(1) As soon as may be, after the date of commencement of this Act, the Government may by notification constitute for any urban area, an authority for the development of such area to be called ".................... Development Authority".
(2) The Authority shall be a body corporate by the name aforesaid having perpetual succussion and common seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property both movable and immovable and to contract and shall by the said name sue or be sued.
(3) The Authority shall consist of the following members, namely :-
(a) the Chairman ;
(b) a town planner who shall be an officer of the Department of Town Planning not below the rank of an Assistant Director of Town Planning;
(c) an engineer who shall be an officer of the Karnataka Engineering Service not below the rank of an Executive Engineer ;
(d) members of the Karnataka Legislative Assembly representing a part or 1 [whole of the urban area and members of the Karnataka Legislative Council who are the permanent residents of the urban area concerned];
(e) a representative of the Karnataka Urban Water Supply and Drainage Board ;
(f) a representative of the Karnataka Electricity Board ;
(g) Commissioner of the Corporation or Municipal Commissioner or Chief Officer of the Municipal Council, Ex-officio ;
(h) Deputy Commissioner of the District, Ex-officio;
(i) an elected member of the local authority concerned;
1 [(j) the Commissioner of Police or the Superintendent of the Police of the District, as the case may be having jurisdiction over the urban area concerned Ex-officio;]
(k) an officer from the Karnataka Health and Family Welfare Department not below the rank of a District Health Officer ;
(l) a person having experience in Architecture ;
(m) four persons including a woman and a person belonging to the Scheduled Castes or Scheduled Tribe ;
(n) the Commissioner, ex-officio ;
Provided that during the period of cessation of the Local Authority or during the period of appointment of an Administrator, the Administrator shall nominate a person from amongst the Local Authorities.
(4) The person referred to in clauses (a) to (d) and clauses (k) to (m) of sub-section (3) shall be appointed by the Government and the persons referred to in clauses (e), (f) and (i) shall be nominated by the respective bodies:
Provided that all the first members of the Authority shall be appointed by the Government.
(5) The Chairman, the Engineer and the Town Planner shall be the whole time members and the other members shall be part time members.
(6) The names of the Chairman and the members shall be published by the Government by notification in the official Gazette.
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1. Substituted by Act 14 of 1992 w.e.f. 24.04.1992.
Section 4 - Disqualification for office of members
(1) No person shall be appointed as or continued to be a member who,-
(a) has been convicted and sentenced to imprisonment for an offence which in the opinion of the Government involves moral turpitude ; or
(b) is of unsound mind and stands so declared by the competent court ; or
(c) is an undischarged insolvent ; or
(d) has been removed or disqualified from the service of the Central Government or a State Government or a corporation owned or controlled by the Central Government or a State Government ; or
(e) has directly or indirectly by himself or his partner any share or interest in any work done by the order of the Authority or in any contract or employment with or under or by or on behalf of the Authority;
(f) being an elected member ceases to be a councillor of the local authority ; or
(g) is employed as paid legal practitioner on behalf of the Authority or accepts employment as legal practitioner against the Authority.
(2) A person shall not be disqualified under clause (e) of sub-section (1) or to be deemed to have any share or interest in any contract or employment within the meaning of the said clause by reason only of his having a share or interest in any newspaper in which any advertisement relating to the affairs of the Authority is inserted.
Section 5 - Term of office and conditions of service of members
(1) Subject to the pleasure of the Government and the provisions of section 6, the Chairman and other members of the Authority shall hold office for a period of three years from the date on which they assume office and shall be eligible for reappointment under such conditions as may be prescribed :
Provided that the term of office of the representative of the local authority shall come to an end when he ceases to be a councillor or when the local authority is superseded.
(2) The other conditions of service of members shall be such as may be prescribed.
(3) Any member other than an ex-officio member may resign his office by writing under his hand addressed to the Government but shall continue in office till his resignation is accepted by the Government.
(4) A casual vacancy by resignation of a member or otherwise may be filled by fresh appointment or nomination and the person so appointed or nominated shall hold office for the remaining period for which the member in whose place he was appointed or nominated would have held office.
(5) No act or proceeding of the Authority shall be invalid merely by reason of any vacancy in or defect in the constitution or reconstitution of the Authority.
Section 6 - Removal of member
The Government shall remove a member if,-
(a) he becomes subject to any of the disqualifications mentioned in section 4;
Provided that no member shall be removed on the ground that he has become subject to the disqualification mentioned in clause (e) of that section, unless he has been given an opportunity of submitting his representation ; or
(b) he refused to act or becomes incapable of acting ; or
(c) he, without obtaining leave of absence from the Authority, absents from three consecutive meetings of the Authority ; or
(d) in the opinion of the Government he has so abused his position as to render his continuance in office detrimental to the public interest :
Provided that no member shall be removed under this clause unless he has been given an opportunity of submitting his representation.
Section 7 - Eligibility for reappointment
Any person ceasing to be a member shall, unless disqualified under section 4, be eligible for reappointment as a member.
Section 8 - Meeting of the Authority
(1) The meetings of the Authority shall be convened by the Chairman and shall be held at any place within the jurisdiction of the Authority.
