SCHEDULE 12 Road user charging and workplace parking levy: financial provisions
Introductory
1
(1)
In this Schedule “relevant scheme” means a charging scheme or licensing scheme under this Part.
(2)
In this Schedule—
(a)
“the relevant authority”, in relation to a relevant scheme made by one authority, means the authority by which the scheme is made, and
(b)
“the relevant authorities”, in relation to a relevant scheme made jointly by more than one authority, means the authorities by which the scheme is made.
Net proceeds
2
(1)
In this Schedule “net proceeds”, in relation to a relevant scheme and a financial year, means the amount (if any) by which—
(a)
the amounts received under or in connection with the scheme which are attributable to the financial year, exceed
(b)
the expenses incurred for or in connection with the scheme which are so attributable.
(2)
For the purposes of this Schedule—
(a)
the amounts received under or in connection with a relevant scheme, and
(b)
the expenses incurred for or in connection with a relevant scheme,
and the extent to which they are attributable to any financial year, shall be determined in accordance with regulations made by the appropriate national authority.
(3)
Regulations under sub-paragraph (2) may, in particular, provide that—
(a)
any such costs of constructing, improving or maintaining roads in respect of which charges are imposed by trunk road charging schemes, and any such costs of managing traffic on those roads, as are specified by or determined in accordance with the regulations, or
(b)
any such payments made for or in respect of the construction, improvement or maintenance of those roads, or the management of traffic on them, as are so specified or determined,
are to be regarded, to the extent so specified or determined, as expenses incurred for or in connection with the trunk road charging schemes.
(4)
Where a trunk road charging scheme is made by virtue of section 167(2)(b), the relevant authority and the local traffic authority which requested the making of the scheme (or Transport for London, if it did) may agree that—
(a)
the expenses incurred for or in connection with the trunk road charging scheme shall be taken to include specified expenses incurred for or in connection with the charging scheme in connection with which the trunk road charging scheme was requested, and
(b)
the expenses incurred for or in connection with that other charging scheme shall be taken to include specified expenses incurred for or in connection with the trunk road charging scheme.
Apportionment
3
(1)
A relevant scheme which is—
(a)
a joint local charging scheme or licensing scheme, or
(b)
a joint local-London charging scheme or licensing scheme,
shall provide for the net proceeds of the scheme to be apportioned between the relevant authorities.
(2)
Where a trunk road charging scheme is made by virtue of section 167(2)(b)—
(a)
the trunk road charging scheme, or
(b)
the charging scheme in connection with which the trunk road charging scheme was requested,
or both, may provide for the net proceeds of the scheme to be apportioned between the relevant authority and the local traffic authority which requested the making of the scheme (or Transport for London, if it did).
4
References in the following provisions of this Schedule to an authority’s share of the net proceeds of a relevant scheme are—
(a)
where the net proceeds of the scheme are apportioned as provided by paragraph 3, to so much of the net proceeds of the scheme as are apportioned to the authority, and
(b)
otherwise, to the net proceeds of the scheme.
Accounts and funds
5
Regulations made by the appropriate national authority may make provision for—
(a)
the keeping of accounts relating to trunk road charging schemes, and
(b)
the preparation and publication of statements of such accounts.
6
(1)
An account relating to a relevant scheme which is not a trunk road charging scheme shall be kept for each financial year by the relevant authority or jointly by the relevant authorities.
(2)
A statement of every such account shall be prepared for each financial year by the relevant authority or authorities and published in the annual accounts of the relevant authority, or of each of the relevant authorities, for the financial year.
(3)
Regulations made by the appropriate national authority may make—
(a)
further provision relating to accounts required to be kept under this paragraph (including provision requiring or allowing the keeping of consolidated accounts relating to more than one relevant scheme), and
(b)
further provision relating to the preparation and publication of statements of such accounts.
7
(1)
At the end of each financial year any deficit in an account required to be kept under paragraph 6 shall be made good by the relevant authority or authorities.
