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Orissa act 011 of 1994 : Orissa Municipal (Amendment) Act, 1950

Preamble

*Orissa Municipal (Amendment) Act, 1950**

[Orissa Act No. 11 of 1994][23rd May, 1994]

An Act further to Amend the Orissa Municipal Act, 1950.

Be it enacted by the Legislature of the State of Orissa in the Forty-fifth Year of the Republic of India as follows:-

* For the Bill see Orissa Gazette, Extraordinary, dated the 30th March, 1994 (No. 376).

** [Received the assent of the Governor on the 23rd May, 1994, first published in an extraordinary issue of the Orissa Gazette, dated the 25th May, 1994]

Section 1. Short title and commencement

1. Short title and commencement.- (1) This Act may be called the Orissa Municipal (Amendment) Act, 1994.

(2) It shall come into force on such date, not being later than the 31st May, 1994, as the State Government may, by notification, appoint.

Section 2. Amendment of section 1

2. Amendment of section 1.- In section I of the Orissa Municipal Act, 1950 (Orissa Act 23 of 1950), (hereinafter referred to as the principal Act),-

(a) in the marginal heading, for the words "and commencement", the coma and words, "commencement and application" shall be substituted; and

(b) after sub-section (5), the following sub-section shall be inserted, namely:-

"(6) Nothing in this Act shall apply to the Scheduled Areas referred to in clause (1) of article 244 of the Constitution".

Section 3. Amendment of section 3

3. Amendment of section 3.- In section 3 of the principal Act,-

(a) in clause (6), for the words and figure "Indian Companies Act, 1913" and the marginal reference "VII of 1913", the words and figure "the Companies Act, 1956" and the marginal reference "1 of 1956" shall respectively to substituted;

(b) after clause (8), the following clause shall be inserted, namely:-

"(8-a) "Election Commission" means the State Election Commission consisting of a State Election Commissioner appointed by the Governor under article 243-K of the Constitution";

(c) after clause (9), the following clause shall be inserted, namely:-

(9-a) "Finance Commission" means the Finance Commission constituted by the Governor under Article 243-I of the Constitution;’

(d) after clause (17), the following clauses shall be inserted, namely:-

‘(17-a) "Municipal Area" means the territorial area of the Municipality;’

‘(17-b) "Municipality" means a Notified Area Council or a Municipal Council or a Municipal Corporation’;

(e) after clause (21), the following clause shall be inserted, namely:-

‘(21-a) "Panchayat" mean a Grama Panchayat as defined in the Orissa Grama Panohayats Act, 1964 (Orissa Act 1 of 1965), or a Panchayat Samiti as defined in the Orissa Panchayat Samiti Act, 1959 (Orissa Act 7 of 1960) or a Zilla Parishad as defined in the Orissa Zilla Parishad Act, 1991 (Orissa Act 17 of 1991)’; and

(f) attar clause (23), the following clause shall be inserted, namely:-

‘(23-a) "population" means the population as ascertained at the last preceding cencus of which the relevant figures have been published’;

Section 4. Amendment of section 4, 5 and 6

4. Amendment of section 4, 5 and 6.- in the principal Act, for section 4 (Including its marginal heading), 5 and 6 the following sections shall respectively be substituted, namely:-

4. "Constitution of Municipalities".- (1) There shall be constituted by the State Government-

(a) a Notified Area Council for every transitional area;

(b) a Municipal Council for every smaller urban area; and

(c) a Municipal Corporation for every larger urban area, in accordance with the provisions of this Act:

Provided that no such Council or Corporation shall be constituted in any urban area or part thereof which the Governor may, having regard to the size of the area and the municipal services being provided or proposed to be provided by an industrial establishment in that area and such other factors as he may deem fit, by notification specify to be an industrial, township.

(2) In this section, "a transitional area", "a smaller urban area" or "a larger urban area" means such area as the Governor may, having regard to the population of the area, the density of the population therein, the revenue, generated for local administration, the percentage of employment in non-agricultural activities, the economic importance or such other factors as he may deem fit, specify by notification under clause (2) of article 243(Q) of the Constitution.

Explanation-For the purposes of this section,-

(a) Save as may otherwise be deemed fit by the Governor, a population of no less that ten thousand, twenty-five thousand and three lakhs, respectively may, be taken as sufficient population for the purpose of specifying respectively "a transitional area", "a smaller urban area" and "a larger ??? an area";

(b) the factors relating to density of population, percentage of employment in non-agricultural activities, generation of revenue for local administration economic importance and such other factors for the purpose of Specifying "a transitional area", "a smaller urban area" and "a larger urban area" shall be such as the Governor may, from time to time, determine.

(3) Notwithstanding anything contained in this section,-

(a) the territorial area of, every Notified Area Council and that of ovary Municipal Council constituted prior to, and existing at, the commencement of the Orissa Municipal (Amendment) Act, 1994 shall respectively be deemed to be a transitional area and a smaller urban area within the meaning of sub-section (2) of section 4; and

(b) every Notified Area Council (including its Chairman and Vice-Chairman) and every Municipal Council (including its Chairman, Vice-Chairman and Additional Vice-Chairman), continuing in office at the commencement of the Orissa Municipal (Amendment) Act, 1994 shall continue till the expiration of the term as provided in sub-section (1) of section 41 as it stood perior to such commencement, unless sooner dissolved by a resolution passed to that effect by the Legislative Assembly.

