SCHEDULES
SCHEDULE 3Administration, Finance, etc, of Water Authorities and the National Water Council
PART IWater Authorities
General
1
A water authority shall be a body corporate.
2
A water authority shall have power to do anything (whether or not involving the expenditure, borrowing or lending of money or the acquisition or disposal of any property or rights) which in the opinion of the authority is calculated to facilitate, or is conducive or incidental to, the discharge of any of their functions.
Terms of office of members of water authorities
3
The chairman of a water authority and the other members appointed by a Minister shall hold and vacate office in accordance with the terms of their appointment.
4
1
This paragraph applies to members of a water authority appointed by a local authority or local authorities.
2
The first members to whom this paragraph applies shall come into office on the day on which the water authority comes into existence, or, in the case of a member who is for any reason appointed after that day, on the day on which the appointment is made, and, subject to the following provisions of this Schedule, shall hold office until the end of May in such year as may be specified for the purposes of this paragraph in the order establishing the authority.
3
Any other members to whom this paragraph applies shall come into office at the beginning of the June next following the day on which they are appointed, and, subject to the following provisions of this Schedule, shall hold office for a term of four years:
Provided that if for any reason any member is appointed on or after the day on which he ought to have come into office, he shall come into office on the day on which he is appointed and shall hold office for the remainder of the said term.
Vacation of office by members
5
1
A member of a water authority may resign his office at any time by giving notice in writing to the chairman of the authority and also, if he was appointed by a Minister, to that Minister.
2
The chairman of a water authority may resign his office at any time by giving notice in writing to the Secretary of State.
6
1
The office of a member of a water authority shall become vacant upon the happening of any of the following events, namely, if he—
a
is adjudged bankrupt, or makes a composition or arrangement with his creditors; or
b
is convicted in the United Kingdom, the Channel Islands or the Isle of Man of any offence and has passed on him a sentence of imprisonment (whether suspended or not) for a period of not less than three months without the option of a fine ; or
c
is disqualified for being elected or for being a member of a local authority or water authority under Part III of the [1949 c. 68.] Representation of the People Act 1949 or under Part VIII of the 1972 Act; or
d
has, for a period of six consecutive months, been absent from meetings of the authority, otherwise than by reason of illness or some other cause approved during that period by the authority.
2
For the purposes of sub-paragraph (1)(d) above, the attendance of a member of a water authority at a meeting of any committee of the authority of which he is a member, or at any joint committee to which he has been appointed by the authority, shall be treated as attendance at a meeting of the authority.
Appointments to fill casual vacancies
7
Where, for any reason whatsoever, the place of a member of a water authority becomes vacant before the end of his term of office the vacancy—
a
shall, if the unexpired portion of the term of office of the vacating member is six months or more, be filled by the appointment of a new member ; and
b
may be so filled in any other case.
8
A person appointed by virtue of paragraph 7 above to fill a casual vacancy shall hold office so long only as the former member would have held office.
Disqualification for, and re-appointment to, membership of water authorities
9
1
Subject to the following provisions of this paragraph, a person shall be disqualified for appointment as a member of a water authority if he—
a
is a paid officer of the authority ; or
b
is a person who has been adjudged bankrupt, or made a composition or arrangement with his creditors ; or
c
has within the period of five years ending on the day on which his qualification for appointment falls to be determined, been surcharged by a district auditor to an amount exceeding £500 under Part X of the [1933 c. 51.] Local Government Act 1933 ; or
d
has within five years before the day of his appointment been convicted in the United Kingdom, the Channel Islands or the Isle of Man of any offence and has had passed on him a sentence of imprisonment (whether suspended or not) for a period of not less than three months without the option of a fine ; or
e
is disqualified for being elected or for being a member of a local authority or water authority under Part III of the [1949 c. 68.] Representation of the People Act 1949 or Part VIII of the 1972 Act.
2
Where a person is disqualified under sub-paragraph (1) above by reason of having been adjudged bankrupt, then—
a
if the bankruptcy is annulled on the ground that he ought not to have been adjudged bankrupt or on the ground that his debts have been paid in full, the disqualification shall cease on the date of the annulment;
b
if he is discharged with a certificate that the bankruptcy was caused by misfortune without any misconduct on his part, the disqualification shall cease on the date of his discharge; and
c
if he is discharged without such a certificate his disqualification shall cease on the expiration of five years from the date of his discharge.
