Payments by local authorities to water authorities5.

(1)

Subject to article 7 below, for each relevant year the East Dunbartonshire Council and the North Lanarkshire Council shall each pay to the West Authority the sum ascertained in accordance with the formula in article 3(1) above, under deduction of the sum payable by each to the East Authority in accordance with paragraph (2) below.

(2)

The sum payable by the East Dunbartonshire Council and by the North Lanarkshire Council to the East Authority shall be ascertained in accordance with the following formula:–

(G-H)×JJ+K-(L×F×JJ+M)math

Where–

  • F has the same meaning as in article 3(1) above;

  • G is the total amount paid to the Council in question as council tax or water services charges for the relevant year by persons liable to pay that tax or those charges in respect of dwellings situated in the relevant area;

  • H is any amount falling within the definition of G above which has been paid by a person and which–

    1. (a)

      has subsequently been repaid to that person; or

    2. (b)

      has subsequently been credited against liability of that person to pay an amount which does not fall within that definition;

  • J is the total amount payable as water charges in respect of dwellings in the relevant area;

  • K is the total amount payable as council tax and sewerage charges for the relevant year in respect of dwellings in that area;

  • L is the number of dwellings in that area in respect of which water services charges are payable for the relevant year; and

  • M is the total amount payable as sewerage charges in respect of dwellings in that area.

(3)

For the purposes of the definitions of J, K and M in paragraph (2) above, an amount is payable as water charges, sewerage charge or council tax if–

(a)

it has been demanded by the Council in question from a person appearing to that Council to be liable to pay it; and

(b)

it–

(i)

has been paid;

(ii)

remains payable; or

(iii)

has been written off by that Council as irrecoverable.

(4)

In paragraph (2) above, “the relevant Area” means–

(a)

as regards the East Dunbartonshire Council, the first added area and that part of the second added area situated within the area of that Council;

(b)

as regards the North Lanarkshire Council, that part of the second added area situated within the area of that Council.