(1) The Authority may,-
(a) draw up detailed schemes (hereinafter referred to as "development scheme") for the development of the urban area ; and
(b) with the previous approval of the Government, undertake from time to time any works for the development of the urban area and incur expenditure therefor and also for the framing and execution of development schemes.
(2) The Authority may also from time to time make and take up any new or additional development schemes,-
(i) on its own initiative, if satisfied of the sufficiency of its resources, or
(ii) on the recommendations of the local authority, if the local authority places at the disposal of the Authority, the necessary funds for framing and carrying out any scheme, or
(iii) otherwise.
(3) Notwithstanding anything in this Act or in any other law for the time being in force, the Government may, whenever it deems it necessary require the Authority to take up any development scheme or work and execute it subject to such terms and conditions as may be specified by the Government.
Section 16 - Particulars to be provided for in a development scheme
Every development scheme under section 15,-
(1) shall within the limits of the area comprised in the scheme, provide for,-
(a) the acquisition of any land which in the opinion of the authority, will be necessary for or affected by the execution of the scheme ;
(b) laying and relaying out all or any land including the construction and reconstruction of buildings and formation and alteration of streets ;
(c) drainage, water supply and electricity ;
(d) the reservation of not less than fifteen per cent of the total area of the layout for public parks and play grounds and an additional area of not less than ten per cent of the total area of the layout for civic amenities.
(2) may, within the limits aforesaid, provide for, -
(a) raising any land which the Authority may consider expedient to raise to facilitate better drainage ;
(b) forming open spaces for the better ventilation of the area comprised in the scheme or any adjoining area ;
(c) the sanitary arrangements required ; and
(d) establishment or construction of markets and other public requirements or conveniences.
(3) may, within and without the limits aforesaid provide for the construction of houses.
Section 17 - Procedure on completion of scheme
(1) When a development scheme has been prepared, the Authority shall draw up a notification stating the fact of a scheme having been made and the limits of the area comprised therein, and naming a place where particulars of the scheme, a map of the area comprised therein, a statement specifying the land which is proposed to be acquired and of the land in regard to which a betterment tax may be levied may be seen at all reasonable hours.
(2) A copy of the said notification shall be sent to the local authority, which shall, within thirty days from the date of receipt thereof, forward to the Authority for transmission to the Government as hereinafter provided, any representation which the local authority may think fit to make with regard to the scheme.
(3) The Authority shall also cause a copy of the said notification to be published in two consecutive issues of a local newspaper having wide circulation in the area and affixed in some conspicuous part of its own office, the Deputy Commissioner's office, the office of the local authority and in such other places as the Authority may consider necessary.
(4) If no representation is received from the local authority within the time specified in sub-section (2), the concurrence of the local authority to the scheme shall be deemed to have been given.
(5) During the thirty days next following the day on which such notification is published in the local newspapers the Authority shall serve a notice on every person whose name appears in the assessment list of the local authority or in the land revenue register as being primarily liable to pay the property tax or land revenue assessment on any building or land which is proposed to be acquired in executing the scheme or in regard to which the Authority proposes to recover betterment tax requiring such person to show cause within thirty days from the date of the receipt of the notice why such acquisition of the building or land and the recovery of betterment tax should not be made.
(6) The notice shall be signed by or by the order of the Commissioner and shall be served,-
(a) by personal delivery of, if such person is absent or cannot be found, on his agent, or if no agent can be found, then by leaving the same on the land or the building ; or
(b) by leaving the same at the usual or last known place of abode or business of such person ; or
(c) by registered post addressed to the usual or last known place of abode or business of such person.
