(1) A franchising authority, or two or more franchising authorities acting jointly, may not proceed with a proposed franchising scheme unless they have obtained a report from an independent approved person on the assessment of the proposed scheme (see section 123B).
(2) The ... report must state whether, in the opinion of the approved person—
(a) the information relied on by the authority or authorities in considering the matters referred to in section 123B(3)(d) and (e) is of sufficient quality,
(b) the analysis of that information in the assessment is of sufficient quality, and
(c) the authority or authorities had due regard to guidance issued under section 123B in preparing the assessment.
(3) The Secretary of State must issue guidance as to—
(a) the time at which it is appropriate to appoint an approved person to produce a report for the purposes of subsection (1), and
(b) the matters to be taken into account by a franchising authority when selecting such a person, including for the purposes of determining whether a person is independent.
(4) Franchising authorities must have regard to any such guidance.
(5) The Secretary of State must issue guidance concerning the matters to be taken into account by an approved person when forming an opinion as to whether the information relied on, and the analysis of that information, by an authority is of sufficient quality for the purposes of subsection (2).
(6) Approved persons must have regard to any such guidance.
(8) In this section “approved person” means a person specified, or of a description specified, in regulations made by the Secretary of State.
(1) This section applies if, after obtaining a report under section 123D, the authority or authorities wish to proceed with the proposed franchising scheme.
(2) The authority or authorities must—
(a) publish a consultation document relating to the proposed scheme (see section 123F),
(b) publish the assessment of the proposed scheme,
(c) publish the ... report on that assessment, and
(d) give notice of the proposed scheme in such manner as the authority or authorities consider appropriate for bringing it to the attention of persons in the area to which it relates.
(3) A notice under subsection (2)(d) must—
(a) describe the proposed scheme, and
(b) state where copies of the proposed scheme and the documents mentioned in subsection (2)(a) to (c) may be inspected.
(4) After giving notice under subsection (2)(d), the authority or authorities must consult—
(a) all persons operating local services which have one or more stopping places in the area or areas to which the proposed scheme relates,
(b) all other persons holding a PSV operator's licence or a community bus permit who would, in the opinion of the authority or authorities, be affected by the proposed scheme,
(c) such persons as appear to the authority or authorities to represent employees of persons falling within paragraph (a),
(d) such organisations appearing to the authority or authorities to be representative of users of local services as they think fit,
(da) such persons with disabilities (within the meaning given by section 6 of the Equality Act 2010) who are users or prospective users of local services, or such organisations appearing to the authority or authorities to be representative of such persons, as they think fit,
(db) the Welsh Ministers if, in the opinion of the authority or authorities, any part of Wales would be affected by the proposed scheme,
(e) any other relevant local authority any part of whose area would, in the opinion of the authority or authorities, be affected by the proposed scheme,
(f) a traffic commissioner,
(g) the chief officer of police for each police area covering the whole or part of an area to which the proposed scheme relates,
(h) the Passengers' Council, and
(i) the Competition and Markets Authority.
(5) In subsection (4)(e) “relevant local authority” means—
(a) a local transport authority,
(b) a district council,
(c) a National Park authority,
(d) the Broads Authority,
(e) a London transport authority, ...
(ea) a Transport Partnership created under the Transport (Scotland) Act 2005, or
(f) a council in Scotland.
(6) The authority or authorities may modify the proposed scheme after consulting those persons and organisations.
(1) A consultation document under section 123E(2)(a) relating to a proposed franchising scheme must include—
(a) a description of the area to which the proposed scheme relates,
(b) a description of areas within that area for which different provision is proposed to be made, if such provision is proposed to be included in the proposed scheme,
(c) a description of the local services that are proposed to be provided under local service contracts,
(d) a description of the local services that are proposed to be excepted from regulation arising because of the proposed scheme,
(e) the date on which the scheme is proposed to be made,
(f) the date or dates by which it is proposed that local service contracts first be entered into,
(g) the period or periods it is proposed will expire between the making of local service contracts and the provision of local services under such contracts,
(h) a description of the authority's or authorities' proposed plans for consulting in order to seek views on how well the scheme is working,
(i) a statement about how, in conducting the procurement process for the provision of local services, the authority or authorities propose to facilitate the involvement of small and medium-sized operators in the provision of local services, and
(j) the date by which responses to the consultation must be received.
(2) The consultation document must also include a summary of the assessment prepared under section 123B in relation to the proposed scheme.
(1) A franchising authority or authorities that conduct a consultation under section 123E must publish a report setting out—
(a) the authority's or authorities' response to the consultation;
(b) the authority's or authorities' decision on whether to make a franchising scheme covering the whole or any part of their area or combined area.
(2) The authority or authorities must give notice of the report to a traffic commissioner.
(3) If the authority or authorities decide to make a franchising scheme, the report must set out how, in conducting the procurement process for the provision of local services, the authority or authorities will facilitate the involvement of small and medium-sized operators in the provision of local services.
(4) If a franchising authority are a mayoral combined authority, the function of deciding whether to make a proposed franchising scheme is a function of the combined authority exercisable only by the mayor acting on behalf of the combined authority (including in a case where the decision is to make a scheme jointly with one or more other franchising authorities).
(5) If a franchising authority are a mayoral CCA, the function of deciding whether to make a proposed franchising scheme is a function of the combined county authority exercisable only by the mayor acting on behalf of the combined county authority (including in a case where the decision is to make a scheme jointly with one or more other franchising authorities).
(1) If the authority or authorities publishing a report under section 123G have decided to make a franchising scheme covering the whole or any part of their area or combined area, they must make the scheme, and publish it, at the same time as the report under section 123G.
(2) The scheme must specify—
(a) the area to which the scheme relates,
(b) the local services intended to be provided under local service contracts,
(c) the date on which local service contracts relating to local services may first be entered into (subject to subsection (3)(b)), and
(d) the minimum period that is to expire between the making of a local service contract and the provision of a local service under the contract (subject to subsection (3)(c)).
(2A) Where a scheme specifies more than one area under subsection (2)(a), the areas specified need not be contiguous.
(2B) Local services may be specified for the purposes of subsection (2)(b)—
(a) by reference to the routes or places intended to be served,
(b) by describing the intended services in general terms,
(c) by any combination of the ways specified in paragraphs (a) and (b) of this subsection, or
(d) in such other way as the authority or authorities think fit so as to enable the intended services to be identified.
