Children and Young Persons Act 1969

48 Financial provisions applicable on cessation of controlled or assisted community home

(1) Where the instrument of management for a controlled or assisted community home ceases to have effect by virtue either of an order under section 43(5) of this Act or of subsection (2) or subsection (4)(a) of section 47 of this Act, the voluntary organisation by which the home was provided or, if the premises used for the purposes of the home are not vested in that organisation, the persons in whom those premises are vested (in this section referred to as " the trustees of the home "), shall become liable, in accordance with the following provisions of this section, to make repayment in respect of any increase in the value of the premises and other property belonging to the voluntary organisation or the trustees of the home which is attributable to the expenditure of public money thereon.

(2) Where an instrument of management has ceased to have effect as mentioned in subsection (1) of this section and the instrument related—

(a) to a controlled community home ; or

(b) to an assisted community home which, at any time before that instrument of management came into force, was a controlled community home,

then, on the home ceasing to be a community home, the voluntary organisation by which the home was provided or, as the case may be, the trustees of the home, shall pay to the local authority specified in that instrument of management a sum equal to that part of the value of any relevant premises which is attributable to expenditure by the local authority who at the time the expenditure was incurred had responsibility for the management, equipment and maintenance of the home by virtue of section 41(1) of this Act.

(3) For the purposes of subsection (2) of this section, " relevant premises", in relation to a controlled or assisted community home, means premises used for the purposes of the home and belonging to the voluntary organisation or the trustees of the home but erected, extended or improved, at any time while the home was a controlled community home, by the local authority having, at that time, such responsibility in relation to the home as is mentioned in subsection (2) of this section.

(4) Where an instrument of management has ceased to have effect as mentioned in subsection (1) of this section and the instrument related—

(a) to an assisted community home ; or

(b) to a controlled community home which, at any time before that instrument of management came into force, was an assisted community home,

then, on the home ceasing to be a community home, the voluntary organisation by which the home was provided or, as the case may be, the trustees of the home, shall pay to the Secretary of State a sum equal to that part of the value of the premises and any other property used for the purposes of the home which is attributable to the expenditure of money provided by way of grant under section 65 of this Act.

(5) Where an instrument of management has ceased to have effect as mentioned in subsection (1) of this section and the controlled or assisted community home to which it related was conducted in premises which formerly were used as an approved school or were an approved probation hostel or home but which were designated as a community home in a regional plan approved by the Secretary of State, then, on the home ceasing to be a community home, the voluntary organisation by which the home was provided or, as the case may be, the trustees of the home, shall pay to the Secretary of State a sum equal to that part of the value of the premises concerned and of any other property used for the purposes of the home and belonging to the voluntary organisation or the trustees of the home which is attributable to the expenditure—

(a) of sums paid towards the expenses of the managers of an approved school under section 104 of the Act of 1933; or

(b) of sums paid under section 77(3)(b) of the [1948 c. 58.] Criminal Justice Act 1948 in relation to expenditure on approved probation hostels or homes.

(6) The amount of any sum payable under this section by the voluntary organisation by which a controlled or assisted community home was provided or by the trustees of the home shall be determined in accordance with such arrangements—

(a) as may be agreed between the voluntary organisation by which the home was provided and the local authority concerned or, as the case may be, the Secretary of State; or

(b) in default of agreement, as may be determined by the Secretary of State;

and with the agreement of the local authority concerned or the Secretary of State, as the case may be, the liability to pay any sum under this section may be discharged, in whole or in part, by the transfer of any premises or other property used for the purposes of the home in question.

(7) The provisions of this section shall have effect notwithstanding anything in any trust deed for a controlled or assisted community home and notwithstanding the provisions of any enactment or instrument governing the disposition of the property of a voluntary organisation.

(8) Any sums received by the Secretary of State under this section shall be paid into the Consolidated Fund.