Section 18 - Sanction of scheme
(1) After publication of the scheme and service of notices as provided in section 17 and after consideration of representations if any, received in respect thereof, the Authority shall submit the scheme making such modifications, therein as it may think fit to the Government for sanction, furnishing,-
(a) a description with full particulars of the scheme including the reasons for any modifications inserted therein ;
(b) complete plans and estimates of the cost of executing the scheme ;
(c) a statement specifying the land proposed to be acquired ;
(d) any representation received under sub-section (2) of section 17;
(e) a schedule showing the rateable value as entered in the municipal assessment book on the date of the publication of a notification relating to the land under section 17 or the land assessment of all land specified in the statement under clause (c); and
(f) such other particulars, if any, as may be prescribed.
(2) Where any development scheme provides for the construction of houses, the Authority shall also submit to the Government plans and estimate for the construction of the houses.
(3) After considering the proposal submitted to it the Government may, by order, give sanction to the scheme.
Section 19 - Upon sanction, declaration to be published giving particulars of land to be acquired
(1) Upon sanction of the scheme, the Government shall publish in the official Gazette a declaration stating the fact of such sanction and that the land proposed to be acquired by the Authority for the purposes of the scheme is required for a public purpose.
(2) The declaration shall state the limits within which the land proposed to be acquired is situate, the purpose for which it is needed, its approximate area and the place where a plan of the land may be inspected.
(3) The said declaration shall be conclusive evidence that the land is needed for a public purpose and the Authority shall, upon the publication of the said declaration, proceed to execute the scheme.
(4) If at any time it appears to the Authority that an improvement can be made in any part of the scheme, the Authority may alter the scheme for the said purpose and shall subject to the provisions of sub-sections (5) and (6) forthwith proceed to execute the scheme as altered.
(5) If the estimated cost of executing the Scheme as altered exceeds by a greater sum than five per cent of the estimated cost of executing the scheme as sanctioned, the Authority shall not, without the previous sanction of the Government, proceed to execute the scheme, as altered.
(6) If the scheme as altered involves the acquisition other wise than by agreement, of any land other than the land specified in the schedule referred to in clause (e) of sub-section (1) of section 18, the provisions of sections 17 and 18 and of sub-section (1) of this section shall apply to the part of the scheme so altered in the same manner as if such altered part were the scheme.
(7) The Authority shall not denotify or reconvey any land included in the scheme without the specific orders of the Government.
(8) The Authority shall not allot any land to any individual, organisation or authority, the civic amenity area earmarked in the scheme without the orders of the Government.
Section 20 - Levy of betterment tax
(1) Where, as a consequence of execution of any development scheme, the market value of any land in the area comprised in the scheme which is not required for the execution thereof has, in the opinion of the Authority, increased or will increase, the Authority shall be entitled to levy on the owner of the land or any person having an interest therein a betterment tax in respect of the increase in value of the land resulting from the execution of such scheme.
(2) Such increase in value shall be the amount by which the value of land, on the completion of the execution of the scheme estimated as if the land were clear of buildings exceeds the value of the land prior to the execution of the scheme, estimated in like manner, and the betterment tax shall be one-third of such increase in value.
Section 21 - Assessment of betterment tax by the Authority
(1) When it appears to the Authority that a development scheme is sufficiently advanced to enable the amount of the betterment tax to be determined, the Authority shall, by a resolution passed in this behalf declares that for the purpose of determining such tax, the execution of the scheme shall be deemed to have been completed and shall thereupon give notice in writing to every person on whom a notice in respect of land to be assessed had been served under sub-section (5) of section 17 or to the successor in interest of such person, as the case may be, that the Authority proposes to assess the amount of the betterment tax payable in respect of such land under section 20.
(2) The Authority shall then assess the amount of betterment tax payable by each person concerned after giving such person an opportunity of being heard and such person shall, within three months from the date of receipt of notice in writing of such assessment inform the Authority in writing whether or not he accepts the assessment.
(3) When the assessment proposed by the Authority is accepted by the person concerned within the period specified in sub-section (2), such assessment shall be final.
(4) If the person concerned does not accept the assessment made by the Authority or fails to give the Authority the information required under sub-section (2) within the period specified therein, the Authority shall make a reference to the District Court having jurisdiction for determining the betterment tax payable by such person.
