Natural Environment and Rural Communities Bill

House of Commons

Session 2005 - 06
Internet Publications
Other Bills before Parliament

Natural Environment and Rural Communities Bill

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 1 — Agreements with designated bodies etc.
28

69
Functions of Council: Scotland
After section 110B of the 1968 Act insert—
“110C
  Functions of Council: Scotland
(1)
The Council—
(a)
shall provide the Scottish Ministers and the Waterways Board
5
with such advice as appears to the Council appropriate about
matters relevant to inland waterways in Scotland—
(i)
which are owned or managed by the Waterways Board,
or
(ii)
in respect of which the Waterways Board is providing
10
technical advice or assistance, and
(b)
may provide any other interested person with such advice.
(2)
“Interested person”, in relation to any matter, means a person
appearing to the Council to have a sufficient interest in the matter.”
Part 8
15
Flexible administrative arrangements
Chapter 1
Agreements with designated bodies etc.
Powers to enter into agreements
70
Agreement between a Minister and designated body
20
(1)
A Minister of the Crown may enter into an agreement with a designated body
authorising that body to perform an eligible function of the Minister—
(a)
wholly or to a specified extent;
(b)
generally or in specified cases or areas;
(c)
unconditionally or subject to specified conditions.
25
(2)
An agreement under this section—
(a)
may be cancelled by the Minister at any time, and
(b)
does not prevent the Minister from performing a function to which the
agreement relates.
(3)
“Designated body” means a body listed in Schedule 7.
30
(4)
The Secretary of State may by order amend Schedule 7 so as to—
(a)
add a body to the list, or
(b)
remove a body from it.
(5)
The power to make an order under this section is exercisable by statutory
instrument.
35
(6)
A statutory instrument containing an order under this section is subject to
annulment in pursuance of a resolution of either House of Parliament.

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 1 — Agreements with designated bodies etc.
29

71
Agreement between the Secretary of State and non-designated body
(1)
The Secretary of State may enter into an agreement with a non-designated
body authorising that body to perform an eligible DEFRA function—
(a)
wholly or to a specified extent;
(b)
generally or in specified cases or areas;
5
(c)
unconditionally or subject to specified conditions.
(2)
An agreement under this section—
(a)
may be cancelled by the Secretary of State at any time, and
(b)
does not prevent the Secretary of State from performing a function to
which the agreement relates.
10
(3)
“Non-designated body” means a body which is not listed in Schedule 7.
(4)
“DEFRA function” means a function which, immediately before the agreement
is entered into, falls to be performed by the Department for Environment, Food
and Rural Affairs.
(5)
A certificate issued by the Secretary of State that a function falls to be
15
performed as mentioned in subsection (4) is conclusive evidence of that fact.
72
Agreement between designated body and another body
(1)
A designated body (“A”) may, with the approval of the relevant Minister, enter
into an agreement with a designated or non-designated body (“B”) authorising
B to perform an eligible function of A—
20
(a)
wholly or to a specified extent;
(b)
generally or in specified cases or areas;
(c)
unconditionally or subject to specified conditions.
(2)
The Minister’s approval may be given—
(a)
in relation to a particular agreement or in relation to a description of
25
agreements;
(b)
unconditionally or subject to specified conditions.
(3)
Subject to subsection (5), the relevant Minister—
(a)
must review an agreement under this section no later than the end of
the period of 5 years beginning with the date on which the agreement
30
was entered into or was last reviewed by the relevant Minister, and
(b)
if it appears appropriate to do so in the light of the review, may cancel
the agreement.
(4)
Subject to subsection (5), an agreement under this section may not be varied
except—
35
(a)
by agreement between A and B, and
(b)
with the approval of the relevant Minister.
(5)
An approval given under subsection (1) may provide that subsection (3) or (4)
does not apply (or that both of them do not apply).
(6)
“The relevant Minister” means—
40
(a)
if the agreement is between designated bodies, the Secretary of State;
(b)
if the agreement is between a designated body and a non-designated
body for whom another Minister of the Crown has responsibility, the
Secretary of State and that Minister acting jointly.

