Amendments proposed to the Greater London Authority Bill - continued	House of Commons
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Mr Simon Hughes
Mr Tom Brake
Mr Paul Burstow
Mr Edward Davey

(b)

Line     20,     leave out 'must not' and insert 'may'.

   

Mr Simon Hughes
Mr Tom Brake
Mr Paul Burstow
Mr Edward Davey

(c)

At end of line 21 insert—

    '(5A) The public sector operator may borrow money for investing in transport in Greater London.'

   

Mr Simon Hughes
Mr Tom Brake
Mr Paul Burstow
Mr Edward Davey

(d)

Leave out lines 22 to 24.

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Public sector operators

   

Mr Nick Raynsford

NC40

To move the following Clause:—

    '.—(1) In this Chapter "public sector operator" means—

(a) any Minister of the Crown, Government department or other emanation of the Crown;

(b) any local authority;

(c) any metropolitan county passenger transport authority;

(d) any body corporate whose members are appointed by a Minister of the Crown, a Government department, a local authority or a metropolitan county passenger transport authority or by a body corporate whose members are so appointed;

(e) a company—

    (i) a majority of whose issued shares are held by or on behalf of any of the bodies or persons falling within paragraphs (a) to (d) above;

    (ii) in which the majority of the voting rights are held by or on behalf of any of those bodies or persons;

    (iii) a majority of whose board of directors can be appointed or removed by any of those bodies or persons; or

    (iv) in which the majority of the voting rights are controlled by any of those bodies or persons, pursuant to an agreement with other persons;

(f) a subsidiary of a company falling within paragraph (e) above.

    (2) Expressions used in sub-paragraphs (i) to (iv) of subsection (1)(e) above and in section 736 of the Companies Act 1985 have the same meaning in those sub-paragraphs as they have in that section.'.

          As an Amendment to Mr Nick Raynsford's proposed new Clause (NC40) (Public sector operators):

   

Mr Simon Hughes
Mr Tom Brake
Mr Paul Burstow
Mr Edward Davey

(a)

At end of line 19 insert—

    '(1A) The public sector operator may borrow money for investing in transport in Greater London.'.

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PPP designations

   

Mr Nick Raynsford

NC41

To move the following Clause:—

    '.—(1) Any designation for the purposes of subsection (7) of section (PPP agreements) above (a "PPP designation") must be made in a direction issued by the appropriate authority.

    (2) A PPP designation must—

(a) describe the subject matter of the contracts to which it relates;

(b) describe the parties to those contracts; and

(c) if made before one or more of those contracts has been entered into, state a time by which a contract must have been entered into if it is to be a PPP agreement by virtue of the designation.

    (3) The time stated pursuant to paragraph (c) of subsection (2) above must not be later than three months after the date of the direction containing the designation.

    (4) A PPP designation may be made before or after the making of any contract to which it relates.

    (5) A contract shall not be a PPP agreement by virtue of a PPP designation made after the making of the contract, except with the consent of the parties to the contract.

    (6) For the purposes of subsection (1) above "the appropriate authority" means—

(a) as respects any direction issued before the transfer date, the Secretary of State; and

(b) as respects any direction issued on or after that date, the Mayor.'.

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Key system assets

   

Mr Nick Raynsford

NC42

To move the following Clause:—

    '.—(1) In this Chapter, "key system assets" means—

(a) any property, rights or liabilities which are, or are of a description, designated by the relevant authority as key system assets in a PPP agreement as originally made; and

(b) any property, rights or liabilities which are designated, or are of a description designated, by the relevant authority after the making of a PPP agreement as key system assets in accordance with the terms of, or by an amendment made to, the PPP agreement,

    but does not include any property, rights or liabilities which, in accordance with the terms of, or by an amendment made to, the PPP agreement, have for the time being ceased to be designated as key system assets.

    (2) No rights or liabilities under contracts of employment shall be designated as key system assets.'.

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Register of key system assets

   

Mr Nick Raynsford

NC43

To move the following Clause:—

    '.—(1) The relevant authority shall keep a register of all key system assets for the time being.

    (2) The register shall state—

(a) the date on which any designation of a particular key system asset, or of a description of key system assets, was made; and

(b) sufficient details of any particular key system asset, or any description of key system assets, designated as such to enable the key system assets to be identified.