Section 22 - Manner of payment of betterment tax
The betterment tax determined under section 21 shall be paid within such time and in such number of installments not exceeding five or as may be specified by the Government together with interest at such rates as may be prescribed.
Section 23 - Recovery of betterment tax
Where any person liable to pay betterment tax fails to pay the same within the time specified by the Authority or makes default in payment of two consecutive instalments or any three installments, the Authority shall be entitled to recover the whole or part of the amount due together with interest from the said person or his successor-in -interest in such land in the manner provided by the Karnataka Municipal Corporation Act, 1976 or the Karnataka Municipalities Act, 1964 for the recovery of taxes and if the said money is not so recovered, the Commissioner may, after giving public notice of his intention to do so and not less than one month after the publication of such notice, sell the land or the interest of the said person or his successor-in-interest in such land by public auction and may deduct the said money and the expenses of the sale from the proceeds of the sale, and shall pay the balance, if any, to the defaulter.
Section 24 - Payment, etc., no bar to future acquisition
Acceptance of liability to betterment tax under sub-section (3) of section 21 or payment of the said tax after determination under section 22 shall not debar subsequent acquisition of the land concerned, if such acquisition is necessary for purposes of this Act.
Section 25 - Power of Authority to take up works for further development
(1) Notwithstanding anything contained in any other provision of this Act, the Authority may, with the previous sanction of the Government, taken up such works as the Authority considers necessary or desirable for the further development of any area within the urban area :
Provided that the local authority concerned shall be consulted if such area lies within the limits of a local authority.
(2) The expenditure incurred or proposed to be incurred or such portion thereof as may be determined by the Authority and approved by the Government in carrying out such works may be recovered by a prorata levy on the owners of properties benefitted by such works as may as may be determined by the Authority. The said sum may be recovered as any other sum due to the Authority under the provisions of this Act.
Section 26 - Crediting betterment tax collected to the funds of the local authority
Where the increase in value of any land is due to the execution of a development scheme made on the recommendation of a local authority and for which the local authority has placed at the disposal of the Authority the necessary funds for framing and carrying out such schemes, the betterment tax collected by the Authority from the owners of such land shall be credited by the Authority to the fund of the local authority.
Section 27 - Authority to execute the scheme within five years
Where within a period of five years from the date of publication in the official Gazette of the declaration under sub-section (1) of section 19, the Authority fails to execute the scheme substantially, the scheme shall lapse and the provisions of section 36 shall become inoperative.
Section 28 - Land vested in a local authority as required by the Authority for formation of street to be vested temporarily in the Authority
Whenever under any development scheme the whole or any part of an existing public street of other land vested in a local authority is included in the site of any part of a street to be formed, altered, widened, raised, rearranged or reconstructed by the Authority, the Authority shall give notice to the local authority that the whole or a part, as the case may be of such existing street or other land (hereinafter called the "part required") is required by it as part of a street to be dealt with as aforesaid and the part required shall thereupon subject to the provisions of sub-section (1) of section 32, be vested in the Authority :
Provided that nothing in this section shall be deemed to affect the rights or powers of the local authority under the Karnataka Municipal Corporations Act, 1976 or the Karnataka Municipalities Act, 1964, in or over any drain or water work belonging to the local authority.
Section 29 - Authority and commissioner to exercise powers and functions under Karnataka Act 14 of 1977 and Karnataka Act 22 of 1964
(1) In any area or part thereof to which this Act applies, Government may, by notification, declare that from such date and for such period as may be specified therein and subject to such restrictions and modifications, if any, as may be specified in the notification,-
(i) the powers and functions of the Corporation or Municipal Council or a Standing Committee thereof under the Karnataka Municipal Corporations Act, 1976 or the Karnataka Municipalities Act, 1964, shall be exercised and discharged by the Authority; and
(ii) the powers and functions of the Commissioner of the Corporation or Municipal Commissioner or Chief Officer of the Municipal Council under the said Acts shall be exercised and discharged by the Commissioner :
Provided that the Corporation or the Municipal Council shall be consulted before making such declaration if such area or part thereof lies within the limits of the city or a town.