(4) When any transitional area or smaller urban area within the meaning of sub-section (2), is subsequently specified to be,-

(a) smaller urban area in the case of a transitional area; or

(b) a larger urban area in the case of a smaller urban area, then, not withstanding anything contained in this Act:-

(i) the Notified Area Council for the existing transitional area shall be deemed to be the Municipal Council for the samaller urban area so subsequently specified;

(ii) the Municipal Council for the existing smaller urban area shall be deemed to be the Municipal Corporation for the larger urban area so subsequently specified;

(iii) the Chairperson, Vice-Chairperson and other members of the existing Notified Area Council or Municipal Council shall be deemed to be Chairperson, Vico-Chairperson and other members of the deemed Municipal Council or, as the case may be, of the deemed Municipal Corporation;

(iv) all the assets and liabilities of the existing Notified Area Council shall devolve upon the deemed Municipal Council or, as the case may be, that of the existing Municipal Council shall devolve upon the deemed Municipal Corporation;

(v) the provisions of this Act and of the rules, bye-laws, notifications or orders made thereunder which were in force throughout such transitional area or, as the case may be, the Municipal area shall apply to the territorial of finch deemed Municipal Council or as the case may be, deemed Municipal Corporation.

(vi) the proceedings commenced, if any, for reconstitution of the existing Notified Area Council or, as the case may be, existing Municipal Council shall continue as if such proceedings were commenced in relation to the deemed Municipal Council or, as the case may be, deemed Municipal Corporation.

5. When any local area is included in a Municipal area by a notification referred to in sub-section (2) of section 4, all the provisions of this Act and of the rules bye-laws, notifications or orders made thereunder which, immediately before such inclusion, were in force throughout such Municipal area shall be deemed to apply to such local area, unless it is otherwise directed in and by the said notifications.

6. When any Municipal area is divided into two or more such areas by a notification referred to in sub-section (2) of section 4 then, notwithstanding anything contained in this Act, all the provisions of this Act and of the rules, bye-laws, notification or orders made there under which, immediately before such division, were in force in any part of the original Municipal area shall be deemed to be in force in the same part of the Municipal areas formed by such division, unless it is otherwise directed in and by the said notification"

Section 5. Amendment of section 7

5. Amendment of section 7.- In the principal Act, in sub-section (1) of section 7, for the words "State Government" and "State Government's" wherever they occur, the words "Governor" and "Governor's" shall respectively be substituted.

Section 6. Amendment of section 8

6. Amendment of section 8.- In the principal Act, for section 8 including its marginal heading, the following section shall be substituted, namely:-

"8. Composition of Municipalities.- Every Municipality shall be composed of the following Councillors, namely:-

(a) one Councillor elected directly from every ward within the Municipal area;

(b) a person having special knowledge or experience in municipal administration as may be nominated by the State Government:

Provided that the Councillor, so nominated shall not have the right to vote at any meeting of the, Municipality but shall have the right to attend every meeting thereof except the meetings convened under sections 47, 49 and 54."

Section 7. Amendment of section 9

7. Amendment of section 9.- In the principal Act, in section 9, for the words "The Municipal Council", the words "Every Municipality" shall be substituted.

Section 8. Amendment of section 10

8. Amendment of section 10.- In the principal Act, for section 10 including its marginal heading, the following section shall be substituted, namely:-

"10. Manner or election of Councillors.- (1) The election of Councillors specified in clause (a) of section 8 shall be held in the prescribed manner:

Provided that where such election is contested on political party basis, the candidates contesting such election shall use their respective party symbols.

Explanation:-For the purposes of this section,-

(a) "candidates" means candidates duly sponsored by respective political parties;

(b) "party symbol" means the symbol allotted to a particular political party under the Elections Symbols (Reservation and Allotment) Order, 1968; and

(c) "political party" means a ‘National Party’ or, as the case may be, a ‘State Party’ within the meaning of paragraph 7 of the order referred to in clause (b).

(2) the names of the elected Councillors shall be published by the Election Commission in the Gazette".

Section 9. Amendment of section 11

9. Amendment of section 11.- In the principal Act, for section 11 including its marginal heading the following section shall be substituted, namely:-

"11. Reservation of seats for Scheduled Castes, Scheduled Tribes, Women and backward dais of citxcns.- (1) There shall be reserved, by the State Government, seats in every Municipality Tor the Scheduled Castes and the Scheduled Tribes and the number of seats so reserved shall bear, be nearly as may be, the same proportion to the total number of seats to be filled by direct ejection in that Municipality as the population of the Scheduled Castes in the concerned Municipal area or of the Scheduled Tribes in that area bears to be total population of that area sad such seat's shall be allotted by rotation to different wards in a Municipal area:

Provided that where the population of the Scheduled Castes or, as the case may be, the Scheduled Tribes in a Municipal area is not sufficient for reservation of any seat, one seat for the Scheduled Castes or, as the case may be, one seat for the Scheduled Tribes shall be reserved in that Municipal area.

(2) As nearly as may be, but not less than, one-third of the total number of seats reserved under sub-section (1) shall be reserved for women belonging to the Scheduled Castes or, as the case may be, the Scheduled Tribes;

Provided that where only two scats are reserved for the Scheduled Caste or, as the case may be, the Scheduled Tribes, one of the, two seats shall be reserved for women belonging to the Scheduled Castes or, as the case may be, the Scheduled Tribes.

(3) Seat shall also be reserved in every Municipality for the backward class of citizens as referred to in clause (6) of article 243-T of the Constitution, and the number of seats so reserved sham bear, as nearly as may be, the same proportion to the total number of seats to be filled by direct election as the population of such citizens in the concerned Municipal area were to the total population of that area and such seats shall be allotted by rotation to different wards in a Municipal area.

(4) As nearly as may be, but not less than, one-third (including the number of seals reserved for women belonging to the Scheduled Castes and the Scheduled Tribes) of the total number of seats to be filled by direct election in every Municipality shall be reserved for women and such scats shall be allotted by rotation to different wards in a Municipal area.

