Clause 18

by deleting the words “for improvements to and the management and maintenance of residential property and of commercial property” in subsection (4) and substituting the words “, each for residential property and for commercial property in the housing estates of the Board within the Town, to meet the expenditure and liabilities mentioned in subsection (6)(a)”;

by inserting, immediately after subsection (4), the following subsections:“(4A) From 1 April 2017, every Town Council must also establish and maintain, as part of the Town Council Fund, a sinking fund called a lift replacement fund, each for residential property and for commercial property in the housing estates of the Board within the Town —

to meet the cost of —

any capital expenditure (including works, plant, equipment, appliances and insurance premiums) related to the replacement of lifts in those residential property or commercial property; or

lift upgrading works under Part IVA in those residential property or commercial property; and

to pay any principal or interest on moneys borrowed or raised by the Town Council for any capital expenditure mentioned in paragraph (a).(4B) From 1 April 2017, every Town Council must pay into the lift replacement fund an amount out of moneys in the Town Council’s sinking funds established under subsection (4), being not less than an amount prescribed.”;

by inserting, immediately after the words “the sinking funds” in subsection (5), the words “and the lift replacement funds established under subsections (4) and (4A), respectively,”;

by deleting the words “, lightning protection system and lifts” in subsection (6)(a)(ii) and substituting the words “and lightning protection system”;

by deleting the words “lift upgrading works under Part IVA and” in subsection (6)(a)(iii);

by deleting the word “or” at the end of subsection (6)(a)(iv) and (b)(i);

by inserting, immediately after sub‑paragraph (v) of subsection (6)(a), the following sub-paragraph:“(vi)paying at the end of a financial year surpluses to any lift replacement fund as authorised by subsection (9) or by the Financial Rules;”;

by inserting, immediately after paragraph (a) of subsection (6), the following paragraph:“(aa)from a lift replacement fund except for the purposes specified in subsection (4A)(a) and (b); or”;

by deleting the full-stop at the end of sub‑paragraph (ii) of subsection (6)(b) and substituting the word “; or”, and by inserting immediately thereafter the following sub‑paragraph:“(iii)paying at the end of a financial year surpluses to any sinking fund or lift replacement fund as authorised by subsection (9) or by the Financial Rules.”;

by deleting the words “subsection (6)(a) or (b)” in subsection (6A) and substituting the words “subsection (6)(a), (aa) or (b)”;

by deleting subsections (6B) and (7) and substituting the following subsection:“(7) Despite anything in this section, a Town Council may, with the approval or on the direction of the Minister, disburse moneys from an operating fund of the Town Council —

to erect, install or plant (including landscaping) any facility;

to demolish and relocate any facility; or

to repair and maintain any facility erected, installed or planted,within the Town but outside of the common property of the residential and commercial property in the housing estates of the Board within the Town, provided that the owner of the property on which the facility is erected, installed or planted consents.”;

by deleting subsection (9) and substituting the following subsection:“(9) If at the end of a financial year of a Town Council, there is a surplus in an operating fund of the Town Council, or a surplus in a sinking fund of the Town Council established under subsection (4), the Town Council may do the following, whichever is applicable:

transfer the whole or part of the surplus in the operating fund to a sinking fund established under subsection (4) or (4A);

transfer the whole or part of the surplus in a sinking fund established under subsection (4) to a lift replacement fund established under subsection (4A) to make good any deficit in the lift replacement fund.”;

by deleting the words “section 3(2)” in subsection (11) and substituting the words “section 3(1)”; and

by deleting the full‑stop at the end of the definition of “designated land” in subsection (12) and substituting a semi‑colon, and by inserting immediately thereafter the following definition:“ “operating fund”, for a Town Council, means a fund that is established as part of the Town Council Fund of the Town Council but is not a sinking fund established by the Town Council under subsection (4) or (4A).”.