Cities and Local Government Devolution Bill (HL Bill 1)

A

BILL

TO

Make provision for the election of mayors for the areas of, and for conferring
additional functions on, combined authorities established under Part 6 of the
Local Democracy, Economic Development and Construction Act 2009; to
make other provision in relation to bodies established under that Part; to make
provision about local authority governance; and for connected purposes.

Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and
consent of the Lords Spiritual and Temporal, and Commons, in this present
Parliament assembled, and by the authority of the same, as follows:—

Mayoral combined authorities

1 Power to provide for an elected mayor

(1) After section 107 of the Local Democracy, Economic Development and
Construction Act 2009 insert—

5“Mayors for combined authority areas

107A Power to provide for election of mayor

(1) The Secretary of State may by order provide for there to be a mayor for
the area of a combined authority.

(2) A mayor for the area of a combined authority is to be elected by the
10local government electors for that area in accordance with provision
made by or under this Part.

(3) In subsection (2) “local government elector” has the meaning given by
section 270(1) of the Local Government Act 1972.

(4) Schedule 5B makes further provision about the election of mayors for
15areas of combined authorities.

(5) A mayor for the area of a combined authority is entitled to the style of
“mayor”.

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(6) A mayor for the area of a combined authority is by virtue of that office
a member of, and the chair of, the combined authority.

(7) An order under this section providing for there to be a mayor for the
area of a combined authority may not be revoked by making a further
5order under this section; but this does not prevent the making of an
order under section 107 abolishing the authority (together with the
office of mayor).

(8) In this Part “mayoral combined authority” means a combined authority
for an area for which provision is made in an order under this section
10for there to be a mayor.

107B Requirements in connection with orders under section 107A

(1) The Secretary of State may make an order under section 107A in
relation to a combined authority’s area if a proposal for there to be a
mayor for the authority’s area has been made to the Secretary of State
15by the appropriate authorities.

(2) A proposal under subsection (1) may be included in a scheme prepared
and published under section 109 or 112.

(3) An order under section 107A may also be made without any such
proposal having been made if—

(a) 20the appropriate authorities consent, or

(b) in the case of an existing combined authority, the appropriate
authorities consent apart from one non-consenting constituent
council.

(4) Where an order under section 107A is made by virtue of subsection
25(3)(b) of this section, the Secretary of State must make an order under
section 106 to remove the area of the non-consenting constituent
council from the existing area of the combined authority.

(5) Subsection (2) of section 106 does not apply to an order made under
that section as a result of subsection (4) of this section.

(6) 30For the purposes of this section “the appropriate authorities” are—

(a) each county council the whole or any part of whose area is
within the area for which the combined authority is, or is to be,
established,

(b) each district council whose area is within the area for which the
35combined authority is, or is to be, established, and

(c) in the case of an order in relation to an existing combined
authority, the combined authority,

and a “constituent council” is a council within paragraph (a) or (b).”

(2) After Schedule 5A to that Act (inserted by section 7 below) insert, as Schedule
405B, the Schedule set out in Schedule 1 to this Act.

2 Deputy mayors etc

After section 107B of the Local Democracy, Economic Development and

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Construction Act 2009 (inserted by section 1 above) insert—

107C Deputy mayors etc

(1) The mayor for the area of a combined authority must appoint one of the
members of the authority to be the mayor’s deputy.

(2) 5The deputy mayor holds office until the end of the term of office of the
mayor, subject to subsection (3).

(3) A person ceases to be the deputy mayor if at any time—

(a) the mayor removes the person from office;

(b) the person resigns as deputy mayor;

(c) 10the person ceases to be a member of the combined authority.

(4) If a vacancy occurs in the office of deputy mayor, the mayor must
appoint another member of the combined authority to be deputy
mayor.

(5) The deputy mayor must act in place of the mayor if for any reason—

(a) 15the mayor is unable to act, or

(b) the office of mayor is vacant.

(6) If for any reason—

(a) the mayor is unable to act or the office of mayor is vacant, and

(b) the deputy mayor is unable to act or the office of deputy mayor
20is vacant,

the other members of the combined authority must act together in place
of the mayor, taking decisions by a simple majority.

(7) In this Part “deputy mayor”, in relation to a mayoral combined
authority, means the person appointed under this section by the mayor
25for the authority’s area.”