(2)
Any surplus in such an account may (so far as not made available for any purpose in accordance with this Schedule) be applied by the relevant authority or authorities towards making good any amount used to make good a deficit in respect of the account in the ten years immediately preceding the financial year.
(3)
So much of any surplus as remains after the application of sub-paragraph (2) shall be carried forward in the account to the next financial year.
(4)
A relevant scheme made by more than one authority must make provision specifying or for determining—
(a)
the proportion of any deficit which each authority shall make good, and
(b)
the proportion of any surplus which each authority may apply in accordance with sub-paragraph (2).
(5)
Any deficit required to be made good shall be made good—
(a)
in the case of a Welsh county council or county borough council, from its general account,
(b)
in the case of Transport for London, from its gross income, and
(c)
in the case of any other non-metropolitan local traffic authority or London traffic authority, from its general fund.
Application of proceeds by non-metropolitan local traffic authorities
8
(1)
This paragraph applies to a non-metropolitan local traffic authority’s share of the net proceeds of any early relevant scheme during the initial period of the scheme.
(2)
The share of the net proceeds is available only—
(a)
for application by the authority for the purpose of directly or indirectly facilitating the achievement of policies in the authority’s local transport plan, or
(b)
for application by any authority falling within sub-paragraph (3) selected by the authority whose share it is in accordance with sub-paragraph (4).
(3)
The authorities which fall within this sub-paragraph are—
(a)
other non-metropolitan local traffic authorities and
(b)
London traffic authorities and the Greater London Authority.
(4)
A share of the net proceeds of a relevant scheme is applied in accordance with this sub-paragraph if it is applied—
(a)
by a non-metropolitan local traffic authority for the purpose of directly or indirectly facilitating the achievement of any policies in its local transport plan, or
(b)
by a London traffic authority or the Greater London Authority in accordance with the transport strategy prepared and published under section 142 of the M1Greater London Authority Act 1999,
in a way which will benefit the whole or any part of the area of the non-metropolitan local traffic authority whose share it is.
(5)
In this paragraph “early relevant scheme” means a relevant scheme which comes into force during the period of ten years beginning with the commencement of this Schedule.
(6)
In this paragraph “the initial period”, in relation to an early relevant scheme, means—
(a)
the period which begins with the date on which the relevant scheme comes into force and ends with the tenth financial year that commences on or after that date, or
(b)
such longer period as may be specified in the case of the relevant scheme by the appropriate national authority.
(7)
The appropriate national authority may by regulations make provision as to circumstances in which—
(a)
the same scheme is to be regarded as continuing in force in spite of a variation of the scheme or the revocation and replacement (with or without modifications) of the scheme, or
(b)
a different scheme is, or is not, to be regarded as coming into force,
for the purposes of determining when the initial period begins or expires in the case of a scheme.
9
(1)
Except where paragraph 8 applies, a non-metropolitan local traffic authority’s share of the net proceeds of a relevant scheme is available to be applied only as may be specified in, or determined in accordance with, regulations made by the appropriate national authority.
(2)
Regulations under sub-paragraph (1) may include provision conferring a discretion on any person.
(3)
The provision that may be made by regulations under sub-paragraph (1) includes provision for paragraph 8 to apply with the substitution for the number for the time being mentioned in sub-paragraph (5) of that paragraph of a number of years greater than ten.
(4)
A share of the net proceeds of a relevant scheme may only be applied in accordance with regulations under sub-paragraph (1) in ways which provide value for money.
(5)
Before making any regulations under sub-paragraph (1), the appropriate national authority shall make an assessment of—
(a)
the likely amounts of the non-metropolitan local traffic authorities’ shares of net proceeds of relevant schemes, and
(b)
the potential for applying them in accordance with paragraph 8 in ways which provide value for money.
