Regulation 26 Requirements which may be attached to payment of capital or special purpose grants

(1)

The requirements set out in paragraph 1 (conduct of the school) of Schedule 2 and paragraph (2) below are specified as requirements which may be imposed by the funding authority on governing bodies to whom payments of capital or special purpose grants are or have been made.

(2)

The requirements referred to in paragraph (1) are –

(a)

a requirement that any such payment shall be applied for the purpose of defraying expenditure in respect of which it was made and for no other purpose; and

(b)

a requirement that such a payment shall be so applied before a date specified by the funding authority.

(3)

The funding authority may determine for the purpose of the application of section 247(1) and (2) of the 1996 Act to such governing bodies as are referred to in paragraph (1) –

(a)

any requirement referred to in paragraphs 2 to 4 (requirements as to accounts and financial affairs) of Schedule 2;

(b)

any requirements formulated for the purpose of assisting the funding authority to be satisfied that a requirement imposed in accordance with paragraph (2) is being, or has been, complied with including, in particular, requirements as to the furnishing by the governing body of audited statements relating to expenditure in respect of which the grant has been paid together with such accounts, receipts, invoices and other information as the funding authority may require in order to verify the same; and

(c)

any requirement as to the repayment, in whole or in part, of payments made to the governing body in respect of such grant if any other requirement imposed by the funding authority in accordance with this regulation subject to which the payments were made is not complied with.

(4)

The funding authority may determine for the purposes of the application of that section to such governing bodies as are referred to in paragraph (1), requirements as to the payment to the funding authority, if any conditions specified in the requirements are satisfied, of the whole or any part of the amount referred to in section 247(7) of the 1996 Act (subject always, where any payment is made in respect of capital grants, to the provisions of section 247(8) of that Act).