Local Government and Public Involvement in Health Bill

House of Commons

Session 2006 - 07
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Other Bills before Parliament

Local Government and Public Involvement in Health Bill

Local Government and Public Involvement in Health Bill
Part 8 — Local services: inspection and audit
Chapter 2 — Audit Commission and auditors: functions and procedure
86

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Reports on English local authorities
(1)
In Part 3 of the Audit Commission Act 1998 (c. 18), after section 47 insert—
“Reports on performance
“47A
Reports relating to performance of English local authorities
(1)
The Commission may produce comparative and other reports in
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relation to one or more of the following aspects of the performance of
English local authorities in exercising their functions—
(a)
the risk that authorities may fail to perform their functions or
fail to perform their functions adequately;
(b)
the rate at which authorities’ performance is improving;
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(c)
the economy, efficiency and effectiveness of authorities’ use of
resources.
(2)
A report under subsection (1) may relate to—
(a)
all English local authorities;
(b)
any particular English local authority or authorities; or
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(c)
particular descriptions of English local authority.
(3)
A report under subsection (1) may relate to particular functions of
authorities.
(4)
In this section, “English local authority” means—
(a)
a county council in England;
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(b)
a district council;
(c)
a London borough council;
(d)
the Council of the Isles of Scilly;
(e)
the Common Council of the City of London in its capacity as a
local authority;
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(f)
a metropolitan fire and civil defence authority;
(g)
the London Fire and Emergency Planning Authority; or
(h)
a fire and rescue authority constituted by a scheme under
section 2 of the Fire and Rescue Services Act 2004 or a scheme to
which section 4 of that Act applies.”
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(2)
In section 48 of that Act (provision of information etc to the Commission), in
subsection (2) (functions in relation to which powers to obtain information etc
do not apply), at the end insert “or 47A”.
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Reports categorising English local authorities
(1)
Section 99 of the Local Government Act 2003 (c. 26) (categorisation of English
35
local authorities by reference to performance) is amended as follows.
(2)
In subsection (1)—
(a)
for “from time to time” substitute “, if the Secretary of State so directs,”;
(b)
after “English local authorities” insert “, or of English local authorities
of a description specified in the direction,”.
40
(3)
After subsection (2) insert—
“(2A)
A direction by the Secretary of State under subsection (1) may specify—

Local Government and Public Involvement in Health Bill
Part 8 — Local services: inspection and audit
Chapter 2 — Audit Commission and auditors: functions and procedure
87

(a)
the period or periods of performance to be covered by the
report;
(b)
the form of the report;
(c)
the time by which the report must be produced.
(2B)
The power to give a direction under subsection (1) includes power to
5
give a direction varying or revoking a previous direction given in
exercise of that power.
(2C)
The Secretary of State must consult the Audit Commission before
giving a direction under subsection (1).”
Miscellaneous
10
126
Right to make objections at audit
(1)
Section 16 of the Audit Commission Act 1998 (c. 18) (right to make objections
at audit) is amended as follows.
(2)
In subsection (1), for the words from “, or any representative” to “objections”
substitute “may make objections to the auditor”.
15
(3)
For subsections (2) and (3) substitute—
“(2)
An objection under subsection (1) must be sent to the auditor in writing.
(3)
At the same time as the objection is sent to the auditor, a copy of the
objection must be sent to the body whose accounts are being audited.”
(4)
Nothing in this section affects section 16 of the Audit Commission Act 1998 in
20
so far as it relates to accounts prepared for a period beginning before the
commencement of this section.
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Agreed audit of accounts
In section 29 of the Audit Commission Act 1998 (agreed audit of accounts),
after subsection (4) insert—
25
“(5)
Consent for the purposes of subsection (1) may be given in respect of
any particular body or description of body.
(6)
If the Secretary of State thinks fit he may notify any person of, or
publish in any manner—
(a)
a consent that he has given for the purposes of subsection (1);
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(b)
any matter related to the consent.”
128
Publication of information by the Audit Commission
For subsections (1) to (3) of section 51 of the Audit Commission Act 1998
(publication of information by the Audit Commission) substitute—
“(1)
The Commission may publish such information as it thinks fit except
35
where the publication would, or would be likely to, prejudice the
effective performance of a function imposed or conferred on the
Commission or an auditor by or under an enactment.”.