(5) Where a particular ward is reserved for the Scheduled Castes or the Scheduled Tribes or the backward class of citizen, or for women whether or not belonging to the Scheduled Castes or the Scheduled Tribes, and no eligible candidate is available or comes forward to contest the election id relation to that ward, the State Government shall nominate a person who is otherwise eligible to contest such election, as the Councillor for the ward.

(6) The procedure regarding reservation of seats for the purposes of sub-sections (1), (2), (3) and (4) shall be such as may be prescribed.

(7) The reservation of seats under sub-sections (1) and (2) shall cease to have affection the expiration of the period specified in article 334 of the Constitution."

Section 10. Omission of section 11-A

10. Omission of section 11-A.- In the principal Act, section 11-A shall be omitted.

Section 11. Amendment of section 12

11. Amendment of section 12.- In Chapter III of the principal Act, for section 12 including its marginal heading, the following sections shall be substituted, namely:-

"11-A. Superintendence, direction and control of elections to vest in the Election Commission.- The superintendence direction and control of the preparation of Sectoral rolls for, and the conduct of all Elections to Municipalities shall be rested in the Election Commission.

12. General Election of Councillors and formation of wards.- (1) A General election of the Councillors Specified in clause (a) of section shall be completed-

(a) for the purpose of constituting a new Municipality, as soon as may be, but not later than six months, after the publication of the notification referred to in sub-section (2) of section 4;

(b) for the purpose of reconstituting a Municipality, before the expiry of a period of five years from the date appointed for its first meeting referred to in clause (a) of sub-section (2) of section 47:

Provided that for the purpose of reconstituting a municipality continuing in office at the commencement of the Orissa Municipal (Amendment) Act, 1994, before the expiry of the term provided in sub-section (1) of section 41 as it stood before such commencement;

(c) on the dissolution of a Municipality, before the expiration of a period of six months of the date of its dissolution:

Provided that where the remainder of the period for which the dissolved municipality would have continued is less than six months, it shall not be necessary to hold any election under this section for constituting the Municipality for such period.

(2) For the purpose of election under sub-section (1), the State Government shall, by one or more notifications published on such date or dates as may be recommended by the Election Commission, call upon all wards in the Municipal area to elect Councillors in accordance with the provisions of this Act and of the rules and orders made thereunder.

(3) For the purpose of election of Councillors to a Municipality, the State Government may, in the case of a new Municipality, of their own motion and shall, in the case of Municipalities already in existence at the time the notification is made, after consulting the Municipality at a meeting by notification-

(a) divide the Municipal area into wards;

(b) determine, subject to other provisions of this Act, the words, in which the seats reserved under section 11 shall be se assigned:

Provided that-

(i) in dividing a Municipality into wards, equitable distribution of population among the various wards and the compactness of area forming each ward shall be taken into consideration; and

(ii) the number of wards in any Municipal area shall not be less than eleven and more than forty.

(4) All the electors of a ward shall, irrespective of their community, be entitled to vote at an election in respect of that ward.

(5) When a new ward is formed or when an existing ward is abolished, the State Government shall, after consulting the Municipality concerned, determine.

(a) The ward in which each Councillor in the Municipality shall be deemed to represent; and

(b) the ward or wards in which election shall be held to fill up the vacancies, if any, in the Municipalities."

Section 12. Amendment of section 14

12. Amendment of section 14.- In the principal Act, in section 14, sub-section (1) shall be omitted.

Section 13. Amendment of section 16

13. Amendment of section 16.- In the principal Act, in section 16,-

(i) in sub-section (1),-

(a) in the opening portion, the words "the, Chairman or" shall be omitted;

(b) clause (ii), for the words "twenty-five years." the words "twenty-one years" shall be substituted;

(c) in clause (xiii) for the words and full stop "in that behalf," occurring at the end, the words and semicolon "in that behalf; or" shall be substituted; and

(d) after clause (xiii), the following clauses shall be inserted, namely:-

"(xiv) is disqualified by or under any law for the time being in force for the purpose of elections to the Legislature of the State; or

(xv) is disqualified by or under any law made by the Legislature of the State; or

(xvi) has more than one spouse living; or

(xvii) has more than two children:

Provided that the disqualifications under clause (xvii) shall not apply to a person who has more than two children on the date of commencement of the Orissa Municipal (Amendment) Act, 1994, or, as the case may be, within a period of one year of such commencement, unless be begets an additional child after the said period of one year."; and

(ii) in sub-section (2),-

(a) the words "a Chairman or" wherever they occur shall be omitted; and

(b) for the words and commas "Chairmanship or Councilorship, as the case may be", the word "Councilorship" shall be substituted.

Section 14. Amendment of section 17

14. Amendment of section 17.- In the principal Act, in section 17,-

(i) in the marginal heading, the words" Chairman and" shall be omitted;

(ii) in the opening portion, the words "a Chairman or" shall be omitted; and

(iii) after clause (j), the following clause shall be inserted, namely:-

"(k) incurs any of the disqualifications specified in clauses (xiv) to (xvii) of sub-section (1) of section 16.".

Section 15. Amendment of section 18

15. Amendment of section 18.- In the principal Act, in section 18, the words "as a Chairman or", wherever they occur, shall be omitted.

Section 16. Amendment of section 27

16. Amendment of section 27.- In the principal Act, in section 27, the words "a Chairman or" shall be omitted.

Section 17. Amendment of section 29

17. Amendment of section 29.- In the principal Act, in section 29, the words "the Chairman or" shall be omitted.

Section 18. Amendment of section 37, 38 and 38-A

18. Amendment of section 37, 38 and 38-A.- In the principal Act, in sections 37, 38 and 38-A, the word "Chairman or", wherever they occur, shall be omitted.

