Transport Act 1985

65 Co-operation between certain councils and London Regional Transport

(1) Subject to the following provisions of this section, any non-metropolitan county or district council in England and Wales and London Regional Transport shall each have power to enter into any agreement or arrangements with the other under which that council or (as the case may be) London Regional Transport undertake to contribute towards any expenditure incurred by the other party to the agreement or arrangements in making payments to a person providing a public passenger transport service under any agreement entered into by that other party in exercise of any power that other party may have to secure the provision of that service.

(2) The agreement under which the payments are made must have been entered into in pursuance of the agreement or arrangements between the council in question and London Regional Transport.

(3) The power of London Regional Transport under section 3(2) of the [1984 c. 32.] London Regional Transport Act 1984 (contracting-out powers) to enter into and carry out agreements with any person for the provision by that person of any public passenger transport service, if exercised in pursuance of any agreement or arrangements entered into under this section, shall be limited to cases where the service in question would not be provided without subsidy and shall also be subject to sections 89 to 92 of this Act.

(4) Section 28 of the London Regional Transport Act 1984 (agreements with respect to the provision by London Regional Transport of extra services and facilities financed by certain other authorities) shall cease to apply in relation to agreements with district councils, and accordingly—

(a) in subsection (1) of that section:—

(i) the word " or " shall be inserted at the end of paragraph (b); and

(ii) paragraph (d) and the word " or " immediately preceding it shall be omitted ; and

(b) in subsection (2) of that section—

(i) the word " and " shall be inserted after the word " borough "; and

(ii) the words " and the council of any district" shall be omitted.

(5) Subsection (3) above is without prejudice to section 6 of the [1984 c. 32.] London Regional Transport Act 1984 (obligation of London Regional Transport to invite tenders for carrying on activities in certain circumstances).