The Environment Agency (Levies) (England and Wales) Regulations 2011

Carrying forward of balances following revision of boundaries

10.—(1) This regulation applies if, before 1st December in a financial year, the Agency revises the boundaries of the area of a Regional Flood and Coastal Committee (“old area”) in accordance with regulations made under section 22(2)(a) of the Flood and Water Management Act 2010 to create new areas.

(2) As soon as is reasonably practicable after the end of the financial year, the Agency must—

(a) calculate the difference (if any) between the actual expenditure in the old area for the financial year and the sum of the amounts in regulation 9(2)(a)(i) and (ii) in relation to the old area for that financial year; and

(b) provide the information in regulation 9(2)(b) to—

(i) the Regional Flood and Coastal Committees for the new areas, and

(ii) any constituent authority in a new area which was a constituent authority in the old area (“the relevant constituent authorities”); and

(c) apportion the amount of any difference calculated under sub-paragraph (a) of this regulation between the relevant constituent authorities in each new area based on the proportion that the relevant council tax base for the financial year for each relevant constituent authority bears to the sum of the relevant council tax bases for the financial year for all constituent authorities in the old area (“apportioned amounts”).

(3) The Agency must—

(a) if the actual expenditure in the old area for the financial year is greater than the sum of the amounts in regulation 9(2)(a)(i) and (ii) for that financial year, carry forward the apportioned amounts in accordance with paragraph (4) of this regulation; or

(b) if the actual expenditure in the old area for the financial year is less than the sum of the amounts in regulation 9(2)(a)(i) and (ii) for that financial year—

(i) credit the apportioned amounts against any future liability of the relevant constituent authorities to pay a levy to the Agency,

(ii) pay the apportioned amounts to the relevant constituent authorities, or

(iii) carry forward the apportioned amounts in accordance with paragraph (5) of this regulation.

(4) If the actual expenditure in the old area for the financial year is greater than the sum of the amounts in regulation 9(2)(a)(i) and (ii) for that financial year, the Agency may carry forward the apportioned amounts to—

(a) the next financial year, if a levy for the next financial year has not yet been issued; or

(b) the financial year after the next financial year, if a levy for the next financial year has already been issued.

(5) If the actual expenditure in the old area for the financial year is less than the sum of the amounts in regulation 9(2)(a)(i) and (ii) for that financial year, the Agency may carry forward the apportioned amounts to—

(a) the next financial year; or

(b) the financial year after the next financial year.