Enterprise and New Towns (Scotland) Act 1990

Part IIS New Towns

Winding up and dissolution of new town development corporationsS

33 Winding up and dissolution of new town development corporations.S

For sections 36 and 36A of the M1New Towns (Scotland) Act 1968 there shall be substituted the following sections—

“36 Winding up of development corporation.

(1)Where the Secretary of State is satisfied that the purposes for which a development corporation were established under this Act have been substantially achieved he may by order (a “winding up order”) provide for the winding up of the corporation.

(2)Before making a winding up order the Secretary of State shall consult–

(a)the development corporation to which the order will relate,

(b)the council—

(i)of the region or islands area, and

(ii)of each district,

in which any part of the new town is situated, and

(c)such other person or body as he thinks appropriate.

(3)A winding up order shall name the day on which the winding up of the corporation is to commence and the day by which it is to be completed and may—

(a)stipulate a timetable for the winding up,

(b)require the corporation to make interim reports to the Secretary of State,

(c)require the corporation to comply with any directions made by the Secretary of State under section 36C of this Act,

(d)impose such duties, or confer such additional powers, in relation to the winding up as the Secretary of State thinks appropriate,

(e)revoke any order relating to the development corporation,

(f)contain such incidental, consequential, supplementary, transitional or ancillary provisions (including provision modifying the effect of any enactment as it relates to the corporation) as the Secretary of State thinks necessary or expedient.

(4)The Secretary of State may, after such consultation as is mentioned in subsection (2) above, by order vary any of the terms of a winding up order.

(5)An order under this section shall be made by statutory instrument which shall, if it contains provision modifying the effect of any enactment as it relates to the corporation, be subject to annulment in pursuance of a resolution of either House of Parliament.

36A Application of sections 35 etc. to operators of telecom-munication systems.

Sections 35, 36B and 36D of this Act shall have effect as if references to statutory undertakers included references to operators of any telecommunications code system and as if for this purpose—

(a)references to a statutory undertaking were references to the running of such a system, and

(b)references to the appropriate Minister were references to the Secretary of State for Trade and Industry.

36B Additional power to dispose of property etc.

(1)Subject to the conditions set out in subsection (2) below and without prejudice to the powers contained in section 3, 18, 18AA or 18B of this Act, a development corporation may dispose of any of their property, rights or liabilities on such terms (including by way of gift) as they think fit to any person, including (without prejudice to this generality) Scottish Enterprise, the Scottish Development Agency, Scottish Homes, a local authority or a statutory undertaker.

(2)The conditions relating to the power conferred by subsection (1) above are that the power may be exercised only—

(a)with the consent (which may be general or specific) of the Secretary of State, and

(b)during the period from the date of coming into force of the winding up order until the date of dissolution of the corporation.

36C Direction and order making powers of Secretary of State.

(1)Without prejudice to the power contained in section 4(2) of this Act the Secretary of State may, in relation to a development corporation who are subject to a winding up order—

(a)during the period from the date of coming into force of the order until the date named in the order as the date by which the corporation are to be wound up (the “winding up date”), give directions (which may be general or specific) to the corporation in relation to the winding up; and

(b)during the period from the winding up date until the date of dissolution of the corporation, give directions (which may be general or specific) to the corporation.

(2)In the case of a development corporation who are subject to a winding up order the Secretary of State may exercise the power conferred by section 5(2) of this Act without its having to appear to him that there are exceptional circumstances rendering such exercise expedient.

36D Transfer orders.

(1)At any time after a winding up order has been made the Secretary of State may by order (a “transfer order”), made by statutory instrument and subject to annulment in pursuance of a resolution by either House of Parliament, provide for the transfer of any property, rights and liabilities of a development corporation to any person, including (without prejudice to this generality) Scottish Enterprise, the Scottish Development Agency, Scottish Homes, a local authority or a statutory undertaker.