(3) The scheme may specify—
(a) areas within the area to which the scheme relates (“scheme sub-areas”),
(b) for each scheme sub-area, the date on which a local service contract to provide a local service in that scheme sub-area may first be entered into, and
(c) for each scheme sub-area, the minimum period that is to expire between the making of a local service contract to provide such a service and the provision of such a service under the contract.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) Subject to regulations under section 123U, the scheme may except from regulation arising because of the scheme—
(a) local services specified in the scheme, and
(b) local services of a class specified in the scheme.
(6) If the franchising scheme relates to an area to which a relevant scheme or plan also relates, the franchising scheme must include—
(a) in a case where the relevant scheme or plan relates only to the area to which the franchising scheme relates or a part of that area, provision revoking the relevant scheme or plan, or
(b) in any other case, provision varying the relevant scheme or plan so that it ceases to relate to any part of the area to which the franchising scheme relates.
(7) A franchising scheme may not otherwise vary a relevant scheme or plan.
(8) In subsections (6) and (7)—
“relevant plan” means an enhanced partnership plan, and
“relevant scheme” means an advanced quality partnership scheme or an enhanced partnership scheme.
(9) If provision is made under subsection (6)(b) to vary an enhanced partnership plan or scheme so that it ceases to relate to an area, the local transport authority or authorities to whose area or combined area the plan or, in the case of a scheme, the related plan continues to relate may vary the plan or, as the case may be, the scheme in such manner as they consider appropriate in consequence of the provision made under subsection (6)(b).
(10) Section 138K(3) applies, and section 138K(4), (5) and (8) do not apply, to a variation under subsection (9).
(1) If it appears to the authority or authorities that have made a franchising scheme appropriate to do so, they may decide that—
(a) the date specified under section 123H(2)(c), or
(b) a date specified under section 123H(3)(b),
is to be postponed (or further postponed).
(2) Before making such a decision they must (if possible) consult—
(a) persons operating local services who would, in their opinion, be affected by the decision;
(b) other persons whom, in their opinion, it would be appropriate to consult.
(3) Within a period of 14 days beginning with the date on which any such decision is made they must give notice of the decision—
(a) in such manner as they consider appropriate for drawing it to the attention of persons in the area to which it relates,
(b) to all persons operating local services who would, in their opinion, be affected by the decision, and
(c) to a traffic commissioner.
(4) The notice must include a statement of the reasons for making the decision.
123J Effect of local service contracts: registration requirements and provision of services
(1) Where a franchising scheme has been made, subsections (2) and (3) apply as soon as the effective time of any local service contract to which the franchising scheme relates is reached, subject to subsection (4).
(2) Sections 6 to 9 of the Transport Act 1985 (registration of local services) do not have effect in relation to the area to which the franchising scheme relates.
(3) No local service may be provided in the area to which the franchising scheme relates (if there is a stopping place for the service in that area) unless—
(a) it is provided under a local service contract,
(b) it is an interim service (see section 123O), or
(c) it is provided under a service permit (see section 123P).
(4) If the scheme provides for scheme sub-areas, subsections (2) and (3) apply in relation to each scheme sub-area as soon as the effective time of any local service contract for the provision of a local service in that scheme sub-area is reached, as if references in subsections (2) and (3) to the area to which the scheme relates were references to the scheme sub-area.
(5) Subsections (2) and (3) do not apply in relation to—
(a) a local service which is excepted from regulation arising because of the proposed scheme by any provision of the scheme that is made under section 123H(5), ...
(b) the use of a vehicle under a permit granted under section 22 of the Transport Act 1985 , or
(c) a service falling within subsection (8).
(6) If it appears to a franchising authority that—
(a) a person is operating or has operated a local service in contravention of subsection (3), and
(b) in operating that local service, the person is failing or has failed to take all reasonable precautions and to exercise all due diligence to avoid contravening subsection (3),
the authority must inform a traffic commissioner.
(7) The effective time, in relation to a local service contract, is the beginning of the day on which a local service may first be provided under the contract (see sections 123K(4) and 123L).
(8) A service falls within this subsection if it is a local service provided under an agreement entered into, where a service for the carriage of passengers by railway or tramway has been temporarily interrupted—
(a) under section 40 of the Railways Act 2005 (substitute road services), or
(b) with the person who usually provides the railway or tramway service.
(1) If a franchising scheme covers the whole or part of the combined area of two or more franchising authorities, a local service contract for a local service specified in the scheme is to be entered by the authorities acting jointly.
(2) A franchising authority or authorities may only enter into a local service contract with a person who is the holder of either—
(a) a PSV operator's licence, or
(b) a community bus permit.
(3) But subsection (2)(a) does not include a licence to which a condition is attached under section 26 of the Transport Act 1985 (power of traffic commissioner to attach conditions to licences) prohibiting the holder from using vehicles under the licence to provide local services of all descriptions or of any description to which the condition relates.
(4) A person may not provide a local service under a local service contract until—
(a) the expiry of the period that, under the scheme, must expire between the making of the contract and the provision of the local service under the contract (see section 123H(2)(d) and (3)(c)), or
(b) such later time as may be specified in the contract.
(5) Subsection (4) is subject to section 123L.
(6) If—
(a) a franchising authority or authorities enter into a local service contract, and
(b) the contract is—
(i) the first contract for the provision of a local service specified in the scheme that is entered into, or
(ii) for any scheme sub-area, the first contract for the provision of a local service specified in relation to that scheme sub-area that is entered into,
they must give notice of the contract to a traffic commissioner.
(7) A notice under subsection (6) must be given within a period of 14 days beginning with the date on which the local service contract in question is entered into.
(1) A local service contract may specify as the time when a local service may first be provided under the contract a time before the expiry of such period as is described in section 123K(4)(a), and that service may be provided from that time, if the authority or authorities determine that action is urgently required for the purpose of—
(a) maintaining an existing service,
(b) securing the provision of a service in place of a service which has ceased to operate, or
(c) securing the provision of a service to meet any public transport requirement which has arisen unexpectedly and ought in the opinion of the authority to be met without delay.
(2) A determination under subsection (1) must be made at or before the time that the authority or authorities enter into the contract.
(1) The franchising authority or authorities operating a franchising scheme may vary, or acting jointly may vary, the scheme.
(2) If the authority or authorities decide to vary a franchising scheme, the authority or authorities must—
(a) publish a notice of the decision, and
(b) give notice of the decision to a traffic commissioner.
(3) The notice of the decision must state the date or dates on which the variations of the scheme are to have effect.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) The notice must be published, and notice must be given to a traffic commissioner, within a period of 14 days beginning with the date on which the decision was made.
(6) If a franchising authority are a mayoral combined authority, the function of deciding whether to make a proposed variation is a function of the combined authority exercisable only by the mayor acting on behalf of the combined authority (including in a case where the decision is to act jointly to vary a scheme).
