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The Construction Contracts Exclusion Order (Northern Ireland) 1999

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Private finance initiative

3.—(1) A construction contract is excluded from the operation of the 1997 Order if it is a contract entered into under the private finance initiative.

(2) For the purposes of paragraph (1), a contract is entered into under the private finance initiative if all the following conditions are fulfilled—

(a)it contains a statement that it is entered into under that initiative;

(b)the consideration due under the contract is determined at least in part by reference to one or more of the following—

(i)the standards attained in the performance of a service, the provision of which is the principal purpose or one of the principal purposes for which the building or structure is constructed;

(ii)the extent, rate or intensity of use of all or any part of the building or structure in question; or

(iii)the right to operate any facility in connection with the building or structure in question; and

(c)one of the parties to the contract is—

(i)a Minister of the Crown or the head of a Northern Ireland department;

(ii)a Northern Ireland department;

(iii)any other authority or body whose accounts are required to be examined and certified by or are open to the inspection of the Comptroller and Auditor General for Northern Ireland by virtue of an agreement entered into before the coming into operation of this Order or by virtue of any statutory provision;

(iv)the Northern Ireland Transport Holding Company;

(v)a body whose accounts are subject to audit by auditors appointed under section 74 of the Local Government Act (Northern Ireland) 1972(1), or Article 90 of the Health and Personal Social Services (Northern Ireland) Order 1972(2);

(vi)the managers or trustees of a voluntary school or the managers or trustees of a grant-maintained integrated school within the meaning of the Education and Libraries (Northern Ireland) Order 1986(3);

(vii)a company wholly owned by any of the bodies described in heads (i) to (v).

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