    (3) The register shall be available for inspection by the public free of charge at all reasonable hours.

    (4) A person inspecting the register may make copies of, or of extracts from, the register.'.

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Related third party agreements

   

Mr Nick Raynsford

NC44

To move the following Clause:—

    '.—(1) Where a PPP agreement is or has been entered into, the powers of the relevant authority include power to enter into and carry out other agreements with other persons in connection with the PPP agreement, whether or not there is any term in the PPP agreement relating to such other agreements.

    (2) Where—

(a) a PPP agreement is or has been entered into, and

(b) the PPP company or the relevant authority, or a subsidiary of the PPP company or relevant authority, enters into arrangements with a third party—

    (i) which do not constitute a PPP agreement, but

    (ii) which involve the provision of property or rights for use for the purposes of or otherwise in connection with the PPP agreement,

    subsection (3) below applies.

    (3) Where this subsection applies, the relevant authority, or a subsidiary of the relevant authority, may enter into an agreement with the third party for the purpose of enabling the property or rights in question to be designated as, and to be, key system assets as if—

(a) the agreement between the relevant authority or subsidiary and the third party were a PPP agreement, and

(b) the third party were the PPP company under that agreement.'.

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Protection of key system assets

   

Mr Nick Raynsford

NC45

To move the following Clause:—

    '.—(1) If and to the extent that key system assets are property or rights, a PPP company shall not, without the consent of the relevant authority,—

(a) transfer or agree to transfer, or create or agree to create any security over, any of those key system assets or any interest in, or right over, any of those key system assets; or

(b) create or extinguish, or agree to create or extinguish, any interest in, or right over, any of those key system assets.

    (2) If and to the extent that key system assets are liabilities, a PPP company shall not, without the consent of the relevant authority, enter into any agreement under which any such liability is released or discharged or transferred to some other person.

    (3) Any transaction which is entered into in contravention of subsection (1) or (2) above shall be void.

    (4) No execution or other legal process may be commenced or continued, and no distress may be levied, against any property which is, or rights which are, key system assets.

    (5) Where a PPP agreement makes provision for the transfer to a relevant body on the termination of the agreement—

(a) of any shares in a company which, immediately before the termination of the agreement, is a PPP company, or

(b) of any property, rights or liabilities which, immediately before the termination of the agreement, are key system assets,

    the relevant authority shall ensure that the PPP agreement includes provision specifying, or providing for the determination of, the amounts which are to be paid in respect of those shares or key system assets.

    (6) In this section "security" has the meaning given by section 248(b) of the Insolvency Act 1986.'.

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PPP leases

   

Mr Nick Raynsford

NC46

To move the following Clause:—

    '.—(1) In this Chapter "PPP lease" means any lease—

(a) which constitutes a PPP agreement;

(b) which is entered into in accordance with a PPP agreement; or

(c) which is designated as a PPP lease.

    (2) An instrument containing a PPP lease must also contain, or have endorsed upon it, a certificate—

(a) signed by or on behalf of the parties to the lease,

(b) stating that the instrument contains a PPP lease, and

(c) if the instrument contains provisions other than the PPP lease, reasonably identifying the portion which constitutes the PPP lease.

    (3) Any designation for the purposes of paragraph (c) of subsection (1) above shall be made by the same person, and in the same manner, as if it were a PPP designation.

    (4) No enactment or rule of law regulating the rights and obligations of landlords and tenants shall prejudice the operation of an agreement between a relevant body and a PPP company as to the terms on which land which is the subject of a PPP lease is provided for the PPP company's use.

    (5) Accordingly no such enactment or rule of law applies in relation to the rights and obligations of the parties to a PPP lease—

(a) so as to exclude or modify in any respect any of the rights and obligations of those parties under the terms of the lease, whether with respect to the termination of the tenancy or any other matter;

(b) so as to confer or impose on any party any right or obligation arising out of or connected with anything done or omitted on or in relation to land which is the subject of the lease, in addition to any such right or obligation provided for by the terms of the lease;

(c) so as to restrict the enforcement (whether by action for damages or otherwise) by any party to the lease of any obligation of any other party under the lease.

    (6) In this section "lease" includes an underlease and an agreement for a lease or underlease.'.

Prepared 23 Feb 1999