(6A) If a franchising authority are a mayoral CCA, the function of deciding whether to make a proposed variation is a function of the combined county authority exercisable only by the mayor acting on behalf of the combined county authority (including in a case where the decision is to act jointly to vary a scheme).
(7) The references in subsections (1) to (6A) and Schedule 9A to the franchising authority or authorities in relation to a franchising scheme include a reference to a franchising authority who are not operating the scheme but would do so under a proposed variation.
(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) Subsections (2) to (10) of section 123H apply in relation to a franchising scheme varied in accordance with section 123M as they apply in relation to a franchising scheme made in accordance with subsection (1) of section 123H, but subject to subsection (2) of this section.
(2) Where the variation of the scheme adds to the scheme area the scheme must specify, in addition to the information previously specified under section 123H(2)(c) and (d), the date and minimum period to be specified in relation to local service contracts relating to local services to be provided in the additional area.
(3) In Schedule 9A—
(a) Parts 1 and 2 contain provision about the procedure to be followed when varying the area specified under section 123H(2)(a) in the scheme, and
(b) Part 3 contains provision about the procedure to be followed when making certain other variations of the scheme.
(4) For the purposes of this section and Schedule 9A—
(a) a variation of a franchising scheme “adds to the scheme area” if it involves adding an area to the area specified under section 123H(2)(a) in the scheme, and
(b) “the additional area” is the area added.
(1) The franchising authority or authorities operating a franchising scheme may revoke, or acting jointly may revoke, the franchising scheme.
(2) The authority or authorities may revoke the scheme only if they are satisfied that—
(a) local services which have one or more stopping places in the area to which the scheme relates are likely to be better if the scheme did not apply,
(b) the continued operation of the scheme is likely to cause financial difficulties for the authority or any of the authorities, or
(c) the burdens of continuing with the scheme are likely to outweigh the benefits of doing so.
(3) If the authority or authorities decide to revoke a franchising scheme, the authority or authorities must—
(a) publish a notice of the decision, and
(b) give notice of the decision to a traffic commissioner.
(4) The notice of the decision must state the date on which the revocation is to have effect.
(5) The date of revocation must fall after a period of six months beginning with the date on which notice of the decision is published.
(6) The notice must be published, and notice must be given to a traffic commissioner, within a period of 14 days beginning with the date on which the decision was made.
(7) If a franchising authority are a mayoral combined authority, the function of deciding whether to make a proposed revocation is a function of the combined authority exercisable only by the mayor acting on behalf of the combined authority (including in a case where the decision is to act jointly to revoke a scheme).
(7A) If a franchising authority are a mayoral CCA, the function of deciding whether to make a proposed revocation is a function of the combined county authority exercisable only by the mayor acting on behalf of the combined county authority (including in a case where the decision is to act jointly to revoke a scheme).
(8) The revocation of a franchising scheme is subject to the same procedure as the making of a franchising scheme, except that—
(a) the procedure may be modified or excluded in its application to the revocation of a scheme by regulations under section 123U, and
(b) section 123G(3) does not apply.
(1) This section applies if—
(a) a franchising authority or authorities have entered into a local service contract with another person (“the operator”) about providing a local service (“the original service”) for a period, and
(b) the operator fails to provide the original service or ceases to provide the original service before the end of the period.
(2) The authority, or any one of the authorities, may provide a local service (an “interim service”) in the place of the original service or a part of it.
(3) Subsection (2) has effect notwithstanding any prohibition, restriction or limitation on the power of the authority to provide local services contained in any other enactment ....
(4) A franchising authority providing an interim service must have a PSV operator's licence to which no condition is attached under section 26 of the Transport Act 1985 (power of traffic commissioner to attach conditions to licence) prohibiting the authority from using vehicles under the licence to provide services of that description.
(5) A franchising authority may not provide an interim service after the end of the period of six months beginning with the day on which the authority begins to provide the service, subject to subsection (7).
(6) If—
(a) an interim service is provided, and
(b) the authority or authorities decide to enter into a local service contract with another person for the provision of a local service (a “replacement service”) that would replace the original service or a part of it,
section 123K(4) does not apply in relation to the provision of the replacement service.
(7) If the authority or authorities enter into a local service contract for the provision of a replacement service, the authority or the authority providing the interim service may continue to provide it until the replacement service begins to be provided.
(8) An interim service or replacement service need not be identical to the original service, or the part of the original service, that is replaced by the interim service or the replacement service (and such a change is not to be regarded as a variation of the scheme for the purposes of section 123M).
(9) In this section “enactment” includes an enactment comprised in subordinate legislation (within the meaning of the Interpretation Act 1978).
(1) This section applies where a franchising scheme covers the whole or part of the area or combined area of a franchising authority or authorities.
(2) The authority or authorities, acting jointly, may grant a permit (a “service permit”) authorising a person to provide a local service in the area to which the scheme relates.
(1) An application for a service permit authorising a person to provide a particular local service in an area to which a franchising scheme relates must be made in such manner as the authority or authorities operating the scheme may determine.
(2) An application must be accompanied by such information as the authority or authorities operating the scheme may specify.
(3) If the authority or authorities so require, an application for a service permit must be accompanied by a fee for processing the application of an amount that is determined in accordance with regulations made by the Secretary of State.
(4) Regulations under subsection (3) may specify the maximum amount of the fee.
(5) The authority or authorities must grant the service permit applied for if they are satisfied that—
(a) the proposed service will benefit persons making journeys on local services which have one or more stopping places in the area to which the scheme relates, and
(b) the proposed service will not have an adverse effect on any local service that is provided under a local service contract in the area to which the scheme relates.
(5A) If the application is for a service permit for a cross-boundary service, the authority or authorities may grant the permit applied for if they are satisfied that—
(a) the benefits to persons making journeys on the proposed service will outweigh any adverse effect on any local service that is provided under a local service contract in the area to which the scheme relates, or
(b) the benefits of the proposed service to the economy of the relevant area, or to persons living in that area, will outweigh any such adverse effect.
(5B) If the application is for a service permit for a service that is not a cross-boundary service, the authority or authorities may grant the permit applied for if they are satisfied that the benefits of the proposed service to the economy of the area to which the scheme relates, or to persons living in that area, will outweigh any adverse effect on any local service that is provided under a local service contract in that area.
(6) The authority or authorities may not grant the service permit applied for except under subsection (5), (5A) or (5B).
(7) If the authority or authorities do not grant a service permit, they must give notice of their reasons to the applicant within a period of ten days beginning with the date on which they decide not to grant the service permit.
