

warning notice to the authority; and

 

(b)    

give the appropriate national authority a copy of any warning

 

notice the Minister of the Crown decides to give.

 

(6C)    

In subsection (3)(b) the “total amount of the sanction” means the sum of the

 

following—

 

(a)    

the amount of the lump sum (if any) due from the United Kingdom

 

under the terms of the EU financial sanction (disregarding any

 

amount that falls to be excluded from the lump sum by virtue of

 

section (The EU financial sanctions to which Part 2 applies)(2)); and

 

(b)    

the total amount of the periodic payments (if any) which have fallen

 

due from the United Kingdom on or before a day specified in the

 

notice (disregarding any amount that falls to be excluded from any

 

of those payments by virtue of section (The EU financial sanctions to

 

which Part 2 applies)(2));

 

    

and the day specified for the purposes of paragraph (b) must be no later

 

than the day on which the warning notice is given to the authority.

 

(6D)    

The periodic payments to be taken into account for the purposes of

 

subsection (3)(c) do not include—

 

(a)    

any periodic payment taken into account in calculating the total

 

amount of the sanction for the purposes of subsection (3)(b); or

 

(b)    

any periodic payment, or any part of a periodic payment, that falls

 

to be excluded from the EU financial sanction by virtue of section

 

(The EU financial sanctions to which Part 2 applies)(2).”

67

Page 30, line 42, leave out “The Minister” and insert “A Minister of the Crown”

68

Page 30, line 43, leave out “(3)(d)(ii)” and insert “(3)(g)”

69

Page 30, line 43, leave out “subsection (3)(b)” and insert “section (Matters to be

 

determined before a final notice is given)(4)”

70

Page 30, line 44, after “authority” insert “—

 

(a)    

71

Page 30, line 45, leave out “criteria,”

72

Page 30, line 46, leave out “(3)(b), (c) or (e).” and insert “(3)(e) and (f); and

 

(b)    

a copy of the warning notice incorporating those changes.

 

(7A)    

A Minister of the Crown must consult the panel before making any changes

 

under subsection (7).”


 
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Revised 2 November 2011