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1 Civil aviation Bill 1 (1978)

handle is hein.pio/hlbamaawhm0001 and id is 1 raw text is: 


               Civil Aviation Bill








   EXPLANATORY AND FINANCIAL MEMORANDUM

   Clauses 1 to 4 of the Bill provide for an Aviation Security
Fund  from which payments  may be made  in respect of expenses
incurred for the purpose of protecting aircraft, aerodromes or
air navigation installations against acts of violence or in connec-
tion with the policing of airports. The Protection of Aircraft
Act  1973 enables reimbursement  of aviation security expendi-
ture to be made  to airlines, airport authorities and authorities
responsible for  air navigation  installations in the United
Kingdom   out of monies voted by Parliament; and the Policing
of Airports Act 1974 enables reimbursement out of such monies
to  airport authorities of the costs attributable to aviation
security measures  under  the Act.  Clause  1 establishes the
Aviation Security Fund  and provides that payments under  the
1973  and  1974  Acts shall normally be  defrayed out  of the
Fund.  Clause 2 sets out the bases for regulations requiring con-
tributions to be made  by aerodrome  authorities to the Fund.
Clause 3 deals with the Secretary of State's borrowing powers in
respect of the Fund. Clause 4 enables the Fund to be wound up.
   Clause 5 provides for an increase in the borrowing powers of
the Civil Aviation Authority  and the British Airways  Board.
The  Civil Aviation Act  1971 imposes  a limit of £75 million
on  the aggregate of the CAA's initial debt and borrowings and
this limit would be raised to £125 million. There is also pro-
vision for the CAA   to borrow  in excess of that amount  for
the purpose of paying  off a loan or the initial debt; the BAB
already has this power. The  clause provides for the limit upon
borrowings  by the BAB   to be increased by affirmative resolu-
tion from  £700 million to a maximum   of £850  million. The
clause also amends section 8(1) of the Act of 1971 to allow the
CAA   to borrow temporarily from the Secretary of State as well
as from  others with his consent or authorisation, given with the
approval of the Treasury.
   Clause 6 requires the CAA  to act on lines approved by the
 Secretary of State in carrying out proposals involving the hiring,
 as an alternative to purchase, of equipment which, if purchased
 outright would involve substantial capital outlay. The CAA
 is already required to act in this way  in respect of capital
 purchases.


(91)


47/4


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