......

:--

*Uut &**
OBIENTATION TRAININq PBOGB^EITME
c

ON

MANAGEMENT OF INDU'TRIAL PARK'

WITH FOCU' ON LOCAL AUTHORITY
For
'TATU'
Officials of APIIG .i U ,m.r"-2.[*a*
(From 18-20 April, 20111

SPONSORED BY

A
@L
Atrt Sc
(An Undertaking of Govt.of Andhra pradesh)
Regd. Office: "Parisrama Bhavan,,
6tn Floor,5-9558/8, Fateh Maidan Road,
Hyderabad-29

ORGANISED BY
*, ..,,q^
s

{.t' 'ri,
"a JI
\ o/-
DR. MCR HRD lnstitute of Andhra pradesh
Govt.of Andhra pradesh
Road No. 24, Jubilee Hills, Hyderabad -33
Fax:23557583,ph no :2J548487
www.hrdiap.gov.in
 IIORIIWORD
Dear ltarticipant,

The Statc Gtlvcrnmcnt of Antlhra Pratlesh lras laurrchccl a rnajor' 'l'raining antl
Hulnan Resourcc Dcvelopmcnt initiativo. For ef'fbctive iurtl cflicicnt ilnplcmontation ot'
^' various programmcs taken up by thc Govcrnmcnt, a rvc.ll-trained and wcll-infbrrncd
oflicial machinery is a must. The Govcrnment has been introducing a large numbcr of
new Progralnmes and has launched a series of measures aimed at Administrativc
Reforms with the sole objective of providing SMART (Sirnple, Moral, Accessible,
Responsive, Transparent) Covernment and for providing satisfaction to the citizens.

No initiativ" l, progrumme of any organisation can be successfully implemented

ifthe functionaries are not fully involved in the programme. The best way to involve
would be to make the functionaries aware of their role, functions and responsibilities
and making them fully conscious of, what is expected of them. To achieve this, it has
been considered necessary to assess the training needs of every functionary. An exercise
for getting the information through the OMR Formats. I am sure you
has been launched
too might have filled in the OMR format to facilitate our appreciation of your
background, requirementi and training needs.

It has also been felt necessary that every functionary in the department should be
provided with Manuals giving comprehensive information about the working of the
Department and also the specific job to be done by each functionary. Various
orientation courses, technical update programmes, general administration packages, etc.,
are also being conducted, necessary fbr the day-to-day working The mandate is that
every public'functionary should be exposed to atleast one.training module every year.

In order to meet the above objectives, Dr. MCR HRD Institute of Andhra
Pradesh has been bringing out a sericsof Manuals (in coordination with the concerned
Departments) covering various aspccts of adrninistration. This rnaterial oan bc used as
courso material while conducting training programmes, or gencral refbrcnce nraterial
during your day-to-day working.

Thc prcscnt volumc on "Man:rgcmcnt of Industrial Ostatcs with liocus olr

l,ocal Arrlhority Status" intcndcd lirr I)y. Zorral Managcrs, Asst. Zonal Mirrragcrs ol'
Andhra l'radesh Industrial lnliaslructurc ('orporrrliolr I-td.,(AI,ll(') anrl t'trr Ol'llcc
[]carcrs ttl'lndustnal Areas Scrricc Socictics rs orrc urn()nrt tlrc scrics. 'l'lrc voltrnrc
c()\ crs ('rrnccpls ot',{l'll(' lAl-i\, Asscssnrcnt iurtl ('ollcction ol"l irxcs alrtl Non-lirxcs
rrr I I I]'. .rnl. ( it',trrt l)uttL.lttlttl ..\rclrs. \tlrirrtclxrrree ol'llcvcrruc l{c{islcrs, Nllirttcrtlrrrce
,)l !ii 1! \L'r'\ :Lr\- i \L-Lull()tt r,l \\,'rkr hr ltttlrrstrrlrl .'\rclr: Scrr icc Socictics. [ ]tlrittt
Planning and development control, legal aspects of Environment.
Ciearances from
APPCB and Factories Department in Industrial Areas

We acknowledge with thanks the contribution of the following

officials on the
topics mentioned against their names

,, Executive Director Introduction

APIIC o APIIC - IALA & Service
Societi€s
Shri Hari Krishna Powers / Functions ofthe
2 Addl. Commissioner Municipalities Transferred to
GHMC APIIC under APM Act, 1965

Shri Purushotham Reddy

3 Director Town Development Regulation
DT& CP & Building By laws

Shri D. Srinivasa Rao Double Entry Accounting

APUFIDC System

Dr. G. Anjaneyulu
5 Faculty, ETC, Rajendra Nagar Land & Building Rules in
Ph No. 97053688s Panchayat Raj Department

Shri K. Shiva Prasad Municipal Finance &

6 Addl. Director (R) Revenuelmprovement Action
MA & UD Department Plan

Dr. Challa Ram Phani

7 ManagementConsultant Change Management
Ph No. 924743 1892

The information given in these series is for training purpose only and
cannot
be the basis for any litigation or legal action

Please go through the materials. lf you have any suggestions, please send
them directly to the Director General, Dr. MCR HRD Institute of Andhra pradesh,
Road No. 25, Jubilee Hills, Hyderabad 33. please quote the title ofthe bookret
- while
sending suggestions.

We purpose to update and revise there booklets periodically incorporating

the
suggestions made by the participants.

Shafiquz Zaman, IAS

Hyderabad Director General
Dated: 20.4.201 I Dr. MCR HRD lnstitute of
Andhra Pradesh
&
Ex. Officio Special Chief Secretary
to
Government
 INTRODUCTION
The centre for urban^Development Studies was
s6t up in Dr MCR HRD Institute .The
primary objective of the GUDS is to meet
the training ..qrir.r*n1s or the
Municipal Administration & urban Development and
ot-t er ,r6'un ."lut"J i.fu.trn"nt, in
A the State

A training plan has been prepared to conduct training programmes for various
functionaries in Urban Local Bodies, to train senior
officers in Municipal Administration and
Urban Development Department as trainers and to undertake
decentralisedtraining at regional/
district level' Ih pursuance of the above plan, training
modules are being prepared on various
topics.

Recently sri B.R. Meena, rAS, Managing Director

of Apllc Ltd., has requested CUDS
of Dr MCR HRD Institute of A.P, to organise a training programme
for the executive officers of
APIIC and office bearers of Industrial areas service Societies
on ,rndustrial Area Local
Authority (IALA) Matterct. Accordingly this volume has
been prepared with the help of experts
in concerned topics included in the volume. It is known
that AiIIC Ltd., as APIIC - Industrial
Area Local Authority has been 6xercising / performing
certain functions of the local bodies in the
notified Industrial Areas with effect from l.lo.g4 onwards
F\ such as Assessment, demand and
collection of Taxes and Non-Taxes, Building plan
approvals etc., and management and
maintenance of civic services.. This modul" ,*k.,
an attempt to orient the officials in this
olrectlon.

The training module is intended to serve as a guide

to all the officials involved in the
of APIIC relating to performance of Powers and Functions
1tt3"1itt of Urban Local Authorities
ln lnoustrlal Areas.
Course Objectives:
After completion of training, the participants will be able
to:
(i) Define the Concepts of ApIIC _ IALAs and NIASS;
(ii) Describe the functions/duties of IALAs and NIASS;
(iii) Explain the Taxation and regulatory powers of IALAs;
(iv) Explain the procedure for maint"nur"" of civic Services;
(v) Explain the procedure for maintenance of Revenue
(vi) Explain the procedure for Assessment and CollectionRegisters;
of Taxes and Non-
taxes in Local Bodies.

RREDDY
Director
Centre for urban development studies
DR MCRHRDI AP

A
A\

ar

A CONTENTS
,ar SECTION - A Page No.

iA l. Handbook on Powers and Functions of the Municipalities | -24

Transferred to APIIC
,i

, 2. Role of .iPIIC as Industrial Area 25 -34

Local Authority
A
3. Concept of "Notified Industrial Areas Service Society" 35-40
A and itts role
i
4. Property Tax Reforms in Andhra Pradesh 4t-64
n
5. Instructions of GOI on levy of Services Charges on the 6s-68
Central Government Properties

n 6. Fiscal Reforms in MCH 69 -82

A 7. Non-taxes in ULBs 83-96
A
8. Collection of Taxes and Non-Taxes in ULBs 97 -tt2
A
,A 9. Advertisement Tax in ULBs tt3 -120
10. Assessment and Collection of taxes and non-taxes
A In Gram Panchayat Areas tzt - 126

A 11. G.O.Ms.No.98, Dated:14-3-2002 of Panchayat Raj Dept.,

A on yearly hike of House Tax Instead of General Revision 127 -130
12. Maintenance of Revenue Registers 131 - 154

A 13. Maintenance of civic services r55 - 164

14. Execution of Works by Industrial Areas Service Societies t65 - t72
A
15. Urban Planning and Development Control t73 - 192

16. . Layouts in Urban and Rural Areas t93 -204

/1
17. : Utilisation of open sp.ces in layout areas 205 - 2t4
I8. Approval of Plans by Frc{orics Department 215 - 220
/ tg. Legrl Aspects of Enviroamt 22t - 230

A
A
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2ll. Clc:rrnnccs from API'CB in Indrrstriol n'"u' 231 - 250

21. casc strrdy of M/s surana oils & Dcrivativcs (l) Limitcd 251 - 254 a
SECTION _ B ,\

22. Janmabhoomi Programme 255 -262

23. Clean and Green Programme 263 -272

24. Food for Work Programme 273 -286

A
25. Rain Water Harvesting in Urban Areas Programme 287 - 300
A
26. Information Technolory and E-Governance 301 - 312

SECTION _ C A
27. Yoga for Stress Management 313 - 320 a
Communication Skills 321-324 a

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SECTION A
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A
l. HAND BOQK ON POWERS AND FUNCTIONS OF THE
MUNICIPALITIES TRANSFERRED TO APIIC
A st. Section Description
No.
A I 85 Levy of Property Tax :
L I Property Tax shall be levied on all buildings and lands within
municipal Iimits as per the resolution of the municipality specifying the
rate of property tax.
A
1.2 The Property Tax contains the following components
n a) a tax for general purpose
b) a water and drainage tax
A c) a lighting tax
d) ascavengingtax
ln addition, the following taxes are levied on all buildings and lands
l) Education tax
2) Library cess
A
1.3 Vacant land tax shall be levied at the rate of one percent of the
capital value of the land. Market value determined by Registration
A Department shall be taken as capital value of the land for this purpose.
1.4 Property Tax can be levied on all unauthorized structures with a
penalty of ten percent on the amount of tax levied on such unauthorized
construction till it is demolished or regularized.
A 1.5 The incidence of property tax together with education tax and library
cess shall not exceed the following rates.
A a) Residential Buildings 25%o of Annual Rental Value
b) Non- Residential Buildings 33% of Annual Rental Value
A 2 86 Levy of Property Tax on a Direction by Government :
A 2.1 The Government may direct any Council to levy the property tax at
such rate and with effect from such date after consultation with the
council concerned.
2.2 When Government issued an order as stated above, the property tax
A shall be levied as if the council had determined the levy of property tax.
2.3 The Council is not competent to alter the rate of property tax or any
A class of such tax or abolish such tax without the previous sanction of the
Government.
3 87 Method of Assessment of Property Tax :
A 3.1 Every building shall be assessed together with its site and other
adjacent premises.
A 3.2 The Annual Rental Value of the buildings shall be fixed on the
following factors.
l) Location of the building
2) Typeofconstruction
3) Plinth Area
4) Age of the building
5) Naturc of use
I
3.3 The lcr.y of propcrty tax is dc-linked lrom thc provisions of Rent
t Control Act.

^
 -t

l
,\

3.4 Allowances for rcpnirs / dcpreciation based on the building A

The lbllowing deduction shall be allowed liom the A.R.V.
attributable to the building only in lieu of all allowances lbr repairs or ort :
any other account:
Age of the building Deduction allowed
25 years and below : l|Yo of Annual Rental Value
Above 25 years and upto
40 years : 20o/o of Annual Rental Value
Above 40 years : 30olo of Annual Rental Value
3.5 Rebate to Owner Occupied Residential Buildings :
^
A rebate of 40o/o of the ARV shall be allowed in respect of the Al
residential buildings occupied by the owner inclusive of the deduction
permissible for age of the building. a
3.6 Municipalities situated on the sea-shore :
An additional deduction of 5Yo of ARV attributable to the building
shall be allowed in respect of such Municipalities and Municipal
Corporations situated on the sea shore as may be. specified by the
Government in a notification from time to time. This concession applies
to the following ULBs.
l. BheemunipatnamMunicipality A
2. KakinadaMunicipality
3. MachilipaftramMunicipality A
4. Visakhapatnam Municipal Corporation
4 88 General Exemptions :
Exemption from payment of property tax :
4.1 The following buildings and lands shall be exempted from the ,\
payment of property tax :
a) Places set apart for public worship. A
b) Choultries r^
c) Recognised educational institutions including hostels, libraries and
playgrounds. .A
d) Ancient monuments not used as residential quarters or as public
offrces. A
e) Charitable hospitals and dispensaries.
0 Hospitals and dispensaries maintained by railway institutions. ,4,
g) Burial and burning grounds.
h) Buildings and lands belonging to the Council a
i) Irrigation works vested with the Govemment.
4.2 Exemption of Owner Occupied Residential Buildings I
The owner occupied residential buildings can be exempted from A
property tax by a resolution of a Municipal Council as shown hereundcr :
ARV not exceeding AI
Selcction and Special Grade
Municipalities : Rs-450/' A
Other Municipalities : Rs. l00l-
A
5 89 Tares to bc uniform :
There shall be unifiormity in thc lery of pmpertl tar thrtxrgtxrut the A
municipal area in respect of the lands or builL
.-t
2
A
A
A
,At

A
6 90 Propcrty tax a first chsrge on property :
The Property Tax on building and lands is a first charge upon thc
said buildings or lands and upon the movable property if any found in tho
building.
The property tax may be recovered in the first instance by distraint
A under warrant of the Commissioner and sale of movable property of the
defaulter,if the tax due in respect of the building is not paid within 15
days from date of service of the demand notice.
A The property tax may be recovered by attachment and sale of the
said building and land if the distraint or a suflicient part of the defaulters,
a\ movable property is impracticable.
7 9t Property tax when payable :
7.1 The property tax shall be levied every half-year.
7.2 The tax shall be paid by the owner of the assessed premises within
A 30 days after commencement of the half-year.
7.3 A simple interest at the rate two percent per mensum shall be
charged in case of failure to pay property tax within the due date,
A i.e., within 15 days from the date of service of the demand notice /
bill.
/^, 7.4 The properly tax and dues payable to the municipality are liable for
recovery as if they were arears of land revenue.
8 92 Vacancy Remission
8.1 When any building has been vacant for more than 30 days in the
A half-year, the Commissioner can remit the property taxes to
morimum one half of the amount paid in respect of taxes for the
a\ number of days such vacancy lasted subject to the following

A a) Premises shall be deemed to be vacant only if they are

unoccupied on unproductive of rent.
b) Premises shall be deemed to be productive of rent if it is let out
to a tenant.
c) Premises reserved by the owner for his own occupation
whenever required shall be deemed to be occupied whether
they are actually occupied by the owner or not.
d) Premises used or intended to be used for the purposes of an
industry which is seasonal in character shall not be deemed to
be vacant merely an account of their being unoccupied and
unproductive of rent during such period of the half-year in
which seasonal operations are normally suspended.
8.2 Every demand for remission shall be made during half-year in
respect of which the remission is sought or in the following half-
year only.
8.3 Delivery of a notice to thc Commissioner about the vacancy of the
building is rcquirul to consider a dcmand for rcmission.
A 8.4 No demand for rcmission shall be entertained if the applicant is in
iurears of propeny tax in respcct of which the bill has bccn duly
served upon him and thc time spccilicci thcrcin for paymcnt has
expired.
i
8.5 Thc pcriod for remission shall bc calculatcd as lbllows :
l

A
 a

:
he Commission". o. l..,ni the
date on which the building became vacant and unlet whichever is latcr.
8.6 Every notice for remission shall expire in the succecding half'-yca
9 93 Obligations of transferor and transfcree to give notice of transfcr
9.1 Whenever the title of any person on any premises is transferred, the
transferor and transferee shall give notice of such transfer to the ,\
Commissioner within three months after the execution of the
instrument of transfer.
9.2 In the event of the death of any person, the person to whom the title l
of the deceased shall be transferred shall give written notice of such a
transfer to the Commissioner within one year from the death of the
deceased.
l0 94 Owner's obligations to give notice of construction or demolition of ,A
building
l0.l The owner of a building shall give a notice to the Commissioner
within 30 days from the date of completion or occupation
whichever is earlier if any building in a municipality is constructed
or reconstructed. ^
lO.2 The owner of a building is liable for the payment of property tax in
respect of a building which is demolished or distoryed until notice
there of is glven to the Commissioner. ,-r
ll 95 Power of Commissioner or Valuation Officer to call for information
4\
and to enter upon premises
ll.l The Commissioner is competent to call for information from the A
owner or occupier of any building by notice within 7 days as shown
hereunder: A
a) Returns of the rent payable for the building
b) The cost of erecting the building A
c) Measurements of the land
d) Year of construction
e) Nature of usage A
ll.2 The Commissioner is competent to inspect, survey and measure
such buildins after giving reasonable notice to the ome1l !9qlP!9L-
A
t2 n4 I Tax on Advertisements
I tZ.t Every person who erects, exhibits, fixes, retains upon any land, A
I Uuilding, wall, hoarding or structure, any advertisement to public
I view shallpay advertisement tax as prescribed. A
I tZ.Z Tax shall not be levied on any advertisement which is not a sky-
sign.
/a
Definition of Sky-sign :
Advertisement supported on or attached to any post, poll, standard fiamc
work or other support wholly or in part upon any land, building, wall or A
i structure shatt be visible against the sky from some point in any public
I
place. ,t
I
t2.3 The rates of advertisement tiD( shall be subjcct to the maximum
I
and minimum laid down by the Governmenl Rules. A
ll.4 Exempions from paymcnt of advcrtiscmerrt ta\
a) Noticc of a public mecting IA

A
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A
/t
A Ul Notice of an election
;; Noti"" of a candidate in respect of such an election
of any building'
n d) Advertisement exhibited within the window tn"
e) Advertisem"", ."i'iltgio trade :t g"il,:tt*"^T,:1:1,#:1t'
such adve,lisement is exhibitgd.
A ffiil;;iiine
lallu uI usrrur^'6 r-p;;rhich
ffi
permission of
prohibition of uffiritten
Commissioner
A t3.lWrittenpermissionfromCommissionerisrequiredforerectionof
anY advertisement'
n |3.2TheCommissionershallnotgrantpermissioniftheadvertisement
tax is not Pai{jn-egyg4ge'
o become void in certain cases

14.lThepermis.io.,-gr*t"abytheCommissionershallbecomevoidin
the following cases:
by the Council
,-\ a) If the advertisement contravenes any bye-law made
in this behalf.
A b) Additions to the advertisement
Material change in the advertisement
A "j
il ;;il;;idm'.*"'t tm *n
"."*t
med resPonsible
contrary to the -provisions of
A Whenever aoy aar"rtiserient is erected ha
^-.-i-^,1 fthe
expired,
:fffi';if,iJ;;" 115 or after the written permission.is
A owner of such bril;;; tlai rc deemed
to thi person who has erected

A R.rnfi ". "t"uthorized advertisements

A Commissioneriscompetenttoremoveunauthorizedadvertisementsafter
iving a notice to the owner ioncemed'
Crll""ti"" t"x on advertisements of any
The Commissioner may farm out the collection
A advertisements for any period not e
of property
Method of assessme,,t or auty on transfers
levied t:1:
l8.l The duty o, t.*'f"'s of propertytheshall.be i:^::
Indian Stamp Act on every
.rr.t on ih. duty imposed by
".g"
instrument sPecified below :
.-, a) Sate of immovable ProPertY
b) Exchange of immovable ProPertY
c) Gift of immovable ProPerry
d) Mortgage of immovable ProPertY
A e) Leaceof immovable ProPertY
18.2 The duty on transfer of property shaii not exceed five Percentum
on the value of the
P"*.. t" *rite off irrecoverable taxes etc' fee ot amount due to
any tax'
The Councit i, .o-p"t""t to write off ,::ltt
it, it-, in its ion. such tax, fee, amount is irrecoverable'
ffiaintenance of water-works
Zo.|TheMunicipalCouncilwiththesanctionoftheGovemmentcan
ffiffi;"ffi,-",i* of water-works outside the limits of the
MunicipalitY for of water.
 A

2AZ Th" Cruncil is competent to maintain the existing works folthe

suPPlY of water.
20.3 The Municipal Council can entrust water and drainage works to
private firms with the previous approval of the Government'
2l 135 Constitution of water boards for local authorities
2l.l The Government is competent to constitute a water board for one a
or more municipalities for the construction and maintenance of
water works for the supply of water to such municipalities'
21.2 The municipalities for which water board is constituted are bound
:
to take water from such water board. a
22 136 -..rp".t on premises connected with water supply
No person can enter upon land belonging to a council along which a
conduit or pipe runs or upon any premises connected with water supply A
except with permission duly obtained,
23 r37 Prohibition of building over water mains 4\
No building, wall or other structure shall be newly erected and no street or
railway shAl be constructed over any municipal water mains without the
oermission of the Council.
A
24 t38 Council to provide water for use
The Municipal Council shall provide sufficient supply of water so far
,.\
as the funds at its disPosal may ad
25 139 Control over connections
The lv{unicipaF Council shall have control over all connections
whether within or outside the premises which are connected to water A
sunnlv mains of the municipalitY.
26 140 Private water supply for consumption and use and power of the A
Chairman to enforce provision of water supply
26-l The Chairman is competent to grant water supply connection on A\
application by the owner or occupier of the building'
cost of obtaining the connections shall be borne by the owner.
A
26.2 The
27 l4l Po*"r of Council to make bye-laws for water supply A
27.1 Payment shall be made for all water supplied as per the bye-laws
made by the Council- A
27.2 The water charges shall be recoverable in the same manner as the

28 t42
propertY tax.
Levy and collection of pipe'line service charges
1
The Govemment is competent to direct the Municipal Council to levy A\

and collect pipe-line service charges from every owner of a premises to

r-\
'which water connection has been given at such rate as may be prescribed
to meet the capital cost of pipe-tine service works undertaken by the a
Council and the operation and maintenance of the pipe-line system from
time to time ,l

29 t42A Penal action for meddling rvith water mains

Any person unlawfully meddles with water mains or draws water from A
municipat source is punishable with a fine upto Rs' 500/- or with
.-\
imprisonment not exceeding six months-
/i

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6

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A
30 143 Supply beyond the limits of Municipality
The Municipal Council is competent to supply water to local
authority or other person outside the municipality with the sanction of the
Government.
3l t44 Power to disconnect water suPPIY
Commissioner is competent to disconnect water supply in the following
CASCS :
a) Where the premises are unoccupied.
b) Where the water charges are not paid within 15 days after bill for
such sum has been served.
c) Where the owner of any premises uses the water in contravention
of water supply bye-laws.
d) Where the owner fails to comply with any notice issued by the
Commissioner to Put a meter.
e) Where the owner damages any pipe supplying municipal water'
32 145 NonJiability of council for disconnection, or stoppage of water
supply in certain cases
The Municipal Council shall not be liable to any penalty or damages for
disconnecting supply of water or for not supplying water in the case of
)
droueht. or other unavoidable cause or accident.
JJ t46 Provision for lighting in public streets
The corincil shall provide lighting in the public streets and shall provide
such lamps and works as it thinks necessL
34 147 Maintenance of system of drainage by Council
The Council shall provide and maintain a sufficient system of public
drains to the extent funds are available.
35 148 oro*.r or buildings to pay for clearance of sullage from their
buildings by connecting their house drains with public drains
Owners of buildings have to make payment for the discharge of drainage
from private premises by connecting house drains with municipal drains
under any oni of the basis mentioned below as resolved by the Municipal
Council.
a) a monthly rent for each building
b) such percentage of the capital value of the building
c) number of taps allowed
36 t49 Control over house drains, privies and cess pools
All house drains, private latrines and cess polls rvithin the municipality
shatl be under control of Municipal Council. However the drains and
latdnes shall be repaired and kept in order at {re expense of the owner
37 r50 Connection of house.drains or private latrines with public drains or
underground'sewers
On an application made by the owner, the Commissioner is competent to
sanction for the connection of private drain with any pubiic drain and
where there is underground sewer, any private latrine with any
underground sewer.
38 l5t commissioner may close or limit the use of existing private drains
37.lWhere a private drain is not adapted to general drainage system of the
municipality, the Commissioner may close, 4isconti,rue or ae
1
 A

r that PurPose with approval

of the Council.
for the
37.2 No drain maY be closed without providing another drain
drainage of the Premises.
!

Premises in combination.
a
the Commissioner is of opinion that any group or block
of premises
Wt
", is situated within 30 meters of a municipal drain already existing or
*t i"t
uiort to be provided, may be drained more economically in combination :
tt* ,.p.ut"ly, h" *uy "uor" such group of premises to be drained. The
incurred therefor shall be paid by owners proportionately'
"*o.n.".
B"tldt.g.t", not to be erected without permission
I --.
drains
-over
3g.lNopersonshallconstructanyfence,building'culvert'drain-
public
-__Ll:^
on u.ty public drain or interfere in any m4nner with any
"or".irrg
drain without the permission of the Council'
I
erected
3g.2 The Commissioner is competent to remove any structure A

er"C*tt". rfAtr..tt ot a."ins evenings by owner or o^ccupier

TheCommissioneriscompetenttorequiretheownerofanybuilding
or drain-coverings A
o, lonJ adjoining the public stieet to construct "ylu:f
over the side channelJ at the entrances to the said building, -

f water from building or land

of notice from
The owner of any buildlng within 15 days after receipt ,-r
theCommissionerputupandkeepandmaintainingoodconditionproper
the roof
t ougt, and pipes built'for catching and carrying the water from
in such
;J;,h". parts of such building ;d for discharging such water
a\
i etc', through Private Property
and paying for
subject to causing as'littte inconvenience as possible
direct damage A
drain or channel
The Commissioner may carry any cable, wire' pipe'
water supply,
or unv kind to establish or maintain any system of drainage, A
lishtins through any land or building in the municipality'
f t'bbtth and filth and for the a
preparation and sale of comPost
the following :
+f . i fn" Council shall make adequate iurangements for
a) the regular sweeping and cleaning of tn" streets and removal of A
sweePings there from
b) tne aait/ removal of filth and carcasses of animals from private r-t
premises.
c) in" auity removal of rubbish from dustbins and private premrses- At
of
il provide depots for the deposit of rubbish and the carcasses
animals. A
e) provide covered vehicles for the removal of rubbish'
fi provide vehicles for the removal of the carcasses of large A
animals.
A
g) provide dustbiqs for the temporary deposit of rubbish' of compost
$.;' Utiiisation of road sweepings, rubbish for preparation A
and its sale.
A
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A
A
43.3 The utilisation ofcarcasses of animals for the supply of the bones
A
&f!t" purpose of manures and its sale.
A 45 .165 Contribution from persons having control bver places of pilgrimage
The council is competent to require the trustee or other person having
control over places of pilgrimage to make such recurring or non-recurring
contribution for making special arrangements necessary for public health-,
3
safety or convenience.
46 t66 Prohibition of improper disposal of carcasses, rubbish and filth
No person shall deposit the carcasses of animals, rubbish in any public
street or on the varanda of any building, or on any unoccupied ground
A
along side any street or any public quarry or on the bank of the water
A course or tank.
47 t67 Prohibition against keeping night soil, etc.,
A No owner of any premises shall keep night soil on such premises of
any building.
A 48 168 Prohibition against allowing out flow of lilth
No owner of any premises shall allow water from any sink, drain,
A latrine or any other filth to flow out of such premises to any portion of a
A steet except a drain or cess pool.
49 169 Prohibition against using any cart without cover in the removal of
A filth, etc.,
No person shall use any cart or receptacle not having a proper covering
A forremoval of frlth.
50 170 Prohibition against throwing rubbish or lilth into drains
2a No person shall put any rubblsh or filth into any public drain.
5l t7t Maintenance and repair of streets
/1 The council shall maintain public streets and bridges and meet the cost
of all improvernents which are necessary for the public convenience and
safety.
A 52 tTtA Government's power to retain the public streets vested ix the
Municipal Council
Government is competent to exercise the powers of the council and
Commissioner to repair public streets and drains vested in the Council and
to lay new roads 4! their own expense.
53 t72 Powers of Municipal Authorities
The Council is competent to
a) layout and make new public streets
b) construct bridges and sub-ways
c) permanently close any public street with the sanction of
Government
d) widen any public street
54 t73 Power to dispose of permanently closed streets
When a public street is permanently closed, the Council is
competent to dispose of the site with the sanction of the Government.
55 i74 Acquisition of land and buildings for improvement of streets:
The Municipal council is competent to acquire any land and the buildings, if
any, standing upon such land required for the purpose of widening or improving
anv public street or of making any new public street.

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56 t75 Power to specify building line and street alignment

The Municipal Council is competent to speciff a building line or a
street alignment or both for any public street.
The Municipal Council is also competant to define a fresh line in
substitution for any line so defined or for any part thereof.
57 t76 Buildings not to be constructed within street alignment or building
Iine
l. No person shall construct any portion of any building within a street
alignment. A
2. No person shall erect or add to any building between a street
alignment and building line except with the permission of the
Commissioner.
^
58 t77 Setting back projecting buildings or walls
When any building or part thereof abutting on a public street is within
a sheet alignment and whenever it is proposed to rebuild such building,
the Commissioner may require such building to be set back to the street
o
alisnment.
59 178 Setting buildings forward to improve line of street
The Council is competent to allow any building to set forward for
the purpose of improving the line of a public street and require any A
building to be set forward in the case of re-constnrction or new
construction.
60 179 Projected streets
The Municipal Council is competent to prcpare schernes and plans
of proposed public streets showing the direction of zuch streets, the street A
alisnment and buildine line on each side of thern their intended width.
6l 180 Watering of streets ,a
The Municipal Council shall cause the chief public streets to be
watered whenever it is considered essential for public convenience and
subiect to availability of funds.
A
62 l8t Temporary closure of streets
The Commissioner is competent to close any steet to traffic for
repair or in order to carry out any work connected with drainage, water
supplv or liehtine or any of the purposes of this Act.
63 182 Protection of appurtenances and materials of streets
Permission of the Commissioner is required for any person to
displace, take up or make any alteration in the fances, posts, pavements or
other materials of any public street.
64 183 Power of municipality to recover expenses caused by extraordinary /\
traffic
Whenever extraordinary expenses have been incurred by the Council
in repairing a street by extraordinary traflic thereon, the Municipal ^
Council may recover in the civil court from any person who was ^
responsible for such traffic, the amount of such expenses as may be
proved to the satisfactory of the court. ^\
65 184 Private streets - owner's obligation to make a layout
A
The owner of any agricultural land who intends to utilise or sell such
land for buildine Dumoses shall pay to the Council such conversion fee as A
t0
^-\

a
,t
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,\

A may be fixed by the Council.

