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Session 2008 - 09
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Other Bills before Parliament

411

SUPPLEMENT TO THE VOTES AND PROCEEDINGS

Tuesday 13 October 2009

Report Stage Proceedings

Local Democracy, Economic Development and

Construction Bill [Lords], As Amended

New ClauseS

Application of construction contracts legislation

Secretary John Denham

Added  NC12

To move the following Clause:—

‘(1)
The Housing Grants, Construction and Regeneration Act 1996 (c. 53) is amended

as follows.

(2)
In section 106 (provisions not applicable to contract with residential occupiers),

in subsection (1), omit paragraph (b) and the preceding “or”.

(3)
After that section insert—

“106A Power to disapply provisions of this Part

(1)
The Secretary of State may by order provide that any or all of the

provisions of this Part, so far as extending to England and Wales, shall

not apply to any description of construction contract relating to the

carrying out of construction operations (not being operations in Wales)

which is specified in the order.

(2)
The Welsh Ministers may by order provide that any or all of the

provisions of this Part, so far as extending to England and Wales, shall

not apply to any description of construction contract relating to the

carrying out of construction operations in Wales which is specified in the

order.

(3)
The Scottish Ministers may by order provide that any or all of the

provisions of this Part, so far as extending to Scotland, shall not apply to

any description of construction contract which is specified in the order.

(4)
An order under this section shall not be made unless a draft of it has been

laid before and approved by resolution of—

(a)
in the case of an order under subsection (1), each House of

Parliament;

(b)
in the case of an order under subsection (2), the National

Assembly for Wales;

Report Stage Proceedings: 13 October 2009
412

Local Democracy, Economic Development and-[ [], continued

(c)
in the case of an order under subsection (3), the Scottish

Parliament.”

(4)
In section 146 (orders etc)—

(a)
in subsection (2), for “Secretary of State” substitute “the authority

making them”;

(b)
in subsection (3)(a), after “106(4)” insert “, 106A”.’.

Mutual insurance

Secretary John Denham

Added  NC19

To move the following Clause:—

‘(1)
Subject as follows, a qualifying authority may —

(a)
become a member of a body corporate—

(i)
all of whose objects fall within the objects specified in

subsection (2), and

(ii)
all of whose members are qualifying authorities, and

(b)
do anything that is required by, or is conducive or incidental to,

membership of any such body.

(2)
The objects referred to in subsection (1)(a)(i) are—

(a)
to provide insurance, in relation to risks of any description, to—

(i)
qualifying authorities who are members of the body corporate,

and

(ii)
persons prescribed in regulations made by the appropriate

national authority,

(b)
to enter into arrangements under which such insurance is provided to—

(i)
qualifying authorities who are members of the body corporate,

and

(ii)
persons prescribed in regulations made by the appropriate

national authority, and

(c)
to do anything that is required by, or is conducive or incidental to, the

provision of any such insurance or entering into any such arrangements.

(3)
The power of a qualifying authority under subsection (1)(b) includes in particular

power—

(a)
to pay premiums and make other payments to the body corporate;

(b)
to agree to make any such payments;

(c)
to assume financial obligations in relation to persons prescribed for the

purposes of subsection (2)(a)(ii) or (b)(ii).

(4)
The appropriate national authority may by regulations impose restrictions or

conditions on the exercise of any power conferred on a qualifying authority by

subsection (1).

(5)
A qualifying authority must, in exercising the powers conferred by subsection (1),

have regard to—

(a)
any guidance issued by the appropriate national authority, and

(b)
any guidance or document specified in regulations made by the

appropriate national authority.

Report Stage Proceedings: 13 October 2009
413

Local Democracy, Economic Development and-[ [], continued

(6)
The appropriate national authority may by regulations amend this Chapter for the

purposes of changing the authorities which are for the time being qualifying

authorities for the purposes of this section.’.

Mutual insurance: supplementary

Secretary John Denham

Added  NC20

To move the following Clause:—

‘(1)
This section applies for the purposes of section [Mutual insurance].

(2)
A qualifying authority is—

(a)
a county council in England;

(b)
a district council in England;

(c)
a London borough council;

(d)
the Common Council of the City of London in its capacity as a local

authority;

(e)
the Greater London Authority so far as it exercises its functions through

the Mayor;

(f)
the Council of the Isles of Scilly;

(g)
a county council in Wales;

(h)
a county borough council in Wales;

(i)
a National Park authority;

(j)
the Broads Authority;

(k)
a police authority;

(l)
a fire and rescue authority not falling within paragraphs (a) to (h);

(m)
a joint waste authority established under section 207(1) of the Local

Government and Public Involvement in Health Act 2007 (c. 28);

(n)
a waste disposal authority established under section 10 of the Local

Government Act 1985 (c. 51);

(o)
an Integrated Transport Authority;

(p)
Transport for London;

(q)
the London Development Agency;

(r)
an economic prosperity board established under section 85 or a combined

authority established under section 100.

(3)
The “appropriate national authority” means—

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

(b)
the Welsh Ministers, in relation to Wales.

(4)
Regulations under section [Mutual insurance] are to be made by statutory

instrument.

(5)
A statutory instrument containing regulations under subsection (2), (4) or (5)(b)

of that section is subject to annulment in pursuance of a resolution of—

(a)
either House of Parliament (in the case of regulations made by the

Secretary of State);

(b)
the National Assembly for Wales (in the case of regulations made by the

Welsh Ministers).

Report Stage Proceedings: 13 October 2009
414

Local Democracy, Economic Development and-[ [], continued

(6)
A statutory instrument containing regulations under subsection (6) of that section

may not be made unless a draft of the instrument has been laid before, and

approved by a resolution of—

(a)
each House of Parliament (in the case of regulations made by the

Secretary of State);

(b)
the National Assembly for Wales (in the case of regulations made by the

Welsh Ministers).’.