Section 19. Amendment of section 39

19. Amendment of section 39.- In the principal Act, in section 39, for the words "and of the Chairman, Vice-Chairman and Additional Vice Chairman", the words "of every Municipality including its Chairperson and Vice-Chairperson" shall be substituted.

Section 20. Amendment of section 40

20. Amendment of section 40.- In the principal Act, in the provisos to section 40, for the comma and words, "the Vice-chairman and Additional Vice-Chairman" wherever they occur, the Words "and Vice-Chairperson" shall be substituted.

Section 21. Amendment of section 41

21. Amendment of section 41.- In the principal Act, in section, 41,-

(a) In the marginal heading, the words "Chairman and" shall be omitted;

(b) for sub-sections (1) to (6), the following sub-sections shah be substituted namely:-

"(1) Save as otherwise provided in this Act,-

(i) a Councillor whether elected at a general election, or nominated, to a Municipality shall hold office for five years from the date appointed for the first meeting of the Municipality as referred to in clause (a) of sub-section (2) of section 47;

(ii) a Councillor elected at a bye-election or elected or nominated against a casual vacancy in a Municipality shall hold office for the unexpired period of the term of office of the Councillor in whose place he has been so elected or, as the case may be, nominated.

(2) An outgoing Councillor, if otherwise qualified, shall be eligible for re-election.

(3) Whenever the number of Councillors of an existing Municipality is increased as a result of increase in the number of wards thereof, the Additional Councillor or Councillors elected for the purpose shall, save as otherwise provided, continue till the expiry of the term of office of the other Councillors of the Municipality as provided in sub-section (1)."

Section 22. Amendment of section 42

22. Amendment of section 42.- In the principal Act in section 42,-

(a) in sub-section (1), for the words "held under", the words "referred to in" shall be substituted;

(b) in sub-section (2) for the word "appoint", the word "nominate" shall be substituted; and

(c) in sub-section (3), for the word "appointed" occurring for the first time, the word "nominated" shall be substituted and the words "or appointed" occurring for the second time shall be omitted.

Section 23. Amendment of section 43

23. Amendment of section 43.- In the principal Act, for section 43, the following section shall be substituted, namely:-

"43. (1) A Councillor not being the Chairperson or Vice-Chairperson, may resign his office by writing under his hand addressed,-

(a) if he is an elected Councillor, to the Chairperson who shall place, the letter of resignation before the municipality at its next meeting of which notice shall be given to the Councillor; and

(b) if he is a nominated Councillor, to the State Government.

(2) On the resignation being accepted-

(a) by the Municipality, in the case of an elected Councillor; and.

(b) by the State Government, in the case of a nominated Councillor the Councillor shall cease to hold office with effect from the succeeding date of such acceptance:

Provided that the Councillor may, at any time before the acceptance of the resignation, withdraw the same by writing under his hand.".

Section 24. I section of new section 44

24. I section of new section 44.- In the principal Act, after section 43, the following section shall be inserted, namely:-

"44. Vacation of office by Councillor.- A Councillor of a Municipality shall be deemed to have vacated his office on the expiry of his term of office as, or on his otherwise ceasing to be a Councillor of that Municipality or on being elected or nominated as a Councillor of any other Municipality,".

Section 25. Amendment of section 45

25. Amendment of section 45.- In the principal Act, in section 45,-

(a) after the, word "Councillor" occurring for the first time, the commas and words "elected or nominated." shall be inserted; and

(b) for the words "the election," the words and commas "election or nomination, as the case may be," shall be substituted.

Section 26. Amendment of section 46

26. Amendment of section 46.- In the principal Act, sub-section (2) of section 46 shall be omitted.

Section 27. Amendment of section 47 and 47-A

27. Amendment of section 47 and 47-A.- In the principal Act, for section 47 and 47-A the following section shall be substituted, namely,-

"47. Election of Chairperson and Vice-Chairperson.- (1) Every Municipality shall have a Chairperson and a Vice-Chairperson.

(2) The Councillors of the Municipality specified in clause (a) of section 8 shall,-

(a) at the first meeting of the Municipality, which shall be convened soon after the publication of their names under sub-section (2) of section 10, elect in the prescribed manner a Chairperson from among them;

(b) at a subsequent meeting, which shall be specially convened, for the purpose at the instance of the Chairperson so elected as soon as may be, but not later than thirty days, after the date of Action of the Chairperson, elect a Vice-Chairperson of the Municipality from among them;

Provided that where the office of the Chairperson of a Municipality is not reserved under sub-section (3) for women or where the Chairperson elected under this Act is not a woman, the office of the Vice-Chairperson of the Municipality shall be reserved for women.

(3) Notwithstanding anything to the contrary in sub-section (i),-

(a) offices of Chairperson in the Municipalities shall be reserved for the Scheduled Castes and the Scheduled tribes and the number of offices so reserved for the Scheduled Castes and the Scheduled Tribes shall bear, as nearly as may be, the same proportion to the total number of such officer as the population of the Scheduled Castes and the Scheduled Tribes respectively in the State bears to the total population of the State;

(b) as pearly as may, be, one-third of the total number of seats received under clause (a) shall be reserved for women belonging to the Scheduled Castes or, as the case may be, the Scheduled Tribes; and

(c) as nearly as may be one-third (including the number of offices reserved for women belonging to the Scheduled Castes ami the Scheduled Tribes) of the total number of offices of Chairperson in the Municipalities shall be reserved for women; and

(d) offices of Chairperson of Municipalities shall also be reserved for the backward class of citizens as reserved to in clause (6) of article 2437 of the Constitution, and the number of offices so reserved shall bear as nearly as may be the same proportion to the total number of such offices as the population of such citizens in the State bears to the total population of the state.

