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Session 1997-98 Internet Publications Other Bills before Parliament Arrangement of Clauses (Contents) |
Local Government (Experimental Arrangements) Bill
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EXPLANATORY AND FINANCIAL MEMORANDUM | |
The purpose of the Bill is to enable local authorities in England and Wales to operate, for a temporary period, experimental arrangements with respect to the way in which they take decisions, and to provide for local authorities to carry out periodic reviews of their decision-making arrangements. | |
Clause 1 defines experimental decision-making arrangements as arrangements for or in connection with the discharge of any local authority functions which, in the opinion of a local authority, are likely to improve the decision-making process and which, because they include any of the arrangements listed in subsection (2), would not be permitted under current legislation. The clause describes the criteria to which particular regard should be had in determining, for the purposes of the Bill, whether arrangements are likely to improve the decision-making process. | |
Clause 2 requires local authorities to carry out a review of the efficiency, effectiveness, openness and accountability of their decision-making arrangements at least once in every four years, and to prepare and consider a report on such a review within six months of completing the review. | |
Clause 3 provides that, in formulating their experimental decision-making arrangements, a local authority must have regard to any guidance issued by the Secretary of State. Such guidance must include provision with respect to freedom of information, access to information and matters concerning the functions of scrutiny committees. | |
Clause 4 gives local authorities the power to apply to the Secretary of State for his approval to run an experiment and contains provisions about preliminary steps to be taken and the form and content of the application. | |
Clause 5 is concerned with the approval of applications under clause 4. The Secretary of State shall not approve such an application unless it complies with the provisions of clause 4 and he has consulted the Local Government Association (or other representatives of local government) and the Audit Commission. Subsection (2) describes the criterion on which he should decide whether or not to approve an application. The clause provides that only one application may be approved for each authority. If he approves an application the Secretary of State is under a duty to make an order permitting the local authority to operate the experimental arrangements for a specified period (a maximum of 8 years). It will apply any modifications of legislation necessary or expedient to permit the experiment; a number are in the Schedule to the Bill, others will be made in the Secretary of State's order in reliance on powers in the clause to make such modifications of enactments as the Secretary of State thinks necessary or expedient for or in connection with the operation of the arrangements. An order under this clause may make supplemental, incidental, consequential or transitional provision. | |
Clause 6 provides for a local authority in respect of which an order has been made under clause 5 to resolve to operate the arrangements set out in their application. If they pass such a resolution they must comply with the requirements in the clause about publicising the nature of the experimental arrangements and must operate the arrangements, without varying them, for the experimental period or for a lesser period specified in the resolution. | |
Clause 7 enables a local authority to apply to the Secretary of State for his approval to an extension of the experimental period (by a maximum of 4 years), to their operation of varied arrangements, or to an extension with variations of the arrangements. Where the existing arrangements involve a mayor (as mentioned in clause 5(4)(g)) the local authority may not apply for an approval under this clause without the written consent of the mayor. | |
Clause 8 is concerned with the approval of applications under clause 7. The Secretary of State shall not approve an application under clause 7 unless it complies with the provisions of that clause and he has consulted the Local Government Association (or other representatives of local government) and the Audit Commission. Subsections (1) and (3) describe the criterion on which he should decide whether or not to approve an application under clause 7. If he approves such an application he shall make an order which either extends the period of experimentation, or permits the local authority to operate varied arrangements, or both. The clause provides that only one application to extend the period of experimentation may be approved. An order under this clause may contain modifications of enactments and make supplemental, incidental, consequential or transitional provision. | |
Clause 9 provides that a local authority in respect of which an order under clause 8 permits the extension of their experimental arrangements may resolve to operate those arrangements for the additional period provided they do so before the end of the original period of experimentation. If they pass such a resolution they must comply with the requirements about publicity and must operate the arrangements for no longer than the additional period and without varying them. | |
Clause 10 applies where an order has been made under clause 8 permitting a local authority to operate varied experimental arrangements. The authority may resolve to adopt the new arrangements; the arrangements already in place shall continue in force until the date set in the resolution. The date from which the revised arrangements may operate may not be a date within the last 6 months of the period in which the authority has permission to experiment. If they pass such a resolution they must comply with the requirements about publicity and must operate the varied arrangements for the remainder of the experimental period and without varying them. | |
Clause 11 makes similar provision to that in clauses 9 and 10 for circumstances in which an order has been made under clause 8 permitting the extension of the experimental period and variations to the experimental arrangements. | |
Clause 12 requires the head of paid service and monitoring officer of a local authority operating experimental arrangements to make an annual report on the effect such arrangements have had on the decision-making process, and for these reports to be considered by the authority and sent to the Secretary of State. | |
Clause 13 contains provisions about the termination of experimental arrangements, including termination before the end of the experimental period at the request of an authority. | |
The Schedule contains modifications of enactments some or all of which may be specified in an order under clause 5 or 8. | |
Financial effects of the Bill | |
There may be a small increase in the workload for central government in processing applications from local authorities and exercising the order making powers in the Bill. This will depend on the number of applications, but it is not expected to be significant. For local authorities the experimental decision-making arrangements are expected in the longer term to lead to better local decisions and hence more efficient use of resources by them. Over time this is expected to offset, or more than offset, any additional costs to local authorities of operating their experimental decision-making arrangements. Any such additional costs will be expected to be contained by authorities within existing budgets. | |
Effects of the Bill on public service manpower | |
There are no significant effects on the manpower of central or local government. |
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© Parliamentary copyright 1998 | Prepared 20 February 1998 |