Education and Inspections Bill

House of Lords

Session 2005 - 06
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Other Bills before Parliament

Education and Inspections Bill

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
180

(a)
the matter is referred to him by a relevant person in
relation to the determination, and
(b)
before making the further determination, the adjudicator
consults such persons as he considers appropriate.
      (2)
A “relevant person” in relation to a determination means—
5
(a)
the local education authority, governing body, foundation
body or trustees who made the reference to the adjudicator
in relation to which the determination was made, or
(b)
any other of those persons who could have made that
reference.
10
     (3)
In determining whether to make a reference to the adjudicator
under sub-paragraph (1)(a), a relevant person must have regard,
in particular, to any guidance given from time to time by the
Secretary of State.
      (4)
An order made by the adjudicator on an application under
15
paragraph A5, A11 or A17 may be varied or revoked by a further
order made by him if—
(a)
an application for its variation or revocation is made to
him by an appropriate person in relation to the order, and
(b)
before making the further order, the adjudicator consults
20
such persons as he considers appropriate.
      (5)
An “appropriate person” in relation to an order made under
paragraph A5, A11 or A17 means—
(a)
the governing body, the foundation body or the trustees,
as the case may be, who applied for the order,
25
(b)
the local education authority, or
(c)
if different from that authority, the local authority to
whom land is required to be transferred under the order.
      (6)
In determining whether to make an application to the adjudicator
under sub-paragraph (4)(a), an appropriate person must have
30
regard, in particular, to any guidance given from time to time by
the Secretary of State.
      (7)
Paragraph A19 applies in relation to the further determination by
the adjudicator, by virtue of sub-paragraph (1) or (4), of any matter
for the purposes of any of paragraphs A2 to A17 as it applies in
35
relation to the original determination of the matter.
Meaning of “capital expenditure”
A21   (1)
This paragraph applies to the references to capital expenditure in
the definition of “relevant capital expenditure” in paragraphs A6,
A12 and A18.
40
      (2)
Subject to sub-paragraphs (3) and (4), such references are
references to—
(a)
in the case of paragraph A6, expenditure which, if it were
to be incurred by the governing body, would fall to be
capitalised in accordance with proper accounting
45
practices;

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
181

(b)
in the case of paragraph A12, expenditure which, if it were
to be incurred by the foundation body, would fall to be
capitalised in accordance with proper accounting
practices;
(c)
in the case of paragraph A18, expenditure which, if it were
5
to be incurred by the trustees, would fall to be capitalised
in accordance with proper accounting practices.
      (3)
The Secretary of State may by regulations prescribe classes or
descriptions of expenditure which are to be treated—
(a)
for the purposes of paragraph A6 as being, or as not being,
10
capital expenditure of any governing body, or any
prescribed class or description of governing body;
(b)
for the purposes of paragraph A12 as being, or as not
being, capital expenditure of any foundation body, or any
prescribed class or description of foundation body;
15
(c)
for the purposes of paragraph A18 as being, or as not
being, capital expenditure of any trustees, or any
prescribed class or description of trustee.
      (4)
The Secretary of State may by direction provide that—
(a)
expenditure of a particular governing body, which is
20
expenditure of a particular class or description, is to be
treated for the purposes of paragraph A6 as being, or as not
being, capital expenditure of that body;
(b)
expenditure of a particular foundation body, which is
expenditure of a particular class or description, is to be
25
treated for the purposes of paragraph A12 as being, or as
not being, capital expenditure of that body;
(c)
expenditure of particular trustees, which is expenditure of
a particular class or description, is to be treated for the
purposes of paragraph A18 as being, or as not being,
30
capital expenditure of those persons.
      (5)
Directions under sub-paragraph (4) may be expressed to have
effect in specified circumstances or subject to specified conditions.
A22   (1)
For the purposes of paragraph A21, “proper accounting practices”,
in relation to a governing or foundation body, or to trustees,
35
means those accounting practices—
(a)
which, whether by virtue of any enactment or by reference
to any generally recognised published code or otherwise,
are regarded as proper accounting practices to be followed
in the keeping of accounts by that body, or as the case may
40
be, those persons, or
(b)
which, whether by virtue of any enactment or by reference
to any generally recognised published code or otherwise,
are regarded as proper accounting practices to be followed
in the keeping of accounts by the relevant local education
45
authority.
      (2)
The “relevant local education authority” means the local
education authority to whom notice of the disposal in question is
required to be given under paragraph A2, A8 or A14.

