The Newcastle Upon Tyne, North Tyneside and Northumberland Combined Authority (Establishment and Functions) Order 2018

Funding

27.—(1) Subject to paragraphs (2) and (5), the constituent councils must ensure that the costs of the Combined Authority reasonably attributable to the exercise of its functions are met.

(2) Subject to paragraph (4), the constituent councils must meet the costs of the expenditure reasonably incurred by the Mayor in, or in connection with, the exercise of the functions specified in article 26(1), to the extent that the Mayor has not decided to meet these costs from other resources available to the Combined Authority.

(3) Any amount payable by each of the constituent councils to ensure that the costs of the Combined Authority referred to in paragraphs (1) and (2) are met is to be determined by apportioning such costs between the constituent councils in such proportions as they may agree or, in default of such agreement, in equal shares between the constituent councils.

(4) In relation to the expenditure mentioned in paragraph (2)—

(a) to the extent to which such expenditure is met by amounts payable under arrangements made under paragraph (3)—

(i) the Mayor must agree with the Combined Authority the total expenditure mentioned in paragraph (2) in advance of incurring this expenditure; and

(ii) in the absence of the agreement specified in paragraph (i), no such expenditure may be incurred; and

(b) any precept issued in relation to such expenditure under section 40 of the Local Government Finance Act 1992 is to be disregarded from any calculation of the costs of the expenditure.

(5) The costs of the Combined Authority reasonably attributable to the exercise of its functions relating to transport must be met by means of three separate levies issued by the Authority to the councils for the local government areas of—

(a) Newcastle Upon Tyne;

(b) North Tyneside; and

(c) Northumberland,

under section 74 of the Local Government Finance Act 1988 and in accordance with the Transport Levying Bodies Regulations 1992.

(6) A levy issued by the Durham, Gateshead, South Tyneside and Sunderland Combined Authority under section 74 of the Local Government Finance Act 1988 to the councils for the local government areas of Newcastle Upon Tyne, North Tyneside and Northumberland in respect of the financial year beginning 1st April 2018 has effect for that year from and after the commencement date as if it had been so issued by the Combined Authority.