If the conditions mentioned in subsection (2) are satisfied, the Secretary of State may give a direction to a new principal council requiring them to prepare and submit to him a decentralisation scheme for such area falling within the area of the council as the Secretary of State sees fit to specify in the direction.

Any council to whom a direction has been given shall submit the required decentralisation scheme to the Secretary of State in accordance with the direction.

A direction may require a decentralisation scheme to be submitted before a specified date.

A committee established for the purposes of a decentralisation scheme is referred to in this Act as an area committee.

No application under subsection (2) may be made after 1st January 1996 and no direction may be given after 1st July 1996.

The Secretary of State shall not give a direction unless he is satisfied that a decentralisation scheme is likely to be appropriate for the area in question.

A direction may specify any area to which it relates by reference to specific boundaries or by a general description.

The Secretary of State may from time to time issue guidance with respect to the preparation and content of decentralisation schemes.

In specifying any area in a direction, the Secretary of State shall have regard to, but not be bound by, the terms of the application in response to which it is given.

For the purposes of subsection (2), a member of a council is connected with a specified area if he is a member for an electoral division which, or any part of which, falls within that area.

Where he proposes not to approve the scheme as submitted, the Secretary of State shall notify the council concerned, before the end of that six month period, of the modifications which he proposes to make to the scheme, or (as the case may be) that he proposes to reject the scheme.

Before he approves a scheme subject to modifications, or rejects a scheme, the Secretary of State shall have regard to any representations which have been made to him by the council concerned.

Where the Secretary of State approves a decentralisation scheme, it shall be the duty of the council concerned to implement and maintain the scheme.

The Secretary of State’s decision under subsection (1) shall be given in writing.

Where the Secretary of State approves a decentralisation scheme, he may give a direction to the council concerned as to the date by which the scheme is to be implemented.

Where the Secretary of State has rejected a decentralisation scheme, he may at any time before the end of the period of six months beginning with the date on which he rejected the scheme, direct the council concerned to prepare and submit to him a revised scheme under section 27.

Nothing in section 27(7) shall be taken to prevent the giving of a direction under subsection (7).

A direction under subsection (7) may require the revised scheme to be submitted to the Secretary of State before a specified date.

Every decentralisation scheme shall include provision, to be given effect to by the standing orders of the council concerned, for the majority required in order for any suspending resolution to be passed to be such majority greater than a simple majority as may be specified by the scheme.

In subsection (2) “suspending resolution”, in relation to a decentralisation scheme, means a resolution to suspend any of the arrangements in force with respect to an area committee established in accordance with the scheme.

This section applies where an area committee has been established by a council in accordance with an approved decentralisation scheme.

The provisions of the 1972 Act with respect to arrangements for the discharge of functions by committees of local authorities and sub-committees, and the appointment of such committees and sub-committees, shall be subject to this section and section 31.

Every person who is a member of the council for an electoral division which falls within the area for which the committee is established shall be entitled to be appointed to the committee at his request.

The committee may appoint additional persons, including members of the council who are not entitled to membership of the committee under subsection (3), as members of the committee.

No other persons shall be eligible for appointment to the committee.

In this section, in relation to an area committee, “co-opted member” means any member appointed by the committee under subsection (4).

Where the Secretary of State has given a direction under F1section 499 of the Education Act 1996 (power to direct appointment of members of certain committees) which applies to the committee and can only be complied with by the appointment of one or more additional members to the committee, it shall be the duty of the committee to exercise its powers of appointment to secure compliance with the direction.

A co-opted member of an area committee shall not be entitled to vote at any meeting of the committee on any question which falls to be decided at that meeting.

Nothing in subsection (8) shall prevent the appointment of a person, in compliance with a direction under F2section 499 of the Act of 1996, as a voting member of an area committee.

Sections 102(3) of the 1972 Act (power to include persons who are not members of the local authority concerned) and 15 of the M1Local Government and Housing Act 1989 (political balance on committees) shall not apply in relation to membership of the committee.

The term of office of each of the co-opted members of an area committee shall be fixed by the committee.

Section 102(2) of the 1972 Act (number of members of committee and terms of office) shall not apply in relation to the committee.

In the case of an appointment made in order to comply with a direction under F2section 499 of the Act of 1996, the committee shall exercise its powers under subsection (12) subject to any provision of the direction relating to terms of office.

In this section “sub-committee” means a sub-committee of an area committee.

Subject to subsection (10), a sub-committee may appoint additional persons, including persons who are not members of the area committee concerned, as members of the sub-committee.

No other persons shall be eligible for appointment to a sub-committee.

In this section, in relation to a sub-committee, “co-opted member” means any member of the sub-committee appointed under subsection (3).

Where the Secretary of State has given a direction under F3section 499 of the Education Act 1996 (power to direct appointment of members of certain committees) which applies to a sub-committee, it shall be the duty of the area committee concerned and the sub-committee to secure compliance with the direction.

A co-opted member of a sub-committee shall not be entitled to vote at any meeting of the sub-committee on any question which falls to be decided at that meeting.

Nothing in subsection (7) shall prevent the appointment of a person in compliance with a direction under F4section 499 of the Act of 1996 as a voting member of a sub-committee.

Sections 102(3) of the 1972 Act (power to include persons who are not members of the local authority concerned) and 15 of the M2Local Government and Housing Act 1989 (political balance on committees) shall not apply in relation to membership of a sub-committee.

The number of members of a sub-committee and their terms of office shall be fixed by the area committee concerned.

Section 102(2) of the 1972 Act (number of members of committee and terms of office) shall not apply in relation to the sub-committee.

In the case of an appointment made in order to comply with a direction under F4section 499 of the Act of 1996, the area committee shall exercise its powers under subsection (10) subject to any provision of the direction relating to terms of office.

The arrangements specified may, in particular, be, or include, arrangements for the joint exercise of functions.

In this section “specified”, in relation to a direction, means specified in the direction.

In considering whether to give a direction under subsection (1), the Secretary of State shall have regard, in particular, to the desirability of the functions in question being discharged effectively and in a financially efficient manner.

A direction under subsection (1) may at any time while it is in force be varied by the Secretary of State.

Nothing in subsection (5) or (6) shall be taken to affect the power of the Secretary of State to give a further direction under subsection (1).

A body established under subsection (1) shall be known as a joint authority and may be established as a body corporate.

A joint authority shall consist of such number of members as may be determined by the order establishing it.

Those members shall be appointed by the councils to which the order relates, from among their members, each council being entitled to appoint such number of members as may be specified in the order.

The joint authority shall discharge the functions to which the direction relates, from a date specified in the order establishing the authority until such alternative arrangements for the exercise of the functions as appear to the Secretary of State to be satisfactory are brought into force.

The power conferred on the Secretary of State by subsection (1) may not be exercised after 31st March 1999 but an order under subsection (1) which is made before that date shall continue in force until revoked by the Secretary of State.

The power to make an order under this section includes, in particular, power to make provision for the transfer of property, rights and liabilities.