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
182

      (3)
In the event of conflict between the accounting practices falling
within paragraph (a) of sub-paragraph (1) and those falling within
paragraph (b) of that sub-paragraph, only those falling within
paragraph (a) are to be regarded as proper accounting practices.
Land required by local education authority for certain purposes
5
A23   (1)
A local education authority in England may apply to the
adjudicator for a transfer order under this paragraph in relation to
publicly funded land which—
(a)
is held for the purposes of a foundation, voluntary or
foundation special school by the governing body of the
10
school,
(b)
is held by a foundation body for the purposes of the group
of schools for which it acts, or
(c)
is held, or held on trust, for the purposes of a foundation,
voluntary or foundation special school by the trustees of
15
the school.
      (2)
A transfer order is an order requiring the land in relation to which
it is made to be transferred by the body or trustees holding it to the
authority, subject to the payment by the authority of such sum by
way of consideration (if any) as the adjudicator determines to be
20
appropriate.
      (3)
In determining whether to make an application under sub-
paragraph (1) for a transfer order, a local education authority must
have regard, in particular, to any guidance given from time to time
by the Secretary of State.
25
      (4)
Before making an application under sub-paragraph (1) for a
transfer order in relation to publicly funded land, the authority
must give the body or trustees holding the land notice of the
authority’s intention to make the application.
      (5)
An application under sub-paragraph (1) must state the purpose
30
for which the land to which it relates is required by the authority
(“the stated purpose”).
      (6)
In relation to the content of such an application, a local education
authority must have regard, in particular, to any guidance given
from time to time by the Secretary of State.
35
      (7)
Where an application is made under sub-paragraph (1) for a
transfer order in relation to publicly funded land, the adjudicator
may make a transfer order if he is satisfied that—
(a)
the land is not required for the purposes of the school or,
as the case may be, the schools in the group,
40
(b)
the land is required by the authority for the stated purpose,
(c)
the stated purpose is a qualifying purpose, and
(d)
it is appropriate for the land to be used for that purpose.
      (8)
For the purposes of sub-paragraph (7)(c) the stated purpose is a
qualifying purpose if it falls within one or more of the following
45
descriptions of purpose—

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
183

(a)
the land is required for the purposes of any school or
institution which is, or is to be, maintained by the
authority, or which they have power to assist;
(b)
the land is otherwise required for the purposes of the
exercise of any of the functions of the authority;
5
(c)
the land is required for the provision of children’s services
by or on behalf of the local authority who are that authority
in the exercise of any of the relevant functions of that local
authority.
      (9)
For the purposes of sub-paragraph (8)(c)—
10
“children’s services” are services provided for or in relation
to any of the following persons (whether or not they are
also provided for or in relation to any other persons)—
(a)
children;
(b)
persons aged 18 or 19;
15
(c)
persons over the age of 19 who are receiving services
under sections 23C to 24D of the Children Act 1989;
(d)
persons over the age of 19 but under the age of 25 who
have a learning difficulty, within the meaning of
section 13 of the Learning and Skills Act 2000, and are
20
receiving services under that Act;
“relevant functions” means the functions described in any of
paragraphs (a), (c), (d) or (e) of subsection (1) of section 134
of the Education and Inspections Act 2006.
     (10)
Before making a transfer order the adjudicator must consult the
25
body or trustees holding the land in relation to which the
application for the transfer order is made.
     (11)
In determining whether to make a transfer order, the adjudicator
must have regard, in particular, to any guidance given from time
to time by the Secretary of State.
30
     (12)
Where a transfer order is made, the authority must use the land to
which it relates for the stated purpose.
     (13)
A transfer order made by the adjudicator may be varied or
revoked by a further order made by the adjudicator if—
(a)
an application for its variation or revocation is made to
35
him by a relevant person in relation to the order, and
(b)
before making the further order, the adjudicator consults
such persons as he considers appropriate.
     (14)
A “relevant person” in relation to a transfer order means—
(a)
the local education authority who applied for the transfer
40
order, or
(b)
the body or trustees who held the land to which the order
relates.
     (15)
In determining whether to make an application to the adjudicator
under sub-paragraph (13)(a), a relevant person must have regard,
45
in particular, to any guidance given from time to time by the
Secretary of State.

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
184

     (16)
Sub-paragraph (11) applies in relation to the making of a further
order by virtue of sub-paragraph (13) as it applies in relation to the
making of the original transfer order.
A24   (1)
For the purposes of paragraph A23, land held for the purposes of
a foundation, voluntary or foundation special school by the
5
governing body of the school is “publicly funded land” if it is—
(a)
land acquired under a transfer under section 201(1)(a) of
the Education Act 1996,
(b)
land acquired under any of the following—
paragraph 2 of Schedule 3;
10
paragraph 16 of Schedule 6 (including that provision
as applied by any enactment);
paragraph 5(4)(c), 5(4B)(d) or 8A of this Schedule;
any regulations made under paragraph 5 of Schedule
8;
15
paragraph 28(2) of Schedule 2 to the Education and
Inspections Act 2006 (including that provision as
applied by any enactment),
(c)
land acquired under any regulations made under—
section 24 of the Education and Inspections Act 2006
20
by virtue of subsection (3)(b) of that section, or
section 27 of that Act by virtue of subsection (2)(b) of
that section,
(d)
land acquired from a foundation body,
(e)
land acquired from the Funding Agency for Schools,
25
(f)
land acquired wholly by means of—
(i)
any maintenance, special purpose or capital grant
(within the meaning of Chapter 6 of Part 3 of the
Education Act 1996), or
(ii)
any grant paid under any regulations made under
30
paragraph 4 of Schedule 32 to this Act other than a
grant paid under such regulations to the governing
body of a voluntary aided school,
(g)
land acquired wholly or partly by means of any grant
made on or after 1st April 2007 by the Secretary of State
35
under paragraph 5 of Schedule 3 (including that provision
as applied by any enactment) in relation to which notice is
given in accordance with paragraph A27,
(h)
land acquired wholly by means of expenditure incurred
for the purposes of the school and treated by the local
40
education authority as expenditure of a capital nature, or
(i)
land acquired wholly with the proceeds of disposal of any
land acquired as mentioned in any of paragraphs (a) to (h).
      (2)
Sub-paragraph (1)(h) does not apply in the case of any
expenditure incurred on or after the appointed day unless the
45
authority—
(a)
prepared an appropriate statement in relation to the
expenditure, and