The owner of any land shall, before he utilizes, sells such land as
A sites for construction of buildings.
a) make a layout and form a street or road giving access to sites and
connecting them with an existing public or private street.
b) set apart in the layout adequate area of land on such a scare as may
be prescribed for a play ground, a park, an educational institution
or for any other pqblic purpose.
56 185 Making of a layout and forming of new private streets or roads
A Any person intending to make out a layout shall submit an
application to the municipal oflice with plans and sections showing the
prescribed particulars. The Commissisner shall forward the same to the
Director of Town Planning within 15 days from the date of receipt of the
A
application. The Director of Town Planning shall within sixty days from
A the date of receipt of the layout plan in his office forward his
recommendations to the Municipality. The Municipal council within
A sixty days from the date of receipt of the recommendation of DTp
sanction the layout or refuse to sanction for reasons to be recorded in
A working.
67 186 Alterations or demolition of street or road made in breach of section
185
If any person makes a layout and forms any street or road without
A approval of the council or in violation of the approval of the council, the
Cornmissioner may require such person by notice to show sufficient cause
2a
why such road or steet should not be altered or why such street or road
A should not be demolished.
If any person fails to show cause to the satisfaction of the
commissioner, he may pass an order directing the alteration or demolition
of such street or road.
68 187 Powers of commissioner to order work to uiffi
it in default
Where any private street or road is not levelled, metalled to the
satisfaction of the commissioner, he may require the owner of the land to
A
carryout the work specified in such notice.
A 69 188 Right of owner to require street to be decla""affi
If any street has been levelled, metalled under section l g7, such
street shall be declared as public street by notification in the District
Gazette on the requisition of not less than three-fourths of the owners
thereof.
70 189 Prohibition against obstruction in, or over streets --
No person shall build any wall or erect any fence or other projection
or make any encroachment in or over any street.
7t 190 Streets open to all
ll be open to al! persons.
72 l9l Prohibition and regulation of doors, ground floor windows and bars
opening outwards
No door, gate shall be hung or placed so as to open outward upon
any street without a licence from the Commissioner.

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l
73 t92 Removal of encroachments ,-r
The Commissioner is competent to
a) remove any projectiorl encroachment sitr"rated against or in front
of such premises and over any sbeet.
b) remove any article whatsoever, hawked or exposed for sale in a
public place in contravention of the provisions of this Act.
74 t93 Power to allow certain projections and erections
The Commissioner may grant a licence to the owner of any premises
A
to put up varandas, balconies, sunshades to project over a street.
The Commissioner may grant a licence for the temporary erection of
pandals in a street vested in the Council. ^
The Commissioner shall have the power to lease road sides and street
margins for occupation for temporary pumose.
75 195 Precautions during repair of streets
The Municipal Engineer shall take proper precautions during
construction or repair of any street, drain or prernises vested in the
council.
76 196 Prohlbition against removal of bars and llghts
Bars, chains,, posts provided as precaution at the time of repair of A
streets shall not be removed by any person.
77 197 Prohlbitlon against making holes and causing obstruction
Permission of the Commissioner is required for any person to make a
hole or cause obstruction in any street.
78 198 Licence for work on buildings likely to cause obstruction
Licence from the Commissioner is required for any person intending
A
to constmct or dernolish any building or repair the outward part thereof A
and if any street is likely to be obstructed or rendered inconvenient by
means of such work. ,^
79 199 Clearing of debris of fallen houses etc., by occupier
If any obstruction is caused in any street by the fall of trees,
strucfures, the owner or occupier of the premises cortcerned shall clear the
street of such of obstruction within twelve hours of the occrurence of such
,\
fall.
80 202 Construction of buildings for public worship
No site shall be used for the construction of a building intended for a
public worship, if the construction of the building thereon will wound the
religious feelings of any class of persons. -\
8l 203 Permission for construction of new building not to be granted on
certain sites 11
No permission shall be granted for the construction of new building
on any site which has been filled up with faceal or offensive vegetable or t
animal matter.
A
82 204 Building sites and construction of buildings
Any land shall be used as a site for the construction of building and all a,
buiidings shall constructed or reconstructed in accordance with the
provisions of buildine regulations.
^\
83 205 Powers of Council to regulate future construction of certain classes of
buildinss in particular streets or localities -r

t2 r-\

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A

A The Council is competent to regulate future construction of class of

buildings in qarticular streets or localities after giving a notice of its
-after
A intention and calling for objections and after disposal of the saicl
objections.
lA 84 206 Building at corner of streets
The Council is competent to require any building intended to be
erected at the cornerof two streets to be rounded of or splayed of to such
e4lenl for the sake of public convenience.
85 207 Prohibition against use of inflammable materials for buildings
without permission
No external roof, varanda or wall of a building shall be constructed of
A gnrss, leaves, mats or other inflammable materials except with the
permission of the Commissioner.
86 208 Prohibition against constructing doors, ground floor windows and
bars so as to open outwards
Licence from the Commissioner is required for construction or
A reconstnrction of a door, gate, ground floor window which opens on any
pqblic street.
A 87 209 Application to construct or reconstruct buildings
A person intending to construct or reconstruct a building shall send to
the Commissioner
a)
an application for the approval of site together with a site plan of
A the land.
b) an application for permission to execute the work together with the
41
ground plan, elevations and sections of the building in the
specification of the work.
A
c) A copy of the title dead of the land duly attested by a gazetted
officer of the government together with an urban land ceiling
certificate or an affidavit referred under section 184.
88 210 Necessity for prior approval of site
The Commissioner shall not grant permission to construct or
reconstruct a building unless and until he has approved the site on an
applicatiqn made under section 209.
89 2tl Prohibition against commencement of work without permission
The consbuction or reconstruction of the building shall not be begun
unless or until the Commissioner granted permission for the execution of
the work.
90 2t2 Period within which Commissioner is to signify approval or
A disapproval
The commissioner shall either approve the site or refuse to approve
the site within 60 days after receipt of an application for approval of a
site.
9l 213 Period within which commissioner is to grant or refuse to grant
permission to execute work
The commissioner shall either grant permission or refuse to grant
permission within 60 days after the receipt of any application for
permission to execute any work.

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92 2t4 Effect of delay in grant or refusal of approval or permission i

Whenever the Commissioner has neither given nor refused its
approval of a building site or if permission to execute any work, such
approval or permission shall be deemed to have been givan.
The applicant may proceed to execute the work as per the provisions
of the Act or any rules.
93 215 Grounds on which approval of sites for or license to construct or
reconstruct building may be refused
Approval of a site for the constnrction or r@onstnrction of a building
or permission to construct or reconstruct a building may be refused on the
following grounds.
l. whenever the proposed work contravenes provisions of law and
rules issued thereunder.
2. whenever the application for such permission does not contain the
particulars.
3. that any of the documents have not been signed as required under
rules.
4. a copy of the title deed of the land together with an ULC Ai
certificate or an affidavit mentioned in section 184 are not
furnished. ,
5. that sheets or roads have not been made as required under section
,A
184.
6. that the proposed building would be an encroachment upon
government or municipal land.
The Commissioner shall record reasons for refusal to approve a
buildine site or to grant permission to construct or rpqonstruct a building.
94 2t6 Lapse of permission
The permission shall lapse if the constnrction or reconstmction of
any building is not completed within the period specified. A fresh
aoolication shall be made before the work is continued.
^
,
95 217 Powers to require alteration of work
Whenever the work is carried on in violation of the approved plans or
a
specifications or contravenes any of the provisions of this Act the
Commissioner may issue a notice to the owner of the building to bring the
work in conformity with said plans or provisions.
96 2t8 Stoppage of work endangering human life A
The Town Planning Officer may at any time stop the constmction or
reconstruction of a building if in his opinion the work in progress ,\
endangers human life and shall report the fact to the Commissioner who
,\
shall have powers to Dass orders as deerned fit.
97 219 Application of certain sections to wells ?
a
The provisions of sections 209,210,211,216,217 and 221 apply to
construction of a well. /q
98 220 Application to construct or reconstruct huts
Every person intending to construct or reconstruct hut shall send an A
application for permission to execute the work and a site plan of the land
to the Commissioner. ^
A
"14
^
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A

A 99 22t Prohibition against commencement of work without permission

The construction or reconstruction of a hut shall not be begun unless
A and until the Commissioner has granted the permission.
100 222 Period within which Commissioner is to grant or refuse to grant
A permission to execute the work
The Commissioner shall either grant or refuse to grant permission on
A certain grounds within l4 days after receipt of any application
A l0l 223 Effect of delay in grant or refusal of permission
If the Commissioner has neither granted nor refused to grant
A permission to constnrct or reconstruct a hut, such permission shall be
deemed to have been granted but the applicant has to make construction
A as per rules.
t02 224 Grounds on which permission to construct or reconstruct hut may be
refused
The following are the grounds for refusal of permission to consEuct or
reconstruct a hut.
n l) that the proposed work is in violation of rules.
2) that the application for permission does not contain the required
A particulars
3) that any information required by the Commissioner has not been
A duly furnished.
4) that the proposed building would be an encroachment on
-a govenrment or municipal land.
103 225 Lapse of permission
/ The permission shall lapse if the construction or reconstruction of any

A but is trot completed within the period specified.

104 226 Maintenance of erternal wall in repairs
A The oumer of any building adjoining a public street shall keep the
external part thereof in proper repair to the satisfaction of Commissioner.
t05 227 Applicadon of provisions to alterations and additions
The rules relating to construction and reconstruction of buildings shall
also be applicable !o any alteration or addition.
106 228 Demolition or alteration of building work unlawfully commenced,
carried on or completed
The Commissioner is competent to make a provisional order requiring
the owner to demolish the building construction in the following cases.
l) that the constnaction of any building has been commenced without
the permission of the Commissioner.
2) that the construction is being carried on or has completed in
deviation to the approved plan.
3) that the constnrction is b"irrg carried on or has been completed in
violation of the Act and Rules.
Further, while serving a copy of the provisional order a notice will be
served on the owner of the building to show cause within a reasonable
A
time why the order should not be confirmed.
If the owner fails to show cause to the satisfaction of the
commissioner, he may confirm the order and such order shall be binding
on the owner.

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l
107 229 Exemptlons '

The following categories of the building are exempted from building

regulations provided the building is situated at a distance of atleast three
meters from the nearest adjacent building.
l) Plant house
2) Summer house not being a dwelling house
3) Poultry house
4) Aviarv house
108 230 Application of Schedule III
The rules embodied in schedule III shall be read as part of the
chapter relating to building regulations.
109 231 Precaution in case of dangerous structures
The Commissioner is competent to issue a notice requiring the
owner of a structure to fence off, take down or repair such stmctures if it
appears to be in a ruinous state and dangerous to the passers by or to the
occupiers of neighboring stntctures. ^
If immediate action is necessary Commissioner is competent to A\
fence off, take down, secure or repair such structure to prevent danger to
the passers by even before giving such notice or before the period of A
expiry of such notice.
ll0 232 Precautions in case of dangerous trees A
The Commissioner is competent to require the owner of any tree to
secure or cut down such tree by notice so as to prevent any danger A,
therefrom if any tree or any branch of a free is likely to fall and endanger
any person or any strucfure. A
The Commissioner is competent to secure or cut down the said tree or
remove the fnrits thereof to prevent danger to any person if immediate
action is necessary before giving such notice or €verr before the period of
such notice expires.
lll 233 Precautions in case of dangerous tanks, wells, holes etc. ,^
If any tank, pond, well, stream, danL bank or other place appears to
the Commissioner to be, for want of such repair or protection, dangerous a
to the passerc by or to persons living in the neighborhood, he may, by
A\
notice require the owner to fill in, remove, repalr, protect the same so as
to prevent any danger there from.
If immediate action is necessary, he shall before giving such notice A
or before the period of notice expires, himself take such ternporary
measures to prevent danger.
tt2 234 Power to stop dangerous quarrTing
The Commissioner is competent to require the owner of a quarry to
discontinue working of the same or to discontinue ranoving stone, earth A\

or other material from such place for the purpose of preventing danger or
A
of abating a nuisance arising therefrom, if the working of any quarry or
removal of stone, earth or other material from any place is dangerous to a\
Dersons residing in the neighborhcod cr is likely to create a nuisance-
l l3 235 Precaution against fire
The Commissioner is competent, by notice, to require the owner of
any structure. booth or tent, partly or entirely composed of !!o!ha-ge!!-L A

l6 ,ir

A\
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A

A ,leaves mats or other inflammable materials to ."-@

booth, structure to prevent danger from fire. .
A The commissioner is competent to reduire any person using any place
for the storage of timber, firewood or other inflammable things io'take
special steps to guard against danger from fire.
tt4 248 Fencing of buildings or lands and pruning of hedges and t.e"s
The commissioner is competent to require the owner of any
[uilding
and land near a public steet
l) to fence the same to the satisfaction of the Commissioner
A 2) to pnrne any hedges bordering on the said street.
3) cut any hedges or trees over hanging the said street and obstnrctins it.
l15 2& Application to be made for construction, estabrishm"rt or irstuilation
of factory, workshop or work place in which steam or other is to be
employed
Every person intending to constnrct or establish any factory,
workshop or work place or to install any machinery or manufacturing
plant in any premises shall make an application to the council befori
beginning such constuction, establishment or installation.
Before granting permission, the council shall obtain the approval of
-
the Inspector of Factories with regard to ventilation, light, triigtrt ana
dimension of rooms, and exits. The council shall also consult the-District
Medical and Health oflicer as regards the suitability of the site for the
A purpose specified in the application.
The council within sixty days after obtaining the approval of
2\
Inspector of Factories and DMHo grant the permission or refuse

ll6 265 Use of steam whisfles etc.

Permission of the council is required for any person to use or
employ in any factory any steam whistle or steam tnrmpet for the purpose
ofsunnmoning of dismissing workers employed.
tt7 2ffi Council may issue airectioos ro" auateme@
steam or other power
If nuisance is caused in any factory, workshop due to any fuel used
or by reason of the noise the council is competent io issue directions as it
thinks fit for the abatement of the nuisance within a reasonable time.
l18 267 Power of Government to pass orders o" giri@
action taken or omitted to be taken under sections 264,26s or 266
The Government is competent to make such order or give such
directions as deem fit in respect of any action taken or omiued to be taken
under sections 264, 265 or 266.
l19 Notification of
268 residential, industrial, co--"rcial-"tc, lilar-in
Municipality
Every council after consultation with the Director of public Health
A and Director of Town Planning and with the previous approval of the
Government notiff the localities, divisions, wards, streets *H"t shall be
reserved for residential, industrial, commercial or agricultural pumoses.

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120 269 Power of Government to notify the location of the industries

^
o
Where the Council has not published a notification under section 263
or 268, the Governmant may specifr any particular industry or class of
industries to be located in any area reserved for residential, industrial,
commercial or aericultural pumoses.
l2l 270 The Commissioner may enter any factory, work shop or work place
The Chairperson, Commissioner may enter any factory, workshop or A
work place at any time between sun rise and sun set and at any time by
day or night if he has reason to believe that any offence is being
committed under the Act.
122 340 Penalty for unlawful buildings
a
If any person carries on or completed any constmction without the
permission of the Commissioner or completes the construction in
violation of building rules and regulations, he shall be liable on conviction
to a fine which may extend in the case of a building to Rs. 500/- subject to
a minimum of Rs. 50/- /^
t23 343 Penalty for not giving information or giving false information
If any person who is required to furnish any information omits to
furnish it or knowingly furnishes false information zuch person shall be
liable to a fine not exceeding Rs.l00/-.
t24 Power of persons conducting elections and other enquiries
347 4
All persons authorized by rule to conduct enquiries relating to
elections, and all inspecting oflicers holding any enquiries into matters
following within the scope of a their duties shall have, and purpose of
such enquiries same powers in regand to issue of summons for the
attendance of witnesses and the production of documents as or conferred
on Revenue Offrcers by the law relating to the iszue of revelue sunmons
for the time beine in force.
125 348 Summons to attend and give evidence or produce documents
The Chairperson, Commissioner, Municipal Health O(ficer, Municipal
Engineer or Town Planning Oflicer may summon any Person to appear
before him and to give evidence or produce documents in respect of any a
question relating to taxation or grant of any licence or permission under
provisions of this Act. A
t26 349 Form of notices and permissions
All notices and permissions given, issued or grantd as the case may be
shall be in writine and in such form as may be prescribed.
t27
A
350 Signature on documents
Every licence, permission, notice, bill, schedule, summons or other
documents which is required by this Act or by any rule or bye-law or ^
regulation made under it to bear the signature of a Chairperson or
Commissioner or of any Municipal Officer shall be deemed to be properly
:
singed if it bears a facsimile of the signature of the Chairperson, Ar

Commissioner or of such Municipal Officer as the case may be stamped

thereon.
128 351 Publication of bye'laws, notices, orders etc. ,a
Every bye-law, order, notice or other document directed to be
published under this Act shall be written in or translated into the main

l8 A

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A

A language of the district and deposited at the municipal office and a copy
shall be posted up in a conspicuous position in such office and a public
proclarnation shall be made throughout the municipality by beat of drum
that such copy as been so posted.
A t29 3s2 Notice of prohibition or setting apart of places
Whenever the Council has set apart any place for any purpose
,A authorized by this Act or has prohibited the doing of anyhing in any
place, the Commissioner shall forthwith put up a notice in English and in
A
the main language of the district at such place.
A r30 353 Method of serving documents
The following procedure is prescribed for service of any notice or
A other documents to any person under this Act :

A
l) by grving the said document to such person
2) if such person is not found by giving the same to some adult
member or servant of his family
A
3) if such person does not reside in the municipality by sending the
same to him by registered post
A
4) if none of the above methods be available, by fixing the same in
some conspicuous part of such place of abode or business.
l3l 354 Recovery by occupier of sum leviable from owner
If any occupier of a building makes any payment on behalf of the
owner, such occupier shall be entitled to recover the same from the owner
A and maydeduct the same from the rent due by him to the owner.

t32 355 Obstruction of owner by occupier

A If the occupier of any building prevents the owner from carrying
into effect any of the provisions of this Act the Commissioner may by an
order require the said occupier to permit the owner to execute all such
works as may be necessary.
133 356 Execution of work by occupier ln default of owner
If the owner of any building or land fails to execute any work which
is required to execute under provision of this Act, the occupier of such
building with the approval of the commissioner execute the said work
and shall be entitled to recover from the owner and may deduct the
amount thereof from the rent due by him to the owner.
r34 357 Power of entry to inspect survey or execute the work
The Chairperson or Commissioner or any person authorized by him
in his behalf may enter into any building with or without assistance in
order to make any enquiry, inspection, test, examination, survey,
measurement or valuation or to execute any other work which is
authorized by provision of this Act.
135 358 Power of entry on lands adjacent to works
A
The Chairperson or Commissioner or any person authorized by him
A in this behalf may with or without assistance enter on any land adjoining
or within fifty meters of any work for the purpose of depositing on such
land any soil, gravel, stone or other materials or of obtaining access to
such work.

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136 359 Consequences of failure to obtain licenses etc., or of breach of the

same
If the licence orpermission ofthe Council, Chairperson,
Commissioner or other officer of the municipality or registration in the
municipal office is necessary for the doing of any act and if such act is
done without licence or permissions or registration, than the
Commissioner may, by notice, require the person so doing such act to
alter, remove or as far as practicable restore to its original state the whole
or any part of any property effected there by within the specified time.
t37 360 Time for complying with order and power to enforce ln default
Whenever by the notice or order under this Act, any person is required
to execute any work or to take any measures, a rtasonable time shall be
named in such notice or order within which the work shall be executed.
If such notice or order is not complied with" within the time specified,
the Commissioner may get the work executed or may take any measures l
be necessary for giving due effect to the notice or order as aforesaid.
138 361 Recovery of expenses from persons liable and limitation of liability of
occupier
Commissioner may recover any reasonable expenses incurred under
section 360 from the person to whom the notice or order was addressed.
139 362 Power of Commissioner to agree to receive payment of expenses in
instalments
The Commissioner may permit any person who has to pay expenses A
under section 361 to pay the same in instalments of such amounts and at
such intervals.
140 363 Power of municipality to pay compensatlon
The Commissioner may, with the approval of the Council pay A
compensation to any person who sustains damage by reason of the
exercise by the Municipal Authority or oflicer of any of the powers vested
A
in them by this Act.
l4l 1
3U Recovery of sums due as taxes
All costs, damages, penalties, compensation, charges, fees, expenses, a
rents, contributions and other sums which under this Act are due by any
person to the Council, may if there as no special provision in this Act for A
their recovery be demanded by bill as provided in the rules in schedule II
and recovered in the manner prescribed.
142 365 Limitation for recovery of dues
l) The following time limits are prescribed for recovery of dues.
,\
i) Distraint : Three years from the date of due of the sums i.e. 30s ,\
April or 30s October.
ii) Prosecution : Six years from the date of due of the sums.
iii) Civil Suit : Nine years from the date of due of the surns.
2) It is the responsibility of the Commissioner to place before the
Council a list of arrears due to the Council which, if no action is
taken within the speeified period are likely to become time-barred A
at lease one year before the expiry of the said period stating the ,a
reasons for delay in the recovery of such amount and requesting
for the instructions of the Council in regard to the recovery of such

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arears.
^ 3) Ifthe Commissioner fails to furnish the lists as dforesaid, or if the
iurears shown in the list are due to the failure on the part of any
Bill Collector or other municipal employee, the Commissioner or
such Bill Collector or othqr employee, as the case may be shall be
zr deemed to be negligent for which action under sub-section (l) of
section 374 may be taken.
A t43 366 Persons empowered to prosecute
No person shall be tried for any offence against the provisions of the
i Act unless complaint is made by the Commissioner within three months
of the commission of the offence.
- Failure to take out a licence, obtain permission or secure registration
under this Act be deemed a continuing offence until the expiration of the
period" if any for which the licence or permission or registration is
required.
tu 367 Imprisonment in default of payment and application of costs etc.
,A ln case any fine or costs imposed or assessed by a Magistrate under
this Act is not paid, the Magistrate may order the offender to be
imprisoned in default of payment.
t45 368 Payment of compensation for damage to municipal property
If any damage has been caused to any property owned by or vesting in the
Council due to any act or omission of any person, such person shall pay
A
compensation for such damage to the Municipal Council.
146 369 Institution of suits against Municipal Authorities
A
l),No zuit for darnages or compensation shall be instituted against the
A Council, any Municipal Authority or oflicer or servant in respect of any
act done in pursuance of the Act until the expiration of three months
after a notice has been delivered at the Municipal Office or at the place
of such officer.
2) Every such suit shall be instituted within six months after the date on
which the cause of action arose.
3) Any amount payable on account of such suit by a municipal
functionary shall be met from the municipal fund.
147 370 Provisions respecting institutions etc., of civil and criminal actions
and obtaining of legal advice
The Commissioner may withdraw from proceedings against any
person who commits any offence under this Act, compound any offence
against this Act which has been specified as compoundable in schedule
vI, institute and prosecute any suit or withdraw from or comprise any suit
or claim.
148 373 Indemnity to the Governmen! collector, Revenue Divisional officei,
A Municipal Authorities, Officers and Agents
No suit shall be maintainable against the Government, the District
,A Collector, the R.D.O, any municipal functionary in respect of anvthins
done in good faith under this Act.
t49 374 Liability for loss, waste or misapplication
The Chairperson, every member, the Commissioner, M.H.O., M.E.,
T.P.o., Bill collector or other municipal employee entrusted with
2l
 collection of sums due to the Council shall be liable for the loss or waste
or misapplication of money or other property owned by the Council, if
such loss, waste, misapplication is a direct conseque of his neglect or
misconduct and a suit for compensation may be instituted against him by
the Council with the previous sanction of the Government or by the
Government.
150 375 Sanction for prosecution of Chairman, Council, Commissioner or
Municipal Health Officer or any other 0fficer
Sanction of the Government is required for any court to take
cognizance of any offence alleged to have been committed by a municipal
functionary while acting in the discharge of his officia[!1ry-
l5l 376 Assessments etc., not to be questioned
No assessment or dernand made and no charge imposed under the
authority of this Act shall be questioned or affected by reason of any
clerical error or by reason of any mistake, provided the provisions of the l
Act have been in substance complied with
No suit shall be entertained by any court of law unless the assessee
oavs fiftv Der cent of the ta:c levied and demanded.
152 377 Injunctions not to be granted in respect of revision or amendment of
assessment books
No court shall grant any interim or temporary injunction lg5taining
any proceedings which is being or about to be taken under rule 8 in ^
schedule II to this Act for the revisiop or amendment of the assessment
books or restrainins such revision from takqg effect
153 378 Duties of Police Officers
It shall be the duty of every police offtcer to assist the Chairperson,
the Commissioner or any Municil ..rtlicer rcasonably dananding his aid
for the lawful exercise of any power vested in L
154 381 Appttcatton of term ,Public Servant'to municlpal officers, agents and ^
sub agents
Eviry municipal officer, every coii,i'actor or agent for the collection of
any municipal tax, fee or other sum due to the Council shall be deerned to
be a public servant within the meaning of section 2l of the India Penal
Code.
155 382 prot iUiiion against obstruction of municipal authorities, employees
and contractors
No person shall obstruct the Council, the ChairpersorL any member,
the Commissioner or any other municipal employee in the performance of
,\
their duW which thev are emPower to
156 383 Prohibition against removal of mark
a
No person shall remove any mark set up for the purpose of indicating
any level or direction incidental to the execution of any work authorized
bv this Act. -\
r57 384 Prohibition against removal or obliteration of notice
No person shall, without authoriry in that behall remove, destroy,
deface any notice exhibited by the Council or the Commissioner or other
officer authorised by him in this behalf.

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A 158 385 Prohibition against unauthorized dealings with public place or

materials
No person shall, without authority in that behall remove earth, sand or
other material in any land vested in the Council or river, canal back water
A or water course or in any way obstruct the same.
t59 Sch.tI Taxation Rules 1 to 38
Taxation Rules I to 38 deal with assessment of the property tax and
A collection of taxes.
160 Sch.III Building Rules
A l6l Sch.IV Purposes for which premises may not be used without a licence

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lEk..;
 RULES ISSUED UNDER
A.P. MUNICIPAL ITIES;",
TRAN'FERRED To APIIC -
l. Advertisement Tax Rules
2' Alteration of ownership ofproperties
in Assessment Books Rules
3. Assessment of Taxes Rules
,\
4. Collection of Taxes Rules
5. a
Duty on Transfer of property
Rules
6' Exemption of certain machinery
under sec,.264of the Act Rules
7' Fees for grant of permissions
and licences for installation of a
machinery Rules
8. Central Government Building
Rules
9' Licences for projections and
leases of road sides and street
margins Rules
10. Water Supply House Service
Connection Rules.

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2. ROLE OF APIIC AS INDUSTRIAL AREA
LOCAL AUTHORITY

lndustrial Areas set-up by APIIC have left much to be desired in term of provision
and maintenance of civic amenities. The taxes by way of property tax, etc., collected
from the occupants of the Industrial Areas were largely diverted by the Local Bodies
without paytng due attention for maintenance of civic amenities in the Industrial Areas.
In the process, the APIIC has to face criticism from all quarters, and from the occupants
of the lndustrial Areas, in particular, for this neglect on the part of the Local Bodies. To
,-\
rernedy the situation and to keep good environs, APIIC has sent a proposal to
A\ Govenrment to consider declaring the APIIC as Local Authority in respect of the
Industial Areas set-up by it on the lines followed in the State of Gujarat. The proposal
A was mooted since it will be beneficial to the State, and also the APIIC and the occupants
as well. It helps in attracting entrepreneurs from outside the State also offering them
/t better services and single window clearances for their projects which would accelerate
promotion of industries in the State which ultimately result in increased revenue,
/r employrnent, socio-economic progress etc.

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2. After exaurining the proposal in depttq Government has approved the proposal
and took action to amend the relevant Local Bodies Act., viz., AP Municipalities Act,
/.\
1965, AP Panchayat Raj Act, 1994 and Municipal Corporations Acts enabling
Govemment to empower the APIIC with certain powers and functions of the Local
Bodies in the Industrial Areas. Accordingly Government in various G.O.'s of Municipal
Administration and Urban Development Departrnent/ Panchayat Raj and Rural
Development Departuent have issued Orders from time to time directing that specified
,-\ powers and functions of the Municipalities/ Municipal Corporations/ Gram Panchayats
shall be exercised by the APIIC in the specified Industrial Areas, subject the condition
,-\ that 35Yo of the Property Ta:r / Revenues collected'by the APIIC shall be remitted to the
l,ocal Bodies concerned.
A
3. The Powers and functions devolved on APIIC are maintenance of civic amenities,
collection of Property Targ Ta:< on Advertisement, Approval of building plans, Granting
of permissions for construction, establishment or installation of factory, work-shop or
work place in which steam or other is employed, removal of encroachments etc.
l^\

4. Thus APIIC as tndustrial Area Local Authority is exercising / performing Local

A\ Authority Powers / Functions with effect from 0l10.1994 onwards in270 Nos. Industrial
Areas @hase wise) / Housing Complexes / Mini Industrial Estates / Commercial
/-\
Complexes falling under 122 Gran Panchayats, 49 Nos. of Municipalities and 3
Municipal Corporations.

5. As per the powers delegated by the Board of Directors of APIIC Ltd., the (Viee)
Chainnan & Managing Director appoints / nominates Officers of the Corporation to act /
discharge the statutory powers / functions of the Local Bodies.

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6. REVENUE' TO APIIC - IALA
""*"*TED
6.1. All the revenues generated to APIIC - IALA such as Property Tax, Building
permit fee, transfer duty, fee for installation of plant & machinery, mutation fee,
encroachment fee, advertisement tax shall be remitted to a specified Bank Current
Account in the name of "APIIC - IALA"

6.2. 65% of the Property Ta:<es collected by APIIC - [ALA., (after rernitting due share
of 35% to the local body concerned and library cess to Zilla Grandhalaya
Samstha) is remitted to the Joint Account held with the Service Societies for
management and maintenance of civic services in the Industrial Areas by the
Service Societies nominated by APIIC Ltd.