(2)A transfer order may—

(a)transfer the property, rights and liabilities on such terms (which may include transfer either with or without consideration) as the Secretary of State may provide in the order,

(b)include provisions amending any enactment relating to Scottish Enterprise, the Scottish Development Agency, Scottish Homes, a local authority or a statutory undertaker for the purpose, or in consequence, of any transfer made to any such body by virtue of subsection (1) above, and

(c)contain any such incidental, consequential, supplementary or ancillary provisions as the Secretary of State thinks necessary or expedient for the purposes of the order.

(3)Any property, right or liability transferred to any person by a transfer order shall vest in that person on such date as may be specified in the order.

(4)If a person to whom any land is transferred by a transfer order wishes to complete his title to the land by expeding a notarial instrument or notice of title or otherwise, the order shall be deemed to be and may be used as a general disposition or assignation of the land in his favour.

36E Reduction of liability of development corporation.

(1)If the Secretary of State is satisfied that it is expedient, having regard to the provisions of any transfer order or proposed transfer order, that the liability of a development corporation in respect of advances made to them under this Act should be reduced he may, by order made with the consent of the Treasury, reduce that liability to such extent as may be specified in the order.

(2)Section 46(6) of this Act applies to orders under this section.

36F Grants by Secretary of State.

(1)Where the Secretary of State is satisfied that a disposal of land by a development corporation or any transfer of land under a transfer order imposes or will impose a financial burden on the disponee or transferee he may make grants to the disponee or transferee of amounts to be determined by him with the consent of the Treasury.

(2)Where a development corporation are satisfied as mentioned in subsection (1) above they may make grants of amounts to be determined by them with the approval of the Secretary of State and the consent of the Treasury.

(3)Any grant made under this section may be given subject to such conditions as the granter thinks appropriate including (without prejudice to this generality) conditions requiring repayment of all or any part of a grant in the event of non-compliance with any other condition; and any consent given under this section may be general or specific.

36G Dissolution of development corporation.

(1)A development corporation shall, after the making of a winding up order relating to them, remain in existence until such date as the Secretary of State, after consultation with the corporation, appoints for their dissolution by order made by statutory instrument.

(2)The date appointed under subsection (1) above shall not be earlier than the date provided for in the winding up order for the completion of the winding up of the corporation.

36H Financial consequences of winding up.

Any surplus arising from the winding up of a development corporation shall be paid into the Exchequer and any deficit shall be defrayed out of money provided by Parliament.”.

Financial provisionsS

34 Grants by Secretary of State to development corporations.S

After section 37 of the M2New Towns (Scotland) Act 1968 there shall be inserted the following section—

“37AA Grants by Secretary of State to development corporation.

(1)For the purpose of enabling a development corporation—

(a)to meet expenditure properly chargeable to capital account and incurred or to be incurred in providing, or in making contributions towards the cost to others of providing, any of the facilities specified in subsection (2) below, or

(b)to make good to revenue account sums applied in meeting liabilities so chargeable and arising out of the provision of any of those facilities,

the Secretary of State may, out of money provided by Parliament, make grants to the corporation of such amount as may be approved by the Treasury.

(2)The facilities referred to in subsection (1) above are—

(a)roads, paths, bridges and car parks;

(b)public open spaces, recreation grounds, playgrounds and landscaping;

(c)meeting halls and assembly rooms; and

(d)any other facilities similar to those specified in paragraph (a), (b) or (c) above.”.

35 Powers to effect financial reconstruction.S

After section 38A of the New Towns (Scotland) Act 1968 there shall be inserted the following section—

“ Financial reconstructionS

38AB Power to extinguish loan obligations of development corporation.

(1)The Secretary of State may, with the consent of the Treasury, by order extinguish to such extent as may be specified in the order any liabilities of a development corporation in respect of advances made by him to the corporation under section 37(1) of this Act or section 12(1) of the New Towns Act 1946.

(2)Where liabilities are extinguished under this section the assets of the National Loans Fund shall be reduced by amounts corresponding to the liabilities so extinguished.

(3)No order shall be made under this section unless a draft of it has been laid before, and approved by, the Commons House of Parliament.”.