Part 5: Community Land Auction Pilots CLA Receipts Section 144: Duty to pass CLA receipts to other persons Effect
Subsection (1) allows CLA regulations to establish a duty – applicable to CLA receipts received in respect of development in an area – to pass such receipts (whether in part or whole) to another person.
	Subsection (2) sets out that CLA regulations which establish such a duty under subsection (1) must contain provision securing that CLA receipts passed to another person under this duty are used to fund the matters set out in this subsection.
	Subsection (3) allows CLA regulations to set out circumstances in which a specified amount of CLA receipts passed in this way may be used for purposes not specified in subsection (2).
	Subsections (4), (5), (6), (7) and (8) set out the framework for this process, providing for CLA regulations to set out the details including: the area in which it will apply; the bodies it will apply to; the amount and timings of payments; monitoring, accounting, and reporting responsibilities of LPAs, and when funding is to be returned to the LPA.
	Subsection (9) makes clear that this section does not limit section 143(11)(f) which provides that regulations may permit an LPA to pass money to another body.
Example (1): Duty to pass CLA receipts to other persons
Subsection (1) can be used to make regulations to require local planning authorities to pass on a proportion of CLA receipts to other persons (for example a parish council). Where subsection (1) applies, subsection (2) requires that CLA regulations must require receipts which have been passed to another person under that duty to be used to support the development of the area to which the duty relates by funding infrastructure or anything else concerned with addressing the demands that development places on an area or fund the operation of CLA arrangements in the LPA’s area.
This broadly replicates the powers that exist in section 216A of the Planning Act 2008 to enable the neighbourhood share for the Community Infrastructure Levy. This is currently used to require authorities to pass on a portion of CIL receipts to the parish or town council in parished areas.
Regulations made under subsection (2)(b) will enable CLA receipts passed to other persons to be used to fund the operation of community land auction arrangements. Consequently, the persons to whom the duty in subsection (1) relates (e.g. a parish council) will be able to use CLA receipts to, for example, purchase CLA options over land in the LPA area.
	Section 145: Use of CLA receipts in an area to which section 144(1) duty does not relate