(2) The Authority shall meet at such times and shall observe such rules of procedure in regard to the transaction of business at its meetings. There shall be at least one meeting in a month. No business shall be transacted at any meeting unless half the number of total members are present.
(3) The Chairman, or if for any reason he is unable to attend any meeting any other member chosen by the members present at the meeting shall preside at the meeting.
(4) All questions which come up before any meeting of the Authority shall be decided by a majority of the votes of the members present and voting and in the event of an equality of votes, the Chairman or in his absence the person presiding, shall have and exercise a second or casting vote.
(5) A member shall not, at any meeting of the Authority, or a Committee thereof, take part in the discussion of or vote on any matter in which he has directly or indirectly, by himself or his partner, any share or interest.
Section 9 - Appointment of Committees
(1) The Authority may, from time to time appoint Committees consisting of the Chairman, the Commissioner and such other members as it thinks fit and may with the approval of the Government associate with such Committees in such manner and for such period as may be prescribed. Any person or persons whose assistance or advise it may desire and refer to such Committees for inquiry and report any subject relating to the purposes of this Act.
(2) Every Committee appointed under sub-section (1) shall conform to any instructions that may from time to time given to it by the Authority and the Authority may at any time alter the constitution of any Committee so appointed or rescind any such appointment. The Chairman shall be the President of every such Committee.
Section 10 - Powers of different authorities
(1) The Commissioner may, on behalf of the Authority, sanction any estimate, call for tenders or enter into any contract or agreement the value or amount whereof shall not exceed rupees five lakhs in such manner and form as, according to the law for the time being in force would bind them if such contract or agreement were on their own behalf ; and every such contract or agreement shall be reported to the Authority at its next meeting.
(2) The Authority may sanction any estimate, call for tenders or enter into any contact or agreement, the value of which does not exceed rupees twenty five lakhs.
(3) Every contract or agreement on behalf of the Authority, other than a contract or agreement referred to in sub-section (1), shall be in writing and shall be signed by the Commissioner and Chairman and sealed with common seal, of the Authority.
(4) The acceptance of any tender shall be subject to such rules as may be prescribed.
(5) A contract not made or executed as provided in this section and the rules made thereunder shall be null and void and shall not be binding on the Authority.
Section 11 - Authority may compromise claims by or against it
The Authority may compound or compromise any claim or demand arising out of any contract entered into by it under this Act or any action or suit instituted by or against it for such sum of money or other compensation as it shall deem sufficient :
Provided that no such claim or demand exceeding fifty thousand rupees shall be compounded or compromised except with the previous approval of the Government.
Section 12 - Appointment of Commissioner
(1) The Government shall appoint an officer, not below the rank of Group 'A' officer to be the Commissioner for the Authority.
(2) The Commissioner shall receive such monthly salary and other allowances as the Government may, from time to time determine.
(3) The Government may, from time to time grant leave of absence for such period as it thinks fit to the Commissioner. A copy of every order granting such leave shall be communicated to the Chairman.
Section 13 - Powers and duties of the Commissioner
(1) The Commissioner shall be the Chief Executive and Administrative Officer of the Authority.
(2) The Commissioner shall, in addition to performing such functions as are conferred on him by or under this Act or under any law for the time being in force,-
(a) carry into effect the resolutions of the Authority :
Provided that, if, in the opinion of the Commissioner any resolution of the Authority contravenes any provision of this Act or any other law or of any rule, notification, regulation or bye-law made or issued under this Act or any other law or of any order passed by the Government or is prejudicial or detrimental to the interest of the Authority he shall, within fifteen days of the passing of the resolution refer the matter to the Government for the orders and inform the Authority at its next meeting, of the action taken by him and until the orders of the Government on such reference are received, the Commissioner shall not be bound to give effect to the resolution ;
(b) keep and conduct the Authority's correspondence;
(c) carry out and execute such schemes and works as the Government may direct and incur necessary expenditure therefor;
(d) be responsible for implementing the schemes of the Authority ;
(e) operate the accounts of the Authority and be responsible for the maintenance of the accounts of the Authority ;
(f) exercise supervision and control over the accounts and proceedings of all officers and servants of the Authority in matters of executive administration and in the matter concerning the accounts and records of the Authority and to the extent specified in sub-section (1) of section 52 dispose of all questions relating to the service of such officers and servants and their pay, privileges and allowances ;
(g) furnish to the Government a copy of the minutes of the proceedings of the Authority and any return, or other information which the Government may, from time to time, call for ; and
(h) authenticate by his signature all permissions, orders, decisions, notices and other documents of the Authority and the orders of the Authority.
(3) The Commissioner shall have all the powers of a major Head of the Department of the State Government under the Karnataka Civil Services Rules for the time being in force as in respect of the officers and servants of the Authority.
Section 14 - Objects of the Authority
The objects of the Authority shall be planning and promoting and securing the development of the urban area and for these purposes the Authority shall have the power to acquire, hold, manage and dispose of moveable and immovable property, whether within or outside the urban area under its jurisdiction, to carryout buildings, engineering and other operations and generally to do all things necessary or expedient for the purpose of such development and for purposes incidental thereto.