6.3. 9O%o of Building permit fee / fee for installation of Plant & Machinery shall be
remitted to Joini Account held with Service Societies for meeting with
administrative expenses of the Service Societies / maintenance of civic services in
the Industrial Areas, duly retaining l0o/o of the fee collected by APIIC to meet its
Administrative Expenses. r

6.4. 100% of the transfer duty remitted by the District Treasury OIIicer/ Sub-Treasury
Offrcer to the APIIC - IALA shall be remitted to the Joint Account held with the
Service Societies for the purpose of improvements / maintenance of the civic
services in the Industial Areas.

7. APIIC IALA _ OPEMNG / OPERATION OF A SEPARATE BAI\TK A/C IN

THE NAME OF 'APIIC _ IALA' AND JOINT ACCOT'NT HE,LD WITII
THE SERVICE SOCIETIES.

7.1. All the revenues generated to the APIIC IALA in respect of all the lndustrial
Areas falling undei a single local body ie., Municipal Corporation, Municipality
or Gram Panchayat, as the case may be, shall invariably be remitted to a Bank
Current A/c in the name of "APIIC - IALA" and the same shall be operated by
the Zonal Manager and Asst. Manager (Accounts) concerned. [n case there is no
post of Asst. Manager (Accounts), the Senior Accountant @) will operate the
Bank Account in the place of Asst. Manager (Accounts).

7.2. The due share of APIIC - IALA revenues to be transferred to the Joint Bank
Current Account held with the Service Society shall be rernitted by transfer /
Cheque to the Joint Account held with the Service society in the name of "APIIC
- IALA and the (concerned) Service Society" only and this Joint Account held/
with the Service Society shall be operated by the APIIC - IALA Commissioners
Executive Officers, as the case may be and a nominee of the Service Society.

At

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8. APIIC IALA MAINTENANCE OF IALA RECORDS SUCH AS

RECEIPT BOOKS, BAI{K REMITTANCE SLIPS, BANK STATEMENTS
AND CASH BOOKS ETC., IN RESPECT OF COLLECTIONS I
REMITTANCES OF THE REVENUES GENERATED TO APIIC IALA -
Functioning of APIIC IALA / INDUSTRIAL AREA SERVICE SOCIETY

8.1. The APIIC IALA records such as receipt books, Bank remittance slips, Cash
Books and Bank Statements whether maintained by Service Societies or APIIC
LALA - Commissioners / Executive Officers shall be verified / checked regularly
by the Conrmissioners / Executive Officers to ensure that the records are properly
maintained without any irregularity or misappropriation of APIIC - IALA funds
and for any such lapses, the APIIC IALA - Commissioners / Executive Officers
(
will be primarily held responsible.
A.
8.2. T\eZ,onal Managers shall ensure that the receipts / remittances / Bank Statements
A are verified and reconciled by the Asst. Manager (Accounts) / Sr. Accountant (D)
and the due share of APIIC LALA revenues is remitted to the Joint Account held
with the Service Society by lOe of every month. The Zonal Managers shall not
hansfer the due share of funds to the Joint Account held with the Societies I Local
Bodies etc., without reconciliation of the receipts and remittances. The Zonal
Managers shall remit due share of the funds to Joint Account held with the
Service Societies favouring *APIIC - LALA AND (concemed) NOTIFIED
INDUSTRIAL AREA SERVICE SOCIEry". ^A,ny delays / Irregularities in
collections / remittances shall have to be pointed out by the Zonal Managers and
the APIIC LALA - Commissioners / Executive Officers shall be held responsible
for such lapses.

9. The lnternal Audit (Finance), APIIC Ltd., Head Office shall verifu / check the
records pertaining to the collections / remittances periodically and any
irregularities shall be pointed out and reported to the appropriate authority.

10. CASH COLLECTIONS: The Service Societies / APIIC IALA shall make cash
collections in exceptional cases upto Rs.l000/- only. However, the same shall be
remitted into the Bank on the same day or next working day.

I l. In case the records are maintained by the Service Societies, the receipts shall be
issued in the name of AP Industrial Infrastructure Corporation Limited -
Industrial Area Local Authority, signed by the authorized signatory of the Service
Society as a Nodal Agency to the APIIC.

12. The APIIC IALA - Commissioners / Executive Officers shall use the facsimile
under safe custody, ifnecessary.
r
13. It has been observed that in respect of some of the Notified Industrial Areas
APIIC IALA has not taken over the necessary records from the Local Bodies for
raising demand / collection of Property Taxes and in some of the areas the Service

27
 societies are not constituted. The zonal Managers, APIIC IALA
Commissioners / Executive Oflicers shall take necessary action and report
compliance in the mafter.

14. The Zonal Managers, APIIC IALA - Commissioners / Executive Officers shall
ensure that there is no stagnation of funds transferred to the Joint Account held
with the Service Societies and shall ensure proper and adequate maintenance of
civic services in the Industrial Areas.

15. It has been observed that in certain areas, the Societies / APIIC IALA have not
taken effective steps for collection of taxes and maintenance of civic amenities in
Industrial Areas, thus diluting the concept of APIIC LALA / Service Societies.
The APIIC IALA - Commissioners / Executive Officers in coordination with the
Service Societies shall launch special drive to collect the Property Taxes from
i
defaulters by issuing Distraint warrants.

16. Some of the Service Societies have been issuing receipts for making collection of
Property Taxes in the name of "Industrial Municipality" and are corresponding io
the name of Industrial Municipality, which is not appropriate. The Corporation
has time and again issued circulars requesting the Service Societies not to use the
name of the Industrial Municipality. The Zonal Managers, APIIC IALA
Commissioners / Executive Offrcers shall take up the issue with the Service
-
Societies and see that using the name of Industrial Municipality by the Service
Societies is dispensed henceforth.

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POWERS / FUNCTIONS OF THE MUNICIPALITIES TRANSFERRED TO APIIC
UNDER APM ACT, 1965

Sl. No. Section Description

2
I 85 kw of Property Tax
2. 86 kw of Property Tax on a direction by Goyemment
3. 87 Method of Assessment ofProperty Tax
4. 88 General Exemptions
5. 89 Taxation to be uniform
6. 90 Property Tax a first ch4rge on Property Tax
7. 9t Properw Tax when payable
8. 92 Vacancv Remission
9. 93 Obligations of trans&ror and transferee 0o give notice of transfer
10. 94 Ovmer's obligations to give notice ofconstruction or demolition of
building
IL 95 Power ofCommissioner or valuation officer to call for information and to
enter upgn premises
12. l14 Tax on ar tis€ments
13. ll5 Prohibition of advertisements without written permission of
Commissioner
l4 ll6 Pcrmission ofComrnissioner to b€come void in certain cases
15. tl7 Owner o person in occupation to bc deemed responsible
16. ll8 Remova '
unauthorized advertisements
I'1. ll9 Col on oftax on advertisements
18. 120 rod ot atscssment ofdutv on lFnsfen ofProperty
19. t24 Porv€r to write off irrEcoverable taxes etc.
20. t34 Constsuction ard maintenance ofwater- works
21. 135 Constinrtion of wqler boards for local authorities
22. 136 TresDass on pr€mises cgnnected with water supply
23. 131 tion ofbuilding ovcr water mains
24. 138 Council to provide water for use
25. 139 lontiol over connections
26. 140 Private r ater Supply for consumption and use and power ofthe Chairman
lQj4force provision of wat€r suDply
21. l4l 'ower ofCouncil to make byelaws for water supply
2 t42 I-ew an< collcction of pipe - line servicc charges
29. t43 Supply bevond thc limits of Municipality
30. t44 Powcr to disconnect Water Supply
31. 145 Non-liability ofCouncil for disconnection, or stopp"ge of *"teriupffi
certain cas€s
32. t46 Pmvision for lighting in public sheets
Jt_ t47 Maintcnance ofsystem ofdrainage by Council
14. 148 Owners ofbuildings to pay for clearance ofsullage from their buildingi
by connecting their house drains with public drains
35. t49 Control over housc drains, privies and Cess polls
36. 150 Conn€ction ofhousc-drains ofprivate Iatrines with public drains or
underground sewers
f1. t5l Commissioner may close or ljmit the use of existing private drains
18. t52 Power of lommissioner to drain premises in coqbination
39. 153 Building elc., not !o be crected ryithout permission over drains
40. t54 Construction ofculvcrts or drains converting by owner or occuoier
41. 155 Power to regulate discharge of laater from building or land

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42. l6l Power to carry wire, pipes, dmins €tc., through prlvat€ prcperty subject to
causins as little inconvenience as Dossible and oayine for direct damage
43. t64 Council to arranged for the ri:moval of rubbish and filth and for the
Dreoaration and sale ofcomDost
44. 165 Contribution from persons having control over places or pilgrimage
45. 166 Prohibition of improper disposal of carcasses, rubbish and filth
46. t67 Prohibition asainst keepins night soil, etc..
47. 168 Prohibition asainst allowins out flow of filth
4E. 169 Prohibition asainst usins anv car without covcr in the rcmoval offilth, etc.
49. 170 Prchibition asainst throwing rubbish or filth into drains
50. t'7 t Maint€nance and rcpair ofstseets
51. 172 Powers of Municipal Authorities
52. t't3 Powers to disDose ofDermanently closcd streets
53. t74 Acquisition of land and buildings for imprcvements of streets
54. t'?5 Powers to sDecifo buildins line and strcet alimment
55. t'76 Buildinss not to be construcled within str€ct aliPnment or building line
56. t7'l Settins back oroiecting buildings or walls
57. r78 Settins buildines forward to improye line of strcet
58. t79 Pmiected streets
59. 180 Water of sheets
60. r8l TemDorary closure of slreets
61. 182 Prctection of aDDurtenances and mat€rials of stsrets
62. 183 Power of Municioalitv to recover expenscs caused by cxtraordinary traffic
63. 184 Owner's obligations to make a layout and to form a sE€et or road when
disoosine oflands as buildine sites
64. t85 Makinc of a lavout and forming of new private srrcE or roads
65. 186 Alterations or demolition of s$€€t or rcad msdc itl breach ofSection I E
66. 187 Powen of Commissioner to ordcr }\.or* io bc carricd out or to cxecutc it in
dcfault
67. t88 Risht ofowner to requir€ str€et to bc declarcd public
68. 189 Prohibition asainst obstruction in or over st€els
69. 190 Strcets oDcn to all
70. t9l Prohibition and regulation of doors, ground floor windows and bars
oD€ninc outwards
't t. t92 Removal of encroachments
't2. 193 Power to allorv certain Droiections and ercctions
't1. 195 Precautions during repairs of sS4lQ
'14. r96 Prohibition asainst removal ofbars and lights
75. t9'l Prohibition against making holes an4 causing obstruction
't 6. 198 License for wo* or buildings likelv to causc
1'' r99 Clearinc ofdebris offallen houses etc., by occupicr
78. 202 Construction ofbuildings for public workshop
79. 203 Permission for construction ofnew building not to be granted on certain
sites
80. 204 Buildins sites and construction ofbuildings
8t. 205 Powers ofcouncil to regulate futurc construction ofcertain classes of
buildincs in oarticular strees or localities
82. 206 Buildins at comer of streets
83. 207 Prohibition against use of inflammable materials for buildings without
permission, prohibition against construction doors, gmund floor, windows
and bars so as to open outwards
84. 208 Prohibition against constructing doors, sround floor windows and bars so
as to oPen outwards
85. 209 ADolication to construct or reconstruct buildings

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86. 2t0 Necessity for prior anproval of site
A 87. 2tt Prohibition against commencement of work without permission
88. 2r2 Period within which Commissioner is to sienifo approval or disapproval
89. 2t3 Period within which Commissioner is to grant or refuse to grant
permission to execute work
90. 214 Effect of delay in grant of refusal of approval or permission
91. 2t5 Grounds on which approval of sites for or license to construct or
reconstruct buildine may be refused
92. 2t6 lapse of permission
,A 93. 2t7 Powers to require alteration of work
94. 2t8 S0oppage of work endangering human life
95. 219 Application ofcertain sections to wells
^ 96. 220 Application to construct or reconstruct huts
97. 22t Prohibition against commencement of work without permission
7)',' Period within which Commissioner is to grant or refuse to grant
^ 9E.
pcrmission to execute the work
A 99. 223 Effect of delay in grant or refusal of permission
100. 224 Grounds on which permission to construct or reconstruct hut may be
A refrsed
l0l. 225 I-apse of permission
/^ 102. 226 Maintenance of external wall in repairs
103. 227 Application of provisions to alterations and additions
A 104. 228 Dsrnolition or alteration of building work unlawfully commenced, carried
on or completed
A 105. 229 Exemptions
106. 230 Application of Schedule III
A t07. 23t Precaution in case of dangerous structures
108. 232 Precautions in case ofdangerous trees
109. 233 Precautiorsin casc ofdangerous tanks, wells, holes etc.
I 10. 234 Power to stop dangerous quarryine
lll 235 Precaution against fire
tt2. 248 Fencing ofbuildings or lands and pruning ofhedges and trees
l 13. 264 Application to be made for construction, establishment or instaltation of
factory, wor*shop or work place in which stream or other is to be
employed
tt4. 265 Use of steam whistles etc.
I 15. 266 Council may issue directions for abatement of nuisance caused by stream
or otherpower
I r6. 267 Power of Govemment to pass orders or give directions in respect of action
taken oroqritted to be taken under section 264, Sec. 265 or sec. 266
n7. 268 Notification of residentiat, Industrial, Commercial etc., arcas in
A Municipality
l 18. 269 Power of Govenunent to notifo the location of the industries
A I 19. 270 Thc Commissioner may enter any factory, work shop or work place
t20. 340 l9lClty for unlawful buildings
t2l 343 Penalty fgr not giving information or giving false information
t22. 347 Power ofpenons conducting elections and other enquiries
A t23. 348 Sumrnons to attend and giyen evidence or produce documents
t24. 349 Form of noticgs and permissions
A 125. 350 Signature on documents
t26. 351 Publication ofbve-laws, lotices, orders etc
t27. 352 Notice of prohibition or setting apart of places
l 28. 353 Method of servi4g documents
129. 354 Recovery by occupier ofsum leviable from owner

3l
130. 355 Obstruction of owner by occuoier
l3l 356 Execution of work by occupibr in default of owner
t32. 357 Powqr of entry to inspecl survey or execute the work
l 33. 358 lower of entry on lands adjacent to works
t34. 359 Conlequences of failure to obtain licenses ctc., or of breach of the same A
I 35. 360 Time for complying with ordcr and Dower to enforce in default
r36. 36r Recovery of expenses from persons liable and limitation of liability of ,i
occupier
37 362 Power of Municipaliw to Day comDensotion
A
38 363 Power of Municipalitv to Day comDcnsation
39 364 Recovery ofsums due as taxes
40. 365 Limitation for recovery of dues
4l 366 Persons empowercd to prosecute
42 367 Imprisonment in default of payment and application of costs etc.
43 368 Payment of comDensation for damase to Municipal DroDerty
u. 369 Institution of suits acainst Municipal Authorities
r45. 370 Provisions respecting institutions e!c., of civil and criminal actions and
obtaining of legal advice
t46. 373 Indemnity to the Government, Collector, Revenue Dvisional Officer,
Municiual Authorities. Officers and Aeents
t47. 374 Liabiliw for loss. waste ormisaoolication
148. 375 Sanction for prosecution of Chairmaq Council, Commissioner or
Municipal Health Oflicer or any other Ofiicer
49 376 Assessments etc.. not to be questioned
150. 377 Injunctions not to be granted in respect of revision or amendment of
assessment books
l5l. 378 Duties of Police Oflicen l

152. 381 Application of term 'Public Scrvant' to Municipal Officers, Agcnts and
sub asents
153. 382 Prohibition against obstruction of municipal authorities, ernployees and A
contractors
154. 383 Prohibition against removal of mark
155. 384 Prohibition aqainst removal or obliteration of notice
156. 38s Prohibition against unauthorized dealinss with public place or materials
57 Sch.tr Taxation rules I to 38
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158. Sch. III Buildine Rules
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POWERS / FTJNCTIONS OF THE GRAMPANCHAYATS TRANSFERRED TO
,\ APIIC UhtDER APPR ACT, 1994
A st. Section De$cription
No.
A I 60 Taxes leviable bv Gram Panchavats
2. 6l House - Tax
A 3. 62 kvy of House - Tax
4. 63 Tax on advertisements
A 5. u Prohibition of advertisements withoqt written permission of executive authoriii
6. 55 Permission of the Executivq Authority to become void in certain cases
7. 66 Owner or person in occupation to be deemed resnonsible
^ 8. 67 Removal of unauthorised advertisements
A 9. 68 Collection of tax on advertisements
10. 69 Duty on Transfer gf property
A ll 7t Special Tax leviable by a Gram Panchayat
t2. 72 Composition of tax payable by owner of a factory or a contiguous group of
A buildings
13. 93 Prohibition against allowins outflow of filth
14. 94 Power as to sanitation and conservancy
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15. 95 lrohibition against working of quarry near public roads
16. 96 Prohibitioq against destruction in or over public roads
A 17. 97 Prohibition against and regulation ofdoor, gate, bar or ground floor window
opening outwards
A t8. 98 Rcmovat of encroachrnents
19. 99 Power to allow certqin projections and erections
A 20. 100 Prohibition of building on sewer, drain etc., without permission
2t l0l Prohibition against making holes and causing obstruction in public roads
)) t02 Prohibition against planting or felling trees on public roads etc., without
permission.
23. 103 Recovery ofpenalty and compensation for un-authorisbd occupation ofland
24. t20 Applications to be made for construction, establishment or installation of
factory, workshop or work - place in which stream or other power is to be
employed
25. t2t Construction of Buildiqg
26. t22 Powers ofGram Panchayat to issue directions for abatement of nuisance iausid
A by steam or other power
27. t23 Form of Licences, notices, permissions
28. 126 Power to name strcets and numler buildings
29. t27 General provisions regarding licenses and permissions
30. t28 Appeal from the order of executive authority
A 3l t29 Limitatiqn of time for appeal
32. l3t Time for complying with notice, order etc.
A 33. t32 Power ofentry and inspection
34. t34 Power to catl for information from Village Development Officer
35. r35 Limitation for recovery of dues
36. 136 Persons empowered to prosecule
37. t37 Powers to compound offences
38. 138 Prosecutions and coqtpositions to be reported to Gram panchayat
A )4. LJ> Assisiarrce of Poiics t" iltg !*-jqnchayai
40. 140 Wrongful resfaint of executive authority or his delegates
A 4l l4l Punishment for obstnrcting Gram Panchayat
42. 142 Penalty for not giving information or giying false information

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43. t45 Power to farm out fees

M. 254 Recovery of sums due to the Gram Panchaya! Mandal Parishads or Zilla
Parishads as arrears ofland Revenue ,^t
45. 255 Power of entry of inspecting officers
46. . 256 Power to call for records etc. o

47. 257 Protection of acts done in eood faith

48. 267 Assessments etc.. not to be impeached
49. 271 General provisions reeardine oenalties specified in Schedules III & ry
50. 272 Recovery of amounts due as taxes
51. Schedule III Ordinary Penalties
52. Schedule IV Penalties for continuing Brcaches

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3. CONCEPT OF 56NOTIFIED INDUSTRIAL AREAS SERVICE
SOCTETY'' A]YD IT'S ROLE:
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l. APIIC Ltd., under Local Authority status has evolved the concept of the "Notified
lndustrial Areas Service society" to promote the objective of "Self Governance" of the
Notified lndustial Areas, by involving the tax-payer cornmunities and getting the Service
Societies registered under the AP (Telangana Area) Public Societies Registration Act,
1350 Fasli / The Societies Registration Act, 1860.

2. Any five or more persons shall enter into Memorandum of Association / Society
under the AP (Telangana Area) Public Societies Act, 1350 F and any seven or more
persons under the Societies Registration Act, 1860 in respect of the Andhra Area.
Accordingly it may be ansured that the required number of tax payers in the lndustrial
Areas shall come together to form into the Service Society.

3. The Ofticer of the Corporation nominated to act as the Executive Officer /

.q Commissioner / Special Officer under the relevant acts of the Local Bodies, shall be
the ex-officio Vice Chairman of the Society. However, he or any Official of the
Corporation shall not have representation in the list of the persons and addresses to be
furnished in the Mernorandum / declaration / Certificate.

4. The name of the Service Society shall be as follow's:

a) In respect of all the Notified Industrial Areas falling within the limits of a Gram
Panchayat:

For example: Pashamylaram Gram Panchayat:

'"The Pasharnylaram Notified Gram Panchayat tndustrial Areas Service Society"

b) In respect of all the Notified Industrial Areas falling with in the limits of a
Municioaliw:

For exarnple :: Outubullapur Municipality

"The Qutubullapur Notified Municipal Industrial Areas Service Society"

c) In respect of all the Notified Industrial Areas falling within the limits of a
Municipal Corporation: :

For example :: Warangal Municipal Corporation ::

r^
" The Warangai Notifie<i Municipai Corporation Inciustriai Areas Service
Society"

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 d) In respect of the Industrial Areas falling within the limits of more than one Gram
Panchayat::

For example :: Mamillapalli & Chinnachowk Gram Panchayats :

"The Mamillapalli & Chinnachowk Notihed Gram Panchayat lndustrial Areas

Service Society". l

5. Only one Service Society representing all the phases of a Notified lndustrial Area
and all
the lndustial Areas falling within the limits of a Local Body shall be constituted and
proper representation of the members from all the phases of an Industrial Area / all A
tndustrial Areas in the Managing Committee of the Service Society ie., Office bearers
and remaining members of the Managing Committee shall be ensured.

6. RULES & REGULATIONS OF TITE SERVICE SOCIETIES ::

i) MEMBERSHTP

a) Membership is open and compglsory for all the (Industrial /Housing) Units
located in the Notified Industrial Areas of the APIIC LALA within the limits of
Gram Panchayat/ Municipality / Municipal Corporation.

b) Membership shall be renewed by payrrrg the membership fee before the end of
September of every year and thereafter together with a late fee of Rs.25l-

c) If the membership is not renewed by a member by paying the prescribed fee, the
member forfeits all his rights of mernbership including voting.

ii) GENERAL BODY ::

' All the members of the Society are entitled to participate and vote in the Annual
General Body Meetings or Special General Body Meetings of the Society. Annual
General Body meeting the Society shall be convened each year in the month of December
to transact the following business:-

a) To elect the Managing Committee which includes the OIfice bearers of the
Service Society ie., Chairman, Vice Chairman, Secretary, Joint Secretary and the
Treasurer.

The concerned Zonal Manager I Dy. Zonal Manager / Asst. Zonal Manager &
Executive Officer / Commissioner i Special Officer of the APIIC IALA shall be
the ex-officio Vice Chairman of the Societv.

b) To adopt annual accounts ofthe Society:

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c) To appoint Auditors and to fix their remuneration

d) To Adopt the Annual Report of the chairman of the Society on the working and
,-, management of the Society
e) To approve the annual Budget of the Society:
0 To consider expulsion or suspension of members:
s) Any other matte(s).

iii) MANAGING COMMITTEE :

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a) There shall be a Managing Committee to govern day to day administration of the

Society subject to over all control of the General Body.

b) The Managing Committee shall consist of the following:

i) All the OfIice bearers of the Society elected by the General Body.

ii) The Ex-officio vice chairman of the sociery (the nominee of the ApIIC):

iii) The members specially elected to the Managing Committee by the General
Body. This number shall not be less than five (Telangana Area) / Seven
(Andhra Area) and shall not exceed twelve.

iv) There will be equal representation on the Managing Committee for each
phase / Industrial Estate so as to maintain the democratic principles of
representation.

v) The Office bearers posts will be rotating and atleast one offrce bearer should
be selected from each of the phase / Industrial Estate. An individual should
hold a gven post for ama,rimum period of nvo terms.

vi) J[s \{anaging committee ie., office bearers and remaining members of the
Managing Committee should be the representatives of the Industries
established in the lndustrial Estate and must not be defaulters of any taxes,
fees etc., on the date of scrutiny of their nominations for contesting to the
posts ofthe Managing Committee.

vii) The defaulters should not be allowed to be voters in the elections to the
Managing Committee of the Service Societies.

viii) The oflice bearers should be elected by the Managing committee, only
eligible voters could be the office bearers of the service Society.

A ix) The allocation of funds for the works to be taken up wou-ld be done on the
basis of the collection of revenue ie., Property Tax, Building permit fee /
Plant and Machinery installation fees etc., from the particular phase /
Industrial Estate.

37
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:
x) Atleast two representatives from the allottees of Housing Complex, if any
and atleast one representative from the allottees of Commercial Complex of
the APIIC., if any including the Units engaged in commercial activities (not
Industrial) in the Notified Industrial Areas shall be nominated as the
members of the Managing Committee. However, the Housing allottees and
also Commercial Units are not eligible to vote or contest for election to the
other posts of Managing Committee of the Service Society ie., Oflice
bearers and also the remaining members of the Managing Committee.

xi) All decision in the Managing Committee are taken by a majority of the
members present and voting.

c) The Nominees of Government Deparhnents / Public lnstitutions like the DIC., A

APSEB., APPCB., concemed Local Body, APIIC, UDA, etc., shall be the ex-
offrcio members of the Managing Committee and they shall be invited to the
meetings of the General Body and Managing Cornmittee. They are entitled to
participate in the General body and Managing Committee meetings but are not
eligible to vote.

d) i) Any memberof the Managing Committee may at any time resign from his
Office by sending a letter of resignation to the Chairman / Secretary of the
Society but such resignation shall take effect only from the date on which
it is accepted by the Managing Committee. a
ii) Any casual or interim vacancy or'vacancies in the Managing Committee
a
including that of an Office bearer either by resignation, death, insanity, Ar
insolvency, illness, incapacity due to what€ver reason including going
abroad temporarily or permanently shall be filled up by cooption by the A
remaining members of the Managing Committee at a meeting. The
membe(s) so co-opted shall vacate hiJtrer oflice on the day, on which ,t,
term of the Office of the member expires ie., in whose place he/she was
co-opted. It shall also be open to General Body of the Society to elect
another filling up such vacancy or vacancies in the Managing Committee
and the membe(s) so elected shall hold office only for the un-expired
period of the original term. However the proceedings of the Managing
Committee shall not be invalidated on account of any vacancy or
vacancies on the Committee.

iii) NOTICE FOR MEETING ::

Generallv
-J V::!i siii fortteen
ivsi i!!i: clear davs nntice tn al! the memhers sha!! be reauired
for convening the meetings of the General Body and seven days notice is

38
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required to be issued for convening the meetiigs of the Managing

Committee. However, the General Body or Managing Committee
meetings maybe convened at short notice, if need be, with the approval of
the Chairman of the Society.

iv) CIRCTJLAR RESOLUTIONS : :

Ordinarily all decisions shall be taken in the meetings convened for the
purpose and approved by a majority of those present and voting.
However, business can be transacted through circular resolutions by the
^ Managing Committee in case of urgency provided a majority of the
elected members of the Managing Committee agreelapprove the
proposals. However the decisions of the Managing Committee taken by
way of circular resolutions shall be placed before the next Managing
Committee for information.

--\ v) MAINTENAI\ICE OF BOOKS & REGISTERS ::

Me,mbers Register, Account books, Attendance Registers, Minutes Books

of the meeting etc., shall be maintained by the Society in such form /
menner as decided by the Managing Committee.

vi) ATJDITING OF ACCOUNTS ::

The accounts of the Society shall be audited once in a year by a Charted

Accountant appointed in a General Body meeting and the audited annual
accounts together with the report of the Auditors shall be placed before the
Annual Gelreral Body Meeting for approval.

vi) QUORUM::

Two thirds of the total members for General Body shall form the quorum.
However, quonrm is not required for adjourned General Body meeting
after 30 minutes of the scheduled time of the original meeting: Quorum for
the Managing Committee meetings shall be 5 members present out of
which atleast 2 shall be the Offrce bearers of the Society.

7. NOMINATION OF SERVICE SOCIETIES BY APIIC AS ITS NODAL

AGENCIES::

7.1. APIIC has nominated 8l Nos. of Service Societies as its Nodal Agencies to assist
in collection of Property Taxes and maintenance of civic services in the Industrial Areas,
in respoct of i84 in<iustriai Areas, out oi270 Areas notified by the Governmenr.

39
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7.2. The Service Societies were delegated with powers to prepare and sanction budget,
collection of Property Taxes etc., in the name of APIIC IALA and with the managemcnt A
and maintenance of civic services in the Industrial Areas.

7.3. The Field officers of APIIC Ltd., i.e., Dy. zonal Managers / Asst. zonal
Managers were nominated as Special Offrcer / Commissioners / Executive Officers to
exercise / perform the powers / functions that are delegated by Government under the
APPR Acf 1994, AP Municipalities Act, 1965 and AP Municipal Corporations Act,
1994, duly placing all the matters related to Industrial Area Local Authority, such as
assessment, levy and demand of the Properly Taxes, Building Plan approvals, removal of
encroachments etc., which are to be exercised by the APIIC IALA
- Commissioners /
Executive Oflicers under statutory provisions of the Acts, before the Managing
Committee of the Service Societies for their views / remarks.

7.3. The Managing Committee of the Service Society shall have the Office Bearers
and other Managing Committee members as follows:

l. Chairman
2. The APIIC - Dy. Zonal Manager / Asst. Zonal Manager and Commissioner /
Executive Officer will be the Ex-officio Vice Chairman
3. Secretary
4. Joint Secretary
5. Treasurer
6. Other Managing Committee members

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^' 5. Components of Property Tax in Municipalities

The Property Tax shall be levied on all buildings and lands at a percentage of their
Annual Rental Value (ARV) with in Municipal limits. The components of Property Tax are

a) a ta,r for general purpose ;

b) awater and drainage tzx ;
c) a lighting tax ;
d) a scavenging ta"\;
6. Components of property tar in Municipal Corporations

The following Property Tates shall be levied on all buildings and lands in the city.

(a) a general tax;

O) a water tax;
(c) adrainagetax;
(d) a lighting tax;
(e) a conservancy ta:q

7. Rates of Property Tax in Municipalities

The incidence of property tar with the Education Tax and Library cess levied under
the relevant laws shall not exceed as shown here under in all ULBs except Hyderabad.

A (a) Residential Buildings : 25percent of Annual Rental Value

(B) Non-Residential Buildings : 33 percent of Annual Rental Value
)
8. Rate of Property Tax in Municipal Corporation of Hyderabad

_ The Property Ta:res shall not be less than 15 percent or greater than 30 percent of
Annual Rental Value (ARV) in Municipal Corporation of Hyderabad (MCH). The
A following rates of Property Tares are levied in MCH.