3 Functions

(1) After section 107C of the Local Democracy, Economic Development and
Construction Act 2009 (inserted by section 2 above) insert—

107D Functions of mayors: general

(1) 30The Secretary of State may by order make provision for any function of
a mayoral combined authority to be a function exercisable only by the
mayor.

(2) In this Part references to “general functions”, in relation to a mayor for
the area of a combined authority, are to any functions exercisable by the
35mayor other than PCC functions.

(3) The mayor may arrange for—

(a) the deputy mayor to exercise any general function of the mayor,
or

(b) for another member or officer of the combined authority to
40exercise any such function.

(4) Provision in an order under subsection (1) for a function to be
exercisable only by the mayor is subject to subsection (3); but the

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Secretary of State may by order provide that arrangements under
subsection (3)

(a) may authorise the exercise of general functions only of a
description specified in the order, or

(b) 5may not authorise the exercise of general functions of a
description so specified.

(5) Any general function exercisable by the mayor for the area of a
combined authority by virtue of this Act is to be taken to be a function
of the combined authority exercisable—

(a) 10by the mayor individually, or

(b) by a person acting under arrangements with the mayor made in
accordance with subsection (3).

(6) An order under this section may—

(a) provide for members or officers of a mayoral combined
15authority to assist the mayor in the exercise of general functions;

(b) confer ancillary powers on the mayor for the purposes of the
exercise of general functions;

(c) authorise the mayor to appoint one person as the mayor’s
political adviser;

(d) 20provide for the terms and conditions of any such appointment.

(7) Provision under subsection (6)(b) may include provision conferring
power on the mayor that is similar to any power exercisable by the
mayoral combined authority—

(a) under section 113A, or

(b) 25under an order made under section 113D,

but the power conferred on the mayor may not include a power to
borrow money.

107E Functions of mayors: policing

(1) The Secretary of State may by order provide for the mayor for the area
30of a combined authority to exercise functions of a police and crime
commissioner in relation to that area.

(2) The reference in subsection (1) to functions of a police and crime
commissioner is to any functions conferred on police and crime
commissioners by or under—

(a) 35Part 1 of the Police Reform and Social Responsibility Act 2011,
or

(b) any other Act (whenever passed).

(3) In this Part references to “PCC functions”, in relation to a mayor for the
area of a combined authority, are to the functions of a police and crime
40commissioner that are exercisable by the mayor by virtue of subsection
(1).

(4) An order under subsection (1) may be made only with the consent of
the appropriate authorities (as defined by section 107B(6)).

(5) If an order is made under subsection (1) in relation to a combined
45authority’s area—

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(a) the Secretary of State must by order provide that there is to be
no police and crime commissioner for that area as from a
specified date;

(b) the Secretary of State may by order provide that any election of
5a police and crime commissioner for that area that would
otherwise take place (whether before or after the specified date)
by virtue of section 50(1)(b) of the Police Reform and Social
Responsibility Act 2011 is not to take place.

(6) An order under subsection (5) may include provision—

(a) 10for the term of office of a police and crime commissioner to
continue until the date specified under subsection (5)(a) (in
spite of section 50(7)(b) of the Police Reform and Social
Responsibility Act 2011);

(b) for an election to fill a vacancy in the office of a police and crime
15commissioner, which otherwise would take place under section
51 of that Act, not to take place if the vacancy occurs within a
period of six months ending with the specified date.

(7) Schedule 5C contains further provision in connection with orders
under this section.

(8) 20Any PCC function exercisable by the mayor for the area of a combined
authority by virtue of this Act is to be taken to be a function of the
combined authority exercisable—

(a) by the mayor acting individually, or

(b) by a person acting under arrangements with the mayor made in
25accordance with provision made under Schedule 5C.

(9) Where an order under subsection (1) is contained in the same
instrument as an order made by virtue of section 107B(3)(b), the non-
consenting constituent council is not to be treated as an appropriate
authority for the purposes of subsection (4) above.”

(2) 30After Schedule 5B to that Act (inserted by section 1 above) insert, as Schedule
5C, the Schedule set out in Schedule 2 to this Act.

4 Financial matters

(1) In section 39 of the Local Government Finance Act 1992 (precepting and
precepted authorities), in subsection (1) after paragraph (aa) insert—

(ab) 35a mayoral combined authority, as defined by section 107A(8) of
the Local Democracy, Economic Development and
Construction Act 2009;”.