(4) Reservation of offices of Chairperson under sub-section (3) shall be made by the State Government by rotation among different Municipalities in the prescribed manner and shall be published in the Gazette.

(5) The reservation of offices of Chairpersons (other than the reservation for women and backward, class, of citizens) under sub-section (3) shall cease to have effect on the expiration of the period specified in article 334 of sale Constitution.

(6) If at an election under sub-section (1),-

(a) no Chairpersons is elected, a fresh ??? shall be held within thirty days from the date of the first election; or

(b) no Vice-Chairperson is elected, a fresh election shall be held within thirty days from the date of the first election.

(7) If at the subsequent election held under sub-section (6), no Chairperson, or as the case may be, Vice-Chairperson is elected, the State Governor may fill up the office of the Chairperson or the Vice-Chairperson, as the case may be, by nomination of a suitable person until such time as a Chairperson or Vice-Chairperson, as the case may be, is elected by the elected Councillors from among them".

Section 28. Amendment of section 48

28. Amendment of section 48.- In the principal Act, for section 48, the following section shall be substituted, namely:-

"48. The Chairperson or the Vice-Chairperson of a Municipality shall be deemed to have vacated his office-

(a) 60 the expiry of his term of office as, or on this otherwise ceasing to be, a Councillor of that Municipality; or

(b) on his election or nomination as a Councillor of any other Municipality."

Section 29. Amendment of section 49

29. Amendment of section 49.- In the principal Act, in section 49;-

(a) for the comma and words "Vice-Chairman or Additional, Vice-Chairman" occurring in the opening, the words "or Vice-Chairperson of a Municipality" shall be substituted;

(b) the first proviso shall be Omitted; and

(c) in the second proviso, that Words "farther" shall be omitted and for the words "Additional Vice-Chairman of the Council", the word "Chairperson" shall be substituted.

Section 30. Amendment of section 49-A

30. Amendment of section 49-A.- In the principal Act, in section 49-A, for the words "of polling at the general election" the words, brackets and figures "appointed for its first meeting referred to in clause (a) of sub-section (2) of section 47" shall be substituted.

Section 31. Amendment of section 52

31. Amendment of section 52.- In the principal Act, for section 52, the following section shall be substituted namely:-

"52. (1) A nominated Chairperson or Vice-Chairperson of a Municipality may resign his office by writing under this hand addressed to the State Government and, on such resignation being accepted, shall be deemed to have vacated his office.

(2) An elected Chairperson may resign his office by writing under his hand addressed to the Municipality.

(3) An elected Vice-Chairperson may resign his office by writing under his hand addressed to the Chairperson of the Municipality who shall forthwith lay the letter of ??? before the Municipality.

(4) On a resignation under sub-section (2) or (3) being accepted by the Municipality, the Chairperson or, as the case may be, the Vice-Chairperson shall be deemed to have Vacated his office.

(5) A resignation tendered under this section may, at any time before its acceptance, be withdrawn by the person tendering the same by writing."

Section 32. Amendment of section 54

32. Amendment of section 54.- In the principal Act, in section 34, in the proviso to sub-section (1),-

(a) after the word "Chairman" occurring for the first tithe, the words "or the Vice-Chairperson" shall be inserted; and

(b) after the word "Chairman" occurring for the second time, the words "or, as the case may be Vice-Chairperson" shall be inserted.

Section 33. Amendment of section 57

33. Amendment of section 57.- In the principal Act, in clause (a) of section 57, the words and comma "Additional Vice-Chairman," shall be omitted.

Section 34. Amendment of section 57-A

34. Amendment of section 57-A.- In the principal Act, section 57-A shall be omitted.

Section 35. Amendment of section 59

35. Amendment of section 59.- In the principal Act) in the second proviso to sub-section (1) of section 59, the words "or the Additional Vice-Chairman" shall be omitted.

Section 36. Insertion of new Chapter V-A

36. Insertion of new Chapter V-A.- In the principal Act, after Chapter V, the following Chapter shall be inserted, namely:-

"CHAPTER-V-A

WARDS COMMITTEE

57-A. Constitution of wards committee.- (1) In every Municipal area having a population of three lakes or more there shall be constituted by the Municipality a Wards Committee for each ward.

(2) The Wards Committee shall be composed of the following members, lamely:-

(a) the Councillor representing the ward who shall be the President thereof;

(b) an elector of the Ward to be nominated by the Chairperson of the Municipality; and

(c) the Executive Officer or any other official of Municipality as may be aurhorised by the Executive Officer.

57-B. Powers of Municipality to give direction.- (1) It shall be the responsibility of the Wards Committee to take all possible measures, subject to the provisions of this Act and overall control of the Municipality or public health, sanitation, street lighting and conservancy in the Ward, for protection of the environment and promotion of ecological, aspects of the ward and or such other matters as may be entrusted by the Municipality.

(2) The Wards Committee shall have powers to recommend to the Municipality the measures heeded for the purposes mentioned in sub-section (1)."

Section 37. Insertion of new Chapter V-A

37. Insertion of new Chapter V-A.- After Chapter VI of the principal Act, the following Chapter shall be inserted namely:-

"CHAPTER VI-A

DISTRICT PLANNING COMMITTEE

62-A. Committee for district.- (1) There shall be constituted at the level of every district a District Planning Committee to consolidate the plans prepared by the Panchayats and the Municipalities in the district and to prepare a draft development plan for the district as a whole.

