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3.—(1) The Funds Regulations shall have effect in relation to payments to be made, on or after the reoganisation date, to or by a billing authority which is an abolished authority, as if they were to be made to or by the designated authority.
(2) For the purposes of the estimate under regulation 10 of the Funds Regulations by a billing authority in respect of which an estimated amount or audit adjustment is calculated under regulations 4, 5, 6 or 7—
(a)where the estimate is for the initial year, no account shall be taken of the items in sub-paragraphs 2(3)(a), 2(3)(b)(iii), 2(4)(a) and 2(4)(b)(iii) of Part I of Schedule 2 to those Regulations, and
(b)where the estimate is for the initial year or any subsequent year, no account shall be taken of any payments to or by the authority by or to any other authority, or of any transfers between an authority’s collection fund and general fund, required to be made under these Regulations.
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