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 1 — Agreements with designated bodies etc.
30

(7)
A Minister of the Crown has responsibility for a non-designated body if any
members of the body are appointed by him.
73
Eligible functions
(1)
This section applies in relation to any power under this Chapter under which
a person (“A”) may authorise another (“B”) to perform an eligible function (or
5
an eligible DEFRA function) of A.
(2)
Any reference to a function is—
(a)
to a function that is exercisable in relation to England only, or
(b)
to so much of a function as is exercisable in relation to England.
(3)
A function is eligible if—
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(a)
A thinks that it would be appropriate, having regard to B’s existing
purposes, for B to perform the function, and
(b)
it is not a reserved function.
(4)
The reserved functions are—
(a)
any power of a Minister of the Crown to make appointments, give
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guidance or directions or lay reports or accounts;
(b)
any power to make subordinate legislation;
(c)
any power to fix fees or charges other than a power prescribed for the
purposes of this section by an order made by the Secretary of State;
(d)
any function of an accounting officer in his capacity as such;
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(e)
except in relation to an agreement authorising a public body to perform
functions—
(i)
any power to enter, inspect, take samples or seize anything, and
(ii)
any other power exercisable in connection with suspected
offences.
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(5)
The fact that a function is conferred by this Act or by or under an Act passed
after the passing of this Act does not prevent it from being an eligible function.
(6)
The power to make an order under subsection (4)(c) is exercisable by statutory
instrument.
(7)
A statutory instrument containing an order under subsection (4)(c) is subject to
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annulment in pursuance of a resolution of either House of Parliament.
74
Maximum duration of agreement
The maximum period for which an agreement under this Chapter may
authorise a body to perform a function of another person is 20 years.
Supplementary provisions
35
75
Powers of bodies authorised to perform functions
(1)
A designated body which is authorised under this Chapter to perform a
function is to be treated as having power to carry out the function if doing so
is compatible with the purposes for which the designated body was
established.
40

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 1 — Agreements with designated bodies etc.
31

(2)
A body which is authorised to perform a function under an agreement under
this Chapter may, if the agreement provides for the powers in this subsection
to apply—
(a)
authorise a committee, sub-committee, member or employee of the
body to carry out the function on its behalf;
5
(b)
where the body is a local authority operating executive arrangements,
authorise the function to be carried out by the executive;
(c)
form a body corporate and authorise that body to carry out the function
on its behalf.
(3)
“Executive arrangements” has the same meaning as in Part 2 of the Local
10
Government Act 2000 (c. 22).
76
Supplementary provisions with respect to agreements
(1)
In this section “agreement” means an agreement under this Chapter.
(2)
An agreement, and any approval given by the relevant Minister under section
72, must be in writing.
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(3)
The Secretary of State must arrange for a copy of an agreement to be published
in a way that the Secretary of State thinks is suitable for bringing it to the
attention of persons likely to be affected by it.
(4)
An agreement may provide for payments to be made in respect of the
performance of a function to which the agreement relates.
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(5)
No power of a Minister of the Crown under any enactment to give directions
to a statutory body extends to giving a direction—
(a)
requiring it to enter into an agreement;
(b)
prohibiting it from entering into an agreement;
(c)
requiring it to include, or prohibiting it from including, particular
25
terms;
(d)
requiring it to negotiate, or prohibiting it from negotiating, a variation
or termination of an agreement.
(6)
Schedule 15 to the Deregulation and Contracting Out Act 1994 (c. 40)
(restrictions on disclosure of information) applies in relation to an
30
authorisation by a designated body under this Chapter as it applies in relation
to an authorisation under section 69 of that Act by an office-holder.
77
Interpretation
In this Chapter—
“designated body” has the meaning given in section 70(3);
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“Minister of the Crown” has the same meaning as in the Ministers of the
Crown Act 1975 (c. 26);
“non-designated body” has the meaning given in section 71(3);
“subordinate legislation” has the same meaning as in the Interpretation
Act 1978 (c. 30).
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Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 2 — Powers to reform agricultural etc. bodies
32

Chapter 2
Powers to reform agricultural etc. bodies
Power to create boards
78
Power to establish boards
(1)
The appropriate authority may by order—
5
(a)
establish a body for a purpose or purposes falling within section 79, and
(b)
assign to it a function or functions falling within section 80.
(2)
The order must specify the area or areas in relation to which assigned functions
are exercisable.
(3)
The areas which may be specified under subsection (2) are—
10
(a)
England or an area in England;
(b)
Wales or an area in Wales;
(c)
Scotland or an area in Scotland;
(d)
Northern Ireland or an area in Northern Ireland;
(e)
any combination of any of the areas mentioned in paragraphs (a) to (d).
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(4)
In this Chapter—
“the appropriate authority” has the meaning given by section 87;
“board” means a body established by an order under this section;
“section 78 order” means an order under this section.
(5)
A board is to be known by a name specified in the order.
20
(6)
Schedule 8 contains provisions about the constitution of boards and related
matters.
79
Permissible purposes of boards
(1)
The purposes referred to in section 78(1)(a) are—
(a)
increasing efficiency or productivity in an agricultural or related
25
industry;
(b)
improving marketing in an agricultural or related industry;
(c)
improving or developing services that an agricultural or related
industry provides or could provide to the community;
(d)
improving the ways in which an agricultural or related industry
30
contributes to sustainable development.
(2)
A section 78 order must specify—
(a)
the purpose or purposes for which the board is established, and
(b)
the industry to which the order relates.
(3)
For the purposes of subsection (2)(b), it does not matter whether the specified
35
industry is regarded for any other purpose as—
(a)
an industry,
(b)
a group of industries, or
(c)
a sector or sectors of an industry.

