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Local Government Bill
Schedule 6 — Minor and consequential amendments

    98

 

              “(4A)                Without prejudice to other methods of recovery, a sum recoverable

under subsection (4) above may—

                    (a)                   be recovered by withholding or reducing subsidy, and

                    (b)                   if the sum is referable to housing benefit in respect of houses

or other property within the authority’s Housing Revenue

5

Account, be recovered by withholding or reducing rent

rebate subsidy under Part 8 of the Social Security

Administration Act 1992.”

  32       In section 88(1)(d) (construction of references in Part 6 to “proper practices”),

for “section 66(4) above” there is substituted “section 21 of the Local

10

Government Act 2003”.

  33      (1)      Schedule 4 (keeping of the Housing Revenue Account) is amended as

follows.

          (2)      In Part 1 (credits to the Account), item 5 (housing benefit transfers) is

omitted.

15

          (3)      In that Part, for item 9 (sums directed by Secretary of State) there is

substituted—

“Item 9: sums directed by Secretary of State or National Assembly for Wales

                            Any sums which for the year the authority is required, by reason

of a direction given by the appropriate person, to carry to the

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credit of the account from some other revenue account of theirs.

                            A direction under this item may require the transfer of sums

calculated in accordance with formulae specified in the direction,

and any formula so specified may include variables framed (in

whatever way the appropriate person considers appropriate) by

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reference to such matters as the appropriate person thinks fit.”

          (4)      In Part 2 (debits to the Account), item 4 (rent rebates) is omitted.

          (5)      In that Part, after item 9 there is inserted—

“Item 10: sums directed by Secretary of State or National Assembly for Wales

                            Any sums which for the year the authority is required, by reason

30

of a direction given by the appropriate person, to carry from the

account to the credit of some other revenue account of theirs.

                            A direction under this item may require the transfer of sums

calculated in accordance with formulae specified in the direction,

and any formula so specified may include variables framed (in

35

whatever way the appropriate person considers appropriate) by

reference to such matters as the appropriate person thinks fit.

                            In giving a direction under this item, the appropriate person may

(in particular) take into account the effect of such a direction on—

                      (a)                     other revenue accounts in the authority’s relevant fund,

40

                      (b)                     the amounts of council tax falling to be set by the authority

under section 30 of the Local Government Finance Act

1992, and

                      (c)                     the authority’s budget requirement under section 32(4) of

that Act.

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Local Government Bill
Schedule 6 — Minor and consequential amendments

    99

 

                            In this item the reference to the authority’s “relevant fund” is—

                      (a)                     in relation to England, to the authority’s general fund

within the meaning of section 91(2) of the Local

Government Finance Act 1988, and

                      (b)                     in relation to Wales, to the authority’s council fund within

5

the meaning of section 38(1) of the Local Government

(Wales) Act 1994.”

Social Security Administration Act 1992 (c. 5)

  34       The Social Security Administration Act 1992 is amended as follows.

  35      (1)      In section 134(2) (forms that may be taken by the rent rebates and allowances

10

referred to since 1st April 1997 in subsections (1A) and (1B) instead of

subsection (1)), for “subsection (1)” substitute “subsections (1A) and (1B)”.

          (2)      Sub-paragraph (1) shall be deemed to have come into force on 1st April 1997.

  36       In section 140B (calculation of rent rebate subsidy, rent allowance subsidy

and council tax benefit subsidy), the following are omitted—

15

              (a)             the second sentence of subsection (2) (Housing Revenue Account rebates

paid by housing authority in England and Wales not relevant benefit for

purpose of determining amount of subsidy), and

              (b)             subsection (7) (section not to be taken as implying that additions and

deductions may not be determined by reference to certain matters).

20

  37       In section 140C (payment of subsidy), after subsection (1) there is inserted—

              “(1A)                Conditions under subsection (1) above may (in particular) be

imposed to obtain information for the purposes of the carrying-out

by the Secretary of State of any of his functions relating to subsidy.”

  38       In section 140D (rent rebate subsidy: accounting provisions), the following

25

are omitted—

              (a)             subsection (1)(c) (accounting for rent rebate subsidy by development

corporation in England and Wales), and

              (b)             subsection (2) (treatment of Housing Revenue Account rebates).

  39       In section 140G (interpretation of Part 8), in the definition of “Housing

30

Revenue Account”, paragraph (b) (definition of Housing Revenue Account

rebate) is omitted.