(8) In this section—
“cross-boundary service”, in relation to a franchising scheme, means a service that—
has one or more stopping places in the area to which the scheme relates, and
has one or more stopping places outside that area;
“relevant area”, in relation to a cross-boundary service, means the combined area of each—
local transport authority,
council in Scotland, and
Transport Partnership created under the Transport (Scotland) Act 2005,
in which the service has a stopping place.
(1) A franchising authority or authorities may publish a notice specifying the conditions, or descriptions of conditions, that they may attach to a service permit.
(2) A franchising authority or authorities may—
(a) withdraw a notice under subsection (1), and
(b) if an earlier notice under subsection (1) is withdrawn, publish another notice under subsection (1).
(3) A franchising authority or authorities may only specify in a notice under subsection (1) conditions that are specified, or are of a description specified, in regulations made by the Secretary of State.
(4) Regulations under subsection (3) may in particular provide for conditions requiring holders of service permits to participate in ticketing arrangements.
(5) Before the authority or authorities publish a notice under subsection (1) (or withdraw such a notice), they must consult—
(a) persons operating local services which have one or more stopping places in the area to which the scheme relates, and
(b) other persons whom, in their opinion, it would be appropriate to consult.
(6) If a notice under subsection (1) is published, the franchising authority or authorities may attach to—
(a) a service permit granted by them after the notice is published, or
(b) a service permit already granted by them,
conditions, or conditions of a description, specified in the notice.
(7) If a notice under subsection (1) is withdrawn, conditions attached to service permits granted by the franchising authority or authorities before it was withdrawn cease to have effect (subject to being attached again under subsection (6)(b)).
(8) If the authority or authorities grant a service permit with conditions, they must give notice of their reasons for doing so to the applicant within a period of 14 days beginning with the date on which they grant the service permit with those conditions.
(9) If the authority or authorities attach conditions to a service permit after it is granted, they must give notice of their reasons for doing so to the holder of the service permit within a period of 14 days beginning with the date on which they attach those conditions.
(1) A franchising authority or authorities may revoke or suspend a service permit granted by them.
(2) The grounds on which a franchising authority or authorities may revoke or suspend a service permit are—
(a) if the permit was granted under subsection (5) of section 123Q, that a matter in paragraph (a) or (b) of that subsection is not satisfied as regards the service to which the service permit relates,
(aa) if the permit was granted under subsection (5A) or (5B) of that section, that the authority or authorities are no longer satisfied as mentioned in the subsection in question,
(b) that the holder of the service permit has failed to comply with a condition attached to the service permit, and
(c) that the public would be endangered if the service continued to operate.
(3) The Secretary of State may by regulations make provision about the period of notice that must expire before a revocation or suspension takes effect.
(4) The regulations may, in particular, enable a franchising authority or authorities to revoke or suspend a service permit with immediate effect if the permit is revoked or suspended on the ground mentioned in subsection (2)(c).
(5) A service permit is of no effect during a period of suspension.
(1) A person whose application for a service permit is refused may appeal against the refusal.
(2) A person who is granted a service permit with conditions may appeal against the attaching of the conditions or any of them.
(3) A person to whose service permit conditions are attached after the service permit is granted may appeal against the attaching of the conditions or any of them.
(4) A person whose service permit is revoked or suspended may appeal against the revocation or suspension.
(5) An appeal under subsection (1), (2), (3) or (4) is to be made to a traffic commissioner.
(6) On an appeal under subsection (1), (2), (3) or (4), a traffic commissioner may—
(a) uphold the decision,
(b) quash the decision, or
(c) substitute a decision for the decision made.
(7) The Secretary of State may by regulations make provision about appeals under this section including, in particular, provision—
(a) as to the time within which an appeal to a traffic commissioner must be brought,
(b) enabling a traffic commissioner to hold a hearing,
(c) requiring a traffic commissioner to hold a hearing if requested by the appellant,
(d) as to the time within which a hearing must be held, and
(e) as to the time within which an appeal must be determined.
(8) A person may appeal to the Upper Tribunal against a decision of a traffic commissioner under subsection (6).
(9) For the purposes of section 13(2) of the Tribunals, Courts and Enforcement Act 2007 (appeals to Court of Appeal etc against decisions of the Upper Tribunal) the following persons are to be treated as parties to a case—
(a) the person who appealed under subsection (1), (2), (3) or (4),
(b) the franchising authority or authorities whose decision was appealed, and
(c) a traffic commissioner.
(1) The Secretary of State may by regulations make further provision with respect to—
(a) the procedure to be followed when making, varying or revoking franchising schemes,
(b) the local services or classes of local services which are to be, or may be, excepted from regulation arising because of the scheme, and
(c) such other incidental matters in connection with franchising schemes as the Secretary of State thinks fit.
(2) The regulations may in particular make provision with respect to—
(a) giving notice of proposed schemes or the proposed variation or revocation of schemes,
(b) modifications of such proposals,
(c) the form of schemes or variations, and
(d) giving notice of schemes which have been made or of the variation or revocation of schemes.
(3) The Secretary of State may by regulations make further provision with respect to service permits.
(4) The Secretary of State may also make regulations modifying or excluding the application of provisions of this Part, so far as relating to franchising schemes, in cases where a franchising authority, or two or more franchising authorities acting jointly—
(a) propose or decide to vary or revoke a scheme under section 123M or 123N, or
(b) having varied a scheme under section 123M, propose or decide to postpone a date on which a local service contract to provide a local service specified in the scheme may first be entered into.
(1) The Secretary of State may by regulations make such transitional provision as the Secretary of State considers appropriate in connection with—
(a) the making of franchising schemes,
(b) the application of section 123J in relation to an area (effect of local service contracts: sections 6 to 9 of the Transport Act 1985 and provision of services),
(c) the variation of franchising schemes, and
(d) the revocation of franchising schemes.
(2) The regulations may in particular provide that in prescribed circumstances—
(a) any provision of sections 6 to 9 of the Transport Act 1985 (registration of local services), or of sections 89 to 92 of that Act (obligation to invite tenders etc), which would otherwise have effect is not to have effect or is to have effect with such modifications as may be prescribed, or
(b) any such provision which would not otherwise have effect is to have effect or is to have effect with such modifications as may be prescribed,
in relation to the whole or any part of the area to which the scheme relates.
(3) Regulations made by virtue of subsection (2) may in particular provide for the period in section 6(8)(a) of the Transport Act 1985 to be, for applications to vary or cancel the registration of services that have one or more stopping places in the area to which a franchising scheme relates, the period specified in a notice issued by the authority or authorities that made the franchising scheme.