(2) In section 40 of that Act (issue of precepts by major precepting authorities),
after subsection (10) insert—

(11) 40Where the precepting authority is a mayoral combined authority—

(a) a precept may be issued under this section only in relation to
expenditure incurred by the mayor for the authority’s area in,
or in connection with, the exercise of mayoral functions (as
defined by section 107F(5) of the Local Democracy, Economic
45Development and Construction Act 2009), and

(b) the issuing and calculation of a precept under this Chapter is
subject to any provision made in an order under that section.”

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(3) After section 107E of the Local Democracy, Economic Development and
Construction Act 2009 (inserted by section 3 above) insert—

107F Mayors for combined authority areas: financial matters

(1) The Secretary of State may by order make provision for the costs of a
5mayor for the area of a combined authority that are incurred in, or in
connection with, the exercise of mayoral functions to be met from
precepts issued by the authority under section 40 of the Local
Government Finance Act 1992.

(2) Provision under subsection (1) may modify the application of Chapter
104 of Part 1 of the Local Government Finance Act 1992 so far as applying
to cases where the precepting authority in question under that Chapter
is a mayoral combined authority.

(3) The Secretary of State may by order make provision—

(a) requiring the mayor to maintain a fund in relation to receipts
15arising, and liabilities incurred, in the exercise of general
functions;

(b) about the preparation of an annual budget in relation to the
exercise of general functions.

(For power to make corresponding provision in relation to PCC
20functions, see paragraph 5 of Schedule 5C.)

(4) Provision under subsection (3)(b) may in particular include provision
for—

(a) the mayor to prepare a draft budget;

(b) the draft to be scrutinised by—

(i) 25the other members of the combined authority, and

(ii) a committee of the authority appointed in accordance
with paragraph 1(1) of Schedule 5A;

(c) the making of changes to the draft as a result of such scrutiny;

(d) the approval of the draft by the combined authority (including
30a power to veto the draft in circumstances specified in the order
and the consequences of any such veto);

(e) the basis on which such approval is to be given.

(5) In this section—

  • “mayoral functions”, in relation to a mayor, means—

    (a)

    35the mayor’s general functions, and

    (b)

    if the mayor exercises PCC functions, the mayor’s PCC
    functions;

  • “modify” includes amend or repeal.”

Combined authorities: additional functions

5 40Local authority functions

(1) The Local Democracy, Economic Development and Construction Act 2009 is
amended as follows.

(2) In section 105 (constitution and functions: economic development and
regeneration)—

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(a) for subsection (2) substitute—

(2) Section 91(5) does not apply in relation to functions exercisable
by a combined authority by virtue of subsection (1).”;

(b) in the heading, for “economic development and regeneration”
5substitute “local authority functions generally”.

(3) In section 108 (review by authorities: new combined authority), in subsection
(1), for paragraphs (a) and (b) substitute “the exercise of statutory functions in
relation to an area (“the review area”) with a view to deciding whether to
prepare and publish a scheme under section 109”.

(4) 10In section 109 (preparation and publication of scheme: new combined
authority), in subsection (1), for paragraphs (a) to (d) substitute “the exercise of
statutory functions in relation to the area”.

(5) In section 110 (requirements in connection with establishment of combined
authority), in subsection (1), for paragraphs (a) to (d) substitute “the exercise of
15statutory functions in relation to the area”.

(6) In section 112 (preparation and publication of scheme: existing combined
authority), in subsection (1), for paragraphs (a) to (d) substitute “the exercise of
statutory functions in relation to an area of a combined authority or a proposed
area of a combined authority”.

(7) 20In section 113 (requirements in connection with changes to existing combined
arrangements), in subsection (1)—

(a) after “only if” insert either—

(a) the combined authority consents and the Secretary of
State considers that the making of the order is likely to
25improve the exercise of statutory functions in the area or
areas to which the order relates, or

(b) ”;

(b) for paragraphs (a) to (d) (as originally enacted) substitute “the exercise
of statutory functions in the area or areas to which the order relates”.

