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(3) If the board is of the opinion that the authority or authorities have not complied with the requirements of section 125(1) to (3), it may make recommendations as to actions that the authority or authorities might take in response to that opinion.

(4) If, in performing its functions under subsection (1)(b), the board is of the opinion that any person who was not consulted under section 125(3) ought to have been so consulted, that person has—

(a) the rights of appeal under section 127A that are conferred by virtue of subsection (3)(b) of that section, or

(b) in a case where this section applies by virtue of section 131AB(3) (non-exempt proposal to continue scheme), the rights of appeal under section 131D that are conferred by virtue of subsection (3)(b) of that section.

(5) The board is to give notice to the authority or authorities of—

(a) the opinions that it has formed on the questions in paragraphs (a) and (b) of subsection (1),

(b) any recommendations that it makes under subsection (2) or (3),

(c) its reasons for forming those opinions and making any such recommendations,

and is to publish a report stating those opinions, recommendations and reasons.

(6) If, in a case where the board makes recommendations under subsection (3), the authority or authorities take the action recommended by the board and publish notice that they have done so, this Part has effect as if—

(a) the authority or authorities had complied with the requirements of section 125(1) to (3) to which the recommendations relate, and

(b) the opinion formed by the board on the question in subsection (1)(b) had included (and had been stated in the report as including) the opinion that the authority or authorities had complied with those requirements.

(7) Following receipt of the notice under subsection (5), the authority or authorities may modify the proposed scheme.

(8) If the authority or authorities—

(a) modify the proposed scheme by virtue of subsection (7) or section 125(5), and

(b) send the board a request under section 126AB(4) by virtue of section 126AB(6),

this section has effect with such modifications or exclusions as may be prescribed by regulations under section 126B or 133.”.’.

New Clause 15


Appeals against the making of schemes for areas in England

‘(1) After section 127 of the TA 2000 insert—

“127A Appeals against the making of schemes for areas in England

(1) This section applies where an authority or authorities make a quality contracts scheme for an area in England.

(2) Any person falling within subsection (3) may appeal to the Transport Tribunal against the decision of the authority or authorities to make the scheme.

(3) The persons are—

(a) any person who was consulted under section 125(3),

(b) any person who was not consulted under section 125(3) but who, in the opinion of the QCS board under section 126AC(1)(b), ought to have been so consulted.


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(4) An appeal under this section may be—

(a) on a point of law, or

(b) on a question of fact, unless subsection (5) prevents it.

(5) No appeal lies under this section on a question of fact (and no question of fact is to be entertained by the Tribunal on an appeal under this section) in any case where subsection (6) applies.

(6) This subsection applies if the QCS board stated in its report under section 126AC(5) that it is of the opinion—

(a) that the conditions in the paragraphs of section 124(1) or, as the case may be, of section 124(1A) are met, and

(b) that the authority or authorities have complied with the requirements of section 125(1) to (3) (or are by virtue of section 126AC(6) to be taken to have complied with those requirements by virtue of having taken any action recommended by the board in any previous reports),

and if the scheme, as made, corresponds to the proposed scheme to which that report relates.

(7) The authority or authorities may issue invitations to tender in accordance with section 130(1) notwithstanding the lodging of any appeal under or by virtue of this section.

127B Powers of the Transport Tribunal on an appeal under section 127A

(1) On an appeal under section 127A the Transport Tribunal shall have power—

(a) to make such order as they think fit, or

(b) to remit any matter (with or without directions) to the authority or authorities for their consideration or determination or for such other purposes as the Tribunal may direct.

(2) The powers of the Tribunal on an appeal under section 127A include power to do any one or more of the following—

(a) dismiss the appeal in whole or in part,

(b) remit the matter to the authority or authorities with one or more directions under subsection (3),

(c) direct the authority or authorities to vary the scheme in such manner as the Tribunal may specify in the direction (but see subsection (4)),

(d) quash the decision of the authority or authorities (but see subsection (5)).

(3) A direction under this subsection is a direction for the authority or authorities to do each of the following—

(a) consider or reconsider such matters as may be specified in the direction,

(b) consult or further consult as respects those matters in such manner as may be specified in the direction,

(c) vary the scheme in such respects as may in consequence appear appropriate to the authority or authorities.

(4) The Tribunal may give a direction under this section to vary the scheme by reducing the area to which the scheme relates only if they are of the opinion that the conditions in section 132(3) are met.

(5) The power of the Tribunal under this section to quash the decision of the authority or authorities is exercisable only if the Tribunal are of the opinion that there are defects in the scheme which are not capable of being remedied by varying the scheme under or by virtue of subsection (2)(b) or (c).

(6) Where, on an appeal under section 127A, the Tribunal exercises any power falling within paragraph (b) of subsection (2) above, the only further appeal allowed under that section is an appeal against a decision of the authority or authorities to vary, or not to vary, the scheme by virtue of subsection (3)(c).”.’.