(4) The regulations may impose requirements in relation to notices issued as mentioned in subsection (3) that include (but are not limited to) requirements—
(a) as to the time when the notice may be issued,
(b) as to the publication of the notice,
(c) as to sending a copy of the notice to a traffic commissioner, and
(d) as to the period, not exceeding 112 days, that may be specified in the notice.
(5) Regulations made by virtue of subsection (2) may in particular provide for cases where local services continue to be provided in an area under local service contracts after a franchising scheme—
(a) is revoked, or
(b) is varied so as no longer to relate to that area.
(6) The regulations may—
(a) prohibit the registration of a service, or a variation of the registration of a service, under section 6 of the Transport Act 1985 so far as the service, or the service as varied, would be provided in that area, except in a case where the service, or the service as varied, would be a service that, under the scheme as it had effect before it was revoked or varied, could have been provided in that area under a local service contract, and
(b) require a traffic commissioner to register a service on an application by a person who, immediately before the scheme was revoked or varied, provided the same service under a service permit.
(7) Any regulations made by virtue of subsection (1)(a) are not to have effect in the case of any franchising scheme as respects any time before the making of the scheme.
(1) The Secretary of State may issue guidance concerning the exercise by franchising authorities of their functions under this Part in relation to franchising schemes.
(2) Franchising authorities must have regard to any such guidance.
(1) Subsection (3) applies to a situation in which—
(a) at the effective time of a local service contract, local services cease to be provided by a person (the “former operator”) in—
(i) the area to which the relevant franchising scheme relates, or
(ii) in the case of a franchising scheme which provides for scheme sub-areas, the relevant scheme sub-area,
in accordance with section 123J(3), and
(b) at the same time, a person (the “new operator”) begins to provide local services in that area under that local service contract.
(2) Subsection (3) also applies to a situation in which—
(a) local services which, at the effective time of a local service contract, a person (the “former operator”) would be required by section 123J(3) to cease providing in—
(i) the area mentioned in subsection (1)(a)(i), or
(ii) the area mentioned in subsection (1)(a)(ii) (as the case may be),
cease to be provided by the former operator before the effective time of that local service contract, and
(b) at the same time as those local services cease to be provided by the former operator, a person (the “new operator”) begins to provide local services in that area under an agreement which the authority or authorities operating the relevant franchising scheme entered into by reason of the cessation of the local services referred to in paragraph (a).
(3) Any situation to which this subsection applies is to be treated as a relevant transfer for the purposes of the Transfer of Undertakings (Protection of Employment) Regulations 2006 (“TUPE”) (whether or not TUPE would apply apart from this subsection).
(4) For the purposes of TUPE, the organised grouping of employees that is subject to the relevant transfer consists of those employees of the former operator whose employment is principally connected with the provision of the local services referred to in subsection (1)(a) or (as the case may be) the local services referred to in subsection (2)(a).
(5) Any situation which by virtue of this section is treated as a relevant transfer for the purposes of TUPE is also to be treated as a relevant transfer within the meaning of TUPE for the purposes of—
(a) sections 257 and 258 of the Pensions Act 2004, and
(b) any regulations made under section 258 of that Act.
(6) The Secretary of State may make regulations supplementing the provision made by this section.
(7) The provision that may be made by regulations under subsection (6) includes—
(a) provision for determining, for the purposes of subsection (4), whether a person's employment is principally connected with the provision of any particular local services (including provision for or in connection with the appointment of a person to make such determination);
(b) provision for determining, in the case of any particular organised grouping of employees, the particular new operator who is to be the transferee for the purposes of TUPE (including provision for or in connection with the appointment of a person to make such determination);
(c) provision requiring any person operating local services in the area to which a franchising scheme relates to provide the authority or authorities operating the scheme with such information as may be prescribed, at such time as may be prescribed, about such of that person's employees as would fall within subsection (4) if the person ceased to provide those services in the circumstances described in subsection (1)(a);
(d) provision requiring the authority or authorities operating a franchising scheme to provide all persons operating local services in the area to which the scheme relates with such information as may be prescribed, at such time as may be prescribed, so as to enable such persons to comply with any requirement imposed by virtue of paragraph (c) of this subsection;
(e) provision requiring the authority or authorities operating a franchising scheme to ensure that any local service contract entered into with a person under the scheme, or any other agreement made with a person for the provision of local services in the area to which the scheme relates, is made on terms—
(i) that require the person, in the event of there being any transferring employees, to secure pension protection for every transferring employee, or every transferring employee of a prescribed description, who as an employee of the former operator had rights to acquire pension benefits, and
(ii) that, so far as relating to the securing of pension protection for a transferring employee, are enforceable by the employee.
(8) For the purposes of this section—
(a) “transferring employee” means an employee of a former operator whose contract of employment becomes, either by virtue of TUPE or by virtue of this section, a contract of employment with a new operator;
(b) “pension protection” is secured for a transferring employee if after the change of employer referred to in paragraph (a)—
(i) the employee has, as an employee of the new operator, rights to acquire pension benefits, and
(ii) those rights are of such description as is prescribed by regulations.
(9) The Secretary of State must exercise the power conferred by this section to make regulations containing provision falling within subsection (7)(e) so as to ensure—
(a) that pension protection is required to be secured for every transferring original employee who, as an employee of the original operator, had rights to acquire pension benefits, and
(b) that the rights to acquire pension benefits which a transferring original employee has as an employee of the new operator by virtue of paragraph (a) are rights which—
(i) are the same as the rights the transferring original employee had as an employee of the original operator, or
(ii) under provision made by regulations, count as being broadly comparable to, or better than, those rights.
(10) For the purposes of subsection (9)—
“transferring original employee” means a transferring employee—
who immediately before the relevant date was employed by a person (the “original operator”) providing local services in the area to which the relevant franchising scheme relates, and
whose contract of employment—
was, from that date until the change of employer referred to in subsection (8)(a), a contract of employment with the original operator, or
on each occasion when the employee was subject to a relevant transfer became, either by virtue of TUPE or by virtue of this section, a contract of employment with a person providing local services in the area referred to in paragraph (a);
“relevant date”, in relation to a franchising scheme, means—
the date on which the scheme was made, or
where—
the local services being provided by the original operator were not subject to the scheme when it was made, and
as a result of the variation of the scheme, those services became subject to the scheme,
the date on which that variation was made;
“relevant transfer” means anything that is, or is to be treated as, a relevant transfer for the purposes of TUPE.