43
 Residential Buildines
Ranse of Annual Rental Value Rate of Proper8 Tax
up to Rs. 600/- Exempted from
Dayment of Property Tax
Rs.60l/- to Rs. 12001- l7o/o
Rs. l20l/- to Rs.24O0l- l9/o
Rs.240ll- to Rs.3600/- 22o/o
Above Rs. 3600/- 3U/o
Non-Residential Buildings
All Non-Residential Buildings irrespective 30lo of ARV
of Annual Rental Value (ARV)
A

9. Property tax on Properties of Visakhapatnam Port Trust

"vested
In the case of lands and buildings in the Visakhapatram Port Trust, it shall
be lawful for the Corporation to levy by a resolution in any year, a properly tax at the rate
of four percent of the Annual Gross earnings of the said Port Trust, in the year immediately
preceding such levy. (Section 8(3A) of Visakhapatnam Municipal Corporation Act, 1979.)

10. Basis for levy of Property Tax

Annual Rental value of Buildings and lands is the basis for levy of Property Ta>c
both in Municipalities and Municipal Corporations.

ll. System Prior to 1989

11.1. Prior to the amendment of the Municipal Laws in the year 1989 I, the Annual
Rental Value (ARV) of buildings or lands was determined with reference to the rent ^
received for the building or land. ,\
11.2. Further, when 'Fair Rent' of a building was fixed under Rent Control legislation2, A
the ARV of the building shall not exceed the amount of 'fair rent' so fixed. No
rules or guidelines were issued at that time for fixation of ARV of buildings and A
lands. Thus, as the municipal law stood prior to 1989, there were two distinct
principles to be followed in the determination of the ARV.
a) The statutory rent, ie., fair rent fixed or fixable in respect of buildings covered by
the Rent Conrol legislation. ^\
4
b) The market rent, ie., rent fixed either on the basis of actual rent received or on
hypothetical basis, receivable in respect of buildings not governed under the Rent
Control legislation. :
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I Scction 87 of A.P. Municipal Act, 1965

2. A.P. Buildings (Lease,Rent,Eviction) Control Act,

.)
1960
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l13. In case of owner occupied buildings, the ARV would be on the basis of hypothetical
rent, i.e., the rent it would fetch in the open market. In the fixation of rent in such cases,
there used to be considerable discretion to the assessing authorities, resulting in large
disparities in the amount of tax. In actual practice, it was difficult to arrive at a truly
representative and accurate market rent, since rents for similarly placed buildings are
themselves highly variable owing to various non-economic factors. Moreover, the
sampling of rents for similar buildings varies with different assessing authorities. Hence
even with the most conscious efforts, it is not possible to fix ARV on a demonstrably
objective basis. It is this situation that has been the main cause for complaints of
^ arbitrariness in the assessment of property tax and a demand for reform.

12. Amendments to A.P. Municipalities Act 1965 and Hyderabad Municipal

Corporation Act, 1955 in the year 1989

A ln order to eliminate such arbitrariness to the extent possible in determining the

ARV, the A.P. Municipalities Act and the Hyderabad Municipal Corporation Act have
2f been amended in the year 19893 to provide for determination of ARV of buildings on a
scientific an manner. An attempt was made to overcome the limitations of A.P. Buildings
A ([rase, Rent and Eviction) control Act, 1960 as far as the Property Tax assessment is
concerned. As part of the restnrcturing of the Property Tax system, Section 87(3) of A.P.
-i municipalities Act was amended to enable the assessment of properties with reference to
plinth areq q/pe of building etc. notwithstanding the provisions of the Rent Control Act.
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13. Objectives of Reforms

The objectives of the new method of assessment of property ta:( are:

/a (l) To evolve a scientific method in the assessment and levy of property tax
incorporating the principles of equity, objectivity in fairness and simplicity.
(2) To fix the assessments uniformly for similar buildings used for similar
purposes and situated in same locality.
(3) To reduce the element of discretion and to avoid arbitrariness in the
assessment of ta"r.
(4) To simplifu the procedure of assessment and to make it transparent.
A (5) To de-link the Rent Contol provisions from assessment of property tax.
(6) To provide relief to owner occupied residential buildings, and buildings
constructed under weaker section housing schemes.
(7) To improve buoyancy in the property tax revenues.
(8) To make to< administration effrcient, transparent and effective in the levy
of Property Ta"r.

/^ 1 A^r1n^flOaO

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14. New method of Assessment of Property Tax 1
The salient features of the new method of assessment of properly tax are: t

14.1. Determination of Annual Rental Value

The basis for levy of property tax even after amendment of Municipal Laws 1
remains the same, ie., the Annual Rental Value (ARV) of the buildings and lands. The
following factors shall be taken into consideration for fixation of ARV

a) Location of building
b) Type of construction I
c) Nature of use a
d)
e)
Plinth area
Age of building
I
14.2. Zoning

The first step in the new systeir is to divide the entire municipal area into
convenient territoriaL zones for purposes of fixation of furnual Rental Value based on the
following factors:

a) Availability of civic amenities like water supply, street lighting,

roads and drains.

b) Markets and shopping centers.

'c) Educational and Medical institutions.
a
' d) Banks, postal services and public offices,
Ar
e) Factories and industrial areas, and

0 Such otherrelevant factors

As far as possible, the number of zones should be kept at the minimum-

a
14.3. Classification of Buildings:
A
After division of municipality into territorial zones, the buildings situated in each
zone are classified, based on its nature of construction into the following categories :

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 r) fi;"""#'*fl'*lff fif,i,l*1*t#::;ffik'J"Ir,J";:;*fff:ffi:[
^ constnrction
2) RCC Ordinary buildings: RCC buildings with ordinary type of wood, flooring and

3) ffiX*Tid orJack Arch roofed or stone slabs or slate roofed buildings.

^ 4) Mangalore tiled roofed or Asbestos roofed or G.I. roofed buildings.
5) Country tiled buildings.
A 6) Huts.

A 7) Any other buildings not covered above.

A 14.4. Nature of use of Buildingsz

/A After classification of buildings based on their type of construction, they will be
further classified on the nature of use into the following categories.

l) Residential
2) ShopJShoppingcomplexes
3) Public Use:
a) Office complexes, public and private offices, and
banks.
b) Hospitals and Nursing Homes.
c) Educational institutions.

4). Commercial PurPoses:

a) Hotels, Lodges, Restaurants
b) Godowns and other business establishments.
5) Industial Purpose, i.e., Factories, mills, workshops and other
industies.
6) Cinema theatres or places of public entertainment.
7) Any other use not covered above.

A 14.5. Fixation of Monthly Rental Yaluesz

14.5.1. All buildings located in a zone are classified based on the type of

a based on the above criteria. The Commissioner shall conduct a sample survey of 20
percent of Buildings and gather information relating to the prevailing rental values of
A various categories of buildings in various zones, and arrive at the average monthly rent per
square meter of plinth area fixable for each category of building. Accordingly the

47
Municipal Commissioners Conducted a survey of 20 percent of Buildings of various
categories and gathered prevailing rental value of various categories of Buildings in all
Zones.

14.5.2. Simultaneously, a Committee was constituted for each District with the following
officers to advise the Commissioners in the District on fixation of rent per square meter of
plinth area for various categories of the buildings in various zones:
l) District Collector Chairman
2) Superintending Engineer (PH) Member
3) Regional Director-cum-Appellate
Commissioner of Municipal Administration Member
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The District Level Advisory Committee gave its reconrmendations to the
Commissioners on division of municipality into zones and on the monthly rental values per
square meter of plinth area of various categories of buildings.

14.5.3. Based on the sample survey conducted and the recommendations of the District
Level Advisory Committee, a notification containing division of the municipality into
zones and the monthly rental values (MRVs) per square meter of plinth area for various
categories of buildings in all zones has been prepared by the Municipal Commissioners.
The notification has been published in the District Gazette and the local newspapers, and
objections and suggestions were called in the matter within 15 days from the date of
publication of the notification.

14.5.4.The Commissioners have considered the objections and zuggestions received from
the public and placed them before the District Level Advisory Committee. The Committee
scrutinized them and offered their final recommendations in this matter. Then, a final
notificationa dividing the town into various zones and showing the MRV fixed per square
meter of plinth area for various categories of buildings and various usages in various zones
was published in Form "A" of Assessment of To<es Rules, 1990. The final notification was
published in the District Gazette and local newspapers for information of the public.

14.5.5. ln respect of multi-storied buildings, rental values are to be fixed separately

for the following categories

a) Cellar
b) Ground and first floor
c) Other floors
)

4. Fonn A notification ofAssessmentofTaxes Rules 1990

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f4.5.6. There is a provision for sub-categorisation of localities in a zone. Main roads or
,-\ lanes with buildings used for shops and shopping complexes having commercial
importance can be identified and separate values can be fixed for such areas.
A
15. Monthly Rental Values (MRVs) Iixed per square meter of plinth area in
A municipalities
A The following are the maximum monthly rental values per square meter of plinth
A area after the sample surveys/recommendations of District Level Advisory Committees
notified by municipalities during the year 1993.
A
A Nanrre of Category of Construction
Usage
RCC RCC Madras Mangalore Country Huts
A Posh Ordinary Terraced tiled tiled
A In Rupees

A A. Residential 8.00 6.50 5.50 4.00 3.00 2.00

B. Shops 30.00 27.00 21.00 r6.00 12.00 4.00
A C. Public offices:
A i) Offrces & banks 18.00 16.00 14.00 8.00 7.00 4.00
ii) Hospitals &
A Nursine Homes 18.00 16.00 14.00 r0.00 6.00 2.00
iii) Educational ,1P 10.00 8.00 s.00 4.00 2.00
A Institutions
D. Commercial
Usage:

,r\ D Hotels, Lodges

& Restaurants 14.00 14.00 12.00 8.00 6.00 3.00
ii) Godowns 9.80 8.00 6.00 5.00 4.00 2.00
E. lndusnial use 8.00 7.00 7.50 5.40 3.00 2.50
F. Cinerna theatres 7.50 6.00 s.00 4.50 3.50 3.00
G. Other uses 4.50 4.25 3.50 3.00 2.s0 2.OO

,^ 16. Apportionment of Annual Rental Value

The ARV is apportioned among the building and site in the following proportion.
A i) Building 2/3 of ARV
ii) Site l/3 of ARV
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17. Allowances for repairs or on any other account

The following deductions are allowed from the ARV attributable to the building in
lieu of all allowances for repairs or on any other account:

Ase of the buildins Deduction allowed

25 years and below l0% of ARV
Above 25 years and upto 20% of ARV
40 years
Above 40 years 30% of ARV

f 8. Rebate to owner occupied residential buildings

A rebate of
of the ARV is allowed in respect of the residential buildings
40Yo
occupied by the owner inclusive of the deduction permissible towards the age of the
building.

19. Vacant Land Tax

ln respect of vacant lands, the capital value of the land will be the basis for taxation.
The capital value means the market value fixed by the Regishation deparment for the
purpose of registration. ln case the land is purchased at a higher price than the market
value, the consideration mentioned in the registered document will be adopted. The
property tax on vacant lands will be not more than 0.5o/o of the capital value of the land.
Vacant land in excess of the permissible limit as appurtenant or adjacent to a building is not
taxeds, if it is used for development of trees o. g*d"ns.

20. Exemption from payment of property tax

,^\

The following buildings and lands are exempt from paymart of property to(:

a) Places set apart for public worship.

b) Choultries
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c) Recognised educational institutions including hostels, libraries and

playgrounds.
d) Ancient monuments not used as residential quarters or as public offices.

5. Section 87 of A.P.M.Act, 1965

50 ^
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e) Charitable hospitals and dispensaries.

0 Hospitals and dispensaries maintained by railway institutions.

g) Burial and buming grounds.
h) Buildings and lands belonging to the municipality
i) Irrigation works vested with the Government.

2t. Exemption of Owner Occupied Residential Buildings

The owner occupied residential buildings are exempt from property tax by a
resolution of the Council, if the ARV do not exceed in respect of:

Municioal Comorations Rs.900/-

Selection and Special grade
Municioalities Rs.450/-
Other municipalities Rs.300/-

22. Houses constructed for the urban poor

In respect of houses constnrcted through the agencies of State Government under

Weaker Section Housing Programmes, the municipality has to collect one rupee per every
half-year towards property t&x.

23. Municipalities situated on the sea-shore

An additional deductionof 5o/o of ARV atrributable to the building is allowed in

respect of municipalities and municipal corporations situated on the sea-shore. This
concession applies currently to the following municipalities and municipal corporations.
I ) Bheemunipatnan MuniciPalitY'
2) Kakinada MunicipalitY

3) Machilipaham MuniciPalitY
4) Visakhapatnam Municipal Corporation

24. Previous years of General Revision of Taxes

General revision of taxes to take place normally and as per law, once in every five
years, did not take place in the municipalities for various administrative reasons since 1965.
However, it took place in certain municipalities during 1978-79 to 1990-91 in an erratic
way. In respect of &e municipaiities constituted in the year i985 an<i afterwards, generai
revision did not take place at all.

5l
 A

25. Revision of taxes

to revise tores
25.1. The Government have issued instructions to all Municipal Councils6
have gathered the
under the new system with effect from 1.10.1993. The Commissioners
List of
particulars of all buildings situated in the municipality in Property Tax Assessment
among others,
Buildings in Form-B of Lssessment of Taxes Ruies, iqqO. The information'
include:

i. Name of the localitY

ii. Year of completion and age of building'
iii. DescriPtion of building' A

iv. Amenities provided in building'

v. Nature of occuPation' ,-r
vi. TYPe of constmction'
vii. Plinth area of building'
viii. Nature of use of building'
worked out
25.2. After collecting the relevant data of buildings, the Commissioners have meter
rent notified per square
the monthly rental valie for each building as per the-monthly
occupation" nature of use
of plinth area with reference to the type of construction, nature of
rental valye, deductions
and plinth area of the building. Afiir calculation of the monthly
were given from the ARV based on the age of the building, nature
of occupation, ie', owner
occupied or rented. A

out and the tax was

25.3 After deducting the allowances, the net rental value was worked
th9 Council' .Later on' a
calculated on the net lental value as per the rate of tax fixed ty .A
the detailed reasons
special notice was issued to the owner of the building duly fumishing
uoa pu.ti.rlars of the Building for levy / increase of Property
Tax.
-t

26. Special Notice

list a special
26.1. As soon as assessment is fixed by the Commissioner in the Assessment
notice of property tax for new assessment or amendment duly frlling
al-l-1l1mns shall be
served on the owner of the building / vacant land as provided in
Section 353 of APM Act'

6. C.0.Ms. No.469 M.A. dt. ll-7-1991

52
A
,a\ 26.2. As per Section 353 of APM Act service of the notice may be effected.-
r-l
a. By giving to the owner of the building duly obtaining acknowledgement on the
offrce copy of the special notice with the date.
b. Whenever the owner is not found in the building by giving the notice to some
adult member or servart of his family. In these cases, the name of the person on
whom notice is served shall be got written in capital letters underneath the
signature duly noting down the relationship of the recipient to the owner of the
A building. Date of service always shall be noted in the office copy of the special
notice.
c. If the owner does not reside in the municipality and his address elsewhere is
known to the Commissioner by sending the same to him by registered post.
d- If none of the means aforesaid be available, by fixing the same in some
A\ conspicuous part ofsuch place ofabode or business.
263. Proper care has to be exercised in the matter of;service of special notice for the
following reasons:
,-\
l. To effect distraint of properties in the case of failufe to pay property tax.
r-\
2. For filling of prosecution or civil suit against the owner for failure to pay
A property ta,x.
3. To calculate arnount of penal interest.

27. Appeal Procedures

27.1. Revision Petition

After receipt of the special notice increasing the property tax, the owner of the
building can file a revision petition to the Municipal Commissioner within 30 days from
the date of receipt of the special notice for ieduction of the property tax, if he is not
satisfied with the assessment fixed by the Municipal Commissioner. The Municipal
Commissioner shall dispose of all the revision petitions after giving an opportunity of
hearing to the owner of the building or the authorized agent to appear in person to represent
his case. A statement shall be recorded from the complainant by the Commissioner in the
regard. A speaking order shall be passed by the Commissioner after disposal of the
revision petition. Immediately after the disposal of revision petition, Municipal
Commissioner shall inform the petitioner in writing of the orders passed thereon directing
him to pay the amount of property tax fixed on revision within 15 days after the date of
receipt of such intimation.
27.2. Appeal
/r
An appeal shall lie to Appellate Commissioner in respect of orders passed by the
Municipal Commissioner on the revision petition. The appeal shall set forth concisely the

53
 A

1
grounds of objection to the decision of the Municipal Commissioner. No appeal to the
Appellate Commissioner shall be heard unless it reaches the municipal office within 15
days from the date of service of orders on the revision petition. The Appellate
Commissioner shall dispose of the appeals after giving an opportunity of hearing to the
petitioner. The Appellate Commissioner shall pass a speaking order after disposal of the
Appeal. Six Appellate Commissioners-Cum-Regional Directors are appointed in Andhra
Pradesh to dispose of the tax appeals and to have general supervision over the functioning
of the municipalities in the State.
i
o

28. Limit to enhancement due to revision

Consequent on the revision, number of representations were received from the rate
payers complaining abnormal increase over the existing taxes. After considering these
representations, Government have amended the rules limiting the enhancemant of property
tax due to general revision to 100% or 75Yo as the case tnay be over the existing tax
depending upon the year of assessment or reassessment as shown here undec

i) In respect of buildings which have been assessed or reassessed to ta:r due to general
revision / monthly lists prior to 1.10.1983 and which have not been subsequently
revised, the assessment of tax due to present ganeral revision shall not exceed
hundred percent of the amount of tax payable on the properties as on 30-9-1993.

ii) In respect of buildings which have been assessed after 1.10.1983, the assessment of
tax due to present general revision shall not exceed seventy five percent of the
amount ol'tax payable on the property as on 30-9-1993.

29. Removal of limits

However, during the year 2000, Government have removed the above restrictiqns
with effect from 1.4.20007. Accordingly, all municipalities have revised the property ta:c on
such properties hitherto covered by the above mentioned restrictions.

30. Courts'intervention

Certain Rate Payers Associations have filed Writ Petitions in the High Court of
Andhra Pradesh questioning the action of Government and municipalities in introducing -\
the new system of assessment of property tax and revision of taxes on the basis of new
system.

-\

7. C.O.Ms.No. 159 M. A. dt. I 3-l-2000

54

A
A
 31. Orders of High Court of AP

The High Court of AP in its orders dated29.l2Jg94 in W.P.No.l55gllg3 and batch

gave the following directions in a batch of Writ Petitions filed against the new system of
A assessment of property tax.

A
l) The power of determination of the rateable value of the buildings and the properry
tax belongs to the Commissioner, which cannot be fettered by rules framed under
the Acts.
A 2) The committee constituted by the Govemment has no role to play and the
A Commissioner is not bound by their recommendations.
3) The Annual Rental Value to be fixed by the Commissioner in the Corporation areas
A
shall be limited to the fair rent either determined or determinable under the A.P.
Buildings (Lease, Rent and Eviction) Control Act.
,^
4) Subject to the maximum as above, the commissioner may fix a lesser Annual
,-\ Rental Value keeping in consideration the factors as provided for in Setion 212 of
the Corporation Act.
A
5) The Annual Rental Value in respect of all buildings in municipal areas where rent
,^\ has been determined under the rBnt conhol legislation would be the gross annual
rent on the basis of such rent determined, unless where there is any fraud or
collusion, and that in respect of other buildings in the municipality areas, the
Commissioner has to determine the amount keeping in consideration the factors
under Section 87(2).
6) In determining the Annual Re'ntal Value, the Comtnissioner may resort to plinth
area method so as to serve him as a basis and guide, but it will be open to the
assesses to contest the annual rental value, rateable value
orproperty ta;r determined
in respect of their buildings and when the objections are raise4 the Commissioner
A
has to decide those objections objectively without feuering his discretion because of
the determination already made on the basis of the plinth area method.
7) Rules 3 to 7 of the Corporation and the Municipal Rules are to be read only as
enabling provisions for the Commissioner to aid him in discharge of his functions
under the Corporation or the Municipal Act to. arrive at working figures forthe
,^ purpose of determination, but not as fettering his discretion in the matter as
conferred upon him under the statutes.
^ 8) The Form A publications already made would be deemed to have been iszued by
A the Commissioner only on such basis as is stated above and not in pursuance of the
recommendations of the Committee.
/
e) Before Form B is issued in respect of the buildings and lands, the Commissioner
shall afford opport'.rnity to the assesses to object to the determinations mCe and
shall decide the objections on considerations as directed above, and the provisions

55
 of sections 214 to 225 of the corporation Act shall be scrupulously followed
subject to the provisions ofAppeal.

32. Implications of tbe orders of High 6ourt

(l) The District Level Advisory committee has no role to play in determination of
monthly rental value per square metre of plinth area. Hence, action has to be taken
to ,toj th" convening of the meetings of District Level Advisory Committees
whenever general revision ofproperty tax is taken up.
2) The ARV to be fixed by the commissioner in the corporation areas shall be limited
to the fair rent either determined or determinable under Rent Control Act'
3) Where fair rent has been fixed under Rent control Act in municipal areas, it shall
be adopted as ARV for the purpose of hxation of property tax'

4) Whenwer any objections are raised regarding ARV frxed, the commissioner has to
decide qose bbiitions objectively without fettering his discretion because of the
determination already made on the basis ofplinth area method'

33. Observatioos ofSuPreme Court:

on an appeal prefeired by Govemment of Andhra Pradesh against the orders of the

-supremc
Hieh Court Oi Court of India delivered its final judgrnent in Civil Appeal No.
4Oa2 of 1996 datf/,.z'n May 2001. The important observations of the Supreme Court
are
as follows:

(l) It is our view that the Act and the rules provide a complete code for assessment of
O" p.p".ty t* to be levied for the buildings and lands within the Municipal Corporations.
Th; is no provision in the stalute that the fair rent determined of a property under the
Rent Conrol Act is binding on the commissioner. But that is not to say that the
Commissiouer is mandatorily required to follow the fair rent fixed by the authority under
the Rent Control Act. The Hon'ble High Court therefore, did not cornmit any error in
holding that the determination of fair rent under the rent control statute will not be binding
on the Commissioner for the purpose of assessment ofproperty tax under the Act.

(2) The commitee set up by the state Govemment has no statutory existence. Its
ommendations are advisory and are not binding on the Commissioner. In this regard
also, the High Court cannot be said to have committed any illegality in holding that the
powers of the Commissioner are not fettered by the recommendations of the Committee.
I'herefore, the order of the State Govemment making the decision of the Committee
binding on the Commissioner is not suslainable and the view taken by the High Court in
this regard is unassailable.

56
 f

34. Finnl orders of the Supreme Court

"On the discussions in the foregoing paragraphs, the decision that emerges is that
only the findings / decision of the High Court in point nos. (3) and (5), as stated in the
judgment under challenge, are to be sot aside. It is ordered accordingly. The appeals are
-, allowed in part. No Costs."

35. Implications of the orders of Supreme Court

^q
The Supreme Court set aside the judgment of the High Court in respect of point
nos. (3) and (5). Point no. (3) of the Judgement of High Court is that "the ARV to be fixed
by the Commissioner in the Corporation areas shall be limited to the fair rent either
determined or determinable under the A.P. Buildings (Lease, Rent and Eviction) Control
Act". According to the judgment of the High Court, the Commissioners of the Corporations
are bound to fix the ARVs with reference to the fair rent either determined or determinable
under the A.P. Buildings (Lease, Rent and Eviction) Control Ac! but not under the
At provisions of section 212 of the HMC Act 1955. In view of setting aside that point of the
judgment by the Supreme Court, adoption of fair rent determined or determinable under the
F provisions of Rent Control Act is not binding on the Commissioners and they can assess
the property tax under the provisions of Section2l2 of the HMC Act 1955.
A

A The other point of the High Court set aside by the Suprane Court is in respect of
point no (5), i.e., assessments in municipal areas.
A As per the judgment of the High Court, the ARV in respect of all buildings in
municipal areas where rent has been determined under the rent control'legislation would be
the gross annual rent on the basis of such rent determined, unless there is any fraud or
collusion, and in respect of other buildings in the municipal areas, the Commissioner has to
determine the amount keeping in consideration the factors under Section S7(2).In view of
setting aside that point by the Supreme Court, the Commissioners can assess the property
tax of all Buildings on the basis of Section 87 of APM Acl 1965.
In view of the above, the provisions of Rent Conhol Act will not apply for fixation
of ARV and to levy property tax in Municipal as well as Corporation areas The
recommendations of Advisory Committee referred to in para 14.5.2 are not binding on the
Commissioner in the matter of fixation of monthly Rental Value per Sq. m. of Plinth Area.

36. Impact

The impact due to restructuring of property tax assessment is more pronounced in

two areas: on the revenues of the municipality and tax payer's acceptability. There has been
A a net increase of about Rs. 35 crores per annum in the revenues of municipalities on
account of restructured taxation of properties in the statew.e. from l-10-1993. This is also
reflecteC in the per capita income from properB/ tax which irncreased from Rs. 45.461- tn
1992-93 to Rs. 56.61- in the subsequent year. In fact, there has been a 610/o increase in

57
 a
dernand on all residential assessments and more than 90% increase on all
non-residential
assessments after restructuring. [n about 9olo cases, percentage of
property tax assessment
was reduced. (Table-l ).

In
The other advantage is the tax payer's acceptability to the area based taxation.
by and large, has become
spite of protests from the rate payer's associations, the method,
*"rpt*f" to the tal( Payers.'Interestingly, the restructured model was upheld by the
judiciary as well. the Supreme Court while upholding the-New system of ?roperty Tax,
Property Tax
concluded that the ect ani Rules provide a complete code for assessment of
the individual
to be levied for Buildings and lanis. At the same time, the court held that
tax paye6 be given opportunity to plead for their cases if
fhe'idea appe; to be-maintaining flexibility while fotlowing
discrimination
certain
or lapses occur'
standards. l
based on use
The publication of rental values for various categories of properties
and location has brought more transparency into the tax administration.
If pursued further,
this can reduce *oiuli6 and discrepancies in the assessment of similar
properties.
A
bodies'
However, this requires more civic educative efforts on the part of municipal

37. General Revision of Taxes from 1'4-2002

g(l) of Schedule II of AP Municipalities Act, 1965 stipulates that

the
Rule
once in five years'
assessment books shall be completely revised by the Commissioner
stipulates that the rates of
ii*if-fy Rule 7(4) of Assessment olProperty Ta:c Rules, 1990
once in tive years
monthly rents foi each category of Buildlng in a Zone shall be revised
were revised
tnking Lto consideration thJprlvailing r"ntul values. The Assessment Books
earlier in the entire State with effect from l-10-1993
All Municipal Commissioners have conducted a survey of 20 percent of Buildings
of various categori-es in all zones and prepared a notification in Form-A of Assessment
of
Ta:<es Rules, f fO sUowing division oi Municipality in to Zones
and monthly rental value
per sq. m. of Plinth Area-for various categories of buildings. The said notification was
puUtisnea in District Gazette and in a local newsPaper having circulation
in the
ivt*i"ipAity calling for objectioili or suggestions frol th9 public with in 15 days on the
category of
division of ft4,roi"ifratity inio zones and monthly rental value fixable for each
received in
building. The Commiriiooro have considered the objections and suggestions
values wherever
,"rpoor-, to the said notification and revised the zones and monthly rental ^
,r*"rrury. Thereupon the Commissioners have published a final notification in form "A"
in
District Gazeleand local newspaper having circulation in the Municipality for information
following
of the public. All Municipal Commissioneis have revised the Property Tax duly
the proced,:re with effect from 14-2002. )

38. Increase in Property Tax due to General Revision

General Revision of Property Tax was given effect in all uLBs except Municipal
Corporations of Hyderabad and Visakhapatnam'

A
58 A
 There is significant increase in Property Tax in I l5 ULBs due to General Revision
of Property Tax with effect from l-4-2002. The following are the details:
A
(Rs. in crores)

l. Property Tax Demand before General Revision 186.02

-\ 2. Property Tax Demand After General Revision 3 10. l6
3. Net Increase in Property Tax due to General Revision r24.t4
4. Percentage of Increase after General Revision 66.73

39. Limits to General Revision of Taxes

A\
Number of representatives have been received by the Government from Rate Payers
Associations in the Municipalities informing that there has been abnormal increase in the
-\ revision of Property Tax assessments and thereby the assesses are not in a position to bear
this increase and requested to consider to reduce the increased ta:res to enable the rate
payers to pay the taxes to the Municipalities regularly. These representations have been
carefully examined by the Government and rules were amended providing relief to the tax
payers as shown hereunder

/^
l. Where the increase on account of revision of ta>r assessment exceeds 75o/o over the
existing tax as on 3l-3-2002, in respect of residential buildings the increase shall be
restricted to75%o of the existing tax.
A
2. Where the increase on account of revision of Property Ta:r assessment exceeds
A l00e/o and l50olo over the existing tax as on 3l-3-2002 in respect of non-residential
buildings which are more than 25 years old and less than 25 years old respectively, the
increase shall be restricted to 100% and 150% of the existing ta,r in respect of nga-
residential buildings which are more than 25 years and less than 25years respectively.

40. Method of Assessment of Property Tax in Municipal Corporations

The Procedure prescribed for assessment of Property Ta:< in Municipalities and

Municipal Corporations is one and the same except the following items:

Exemption from payment of Property Tax

A
The lbllowing Buildings and Lands are exempt from General Tax i.e. a component
of Property Tax under section 202 of HMC Act, 1955

A
a) Buriai Grouncis
b) Buildings solely occupied and used for Public worship
c) Buildings solely occupied and used for a charitable purpose
d) Educational Institutions up to lOth class, the buildings

59
 ,.

.^t

l. of which are donated by Charitable Institutions or Philanthropists for the A

2. which are de,pending on the grant-in-aid by the government
maintenance
3. of such other educational Institutions which are not running purely on
which the
commercial lines, but serving the cause of primary education A
Government may consider from time to time

e) Buildings and Lands vesting in the central Government

0 Buildings and Lands vesting in the corporation
of-Property
water Tax, Lighting Tax and conservancy Tax i.e. other components
the above buildings
Tax are leviable ir, ffi.ct-of the above Buildings. But i.n respect of
property Toc is fully exempted from payment in Municipalities.