3
Where a person is disqualified under sub-paragraph (1) above by reason of his having made a composition or arrangement with his creditors and he pays his debts in full, the disqualification shall cease on the date on which the payment is completed, and in any other case it shall cease on the expiration of five years from the date on which the terms of the deed of composition or arrangement are fulfilled.
4
For the purposes of sub-paragraph (1)(c) and (d) above, the ordinary date on which the period allowed for making an appeal or application with respect to the surcharge or conviction expires or, if such an appeal or application is made, the date on which it is finally disposed of or abandoned or fails by reason of non-prosecution shall be taken to be the date of the surcharge or conviction, as the case may be.
5
Section 92 of the 1972 Act (proceedings for disqualification) shall apply in relation to disqualification under this paragraph for appointment as a member of a water authority as it applies in relation to disqualification for acting as a member of a local authority.
10
Subject to the provisions of this Schedule, a member of a water authority shall be eligible for reappointment.
Remuneration and allowances
11
1
A water authority—
a
shall pay their chairman and the chairmen of their regional land drainage committee and their local land drainage committees such remuneration and such allowances as may be determined by the Ministers with the consent of the Minister for the Civil Service; and
b
if the Ministers with the consent of the Minister for the Civil Service so determine in the case of any person who is or has been chairman of a water authority or any such committee, shall pay or make arrangements for the payment of a pension, allowance or gratuity to or in respect of that person in accordance with the determination.
2
Sections 173 to 175 of the 1972 Act (allowances to members of local authorities) shall apply to water authorities, and for the purposes of those sections as applied by this paragraph a member of a committee or sub-committee of a water authority shall be deemed to be a member of that authority.
Officers
12
Sections 114 to 119 of the 1972 Act (which contain miscellaneous provisions relating to officers and former officers) shall each have effect in relation to a water authority and to officers of a water authority subject to the necessary modifications and, in particular, but without prejudice to the generality of this paragraph, with the substitution in section 115 of that Act for the reference to the proper officer of the local authority of a reference to such officer of the water authority as that authority may appoint for the purposes of this paragraph.
13
Without prejudice to paragraph 2 above, a water authority may—
a
provide housing accommodation for persons employed by them (whether by constructing, converting, enlarging or acquiring any buildings and whether by selling such accommodation or letting it or permitting it to be occupied with or without requiring the payment of rent or other charges);
b
permit a person for whom the authority provided housing accommodation while employed by them to occupy such accommodation provided by them after ceasing to be so employed.
Meetings and proceedings of water authorities and committees
14
1
In paragraph 1 of the Schedule to the [1960 c. 67.] Public Bodies (Admission to Meetings) Act 1960 (bodies to which in England and Wales that Act applies), for paragraph (c) there shall be substituted the following paragraph:—
c
water authorities
2
Without prejudice to section 2(1) of that Act (application of section 1 of that Act to any committee of a body whose members consist of or include all members of that body), section 1 of that Act shall apply to every committee appointed or established by one or more water authorities under any provision of this Act or otherwise.
3
Where section 1 of that Act applies to a committee by virtue of this paragraph, then, for the purposes of subsection (4)(c) of that section, premises belonging to die water authority or one or more of the water authorities which established or appointed the committee shall be treated as belonging to the committee.
15
1
Subject to the following provisions of this paragraph, a person nominated by one or more local authorities may act as deputy for a member of a water authority appointed by that local authority or those local authorities and may accordingly (instead of that member) attend and vote at a meeting of the water authority or any committees or sub-committees to which the member for whom he is a deputy belongs.
2
A person acting as deputy for a member of a water authority shall be treated for the purposes for which he is nominated as a member of that authority.
3
A person shall not act as deputy for a member of a water authority unless his nomination has been notified to an officer of the authority appointed to receive such nominations.
4
A nomination shall be in writing and may apply cither to a particular meeting or to all meetings during a stated period or until the nomination is revoked.
5
A person shall not act as deputy for more than one member of a water authority.
6
The reference to committees and sub-committees in this paragraph does not include a reference to regional or local land drainage committees.
16
The proceedings of a water authority, or of any committee or sub-committee of such an authority, shall not be invalidated by any vacancy in their number, or by any defect in the appointment, or the qualification for appointment, of any person as a member or as chairman.
17
1
Subject to the following provisions of this paragraph, the provisions of sections 94 to 98 of the 1972 Act (pecuniary interests of members of local authorities) shall apply in relation to members of a water authority, or of any committee or subcommittee of a water authority, as those provisions apply in relation to members of local authorities.