Local Government and Public Involvement in Health Bill
Part 8 — Local services: inspection and audit
Chapter 3 — Audit Commission and Auditor General for Wales: disclosure of information
88

Chapter 3
Audit Commission and Auditor General for Wales: disclosure of information
129
Disclosure of information obtained by the Audit Commission or an auditor
(1)
The Audit Commission Act 1998 (c. 18) is amended as follows.
(2)
In section 49 of that Act (restriction on disclosure of information) omit
5
subsection (1A).
(3)
After subsection (2) of that section insert—
“(2A)
A person who is, or acts on behalf of a person who is, a public authority
for the purposes of the Freedom of Information Act 2000, may also
disclose such information—
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(a)
in accordance with section 41(4); or
(b)
in any other circumstances, except where the disclosure would,
or would be likely to, prejudice the effective performance of a
function imposed or conferred on the person by or under an
enactment.
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(2B)
An auditor who does not fall within subsection (2A), or a person acting
on his behalf, may also disclose such information except where the
disclosure would, or would be likely to, prejudice the effective
performance of a function imposed or conferred on the auditor by or
under an enactment.
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(2C)
A person who does not fall within subsection (2A) or (2B) may also
disclose such information in accordance with consent given by the
Commission or an auditor.
(2D)
Section 49ZA makes further provision about consent for the purposes
of subsection (2C).”.
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(4)
In subsection (3) of that section—
(a)
for “subsection (1)” substitute “this section”;
(b)
in paragraph (a), omit “to imprisonment for a term not exceeding six
months or” and “or to both; or”;
(c)
omit paragraph (b).
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(5)
After that section insert—
“49ZA
Consent under section 49(2C)
(1)
Consent for the purposes of section 49(2C) must be obtained in
accordance with this section.
(2)
A person requesting consent (“the applicant”) must make a request for
35
consent which—
(a)
is in writing,
(b)
states the name of the applicant and an address for
correspondence,
(c)
describes the information in relation to which consent is
40
requested, and
(d)
identifies the person to whom the information will be disclosed.

Local Government and Public Involvement in Health Bill
Part 8 — Local services: inspection and audit
Chapter 3 — Audit Commission and Auditor General for Wales: disclosure of information
89

(3)
Consent must be given except where the disclosure would, or would be
likely to, prejudice the effective performance of a function imposed or
conferred on the Commission or an auditor by or under an enactment.
(4)
Consent may be given or refused orally or in writing; but where it is
given or refused orally the consent or refusal must be confirmed in
5
writing.
(5)
A refusal (or, where the refusal is oral, the confirmation of the refusal)
must contain the reasons for the refusal.
(6)
A person to whom a request for consent is made must give or refuse
consent not later than the twentieth working day following the day on
10
which the request is received.
(7)
“Working day” means any day other than a Saturday, a Sunday,
Christmas Day, Good Friday or a day which is a bank holiday under the
Banking and Financial Dealings Act 1971 in any part of the United
Kingdom.”.
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(6)
Omit section 49A of that Act (disclosure of information by or on behalf of
public authorities).
(7)
Nothing in this section has effect in relation to a disclosure made before the
commencement of this section.
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Disclosure of information obtained by the Auditor General for Wales or an
20
auditor
(1)
The Public Audit (Wales) Act 2004 (c. 23) is amended as follows.
(2)
In section 54 of that Act (restriction on disclosure of information), after
subsection (2) insert—
“(2ZA)
A person who is, or acts on behalf of a person who is, a public authority
25
for the purposes of the Freedom of Information Act 2000, may also
disclose such information—
(a)
in accordance with section 145C(5) or (8) of the Government of
Wales Act 1998; or
(b)
in any other circumstances, except where the disclosure would,
30
or would be likely to, prejudice the effective performance of a
function imposed or conferred on the person by or under an
enactment.
(2ZB)
An auditor who does not fall within subsection (2ZA), or a person
acting on his behalf, may also disclose such information except where
35
the disclosure would, or would be likely to, prejudice the effective
performance of a function imposed or conferred on the auditor by or
under an enactment.
(2ZC)
A person who does not fall within subsection (2ZA) or (2ZB) may also
disclose such information in accordance with consent given by the
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Auditor General for Wales or an auditor.
(2ZD)
Section 54ZA makes further provision about consent for the purposes
of subsection (2ZC).”.
(3)
Omit subsection (2A) of that section.

Local Government and Public Involvement in Health Bill
Part 8 — Local services: inspection and audit
Chapter 3 — Audit Commission and Auditor General for Wales: disclosure of information
90