(2) In section 162(4) of the TA 2000 (provisions where references to Passenger Transport Authorities or Integrated Transport Authorities are to be read as references to Passenger
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Transport Executives) insert at the appropriate place in the list of provisions—

“section 127A(7),”.’.

New Clause 16


Exempt continuation proposals

‘(1) After section 131A of the TA 2000 insert—

“131AA Meaning of “exempt continuation proposal”

(1) For the purposes of this Part a proposal that a quality contracts scheme should continue in operation is an “exempt continuation proposal” if—

(a) any one or more of Conditions 1 to 3 are met and Conditions A and B are met, or

(b) the circumstances are as prescribed in regulations made by the appropriate national authority.

(2) Condition 1 is that it is not proposed that the area to which the continuation scheme relates is to be greater than the area to which the existing scheme relates.

(3) Condition 2 is that it is proposed that the area to which the continuation scheme relates is to be greater than the area to which the existing scheme relates, but—

(a) the additional area proposed to be included falls wholly within the area or combined area of the authority or authorities proposing the continuation of the scheme, and

(b) it is not proposed that under the continuation scheme any descriptions of local services are to be provided under quality contracts in addition to the descriptions of local services so provided under the existing scheme.

(4) Condition 3 is that during the period while the existing scheme has been in force—

(a) there has been a change in the area of the authority, or of any of the authorities, that last made or continued the scheme, or

(b) a different authority has become the local transport authority for some or all of the area to which the scheme relates,

but it is not proposed that under the continuation scheme any descriptions of local services are to be provided under quality contracts in addition to the descriptions of local services so provided under the existing scheme.

(5) Condition A is that it is not proposed under the continuation scheme that any local services which, immediately before the coming into force of that scheme, were unregulated services are under the continuation scheme to be provided under quality contracts.

(6) Condition B is that it is not proposed under the continuation scheme that any services which, immediately before the coming into force of that scheme, were excluded services in the case of the existing scheme are not to be excluded services in the case of the continuation scheme.

(7) In this section—

“the continuation scheme” means the scheme as proposed to continue in operation;

“excluded services”, in the case of any quality contracts scheme, means any local services, or class of local services, which are excluded from the scheme by virtue of section 127(4);

“the existing scheme” means—

(a) the scheme as last continued or varied, or(b) if the scheme has not previously been continued or varied, the scheme as originally made;

“unregulated services” means any local services provided otherwise than—

(c) under a contract with one or more local transport authorities, or(d) by an authority or authorities acting under section 132C(2) (power to provide interim services in exceptional circumstances);
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and any reference to the coming into force of a scheme includes a reference to the coming into force of any particular provision of it.

(8) See also section 131C (which makes provision about appeals relating to exempt continuation proposals).”.

(2) In section 162 of that Act (interpretation of Part 2) insert the following definition at the appropriate place in subsection (1)—

““exempt continuation proposal” is to be read in accordance with section 131AA,”.’.

New Clause 17


Continuation of schemes for areas in England: procedure

‘After section 131AA of the TA 2000 insert—

“131AB Continuation of schemes for areas in England: procedure

(1) This section has effect with respect to the continuation in operation under section 131A (or the proposed continuation in operation under that section) of a quality contracts scheme for an area in England (whether with or without modifications).

(2) If the proposal for the continuation of the scheme—

(a) is an exempt continuation proposal, or

(b) in a case where the authority or authorities have decided that the scheme should continue, was such a proposal,

subsections (2) and (3) to (9) of section 127 apply in relation to the continuation of the scheme as they apply in relation to the making of a scheme, but with the modifications in subsection (4).

(3) Where subsection (2) does not apply, sections 126A to 127 apply in relation to the continuation of a scheme as they apply in relation to the making of a scheme, but with the modifications in subsection (4).

(4) The modifications are—

(a) any reference to a proposal to make a scheme is to be read as a reference to a proposal for the continuation of a scheme,

(b) any reference to making a scheme is to be read as a reference to deciding that a scheme should continue in operation,

(c) any reference to the proposed scheme is to be read as a reference to the scheme as proposed to continue in operation,

(d) any reference to any conditions set out in any paragraphs of section 124(1) or (as the case may be) of section 124(1A) being met is to be read as a reference to those conditions being met by the scheme as proposed to continue in operation (with any proposed modifications),

(e) any reference to section 125 or any provision of that section is to be read as a reference to that section or provision as it has effect by virtue of section 131A,

(f) the references in section 127(2)(b) and (9)(c) to the date or dates on which the scheme is, or provisions of the scheme are, to come into operation are to be read as references to the day decided by the authority or authorities by virtue of section 131A(5B),

(g) section 127 has effect with the omission of subsection (2A) (scheme not to come into operation until 6 months after making),

but further or different modifications, or exclusions, may also be made by regulations under section 133(3)(b).