Local Government Finance Act 1992 (c. 14)

  40       The Local Government Finance Act 1992 is amended as follows.

  41       In section 11(2) (discounts), for “section 12” there is substituted “sections

35

11A and 12”.

  42      (1)      In section 17 (completion of new dwellings), in subsection (4) (which defines

the date to be taken as the completion date)—

              (a)             in paragraph (a), for “an appeal” there is substituted “no appeal”,

and

40

              (b)             in paragraph (b), for “no appeal” there is substituted “an appeal”.

          (2)      This paragraph has effect in relation to any completion notice under

Schedule 4A to the Local Government Finance Act 1988 (c. 41) (new

 

 

Local Government Bill
Schedule 6 — Minor and consequential amendments

    100

 

          (2)      buildings: completions days), as applied by section 17 of the Local

Government Finance Act 1992 (c. 14), which—

              (a)             is served on or after the day on which this paragraph comes into

force, or

              (b)             becomes the subject of such an appeal on or after the day on which

5

this paragraph comes into force.

  43       In section 21 (valuations for purposes of lists), in subsection (2) (basis of

valuations), for “1st April 1991” there is substituted “the appropriate date”

and after that subsection there is inserted—

              “(2A)                For the purposes of subsection (2) above, the appropriate date is—

10

                    (a)                   in relation to a list under section 22, 1st April 1991, and

                    (b)                   in relation to a list under section 22B, the later of—

                           (i)                          two years before the date on which the list falls to be

compiled, and

                           (ii)                         such date, if any, within that two year period as may

15

be specified by regulations.

              (2B)                The power to make regulations under subsection (2A)(b)(ii) is

exercisable—

                    (a)                   in relation to a list to be compiled for a billing authority in

England, by the Secretary of State, and

20

                    (b)                   in relation to a list to be compiled for a billing authority in

Wales, by the National Assembly for Wales by statutory

instrument.”

  44       In section 22(2) (when valuation list comes into force), for the words from

“and” to the end there is substituted “, shall come into force on that day and

25

shall remain in force until a new list for the authority is compiled under

section 22B below”.

  45       In section 24 (alteration of lists), in subsection (9)(b), for “or 22A(10)” there is

substituted “, 22A(10) or 22B(10)”.

  46       Section 25 (compilation and maintenance of new lists) ceases to have effect.

30

  47       In section 28 (information about lists)—

              (a)             in subsection (2)(a), for “or 22A(10)” there is substituted “, 22A(10) or

22B(10)”, and

              (b)             in subsection (3)(a), after “22(6)” there is inserted “or 22B(8)”.

  48       In section 66(2) (matters subject only to judicial review), in paragraph (b)

35

(determinations), after “8(2)” there is inserted “, 11A”.

  49       In section 67 (functions to be discharged only by the authority), in subsection

(2)(a) (making of determination), after “8(2)” there is inserted “, 11A”.

  50      (1)      Section 69 (interpretation of Part 1) is amended as follows.

          (2)      In subsection (1), the definition of “revenue support grant” is omitted.

40

          (3)      After subsection (2) there is inserted—

              “(2A)                In this Part, any reference to expenditure incurred by a billing

authority, major precepting authority or local precepting authority

in any financial year includes the following (whether or not giving

rise to actual payments)—

45

 

 

Local Government Bill
Schedule 6 — Minor and consequential amendments

    101

 

                    (a)                   any amount which does not form part of the authority’s

capital receipts for the purposes of Chapter 1 of Part 1 of the

Local Government Act 2003 (capital finance) and which is set

aside for the year by the authority as provision to meet credit

liabilities; and

5

                    (b)                   any other amount which is set aside for the year by the

authority as reasonably necessary for the purpose of

providing for any liability or loss which is likely or certain to

be incurred but is uncertain as to the amount or the date on

which it will arise (or both).”

10

  51       In section 113 (orders and regulations), in subsection (3) (instruments subject

to negative resolution), in paragraph (a) (exceptions), after “11(3),” there is

inserted “22B(3)(a),”.

  52      (1)      Schedule 2 (administration) is amended as follows.

