DEALING WITH MATTERS OF URGENCY:
23. The proposed order would provide that the
Secretary of State/National Assembly may, in giving approval to
the making of an original management agreement, specify a moratorium
period and the circumstances in which it is to apply. During a
moratorium period, the Secretary of State/National Assembly for
Wales' approval would not be required for the making of a sub-agreement.
However, any such sub-agreement would not be valid unless it was
approved by the Secretary of State/National Assembly immediately
after the end of the moratorium period.
24. This provision is intended for cases where the
person to whom housing management functions have been sub-delegated
needs to be replaced as a matter of urgencyfor example,
in the case of insolvency. It would enable a temporary manager
to be installed and tenant consultation to take place on a new,
permanent manager before the Secretary of State/National Assembly
for Wales was approached to give approval. This would enable the
continuous provision of services to tenants without disruption.
25. When submitting a management agreement for approval,
authorities would need to identify the length of the proposed
moratorium period and the circumstances in which they would like
the Secretary of State/National Assembly for Wales to specify
such a period so that the matter could be considered prior to
the granting of approval. Under the proposed order, the moratorium
period may not last longer than six months in the first instance,
but may be extended by the Secretary of State.
26. An extension to a moratorium period will be at
the discretion of the Secretary of State. Where a manager has
to be replaced, the circumstances where a moratorium period will
apply would have been identified in the Secretary of State's approval
to the management agreement. In practice the authority will then
have to notify the Secretary of State if they are likely to need
an extension to the moratorium period, giving the justifications
for the extension and the further time likely to be required.
The Secretary of State will have discretion in specifying the
period of the extension, and will decide on a suitable period
in the light of what the authority says in its application for
an extension. Circumstances where an extension might be required
might include those where there has been difficulty in identifying
a new manager, or where the Secretary of State is not content
with the proposed new arrangements. The Department will issue
guidance to authorities on this and other issues.