6 30Other public authority functions

After section 105 of the Local Democracy, Economic Development and
Construction Act 2009 insert—

105A Other public authority functions

(1) The Secretary of State may by order —

(a) 35make provision for a function of a public authority that is
exercisable in relation to a combined authority’s area to be a
function of the combined authority;

(b) make provision for conferring on a combined authority in
relation to its area a function corresponding to a function that a
40public authority has in relation to another area.

(2) An order under subsection (1)(a) may make provision—

(a) for the combined authority to have the function instead of the
public authority, or

(b) for the function to be exercisable by the combined authority
45concurrently with the public authority.

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(3) An order under subsection (1)(a) may, in particular, include—

(a) provision for the making of a scheme to transfer property, rights
and liabilities from the public authority to the combined
authority (including provision corresponding to any provision
5made by section 17(4) to (7) of the Localism Act 2011);

(b) provision to abolish the public authority in a case where, as a
result of the order, it will no longer have any functions.

(4) In this section—

  • “function” (except in subsection (3)(b)) does not include a power
    10to make regulations or other instruments of a legislative
    character;

  • “Minister of the Crown” has the same meaning as in the Ministers
    of the Crown Act 1975;

  • “public authority”—

    (a)

    15includes a Minister of the Crown or a government
    department;

    (b)

    does not include a county council or district council.

105B Section 105A orders: procedure

(1) The Secretary of State may make an order under section 105A only if—

(a) 20a proposal for the making of the order in relation to the
combined authority has been made to the Secretary of State by
the appropriate authorities, or

(b) in the case of an existing combined authority, the combined
authority consents and the Secretary of State considers that the
25making of the order is likely to improve the exercise of statutory
functions in the area or areas to which the order relates.

(2) A proposal under subsection (1)(a) may be included in a scheme
prepared and published under section 109 or 112.

(3) For the purposes of this section “the appropriate authorities” are—

(a) 30each county council the whole or any part of whose area is
within the area for which the combined authority is, or is to be,
established,

(b) each district council whose area is within the area for which the
combined authority is, or is to be, established, and

(c) 35in the case of an order in relation to an existing combined
authority, the combined authority.”

Combined authorities: other provision

7 Overview and scrutiny committees

(1) In section 104 of the Local Democracy, Economic Development and
40Construction Act 2009 (constitution and functions: transport), after subsection
(8) insert—

(9) Schedule 5A makes provision for combined authorities to have
overview and scrutiny committees; and provision made in an order
under subsection (1) is subject to that Schedule.”

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(2) After Schedule 5 to that Act insert, as Schedule 5A, the Schedule set out in
Schedule 3 to this Act.

8 Funding of combined authorities

(1) In section 74 of the Local Government Finance Act 1988 (levies), in subsection
5(10)—

(a) for “attributable to” substitute attributable—

(a) to”;

(b) after “transport” insert , or

(b) so far as the constituent councils consent, to the exercise
10of any other functions.”

(2) After that subsection insert—

(11) Regulations under this section by virtue of subsection (8) may not make
provision in relation to expenses of a combined authority that are
attributable to the exercise of mayoral functions.

(12) 15In subsections (10) and (11)—

  • “constituent council” means—

    (a)

    a county council the whole or any part of whose area is
    within the area of the combined authority, or

    (b)

    a district council whose area is within the area of the
    20combined authority;

  • “mayoral functions” has the meaning given by section 107F(5) of
    the Local Democracy, Economic Development and
    Construction Act 2009.”

(3) In section 23 of the Local Government Act 2003 (meaning of “local authority”
25for purposes of Part 1 of that Act), in subsection (5) after “only” insert “or in
relation to any other functions of the authority that are specified for the
purposes of this subsection in regulations made by the Secretary of State.”

(4) After that subsection insert—

(6) A function of a combined authority may be specified in regulations
30under subsection (5) only with the consent of—

(a) each county council the whole or any part of whose area is
within the area of the authority, and

(b) each district council whose area is within the area of the
authority.

(7) 35The reference in subsection (5) to functions of the authority includes, in
the case of a mayoral combined authority, mayoral functions.

(8) In subsection (7)—

  • “mayoral combined authority” has the meaning given by section
    107A(8) of the Local Democracy, Economic Development and
    40Construction Act 2009;

  • “mayoral functions” has the meaning given by section 107F(5) of
    that Act.

(9) No regulations under subsection (5) may be made unless a draft of the
statutory instrument containing the regulations (whether containing