          (2)      In paragraph 8 (exempt dwellings etc.)—

15

              (a)             in sub-paragraph (1), after “22(5)(b)” there is inserted “, 22B(7)”, and

              (b)             in sub-paragraphs (2) and (3)—

                    (i)                   after “22(5)(b)” there is inserted “, 22B(7)”, and

                    (ii)                  after “22(7)”, in both places, there is inserted “, 22B(9)”.

          (3)      At the end there is inserted—

20

          “21                 (1)                  This paragraph applies where a billing authority exercises the

power under section 13A(1) above by determining a class of case

in which liability is to be reduced.

                           (2)                  Where the determination provides for liability to be reduced to nil,

any dwelling in relation to which the reduction applies shall be

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treated for the purposes of this Schedule as an exempt dwelling.

                           (3)                  Where the determination provides for liability to be reduced

otherwise than to nil, any amount in relation to which the

reduction applies shall be treated for the purposes of this Schedule

as subject to a discount equal to the amount of the reduction.”

30

  53       In Schedule 4 (enforcement), at the end there is inserted—

“Interpretation

          20                                   In this Schedule, except paragraph 6, “prescribed” means

prescribed by regulations made—

                      (a)                     in relation to England, by the Secretary of State, and

35

                      (b)                     in relation to Wales, by the National Assembly for Wales

by statutory instrument.”

Local Government (Wales) Act 1994 (c. 19)

  54       In section 51 of the Local Government (Wales) Act 1994 (control of disposals

and contracts), in subsection (2), in the definition of “capital contract”, for

40

“for capital purposes” there is substituted “which is capital expenditure for

the purposes of Chapter 1 of Part 1 of the Local Government Act 2003

(capital finance)”.

 

 

Local Government Bill
Schedule 6 — Minor and consequential amendments

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Deregulation and Contracting Out Act 1994 (c. 40)

  55       In section 71(3) of the Deregulation and Contracting Out Act 1994 (certain

functions not excluded by section 71(1)(c)), after paragraph (e) there is

inserted—

                    “(ea)                      section 50 of the Local Government Act 2003 (administration

5

etc of BID levy) if the function corresponds to any function

falling within paragraph (e) above,”.

Housing Act 1996 (c. 52)

  56      (1)      In section 122(4) of the Housing Act 1996 (which makes provision about the

determination of rent allowance subsidy under section 140B of the Social

10

Security Administration Act 1992 (c. 5))—

              (a)             in paragraph (b) (which refers to subsection (2) of section 140B), for

“that subsection” there is substituted “subsection (4) or (5) of that

section”, and

              (b)             in paragraph (c) (which refers to subsection (4) of section 140B), for

15

“(4)” there is substituted “(5)(b)”.

          (2)      Sub-paragraph (1) shall be deemed to have come into force on 1st July 1997.

Justices of the Peace Act 1997 (c. 25)

  57       The Justices of the Peace Act 1997 is amended as follows.

  58       In section 67 (justices not disqualified by reason of liability to local

20

taxation)—

              (a)             after paragraph (a) there is inserted—

                           “(aa)                             BID levy (within the meaning of Part 4 of the Local

Government Act 2003),”, and

              (b)             for “any charge, tax or rate falling within paragraphs (b)” there is

25

substituted “any levy, charge, tax or rate falling within paragraphs

(aa)”.

  59       In section 72(1) (interpretation) for the definition of “capital expenditure”

there is substituted—

                    ““capital expenditure” means expenditure which is capital expenditure

30

for the purposes of Chapter 1 of Part 1 of the Local Government

Act 2003 (capital finance);”.

Local Government (Contracts) Act 1997 (c. 65)

  60       In section 1(3) of the Local Government (Contracts) Act 1997 (local

authorities for the purposes of the Act), in paragraph (a), for “Part IV of the

35

Local Government and Housing Act 1989” there is substituted “Chapter 1 of

Part 1 of the Local Government Act 2003 (capital finance)”.

Audit Commission Act 1998 (c. 18)

  61       In Schedule 1 to the Audit Commission Act 1998 (which makes provision

about the Commission’s financial affairs)—

40

              (a)             in paragraph 9(6), for “March” there is substituted “June”;

 

 

Local Government Bill
Schedule 6 — Minor and consequential amendments

    103

 

              (b)             in paragraph 11(3), for “31st March” there is substituted “30th June”.

Government of Wales Act 1998 (c. 38)

  62       In section 81 of the Government of Wales Act 1998 (statement of estimated

payments), for subsection (2) there is substituted—

              “(2)                The statement shall also include such other information as the

5

Secretary of State considers appropriate.”