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
185

(b)
sent a copy of the statement to the governing body either
before, or no later than 12 months after, the expenditure
was incurred.
      (3)
An “appropriate statement” in relation to expenditure is a
statement in writing which—
5
(a)
contains details of the amount of the expenditure, the
acquisition or works funded (or to be funded) by such
expenditure, and the total cost (or estimated total cost) of
that acquisition or those works, and
(b)
indicates that the expenditure was being treated by the
10
authority as expenditure of a capital nature.
A25   (1)
For the purposes of paragraph A23, land held by a foundation
body for the purposes of the group of schools for which it acts is
“publicly funded land” if it is—
(a)
land acquired under any of the following—
15
paragraph 2, 4 or 9 of Schedule 3;
paragraph 16 or 20 of Schedule 6 (including that
provision as applied by any enactment);
paragraph 5 or 6 of Schedule 21;
paragraph 5(4B)(d) of this Schedule;
20
any regulations made under paragraph 5 of Schedule
8,
(b)
land acquired under any of the following—
paragraph 8(5) of Schedule 8 to the Education Act
2002;
25
paragraph 14(5) of Schedule 10 to the Education Act
2005;
paragraph 28(2) or 31(1) of Schedule 2 to the
Education and Inspections Act 2006 (including that
provision as applied by any enactment);
30
any regulations made under section 24 of that Act by
virtue of subsection (3)(b) of that section;
any regulations made under section 27 of that Act by
virtue of subsection (2)(b) of that section,
(c)
land acquired from the governing body of a maintained
35
school,
(d)
land acquired from another foundation body,
(e)
land acquired wholly by means of—
(i)
any grant provided by the Secretary of State on or
after the appointed day other than a grant made on
40
or after 1st April 2007 under paragraph 5 of
Schedule 3 (including that provision as applied by
any enactment), or
(ii)
any grant paid under any regulations made under
paragraph 4 of Schedule 32 to this Act other than a
45
grant paid under such regulations to the governing
body of a voluntary aided school,
(f)
land acquired wholly or partly by means of any grant
made on or after 1st April 2007 by the Secretary of State
under paragraph 5 of Schedule 3 (including that provision
50

Education and Inspections Bill
Schedule 4 — Disposals and changes of use of land
Part 1 — Amendments to Schedule 22 to SSFA 1998
186

as applied by any enactment) in relation to which notice is
given in accordance with paragraph A27,
(g)
land acquired wholly by means of expenditure incurred
for the purposes of any of the schools comprising the
group for which the body acts and treated by the local
5
education authority as expenditure of a capital nature, or
(h)
land acquired wholly with the proceeds of disposal of any
land acquired as mentioned in any of paragraphs (a) to (g).
      (2)
Sub-paragraph (1)(g) does not apply in the case of any
expenditure incurred on or after the appointed day unless the
10
authority—
(a)
prepared an appropriate statement in relation to the
expenditure, and
(b)
sent a copy of the statement to the foundation body either
before, or no later than 12 months after, the expenditure
15
was incurred.
      (3)
An “appropriate statement” in relation to expenditure is a
statement in writing which—
(a)
contains details of the amount of the expenditure, the
acquisition or works funded (or to be funded) by such
20
expenditure, and the total cost (or estimated total cost) of
that acquisition or those works, and
(b)
indicates that the expenditure was being treated by the
authority as expenditure of a capital nature.
A26   (1)
For the purposes of paragraph A23, land held, or held on trust, for
25
the purposes of a foundation, voluntary or foundation special
school by the trustees of the school is “publicly funded land” if it
is—
(a)
land acquired under section 60, 61 or 70 of the Education
Act 1996,
30
(b)
land acquired under any of the following—
paragraph 2 of Schedule 3;
paragraph 16 of Schedule 6 (including that provision
as applied by any enactment);
paragraph 5(4B)(d) of this Schedule;
35
any regulations made under paragraph 5 of Schedule
8,
(c)
land acquired under any of the following—
paragraph 4 or 9 of Schedule 3;
paragraph 20 of Schedule 6 (including that provision
40
as applied by any enactment),
(d)
land acquired under any of the following—
paragraph 8(5) of Schedule 8 to the Education Act
2002;
paragraph 14(5) of Schedule 10 to the Education Act
45
2005;
paragraph 28(2) or 31(1) of Schedule 2 to the
Education and Inspections Act 2006 (including that
provision as applied by any enactment);