2
In their application by virtue of this paragraph the said provisions shall have effect in accordance with the following provisions—
a
for references to meetings of the local authority there shall be substituted references to meetings of a water authority or of any committee or sub-committee of such an authority ;
b
in section 94(4) for the reference to provision being made by standing orders of a local authority there shall be substituted a reference to provision being made by rules of the water authority;
c
in section 96 for references to the proper officer of the local authority there shall be substituted a reference to an officer of the water authority appointed for the purposes of this paragraph ;
d
in the case of members of a committee or sub-committee of a water authority, the right of persons who are members of the committee or sub-committee but not members of the authority to inspect the book kept under section 96(2) shall be limited to an inspection of the entries in the book relating to the members of that committee or sub-committee;
e
section 97 shall apply as it applies to a local authority other than a parish or community council.
3
Without prejudice to section 97(4) of the 1972 Act, section 94 of that Act shall not by virtue of this paragraph apply—
a
to any interest which a member of a water authority or committee or sub-committee may have in the preparation or revision of a charges scheme or in the raising of any drainage rates, the levying of any general or special drainage charges or the levying of any other charges by a water authority; or
b
to any interest in any other matter which such a member may have as the holder of, or as an applicant or prospective applicant for, a licence under the [1963 c. 38.] Water Resources Act 1963 where it is an interest which he has in common with all other holders of, or applicants or prospective applicants for, such licences, or in common with all other persons belonging to a class of such holders, applicants or prospective applicants.
18
1
A minute of the proceedings of a meeting of a water authority, or of any committee or sub-committee of such an authority, purporting to be signed at that or the next ensuing meeting by the chairman of the meeting to the proceedings of which the minute relates or by the chairman of the next ensuing meeting, shall be evidence of the proceedings and shall be received in evidence without further proof ; and, until the contrary is proved, every meeting in respect of the proceedings of which a minute has been so signed shall be deemed to have been duly convened and held, and all the proceedings had at the meeting to have been duly had, and, where the proceedings are the proceedings of a committee or sub-committee, that committee or sub-committee shall be deemed to have been duly constituted and have had power to deal with the matters referred to in the minute.
2
Subject to sub-paragraph (3) below, the minutes of proceedings of meetings of a water authority shall be open to the inspection of any local government elector for any part of the water authority area, and any such local government elector may make a copy of or extract from the minutes.
3
Sub-paragraph (2) above does not apply to any part of such minutes which contains information with respect to any manufacturing process or trade secret obtained in the exercise of powers under this Act or any enactment amended by this Act.
4
In this paragraph " local government elector " means a person registered as a local government elector in the register of electors in accordance with the provisions of the Representation of the People Acts.
Authentication of documents
19
Any notice or other document which a water authority are required or authorised to give, make or issue by or under this Act or any other enactment may be signed on behalf of the authority by any member or officer of the authority generally or specially authorised for that purpose by a resolution of the authority; and any document purporting to bear the signature of a person expressed to be so authorised shall be deemed, until the contrary is proved, to be duly given, made or issued by authority of the water authority.
In this paragraph "signature" includes a facsimile of a signature by whatever process reproduced.
Contracts
20
1
A water authority shall make rules with respect to the making by or on behalf of the authority of contracts for the supply of goods or materials or for the execution of works.
2
Rules made by a water authority with respect to contracts for the supply of goods or materials or for the execution of works shall include provision for securing competition for such contracts and for regulating the manner in which tenders are invited, but may exempt from any such provision contracts for a price below that specified in the rules and may authorise the authority to exempt any con-tract from any such provision where the authority are satisfied that the exemption is justified by special circumstances.
3
A person entering into a contract with a water authority shall not be bound to inquire whether the rules of the authority which apply to the contract have been complied with; and non-compliance with such rules shall not invalidate any contract entered into by or on behalf of the authority.
Interpretation
21
In this Part of this Schedule references to a committee or sub-committee of a water authority include references to a committee or sub-committee of two or more such authorities and to a committee or sub-committee established under Schedule 8 to this Act or by a scheme thereunder.
PART IIThe National Water Council
22
The Council shall be a body corporate.
23
The Council shall have power to do anything (whether or not involving the expenditure, borrowing or lending of money or the acquisition or disposal of any property or rights) which in the opinion of the Council is calculated to facilitate, or is conducive or incidental to, the discharge of any of their functions.