Greater London Authority Act 1999 (c. 29)

  63       The Greater London Authority Act 1999 is amended as follows.

  64       In section 85 (calculation by Greater London Authority of budget

requirements), for subsection (9) there is substituted—

10

              “(9)                In this section, any reference to expenditure incurred by a body in

any financial year includes the following (whether or not giving rise

to actual payments)—

                    (a)                   any amount which does not form part of the body’s capital

receipts for the purposes of Chapter 1 of Part 1 of the Local

15

Government Act 2003 (capital finance) and which is set aside

for the year by the body as provision to meet credit liabilities;

and

                    (b)                   any other amount which is set aside for the year by the body

as reasonably necessary for the purpose of providing for any

20

liability or loss which is likely or certain to be incurred but is

uncertain as to the amount or the date on which it will arise

(or both).”

  65       Sections 112 to 118 (credit approvals) cease to have effect.

  66      (1)      Section 119 (power to redistribute capital receipts of functional bodies) is

25

amended as follows.

          (2)      In subsection (2), for “expenditure for capital purposes” there is substituted

“capital expenditure”.

          (3)      In subsection (3)—

              (a)             in paragraph (e), for “expenditure for capital purposes” there is

30

substituted “capital expenditure”, and

              (b)             for paragraph (f) there is substituted—

                           “(f)                             for and in connection with treating the whole or a

prescribed part of the relevant amount as added to

the capital receipts of the assisted body, for the

35

purposes of Chapter 1 of Part 1 of the Local

Government Act 2003 (capital finance);”.

  67       In section 120 (capital grants between the Greater London Authority and

functional bodies), for “expenditure for capital purposes”, in each place

where it occurs, there is substituted “capital expenditure.

40

  68       In section 121 (revenue grants between the Greater London Authority and

functional bodies), for “expenditure for capital purposes”, in each place

where it occurs, there is substituted “capital expenditure”.

 

 

Local Government Bill
Schedule 6 — Minor and consequential amendments

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  69      (1)      Section 122 (Mayor’s capital spending plan for each functional body) is

amended as follows.

          (2)      In subsection (3)(c), for “usable part of the body’s capital receipts is” there is

substituted “body’s capital receipts are”.

          (3)      In subsection (4) (content of section B of the plan), for paragraphs (b) to (d)

5

there is substituted—

                    “(b)                      the total of the amounts which the Mayor expects the body—

                           (i)                          to borrow in the year, or

                           (ii)                         to be treated as borrowing in the year because of

section 8(2) of the Local Government Act 2003 (under

10

which entry into, or variation of, a credit arrangement

is treated as a form of borrowing).”

          (4)      In subsection (5) (content of section C of the plan)—

              (a)             in paragraph (a), for “expenditure for capital purposes” there is

substituted “capital expenditure”, and

15

              (b)             for paragraph (b) there is substituted—

                           “(b)                             the total of the amounts which the Mayor expects the

body to be treated as borrowing in the year because of

section 8(2) of the Local Government Act 2003;”.

          (5)      In subsection (6) (content of section D of the plan), for paragraph (c) there is

20

substituted—

                    “(c)                                            the amount which he expects the body to meet by borrowing

or entering into or varying credit arrangements;”.

  70       In section 123 (preparation of capital spending plan), for subsection (1) there

is substituted—

25

              “(1)                For each financial year, the Mayor shall prepare a draft of the capital

spending plan for the year.”

  71      (1)      Section 124 (admissible factors in preparing capital spending plan etc.) is

amended as follows.

          (2)      In subsection (2), for paragraph (b) there is substituted—

30

                    “(b)                      the amounts to be transferred to the body under section 33(5)

of the Local Government Act 2003 (Mayor’s power to transfer

expenditure grant);”

          (3)      In subsection (4)—

              (a)             after paragraph (a) there is inserted—

35

                           “(aa)                             the amount met out of grants under section 31 of the

Local Government Act 2003 (expenditure grant)

made to the body;”, and

              (b)             for paragraph (c) there is substituted—

                           “(c)                             the amount met by borrowing or entering into or

40

varying credit arrangements;”.

  72      (1)      Section 126 (interpretation of Chapter 4) is amended as follows.

          (2)      For subsection (1) there is substituted—

              “(1)                In this Chapter—

 

 

 
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