(2) On making of a declaration under sub-section (1), notwithstanding anything contained in any other law for the time being in force, the Corporation or a Municipal Council or any standing committee thereof or the Commissioner of the Corporation or Municipal Commissioner, or the Chief Officer of a Municipal Council shall not be competent to exercise or discharge the powers or functions conferred or imposed on the Authority or the Commissioner as the case may be, by such declaration.
(3) The Authority or the Commissioner may delegate any of the functions exercisable by it or him under sub-section (1) to any officer or servant of the Authority.
(4) The exercise or discharge of any of the powers or functions delegated under sub-section (3) shall be subject to such limitations, conditions and control as may be laid down by the Authority or the Commissioner, as the case may be.
Section 30 - Streets on completion to vest in and be maintained by the local authority
(1) The Government, after consulting the local authority concerned and on being satisfied that any street formed by the Authority has been duly levelled, paved, metalled, flagged, channelled, drained and sewered in the manner provided for in the plans of any scheme sanctioned by the Government and that such lamps, lamp posts and other apparatus as are in its opinion necessary for the lighting thereof and should be provided by the Authority have been so provided, shall declare such street to be a public street, and such street shall thereupon vest or revest, as the case may be, in the local authority and the local authority shall thereafter maintain, keep in repair, light and clean such street.
(2) Any open space including such parks and play grounds as may be notified by the Government reserved for ventilation in any part of the urban area under the jurisdiction of the Authority as part of any development scheme sanctioned by the Government shall be transferred on completion to the local authority for maintenance at the expense of the local authority and shall thereupon vest in the local authority.
(3) Any dispute which arises between the Authority and the local authority in respect of any of the provisions of this section shall be determined by the Government whose decision shall be final.
Section 31 - Authority not to sell or otherwise dispose of sites in certain cases
The Authority shall not sell or otherwise dispose of any sites for the purpose of constructing buildings thereon for the accommodation of persons until all the improvements specified in section 30 have been substantially provided for in the estimates.
Section 32 - Formation of new extension or lay-outs or making new private streets
(1) Notwithstanding anything to the contrary in any law for the time being in force, no person shall form or attempt to form any extension or lay-out for the purpose of constructing building thereon without the express sanction in writing of the Authority and except in accordance with such conditions as the Authority may specify :
Provided that where any such extension or layout lies within the local limits of a local authority, the Authority shall not sanction the formation of such extension or lay out without the concurrence of the local authority :
Provided further that where the local authority and the Authority do not agree on the formation of or the conditions relating to the extension or layout, the matter shall be referred to the Government, whose decision thereon shall be final.
(2) Any person intending to form an extension or layout, or to make a new private street shall send to the Commissioner a written application with plans and sections showing the following particulars :-
(a) the laying out of the sites of the area upon streets, lands or open spaces ;
(b) the intended level, direction and width of the street ;
(c) the street alignment and the building line and the proposed sites abutting the streets ;
(d) the arrangement to be made for levelling, paving, metalling, flagging, channelling, swearing, draining, conserving and lighting the streets and for adequate drinking water supply.
(3) The provisions of this Act and any rules or bye-laws made under it as to the level and width of streets and the height of buildings abutting thereon shall apply also in the case of streets referred to in sub-section (2) and all the particulars referred to in that sub-section shall be subject to the approval of the Authority.
(4) Within six months after the receipt of any application under sub-section (2), the Authority shall either sanction the forming of the extension or layout to be in conformity with the guidelines to be issued by the Government or making of street on such conditions as it may think fit or disallow it or ask for further information with respect to it.