24
The members of the Council, other than the chairmen of the water authorities, shall hold and vacate office in accordance wits the terms of their respective appointments, but those terms shall not provide for any of them to hold office for more than five years at a time.
25
1
Any such member of the Council may by notice in writing addressed to the Minister who appointed him resign his office.
2
A member of the Council who ceases to be a member shall be eligible for re-appointment
26
Paragraphs 6 and 9 above, except sub-paragraph (1)(a) of paragraph 9, shall apply to the Council as they apply to a water authority.
27
1
The Council—
a
shall pay to the appointed members such remuneration and such allowances as may be determined by the appointing Minister with the consent of the Minister for the Civil Service; and
b
if the appointing Minister with the consent of the Minister for the Civil Service so determines in the case of any person who is or has been an appointed member of the Council, shall pay or make arrangements for the payment of a pension, allowance or gratuity to or in respect of that person in accordance with the determination ;
and if a person ceases to be an appointed member of the Council and it appears to the appointing Minister that there are special circumstances which make it right that that person should receive compensation, that Minister may require the Council to pay to that person a sum of such amount as that Minister may with the consent of the Minister for the Civil Service determine.
2
In sub-paragraph (1) above " appointed member " means any member of the Council other than the chairmen of the water authorities and, in relation to any such member, " appointing Minister " means the Minister by whom he was appointed.
3
Without prejudice to the generality of paragraph 23 of this Schedule, the Council may establish and administer pension schemes and pension funds in the interest of persons who are or have been employed by them and may pay pensions, allowances and gratuities to or in respect of such persons, or enter into and carry into effect agreements or arrangements with any other person for securing or preserving pension rights for any such persons.
28
1
The quorum of the Council and the arrangements relating to its meetings shall, subject to any directions given by the Ministers, be such as the Council may determine.
2
A person who is a member of the Council by virtue of his office as chairman of a water authority may authorise another person, being a member of that authority, to attend in his stead at a meeting of the Council, and any person so attending shall be treated for the purposes of that meeting as a member of the Council.
3
Any authorisation under sub-paragraph (2) above shall be in writing and may apply either to a particular meeting or to all meetings during a stated period or until the authorisation is revoked.
29
The Council may arrange for the discharge of any of their functions, except their power to borrow money or require contributions from the water authorities to the expenses of the Council, by a committee, a sub-committee or an officer of the Council, and any such committee may, unless the Council otherwise direct, arrange for the discharge of any of their functions by a sub-committee or officer of the Council.
30
The validity of any proceedings of the Council shall not be affected by any vacancy among the members of the Council or any defect in the appointment of any of their members.
PART IIIFinancial and Administrative Provisions
Revenue and reserves
31
1
A water authority shall charge to revenue account in every year all charges which are proper to be made to revenue account, including such allocations to reserve as they consider adequate or as may be necessary to comply with any directions under paragraph 32 below and including any payments to the Council under paragraph 33 below.
2
Revenue raised by a water authority in a local land drainage district—
a
under or by virtue of Part II of Schedule 5 to this Act;
b
by contributions required under section 21(1) of the [1930 c. 44.] Land Drainage Act 1930 (contributions from internal drainage boards); or
c
by special drainage charges under section 3 of the [1961 c. 48.] Land Drainage Act 1961 ;
shall, except for any amount which they consider appropriate to set aside towards research or related activities and paying their administrative expenses and an appropriate proportion of any amount allocated to reserve under sub-paragraph (1) above and of any payment to the Council under paragraph 33 below, be spent only in the discharge of their land drainage functions in or for the benefit of that district.
3
Any amount specified in a resolution under section 21(1) of the Land Drainage Act 1961 (resolution passed by a water authority who are the drainage board of an internal drainage district allocating a portion of their revenue in lieu of contributions which they would require from the drainage board of that district under section 21(1) of the Land Drainage Act 1930) shall be treated for the purposes of this paragraph as if it were revenue actually raised by contributions required under section 21(1) of the said Act of 1930.
32
1
The Ministers may with the approval of the Treasury and after consultation with the Council direct a water authority—
a
to allocate to reserve generally or to reserve for a particular purpose either a specified amount or such amount as the authority consider adequate, or
b
to re-allocate for a specified purpose the whole or part of any amount previously allocated for some other purpose, or
c
with respect to the application of amounts allocated to reserve.
2
Directions under this paragraph requiring the allocation of any amount to reserve may provide for it to be so allocated either at a specified time or during the course of a specified period.