(5) If, acting on the basis that the proposal for the continuation of the scheme is an exempt continuation proposal, the authority or authorities decide that the scheme is to continue, they must—

(a) publish in such manner as they think fit, and within the time allowed, a notice announcing their decision on the proposal,


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(b) supply a copy of that notice to each of the persons mentioned in section 125(3) as it applies by virtue of section 131A in a case where the proposal is an exempt continuation proposal, and

(c) give notice of the decision in accordance with section 127(8) and (9).

(6) For the purposes of subsection (5)(a), the time allowed is the period of 6 months following the date of publication of the consultation document required by section 125(1) as applied by section 131A.”.’.

New Clause 18


Continuation of schemes for areas in Wales: procedure

‘After section 131AB of the TA 2000 insert—

“131B Continuation of schemes for areas in Wales: procedure

(1) This section has effect with respect to the continuation in operation under section 131A (or the proposed continuation in operation under that section) of a quality contracts scheme for an area in Wales (whether with or without modifications).

(2) Subsections (2) and (3) to (9) of section 127 apply in relation to the continuation of the scheme as they apply in relation to the making of a scheme, but with the modifications in subsection (4).

(3) Unless the proposal for the continuation of the scheme—

(a) is an exempt continuation proposal, or

(b) in a case where the authority or authorities have decided that the scheme should continue, was such a proposal,

subsections (1)(b) and (1B) of section 127 also apply in relation to the continuation of the scheme, and with the modifications in subsection (4).

(4) The modifications are—

(a) any reference to proposing to make a scheme is to be read as a reference to proposing the continuation of a scheme,

(b) any reference to making a scheme is to be read as a reference to deciding that a scheme should continue in operation,

(c) any reference to the proposed scheme is to be read as a reference to the scheme as proposed to continue in operation,

(d) the references in section 127(2)(b) and (9)(c) to the date or dates on which the scheme is, or provisions of the scheme are, to come into operation are to be read as references to the day decided by the authority or authorities by virtue of section 131A(5B),

but further or different modifications, or exclusions, may also be made by regulations under section 133(3)(b).

(5) Subsection (6) applies in any case where—

(a) an authority or authorities propose that a quality contracts scheme for an area in Wales should continue in operation (with or without modification) under section 131A, and

(b) the proposal is not an exempt continuation proposal.

(6) In any such case, section 126 (approval by Welsh Ministers of proposed schemes for areas in Wales) applies in relation to a proposal for the continuation of a scheme as it applies in relation to a proposal to make a scheme, but with the modifications set out in subsection (7).

(7) The modifications are—

(a) any reference to a proposed scheme is to be read as a reference to a proposal for a scheme to continue in operation under section 131A;

(b) the reference in section 126(2)(a) to wishing to make a scheme is to be read as a reference to wishing that a scheme should continue in operation;


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(c) any reference to any conditions set out in any paragraphs of section 124(1) being met is to be read as a reference to those conditions being met by the scheme as proposed to continue in operation (with any proposed modifications);

(d) any reference to section 125 or any provision of that section is to be read as a reference to that section or provision as it has effect by virtue of section 131A.

(8) If, acting on the basis that the proposal for the continuation of the scheme is an exempt continuation proposal, the authority or authorities decide that the scheme is to continue, they must—

(a) publish in such manner as they think fit, and within the time allowed, a notice announcing their decision on the proposal,

(b) supply a copy of that notice to each of the persons mentioned in section 125(3) as it applies by virtue of section 131A, and

(c) give notice of the decision in accordance with section 127(8) and (9).

New Clause 19


Exemption from s.132 for specific variations directed by Transport Tribunal

‘After section 132A of the TA 2000 insert—

“132B Exemption from s.132 for specific variations directed by Tribunal

(1) This section applies in relation to any of the following appeals—

(a) an appeal under section 127A against a decision to make a scheme,

(b) an appeal under section 131C(2)(a) against a decision that a proposal was an exempt continuation proposal,

(c) an appeal under section 131C(2)(b) against a decision that a scheme should continue in operation,

(d) an appeal under section 131D(2) against a decision that a scheme should continue in operation,

(e) an appeal by virtue of section 132 against a decision to vary a scheme,

(f) an appeal under section 132A(2)(a) against a decision that a variation was an exempt variation for the purposes of section 132,

(g) an appeal under section 132A(2)(b) against a decision as to the variation of a scheme under section 132.

(2) Where—

(a) any such appeal is made to the Transport Tribunal, and

(b) on that appeal, the Tribunal direct the authority or authorities to vary the scheme in the manner specified by the Tribunal in the direction,

nothing in section 132(5) to (9) (procedure for variation of scheme) applies in relation to the varying of the scheme in the manner specified in the direction, unless the Tribunal otherwise direct.

(3) Subsection (2) is without prejudice to any right of appeal against the decision of the Transport Tribunal.”.’


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New Clause 23


Financial penalty deposits: powers of vehicle examiners in Scotland

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