(1) A local transport authority for an area in Wales, or two or more such authorities acting jointly, may make a quality contracts scheme covering the whole or any part of their area, or combined area, if they are satisfied that—
(a) the proposed scheme will result in an increase in the use of bus services (see subsection (9B)) in the area to which the proposed scheme relates,
(b) the proposed scheme will bring benefits to persons using local services in the area to which the proposed scheme relates, by improving the quality of those services,
(c) the proposed scheme will contribute to the implementation of the local transport policies of the authority or authorities,
(d) the proposed scheme will contribute to the implementation of those policies in a way which is economic, efficient and effective, and
(e) any adverse effects of the proposed scheme on operators will be proportionate to the improvement in the well-being of persons living or working in the area to which the proposed scheme relates and, in particular, to the achievement of the objectives mentioned in paragraphs (a) to (d).
(1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1B) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) A quality contracts scheme may not be made unless the authority or authorities—
(a) have complied with the requirements of section 125, and
(b) ... have obtained the approval of the Welsh Ministers in accordance with section 126, . . .
(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) A quality contracts scheme is a scheme under which—
(a) the authority or authorities determine what local services should be provided in the area to which the scheme relates and any additional facilities or services which should be provided in that area, and
(b) local services may only be provided in that area in accordance with quality contracts (subject to section 127(4) and section 132C).
(4) In this Part “quality contract”, in relation to a quality contracts scheme, means an agreement entered into under section 130 or 131 under which—
(a) the authority or authorities grant to another person the exclusive right to operate the local services to which the contract relates, and
(b) that person undertakes to provide the services on such terms (including in particular as to frequency, fares and standard of service) as may be specified in the agreement.
(5) A quality contract may be made on terms—
(a) which include provision for the making of payments by the authority or authorities to the person undertaking to provide the local service, and
(b) requiring one or more of the parties to provide additional facilities or services.
(6) Section 88(1) of the Transport Act 1985 (application to subsidy agreements of sections 89 to 92 of that Act) does not apply in relation to quality contracts.
(7) The authority or authorities must keep under review the extent to which quality contracts entered into by them are complied with.
(8) In carrying out their functions under this Part in relation to quality contracts schemes, local transport authorities must co-operate with one another.
(9) In considering whether to make a quality contracts scheme, a local transport authority for an area in Wales must have regard to the desirability, in appropriate cases, of making a scheme jointly with another such authority.
(9A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(9B) The reference in subsection (1)(a) to increasing the use of bus services includes a reference to reducing, arresting or reversing decline in the use of bus services.
(10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(11) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(12) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(13) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) If an authority or authorities propose to make a quality contracts scheme, they must—
(a) publish, in such manner as they think fit, a consultation document complying with subsection (1A),
(b) supply a copy of that document to each of the persons mentioned in subsection (3), and
(c) give notice in accordance with subsection (2) of the proposed scheme in at least one newspaper circulating in the area to which it relates, ...
(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1A) The consultation document mentioned in subsection (1)(a) must include—
(a) a description of the proposed scheme;
(b) a statement of the reasons why the authority or authorities are satisfied that the conditions in subsection (1) ... of section 124 are met;
(c) a description of any arrangements which the authority or authorities intend to make (including arrangements with other authorities or other persons) for or in connection with the implementation of the scheme;
(d) a statement of how any costs which the authority or authorities expect to incur under the scheme are to be defrayed;
(e) a declaration by the chief finance officer or officers of the authority or authorities that, after taking into account—
(i) any estimated income from fares, and
(ii) any grants from Ministers of the Crown or government departments,
any remaining funding required to implement the scheme can be provided from other resources available to the authority or authorities;
(f) the date by which any written responses to the consultation must be submitted to the authority or authorities.
(1B) The description of the proposed scheme contained in the consultation document in accordance with subsection (1A)(a) must include—
(a) an outline of the local services which are proposed to be provided under it;
(b) a statement of any proposed exclusions from the scheme by virtue of section 127(4).
(1C) In subsection (1A)(e) “chief finance officer”, in relation to a local transport authority, means that officer of the authority who is responsible under—
(a) section 151 of the Local Government Act 1972, or
(b) section 73 of the Local Government Act 1985,
for making arrangements for the proper administration of the financial affairs of the authority.
(2) The notice must—
(a) describe the proposed scheme, and
(b) state where a copy of the scheme and the consultation document may be inspected, ...
(c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) After giving notice of the proposed scheme, the authority or authorities must consult—
(a) all persons operating local services in the area to which it relates,
(b) all other persons holding a PSV operator’s licence or a community bus permit who would, in the opinion of the authority or authorities, be affected by it,
(c) such organisations appearing to the authority or authorities to be representative of users of local services as they think fit,
(d) any other relevant local authority any part of whose area would, in the opinion of the authority or authorities, be affected by it,
(e) ... a traffic commissioner,
(f) the chief officer of police for each police area covering the whole or part of the area to which the proposed scheme relates, and
(g) such other persons as the authority or authorities think fit.
(4) For the purpose of subsection (3)(d) the following are relevant local authorities—
(a) local transport authorities,
(b) district councils in England,
(c) London transport authorities, and
(d) councils in Scotland.
(5) The authority or authorities may modify the proposed scheme following those consultations.
126 Approval of proposed schemes for areas in Wales
(A1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) If, having complied with the requirements of section 125, the authority or authorities wish to proceed with the proposed scheme, they must apply to the appropriate national authority for its approval.
(2) The application must include—
(a) their reasons for wishing to make the scheme, and
(b) such other information as the appropriate national authority may reasonably require.
(3) Any person who was consulted, or who is aggrieved at not being consulted, under section 125(3) may make written representations to the appropriate national authority about the scheme.
(4) The appropriate national authority may approve the proposed scheme, with or without modifications, if it is satisfied that—
(a) the conditions set out in paragraphs (a) to (e) of section 124(1) ... are met, and
(b) it is in the interests of the public that the scheme is made.
(5) If the appropriate national authority proposes to approve the scheme with modifications, it must first inform the authority or authorities and they must—
(a) consult such of the persons they consulted under section 125(3) as would, in their opinion, be affected by those modifications, and
(b) inform the appropriate national authority as to the outcome of that consultation.
(6) After being informed of that outcome the appropriate national authority may approve the scheme either with those modifications or without modifications.
(1) The authority or authorities who proposed the scheme may make it—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) ... in accordance with the requirements of subsection (1B).
(1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1B) If—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) the Welsh Ministers approve the scheme under section 126,
the authority or authorities who proposed it may make it, as approved, at any time not later than 6 months after the date of the approval.