33
Expenditure of the Council shall, so far as not defrayed out of their own resources, be defrayed, if it is properly chargeable to revenue account, by the water authorities and any payment of a water authority towards defraying that expenditure shall be such proportion of that expenditure as the Secretary of State may direct.
Loans and grants
34
1
A water authority and the Council may borrow money in accordance, and only in accordance, with the provisions of this paragraph.
2
Subject to sub-paragraph (5) below, a water authority and the Council may borrow temporarily, by way of overdraft or otherwise, such sums as they may require for meeting their obligations and discharging their functions—
a
in sterling from the Secretary of State, or
b
with the consent of the Secretary of State and the approval of the Treasury, or in accordance with any general authority given by the Secretary of State with the approval of the Treasury, either in sterling or in a currency other than sterling from a person other than the Secretary of State.
3
Subject to sub-paragraph (5) below, a water authority and the Council may borrow otherwise than by way of temporary loan such sums as they may require for capital purposes—
a
in sterling from the Secretary of State, or
b
with the consent of the Secretary of State and the approval of the Treasury, in a currency other than sterling from a person other than the Secretary of State.
4
Subject to sub-paragraph (5) below, a water authority and the Council may, with the consent of the Secretary of State and the approval of the Treasury, borrow (otherwise than by way of temporary loan) from the Commission of the European Communities or the European Investment Bank sums in any currency.
5
The aggregate amount outstanding in respect of the principal of—
a
sums borrowed by water authorities and the Council; and
b
sums borrowed or treated by or by virtue of any enactment as borrowed by local authorities, towards the discharge of the principal or interest of which water authorities are making contributions ;
shall not exceed £3,750 million or such greater sum not exceeding £5,000 million as the Secretary of State may by order specify.
6
The Secretary of State may also by order specify a limit for the borrowing of any water authority or of the Council.
7
No order shall be made under sub-paragraph (5) above unless a draft of the order has been laid before the House of Commons, and has been approved by a resolution of that House.
35
1
The Secretary of State may with the approval of the Treasury—
a
make to a water authority out of money provided by Parliament grants of such amounts as the Secretary of State thinks fit;
b
give a water authority a direction providing that the whole or part of a grant made in pursuance of paragraph (a) above is not to be used by the authority otherwise than for the purpose of such of the authority's functions as are specified in the direction, not being land drainage functions.
2
The Secretary of State may, with the approval of the Treasury, lend to a water authority or to the Council any sums which they have power to borrow by virtue of paragraph 34 above.
3
Any loan which the Secretary of State makes in pursuance of sub-paragraph (2) above shall be repaid to him at such times and by such methods, and interest on the loan shall be paid to him at such rates and at such times, as the Secretary of State may with the approval of the Treasury from time to time determine.
4
The Treasury may issue out of the National Loans Fund to the Secretary of State such sums as are necessary to enable him to make loans in pursuance of sub-paragraph (2) above, and any sums received by the Secretary of State in pursuance of sub-paragraph (3) above shall be paid into that Fund.
36
1
The Treasury may guarantee, in such manner and on such conditions as they think fit, the repayment of the principal of and the payment of interest on any sums which an authority or the Council borrow from a person other than the Secretary of State.
2
Immediately after a guarantee is given under this paragraph the Treasury shall lay a statement of the guarantee before each House of Parliament; and where any sum is issued for fulfilling a guarantee so given the Treasury shall, as soon as possible after the end of each financial year (beginning with that in which the sum is issued and ending with that in which all liability in respect of the principal of the sum and in respect of the interest thereon is finally discharged), lay before each House of Parliament a statement relating to that sum.
3
Any sums required by the Treasury for fulfilling a guarantee under this paragraph shall be charged on and issued out of the Consolidated Fund.
4
If any sums are issued in fulfilment of a guarantee given under this paragraph, the authority or, as the case may be, the Council shall make to the Treasury, at such times and in such manner as the Treasury from time to time direct, payments of such amounts as the Treasury so direct in or towards repayment of the sums so issued and payments of interest, at such rate as the Treasury so direct, on what is outstanding for the time being in respect of sums so issued.
5
Any sums received by the Treasury in pursuance of sub-paragraph (4) above shall be paid into the Consolidated Fund.
37
It shall be the duty of the Secretary of State as respects each financial year—
a
to prepare, in such form and manner as the Treasury may direct, an account of sums issued to the Secretary of State in pursuance of paragraph 35 above and of any sums required to be paid into the National Loans Fund in pursuance of that paragraph and of the disposal by the Secretary of State of those sums respectively ; and
b
to send a copy of the account to the Comptroller and Auditor General not later than the end of the month of November next following that year ;
and the Comptroller and Auditor General shall examine, certify and report on the account and. shall lay copies of it and of his report on it before each House of Parliament.