(4)
In subsection (3) of that section, for “subsection (2)” substitute “this section”.
(5)
In subsection (4) of that section—
(a)
in paragraph (a), omit “to imprisonment for a term not exceeding six
months or” and “or to both;”;
(b)
omit paragraph (b).
5
(6)
After that section insert—
“54ZA
Consent under section 54(2ZC)
(1)
Consent for the purposes of section 54(2ZC) must be obtained in
accordance with this section.
(2)
A person requesting consent (“the applicant”) must make a request for
10
consent which—
(a)
is in writing,
(b)
states the name of the applicant and an address for
correspondence,
(c)
describes the information in relation to which consent is
15
requested, and
(d)
identifies the person to whom the information will be disclosed.
(3)
Consent must be given except where the disclosure would, or would be
likely to, prejudice the effective performance of a function imposed or
conferred on the Auditor General for Wales or an auditor by or under
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an enactment.
(4)
Consent may be given or refused orally or in writing; but where it is
given or refused orally the consent or refusal must be confirmed in
writing.
(5)
A refusal (or, where the refusal is oral, the confirmation of the refusal)
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must contain the reasons for the refusal.
(6)
A person to whom a request for consent is made must give or refuse
consent not later than the twentieth working day following the day on
which the request is received.
(7)
“Working day” means any day other than a Saturday, a Sunday,
30
Christmas Day, Good Friday or a day which is a bank holiday under the
Banking and Financial Dealings Act 1971 in any part of the United
Kingdom.”.
(7)
Omit section 54A of that Act (disclosure of information by or on behalf of
public authorities).
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(8)
Nothing in this section has effect in relation to a disclosure made before the
commencement of this section.

Local Government and Public Involvement in Health Bill
Part 9 — Ethical standards
Chapter 1 — Conduct of local authority members
91

Part 9
Ethical standards
Chapter 1
Conduct of local authority members
Codes of conduct
5
131
Conduct that may be covered by code
(1)
In section 49 of the Local Government Act 2000 (c. 22) (principles governing
conduct of members of relevant authorities), after subsection (2) insert—
“(2A)
The principles which may be specified under subsection (1) or (2) are
not limited to principles applying to a member or co-opted member
10
only in his official capacity.”
(2)
In section 50 of that Act (model code of conduct), after subsection (4) insert—
“(4A)
The provisions which may be included in a model code of conduct are
not limited to provisions applying to a member or co-opted member
only in his official capacity.”
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(3)
In section 51 of that Act (duty of relevant authorities to adopt codes of
conduct), after subsection (4) insert—
“(4A)
The provisions which may be included under subsection (4)(c) are not
limited to provisions applying to a member or co-opted member of the
authority only in his official capacity.”
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(4)
In section 52 of that Act (duty to comply with code of conduct), in each of
subsections (1) to (4), omit the words “in performing his functions”.
(5)
Subsection (6) below applies where immediately before the commencement
date a person is a member or co-opted member of a relevant authority and not
prevented by any provision of section 52 of that Act from acting as such.
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(6)
The coming into force of this section shall not have the effect of preventing the
person from acting as a member or co-opted member of the relevant authority,
but—
(a)
he must before the end of the prescribed period give to that authority a
written undertaking that he will observe the authority’s code of
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conduct for the time being; and
(b)
if he fails to comply with paragraph (a), he shall cease to be a member
or co-opted member at the end of that period.
(7)
With effect from the commencement date—
(a)
any order under section 49 or 50 of the Local Government Act 2000, and
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(b)
any code of conduct of a relevant authority,

which is in force immediately before that date shall have effect as if the
amendments made by this section had always had effect.
(8)
Subsection (7) does not affect the operation of any order or code in relation to
any time before the commencement date.
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Local Government and Public Involvement in Health Bill
Part 9 — Ethical standards
Chapter 1 — Conduct of local authority members
92

(9)
In this section the following expressions have the same meanings as in the
Local Government Act 2000 (c. 22)—
“code of conduct”;
“co-opted member”;
“member of a relevant authority”;
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“relevant authority”.
(10)
In this section—
“the commencement date” means the date this section comes into force;
“the prescribed period” means such period, beginning with the
commencement date, as may be prescribed for the purposes of
10
subsection (6) by order made by the Secretary of State.
Conduct of members of authorities in England: assessment of allegations
132
Assessment of allegations
For section 58 of the Local Government Act 2000 substitute—
“Written allegations
15
57A
Written allegations: right to make, and initial assessment
(1)
A person may make a written allegation to the standards committee of
a relevant authority in England that a member or co-opted member (or
former member or co-opted member) of that authority has failed, or
may have failed, to comply with the authority’s code of conduct.
20
(2)
Where a standards committee receives an allegation under subsection
(1) it must—
(a)
refer the allegation to the monitoring officer of the relevant
authority concerned (see section 66),
(b)
refer the allegation to the Standards Board for England (see
25
section 58), or
(c)
decide that no action should be taken in respect of the
allegation.
(3)
Where an allegation under subsection (1) is in respect of a person
who—
30
(a)
is no longer a member or co-opted member of the relevant
authority concerned, but
(b)
is a member or co-opted member of another relevant authority
in England,

the standards committee may, if it thinks it more appropriate than
35
referring the allegation to the monitoring officer of the relevant
authority concerned, refer the allegation to the monitoring officer of
that other relevant authority.
(4)
If the standards committee decides that no action should be taken in
respect of the allegation, it must take reasonable steps to give notice in
40
writing, to the person who made the allegation, of the decision and the
reasons for the decision.
(5)
Subsections (2) to (4) are subject to any direction under section 57C.