(2) The scheme must specify—
(a) the area to which it relates,
(b) the date on which it is to come into operation or, if the scheme provides for different provisions to come into operation on different dates, or on different dates for different purposes, those dates in the case of each provision, and
(c) the period for which it is to remain in operation, which must not be more than ten years from the earliest date on which the scheme or any of its provisions comes into operation.
(2A) No date that is to be specified under subsection (2)(b) may be earlier than 6 months after the scheme is made.
(3) The scheme must outline—
(a) the local services which are to be provided under quality contracts, and
(b) the features of the proposed invitations to tender for quality contracts.
(3A) The scheme must specify the date or dates on which it is proposed that the authority or authorities will issue invitations to tender for the provision of any services to which the scheme relates (see section 130).
(4) The scheme may provide that—
(a) local services specified in it, or
(b) local services of a class specified in it,
are to be excluded from the scheme, subject to such conditions (if any) as may be specified in it.
(5) The scheme may contain such ancillary provisions as the authority or authorities think fit.
(6) The scheme may include provision—
(a) varying or revoking any quality partnership scheme which only relates to the area of the authority, or combined area of the authorities, by which the scheme is made, or
(b) varying any other quality partnership scheme to the extent that it so relates.
(7) If provision is made under subsection (6)(b) to vary the quality partnership scheme so that it no longer so relates, such of the authorities by which it was made as did not make the quality contracts scheme—
(a) may (subject to the provision so made) vary it if they decide that it is appropriate to do so, or
(b) may revoke it if all persons who have given an undertaking to provide a service to a standard specified in the scheme consent to the revocation of the scheme (which consent must not be unreasonably withheld);
and subsections (3) and (4) of section 120 apply to a variation or revocation under this subsection.
(8) Not later than 14 days after the date on which the scheme is made, the authority or authorities must—
(a) give notice in at least one newspaper circulating in the area to which the scheme relates, and
(b) send a copy of the scheme to a traffic commissioner.
(9) The notice must state—
(a) that the scheme has been made,
(b) where a copy of the scheme may be inspected, and
(c) the date or dates on which the scheme, or the different provisions of the scheme, are to come into operation.
(10) The appropriate national authority may by order vary any of the periods mentioned in subsection ... (1B) or (2A).
(1) If it appears to the authority or authorities who made the scheme appropriate to do so, they may decide that the date on which the scheme , or any particular provision of the scheme, would otherwise come into operation , or come into operation for any particular purpose or purposes, shall be postponed by such period as they think fit (subject to any provision of regulations made under subsection (4)).
(2) Before making such a decision they must consult all operators of local services who would, in their opinion, be affected by the decision.
(3) Not later than 14 days after the date on which any such decision is made they must give notice of the decision—
(a) in at least one newspaper circulating in the area to which the scheme relates, ...
(b) to all operators of local services who would, in their opinion, be affected by the decision , and
(c) to a traffic commissioner
(4) The appropriate national authority may by regulations make provision with respect to postponements under subsection (1).
(5) The regulations may in particular make provision—
(a) as to the maximum period of postponements, and
(b) requiring authorities to re-issue invitations to tender in accordance with section 130.
(1) During any period in which the scheme , or (in the case of a scheme which provides for different provisions to come into operation on different dates) any provision of the scheme, is in operation—
(a) sections 6 to 9 of the Transport Act 1985 (registration of local services) do not have effect in relation to the area to which the scheme, or that provision, relates, and
(b) no local service shall be provided in that area (if there is a stopping place for the service in that area) unless it is provided under a quality contract or is an interim service (see section 132C).
(2) But subsection (1) does not apply —
(a) so as to prevent the application of sections 6 to 9 of the Transport Act 1985 in relation to any service by virtue or in consequence of section 6B of that Act (application for registration or variation where quality contracts scheme in force),
(b) so as to prevent the provision of any service registered under section 6 of the Transport Act 1985 by virtue of section 6B of that Act, or
(c) in relation to services which are excluded from the scheme as a result of any provision of the scheme made in accordance with section 127(4).
(3) Where the exclusion of a local service from the scheme is made subject to conditions as a result of such a provision, those conditions are to be treated, during any period in which the scheme is in operation, as if they were prescribed particulars registered under section 6 of the Transport Act 1985 of the service concerned.
(4) The authority or authorities must invite tenders in accordance with section 130 not later than—
(a) three months, or
(b) such other period as the appropriate national authority may by order specify,
after the scheme has been made.
(1) The authority, or the authorities acting jointly, must invite tenders for the provision of services to which the scheme, or each provision of the scheme, relates for such period and on such basis as may be specified in the invitation to tender.
(2) The period specified must not exceed 10 years.
(3) Subject to subsection (4), such an invitation—
(a) must be issued generally, in such manner as the authority or authorities consider appropriate for bringing it to the attention of persons who may be interested, and
(b) must also be issued individually to all persons who have given to that authority or any of those authorities a written notice indicating that they wish to receive invitations to tender for the provision of local services of a description to which the invitation relates.
(4) Such a notice must specify the address to which such an invitation is to be directed, and it shall be sufficient for the purposes of subsection (3)(b) if the authority or authorities send the invitation to the person giving such a notice at the address so specified.
(5) The authority or authorities may only accept a tender submitted by a person who is the holder of either—
(a) a PSV operator’s licence, or
(b) a community bus permit.
(6) But subsection (5)(a) does not include a licence to which a condition is attached under section 26 of the Transport Act 1985 (power of traffic commissioner to attach conditions to licences) prohibiting the holder from using vehicles under the licence to provide local services of all descriptions or of any description to which the invitation relates.
(7) After entering into a quality contract, the authority or authorities must give notice to a traffic commissioner of—
(a) the local services to be provided in accordance with the contract, and
(b) the duration of the contract.
(8) The appropriate national authority may by regulations make provision requiring authorities to publish prescribed information about tenders submitted to them in accordance with this section or about their reasons for entering into particular quality contracts.
(1) Section 130 does not apply in any case where it appears to the authority or authorities that action is urgently required for the purpose of—
(a) maintaining an existing service,
(b) securing the provision of a service in place of a service which has ceased to operate, or
(c) securing the provision of a service to meet any public transport requirement which has arisen unexpectedly and ought in the opinion of the authority to be met without delay.
(2) The appropriate national authority may by regulations make provision for further exceptions from section 130, including in particular with respect to—
(a) cases in which no tender, or no acceptable tender, is submitted in response to an invitation to tender issued under section 130(1) or under any provision made by virtue of subsection (5)(a), and
(b) agreements of a prescribed description.
(3) The appropriate national authority may make regulations fixing the maximum duration of a quality contract entered into under subsection (1) or under any provision made by virtue of subsection (2).