Accounts and audit of authorities and Council
38
1
It shall be the duty of a water authority and of the Council—
a
to keep proper accounts and proper records in relation to the accounts;
b
to prepare in respect of each financial year a statement of accounts, in such form as the Ministers may direct with the approval of the Treasury, showing the state of the affairs of the body preparing the statement
2
Without prejudice to sub-paragraph (1) above, the Minister may direct a water authority to keep such accounts and records and to prepare such statements with regard to money expended in the performance of their land drainage functions as he may think fit.
3
As soon as the accounts and statements mentioned in sub-paragraphs (1) and (2) above for any financial year have been audited under paragraph 39 below, the authority or the Council shall send to the Ministers a copy of the statement together with a copy of any report made by the auditor on it or on their accounts, and the Ministers shall lay a copy of every statement and report of which a copy is received by them in pursuance of this sub-paragraph before each House of Parliament.
4
A copy of any document required under sub-paragraph (3) above to be sent by a water authority to the Ministers shall also be sent by the authority, as soon as the accounts kept and each statement prepared for any financial year in pursuance of sub-paragraph (1) or (2) above have been audited under paragraph 39 below, to every local authority whose area is wholly or partly included in the water authority's area.
5
Any person, on application to an authority or to the Council, shall be entitled to be furnished with copies of the statements of their accounts prepared under this paragraph and of the auditor's report on those accounts on payment of such reasonable sum as the authority or the Council may determine, and to inspect and to take copies of, or extracts from, an abstract of the accounts of the authority or Council free of charge.
39
All accounts of a water authority and the Council shall be audited in accordance with Part VIII of the 1972 Act by a district auditor or an approved auditor appointed under that Part of that Act, and accordingly the relevant provisions of that Part of that Act, that is to say, sections 154 to 167, shall apply to all such accounts as they apply to the accounts of a county council, and in section 161(2)(b) and (7) (disqualification), as applied by this paragraph, the references to a local authority shall include references to a water authority and the Council.
Annual reports of authorities, Council and Water Space Amenity Commission
40
1
Each water authority, the Council and the Water Space Amenity Commission shall make to the Ministers, as soon as possible after the end of each financial year, a report on the discharge by them of their functions during that year and of their policy and programme.
2
If the Ministers so direct, a report under sub-paragraph (1) above shall be in such form and contain such information as is specified in the direction.
3
A water authority shall send a copy of their report for any year to the Council and to every local authority whose area is wholly or partly situated in the area of the water authority.
4
The Council shall send a copy of their report for any year to every water authority.
5
The Water Space Amenity Commission shall send a copy of their report for any year to the Council, every water authority and every county council.
6
The report for any year of a water authority or of the Council shall set out any direction given to them during that year under this Act.
7
The Ministers shall lay a copy of every such report before each House of Parliament.
8
Any person shall be entitled to be furnished with a copy of the report of a water authority, the Council or the Water Space Amenity Commission for any year on applying to the body who made the report and on payment of such reasonable sum as that body may determine.
41
It shall also be the duty of every water authority to furnish the Ministers and the Council with such information as they may from time to time require with respect to the authority's property, financial position, activities or proposed activities, and with respect to the water resources in the authority's area, and to afford to the Ministers facilities for the verification of information so furnished.
Relationship of Welsh and Severn-Trent Water Authorities
42
1
The Severn-Trent Water Authority shall consult the Welsh authority on any substantial development or matter of policy arising from the exercise of the former's functions, in so far as the development or matter affects so much of their area as is within Wales.
2
It shall be the duty of the Welsh authority to keep the Secretary of State informed of their views on all matters about which they are in consultation with the Severn-Trent Water Authority.
43
1
Where the Severn-Trent Water Authority acquire an estate or interest in land in Wales for or in connection with the construction and operation of a reservoir, they shall convey the estate or interest in the land to the Welsh authority who shall grant the Severn-Trent Water Authority, for the purposes for which the latter originally acquired the estate or interest, a lease or sub-lease of the land or such other interest in it as may be appropriate.
2
A conveyance or grant under sub-paragraph (1) above shall be on such terms as may be agreed between the two water authorities or as, in default of agreement, may be settled by the Secretary of State.