(2) A District Planning Committee shall consist of twenty members as follows:-

(a) sixteen members to be elected in the prescribed manner by, and from amongst, the elected members of the Zilla Parishad and the elected Councillors of the Municipalities in the district in proportion to the ratio between the population of the rural areas and of the urban areas in the district; and

(b) four members to be dominated by the State Government as follows:-

(i) a Minister in the Council of Ministers of the State, who shall be the Chairperson;

(ii) the Collector of the district, who shall be the Vice-Chairperson;

(iii) the Chairperson of the Zilla Parishad in the district; and

(iv) the Chairperson of a Municipality in the district:

Provided that-

(a) if the Chairperson of the Zilla Parishad in the district is elected as a member of the Committee under clause (a); or

(b) where there is only one Municipality in a district and the Chairperson of such Municipality is elected as a member of the Committee under the said clause,

some other person may be nominated by the State Government.

Explanation-For the purposes of this section,-

(a) "Zilla Parishad" means a Zilla Parishad constituted under the Zilla Parishad Act, 1991 (Orissa Act 37 of 1991);

(b) "rural areas" means the territorial areas of Panchayats; and

(c) "urban areas" means the territorial areas of Municipalities.

(3) Notwithstanding anything contained in this section the State Government may nominate any official or non-official as special invitee to attend the meetings of the district Planning Committee without any right to vote at any such meeting.

(4) The Chief Executive Officer of the Zilla Parishad shall be the Secretary of the District Planning Committee.

(5) The term of office of the members of the district Planning Committee, the conduct of business at the meetings thereof and such other matters including filling up of casual vacancies in the said Committee shall be such as may be prescribed.

(6) No act of a District Planning Committee shall be deemed to be invalid only by reason of the existence of a casual vacancy therein.

62-B. Function of the district Planning Committee.- (1) Every District Planning Committee shall, in preparing the draft development Plan,-

(a) have regard to-

(i) matters of common interest between the Panchayats and the Municipalities including spatial planning, sharing of water and other physical and natural resources, the integrated development of infrastructure and environmental conservation;

(ii) the extent and type of available resources whether financial or otherwise;

(b) consult such institutions and organisations as the Governor may, by order, specify.

(2) The Chairperson of every District Planning Committee shall forward the development Plan, as recommended by such Committee, to the State Government.

(3) Without prejudice to the generality of the foregoing provisions a District Planning Committee shall have such other functions as the State Government may, by notification from time to time, assign."

Section 38. Amendment of section 63

38. Amendment of section 63.- In the principal Act, in section 63, the words "or in their absence, by the Additional Vice-Chairman" shall be omitted.

Section 39. Amendment of section 64

39. Amendment of section 64.- In the principal Act, in section 64,-

(a) in sub-section (1), the words "or in their absence, the Additional Vice-Chairman" shall be omitted; and

(b) in sub-section (2), the words "or the Additional Vice-Chairman" shall be omitted.

Section 40. Amendment of section 65

40. Amendment of section 65.- In the principal Act, in section 65, the commas and words, "the Vice-Chairman or in his absence the Additional Vice-chairman or in the absence of the Chairman, Vice-Chairman and the Additional Vice-Chairman", the words "the Vice-Chairperson or in the absence of both Chairperson and Vice-Chairperson" shall be substituted.

Section 41. Amendment of section 68

41. Amendment of section 68.- In the principal Act, in section 68, the comma and words, "Additional Vice-Chairman" wherever they occur shall be omitted.

Section 42. Amendment of section 70 and 71

42. Amendment of section 70 and 71.- In the Principal Act, in section 70, the words "or Additional Vice-Chairman" and in the proviso to sub-section (3) of section 71, the comma and words, "Additional Vice-Chairman" shall be omitted.

Section 43. Amendment of section 72

43. Amendment of section 72.- In the Principal Act, in clause (e) of section 72, the words "or Additional Vice-Chairman" shall be omitted.

Section 44. Amendment of section 88

44. Amendment of section 88.- In the principal Act, in section 88, the words "or in their absence, of the Additional Vice-Chairman" shall be omitted.

Section 45. Amendment of section 89

45. Amendment of section 89.- In the principal. Act, in section 89,-

(i) in the opening portion, for the words "The Vice-Chairman or, in his absence, the Additional Vice-Chairman" the words "A Vice-Chairperson" shall be substituted; and

(ii) in the provisos, the words "or, as the case may be, the Additional Vice-Chairman" shall be omitted.

Section 46. Amendment of section 90

46. Amendment of section 90.- In the principal Act, in section 90,-

(i) in the opening portion, the words "or the Additional Vice-Chairman or both" shall be omitted; and

(ii) in the second proviso, the words "or the Additional Vice-Chairman" shall be omitted.

Section 47. Amendment of section 91

47. Amendment of section 91.- In the principal Act, for section 91, the following section shall be substituted namely:-

"91. Delegation of Chairperson's functions in favour of individual Councilor.- During the vacancy of the office of Vice-Chairperson or incapacity or temporary absense of Vice-Chairperson, the Chairperson may, by an order in writing, delegate any of his functions to any Councillor of the Municipality till the Vice-Chairperson resumes office or a new Vice-Chairperson is elected, as the case may be:

Provided that-

(a) every order made under this section shall be communicated to the Municipality at the next meeting;

(b) no delegation under this section shall bi made for any period exceeding in the aggregate, ninety day in any year without the special sanction of the Municipality."

Section 48. Amendment of section 93

48. Amendment of section 93.- In the principal Act, in the proviso to section in 93, the words "or the Additional Vice-Chairman" shall be omitted.