(6)
The appropriate national authority may issue guidance with respect to the appraisal of whether any application by non-metropolitan local traffic authorities for any purpose of their shares of net proceeds of relevant schemes provides value for money; and non-metropolitan local traffic authorities shall, in determining how to apply such shares, have regard to any such guidance.
10
(1)
A relevant scheme made by one or more non-metropolitan local traffic authorities must include—
(a)
a general plan relating to the application of their shares of the net proceeds of the relevant scheme during the opening ten year period, and
(b)
a detailed programme for the application of their shares of the net proceeds of the relevant scheme during the opening transport plan period.
(2)
In this Schedule—
(a)
“the opening ten year period” means the period which begins with the date on which the relevant scheme comes into force and ends with the tenth financial year that commences on or after that date, and
(b)
“the opening transport plan period” means the period which begins with that date and ends at the time by which local transport plans are next required to be replaced.
(3)
The order making a scheme shall not come into force unless and until the general plan and detailed programme required by sub-paragraph (1) have been approved by the appropriate national authority.
11
(1)
If a relevant scheme made by one or more non-metropolitan local traffic authorities remains in force after the end of the opening transport plan period, the authority or each of the authorities shall include in its local transport plan from the time when it is next replaced (for so long as the scheme remains in force) a detailed programme for the application of its share of the net proceeds of the scheme.
(2)
Any programme included in a local transport plan by virtue of sub-paragraph (1) in relation to a relevant scheme prevails over any conflicting provisions in the general plan included in the scheme pursuant to paragraph 10(1)(a).
(3)
Except with the consent of the appropriate national authority in any particular case, a non-metropolitan local traffic authority may not apply its share of the net proceeds of a scheme for any purpose (other than making good any amount to the general fund or general account of the relevant authority which made the scheme) in any financial year beginning after the end of the opening plan period unless it is complying with sub-paragraph (1).
Application of proceeds by London traffic authorities
12
(1)
The share of the net proceeds of a relevant scheme of a London traffic authority is available only for application in accordance with regulations made by the Secretary of State.
(2)
Regulations under sub-paragraph (1) shall provide for—
(a)
paragraphs 16 to 24 of Schedule 23 to the M2Greater London Authority Act 1999, or
(b)
paragraphs 22 to 30 of Schedule 24 to that Act,
to apply in relation to a relevant scheme with any such modifications as the Secretary of State considers appropriate.
(3)
Before making regulations under sub-paragraph (1) the Secretary of State shall consult the Greater London Authority.
Application of proceeds by Secretary of State and Assembly
13
(1)
In the case of a trunk road charging scheme—
(a)
which is made by virtue of paragraph (a) of subsection (2) of section 167, or
(b)
which is made by virtue of paragraph (b) of that subsection and comes into force during the period of ten years beginning with the commencement of this Schedule,
the relevant authority’s share of the net proceeds is available only for application for the purpose of directly or indirectly facilitating the achievement of any policies or proposals relating to transport.
(2)
The appropriate national authority may by regulations make provision for sub-paragraph (1)(b) to apply with the substitution for the number of years for the time being mentioned in it of a number of years greater than ten.
(3)
Sub-paragraph (1) applies during the period of ten years beginning with the coming into force of a scheme.
(4)
The appropriate national authority may by regulations make provision as to circumstances in which—
(a)
the same scheme is to be regarded as continuing in force in spite of a variation of the scheme or the revocation and replacement (with or without modifications) of the scheme, or
(b)
a different scheme is, or is not, to be regarded as coming into force,
for the purposes of determining when the period specified in sub-paragraph (3) begins or expires in the case of a scheme.
(5)
Except where sub-paragraph (1) applies, the relevant authority’s share of the net proceeds of a trunk road charging scheme is available to be applied only as may be specified in, or determined in accordance with, regulations made by the appropriate national authority.
(6)
The provision that may be made by regulations under sub-paragraph (5) includes provision for sub-paragraph (3) to apply with the substitution for the number of years for the time being mentioned in it of a number of years greater than ten.