Building targets

Mr Peter Lilley

Not called  NC1

To move the following Clause:—

‘No local authority which has a responsibility to plan for building a target number

of homes may promote an area for housing allocation within the area of another

local authority nor count such an allocation towards its housing target without the

agreement of that authority.’.

Parish polls

Mr David Drew

Withdrawn  NC2

To move the following Clause:—

‘(1)
Paragraph 18(4), Schedule 12 of the Local Government Act 1972 (c. 70) is

substituted as follows:

“(2)
A poll may be demanded before the conclusion of a parish meeting on

any question arising at the meeting; but no poll shall be taken unless

either the person presiding at the meeting consents or the poll is

demanded by not less than thirty, or one-third, of the local government

electors present at the meeting, whichever is the greater.”’.

Insolvency protection

Mr Elfyn Llwyd

Hywel Williams

Negatived on division  NC3

To move the following Clause:—

‘(1)
The Housing Grants, Construction and Regeneration Act 1996 (c.53) is amended

as follows.

Report Stage Proceedings: 13 October 2009
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Local Democracy, Economic Development and-[ [], continued

(2)
After section 113 insert—

“113A
  Insolvency protection

(1)
A party to a construction contract may at any time request the other party

to provide adequate security including bank guarantees and bonds in

respect of payments of the contract price, including the price of any

varied or additional works.

(2)
Where a party fails to provide the adequate security as requested under

subsection (1), the party making the request has the right to suspend any

or all of his obligations under the construction contract with the party in

default.

(3)
The right may not be exercised without first giving to the party in default

at least seven days’ notice of intention to suspend performance, stating

that performance will be suspended unless, in the meantime, the security

requested under subsection (1) is provided.

(4)
The right to suspend performance ceases when the party in the default

makes available the security requested under subsection (1).

(5)
The consequences of the exercise of the right of the suspension under

subsection (2) are as set out in subsections (3A) and (4) in section 112.”’.

Local freedoms

Jim Cousins

Added  NC4

To move the following Clause:—

‘(1)
The Local Government Act 1972 (c. 70) is amended as follows.

(2)
In section 248 (freemen and inhabitants of existing boroughs), after subsection

(1) there is inserted—

“(1A)
Where the son of a freeman of a city or town may claim to be admitted as

a freeman of that place, the daughter of a freeman may likewise claim to

be so admitted.

(1B)
The son or daughter of a freeman of a city or town shall be admitted as a

freeman whether born before or after the admission, as a freeman, of his

or her freeman parent and wherever he or she was born.

(1C)
In subsections (1A) and (1B) ‘freeman’ excludes a freeman of the City of

London.”’.

Report Stage Proceedings: 13 October 2009
416

Local Democracy, Economic Development and-[ [], continued

Prohibition of conditional payment provisions

Dan Rogerson

Julia Goldsworthy

Not called  NC5

To move the following Clause:—

‘(1)
The Housing Grants, Construction and Regeneration Act 1996 (c. 53) is amended

as follows.

(2)
Section 113 is omitted.’.

Purposes of regional development agencies

Dan Rogerson

Julia Goldsworthy

Negatived  NC6

To move the following Clause:—

‘Section 4 of the Regional Development Agencies Act 1998 (c. 45) is amended

as follows—

(a)
in paragraph (a) of subsection (1) after first “the”, insert “sustainable”,

and

(b)
in paragraph (e) of subsection (1) after “Kingdom”, leave out to end of

line.’.

Right to refer disputes to adjudication and conduct of the adjudication

Daniel Kawczynski

Not called  NC7

To move the following Clause:—

‘In the Housing Grants, Construction and Regeneration Act 1996 (c. 53), for

section 108 (right to refer disputes to adjudication) substitute—

“108
Right to refer disputes to adjudication and conduct of the

adjudication

(1)
A party to a construction contract has the right to refer a dispute arising

under the contract for adjudication.

(2)
For this purpose “disputes” includes any difference.

(3)
The adjudication shall be conducted solely in accordance with the

adjudication provisions of the Scheme for Construction Contracts.

(4)
Any contractual provision between the parties to a construction contract

which adds to, omits, varies or excludes the provisions of the Scheme is

ineffective.

Report Stage Proceedings: 13 October 2009
417

Local Democracy, Economic Development and-[ [], continued

(5)
It is immaterial whether or not the contractual provision is contained in

the construction contract.’.

Committee system

Andrew Mackinlay

Negatived on division  NC8

To move the following Clause:—

‘(1)
Section 31 of the Local Government Act 2000 (c. 22) is amended as follows.

(2)
Subsection (2), there is substituted—

“(2)
A local authority falls within this subection if the resident population of

the authority’s areas on 30 June 1999 was less than 1,000,000.”’.

Duty to draw up a strategy for public toilet provision

Dr Phyllis Starkey

Anne Main

Dr John Pugh

Mr Clive Betts

Alison Seabeck

Mr Neil Turner

Not called  NC9

To move the following Clause:—

‘(1)
A lower-tier local authority must make a strategy for the provision of public toilet

facilities in their area.

(2)
Before drawing up its strategy, the authority shall take whatever steps it deems

necessary to consult the public in its area.

(3)
The authority shall have regard to the results of the consultation when drawing up

its strategy.

(4)
A lower-tier local authority must—

(a)
review its strategy at least once a year;

(b)
take whatever steps it deems necessary to consult the public in its area as

part of its review;

(c)
have regard to the results of the consultation when reviewing its strategy;

and

(d)
publish its strategy and information relating to its consultation on its

authority’s website.

(5)
An authority may delegate to a town or parish council its responsibilities under

this section in respect of any area covered by that town or parish council.’.