41. MonthlY Revision Lists

monthly
41.1. Bill Collectors, Revenue Inspectors shall submit for their respective wards
iF', io respect of buildings and in Form 'G' in respect of vacant
revision lists in Form
Lands which shall contain particulars of all buildings, namely
:

during
a. the constnrction, reconstruction or enlargement of which is completed
the month;
of such
b. newly occupied during the month together with the names of the owners
the case may
buildings *a tU. datei of such completion or a new occupation, as

be;
c. whenever there is a change in occupation of the building i'e', from owner
occupied to rented and vice-versao and;
d. whenever there is a change in usage of the building'

41.2. This monthly list of buildings in Form 'F' consists of 64 columns with the
following major ite,ms of inforrnation

a. Exiting Assessment
b. Description of each storey of the building a
c. Amenities provided in the building a
d. Particulars of plinth area and MRV fixed /^\
e. Revised assessment as fixed by the commissioner

f. Assessment fixe<i on revision petition

o
b. Assessment fixed on aPPeal

60
 41.3. The monthly list of Vacant Lands in Form 'G' ionsists of 38 columns with the
following major items of information

a. Existing assessment

A
b. Annual Rental Value / Capital Cost
c. Assessment as fixed by the Commissioner
d. Assessment fixed on Revision Petition
' e. Assessment fixed on Appeal

41.4. Monthly Lists shall be submitted by lOe of every month in respect of all building
liable for levy I revision of tax during the preceding month. The Commissioner shall
inspect the building and record reasons for assessment of the building in a self-contained
manner in column 3l of the monthly list. The following Illustration is given for recording
reasons for assessment of property tax.

41.5. Illustration
A
Inspected the building on ----- (date). The building is located at ------ (name of
locality). The building is occupied by the owner for residential purpose / let out for
residential purpose / occupied by the owner for shopping purpose / let out for shopping
purpose. Tho plinth area of the building is ----- sq. metres. Based on the monthly rent
notified in the notification per sq. metre of the plinth area as per q/pe of constnrction,
nature of usage of the building and occupation, the monthly rental value is fixed at Rs. ---

42. Calculation of Property Tax

Few examples for calculation of Property Ta"r at the following rates are givan in
Table II

l. Rate of Tax for Residential Buildings 25Yo of

Annual Rental Value
2. Rate of Tax for Non-Residential 33% of Annual Rental
Buildings Value

TABLE - I
PARTICULARS OF RESTRUCTURING OF PROPERTY TAX AT A GLAIYCE
as on 30-9-1993
I Total No. of assessments 13.53.735
z. Total No. of residential assessments I l.8l,l6l
Total existins tax on all residential assessments Rs.2974.00lakhs
4. Revised tax on all residential assessments rs.
A10n (a l^LL.
D- a//v.vu l4N!J

6i
 5. Amount of Increase in Property tax Rs. 1824.68 lakhs
6. Percentage of increase 61.00
7. Total No. of non-residential assessments t.72.57 4
8. Total existing tax on non-residential assessments Rs. 1804.63 lakhs
9. Revised tax on non-residential assessments Rs. 3473.09lakhs
10. Amount of increase in Property Tax Rs. l668.46lakhs
I t. Percenlage ofincrease 92.45
12. Total existing tax on all assessments Rs.4778.63 lakhs
13. Total revised tax on all assessments Rs. 8233.75 lakhs
14. Total Amount of increase in ProperW Tax Rs. 3455.12 lakhs
15. Percentage ofincrease 78.73
t6. No. of assessments where property tax was reduced 1.27.342 A
17. Percentage of assessments where property tax was 9
reduced A
18. Ta"x per assessment Rs. 733.00

Table - II
r-l

43. Calculation of Property Tax @xamples)

43.l Buildings used by the owner for residential purposes

(i) Plioth area of the building 100 Sq.Mtrs.

(ii) Monthly Rental Value per Sq.Mtr
according to the Notification Rs.5/-
(iii) Monthly Rental Value Rs. 500/-
(iv) Annual Rental Value Rs.6000/-
(v) Annual Rental Value apportioned to site Rs.2000/-
(vi) Annual Rental Value apportioned to building Rs.4000/-
(vii) Depreciation of 40Yo from the rental value .a
of the Building Rs. 1600/-
(viii) Net Rental Value of the building (Rs. 4000- 1600) Rs.2400/- A
(ix) Total Rental Value (Rs.2000+2400) Rs.4400/-
(x) Property Tax payable for per annum Rs.4400 x25ll00 .(\
:
I100/-
A
43.2 Rented Buildings which are aged below 25 years and utilized for
residential purpose

(D Plinth area of the building 100 Sq.Mtrs

(ii) Monthly Rental Value per Sq.Mtr
as per the Notification Rs. 5/- A
(iii) Monthly Rental Value Rs.500i-

62

.^\
 (iv) Annual Rental Value Rs.6000/-
(v) Annual Rental Value apportioned to site Rs.2000/-
(vi) Annual Rental Value apportioned
to building Rs.4000/-
(vii) Depreciation of 10% from the
Rental Value of the Building Rs.400/-
{viii) Net Rental value of the Building (4000-400) Rs.3600/-
(ix) Total net Rental Value (3600 + 2000) Rs. 5600/-
(x) Rate of property tax on the annual
rental value 25%
(xi) Property tar payable per annum Rs.5600 x25 / 100
:l4O0/-

433 Rented Residenfial Buildings whose age is beyond 25 years

(i) Plinttr are of the building 100 Sq.Mtrs.

(iD Monthly rental value per Sq.Mtr
as per the Notification Rs. 5/-
(iii) MonthlyRental Value Rs. 500/-
(iv) Annual Rental Value Rs.6000/-
(v) Annual Rental Value apportioned to site Rs. 2000/-
(vi) Annual Rental Value apportioned
to building Rs.4000/-
(vii) Depreciationof 20o/o on the annual
rental value of the building Rs. 800/-
(viiD Net Annual Rental Value
of the building (4000-800) Rs,3200/-
(ix) Total net Annual Rental Value
(2000+3200) Rs.5200/-
(x) Rate of Property Tax on the
Annual Rental Value 25%
(xi) Property Ta:r payable per annum Rs.5200 x25ll0O
=1300/-
43.4 Building with less than 25 years age and utilized for non-residential
purposes

(i) Plinth are of the building 100 Sq.Mtrs.

(ii) Monthly Rental Value per Sq.Mtr
as per th notification Rs.6/-
(iii) Monthly Rental Value Rs. 600/-

63
 (iv) Annual Rental Value Rs.7200/-
(v) Annual Rental Value apportioned to site Rs.2400/-
(vi) Annual Rental Value apportioned to
building Rs.4800/-
(vii) Depreciation at 10% of the
Annual Rental value of the building Rs.480/-
(viii) Net Rental Value of the building
(4800 - 480) Rs.4320/-
(ix) Total net Annual Rental Value
(2400 + 4320) Frs.67201-
(x) Rate of PropertY Tax on the
Annual Rental Value 3to/o
/ ,^r
(xi) Property Tor paYable Per annum Rs. 6720 x 33 100
:22171-

,r\
purposes
43.5. Building with more than 25 years age and utilized for Non-residential
A
(ii) Plinth are of the building 100 Sq.Mtrs
(iii) Monthly Rental Value per Sq.Mtr as r^r
per the notification Rs.6/-
Rs.600/- A\
(iv) Monthly Rental Value
(v) Annual Rental Value Rs.7200/-
.A
(vi) Annual Rental Value apportioned to site Rs.2400/-
(vii;ennual Rental Value apportioned to building Rs.4800/-
(viii; Oepreciation at2}o/oof the annual rental
value of the building Rs.960/- /t
(ix) Net rental value of the building (4800 - 960) Rs.3840/-
(x) Total net annual rental value (2400+3840) Rs.6240/-
(xi) Rate of property tax on the
t\o/o ,.\
annual rental value
(xii) Propcrty tax payable per annum Rs.6240x 33 / 100
A
=20591-
a
.A

A
A

64 A
A
 5. INSTRUCTIONS OF GOVERNMENT OF INDIA ON LEVY OF SERVICE
CHARGES ON TIIE CENTRAL GOVERNMENT PROPERTIES

GOVERNMENT OF ANDHRA PRADESH

MT'NICIPAL ADMIMSTRATION AND URBA N DEVELOPMENT DE PARTMENT

A.
MEMO. NO. 524lEc-l/94-l M.A. Dated : 19.5.1994

Sub: Taxes - Property To< - lnstructions to Central Government and State

Governments regarding levy of Service charges on the Central
Govemment properties by the Local Bodies - Reg.
Ref : From the Director (LSG), Govt. of India, Ministry of Urban Development,
New Delhi, letter No. N- I I 025/26 I 9 4 -U CD, dated 26.4. | 99 4.

A copy of the reference cited is enclosed herewith.

vijuy".*:"iT,sffi:#l,t'ff:'.om'J,,x:licipar";T:Jli':1I'$ffi i#"{
Administration and all Municipal Commissioners in the State are requested to follow the
instnrctions issued by the Govemment of India in their letter cited in regard to levy of
service charges on the Central Government properties.

date

A.K. Parida
Additional Secretary to Government

: To
The Commissioner and Special offrcer,
A Municipal Corporation of Hyderabad; HYDERABAD (w.e.)
The Commissioner and Special Officer,
vUAyAWADA (w e')
*" I3ffi*yffi',51"":ryd#:',fi;
^ Visakhapatnam Municipal Corporati on ; VI SAKHAPATNA M ( w. e. )
The Commissioner and Director of Municipal Admn., HYDERABAD (w.e.)

Copy to :
All Municipal Commissioners in the State (w.e.) through C & DMA.
P.R. & R.D. Deparrnent (w.e.)

65
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IMMEDTATE

No. N-l1025126194-UCD
Govemment of India
Ministry of Urban Development.

New Delhi, Dated the 26ft April, 1994.

OFFICE MEMORANDUM

Sub : Instnrctions to Central Govemment and State Governments regarding levy

/a of service charges on the Central Govemment properties by the Local
Bodies.

As you are aware that in terms of article 285 of the Constitution, properties of the
Union are exempt from the payment of all taxes imposed by a State or by any authority
within a State.

2) Though the properties of thoUnion is exempted, however, such properties of the

Union are liable to pay service charges for the services rendered by the Local Bodies.

3) In this connection, Ministry of Finance had issued broad guidelines in 1954 which
were later on amended in 1967. According to the instructions contained in Ministry of
Finances letter No. l4{l>P152-1 dated 10.5.1954, No. a(7)-pl65 dated 29.3.t967,
No.a(2FPFV74 datd 28.5.1976 and No.42(l)-PFy79 dated 26.8.1986, the service
charges on the properties belonging to the Central Govt. are calculated as under :

A
i) In respect of isolated Central Government properties .where all serrrices are
availed of by the Central Govt. in the same manner as in respect of private
properties, the Central Govemment will pay service charges equivalent to 75Yo of
the property ta;< realised from private individuals.

ii) ln the case of colonies which do not directly avail of civic services within the area
and are self sufficie,nt in all respects, the payment of service charges will be
restricted to 33 ll3%o of the normal rate of property tax applicable to private
properties.

iii) In respect of colonies where only partial use of the services is made, service
charges will be paid at 50% of the normal property tax rate.

ir) ln respect of colonies where all the services normally provided by the Municipal
Body to the residents of other areas within its limits are being availed ol the
service charges will be oaid as 75Yo of the Propertv Tax realised frono privated
individuals.
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67
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4) It was, however, clarified in the Ministry of Finance letter dated 26.8.1986 that
wherever services rendered by the local bodies in respect of Central Government A
properties are measured like metered water supply of electricity, etc. or where
A
services like Drainage and Scavenging, etc. are charged for separately, they will
be paid for accordingly. And where such specific services are part of consolidated a
House or Property Tax, the same will be regulated according to the instmctions at
Sl.No.(i), (ii),(iii) & (iv) above.

5) It may be seen from the above that the Central Government is obligated to pay 1
service charges to the Local Bodies :

a. at l00Yo of charges paid by Private individuals where specific charges exist for
metered/measured service such as water and electicity; and
b. at75yo of the Property tax realised from private individuals in respect of isolated .A
Cental Govt. Properties where all municipal services are availed of by the
Central Govt. and at rates ranging from 33 ll3% to 75o/o of the Property Ta,x
realised from private individuals in respect of large and compact Central
Government's colonies depending upon whether such colonies are fully or
partially self-sufficient in the provision of local services.

6) The above instructions have been circulated to all the State Govts. / UTs. from time to
time for intimating the decision of the Govt. of India to Urban Local Bodies for
follow up. ,

7) It has been brought to the notice of this Ministry that some of the Departnents of
Central Govt. who owned vast properties under them are not payrng service charges on
regular basis to Urban t,ocal Bodies. Since the service charges on Central Govt.
properties payable to the Urban Local Bodies forms a vital source of revenue for them,
therefore, it is requested that the Ministry of Agriculture, etc. may kindly reiterate upon
the concemed authorities under their administrative contnol to follow the above
instnrctions strictly in regard to the payment of service charges in respect of Union
properties on regular basis to Urban Local Bodies. Similarly, the Public Sector
Undertakings under their administrative conhol may also be advised to pay the property l
ta,r / other taxes in respect of properties owned by zuch Public Sector Undertakings to
Urban Local Bodies on regular basis.

sd/-
(TARSEM LAL)
I
Director (LSG)
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Tel:3017252
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6.
FISCAL REFORMS IN
MT'MCIPAL CORPORATION OF HYDERABAI)
COMPREITENSTVE MI]MCIPAL REFORM S

l. An agenda of comprehensive municipal reforms has been adopted by the Municipal

Corporation of Hyderabad based on the dilowing broad considerations:

l. Functions and job charts of functionaries must be clear and without overlap or
ambiguity;
2. Finances must be clear and commensurate with the functions;
3. Functions or outputs must be commensurate with the funds provided;
4. Functionaries must be professionally competent, responsible and responsive;
5. Performance measurement - to the extent possible through quantitative lndicators;
6. External and internal quahty control for all functions;
7. Participatory, people-centered, simple, principled, moral, accountable and
transparelrt civic administation;
8. Reforms to Ue ldmi*stered in an incremental manner.

2. The key reforms already initiated by Hyderabad City include: rationalization of

municipal functions, pre,paration of clear job charts for functionaries, development of
performance indicators and management information systems, all-out use of information
technolory to foster e-govenraoce, simplification of budgeting, adoption of commercial
(modified accrual-based) accotrnting, creation of goographical and functional cost centers,
prioritization of development aod regulatory measures based on impact studies, integrated
infrastructure plnnning and capital budgeting, regular enforcement of basic town planning,
public health aod environmental regulations, adoption of the principles of local public
finance: 'userr pay', 'beneficiaries pay' and 'polluters pay' to stengthen resource
mobilization efforts, community-based environmental management and slum development
progftunmes, free availability of information, transparency at all levels, etc.

RESOTJRCE MOBILIZATION

2. The Municipal Corporation has been making significant efforts to improve its
resources and recover costs. The steps include property tax reforms, including the
introduction of the scheme of Self-assessment of Property Tax, re-vamping of
advertisement fee, trade licensing fee, etc. with emphasis on self-declaration and self-filing
of returns, use of land as a resource and adoption of users and polluters pay principles. Thi
Corporation is making all-out effort to identi& direct and indirect users of
serviceVbeneficiaries and levy user charges and benefit taxes. Polluters are also being
identified and made to pay for pollution mitigation and prevention measures. The following
ganeral principles of local public finance are adopted, where possible, to guide fiscal
reforms:

69
o Where benefits and beneficiaries ar8 identifiable, charge them;
o If benefits cannot be measured, but beneficiaries are identifiable, levy benefit taxes;
o If neither benefits nor beneficiaries are identifiable, levy general taxes;
o For long gestation capital projects whose benefits spread over a long time,
borrowing is appropriate;
o Subsidies to the poor need to be targeted and fully transparent rather than being
distortionary.

Due to various reforms initiated by the Corporation, municipal revenues have gone
up considerably. Property tax increased by more than 70 per cent during 1999-2000. The
period 1998-2000 witnessed an unprecedented rise in advertisernent fee collection by more 1
than 230 per cent. Trade licensing fee went up by 63 per cent during 1999-2000. Town A
planning-related charges registered more than 100 per cent growth during 1999-2000. The
buoyancy in revenues has resulted in a significant rise in the expanditure on public
infrastnrcture facilities. Reforms have succeeded and the upward trend in municipal
revearues is continuing during 2001-2002 (see Figures 1,2 and 3 and 4).

Figurel

TRENDS !N PROPERTY TAX REVEM'ES

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trl
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Oro
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rgea-es t99&s rr6-e7 leer.6 lsiBo le6&

YEAR

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Figure 2
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/\ TRENDS IN ADVERTISEMENT FEE REVENUES

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A :E
Y s
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YEAR
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Figure 3
,i
TRENDS IN TRADE LICENS]NG FEE REVENUES
lm)
900
A 800
,;:-i:ii:.::. :::.i,: j, .:. . -.,. : :., : : : i:i,:,:...,r.r,::l [. l,t]
u, 7N I
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1991-92 1902-93 19934,1 1994-95 t99'96 199G97 19S7-9E 199&99 19994 200001 2001{2 2002{3

YEAR

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Figure 4

EXPENDITURE ON PUBLIC WORKS (CAPITAL + MAINTENANCE)

al,
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1997-98 199&99 r99+OO

YEAR

SELF-ASSESSMENT SCIMME

4. General revision of property tax as contemplated under law was not taken up in
Hyderabad for decades. In the absence of this, property owners continued to pay taxes as
levied decades ago, causing heavy financial loss to the Municipal Corporation. The total
number of assessments in the Twin Cities was only about 410,000 in 1998-1999 with total
current demand of about Rs. 490 million. Attempts to rationalize and improve the property
tax base made earlier were caught in legal problems. Keeping the above background in
mind, the Self-assessment of Property Tax Scheme was introduced during the year 1999- .-\
2000. This was done taking advantage of the provision under Section 213 of the Hyderabad
Municipal Corporation Act under which the Commissioner is empowered to call for
information pertaining to properties from owners/occupiers and it is mandatory on the part
of the latter to furnish the same. In response to the scheme about 130,000 filed self-
assessment returns within 4 months of the introduction of the same. This led to almost 50
per cent increase in the properfy tax in three months. The sources of the increase have been
the correction of long-standing inequities in the property tax system and better record- ,
keeping. In Budget 2002-2003 it is proposed to rationalize the benchmarks which are used
to guide the acceptance of Self-Assessment Returns.

5. Under the municipal law, vacant land is to be taxed at2 per cent of the market value
of land. The Government of Andhra Pradesh has contemplated to reduce the tax to one per
cent. As this one per cent amount is quite high for land-owners, the Corporation has
proposed to take up with the Govemment to introduce a scheme of self-assessment of
vacant land tax adopting 0.25 per cent of the market value as vacant land tax. Those who
-\
do not hle self-assessment within the period stipulated in the scheme will be taxed at
normal rates.
Al

72
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6. The Self-Assessment Schemes has been extended to Advertisement Fee and Trade
A Licensing Fee and the results are highly impressive. In Budget 2002-2003 it is proposed to
completely rationalize the trade licensing and advertisement fees and develop a new
A
schedule offees.

BULK GARBAGE COLLECTION CHARGES

7. Traditionally, the Municipal Corporation of Hyderabad has been recovering

sanitation costs through the levy of conservancy tax as a component of the property tax.
However, the recovery has been inadequately low due to the fact that small and large
t^ generators of trash have been treated alike under the property tax net. Following the
'polluters pay' principle and in order to make the public aware of health and hygiene
iisues, MCH has introduced Bulk Garbage Collection Charges from the bulk generators of
garbage such as commercial complexes, markets, hotels, function halls and industries. The
establishments identified and brought under coverage for payment of bulk garbage
collection charges are;

/\ markets
Private/Agricultural Committee L7

A Commercial complexes " 185

Hospitals: Private & Govemment 325

A
Diagnostic Centres 48

Clinics 95

Private Hostels 30

Hotels & Restaurants 576

Function halls 240

Cinema Theatres 56

Cottages industries & Workshops 180

Total 1752

The Corporation has also introduced the collection of Administrative Charges from
the persons committing sanitation offences like liuering, spitting, dumping of debris, etc-
A Enforcement and Nuisance Detection Squads of the Corporation are made to go for
enforcement operations and education carnpaigns every day. The rates of administration
IA charges levied are as follows:

Rupees
Littering 20- 100
Debris dumping 100- 400
Garbage throwing r00 -204
Easing in the public s0 - 100
Defacing of public walls 200

73
 Road side tethering 200 - 400
Road side dung dePositing 200
BETTERMENT CHARGES

g. The Hyderabad Municipat corporation Act, 1955 originatly provided for the levy of
betterment charges to meet th; costs of intemal infrastructure and services in the case of
development projects. The Govemment of Andhra Pradesh amended the Act to enhance the
,"op" of .u"'h t"ry to include extemal betterment. Under this concept, the municipal
urtt o.ity is empowered to collect extemal betterment charges at the time of _according
upp.orui to tayouts or sub-divisions of plot or issue of building permit. These charges are
coilected for the laying of major infrastructure such as freeways/major roads, regional
parks, flyovers, etc. At present MCH is collecting extemal betterment charges at 30 per
cent of the regular betterment charges.

USE OF FSI AS A RESOURCE

9. With a transparent policy of according planning permissions and keeping in view

the need for road widening, the Govemment has permitted the Municipal Corporation of
Hyderabad to undertake widening of roads by using Floor Space Index (FSI) as a resource.
The Commissioner is authorized to grant building permissions for additional construction
area over and above that permifted by the ZoninglBuitding Regulations. Land surrendered
horizontally is compensated by additional construction vertically. The Corporation rebuilds
the demolished compound walls/other structures and grants permissign to go vertically'
The extent to which vertical construction is to be permitted depends on the extent of land
surrendered by parties and the prevailing FSI in the area. If there is no scope for going
vertical, the'landowner can ivail Transferable Development fughts for using the
sameelsewhere or selling to others. In some of buildings for
cases even the construction
non-residential use (commerciaVinstitutional) is permitted to induce landowners to part
with valuable residential land for road widening.

IMPACT FEES

10. The Govemment of Andhra Pradesh has permitted the Municipal Corporation of
Hyderabad to levy Impact Fees to mitigate the impacts of construction of commercial
brltaings that lead to increased traffrc and necessitate decongestion measures. Distinction
is madi between on-site and off-site (local area) development cost and city-wide impact.
The Impact Fees are meant to address city-wide problems emanating from high density
commeicial development. These fees-levied at Rs.25 per square feet - are to be deposited
in a separate account of the Municipal Corporation and utilized for implementation of the
Capitai Improvement and Decongestion Plan i.e., for works such as Road Widening, Link
noaas, Stii Roads, parallel Roads, Junction Improvements including Traffic Signals, Fly-
overs, Raii Over-bridges, Rail Under-bridges, etc. Under no circumstances, the amount is
to be spent for salaries and maintenance works, etc lt is proposed to extend impact fee to
alt major commercial constructions (more than 1000 square feet) in the city to create
resources for decongestion activities.

74
A TNCENTTVE ZONING
i

I l. Town Planning Permission is used as a resource in most countries on the principle

A of 'beneficiaries pay'. It is proposed to introduce incentive zoning scheme under which
planning permission to developers can be linked to payment of graded fees. Selected
zoning benefits can be provided to developers of commercial and residential complexes
and individual buildings subject to their contributing certain facilities to the city or making
A financial contribution for development and decongestion progralnmes. The test for
allocation of incentive zoning is,that the social benefits to the city outweigh the social costs
F at the margin.

OPEN SPACE CONTRIBUTION

12. To augment resources for enhancing lung space in the city, the Municipal
Corporation of Hyderabad has introduced Open Space Contribution to be collected from
persons applying for development permission. This is required only in the case of lands
belonging to layouts, which have not provided 40 per cent statutory open space (for roads
and parks). The contributions are used to take up avenue/parks/woodlot/green-belt
plantations and compensatory greening. [t is proposed to rationalize charges and
contributions for the creation of a Green Hyderabad Fund.
A
2\ UNAUTHORISED COLONIY DEVELOPMENT CONTRIBUTION

F 13. Some unauthorized colonies have come up in Hyderabad over the last decades. The
developers have sold plots before completing all the amenities required. While efforts are
being made to track the defaulting developers and collect development charges as required
by regulations, taking a practical stand and to ameliorate the problems faced by residents
due to lack of civic amenities, in Budget 2002-2003 the Corporation has proposed to take
up public works in these colonies, provided the plot-owners/residents come forward to
make 50 per cent contribution.

SPECIAL DEVELOPMENT CONTRIBUTION

/^
14. For special projects of importance to the city, it is proposed to collect special
development contributions from developers and provide amenities like parallel roads, slip
roads, link roads, which benefit the city as well as the developers - a win-win situation for
A both. Budget 2002-2003 proposes to identifu special development projects that can be
taken up with joint partnership between developers and MCH and implement the same.

STORMWATER DRAINAGE CHARGES

15. A survey has revealed that several commercial and residential buildings in the city
have unauthorisedly hooked their internal sewer lines to stormwater drains without taking
sewerage connection from the Hyderabad Metropolitan Water Supply & Sewerage Board.
As a result, while the Board is deprived of its legitimate revenues, MCH is subject to extra

75
burden for maintenance of stormwater drains, which are subject to considerable flows even
in the surlmer months. On the basis of 'the polluter pays' principle, MCH has resolved to
levy stormwater drainage charges on those who are not a position to connect to sewer lines
due to non-availability of infras!ructure. Others will be required to apply for sewerage
connection from HMWSSB and till such time connection is taken they will pay stormwater
drainage charges.

PARKING CONTRIBUTION

16. Over the years several residential areas in the city have changed their character and
residential houses have been converted to commercial use. As a results, there is
considerable problem of parking. It is proposed to collect parking contribution - in cases
where there is no public interest involved and also where demolition is impractial - from
those responsible for unauthorized conversion so that compensatory parking complexes and
open parking places can be created.

DEMOLITION CIIARGES

17. The Corporation has introduced Demolition Charges, which are to be paid by the
violators of building rules under the 'polluters pay' principle. Today the persons resorting
to unauthorized construction face demolition and also are made to pay for demolition of
their own buildings. It is proposed to rationalize the demolition charges and recover the full
cost of demolition so that the Colporation does not spend the taxpayer's money on the -a
demolition of buildings of offenders.
PROJECTION CHARGES
A
18. Budget 2002-2003 proposes to collect projection charges from unobjectionable
projections/encroachments as permitted under the relevant provisions of the HMC Act /rt
based on issue of an annual written permission. Such permissions will be issued only if
there are no objections from the traflic point of view.

LEASEHOLD TO FREEHOLD

19. The Corporation has not been able to administer the lease of its properties for a long 1
time. tt is proposed to go in for a Leasehold-to-Freehold scheme following the pattern
A
adopted by the Delhi Development Authority and some State Governments. The schedule
of fees to be levied for conversion of leasehold land to freehold will be worked out in due
course.

SALE OF BITS & PIECES OF LAND

20. The Corporation has decided to introduce a scheme of sale of bits and pieces of
Iands which are becoming liabilities to the civic body. These pieces cannot be used
productively fur any public purpose like park or playground. Some of these are already
under encroachment for a long period of time. As there is already a Government Order
permitting Municipalities to sell small extents of useless bits and pieces of land, it is

76
 proposed to request the Govemment to permit MCH to dispose off such land in the interest
of adrninistration and also to raise resources.

HYDERABAD CITY DEVELOPMENT BOND

21. Hyderabad intends to issue tax-free bonds (to the tune of Rs.85 crores to Rs.l00
crores depending on approval from Government of India) during 2001-2002- Already a
credit rating has been undertaken by the Corporation for a possible bond size of
A "*o"ir"
Rs. 100 .r-"r. The proposal has been assigned CRISIL rating AA+(SO) and ICRA rating
LAA+(SO). The proposed Hyderabad Bond issue has received the highest ever credit rating
/4
accorded to a municipal bond. The Corporation is confident of securing funds at an interest
rate lower than that at which municipal authorities in the country have borrowed money so
far. A proposal to issue municipal bond of Rs.l00 crores is contemplated in B82002-2003.

EXPENDITURE RATIONALISATION

22. In addition to steps for augmenting resources, cost reduction and expenditure
minimization measures were introduced during 2000-2001. The latter includes reforms in
tenders and purchase procedures, elimination of works on nomination excepting in cases of
A emergencies or works of specialized nature, adoption of competitive bidding and unit rate
pro".-d*"r, fixation of exfenditure no(ns, introduction of privatization in maintenance of
.\ parks, etc. It is decided that a Committee of Additional Commissioners rather than any
A. single officer shall deal with all tenders and purchases in the Corporation in a transparent
*u!. Whil" for small standard works, which are repetitive in nature, unit rate system of
contract is preferred, for large and heterogeneous works, open tendering is adopted. The
unit rate system has resulted in cost-effectiveness and elimination of monopoly by a
handful of contractors who used to form cartels, prefer low bids, bag contracts, abnormally
delay execution of works and land MCH in litigation. Budget 2002-2003 proposes the
adoption of comprehensive reforms for cost cutting.

,\ PRIVATIZATION OF SANITATION

23. The Municipal Corporation of Hyderabad is the first Corporation in the country to
A adopt a unique system of privatization of sanitation called the "Unit System". Under this
,yrt.111, the entiie ur"u oi Hyderabad is divided into uniform units for sweeping and
garbage lifting purposes. Each uniform unit has a sweepable road length of 7-9 kms and
g-Uug" g"n"*tion to a tune of 7-8 metric tones. The cost of sweeping the entire area in the
A u"it *a titing the entire garbage are calculated by MCH based on engineering sc[edule of
rates and the unit cost is detLrmined. The units are allotted to different pre-qualified
,r\
contractors, invited through an open notification, on the same cost on lottery basis. The'
A
performance measurement and monitoring systems are very strict with the provision of
ir"u.ry penalties for non-performance. As on today, about 60 per cent of garbage
sweeping/lifting in the city is privatized. This Unit System is simple and has proved
advantageous as compared to the conventional tender system due to the fbllowing reasons:

77
(l) The possibility of some tenderers quoting very less rates, consequently bagging the
contract, forming a cartel and later not performing well is eliminated.
(2) A healthy competition is generated amongst different contractors as the units are
uniform, the contractual amounts are equal and specifications in the unit cost are
clear,
(3) The monitoring is scientific with both quantity and quality indicators adopted for
gauging performance. The unit contractors give undertaking to follow, the unit
specifications and abide by the performance requirements.
(4) Heary penalties including termination of contract are contemplated for non-
performance based on objective considerations.
(5) Good and performing contractors who fail to obtain work on lottery basis are kept
on waiting list, so that they can be assigaed units in the event some contracts are
terminated or special units are created.

under Budget 2002-2003 the unit system of privatization of sanitation services is

continued and will be improved further.

