The Local Government Reorganisation (Property, etc.) (Greater Manchester) Order 1988

Citation, commencement and interpretation

1.—(1) This Order may be cited as the Local Government Reorganisation (Property, etc.) (Greater Manchester) Order 1988 and shall come into force on 30th December 1988.

(2) In this Order—

“the 1980 Act” means the Local Government, Planning and Land Act 1980(1);

“the 1985 Act” means the Local Government Act 1985;

“the abolished council” means the former Greater Manchester County Council;

“the county” means the county of Greater Manchester;

“the local council” means the council of a district in the county and in relation to property and mortgages means the council of the district in which the property or, as the case may be, the mortgaged land is situated;

“the Residuary Body” means the Greater Manchester Residuary Body;

“Stockport” means the council of the metropolitan borough of Stockport;

“Tameside” means the council of the metropolitan borough of Tameside;

“the transfer date” means 31st December 1988.

(3) For the purpose of any provision of this Order, other than article 5, which requires the payment or recovery of sums in the appropriate proportions—

(a) the appropriate proportion in relation to any council is the proportion equal to the proportion which the population of the area of that council bears to the population of the county; and

(b) the population of an area shall be taken to be the number estimated by the Registrar General and certified by him to the Secretary of State by reference to the 30th June which falls 21 months before the beginning of the financial year in which the payment falls to be made or the sum recovered, as the case may be.

PART II TRANSFER OF PROPERTY, FUNCTIONS, RIGHTS AND LIABILITIES

Transfer of property, etc.

2.—(1) On the transfer date—

(a) all immovable property of the Residuary Body other than that mentioned in the Schedule to this Order; and

(b) all interests of the Residuary Body in respect of any mortgage granted in pursuance of section 132 of the Housing Act 1985(2),

shall vest in the local council.

(2) All rights and liabilities of the Residuary Body acquired or incurred in connection with, and all records relating exclusively to, property and interests transferred by paragraph (1) shall vest in the council to which it is so transferred.

Transfer of monies

3.—(1) Immediately before the transfer date, the Residuary Body shall set aside from their revenue balances the sum of £2,350,000 (“the special fund”).

(2) On the transfer date the Residuary Body shall transfer to Tameside from the special fund the sum of £350,000 which Tameside shall credit to a fund established by them under paragraph 16 of Schedule 13 to the Local Government Act 1972(3) which shall be applied only for defraying expenditure incurred by them in the exercise of the functions or the discharge of the liabilities transferred by article 4(1).

(3) On the transfer date the Residuary Body shall transfer to Stockport from the special fund the sum of £2 millions which Stockport shall credit to a fund established by them under the said paragraph 16 which shall be applied only for defraying expenditure incurred by them in the discharge of the liabilities transferred by article 6(1).

(4) If the defraying of the expenditure mentioned in paragraphs (2) and (3) does not exhaust the funds established as so mentioned, Tameside or, as the case may be, Stockport shall apportion the amount of the balance among the local councils and shall pay the appropriate proportion to each of the other local councils.

Compensation and superannuation matters

4.—(1) Subject to paragraph (3), all the functions of the Residuary Body so far as they relate to any contract of employment with the abolished council or a contract of employment with the Residuary Body terminating before the transfer date and all rights and liabilities of that Body which arise from any such contract shall on the transfer date become functions of, or vest in, Tameside.

(2) Any function of the Residuary Body relating to the making of payments under the Local Government Reorganisation (Reduction of Redundancy Payment Cases) Scheme 1986(4) shall on the transfer date transfer to Tameside.

(3) Any rights of the Residuary Body to recover sums paid unlawfully by the abolished council to any of its employees or former employees shall on the transfer date vest in Stockport.

(4) Regulation 3(3) of the Local Government Superannuation (Miscellaneous Provisions) Regulations 1986(5) shall apply to the exercise by Tameside of any discretionary function transferred by paragraph (1) as if references to the appropriate residuary body were references to that council.

Block Grant

5.—(1) Any payment which by virtue of any provision of Part VI of the 1980 Act would but for this Order have fallen, by virtue of section 81 of the 1985 Act, to be made by or to the Residuary Body, shall be made by or to the local councils in the appropriate proportions.

