This section applies if a relevant authority and a water undertaker fail to agree—
the terms of arrangements requested by the relevant authority pursuant to subsection (1) of section 87 above; or
a variation in the terms of those arrangements following a request by the relevant authority pursuant to subsection (6)(c) of that section.
In relation to areas in England (except where subsection (4) below applies)—
the relevant authority may refer the matter to the Secretary of State for determination;
the Secretary of State may—
determine the terms of the arrangements as the Secretary of State sees fit; or
refer the matter for determination by such other person as the Secretary of State considers appropriate; and", and
following such a reference, the Secretary of State may—
determine the terms of the arrangements as he sees fit; or
refer the matter for determination by such other person as he considers appropriate; and
the determination of the Secretary of State or, as the case may be, the other person shall be final.
In relation to areas in Wales (except where subsection (4) below applies)—
the Assembly may—
determine the terms of the arrangements itself as it sees fit; or
refer the matter for determination by such other person as it considers appropriate; and
the determination of the Assembly or, as the case may be, the other person shall be final.
Where the Assembly is one of the relevant authorities which has made a combined reference under section 87(8)(b) or (10) Where a combined reference is made under section 87(7C)(b) or 87(7F) above—
the terms of the arrangements shall be determined by a person appointed by the Secretary of State and the Assembly acting jointly; and
the determination of that person shall be final.
Following determination under this section of the terms to be included in any arrangements—
the relevant authority shall give notice of the determination to the water undertaker in question; and
the undertaker shall be deemed to have entered into the arrangements under section 87(1) above on the terms determined under this section with effect from the day after the date of the notice.
References in this Chapter to arrangements entered into under section 87(1) above shall include arrangements deemed to have been entered into under that section by virtue of subsection (5)(b) above.