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The provisions of the Act of 1966 relating to rate support grants shall have effect subject to the amendments specified in Schedule 2 to this Act.
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Modifications etc. (not altering text)
(1)Subject to subsection (3) below, on and after 16th May 1975 the power of the Secretary of State—
(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2
(b)to make grants to a local authority under [F3subsection (3) of section 34] of the M1Transport Act 1968 (towards expenditure incurred in making grants to provide assistance for rural bus or ferry services) [F3 or under subsection (4) of that section (towards expenditure incurred] in the provision of such ferry services), and
(c)to make grants to any person under section 56(1) of the Transport Act 1968 (towards capital expenditure incurred or to be incurred in the provision, improvement or development of facilities for public passenger transport),
shall cease to be exercisable except in a case where it appears to the Secretary of State that the whole or any part of any expenditure in respect of which any such advances or grants as aforesaid could be made should not fall on the . . . F4, local authority or person concerned, as the case may be.
(2)As from the beginning of the year 1978-79 the power of the Secretary of State to make grants to a Passenger Transport Executive under section 20(8) of the M2Transport Act 1968 (towards expenditure incurred by the Executive for certain areas in pursuance of agreements with the Railways Board for the provision of railway passenger services) shall cease to be exercisable, except in a case where it appears to the Secretary of State that the whole or any part of any expenditure in respect of which any such grants as aforesaid could be made should not fall on the Passenger Transport Executive.
(3)In any case where—
(a)it appears to the Secretary of State that any person other than a local authority has before 16th May 1975 entered upon a course of expenditure of a capital nature such as is referred to in section 56(1) of the Transport Act 1968, and
(b)the Secretary of State has approved before 16th May 1975 the making of a grant or grants towards that expenditure under that section,
then, notwithstanding anything in subsection (1) above, the Secretary of State may, on or after 16th May 1975, make to that person under that section any grant which he considers appropriate in the light of that approval.
(1)The Secretary of State may from time to time, by order, provide that, with effect from such year as may be specified in the order, no grant shall be paid under any such local authority grant provision as may be so specified or that no grant shall be so paid except in respect of expenditure of a description so specified.
(2)In subsection (1) above “ ” means an enactment providing for the payment of grants to local authorities in respect of expenditure incurred in connection with a specific function.
(3)An order under this section may contain provision amending, repealing or revoking, with or without savings, any enactment.
(4)No order under this section shall have effect unless it is approved by a resolution of each House of Parliament.
(1)A local authority may establish, in accordance with the provisions of this section, Direct Labour Organisation/Direct Services Organisation Funds (to be known as “DLO/DSO funds”) for the purpose of dealing with surpluses and deficits which may occur in respect of—
(a)any revenue account kept by the authority under section 10(1) (accounts relating to construction or maintenance work) of the M3Local Government, Planning and Land Act 1980; or
(b)any account kept by the authority under section 9(2) (accounts) of the M4Local Government Act 1988.
(2)Any interest earned on money transferred to a reserve fund established under subsection (1) above may be credited to that fund.
(3)Any surplus credited to a fund established under subsection (1) above and which is, in the opinion of the authority, not required for the purpose of dealing with deficits in any such fund, may be transferred by them to the general fund maintained by them under section 93 of the Act of 1973 (general fund).
(4)This section is without prejudice to any specific limitation imposed by or under any enactment as to the manner in which money may be paid into or out of any specific account.]
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