(2) For the purposes of paragraph (1)—

(a) “the appropriate proportions” shall be construed in accordance with article 1(3)(a); and

(b) the population of an area shall be taken to be the number estimated by the Registrar General and certified by him to the Secretary of State by reference—

(i) in the case of any payment attributable to the financial year ended 31st March 1985, 30th June 1982; and

(ii) in the case of any payment attributable to the financial year ended 31st March 1986, 30th June 1983.

(3) Any information, notice or request under section 65, 66 or 67 of the 1980 Act(6) which but for this article would have fallen to be given or made by or to the Residuary Body shall be given or made by or to Stockport.

Transfer of rights and liabilities

6.—(1) On the transfer date all rights and liabilities of the Residuary Body other than those mentioned in paragraph (2) shall vest in Stockport; but shall be held for the benefit of, or discharged on behalf of, all the local councils.

(2) The rights and liabilities excluded from transfer by paragraph (1) are those—

(a) in respect of the Midland Hotel site, Manchester or in connection with immovable property which is excluded from transfer by virtue of article 2(1)(a);

(b) transferred by any other article of this Order;

(c) relating to grant from the European Commission, or from the Exchequer under section 1 of the Local Government Grants (Social Need) Act 1969(7) or section 1 of the Derelict Land Act 1982(8);

(d) connected with any function which is exercisable after the transfer date by the Residuary Body; and

(e) relating to any contract connected with the occupation of offices by the Residuary Body.

Nominations and appointments

7.—(1) On the transfer date the right of the Residuary Body to nominate trustees of the Trust which administers the Greater Manchester County Disaster Fund shall vest in the local councils jointly.

(2) On the transfer date the Council of the Metropolitan Borough of Wigan shall succeed the Residuary Body as Trustee of the Jessie Winstanley Littler Special Bequest.

PART III MISCELLANEOUS AND GENERAL

Apportionment

8.—(1) All sums realised by Stockport or Tameside, as the case may be, in pursuance of the transfer by article 4 or 6 of this Order of any rights shall, after deduction of any relevant expenditure, be apportioned among the local councils; and Stockport or, as the case may be, Tameside, shall pay the appropriate proportion to each of the other local councils and shall retain the balance.

(2) If in any financial year the aggregate in that year of the sums referred to in paragraph (1) is insufficient to meet any relevant expenditure for that year, that expenditure shall, to the extent that it is not met from that aggregate, be apportioned among the local councils; and the appropriate proportion shall be recoverable by Stockport or Tameside, as the case may be, from each of the other local councils.

(3) In this article, “relevant expenditure” means expenditure attributable to this Order which is not defrayed by virtue of any other provision of this Order.

Continuity of the exercise of functions

9.—(1) Anything done by or in relation to (or having effect as if done by or in relation to) the Residuary Body in the exercise of or in connection with a function which by virtue of this Order becomes the function of a local council shall, so far as is required for continuing its effect after the transfer date have effect as if done by or in relation to that council.

(2) Without prejudice to the generality of paragraph (1), that paragraph applies to the making of any application, decision or determination; to the giving of any notice; to the entering into of any agreement or other instrument; and to the bringing of any action or proceeding; but nothing in this Order shall be construed as transferring any contract of employment.

(3) Any pending action or proceeding may be amended in such a manner as may be appropriate in consequence of this Order.

Continuity of employment in certain cases

10.  Where the employment by the Residuary Body of any person is terminated, and that termination is attributable to any provision of this Order, regulation 5 (continuity of employment) of the Local Government Superannuation (Local Government Reorganisation) Regulations 1985(9) shall apply as if, for the purposes of paragraph (1)(b)(ii), the termination were not attributable to an order under section 67(3) of the 1985 Act.

Amendment of the capital money order

11.  The Local Government Reorganisation (Capital Money) (Metropolitan Counties) Order 1986(10) shall have effect in relation to the county and in respect of the financial year ending 31st March 1989, with the addition—

(a) at the end of article 4(1) (additions to net capital receipts) of the words “and (c) the sum of £1 million.”; and

(b) in article 5(1), in the definition of “distributable capital money”, of the words “and (e) the sum of £1 million.”.

Disputes

12.  In the event of a dispute between any of the local councils as to the amount of any expenditure recoverable by Stockport or Tameside pursuant to this Order, the matter shall be determined by an arbitrator appointed by the Secretary of State; and section 31 of the Arbitration Act 1950(11) shall have effect in relation to the arbitration as if it were an arbitration to which that section applies.

Nicholas Ridley

Secretary of State for the Environment

2nd December 1988