VOLI'NTARY GARBAGE DISPOSAL SCHEME

24. The Municipal Corporation of Hyderabad encourages the public to take up door-to-
door collection of garbage in their area by the appointment oftheh own sanitation workers.
MCH provides one or two tricycles, each costing about Rs.4,500, free of cost to a
colony/group of 100-150 houses, which engages a rag picker for collecting 'Jre garbage
from their door-steps every day and pays him @ Rs.lo per household- By adopting this
scheme, the people get a garbage-free locality and a poor rag picker gets gainful
employment. This scheme is called Voluntary Garbage Disposal (VGp) scheme. The
garbage bins in VGDS colonies are removed and the collected garbage are deposited at one
convenient spot by the tricycles. Prompt and timely lifting of this garbage by MCH
vehicles is ensured every day. Cunently more than 400 Resident Welfare Associations
(RWAs)Neighbourhood Committees (NHCs) are having this scheme and are operating
about 650 tricycles. 136 tricycles are operating in 124 slums. Special conditions are
imposed for free new provision or replacement of old/damaged tricycles with new ones.
These include: (a) good record of past scheme implementation for more than three years
and (b) prompt property tax payment through Self Assessment Scheme. In Budget 2002-
2003 it is proposed to strengthen the VGD scheme and extend the same to as many slums
as possible.

UNIT RATE SYSTEM FORPUBLIC WORKS

25. The Municipal Corporation of Hyderabad has introduced the Unit Rate Contract
System with a view to improving the quality of public works by private contractors. The
Corporation has about 1500 registered contractors, who are eligible for tendering for
municipal works. Earlier certain groups within the contractors used to form cartels, bid low
rates for as many works as possible, get works allotted to them based on lowest tender
norm, create a monopoly, and resort to the malpractices of delay, pressure-building and

18
 litigation. This resulted in poor quality of work and prolonged court.cases. To address the
probl"., the Municipal Corporation has introduced the Unit Rate system. For different
iypes of works, open tenders are called for oonstituent work components. The rates quoted
by contractors for each component are compared and unit rate for the same is arrived at
taking the minimum rate quoted as the unit rate. Thus if a work has components A, B, C, D,
etc., the basis of work allotment under the standard tendering system and unit rate system
will be as follows:
LA Standard Tendering System : Minimum (A+B+C+D+....) for each work.

Unit Rate System : Min (A) + Min (B) + Min (C) + Min (D) + .
for a standard work - to be applied to all
similar works with pre-qualified or
empanelled contractors selected on lottery
basis or by a Committee
A
Under the unit rate system, cohtractors are allocated works in turn on lottery basis.
Aa Thus, no single contractor is in a position to monopolize as his turn returns only after all
the registered contractors in the queue get a chance. Contractors doing bad work are black-
listed and are not allowed to participate in the unit rate process.

26. The Corporation follows the Unit Rate system for the vast number of small
homogeneous local works. For the small number of major works, the procedure ofNational
Competitive Bidding is chosen. The Unit Rate system has given a blow to the monopoly
and blackmailing practice of some local contractors. It has also contributed to
improvements in work quality and savings in cost of notifications in news papers. Budget
2002-2003 proposes a complete reform of the municipal tendering/unit rate contract
systems.

OTTIER RBFORMS

27. Other reforms taken up/proposed by the Corporation in Budget 2002-2003lnclude

the following:

o Broadening the Property Tax base without hiking the tax rate and ensuring that all
the properties hitherto unassessed are assessed to property tax;

o Correcting inequities in the existing property tax system by rational benchmarking

and making those paying taxes at "below the benchmark" rates adopt the
benchmarks unless they cite concrete evidence for a lesser rate;

Continuation of Self-Assessment of Property Tax scheme for one month as last

chance to complete the process of instituting a transparent property tax system in

79
 which the tixpayers are involved through Resident Welfare Associations,
Apartment Complex Associations, Colony Welfare Associations, etc;

Undertaking General Revision for properties respect of which the

in
owners/occipiers have not filed Self-Assessment Retums or have filed returns
with
below-benchmark rates;

Assignment of Property Tax Identification Numbers (PTIN) to a{ property

tax
promoting payment A
assessees, computerization of all property tax records and
through banks/citizen service centers/e-Seva centers;

o Survey of all Residential Complexes, Commercial Complexes and Major lndividual A

Residential and Commercial properties to ensure that they pay just and correct
property tax. The objective is to identifu 'Top' propertias in the city, which pay
bulk of the taxes. Payment of tax in respect of these properties is to be monitored at
the highest levels so its to ensure that major leakages are eliminated;

Ensuring that Vacant Land Tax,is collected from owners of vacant lands, especially
from those coming to MCH forpermission for building construction;

Ensuring that all State Government properties are assessed to property tax and those
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left out earlier are brought to the tax net;

o Updating the list of properties owned by the Central Govemment and collecting
-"h-g"t from Cintral Govemment property owners/occupiers based on
,"*i""
benchmarks;
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o Taking up with Railways for proper payment of bulk user- charges for city-wide
servicls 6y South Ceniral Railway properties such as Bulk Garbage Collection
Charges, Storm-water Drainage Charges, Street Lighting Charges, Road
Maintenance Charges, etc.;

Proper levy and collection of property tax from all properties belonging to State
and
Central Government undertakingt on par with private properties in view of the
judgment of the Supreme Court in Dum Dum Municipality vs. Airport Authority of
India case; ^
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Preparation of Locality-wise Property Tax and Trade License records and linking
up property tax, trade ii."n.", commercial tax, income tax, water charge, electricity .rt
and teiephone connection/charge data bases in due course with the application
of
GIS. All trades will be assigned computer identification numbers for the purpose of
issue of Trade License and regulation;
A

Efforts to bring all hoardings/glow-signs/cable TV/other types of advertisements rfl

into the advertisement lee net. A compreherrrsive survey of various categories of

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 advertisements will be taken up again and all advertisement will be given unique
code numbers;

Organising drive to levy and collect trade licensing fees with the deployment of
licensing squads and on-the-spot issue of provisional licenses;

o Revision of rents in ,uiou. Municipal Markets/Office Complexes where they are

low for years as compared to market rent;

Improvement in collection of Current and Arrears of Properfy Tax, Rents, Licenge

Fees, Advertisement Fees, etc. by Encouraging the officers and staff engaged in
collection for better performance through a system of incentive awards,
p erformance-based trans fers and p erformance monitoring system ;

Rationalization of various Town Planning and other Charges, etc. as measures for
Additional Resource Mobilization (ARM) ;

Disposal of Building Regularisation Scheme applications subject to Govemment

Order ar.d collection of differential amounts payable and bringing the properties
involved in BRS to proPertY tax net;

o Auctioning the rights for development and maintenance of Traffic Islands, Central
Uedia/Oividers, etc. to private'sector/corporate entities; and

Adoption of 'Polluter Pays Principle' and levy of Bulk Garbage Collection Charges
on bulk garbage generators like hotels and nursing homes, etc'

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 7. NON-TAX RESOURCBS IN URBAN LOCAL BODIES

Urban Local Bodies (ULBs) are entrusted with important functions as shown hereunder

l. Maintenance of sanitation and solid waste management

2. Supply of drinking water
3. Construction and maintenance of roads, bridges, drainage
4. Provision of street lights
5. Povertyalleviationprograrnmes

The Urban Local Bodies are not endowed with sufficient resources to provide civic
entrusted to ULBs
services in a satisfactory manner. There is a mismatch between the functions
gap betiveen
and resources made available to them. Thus there is an urgent need to bridge the
resources needed by ULBs and the resources made available to them.

2. MAIN SOURCES OF INCOME

The following are the major sources of income of all ULBs during the year 2001-02"

Amount Percentage
(Rs.In Cores) to Total Income
l. Taxes 328.48 22.9
2. Non-Taxes 323.74 22.6
3. Assigned Revenues 382.02 26.7
4. Specihc Scheme Assistance 287.26 20.0
5. Borrowings I r 1.40 7.8

Total 1432.90 100

of ULBs in the year 2001-02,

Non-Taxes constitute 22 percent of the total revenue
second largest source of revenue to all ULBs.

3. MAJOR ITEMS OF NON-TAXES

The following are the major items of Non-Taxes levied by uLBs.
l. Water Charges
2. Fees from Markets and Slaughter Houses

3. Rents from Shop Rooms and Buildings

4. Building Permission Fees and Betterment Charges

5. Various Categories of Licence Fee

6. Encroachment Fees

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7. Parking Fees A

8. Miscellaneous items

3. WATER CHARGES

3.1 Procedure for Fixation of Water Charges A

According to Sec. 138 of the A.P. Municipalities Act, 1965 the Municipal Council shall
so far as the funds at its disposal may admit, provide a suffrcient supply of water fit
for the use of
the inhabitants. Water Charges shali be paid as per the rates and the conditions stipulated
in the ,.l

water supply bye-laws rn"a" Uy the Council. Water charges shall be recoverable in the same
manner as in the case of property tax. The supply of water is classified under the following
.-
categories.

a. Supply to Residential Buildings

A
b. Supply to Residential Hostels
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c. Supply toshops, commercial establishments (other thhn industrial undertakings),
restaurants, eating houses, theatres and places of public amusement or entertainment
d. Supply to industrial undertakings
e. Supply to Non-residential buildings not falling within the scope of category b,c, or d.

As per the existing procedure for revision of water charges, a Municipal Council has to
take a provisional decision lor revision of water charges and issue a draft notification calling for
objections / suggestions for revision of water charges. Thereafter the Municipal Council has to
consider the obJections / suggestions received for revision of water charges and finally fix up the
rates. After taking a decision in this matter, the water supply bye-laws are to be amended in draft
and submitted to the Engineer-in-Chief (Public Health) for approval, who is the competent
authority to approve the wher supply bye-laws. After getting the approval, the final notification .A
has to be issued revising rates of water charges for the information of the public. Experience
shows that it is a time consuming process.

.3.2 Water Supply Position in ULBs A

The water supplY Position in all the 6 Municipal Corporations and I l0 Municipalities
A

except M.C.H. is as follows : ,ar

in million lilitres
Total installed Total quantitY of %o of water
capacity of water supplied per supplied
Water per day day q4 rvjlggr ,^r
I ) 3
6 Mol. Corpns. 437.75 418.50 9s.60 -r

I l0 Municipalities 735.r3 603.40 82.08

Total 1172.88 1021.90

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3.3. Recovery of Water Charges

Recovery of ,r., charges under Water Supply in respect of 6 Municipal Corporations and
I l0 Municipalities is as follows for the year 2000-2001 :

in la khs
TotalO&Mcostfor Water Charges being ohof O &M
Water Supply pe.r collected per annum cost collected
annum
I 2 3
7692.00 3066.00 39.86 or 40

All Urban Local Bodies except M.C.H. are incurring an amount of

Rs. 76.92 crores per annum towards Operation & Maintenance charges on water supply, whereas
the Urban Local Bodies are realizirg aiurn of Rs. 30.66 crores per annum towards water charges.
The percentage of operation & maintenance cost collected by the Urban Local Bodies is 407o.

3.4 Rates of Water Charges

The collection of water charges may be categorized as follows:

a. Residential unmetered
b. Non-residential like hotels, restaurants etc., through meter connections.
c. Bulk supply to industrial units.
d. tn addition, donations are collected by Urban Local Bodies for sanction of Water Tap
connections to defray the capital cost of water supply Schemes.

The rates in operationfor water supply in Corporations and Municipalities are as follows :

Municipalities:

Residential From Rs. 30/- to Rs.l00/- Per Tap per month

Commercial (General ) From Rs. 250/- to Rs. 700/- Per Tap per month

Donations From Rs. 20001- to Rs. 10000/- Per connection

Donations OYT From Rs. 5000/- to Rs. 30000/- Per connection

Metered Connections
(Per Kilo Litre) From Rs. 8/- to Rs.25l-

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Corporatiorts :

Residential : From Rs. 60/- to Rs. 90/- Per Tap Per month

Donations - Residential Rs. 6,000/- Per connection

- OYT : Rs. 10,500/- Per connection

Metered Taps : From Rs. 12.50 ps. to Rs. 25.00 ps.

(per Kilo Litre)

Government in their G.O. Ms No. 158 M.A., dt.20.6.1.997 and Memo No. l69llAli97-4,
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M.A., dt: 15.4.1998 have accorded permission to Warangal Municipal Corporation for revision of
water tariff i.e., donation for H.S.C. - General lrom Rs. 4,0001- to Rs. 6,000/-, OYT from Rs.
7,0001- to Rs. 10,500/-, water charges for H.S.C. unmetered frop Rs. 40/- to Rs. 100/-.
Government have also ordered that this revision of water tariff shall apply to Kurnool, Guntur,
Rajahmundry and Vijayawada Municipal Corporations. Government further ordered to increase
the existing tariff by 5OYo in other Municipalities also. Govemment further ordered that the
Municipal Corporations and the Municipalities may revise the Water tariffs in the respective
areas, keeping the rates mentioned in G.O.Ms.No. 158 M.A., dt. 20.6.1997 as the maximum
permissible rates for the present. [n pursuance of the above orders of the Government, nearly 100
Municipalities have revised the water charges as on 3 1.3.2001.

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3.5 Revised Procedure for Cost Recovery of Water Charges

All Urban Local Bodies are realizing only 40o/o of Operation & Maintenance costs from
A
water charges. Urban Local Bodies are utilizing an amount of Rs. 46.26 Crores per annum from
General Funds for maintenance of water supply. A.

There is an immediate need to fix water charges in such a manner to enable Urban Local A
Bodies to realise the Operation and Maintenance cost in full and to pay the interest on loans
obtained from Financial Institutions from the users of water supply for the following reasons:

a. As the Urban Local Bodies are realizing only 40Yo of the Operations & Maintenance cost i
of water supply from user charges, there is a marked deficiency in the maintenance of A
Water Supply System. Filteration Plants, Pump Sets are not repaired periodically due to
lack of funds. ,t
b. Pipe lines are not being replaced in several Urban Local Bodies though they outlived their
utility for want of requisite funds. ^
c. Piper lines also could not be replaced immediately wherever they are found leaking, due
to lack of funds.
d. All Urban Local Bodies have defaulted in paying Electrical Charges to APTRANSCO to
a tune of Rs. 106.00 Crores as on 31.3.2001 for want of requisite revenue from Water
Supply.

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 Fixation of Water Chaiges on Self-Sufficiency Basis
^
A Total Operation and maintenance costs of Water Supply will include the following :

l. Salaries of Waterworks Staff

2. Electrical Consumption Charges
3. Cost of consumables like bleaching power, alum, chlorine etc.,
4. Cost of replacement of pipelines and other material
5. Repair to pump sets, motors and other water supply and electrical installations
ExamPle
l. Salaries of all the employees in water works
section per month o : Rs. 10.00lakhs
A 2. Cost of consumables Per month : Rs. 5.00lakhs

.a. 3. Repairs and replacements per month Rs. 2.00lakhs

'A o'
, 5. i:",:iTi",H:::$:'ffi$t
Rs. 8.00lakhs
Rs. 25.00lakhs
O&McostsPerannum : Rs. 300.00lakhs

6. Amount of interest payable per annum

on loans obtained for water supply schemes Rs. 60.00lakhs
A 7. Total expenditure on maintenance of
water suPPlY Per annum : Rs. 360.00lakhs

8. Total water charges collected per annum Rs. 144.00lakhs

'^' g. Percentage of O & M costs collected Rs. 144 x 100 :40o/o
360

10. Deficit in the maintenance of water supply Rs. 360.00 lakhs minus
Rs. 144.00lakhs

^ r r rri:ii?::iJ,l'"'[i::::?:]#:L***' :
Rs.216.00lakhs

150

A 12. If water charges are collected at Rs' 100'00

per tap per month, revised amount would be Rs. 250/- per month

This existing water charges have to be revised by 150 percent to make it

self-sufficient.

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Wa(er RegulatorY Commission

Water Regulatory Cdmmission may be constituted on the lines of Electricity

Regulatory
Commission for iationaiization of the production, distribution
and supply of drinking water on
economic principles in all ULBs including Hyderabad'

3.6. Collection of other items for supply of water

of water' a
m adjition to water charges, the following amounts are collected for supply
l. Water Supply contributions @onations)

Water Supply contribution (Donation) is collected for all categories of water

supply
before connection is given to meet the capital cost of providing water supply'

2. Connection Charges

connection charges -" .oll""ted before sanction of water supply house service
connection as shown hereunder.
a. Road cutting charges
b. Supervisory charges
c. Advance monthly water charges for 3 months

4. FEES FROM MARKETS AND SLAUGIITER HOUSES

ULBs are maintaining markets and slaughter houses for the convenience of the
public'
be effected by public 1
Sale of right to collect fees in the markets and slaughter houses shall
auction. The Municipal Commissioner shall prepare a preliminary notice where
the right to
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collect fees in respect of the use of any markei, iaughter house, fishery or sale of fish
in fresh
preliminary notice shall
water tanks is proposed to be leased out by the Municipal Council. The A

be approved by the Municipal Council-

4.1 Sale Notification

The preliminary notice shall set forth the following conditions for lease of markets
and

slaughter houses.

The rates of fees to be collected ior occupation of space in the market for various
items
i.
sold in the market shall be included in the sale notification.
ii. The selection of the lessee shall vest in the Municipal Council / Contract Committee
depending on the value of the lease amount
iii. To participate in the auction the following conditions have to be fulfilled

88
 a. Security deposit as specihed in the sale notification shall be paid
before the date prescribed
b. Certificate worth the bid amount countersigned by an officer of the Revenue
Department not below the rank of M.R.O. in case of landed property or by the
Municipal Commissioner in the case of house property in the town.
iv. Where the period of lease is one year or below, the lessee shall deposit one fourth of the
lease amount including the deposit already paid within one week from the date of
A confirmation of the lease in his favour.
A v. The balance of the lease amount lhall be paid in equal monthly installments within a
period of nine months commencing on the ltt April of every year'
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vi. The lease deed shall be executed and registered within 15 days from the date of
A confirmation of the lease.
vii. Ifany installment due under the lease is not paid within one month of the date on which it
A becomes payable, the Commissioner shall forthwith report the matter to the competent
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authority which thereupon shall terminate the lease and order its management
departrnentally at the risk of the lessee till it is resold, if a resale is ordered.

viii. The lessee shall maintain correct accounts and registers of collections made by him and
produce before the Commissioner by 15ff of each month and get the same affixed with the
municipal council seal.

4.2 Auction of the Markets

The Preliminary notice after approval, shall be published in the District Gazette and on
the notice board of the municipal office. The Commissioner or arn officer duly authorised by him
shall conduct the auction rub3""t the conditions stipulated in the sale notification. After
completion of the auction, the Commissioner shall place before the Municipal Council a list of
three
bids received at the auction together with a comparative statement of income during the past
years with a recommendatory note. Normally the Municipal Council shall accept the highest bid'
shall be recorded' In
VVh"r" the bid accepted is not the highest, the reasons for such rejection
exceptional cases, where sales in public auction have proved unsuccessful on at least
two
occasions owing to the want of bidders or strong combination among them, the Commissioner
for
may invite sealid tenders for the lease and place such tenders before the Municipal Council
necessary action.

4.3 Registration of Lease Deed

After approval of the bid at the auction, the Commissioner shall enter in a written contract
with the ,u"""riful bidder. A lease deed shall be executed and registered at the cost of the lessee
incorporating all conditions of lease set forth in the sale notification.

The collection of amounts due from the lessee shall be watched through the
Miscellaneous Demand Register.

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4.4 Departmental Management of Markets

Whenever any market or slaughter house is managed departmentally, all fees levied in
respect of the use thereof shall be collected by means of tickets printed and supplied by the
Commissioner. The tickets shall be printed in foil'and counterfoil for diflerent rates of fees, the
rates being printed in each case. Before issue to the collecting officers they shall be stamped with
the common seal of the Municipal Council in the presence of the Commissioner or any officer
authorised by him. i ,:
, A register in two parts shall be maintained in the municipal offrce in,respect of these
tickets. The first part shall be a stock register. The second part shall be a persona-l ledger for each
officer entrusted with the collection olrevenues.by means of these t!c!etq..It.lhall.be'debited
with the number and value of each kind of tickeris*a t<j'iach colleiting 8?fit# #d' shall be
credited with the amount of collections paid by him into the municipal bffice.',Remittances shall
be made by the collecting officer every day and shall be accompanied by details of the number
and value of each kind of ticket issued by him. .
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' . Where any ticket bocik has been completely used, the counterfoils shall be'sent to the
municipal offrce for check with actual credits. The collecting officer shall also keep'an account of
the tickets entrusted to him and the collections made by him. The daily collections by each kind
of ticket shall be entered in such account and the balances struck at the end of every day. This
account and the stock of tickets shall be'verified at regular intervals by the Commissioner or any
I
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officer authorised by him, who shall certiff such verification.
;,

4.5 Revision of fees in the lVlarkets

The Municipal Commissioner shall undertake a study of the rates of fees collected for
various items iold in the market with reference to the rents prevailing in the vicinity of the market
for similar purposes and place proposals before municipal council once in every year for revision
of fees on par with prevailing rents in the vicinity. ::

5. RENT FROM SHOP ROOMS AND BUILDINGS

5.1 Sale of of the buildings or the terraces of the buildings, shops or godowns and of
lease
land belonging to municipal council shall be effected by public auction. The Municipal
Commissioner shall prepare a notification for sale of lease of shop rooms or buildings setting
forth the conditions and terms as in the case of sale of right to collect fees in markets and -
slaughter houses. After approval of the said notification, the lease of buildings gr shop rooms
shall be effected by public auction which shall be conducted by the Municipal C6mmissioner.
The sale notification shall be published in the district gazette and on the notice board of the
municipal office. The bids at the auction shall be placed by the Commissioner before the
municipal council. The municipal council normally, accepts the highest bid for the right of usage
of the shop room. Where the bid accepted is not the highest, the reasons for rejecting the bid or
bids higher than the one accepted shall be recorded in writing.
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 5.2 Conditions of Lease
The sale of lease of the buildings, shop rooms, among others, is subject to the following
conditions.

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l. If the bid is found to be lower in a public auction held than that obtained in the previous
year and if the previous year's lessee desire the continuance of the lease at the old rate,
A the competent authority may notwithstanding the public auction held, grant lease to him'
2. The municipal council may renew the lease for a period of three years at a time without
A conducting a public auction, ifthe present lessee agrees to renew the lease in his favour at
an amount which will be at 33 l/3 percent above the earlier rent or the prevailing market
A
f,
rental value of such shops situated in the vicinity, whichever is higher.
A
3. The council may also in exceptional circumstances and with the prior sanction of the
A\ Government renew the lease at a rate not less than 15% over the existing rate of annual
lease.

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4. ln respect of the cases mentioned in item (2) and (3) above, the municipal council shall
get the willingness of the occupying tenant within three months before the expiry of the
existing lease. If a reply is not received within fifteen days from the date of receipt of
A ' intimation by the tenant, the Commissioner shall take steps for leasing out the same
A though pubtt auction before the expiry of the existinglease.

5. The Municipal Council with the prior sanction of the Govemment or the Government
may dispense with public auction and allot shop or shops to any institution on rent which
shall not be less than that which the adjoining shops of the same or similar
accommodation in similar circumstances usually fetch in public auction.
A
6. l5%o of the shops and stalls shall be reserved for allotment to the members of scheduled
A
castes without normal channel of public auction at 50%o of the rent of adjacent shops or
stalls leased out in public auction'or Rs. 2-50 per square foot whichever is less. Further,
production of solvency certificate and six months advance rentals need not be insisted
upon such members of SCs. For this purpose the District Collector shall be requested to
sponsor members belonging to SCs.

7. The municipal council may lease out vacant sites belonging to it for, a period not exceeding
five years dispensing with public auction in special cases with the prior approval of the
Government. i

8. The municipal council may lease out the fishing rights in the tanks other than fresh tanks
belonging to it in favour of fisherman's cooperative societies or scheduled castes or
scheduled tribes cooperative societies engaged in hshing operations as may be notified or
approved by the Government without conducting auction for a period of three years. The
lease amount shall be fixed basing on the average income realised for the past three years
and also in consultation with Director of Fisheries.

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5.3 Goodwill auction of shoP rooms
i Government accorded permission to municipal couruils for construction of shopping'
I

complexes in vacant lands with good will amount raised thryugh public auction and leasing them
out on monthly rental basis. For this purpose, the municipal council may fix a reasonable lease
period, normally five years, and monthly rent and put to public auction the amount of non-
iefundable deposit amount (goodwill). The bids at the public auction shall be placed before the
municipal council for acceptance of the highest bid. Prior sanction of the Government sanction
shall bi obtained for construction of shop rooms on goodwill auction. The goodwill amount has
to be collected in four convenient installments.

The other general conditions for lease of shop rooms shall apply in the case of the shop
rooms constnrcted on goodwill basis.
In respect of shot rooms which have already been constructed, they can also be leased out
on goodwill basis. The Municipal Council will fix a reasonable lease period (generally five years)
and monttrly rent and put to public auction the amount of non refundable deposit (goodwill).
After due publicity, public auction will be conducted by the Commissioner or an officer A.
authorised by him. The bids at the public auction will be placed before the Council or Contract
Committee with reference to the contract amount. Ordinarily, the Council or the Contract
Committee will accept the highest bid.
5.4 Register of Miscellaneous Sales
sales of lease of shop rooms shall be shown in register of miscellaneous sales and all
All
realization of sale amounts shallpe entered therein

6. BTIILDING PERMISSION FEES

Municipal Councils shall issue a notification specifuing levy of building permission fees
for construction of various categories of buildings. The notification may contain the following
items.
,1. Planning Fees
2. Betterment Charges
3. Security Deposit in case of Apartments
4. RWHS charges
5. Municipalities in UDA area
a. Plinth area charges .

b. Open Area charges

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The building permission fee, betterment charges and other items are intended to ensure a
planned development of the ULB.

The Municipal Commissioner shall place proposals before the municipal council for
revision of the above categories of fees and charges once in two years keeping in view the cost of
regulating the construction of buildings and betterment charges needed for provision of civic
amenities in the layout areas.

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,-\ 7. TRADE LICENCE FEES

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7.1 There are various categories of licence fees but the important category is the fees intended
for regulating dangerous and offensive trades. All municipal councils shall issue a
notification to the effect that no place within municipal limits shall be used for any or
more of the purposes specified in schedule IV without the licence of the Commissioner
and subject tt tfre conditions specihed therein. The notification shall be published in the
district gazette and on the notice board of all important offices in the municipality.

a^ The purposes mentioned in schedule IV for usage of places are commonly known as
dangerous and offensive trades. As per section 344(2) of A.P. M Act the municipal councils
are
A.
conipetent to fix the fees for every licence or permission on such units and at such rates.

7.2 Basis for fixation of Licence Fee

licence fee for carrying on a particular trade or industry should not be regarded as a
A
,A\ form of taxation. The fo[owing p.ioript"r should be kept in view while fixing the licence fee.

A l. the cost of issuing the licences

Z. the cost of inspecting the premises to see whether they are suitable for the purpose
A proposed.

,-\ 3. the subsequent cost of inspecting the premises to see that they are being used properly
and that the conditions and restrictions imposed are observed.

7 "3 Sanction of licence

The owner of every place covered by schedule IV of A.P.M. Act, within 30 days of the
publication of notification under section 363 apply to the Commissioner for a licence for the use
ofsuch place for such puqPose.

Applications for renewal of such licences shall be made not less than thirty days before
the end of year. Applications for licence for places to be newly opened shall be made not
"u..y
less than thirty-days andnot more than ninety days before they are opened. The Commissioner
may grant or iefui" to grant or renew such licence by an order subject to such restrictions and
regulations as to supervision and inspection as he thinks fit. In case the Commissioner refuses to
grant or renew any such licences, he shall record the reasons therefor. ;

Every licence for D & O Trade shall expire at the end of the financial year.

7.4 Yearly / Monthly lists of Trades

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Sanitary Inspectors are required to submit yearly lists of places of business liable for
licence after commencement of eviry year by 306 eprit for scrutiny and approval by the Health
Officer and Commissioner. Any person found in the list who has not obtained licence shall be

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prosecuted by the Sanitary Inspector with the approval of the Municipal Commissioner. Further
oufdoor officers are required to submit monthly lists showing name$ of all persons who have
become newly liable during the month to take out licences. Persons shown in the monthly lists
who have not taken licences should also be similarly prosecuted.

A notice may be issued to the party before prosecution calling on him to take out the
requisite licence and warning him that if he does not do so within a reasonable time, he would
become liable to be prosecuted to minimise administrative inconvenience resulting from
institution of prosecutions. The prosecution should be launched as early as possible after the
commencement of the year or commission of the offence if it is commissioned in the course of
the year but in any case within three months of the commission of the offence. Further, failure to
take out a licence shall be deemed as a continuing offence until the expiration of the period i.e.
end of financial year as per proviso to section 366 of A.P.M. Act. Inview of proviso to section
366 of A.P.M. Act, prosecution can be launched within three months from the closure of the
financial year in respect of trades run in the previous financial year.

If the Municipal Council sustains any loss in this regard due to negligence of Sanitary
Inspectors in submitting the yearly lists / monthly lists within the stipulated time and non-
prosecution of offenders for not taking licence, the said loss can be made good from the persons
responsible after issue of show cause notice. Ordrnarily there should be no arrears to be recovered
under licence fees. The Municipal Commissioner should revierv this work once in a month.

8. ENCROACHMENT FEES

Every Municipal Council shall issue a notification under section 344(2) of A.P.M. Act
fixing the rate of encroachment fee for various temporary encroachments. The Town Surveyor
and town planning subordinates shall submit list of encroachments by :Oe epril of every year-
The Municipal Commissioner shall inspect all encroachments and classifu them as objectionable
or unobjectionable from public health, safety and traffic point of view. Action shall be taken to
remove objectionable encroachments after issue of a show cause notice to the party. A

The list of unobjectionable encroachments shall be entered in a separate miscellaneous

demand register with the amount of fees payable. Demand notices have to be issued to all
encroachers by end of June of every year to pay encroachment fee within the 15 days from the a
date to service of the notice. Town Planning Building Overseers are normally authorised to
collect encroachment fees by issuing miscellaneous receipts. A register of miscellaneous receipts
issued shall be maintained to prevent the misuse of the receipts. Action shall be taken to remove
the encroachments if the feesls not paid within the stipulated time. Ordinarily there shall not be
any ilrears of encroachment fees as there is a provision for removal of encroachments for failure A
to pay the fees. The Municipal Commissioner shall review this item of work once in a month.

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9. PARKING FEES
A O

9.1 As per section 193 (3) of A.P.M Act, 1965, road margins and street margins vested in the
municipal council can be leased out by the Commissioner for occupation for a temporary
/ prr.pori. Under this section the right of collecting fees for parking of vehicles on certain
important road margins can be put to public auction. For this purpose, the Municipal
,-' Commissioner shall prepare a draft notification for approval of municipal council with the
following terms and conditions.
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l. List of Road Margins notified for parking.
2. The extent of Road Margins to be used for parkng.
3. Parking fees to be collected per hour or less.

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4. Solvency certificate to be produced by the bidders.
5. Security deposit to be paid at the time of auction.
A 6. Payment of three months parking fees to be paid after acceptance of the bid.

