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1275

 

House of Commons

 
 

Tuesday 13 October 2009

 

Consideration of Bill

 

Local Democracy, Economic Development and


 

Construction Bill [Lords], As Amended


 

New ClauseS

 

Application of construction contracts legislation

 

Secretary John Denham

 

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;


 
 

Consideration of Bill: 13 October 2009                  

1276

 

Local Democracy, Economic Development and [Lords], 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

 

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.


 
 

Consideration of Bill: 13 October 2009                  

1277

 

Local Democracy, Economic Development and [Lords], 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

 

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).


 
 

Consideration of Bill: 13 October 2009                  

1278

 

Local Democracy, Economic Development and [Lords], 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

 

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

 

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

 

NC3

 

To move the following Clause:—

 

‘(1)    

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

 

as follows.


 
 

Consideration of Bill: 13 October 2009                  

1279

 

Local Democracy, Economic Development and [Lords], 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

 

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.”’.

 



 
 

Consideration of Bill: 13 October 2009                  

1280

 

Local Democracy, Economic Development and [Lords], continued

 
 

Prohibition of conditional payment provisions

 

Dan Rogerson

 

Julia Goldsworthy

 

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

 

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

 

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.


 
 

Consideration of Bill: 13 October 2009                  

1281

 

Local Democracy, Economic Development and [Lords], continued

 
 

(5)    

It is immaterial whether or not the contractual provision is contained in

 

the construction contract.’.

 


 

Committee system

 

Andrew Mackinlay

 

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

 

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.’.

 



 
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