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 2 — Powers to reform agricultural etc. bodies
33

(4)
“Agriculture” includes horticulture, fruit growing, seed growing, dairy
farming and livestock breeding and keeping, and the use of land as grazing
land, meadow land, osier land, market gardens and nursery grounds.
(5)
“Related industry” means an industry which is concerned with the production,
processing, manufacture, marketing or distribution of—
5
(a)
anything (including any creature alive or dead) produced in the course
of agriculture, and
(b)
any product which is derived to any substantial extent from anything
so produced.
(6)
“Services” includes environmental and educational services.
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80
Permissible functions of boards
(1)
The functions referred to in section 78(1)(b) are—
(a)
a function specified in Schedule 9 (a “Schedule 9 function”);
(b)
a function which, immediately before the commencement of the section
78 order, is a function of an existing levy body (“an existing function”);
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(c)
a function which is a more limited version of a Schedule 9 function or
an existing function;
(d)
a function which is a combination of two or more Schedule 9 functions
or existing functions;
(e)
any additional function, if it appears to the appropriate authority—
20
(i)
to be related or similar to, or connected with, any function being
assigned by virtue of any of paragraphs (a) to (d), or
(ii)
to be capable of being conveniently exercised in association
with any function being so assigned.
(2)
In this Chapter “existing levy body” means—
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(a)
the British Potato Council;
(b)
the Home-Grown Cereals Authority;
(c)
the Horticultural Development Council;
(d)
the Meat and Livestock Commission;
(e)
the Milk Development Council.
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81
Ancillary provisions
Schedule 10 makes further provision about the contents of a section 78 order.
Power to dissolve existing levy bodies and boards
82
Power to dissolve existing levy bodies
(1)
The appropriate authority may by order provide for the dissolution of any or
35
all of the existing levy bodies.
(2)
If an order is made providing for the dissolution of the Home-Grown Cereals
Authority, the order must provide for the Cereals Marketing Act 1965 (c. 14) to
cease to have effect.

Natural Environment and Rural Communities Bill
Part 8 — Flexible administrative arrangements
Chapter 2 — Powers to reform agricultural etc. bodies
34

(3)
If an order is made providing for the dissolution of the Meat and Livestock
Commission, the order must provide for the relevant provisions of the
Agriculture Act 1967 (c. 22) to cease to have effect.
(4)
The relevant provisions of the 1967 Act are—
Part 1 (livestock and meat marketing);
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Schedule 1 (the Meat and Livestock Commission);
Schedule 2 (supplementary provisions with respect to development
schemes).
(5)
If an order is made providing for the dissolution of—
(a)
the British Potato Council,
10
(b)
the Horticultural Development Council, or
(c)
the Milk Development Council,

the order must provide for the revocation of the development council order
establishing the Council.
(6)
“Development council order” has the meaning given by section 1(2) of the
15
Industrial Organisation and Development Act 1947 (c. 40) (power to establish
development councils etc.).
83
Power to dissolve board
(1)
The appropriate authority may by order provide for the dissolution of a board.
(2)
An order under this section must provide for the revocation of the section 78
20
order.
84
Dissolution: supplementary
(1)
Subsection (2) applies if an order is made providing for—
(a)
the dissolution of an existing levy body, or
(b)
the dissolution of a board.
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(2)
The order may provide for the transfer of any property, rights or liabilities of
the existing levy body or board.
(3)
Subsection (4) applies if an order is made providing for—
(a)
the dissolution of an existing levy body, or
(b)
the dissolution of a board in relation to which provision has been made
30
by virtue of paragraph 4 of Schedule 10 (levies).
(4)
The order must provide for the application of any surplus—
(a)
for the purposes for which the existing levy body or board was
established, or
(b)
for connected purposes.
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(5)
“Surplus” means an amount by which the assets of the existing levy body or
board exceeds its liabilities and expenses.