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7. Payment of balance amount in nine equal installments.
8. Execution of agreement within 15 days from the date of acceptance of the bid-
9. Maintenance of accounts and registers by the lessee.
10. The period of the right of collection of parking fees.
^
A 9.2 Auction of the Parking Fees

The Preliminary notice after approval, shall be published in the District Gazette and on
the notice board of the municipal office. The Commissioner or an officer duly authorised by him
shall conduct the auction subject the conditions stipulated in the sale notification. After
completion of auction, the Commissioner shall place before the municipal council a list of bids
received at the auction together with a comparative statement of income during the past three
years witir a recommenddtory note. Normally the municipal council shall accept the highest bid.
Where the bid accepted is not the highest, the reasons for such rejection shall be recorded. In
exceptional cases where sales in public auction have proved unsuccessful on at least two
o""uiion, owing to the want of bidders or strong combination among them, the Commissioner
may invite sealed tenders for the lease and place such tenders before the municipal council for
necessary action.

93 Registration of Lease Deed

After approval of the bid at the auction, the Commissioner shall enter into a written
contract with the successful bidder. A lease deed shall be executed and registered at the cost of
the lessee incorporating all conditions of lease set forth in the sale notification.

The collection of amounts due from the lessee shall be watched through the
Miscellaneous Demand Register.

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10. MISCELLANEOUS NON-TAX ITEMS

The following are the minor non-tax items collected by ULBs.

l. & Death certificate and extracts of records.

Fees for issue of Birth
2. Sale proceeds of sweepings / compost
3. Revenue from avenue trees ^
4. Lease amount of water tanks and lakes
5. Magisterial fines
6. Sale of forms
7. Amount realised from auction of unserviceable material
8. Burial ground charges
9. Guest house charges
10. Layout fees

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 8. COLLECTION OF TAXES AND NON.TAXES IN ULBS

1. PROPERTY TAX

Property Tax is one of the main sources of income to the Municipalities. Under section 56
of the A.P.M. Act, 1965 the Commissioner has to exercise all powers in relation to the collection
of the taxes and fees, the licences etc. Rule 29 to 36 of Taxation and Finance Rules contained in
schedule - II of the A.P.M. Act, 1965 as well as the Statutory Rules relating to collection of taxes
issued in G.O.Ms.No. 1468 M.A., dt. I 8. 12. 1 965 deal with the procedure for collection of Taxes.
,-\
2. PROPERTY TAX WrtEN PAYABLE (SECTION - 91)
A
The property tax shall be levied every half year and shall be paid by the owner of the
assessed primises within thirty days after the commencement of the half-year as shown
hereunder:

I Half year : 30e April

II Half year : 30n october

All the taxes and dues to the Municipality including the property tax is liable to b
recovered as if they were arrears of land revenue.

3. DEMAND REGISTERS

A separate demand register has to be maintained for each of the following taxes in the
prescribed form:

l. Property Tax comprising of :

a) Tax for general purposes

b) Water and drainage tax.
c) Lighting tax
d) Scavenging tax
e) Library Cess
0 Education tax
2. Tax on carriage and carts
3. Tax on animals
4. Advertisement Tax

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4. PROPERTY TAX DEMAND REGISTER
i

It is the most important register to be maintained by ULBs. Theistriking feature of this

register is that it provides for the record of the demand, collection, balance of property tax for
five years in one volume. It should be opened after the general revision of property tax and
should be written up in regard to all particulars of the demand from the assessment lists, the
amount of assessment for the first year being posted from the same.

The register contains 49 columns with the following important information.

l. Asst. No.
2. Locality Name
3. DoorNo.
4. Name of the Occupant
5. Assessment
a. Annual Rental Value
b. ARV of Building component
c. Property Tax
d. Education Tax
e. Library Cess
f. Total
6. Collections month-wise for two half years
7. Arrears of Property Tax, Education Tax, Library Cess
8. Total Arrears
9. Name of the Owner
,^
' The figures in the assessment columns should be totalled at the beginning of each year as
soon as the Demand Register has been prepared and the totals posted in the abstract of totals, the
grand totals being reconciled with the previous half years total with the help of the mutation
registers. At the end of the year, the necessary alteration should be made in red ink in the totals
both in the body of the register, as well as in the abstract of totals at the end and the final totals
should then be arrived at. ,^\

A\
The total demand as shown in the abstract at the end of each register should be written
both in words and figures and certified by the Commissioner or any officer authorised, at the end At
of the year after reconciliation with assessments in mutation register. The collectibn of propefty
tax has to be watched through Demand Register and Arrear Demand Registers.

The demand register has to be written before l5m of April every year and the writing of
bill receipts and demand notices have also be got completed simultaneously. After the bill
receipts, demand notices and memoranda have been written up, a minimurh of not less than 10olo A
of the receipts, demand notices and memoranda has to be test-checked comparing with the a
demand registers concerned by the Revenue Officer or the Manager. The Bills then have to be
entered in "Register of Bills issued" and stamped with the facsimile signature of the

98 .A

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 Commissioner under the direct supervision of Revenue Officer or Manager. The Bills should then
be handed over to the Bill Colleciors for service of the demand notices and collections and
their
initials o,btained in the Register of Bills issued.
i

5. ISSUE OF BILLS

The bills should be issued for the first half-year between 166 to 30th April and for the
second half-year between 16ft to 3l't October. Bill Collectors should serve the demand notices
as

per the p.o"Ldu." laid down in section 353 of A.P.M. Act on all tax payers by the end May for
the first half-year and by the end of November for the second half-year.
/\
The bills have to contain the following information:

a) statement of the period and description of the property for which the tax is charged
b) an intention of liability to be incurred in default of payment, and
an intimation about ciarging a simple interest at the rate of 2%o per mensum in case of
"i failure to pay property tax within l5 days from the date of service of the bill.

6. SERVICE OF BILL ,

As per section 353 of A.P.M. Act the Demand notice has to be served on the taxpayers as
,^\
shown hereunder.

l. By handing over the notice to the tax payer duly obtaining his signature with date
Z. If the taxpayer is not found, by handing over the same to some adult member or servant of
his family, ty obtaining the signature with date from such person- The name of the person
who has received the notice and his relationship to the taxDayer has to be written
underneath his signature in capital letters.
3. If the tax payer does not reside in the Municipality and his address els'ewhere is known,
by sending the same to him by registered post acknowledgement due.
4. If none of the means above said be available, by fixing the same to some conspicuous part
ofsuch place ofabode or business.

7. MUTATION REGISTER

A Mutation Register intended to show all permanent changes made during the course of a
year ei;her by the Conrtissioner, Appellate Cornmissioner or by the Council in the assessment of
ihe property taxes after the demandiegister for the taxes concemed have been written up for the
year has to be maintained in the prescribed form.

8. ARREAR DEMAND REGISTER

The balance of property tax outstanding at the end of the year in all the Demand Registers
of property tax has to Le transferred to a register called Arrear Demand Register (A.D.R.). This
registei contains 47 columns. In the A.D.R. the balance of taies which were outstanding as on the
close of the financial year has to be got written up year-wise. The totals should be tallied with

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those of Demand Registers. The Commissioner should certify the Arrear Demand at the final
abstpact. This register should be written by the end of April every year.

, fh" collection of Arrears should be posted month-wise in the ADR. The arrear
outstanding at the end of the year should be arrived at the appropriate columns.

g. PENDENCY IN PREPARATION OF ADRS

In majority of the ULBS the ADRs have not been written up year after year and almost
this work was neglected. This has resulted in a situation where there is no possibility of checking
the outstanding bills, which the Bill Collectors have in their custody. Further the watching of
collection of arrears is also not possible.

10. I]PDATING ADR

'
The writing of ADRs will facilitate not only knowing the arrears'of taxes to be collected
but also the defalcations, if any. Hence all Municipal Commissioners were advised in March
200 I to complete the writing of ADRs upto date before end of June 2001 in all respects. Further
the Municipal Commissioners were advised that wherever it is felt that it is not possible to
prepare the ADRs with the existing staff, they should prepare an estimate for preparation of
ADRs treating this as a job work duly keeping in view the number of assessments, quantum of
work, mandays required to complete the work and place the subject before the Council for
sanction of the estimate. After obtaining administration sanction, Tenders / Quotations have to be
called for as per tender rules and entnrst the work of preparation of ADRs on contract basis.

After preparation of ADRs upto date, action has to be taken for verihcation of the
outstanding bills with reference to ADRs as per the procedure prescribed in rule 5 of A.P.
Municipalities (collection of tax as) rules 1965.

11. COLLECTION OF TAXES

When going out to make collections, Bill Collectors should always carry with them the
bill books and the collection book. As soon as any amount is received by a Bill Collector, he
should enter the date of receipt against the corresponding entry in the memorandum at the
beginning of the bill book making at the same time necessary entries in the collection book. He
should then sign the bill in full, noting the date of collection in token of having received the
money and hand it over to the tax payer concerned. No amount should be collected by a Bill
Collector without giving the taxpayer the bill for it duty receipted by him with the date of A
collection. Part collection of a bill should on no account be made. Bill receipt should not be
detachedfromtheBooksconcernedexceptonrealizationoftheiramountinfull.
Bill Collectors should always bring the bill books and their collection book with them to
the office whenever they attend it for making remittances. After the Bill Collector has made
necessary entries in the Challan Register, he will bring both Collection Book, Challan Register r-r

and the Bill Books to the tax clerk. The tax clerk should examine the bill books to see that
remittances have been made for all bills which are wanting in them. In order to facilitate this, he A
will at the same time, enter the date of credit of each bill in the memorandum attached to each bill
book and also make the necessary entries in the abstract in it showing the number of bills
collected and of those outstanding. He will then count the number of bills in the bill book
^

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 actually outstanding and satisfy himself that this number agrees with that shown in the abstract in
the mimorandum and then permit the Bill Collector to remit the collection in the Municipal
Treasury. Normally the Bill Collectors should remit the collection amount in.the Municipal
Treasury on the same day of collection.

12. LEVY OF SIMPLE INTEREST

A simple interest at the rate of ZYoper mensum has to be charged in the case of failure to
pay property tax within the due date. Property tax is due for payment within fifteen days from the
date-of service of the notice or Bill. When payment of property tax is not made within the due
date, the Commissioner may after giving notice to the owner or occupier, disconnect the essential
services to the premises.

13. DISTRAINT WARRANT

Where any tax is due from any person, the Commissioner has to serve upon such person a
bill for the sum due. Under Rule 29 of schedule II of A.P.M. Act, a tax cannot be recovered by
distraint or prosecution if the demand notice or bill is not served in the half-year or in the
succeeding half-year.

days from the date of service of the notice or bill after

If the tax is not paid within fifteen
A
repeated demands, warrants should be issued. Warrants have to be written with reference to the
uncollected bills and necessary details have to be entered at the same time in a register of
Warrants. When it is decided to issue Warrants in respect of the bills in a book, they have to be
issued for all the uncollected bills in that book. The Warrants should be signed by the
Commilsioner and examined in the same manner as bills.

Revenue Officer / Revenue Inspector has to normally be entrusted with the execution of
warrants. The officer charged with the execution of a Warrant, has to, before making the distraint,
demand payment of the tax and the warrant fee. If the tax and fee are paid no distraint has to be
made. Ifihe Tax or Fee are not paid the officer charged with the execution of the Warrant has to :

a) seize such movable property as he may think necessary;

b) make an inventory of the properry seized and

c) give to the person in possession of the property seized at the time of the seizure a copy of
the inventory and notice of sale in the form in appendix-B
A period Lf ,"*r", days need to be allowed for paying amounts due and redeeming the
properby seized. The property distrained has to be as nearly as possible equal in value of the tax
i". Uy tf," defaulter tog"tt ei with all expenses incidental to the warrant, distraint, detention and
sale.

The distrained property should then be immediately brought to municipal office and made
over to the storekeep"i *ho should record at once in the register of distrained property. Unless
the articles distrainei are got released by the parry by paying the taxes including simple interestif
any and other charges due within seven days as mentioned in the notice in appendix-B, the
property seized haslo be sold by public auction under the order of the Commissioner and the

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amount due to the Municipality adjusted from the sale proceeds. If the sale proceeds are
A
suffipient to cover the total amount due on account of the expenses incidental to the detention of
the $roperty as well as the warrant and distraint fee and the tax, they should be credited to the .A
resplct-service heads at once in the chitta and surplus sale proceeds credited under the head
'de osits'. The surplus sale proceeds and property has to be returned to the person in whose
possession the property was at the time of seizure. When the property is retumed to the party, his
acknowledgement should be obtained in the register of distrained property against the entries of
the article concerned.

,If the proceeds of the sale are insufficient for payment of the amount due on account of
the tax and other charges, the Commissioner may again proceed to distrain the property in respect )
of the sum remaining un-paid. Where the tax has not been paid within twelve months from the
due date, a notice can be issued to the occupier of the building to pay the tax within fifteen days.
If the occupier fails to comply with such requisition, the Commissioner may distrain and sell any
movable property found on the building. No occupier shall be liable to prosecution or to the civil
suit in respect of any sum recoverable from him. A

14. PROSECUTION

If, for any reason the distraint, or a sufficient distraint, of the defaulters property is
impracticable, the party may be prosecuted before a magistrate. Wherever it is proved that the
party has willfully omitted to pay the amount due by him or that he willfully prevenced distraint,
is liable to pay a fine not exceeding twice the amount due by him, on account of the tax including
simple interest and other charges.

15. SALE OF IMMOVABLE PROPERTY

If for any reason the distraint or sufficient part of the defaulters

movable properb/ is
impracticable the tax may be recovered by attachment and sale of the said building or land ln
such manner as may be prescribed.

16. PERIOD OF LIMITATION FOR COLLECTION BY SUITS AND .i\

PROSECUTION

Under section 365 of the A.P.M. Act, 1965 no distraint has to be made, no suit has to be
instituted and no prosecution has to be commenced in respect of any sum due to the council .-t

under the Act after the expiration of a period of three years from the date on which distraint
A.
rnight first have been made, or after the expiration of a period of nine years from the date on
which a suit might first have been instituted, or after the expiration of a period of six years from
the date on which prosecution might first have been commenced as the case may be in respect of
such sum. In brief the limitation laid down for the three modes of recovery is as lollows : i^r

Distraint : 3 years
Prosecution : 6 years
A
Suit : 9 years

r02
 A suit can be instituted immediately after the sum has become due. Proper service of
Demand Notice is a condition precedent to the taking of proceedings in a civil court. The period
of limitation for filing a suit should therefore be iomputed from the date on iwhich liability
accmes i.e., the :Om eprit or the 3l't October as the case may be.

As per section 365(2) of A.P.M. Act, it is the duty and responsibility of the Commissioner
to place be-fore the council a list of arrears due to the council which are likely to Be time-barred at
least one year before the expiry of the period of limitation with a request for instruction or
directions of the council in rigard to the i""or.ry of such alrears- If the Commissioner fails to
fumish the list as aforesaid the Commissioner has to be deemed to be negligent in the discharge
^ of his duties, and he is liable for the recovery of the loss sustained by the Municipal Council due
A to his negligence in placing the matter relating to time-barred taxes before the Municipal Council.

17. COMMISSIONER'S R.ESPONSIBILITY FOR COLLECTION WORK

The Commissioner will be held personally responsible for any loss sustained by the
Municipal Council by his failure to take timely action for the recovery of the taxes and other
A dues. He should devote his personal attention to collection work and insure that no tax becomes
time barred as a result of his negligence. It is unsafe to wait till the period of limitation has almost
\ expired. Efforts should be made even from the very first half-year. To prevent temporary
misappropriation by bill collectors, the Commissioner or Revenue Officer should obtain atleast
SX oftfre tax receipt from the parties and compare them with the entries in the demand Registers
and make u ,""ord of the r"""iptr so compared in the prescribed register. This procedure will
enable the Commissioner to see whether there was any delay in crediting the amounts collected
by the Bill Collectors. The work of the Bill Collectors should be closely supervised by fixing Job
Charts and reviewing the collection work every week and the outstanding bills checked at
periodical intervals. Any defalcations or loss of 'moneys or stamps have to be reported to the
Director or Local Fund immediately after detection.

18. MONITORING OF COLLECTION OF TAXES

:

18.1 Weekly targets have to be fixed for all Bill Collectors and Revenue Inspectors.
18.2 The Municipal Commissioner has to review the collection of taxes and non-taxes weekly
once and ensure that weekly targets are achieved.
18.3 It should be ensured that penal interest at ZVo per mensum is charged in respect of all
delayed payments. This will go a long way in realizing the property tax within the
stipulated time. i

18.4 Defaulter lists of 50 tax payers has to be prepared for each ward starting from the highest
amount payable in descending order and the tax has to be collected from such persons
within a week. This exercise has to be continued every week.
18.5 Attempts have to be made for collecting 100 percent of taxes and non-taxep before end of
March of every year.

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19. DEMAT{D, COLLECTION AND BALANCE STATEMENT .-t

In order to enable the Municipal authorities to keep a watch over the progress of /A
collections, demand, collection and balance statements should be prepared every month and
submitted to the council for its information and for such orders as it may consider necessary to
pass with reference to the progress of collections as shown therein. The Regional Director-cum-
Appellate Commissioner has been entrusted with the duty of reviewing the monthly progress of
collections.

20. IRRECOVERABLE AMOUNTS

Amounts found irrecoverable have to be reported by the Bill Collectors with their reasons. A,
The Revenue Officer or the Commissioner has to personally check up all such cases before the
Commissioner countersigns them. Lists of the amounts included in these reports together with the
reasons assigned in them have to be made at the end of every quarter and submitted to the council
for instructions or directions with regard to the recovery of such iurears. A

21. VACANT LAND TAX ,a\

The property tax assessment list of lands has to be prepared in Form'C'. The procedure
prescribed for collection of House tax has to be followed for collection of vacant land tax also.

22. COLLECTION OF ADVERTISEMENT TAX

The procedure prescribed for collection of property tax has to be followed for collection
of the following taxes:
.^\
l. Advertisement Tax
2. Tax on Carriages and Carts
3. Tax on Animals
23. COLLECTION OF NON.TAXES
The following are the main Non-Taxes collected by municipalities A
l. Water Charges
2. Fees from Markets and Slaughter Houses
3. Rents from Shop Rooms and Buildings ,1l

4. Various Categories of Licence Fee

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5. Encroachment Fee
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24. WATER CHARGES
Municipal Councils have to make bye-laws for all matters relating to Water Supply under
section l4l of A.P. Municipal Act. The Water Supply bye-laws provide, among others, for .^t
payment of water charges by various categories of users.
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25. WATER SUPPLY BYE-LAWS

The Municipal Council has to publish draft bye-laws or ralternations to bye-laws duly
calling for objection or suggestions from the public to the draft bye-laws as per section 332 of
A.P. Municipalities Act. After consideration of the objections/ suggestions, the Municipal
Council has to finally approve the bye-laws. Thereafter the Municipal Council has to obtain
approval of E.N.C.(P.H.) for giving effect to the bye-laws.

26. REGISTERS TO BE MAINTAINED

The following Registers have to be maintained ,in all municipalities where water is
supplied.
l. House Service Connections Register
2. Meter Register
3. Water Charges Demand Register
4. Meter Reading Card
5. Meter Ledger

27. HOUSE SERVICE CONNECTIONS REGISTER

As soon as Water Supply Connection is given to owners of buildings, the Municipal

Engineer has to forward to the revenlle section by tenth of every month a list of water supply
connections given during the preceding month. Thereafter the revenue section has to make entries
in the house service connections register in respect ofconnections given on tap rate.
28. METER REGISTER
Entries have to be made in the Meter Register in respect of all connections given on meter
basis once in a month based on the list of connections given on meter basis forwarded by
Municipal Engineer.
29. WATER CHARGES DEMAND REGISTER
Water Charges Demand Register has to be prepared based on the entries made in the
house service connections register. This register provides, among others, information relating to
date of sanction of house service connection, monthly I half yearly water charges payable on tap
rate, date of payment, balance at the end of the financial year.
30. METER READING CARI)
In respect of Metered Connections, the meters have to be read at approximately one
month's interval and entries have to be made in the meter reading cards. The meter reading card
has to be maintained in dupticate. One card has to be given to the owner for record. Second copy
of meter reading card has to be sent to municipal office by the Meter Reader.

31. METER LEDGER

Entries in the Meter Ledger have to be made based on the meter reading cards. This
register provides for consumption of water, amount billed, amount collected and balance thereof.

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32. ISSUE OF BILLS

The water supply bye-laws provide for collection of water charges on monthly basis, but
in practice water charges are collected once in a half-year along with property tax in respect of
tap rate connections and once in a month in respect of metered connections. After preparation of
bills for collection of water charges, they have to be entered in register of miscellaneous bills
issued and stamped with the facsimile signature of the Commissioner under the direct supervision a
of Manager / Revenue Officer.

Bills have to be issued to the bill collectors between l6-30 April for first half-year and
between 16-31 October for the second half-year in respect of connections on tap rate basis. l
Further, bills have to be issued every month by lOe of succeeding month in respect of
connections on meter basis.

33. SERVICE OF BILLS l

A
Bills have to be served on the consumers within fifteen days from date of receipt of the
bills by the bill collectors. The procedure prescribed in sec. 353 of A.P.M. Act has to be followed
A'
for service of bills.

34. COLLECTION OF WATER CHARGES

The water charges have to be paid within fifteen days frcm the date of service of the bill.
The Municipal Commissioner is competent to order for disconnection of water supply if water
charges are not paid within the stipulated time. Further, the arrears of water charges can be .^,
collected as arrears of property tax.

All efforts have to be made to collect water charges without any alTears since the
Municipal Commissioner is empowered to order for disconnection of water supply and to collect
water charges as arrears of property tax.

35. ARREAR DEMAND REGISTER

The balance of water charges outstanding at the end of the financial year has to be
transferred to arrear demand register. This register should be prepared by the end of April of a
every year.

36. FEES FROM MARKETS AND SLAUGHTERHOUSES, RENTS FROM SHOP

ROOMS AND OTHER BUILDINGS

Fees from Markets and Slaughter Houses and Rents from Shop Rooms and other ^
Buildings have to be watched through the Miscellaneous Demand Register (M.D.R.). Separate
portions of the register should be set apart for each of the above kinds of revenue. After issue of
orders approving the lease for the right of collection of fees from Markets and Slaughter Houses A,
and right of usage of Shop Rooms / Buildings by the competent authority, the following entries
have to be made in the M.D.R.
A
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l.
' 2. Serial No.
Name of the contractor / lessee
3. Monthly Kist amount / rent
4. Penal Interest
5. Date of Payment for every month
6. Balance
The contractors / lessees have to pay the Kist amount or lease amount on or before lOth of
every month or the date stipulated in the sale notification for the preceding month in the
Municipal Treasury by cash or by cheque / pay order from the bank. Penal interest has to be
collected from the contractor / lessee for delay in the payment of Kist / lease amount at the rate
prescribed in the sale notification.
A miscellaneous demand notice has to be issued to the contractor of markets for any
failure to pay the kist amount within the stipulated time. If the tlst amount is not paid even after
service of demand notice, a notice has to be issued to the contractor to show cause why the matter
should not be placed before Municipal Council for cancellation of the lease agreement. If the trsr
amount is not paid even after receipt of the show cause notice, the matter has to be placed before
the Municipal council for cancellation of the lease and for re-auction of the right of collection of
fees in markets and slaughter houses.

A In respect of shop rooms and buildings also, a miscellaneous demand notice has to be
issued to the occupants of shop rooms for any failure to pay the monthly rent within the
stipulated time. If the monthly rent is not paid even after service of demand notice, a warrant has
to be issued. If the monthly ient is not paid after demanding, the Revenue Inslector / Revenue
Offrcer charged with the execution of the warrant has to seize movable properties in the shop
room. The procedure prescribed for execution of warrants in respect of collection of property tax
has to be followed in this case. If the total arrears of rent could not be realised even after
execution of warrant, the matter has to be placed before council for cancellation of the lease and
for re-auction of the usage of the shop rooms.
The Municipal Commissioner has to review the collection of revenue from the above
items once in a month and initiate appropriate action where the revenues are not realised within
stipulated time.

37. LICENCE FEES

37.1 There are various kinds of licences but the important category is that intended for
regulating dangerous and offensive trades. An annual licence has to be taken for carrying
out dangerous & offensive trades.

37.2 Applications for renewal of licences for carrying dangerous and offensive trades have to
be presented to the Commissioner not less than 30 days before the end of the financial
year or 30 days before the date ofopening business during the course ofthe year.

37.3 Sanitary Inspectors are required to submit yearly lists of places of business liable for
licence after commencement of every year by:Off april for scrutiny and approval by the
Health Officer and Commissioner. Any person found in the list who has not obtained

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Iicence has to be prosecuted by the Sanitary Inspector with the approval of the Municipal
Commissioner. Further outdoor officers are required to submit monthly lists showing
nzunes of all persons who have become newly liable during the month to takeout licences.
persons shown in the monthly lists who have not taken licences should also be similarly
prosecuted.

37.4 A notice may be issued to the party before prosecution calling on him to take out the
requisite licence and warning him that if he does not do so within a reasonable time, he
would become liable to be prosecuted to minimise a&ninistrative inconvenience resulting
from institution of prosecutions. The prosecution should be launched as early as possible
after the corrmencement of the year or commission of the offence if it is commissioned in
the course of the year but in any case within three months of the commission of the A
offence. Further, failure to take out a licence has to be deemed as a continuing offence
until the expiration of the period i.e. end of financial year as per proviso to section 366 of
A.P.M. Act. In view of proviso to section 366 of A.P.M. Act, prosecution can be launched
within three months from the closure of the financial year in respect of trades run in the
previous financial year.

37.5 If the Municipal council sustains any loss in this regard due to negligence of sanitary
inspectors in submitting the yearly lists / monthly lists within the stipulated time and non-
prosecution of offenders for not taking licence, the said loss can be made good from the
persons responsible after issue of show cause notice. Ordinarily there should be no alTears
to be recovered under licence fees. The Municipal Commissioner should review this work
once in a month.

38. ENCROACHMENT FEES

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Every Municipal Council has to issue a notification under section 344(2) of A.P.M. Act
fixing the rate of encroachment fee for various temporary encroachments. The Town Surveyor
and town planning subordinates have to submit list of encroachments by 30th April of every year.
The Municipal Commissioner has to inspect all encroachments and classify them as objectionable
or unobjectionable from public health, safety and traffic point of view. Action has to be taken to
remove objectionable encroachments after issue of a show cause notice to the party.

The list of unobjectionable encroachments have to be entered in a separate miscellaneous ,-t

demand register with the amount of fees payable. Demand notices have to be issued to all
A
encroachers by end of June of every year to pay encroachment fee within the 15 days from the
date to service of the notice. Town Planning Building Overseers are normally authorised to .^
collect encroachment fees by issuing miscellaneous receipts. A register of miscellaneous receipts
issued has to be maintained to prevent the misuse of the receipts. Action has to be taken to
remove the encroachments if the lee is not paid within the stipulated time. Ordinarily there shall
not be any alrears of encroachment fees as there is a provision for removal of encroachments for .q
failure to pay the fees. The Municipal Commissioner has to review this item of work once in a
month. A

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 39. COLLECTION OF PROPERTY TAX IN MUNICIPAL CORPORATIONS

Broadly the procedure for collection of property tax in Municipalities and Municipal
Corporations is one and the same except the following minor changes.

39.1 Property Tax when Payable (Section :264)

Property tax shall be payable in advance as shown hereunder:

I Half year : l't day of April

II Half year : I't day of October

39.2 Service of Bills (Section :266)

When any property tax have become due a bill has to be served on the person liable for
thepayment.

39.3 Notice of Demand (Section:268)

Whenever the property tax is not paid within fifteen days after service of a bill, a notice of
demand in the form of schedule K has to be served on the person liable for payment of the same.

39.4 Distress (Section :269)

Whenever the property tax is not paid within fifteen days from the service of the notice of
demand a warrant can be issued for distraining the movable properties of the defaulter.

39.5 Simple lnterest.(Section : 269)

A simple interest at the rate of two percent per mensum shall be chargcd in case of failure
A to pay property within the due date i.e. within 15 days from the date of service of a bill.

39.6 Writing off Irrecoverable taxes (Section :281)

The Commissioner with the approval of Standing Committee can write off any sum due
on account of any tax which shall in his opinion be irrecoverable.

39.7 Complaints against valuation (Section :220,221) i

Whenever any property has been assessed for the first time or whenever the existing
property tax has been increased a special notice shall be served on the owner of the property
specifuing the details of assessment and informing that any complaint against the same will be
received in Municipal Corporation office within fifteen days from the date of service of special
notice. After receipt of a complaint petition, hearing notice has to be sent to the complainant
informing day, time and place where his complaint will be investigated. The Commissioner shall
investigate and dispose of the complaint in the presence of the complainant if he appears and if
not in his absence. A speaking order has to be passed by the Commissioner after disposal of the

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complaint and served on the complainant. Every such order shall come into force from the first 4\
day of the financial year when the tax has been assessed for the first time or when existing tax is
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increased.

39.8 Appeals against Taxes (Section :282) ,-.

Appeal against property tax fixed under the Act shall be heard and determined by the A
judge. fne fonowing iterns have to be fulfilled before preferring'an Appeal.

l. A complaint has previously been made to the Commissioner undgr section 221 and
such complaint has been tlisposed of
2. Appeal has to be preferred within 15 days after the receipt of orders on the complaint A
made to the Commissioner.
3. The amount of tax due by the Appellant has been deposited by him with the
Commissioner.

39.9 Suit for recovery of Arrears of Property Tax (Section:278)

The Corporation can recover the property tax from a defaulter by filling a suit in any court
of competent jurisdiction.

There is no specific provision in the Municipal Corporation Act prescribing the period cf -1
limitation for recovery tax by distess warrant and suit as in the case of Municipalities Act.
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40. INCENTWES AND DISINCENTTVES FOR COLLECTION OF TAXES AND

NON.TAXES A.

The following incentives and disincentives are suggested for improving the Collection of
Taxes and Non-taxes.

INCENTTVES

l. Bill Collectors : Two months salary for achieving 100% .^\

2. Sanitary Inspector : One month salary for licensing all D &O

Trades in his Jurisdiction.
DISINCENTIVES ,\
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l. Bill Collectors : 1. To be transferred to less important
wards, if they collect less than 90%o of taxes and ,^t
non-taxes.
2. To be charge sheeted if they collect less than 90%o A\
ofthe taxes and non-taxes.
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2. Sanitary Inspector : Recovery of loss caused to ULB for not
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licensing all trades in his jurisdiction.

