Municipalities that are members of a public establishment for inter-municipal cooperation may at any time transfer, in whole or in part, to the latter, some of their competencies whose transfer is not provided for by law or by the founding decision, as well as the property, equipment or public services necessary for their exercise.
These transfers are decided by concordant deliberations of the deliberating body and the municipal councils deciding under the majority conditions required for the creation of the public establishment of inter-communal cooperation. The municipal council of each member municipality has three months from the date of notification to the mayor of the municipality of the decision of the deliberative body of the public inter-municipal cooperation body to decide on the proposed transfers. If no decision is taken within this period, the decision is deemed to be favourable.
For public establishments of inter-municipal cooperation with additional own taxation, the deliberation of the deliberating body of the public establishment of inter-municipal cooperation referred to in the previous paragraph defines, the cost of the expenditure linked to the transferred competencies as well as the rates representing this cost for the public establishment of inter-municipal cooperation and each of its member municipalities under the conditions provided for in 3 of 3° of B of III of article 85 of law no. 2005-1719 of 30 December 2005 of finance for 2006 (1).
The transfer of powers is pronounced by order of the State representative(s) in the department(s) concerned.
It automatically entails the application of the provisions of the first three paragraphs of article L. 1321-1, the first two paragraphs of article L. 1321-2 and of articles L. 1321-3, L. 1321-4 and L. 1321-5.
However, when the public establishment for inter-communal cooperation is responsible for economic activity zones, the immovable property of the member municipalities may be transferred to it in full ownership, insofar as it is necessary for the exercise of this responsibility. The financial and asset conditions for the transfer of real estate assets are decided by joint decision of the decision-making body and the municipal councils of the member municipalities, in accordance with the qualified majority required for the creation of the establishment, no later than one year after the transfer of powers. In cases where the exercise of the competence is subject to the definition of the community interest, this period runs from the time of its definition. The same applies when the public establishment has jurisdiction over concerted development zones.
The public establishment for inter-communal cooperation is substituted ipso jure, on the date of the transfer of competencies, for the communes that make it up in all their deliberations and all their acts.
Contracts are performed under the previous conditions until they expire, unless the parties agree otherwise. The substitution of a legal entity for contracts concluded by the communes does not entail any right to termination or compensation for the co-contractor. The municipality transferring responsibility shall inform the co-contracting parties of this substitution.
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