(5) The Authority may require the applicant to deposit, before sanctioning the application, the sums necessary for meeting the expenditure for making roads, side drains, culverts, underground drainage and water supply and lighting and charges for such other purpose as such applicant may be called upon by the Authority, provided the applicant also agrees to transfer the ownership of the roads, drains, water supply mains, parks and open spaces, civic amenity areas laid out by him to the Authority, permanently without claiming any compensation therefor.
(6) Such sanction may be refused,-
(i) if the proposed street would conflict with any arrangements which have been made or which in the opinion of the Authority is likely to be made for carrying out any general scheme of street improvement or other schemes or development or expansion by the Authority ;
(ii) if the proposed street does not conform to the provisions of the Act, rules and bye-laws referred to in sub-section (3) ; or
(iii) if the proposed street is not designed so as to connect one end with a street which is already open ; or
(iv) if the layout in the opinion of the Authority cannot be fitted with any existing or proposed expansion or development schemes of the Authority.
(7) No person shall form a layout or make any new private street without the sanction of or otherwise than in conformity with the conditions imposed by the Authority. If the Authority requires further information from the applicant no steps shall be taken by him to form the layout or make the street until orders have been passed by the Authority after the receipt of such information:
Provided that the passing of such orders shall not, in any case, be delayed for more than six moths after the Authority has received all the information which it consideres necessary to enable it to deal finally with the said application.
(8) If the Authority does not refuse sanction within six moths from the date of the application under sub-section (2) or from the date of receipt of all information asked for under sub-section (7), such sanction shall be deemed to have been granted and the applicant may proceed to form the extension or layout or to make the street, but not so as to contravene any or the provisions of this Act and the rules or bye-laws made under it.
(9) Any person who forms or attempts to form any extension or layout in contravention of the provisions of sub-section (1) or makes any street without or otherwise than in conformity with the orders of the Authority under this section, shall be liable on conviction, to a fine which may extend to ten thousand rupees.
Section 33 - Alteration or demolition of extension, layout or street
(1) If any person forms an extension or layout or makes any street referred to in section 32 or puts up any building without or otherwise than in conformity with the orders of the Authority under the said sub-section, the Commissioner may, whether or not the offender be prosecuted under this Act, by notice,-
(a) require the offender to show cause, by a written statement signed by him and sent to the Commissioner on or before such day as may be specified in the notice why such extension, layout or street, should not be altered to the satisfaction of the Commissioner or if such alteration be deemed impracticable by the Commissioner, why such extension, layout or street should not be demolished ; or
(b) require the offender to appear before the Commissioner either personally or by a duly authorised agent on such day and at such time and place as may be specified in the notice and show cause as aforesaid.
(2) If any person on whom such notice is serviced fails to cause to the satisfaction of the Commissioner why such extensions, layout or street should not be so altered or demolished, the Commissioner may pass an order directing the alteration or demolition of such extension, layout or street.
Section 34 - Power of Authority to order work to be carried out or to carry it out itself in default
(1) The Authority may,-
(a) if any person who applies for permission under section 32 and is permitted expressly by it to carry out himself the work relating to the forming of the extension or layout or the making of a street, does not so carry it out; or
(b) if any private street or part thereof is not levelled, paved, metalled, flagged, channelled, sewered, drained, conserved or lighted to the satisfaction of the Authority,
by notice, require the person forming the extension or layout or the owners of such street or part and the owners of buildings and lands fronting or abutting on such street or part, including in cases where the owners of the land and the buildings thereon are different, the owners both of the land and of the building, to carry out any work which in its opinion, may be necessary and within such time as may be specified in such notice.
(2) If any such work is not carried out within the time specified in the notice under sub-section (1), the Authority may, if it thinks fit, execute itself or cause it to be executed and the expenses incurred shall be paid by the persons or owners referred to in sub-section (1) in such proportions as may be determined by the Authority. Such expenses may be recovered from the person concerned as if they were arrears of land revenue.