Section 49. Amendment of section 103-A

49. Amendment of section 103-A.- In Chapter IX or the principal Act, after section, 103, the following section shall be inserted, namely:-

"103-A. Powers of Municipality to give direction.- Notwithstanding anything contained in this Act, on and after the commencement of the Orissa Municipal (Amendment) Act, 1994,-

(a) the exercise of any power or performance or any function by the Chairperson, Vice-chairperson, the Executive Officer or any other officer under this Act shall be subject to the direction, if any, as may be given by the Municipality in that behalf; and

(b) all orders and decisions of the Chairperson or the Vice-Chairperson of a Municipality under the provisions of this Act shall be carried into effect by the Executive Officer of the Municipality and none else."

Section 50. Amendment of section 117

50. Amendment of section 117.- In the principal Act, in sub-section (1) of section 117, in clause (XXXIX), the words and comma "Additional Vice-Chairman," shall be omitted.

Section 51. Insertion of new section 120-A

51. Insertion of new section 120-A.- In Chapter XI of the principal Act, after section 120, the following section shall be inserted, namely;-

"120-A. Review of finance.- (1) It shall be the duty of the Finance Commission to review the financial position of Municipalities and to make recommendations to the Governor as to-

(a) the principles which would govern-

(i) the distribution between the State and the Municipalities of the net proceeds of the taxes, duties, tolls and fees leviable by the State, which may be divided between them and the allocation between the Municipalities at all levels of their respective shares of such proceeds;

(ii) the determination of the taxes, duties, tolls and fees which may be assigned to, or appropriated by, the Municipalities; and

(iii) the grants-in-aid to the Municipalities from the Consolidated Fund of the State;

(b) the measures needed to improve the financial position of the Municipalities; and

(c) any other matter referred to the Finance Commission by the Governor in the interests of sound finance of the Municipalities.

(2) The Governor shall cause every recommendation made by the Finance Commission under sub-section (1) together with an explanatory memorandum as to the action taken thereon to be laid before the Legislative Assembly."

Section 52. Amendment of section 131

52. Amendment of section 131.- In the principal Act, in section 131, in the proviso to sub-section (1), for the words, brackets and letters "clauses (kk) and (1)", the word, brackets and letters "clause (kk)" shall be substituted.

Section 53. Amendment of section 131-A

53. Amendment of section 131-A.- In the principal Act, in section 131-A,-

(a) in the marginal heading, for the words "or reduce", the comma and words "reduce or increase" shall be substituted; and

(b) after sub-section (4), the following sub-section shall be inserted, namely:-

"(5) Where the State Government are satisfied that the rate at which the imposition of any tax or fee referred to in section 131 is abnormally low they may increase such rate after consulting the concerned Municipality in the matter:

Provided that in no case the rate of any such tax or fee, after such increase, shall exceed the maximum limit provided therefor in this Act."

Section 54. Amendment of section 144

54. Amendment of section 144.- In the principal Act, for the proviso to section 144, the following proviso shall be substituted, namely:-

"Provided that-

(a) where the Municipality fails to determine such percentage on the valuation of holdings at which the tax shall be levied, the maximum percentage on the annual value of holdings as provided under this Act for the imposition of the tax shall be deemed to the percentage determined by the Municipality; and

(b) when this Act is first extended to any place, the first tax may be levied from the beginning of the Quarter next after that in which the percentage, has been fixed by the Municipality."

Section 55. Insertion of new section 274-A

55. Insertion of new section 274-A.- In Chapter XVII of the principal Act, after section 274, the following section shall be inserted, namely:-

"274-A. Levy of development charges.- (1) Subject to the provisions of this Act and the rules made thereunder, Municipality may, with the previous sanction of the State Government, by notification, levy a development charge on lands and buildings within the area under ts jurisdiction at such rate, not exceeding the maximum rates specified in sub-section (3), as it may determine:

Provided that different rates of development charges may be specified for different parts of the relevant area or areas and for different uses.

(2) The development charges on lands and buildings leviable under sub-section (1) shall be assessed with reference to their use for different purposes such as-

(i) Industrial;

(ii) Commercial;

(iii) Residential; and

(iv) Miscellaneous:

Provided that in classifying the lands or buildings under any of the said purposes, the predominant purpose for which such lands and buildings are used shall be the main basis.

(3) The rates of development charges shall be determined-

(a) in the case of development of land, at a rate to be specified per hectare and

(b) in the case of development of a building, at a rate to be specified per square metre of the floor area of the building:

Provided that no such rate shall exceed fifty thousand rupees in the case of development of land, and fifteen rupees per square metre in the case of development of a building:

Provided further that where land appurtenant to a building is used for any purpose independent of the building, development charge may be levied separately for such use also.

(4) The procedure relating to assessment and recovery of development charges under this section shall be such as may he prescribed."

Section 56. Amendment of section 363

56. Amendment of section 363.- In the principal Act, in sub-section (3) of section 363, for the words "by the Additional Vice-Chairman or, as the case may be, by a member of the Finance Committee" the words "by a member of the Finance Committee" shall be substituted.

Section 57. Insertion of new Chapter XXV-A

57. Insertion of new Chapter XXV-A.- After Chapter XXV of the principal Act, the following Chapter shall be inserted, namely:-

"CHAPTER XXV-A

OTHER POWERS OF MUNICIPALITY

374-A. Other powers of Municipality.- Without prejudice to the generality of the powers and functions of Municipality provided in this Act, every Municipality shall, subject to such conditions and limitations as the State Government may, in the public interest, deem-fit to impose, have powers with respect to-

(a) preparation of plans for economic development and social justice; and

(b) the performance of functions and implementation of schemes in relation to

(i) urban planning including town planning,

(ii) planning for economic and social development,

(iii) urban forestry, protection of the environment and promotion of ecological aspects,

(iv) safeguarding the interest of weaker sections of society including handicapped and mentally retarded,

(v) slum improvement and up gradation,

(vi) urban poverty alleviation,

(vii) promotion of cultural, educational and aesthetic aspects,

(viii) vital statistics including registration of birth and death."