(4) The appropriate national authority may by regulations make further provision with respect to exceptions from section 130.
(5) Regulations under subsection (4) may in particular—
(a) require authorities to invite tenders for the provision of a service which is the subject of a quality contract made under subsection (1) or under any provision made by virtue of subsection (2), and
(b) require authorities to publish prescribed information (including as to their reasons for entering into particular quality contracts) or to give notices.
(1) If it appears to them appropriate to do so, the authority or authorities who made a quality contracts scheme (other than any to whose area the scheme no longer relates) may decide that the scheme should continue in operation for a further period, with or without modification.
(2) Before making such a decision, they must, unless the proposal that the scheme should continue is an exempt continuation proposal (see section 131B), comply with the requirements of—
(a) section 124(2)(b) (approval by Welsh Ministers) ...
(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) Section 125 applies in relation to the continuation of a scheme under this section as it applies in relation to the making of a scheme, but with the following modifications—
(a) any reference to a proposal to make a scheme is to be read as a reference to a proposal for the continuation of a scheme,
(b) any reference to the proposed scheme is to be read as a reference to the scheme as proposed to continue in operation,
and with the further modifications specified in subsections (4) and (5), but this is subject to such modifications or exclusions as may be prescribed by regulations under section 133.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) The consultation document that is to be published by virtue of section 125(1)(a), as applied by subsection (3), must (instead of complying with section 125(1A)) include—
(a) a description of the scheme, together with any proposed modifications to it;
(b) a statement of the opinion of the authority or authorities as to the effectiveness of the scheme in achieving the objectives set out in paragraphs (a) to (e) of section 124(1) ... up to the date of the report;
(c) a statement of the reasons why they are satisfied that the scheme as proposed to be continued (with any proposed modifications) will meet the conditions in subsection (1) ... of section 124;
(d) a description of any arrangements which the authority or authorities intend to make (including arrangements with other authorities or other persons) for or in connection with the continuation of the scheme;
(e) a statement of the period for which it is proposed that the scheme should continue in operation, which must not be more than a further 10 years;
(f) if the authority or authorities consider that the proposal for the scheme to continue is an exempt continuation proposal, a statement of that fact;
(g) a statement of how any costs which the authority or authorities expect to incur under the scheme are to be defrayed;
(h) a declaration by the chief finance officer or officers of the authority or authorities that, after taking into account—
(i) any estimated income from fares, and
(ii) any grants from Ministers of the Crown or government departments,
any remaining funding required to continue the scheme in operation can be provided from other resources available to the authority or authorities;
(i) the date by which any written responses to the consultation must be submitted to the authority or authorities.
(6) For the purposes of this section—
(a) subsection (1B) of section 125 (matters to be included in the description of the proposed scheme) applies for the purposes of subsection (5)(a) as it applies for the purposes of subsection (1A)(a) of that section, and
(b) subsection (1C) of that section (meaning of “chief finance officer”) applies for the purposes of subsection (5)(h) as it applies for the purposes of subsection (1A)(e) of that section.
(7) The consultation document mentioned in subsection (5) must be published and supplied in accordance with section 125(1)(a) and (b) (as applied by this section) not less than 12 months before the scheme’s expiry date.
(8) For the purposes of this section, a scheme’s “expiry date” is the later of the following dates—
(a) the end of the period specified in the scheme in accordance with section 127(2)(c),
(b) if the scheme has been continuing in operation by virtue of the previous application of this section, the end of the period for which it is so continuing in operation.
(9) The period for which a scheme continues in operation by virtue of a decision under subsection (1) may begin—
(a) on such day falling before, on, or immediately after the scheme’s expiry date as the authority or authorities decide, or
(b) if the circumstances are such that the continuation of the scheme cannot begin on a day falling within paragraph (a), on such later day as the authority or authorities decide in accordance with regulations made by the appropriate national authority for the purposes of such circumstances.
(10) If the authority or authorities publish and supply a consultation document in accordance with subsection (7), the scheme remains in operation (without any modifications proposed by them under subsection (1)) until—
(a) in a case where the scheme is to continue in operation for a further period, the day before the beginning of that period, or
(b) in any other case, the scheme’s expiry date.
(11) Section 130 (tendering) applies to a scheme that continues in operation under this section (whether or not the proposal for the scheme to continue in operation was an exempt continuation proposal) but subject to regulations made by the appropriate national authority under section 133(3).
(1) For the purposes of this Part a proposal that a quality contracts scheme should continue in operation is an “exempt continuation proposal” if—
(a) any one or more of Conditions 1 to 3 are met and Conditions A and B are met, or
(b) the circumstances are as prescribed in regulations made by the appropriate national authority.
(2) Condition 1 is that it is not proposed that the area to which the continuation scheme relates is to be greater than the area to which the existing scheme relates.
(3) Condition 2 is that it is proposed that the area to which the continuation scheme relates is to be greater than the area to which the existing scheme relates, but—
(a) the additional area proposed to be included falls wholly within the area or combined area of the authority or authorities proposing the continuation of the scheme, and
(b) it is not proposed that under the continuation scheme any descriptions of local services are to be provided under quality contracts in addition to the descriptions of local services so provided under the existing scheme.
(4) Condition 3 is that during the period while the existing scheme has been in force—
(a) there has been a change in the area of the authority, or of any of the authorities, that last made or continued the scheme, or
(b) a different authority has become the local transport authority for some or all of the area to which the scheme relates,
but it is not proposed that under the continuation scheme any descriptions of local services are to be provided under quality contracts in addition to the descriptions of local services so provided under the existing scheme.
(5) Condition A is that it is not proposed under the continuation scheme that any local services which, immediately before the coming into force of that scheme, were unregulated services are under the continuation scheme to be provided under quality contracts.
(6) Condition B is that it is not proposed under the continuation scheme that any services which, immediately before the coming into force of that scheme, were excluded services in the case of the existing scheme are not to be excluded services in the case of the continuation scheme.
(7) In this section—
“the continuation scheme” means the scheme as proposed to continue in operation;
“excluded services”, in the case of any quality contracts scheme, means any local services, or class of local services, which are excluded from the scheme by virtue of section 127(4);
“the existing scheme” means—
the scheme as last continued or varied, or
if the scheme has not previously been continued or varied, the scheme as originally made;
“unregulated services” means any local services provided otherwise than—
under a contract with one or more local transport authorities, or
by an authority or authorities acting under section 132C(2) (power to provide interim services in exceptional circumstances);
and any reference to the coming into force of a scheme includes a reference to the coming into force of any particular provision of it.
(8) See also section 131E (which makes provision about appeals relating to exempt continuation proposals).