HL Deb 30 June 1994 vol 556 cc887-8

47 After Clause 51, insert the following clause:

Application of Part I of the Local Government Act 1988 during transitional period

''.— (1) Sections 9 to 16 of the Local Government Act 1988 (accounts, reports and other information in relation to defined activities) shall apply in relation to work—

  1. (a) carried out by a Welsh authority in the transitional period (whether or not before the passing of this Act), and
  2. (b) falling within an exempt activity, even though (as a result of its falling within that activity) sections 4 to 8 of that Act (restrictions in relation to works contracts and functional work) do not apply.

(2) An activity is an exempt activity if—

  1. (a) on 31st March 1994, it was a defined activity for the purposes of the Act of 1988 and not the subject of an order under section 2(9) of the Act of 1988; and
  2. (b) it is treated, by an exempting order having effect in relation to a period beginning after that date, as not being a defined activity.

(3) In this section— exempting order" means an order under section 2(9) of the Act of 1988 which specifies, as the period during which an activity is to be treated as not being a defined activity, a period ending on a date earlier than 1st April 1997; transitional period", in relation to an exempt activity, means the period specified in the exempting order; and Welsh authority" means a county or district council, a new principal council or a combined fire authority for an area in Wales.

(4) The Secretary of State may by order (an "extension order") provide that, in relation to a particular order under section 2(9) of the Act of 1988, subsection (3) is to have effect as if the date mentioned in the definition of "exempting order" were such date later than 1st April 1997 as may be specified in the extension order.

(5) Where sections 9 to 16 of the Act of 1988 apply by virtue of this section they shall be read with the following omissions—

  1. (a) in section 9 (keeping of accounts), subsection (4), and the references to subsection (4) in subsections (5) and (6);
  2. (b) in section 11 (reporting for financial year), subsections (2) (c) and (e);
  3. (c) in section 12 (providing information), subsections (1) and (2); and
  4. (d) in section 13 (serving of notices for purpose of getting information), paragraphs (a), (b) and (ba) of subsection (1).

(6) In the application of section 9,10 or 11 of the Act of 1988 by virtue of this section, any condition which is required to have been fulfilled for that section to apply shall be taken to have been fulfilled.'.

Lord Rodger of Earlsferry

My Lords, I beg to move that the House do agree with the Commons in their Amendment No. 47.

The Government have taken account of the anxieties expressed by local government about the practicability of applying the requirements of compulsory competitive tendering (CCT) during the period of transition from the existing local government structure to the one provided for in the Bill. Accordingly, using powers conferred upon the Secretary of State by existing legislation, we have made provision for an extensive suspension of the CCT requirements for a three-year period from 1st April 1994.

Nonetheless, it is thought to be desirable to maintain during that period the requirement for the accounting regime which is already in place in relation to compulsory competitive tendering, so that when the requirement for CCT comes into place again after the suspension, the figures, and so on, will be available. Therefore, the amendment provides for the maintenance of accounting during that period.

Moved, that the House do agree with the Commons in their Amendment No. 47.—(Lord Rodger of Earlsferry.)

On Question, Motion agreed to.