Section 58. Amendment of Chapter XXVI

58. Amendment of Chapter XXVI.- In the principal Act, in Chapter XXVI,-

(a) in the heading, the words and comma "ADDITIONAL VICE-CHAIRMAN," shall be omitted, and

(b) the words and comma "Additional Vice-Chairman," wherever they occur, shall be omitted.

Section 59. Amendment of section 384

59. Amendment of section 384.- In the principal Act, in section 384, the words "or Additional Vice-Chairman" wherever they occur, shall be omitted.

Section 60. Amendment of section 387

60. Amendment of section 387.- In the principal Act, in sub-section (2) of section 387,-

(a) in clause (ii), the comma and word, "Additional Vice-Chairman" shall be omitted;

(b) the provisos to clause (ii) shall be omitted; and

(c) in clause (xxv), for the commas and words, "Vice-Chairman and Additional Vice-Chairman" and "Vice-Chairman or Additional Vice-Chairman" the words "and Vice-Chairperson" and "or Vice-Chairperson" shall respectively be substituted.

Section 61. Amendment of section 398

61. Amendment of section 398.- In the principal Act, in sub-section (2) of section 398, the following proviso shall be added, namely:-

"Provided that nothing in this sob-section shall apply to the suspension of my such resolution, order, licence or permission."

Section 62. Amendment of section 400

62. Amendment of section 400.- In the principal Act, in section 400,-

(a) in the marginal heading, for the words "in default of a municipal council, or its Chairman", the words "in certain cases" shall be substituted; and

(b) after sub-section (4), the following sub-section shall be inserted, namely:-

"(5) Without prejudice to the foregoing powers of the State Government it shall he competent for the State Government to direct any Municipality for the execution of any where or the doing of any act within a specified time if, in their opinion, such work or action is necessary in the public interest, and if the Municipality fails to comply with such direction within the specified time the State Government may direct the execution or the doing of such work by any other authority or person, in which case, the expenses therefor shall be realised from the Municipal Fund."

Section 63. Amendment of section 401

63. Amendment of section 401.- In the principal Act, for section 401, including its marginal heading, the Following section shall be substituted, namely:-

401. Dissolution and reconstitution of Municipality.- (1) If in the opinion of the State Government a Municipality is incompetent to perform or persistently makes default in performing the duties imposed on it by law or exceeds or abuses its powers, they may, by notification published in the prescribed manner direct that the Municipality be dissolved.

(2) Before publishing a notification under sub-section (1), the State Government shall communicate to the Municipality the grounds on which they propose to do so, fix a reasonable period for the Municipality to show cause against the proposal and consider the explanations and objections, if any, of the Municipality.

(3) Upon the publication of such notification, all the Councillors including the Chairperson and Vice-Chairperson of the Municipality shall forthwith be deemed to have vacated their office as such and fresh elections shall be held in accordance with the provisions of this Act.

(4) The Councillors including the Chairperson and Vice-Chairperson of the Municipality constituted on such dissolution shall continue only for the remainder of the period for which the Councillors including the Chairperson and Vice-Chairperson of the dissolved Municipality would have continued had there been no such dissolution.

(5) During the interval between the dissolution of a Municipality and the reconstitution thereof, all or any of the powers and duties of the Municipality and its Chairperson may be exercised and discharged, as far as may be, and subject to such extent, as the State Government may determine, by a person to be appointed by the State Government as the Administrator, and the Administrator so appointed may, if the State Government so direct, receive such payment for the services from the Municipal Fund as may be determined by them.".

Section 64. Omission of section 402

64. Omission of section 402.- In the principal Act, section 402 shall be omitted.

Section 65. Amendment of section 403

65. Amendment of section 403.- In the principal Act, in section 403 and its marginal heading, the words and figure "or superseded under section 402", "or supersession" and "or superseded" shall be omitted.

Section 66. Omission of Chapter XXX-A

66. Omission of Chapter XXX-A.- In the principal Act, Chapter XXX-A shall be omitted.

Section 67. Amendment of section 423

67. Amendment of section 423.- In the principal Act, for section 423, the following section shall be substituted, namely:-

"423. (1) Notwithstanding anything contained in this Act, when any area is specified as a transitional area, smaller urban area or larger urban area as referred to in sub-section (2) of section 4, for the first time, until a Municipality is constituted for that area in accordance with the provisions of this Act a person appointed by the State Government as Administrator shall exercise the powers, discharge the duties and perform the functions of Municipality for that area including that of its Chairperson.

(2) The Administrator appointed under sub-section (1) may, if the State Government so direct, receive such payment for his services from the Municipal Fund, that may be constituted for such Municipality, as may be determined by the Government.".

Section 68. General Amendments

68. General Amendments.- In the principal Act, for the expressions-

(a) "municipality" and "municipalities" wherever they occur conveying the meaning of an area or areas, as the case may be, the expressions "Municipal area" and "Municipal areas" shall, respectively be substituted;

(b) "council" and "councils" wherever they occur, the expressions, "Municipality" and "Municipalities" shall respectively be substituted; and

(c) "municipal council" and "municipal councils" wherever they occur, the expressions "Municipality" and "Municipalities" shall respectively he substituted.

(d) "Chairman" and "Vice-Chairman" wherever they occur, the expressions "Chairperson" and "Vice-Chairperson" shall respectively be substituted.