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 4I. SUGGESTIONS FOR REVAMPING OF EXISTING SYSTEM OF COLI,.T'CTION
OF TAXES

40.1 Present system ofcollection ofproperty tax:

A l. Demand notices have to be served every half year.
2. Property tax is payable every half year within 30 days after commencement of the half year.
3. Simple interest @z%per mensum has to be charged in respect of delayed payments.
4. Door to door collection of tax by the bill collectors.
40.2 Draw backs in the present system of collection of taxes:

1. Considerable time is taken for preparation of bills every half year.

A 2. Considerable time is taken for serving demand notices on the taxpayers
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3. Considerable time is taken to collect the taxes twice in a yeiu
4. Door to door collection of taxes by the Bill Collectors is leading to waste of the precious
time of the Bill Collectors.
.A 5. Postings of property tax collections have to be made twice in a year in the Demand
Register.
6. of iaxes has become a time consuming affair and leads to
Ix,:1.ff,:Ii:H,*:ollection
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A 40.3 Suggestions for New system of collection of taxes:

l. To computerise all the assessments of property tax and to introcluce online payment of
municipal taxes and non-taxes
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2. Property tax to be collected once in ayear instead of half-yearly basis.

3. Preparation of computerised property tax bills to be completed within one month i.e.,
in the month of April in a year.
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4. Service of demand notices through postal authorities / courier has to be arranged

^ s. il:#'"I:1il::J:T;1".-to-door by b,r corectors has ro be dispensed

with.
6. Collection centres have to be opened at all wards till computerisation is introduced.
7. Public notice has to be issued informing the taxpayers that bills have been dispatched
and if any one fails to get a demand notice, it can be collected from municipal office.

8 september) is to be given for pavment of

^ g.
Lil:#+;:lT"i"ffi::IlirJil;rllgust,
Rebate of lDYoto be allowed if the property tax is paid before end of September.

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10. A penalty of l%o/ohas to be levied if property tax is paid from first October of every A
year.

I l. Wide publicity has to be arranged regarding rebate for prompt payment and penalty A
for delayed payment. )
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12. Defaulter lists have to be prepared during December of every year.

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13. Warrants have to be executed during the period from January to March of every year
tackling the highest tax defaulters in every ward in the descending order.
14. Sale of immovable property has to be attempted during April-June of every year.
^
15. 100% tax collection has to be ensured in every financial year.
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 9. ADVERTISEMENT TAX IN URBAN LOCAL BODIBS

1. Tax on Advertisements

l.l Every person who erects, exhibits, fixes, retains upon any land building, wall,
hoarding or structure, any advertisement to public view shall pay advertisement
tax as prescribed.

1.2 Tax shall not be levied on any advertisement which is not a sky-sign.

Definition of Sky-sign :

Advertisement supported on or attached to any post, poll, standard frame work or

other support wholly or in part upon any land, building, wall or structure shall be visible
against the sky from some point in any public place.

1.3 The rates of advertisement tax shall be subject to the maximum and minimum laid
down the Government in Statutory Rules.

1.4 Exemptions from payment of advertisement tax

'u) Notice of a Public Meeting
b) Notice of an Election
c) Notice of a Candidate in respect of such an election
d) Advertisement exhibited within the window of any building.
e)
- Advertisement relating to trade or business carried on within the land or building
upon which such advertisement is exhibited

2. Procedure for obtaining permission of Commissioner

2.1 Written permission from Commissioner is required for erection of any

advertisement.

2.2.1 Every Advertiser desiring to display in advertisement shall apply to the

Commissioner not less than seven clear days before the advertisement is to be
displayed in an application in duplicate in the form prescribed. The Commissioner
may disapprove of an advertisement, among others, on the ground that its contents
or the manner of its display are indecent or otherwise offensive to good taste or
public sentiment.

2.2.2 The Commissioner shall inform the applicant within seven days from the date of
receipt of the application about tax payable on the intended advertisement
provided the Commissioner approves of the advertisement.

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2.2.3 The original of the application shall be returned the applicant on payment of tax
with instructions to incorporate the permission number and date in the
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advertisements.

2.2.4 If such advertisement is approved by the Commissioner permission may be

granted on Payment of tax due. A

2.2.5 The Commissioner shall not grant permission if the advertisement tax is not paid r-f
in advance.
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3. Permission of commissioner to become void in certain cases

3.1 The permission granted by the Commissioner shall become void in the following
cases: :

a) If the advertisement contravenes any bye-law made by the Council in this behalf.
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b) Additions to the advertisement approved.
c) Material change in the advertisement approved.
f) Falling of advertisement except through accident.

4. Erection of Hoartlings at specified places A

4.1 The Commissioner is competent to identifu the places for erection of hoardings on A,
municipal sites as indicated here under:

a) Selection and Special Grade Municipalities : 300 nos.

b) First grade Municipalities : 200 nos. A
c) Second & Third grade Municipalities : 100 nos.
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4.2 Further the Commissioner may also fix the number of hoardings to be allowed on /'.t

private properties as indicated hereunder :

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a) Selection and Special Grade Municipalities : 200 nos.
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b) First grade Municipalities : 150 nos.
At
c) Second & Third grade Municipalities 75 nos.
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4.3 The Commissioner may lease out the right to collect fees in respect of use of the
above hoardings. A

5. Regulation of Lease A

5.1 The regulation for the lease shall be as follows : r^

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a) The lease shall be through auction or by calling tenders.

b) Registered Advertisement Agents are entitled to participate in the bid. A

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 c) The period oflease shall notlxceed three years.

d) The lessee is empowered to collect the fees on advertisements as per the

notification issued by the Municipal Councill :
e) The bidder shall deposit such amount as may be specified by the Municipal
Commissioner before participating in the auction.

0 The bidder shall produce a solvency certificate for such amount as may be
specified by the Commissioner.
/^ g) The lease shall be approved by the Municipal Council.

h) The lessee shall pay one third of the lease amount as deposit within one week
'from date of confirmation of lease.

i) The lease amount shall be paid once in six months in the months of April and
October.
j) Penal interest at the rate of Zohper month shall be levied in the caSe of belated
payments.
^\ k) The lessee shall enter into an agreement and it shall be registered.
'

'^ 6. Display of Advertisements by Proprietors of Cinema Halls

6.1 Proprietors of cinema halls have to obtain prior permission from the
Commissioner for display of the following advertisements :

a) Slides

,A, b) Advertisements shorts

c) Trailer Films

A, 7. Tax on Advertisement when Payable

Tax on new advertisements shall be payable in advance after the

Commissioner has approved the proposed advertisement and before the
permission is granted.

b) Existing Advertisements
The tax on existing advertisements shall be payable before 30th April of every
year.

c) Where the advertisement is not intended for the full year the tax will be
calculated on monthly basis.

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8. Recovery of Advertisement Tax as arrears of Property Tax

Arrears of advertisement tax can be recovered in the.u-".i*rrer as property tax.

9. Prohibition and Regulation of Advertisement Tax

9.1 The Council is competent to issue a notification prohibiting erection of

advertisements at heavy traffic points or important road junctions or public parks,
places of worship, historical monuments and in purely residential localities.
9.2 The Council is competent to regulate the erection of advertisements in
non-prohibited areas.
9.3 Once a regulated hoarding has been allowed at any of the approved sites, all
subsequeni advertisements shall be required to confirm thereto in the matter of :
size, position, alignment etc., of their hoardings.
9.4 The permissible sizes of each hoarding ranges from l0 x 4 meters to 2.5 x 2
meters to be erected in horizontal length and vertical height.
9.5 Sign or sign-boards should be erected as per permission granted by
Commissioner. o

9.6 Sky-signs may be removed or shifted to ensure public safety or convenience.

9.7 All advertisements shail bear the permit number. Advertisements that do not bear
the permit number shall be treated as unauthorized and shall be liable for removal.
9.8 Municipal Council is not responsible for the safety of any advertisement
displayed on any public street or land.

10. Registration of Advertising Agents

10.1 Persons who undertake the display advertisements within the limits of any
of
municipality on behalf of others shall enroll themselves as registered advertising
agents by submitting an application to the Commissioner.

11. Owner or person in occupation to be deemed responsible

Whenever any advertisement is erected contrary to the provisions of section I l4

or section ll5 or after the written permission is expired, the owner or person in
occupation of such building shall be deemed to the person who has erected such
advertisement.

12. Removal of unauthorized advertisements

Commissioner is competent to remove unauthorized advertisements after giving a

notice to the owner concerned.

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 13. Collection tax on advertisements

The Commissioner may form out the collection of any tax on adveftisements for
any period not exceeding one year at a time.

ADVERTISEMENT FEB IN MUNICIPAL CORPORATIONS

1. Regulation as to sky-signs

As per section 420 of H.M.C. Act, 1955 written permission of the Commissioner
is required for any person to erect, fix or retain any sky sign. No written permission shall
be granted or reserved for any period exceeding two years.

2. Regulation and Control of Advertisements

As per section 421 of HMC Act, 1955, written permission of the Commissioner is
required to erect, exhibit, fix or retain any advertisernent upon any land, building, wall,
hoarding or structure.

3. Licences and written permissions

As per section 622 of HMC Act, 1955 each licence or written permission shall
specifu the period for which and restrictions and conditions subject to which the same are
given.

4. Fees Chargeable

For every licence written permission granted under seciion 420 and 421 of HMC
.. Act, 1955 fee mav be charged at such rate as may be fixed by the Commissioner with the
sanction of the Corporation (Section 622(2)).

5. What do sky - signs include ?

Word, letter, model, sign, devise or representation in the narure of an
advertisement, announcement or direction, supported or attached to any post, pole,
standard framework or other support wholly or in part upon or over any land, building or
structure which or any part of which shall be visible against the sky from some point in
any street.

6. What do advertisements include ?

Word, model, sign, character, letter, representation or illustration applied to any

surface or structure and displayed in any manner, whatsoever, whether illuminated or not,
in the nature of and employed wholly or in part for purposes of advefiising or to give
information or announcement regarding or to attract or to direct the public to any place,
person, public performance, article or merchandise etc.,

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7. General Pnovisions relating Permission / Licence

l. Each Hoarding i Advertisement will be assigned a Computer Identification

Number, to be quoted in the Permission;
2. The Statutory Permission No. assigned by MCH will have to be exhibited at
the top right hand corner of each Hoarding / Advertisement;
3. The Advertiser whose Name or Product appears in any Advertisement will be
person primarily responsible for displaying the same with a valid Display /
Exhibition Permission, paying fees and furnishing necessary information to
^
MCH through Filing of Return and as required from time to time;
4. On behalf of an Advertiser, his/her authorised agents can obtain Display A
Permission from MCH in bulk or as and when required by furnishing Returns
and paying fees. In such case the Name of the authorised Agency will have to
be displayed on the Sky-sign / Hoarding;
5. Permission for Display / Exhibition of Advertisement under Section 421 (read
with Section 622) of HMC Act shall be issued for a period not exceeding I
year;
6. As mandatorily required under Section 420 of HMC Act (read with Section
622), no Permission for erecting/fixiqg/retaining Sky-sign shall be issued for a
period exceeding 2 years. If any Permission was issued by any Officer of
MCH for a period of more than 2 years, the same is to be got revalidated by
furnishing the earlier Permission and other necessary details.
7. No permission shall be issued for Hoardings/Advertisement on illegal
structures/structures having no valid building permission.
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8. Hoardings/Sky-signs will not be permitted on foot-paths and important public
places. Fees derived from hoardings, permitted if any at Unobjectionable A.
Locations in Public Nalas, shall be spent on the development of those Nalas.

8. Banned Sky-signs / Advertisements

Erection of arches / banners on roads and advertisement by way of wall posters

and wall writings have been banned. Further under A.P. prevention of Defacement of
open places and prohibition of obscene and objectionable posters and Advertisement, Act -r
1997, persons erecting banned/objectionably advertisements / sky-signs are liable for
prosecution }^

9. Procedure for Filing Return/Application

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Display/Exhibition permission (Under section 42L read with section 622)

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The Advertiser or his Authorised Agent should apply in Form l. Agents can take
bulk permissions on behalf advertisers for a minimum of 2 Advertisements at the /^\
beginning of the year. For each additional display, filing of Form I with payment of fee
will suffice. The applicant for permission to exhibit/display adveftisement under Section ,-\

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421 will need to ensure that the hoarding/device chosen for advertisement/display has the
required permission under Section 420.

b. Erecting/Fixing/Retaining Sky-sign/Hoarding (under section 420 read rvith

section 622)

The Advertiser or his agent should apply for erection/fixing/retaining any

device/hoarding for the display of advertisements in Form II enclosing a Sketch Plan. The
applicant will need to furnish (i) No Objection Certificate, (ii) Copy of Approved
Building Plan, (iii) Copy of Lease Deed, (iv) Copies of Uptodate Property Tax Receipts
from the Owner in case the hoarding/device is on a building and copy of title deed in case
the same is attached to land. Further, Certificate of a licenced Structural Engineer (such
certificate to be valid for two years only) certifying' the structural soundness of the
hoarding is required to be filed.

10. Advertisement Fees

Advertisement fees is collected for the following categories

l. Hoardings etc.,
2. Mobile advertisements
3. Bus shelter advertisements

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 10. ASSESSMENT AND COLLECTION OF TAXES AND NON-TAXES IN
GRAM PANCHAYAT AREAS

LEVY AND ASSESSMENT OF HOUSE TAX

House tax shall be levied annually on all houses in the village which are fit for
human occupation at such rates as may be sanctioned by the Gram Panchayat not
exceeding the maximum and not less than the minimum prescribed in the Rules relating
to assessment of house tax issued with G.O.Ms.No.282 P.R. dated 12.3.1965. When
House Tax is levied by a Panchayat, iJ shall, by a resolution, determine the date from
which it shall be levied and the rates of levy. The Panchayat may not alter either the
A date from which the tax is levied or the rate of its levy so far as that year is concerned,
except with the special sanction of the Commissioner / Collector.

The payment of house tax is not correlated to particular services but is intended
to meet the expenses of the Gram Panchayat for the benefit of common good
(G.O.Ms.No.l347 PR (Pts-IV) dated 29.3.1965. Therefore, no building can be
exempted from House Tax on the ground that the services rendered by the panchayat
are not availed by the house owner.

Houses detailed in rule 5 of the rules relating to Assessment of House Tax

issued with G.O.Ms.No.282 P.R. dated 12.3.1965 are exempt from House Tax. Under
rule 9 of the G.O, the panchayat may exempt on the ground of poverty of the owner
any house from the payment of whdle or any portion of the tax for a particular year.
Likewise, the District Collector may exempt tax of any class of houses.

House Tax may be levied on the basis of annual value or capital .rutr". It may be
levied on plinth area basis also witir the sanction of the District Collector.

A The annual value of a house is the gross annual rent at which the house may
reasonably be expected to be let from month to month or from year to year, less a
,\ deduction of l\Yo for repairs or any other account. But in the case of (i) Govemment
buildings, or (ii) other class of builoings not ordinarily let, and the gross annual rent of
,A
which cannot be estimated, the annual value shall be deemed to be 5% of their capital
value.

The capital value of a house is the total of the estimated value of the land and
the estimated present cost of erecting the house after deducting a reasonable amount for
depreciation which shall in no case be less than 10% of such cost.

Cattle pounds are not houses for assessment of house tax, (Government Memo
No. 1787 (Pts. III)/ 64- I PR, dated I 7 .8.1964.

A structure intended to house a pump set alone without a store room or

additional space for the stay of watchman cannot be construed as house for the purpose
of levy of house tax. (G.O.No.2564, (Pts.lll) 7l-2, dated7.4.1972)

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Bunks on road margins and streets which are easily movable and for which the
Panchayat charges licence fies are not houses and are not liable for house
tax'

The properties which are acquired or buildings constructed by the Union

Govemment including railways on and after I .4.1997 are exempt from
tax'

Instructions in regard to the levy of house tax on railway buildings are issued
in ^
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G.O.No.46 L.A., dated 10.1.1955.

Buildings used for office purpose located separately, the hospitals, dispensaries
and residential quarters will continue to be taxed. In cases cif doubt, the decision
of the
Collector should be final and binding.

(G.O.Ms.No-45 l, P.R., dated 3 1'8'1974) :

The Government clariff that the cattle shed, poultry shed and dairy shed situated
in agricultural lands cannot be regarded as "House" for purposes of levying house tax
under section 70 (1) of the Andhra Pradesh Gram Panchayat Act, 1964.

(Govt. Memo.No'29491 70-7 (Pts.III Dept) dated 7' 12'1970)

Centralised semen collection centres, First aid centres, Key village centres etc.
are exempted from the levy of property tax by the Panchayats, subject to the condition
that the Uuitaings are public buildings and no part of them is used for any purpose other
than a charitable purpose. .

(GO Ms. No.250 P.R- (Pts-III) Dept', dated22'5'1970)

under L.l.C. loan scheme

House tax - levy of house tax on Harijan colonies constructed
- exemption from the levY.

According to the provision of rule 9 of the rules relating to the levy of house tax
issued in G.o.Ms.No.2g) (PR) dated 12.3.1965, the District collector may, on the
ground of poverty, exempt the orvners of any class of houses from payment of the
iuttot. or any portion of tnl tax. The Govermnsnt requested the District Collectors (PW)
to consider the question of granting exemption from the payment of house tax in the A
Gram Panchayats to all colonies constructed for Scheduled Castes with LIC funds till
the loan amounts are completely realised form the occupants' ,'\

(Govt.Memo.No.l809173-l PR (Pts. III) dated 14'2'1974)

Levy of house tax on St. Anns Hospital Buildings by the Gram Panchayat,
Madugula, Visakapanam District and on the certain Mission hospitals in the State.

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 the views of the
Government after careful examination of the revision petitions,
that the
gram panchayats and judgement of High Court in W.P.No.l343l7} observe
of house
ilorpitut buildings u."i foi the charitabL putpot"t are exempt from !h9 leyf
12th March' 1955'
tax under rule 5 0f the rules issued in c.o.vts.No.282, PR dated
have not
They further observe that the executive auphorities of the Gram
Panchayats
stated the actual incomes of the hospitals 'derived by
way of fees, charg;e-s etc' and
Hence it is
, whether it has exceeded the expenditure incurred by the managemenJs,
meaning of Rule.5 stated
considered that these are charitable institutions within the
to in para 2
above. The demand notices issued by the Executive Authorities'referred
circumstances' the Govemment
above are not, therefore, maintainabie. In the above
notices issued by the concemed
allowed the revision petitions and set aside the demand
dated 3l'7 '1973)
gram panchayats. (C.O.tvts.No'21 l, PR (Pts'II! Dept''

Government were requested to clariS the

following points

l.WhethertherevenuesoftheDistrictPoultryProductionFarm,whichisa
a commercial concern is
oevetopmental Govemment D;p;;;e1t, 1ot.being
(Profession Tax)
taxable by the Gram Panchayat

2.WherealltheGovemmentBuildingsinwhic}lpoultryissituatedincluding
for house tax'
poultry f"t*t *" iaxable by the Gram Panchayats

Governmentissuedthefollowingclarificationontheabovepoints:
ForabuildingtobetaxedundersectionT0oftheA.P.G.P.Act,itshouldbea can be
house within the meaning of clause
(1;;"f i;;iion.Z' It,is not every building that(15)' it
clause
a'house'under the afoiesaid
taxed. For a building to be regard.i;; It is presumed that the structures in
should be essentially fit for human o""rrputlon.
and so' they cannot
which poultry f*, *" housed are not fii for human occupation'
clause'
be regarded'u. 't o"'"' within the meahing of the aforesaid

| -4' dated 2l'3'197 2)

(G.O.Ms.No.23 5 1 (Pts'III) 7

BOOKS
PREPARATION OF ASSESSMENT
a' list u" houses within the Gram
The Executive Authority may obtain occupiers -lf of each house by sending a
panchayat *"u *itr,trnurno of *,"t*.,ers
and
eal"i.J;i;; officer- The assessment book shall be
requisition t" ;;^viii.g. nu*" ol the owner' the name of
the
prepared *itfr'ref".enJ" to th"r.'il;;. h" columns in the
t* ar", sha-l-l be noted in distinct
occupier,,t" urnor"ior,n" "tc., shall, after their preparation' be kept open
Assessment books. The assess*"niioot,
for inspection UV gi'in; a public notice and by beat of drum'

Newlistsofnewassessmentbooksneednotbepreparedeveryyear.

TheExecutiveAuthoritymayadopttheAssessmentBooksofthepreviousyear
found necessary'
with such amendments as may be

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 The Assessment Books may be amended by the Executive Authorityat any time
between one General Revision and another by inserting any house therein or by
removing any house therefrom or by altering the valuation or classification of any
house or the amount of tax payable in respect of that house. For the name of the o*n".
of any house, the nbme of any other person who has succeeded by transfer or othenvise -\
to the ownership of the house may also be substituted in u".oidun." with the Rules
issued by the Government in G.O. Ms.No. 282, PR, dated l2l3/1955 and also
subject to
any other rules the Government may make in this behalf, Such an amendment
made by ^
the Executive Authority shall take effect from the first day of the year in which
it is A
made.
When the tax on any house is increased or a house is assessed
for the first time
between one General Revision and. another, the owner ^
orland occupier of the house
shall be intimated by a special notice. o
i
Union Government and railway properties:

Properfies of Union Government are exempt from payment

of all taxes imposed
by state or by any-authority within a State by virtue of
the provision of section 154 of
the Government of India Act, '1935. The exemption A
has been continued under Article
285 of the constitutio-l. The exemption is not
applicable in respect of such properties A
liable to tax before t" April t9az. Article zti^1z1of
the constitution oflndia has
however made it clear that until the Parliamelt,
by i.;, otherwise provide, nothing in
Article 285 (l) shall prevent any authority wit*n ^
u stui" from levyin g any tax on any
property of the u3:.' which property- was immediately before the
commencenrent of A
the constitution, Iiable or treated as tiaute
to the said tax u, long as that tax continues
be levied in that State' The taxes, therefore to
could be levied only at that rates in force
and on the properties existing on
zs-t-tg50, ie., i-m"aiatety before the constitution
came into force. i

In view of the fact that the centra-l Government 1

properties which were not
assessable to tax priorto 25th
January, 1950 are not riuur"io tax till
is undertaken to provide for the levy central Legislation
receipt of several representations
of such tax. ffr. Co.r"*ent of India have
on
^
agreed to-the puy*";; of charges
rendered by local authorities witniffect_from'l'i for specific services ^
apJr, jqs+ on the basis of various
points of principres laid down. (G.o.Ms.No.
1503 LAD Dept. g-g_rg57)
dt.
a
Taxes - Gram Panchayats - Payment
of local taxes on central Government
A
Properties - Interpretation of
irticle 2-85 (z)of
vr the
the Government _ communicated. '- \', C"nJ*rion of India - Decision of
rrrw \-urrrtlt'
^
(G.O.Ms.No.527, pR
1
(pts.tlf DEPT., DATED Zg_7_1955)
A
Government issued a clarification
Adilabad that the u!9i Gwetn*"nt
on the points raised by the collector,
property is not llabre for tax,
for the tax prior to l-4-1937. Even unress it was revied
irli
of tax after I .4.1937 cannot be exceeded
** ievied p.io. to r-4-lg37,the enhancemenr .-r
to it.
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CLASSIFiCATIoN oF RECEIPTS CREDITED TO GRAM PANCHAYATS

Funds are of the following categories: )

(l) Common resources

IH?axes - fees
^ Incomes from remunerative enterprises,and
Miscellaneous receipts
(2) Assignments

^ iii
(6)
(7)
trffi}:";;*-
Deposits
Advances

They are dealt with in detail in the respective chapters. '

TAXES
^
Taxes leviable by Gram Panchayat are of two kinds.
-i
(a) Mandatory taxes, i.e. taxes which should be levied by the Gram Panchayats
'a compulsorily. If the taxes are not levied, the persons concerned will be held

discretion.

,A COMPULSORY TAXES

Under Section 60 of the Act, the Gram Panchayat, shall levy the following
taxes compulsorily.

(b) Kolagaram or Katarusum i.e. tax on village produce sold in the village.
(c) Tax which the Government may notifo directing the Gram Panchayat
:"r,"#:n*
^
Under Section 53, a tax on advertisements shall be levied by the Gram
panchayat with the approval of the Zilla Parishad.

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OPTIONAL TAXES
a
Under Section 58 (3), a Gram Panchayat may levy the following Taxes.
A
(a) Vehicle Tax
A
(b) Land cess on vacant land
(c) Tax on Agricultraral lands for a specified purpose' A
HOUSE TAXES ^-t

The rules relating to levy of House Tax were issued in G.O.Ms.No.30 PR&RD a
(Pts.III) Dated 20. l. I 995.

In exercise of the powers vested in rule 12 of the transitional provisions in

Schedule IV the A.P.G.P. Act, 1954, Government direct that the levy of taxes and fees ?
by the G.P. according to the provisions of the repealed A.P. (T.A) G.P. Act 1954 shall A
be discontinued on and from 1.4.1957.

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 11. G.O.MS.NO.98, DATED:14-3-2002 OF PANCHAYAT RAJ DEPT., ON
YEARLY HIKE OF HOUSE TAX INSTEAD OF GENERAL REVISION

GOVERNMENT OF ANDHRA PRADESH

ABSTRACT ,
RULES - Rules relating to the levy of House Tax under the A.P.Panchyat Raj Act,
1994-Orders-Issued.

PANCHANYAT RAJ AND RURAL DEVELOPMENT (Pts.II! DEPARTMENT

G.O.Ms.No.98 Dt:14-03-2002

The appended Notification will be published in extraordinary issue of the

Andhra Pradesh Gasette, dated: 14-03-2002.

(BY ORDER AND IN THE NAMB OF THE GOVERNOR OF ANDI-IRA PRADESH)

I.Y.R. KRISHNA RAO

^q SECRETARY TO GOVERNMENT
To
c
The Commissioner of Printing, Stores & Purchase.
He is requested to publish the notification in extraordinary issue of the A.P. Gazette
and furnish 3000 copies of English Telugu and Urdu versions of the notification to
Govt. in P.R.& R.D. (pts.lll) Dept.,
The Commissioner, Panchayat Raj and Rural Employment, A.P., Hyderabad.
All the District Collectors
All the Chief Executive Officers, Zilla Parishads in the State.
All the District Panchayat Officers in the State.
Copy to:
The Director of Translation, A.P., Hyderabad with a request to translate into Telugu
and Urdu version and to sends the Manuscript along with Stencils.
The Finance Department.
The Law Department.
All Sections in P.R.&R.D. Department.
The Special Secretary to C.M.
P.S. to Minister (PR&RD)
P.S. to Chief Secretary.
P.S. to Spl.Chief Secrerary ro Gor.t., PR & RD Dept.,
All Departments in Secretariat.

//FO RWARD ED :: BY OR-DER//

SECTION OFFICER

127
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 The following notification will be published in the Extra-ordinary issue of the Andhra
Pradesh Gazette dated 14.03.2002.

NArrErqIraN
t"
A. In exercise of the powers conferred by sub-section (l) and clause (xxvii) of
sub-section (2) of Section 268 of the Andhra Pradesh Panchayat Raj Act, 1994
(Andhra Pradesh Act No.13 of 1994), the Governor of Andhra Pradesh hereby makes
the following amendments to the rules made in G.O.Ms.No.30, Panchayat Raj, Rural
Development and Relief (Pts.III) Department, dated 27th January, 1995 as
subsequently amended from time to time.

AMENDMENTS

In the said rules:

(l) In rule 9, after sub-rule (3).

The following shall be added, namely (a) the above said sub-rules (l), (2) and
(3) shall be applicable only to the new constructions and the extensions of the
old constructions.

.-\ (2) In rule 12, (1) in sub-rule (l), for the First proviso the following shall be
substituted namely,
^'
"Provided that a general revision of assessment books shall be made before
commencement of every financial year. The House Tax shall be revised every
year by a uniform hike of 5Yo of the existing House Tax of the preceeding
years fixing the year 2000-2001 as the base year. [n such of these villages
where the last revision of House Tax was conducted before 2000-2001, an
yearly hike of 5% would be added and 2000-2001 base rate shall be worked
r^ outt'
A
(ii) sub-rule(2) shall be omitted.
(iii) In sub-rule (3), the following words shall be omitted, namely:-

" In which such notice is given."

(3) In rule 13,

(i) Sub-rule (l) shall be omittecl.

(ii) (a) In sub-rule (2) clause (a) and (07 shall be omined.
(b) In clause (c) for words "revision made" by the Revision Officer" the
following words, shall be substituted namely:-

t29
 "an early hike of 5oh on the existing House Tax" and renumbered as
Rule 13.
(C) Clause (d) shall be omitted.

(iii) Sub-rule 3 shall be omitted.

(4) In rule 19, the clause (a), for the expression rules 7 and 12" the expression
"Rule 7" shall be substituted.

(s) In rule 20, after clause (ii) and the proviso thereunder, the following shall be
added, namely:-

"(iii) No appeal lies to Gram Panchayat where House Tax is revised every year
by an yearly hike of 5% on the existing House Tax"

I.YR.KRISHNARAO
SECRETARY TO GOVERNMENT

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12. MAINTENANCE OF REVENUE REGISTERS

IN URBAN LOCAL BODIES

Under'the Municipalities Act, Government may transfer any power or function

vested in the municipality under the Act to the AP Industrial Infrastructure Corporation
(hereinafter called APIIC), subject to such restrictions or conditions. When such transfer
is done, the APIIC shall exercise such powers and perform such functions.
,\ /. t During the year 1994 andsubsequently during 1992, Government ordered that
certain powers and functions specified should be exercised by APIIC in certain specified
areas of certain municipalities. The areas specified are industrial estates, private industrial
estates, autonagars, commercial complexes and housing complexes. The condition
imposed by the Govemment in this connection is that the APIIC shall pay thirty five
percent of property tax collected to the municipality once in six months. The taxes and
non-taxes which the APIIC is empowered to collect are shown in Annexure - I.

3. The APIIC has nominated certain senior officers to exercise the powers and
perform the functions in the specified areas. To bring in the element of self-governance,
the APIIC has evolved a concept of Service Societies covering all areas in one
town/municipality and made the office-bearers involve in collection of taxes and other
dues, and also in maintenance of civic services in the areas.

4. In this paper, we study the maintenance of registers to watch the recovery of taxes
and other dues, which the APIIC is empowered to collect from various persons within its
A jurisdiction.

5. Property Tax

5.1 Under Property tax, the following registers shall be maintained.

A l. Property Tax Demand Register
2. Vacant Land Tax Demand Register
3. Agricultural Land Tax Demand Register
4. Property Tax Arrear Demand Register
5. Vacant Land Tax Arrear Denrand Register
6. Agricultural Land Tax Arrear Demand Register
7. Mutation Register of Property Tax
8. Register of Transfer of Titles
9. Register of Vacancy Remissions
10. Register of Writes-off and Temporary Remissions
I l. Register of Revision Petitions
12. Register of Appeal Petitions
13. Register of Warrants
14. Register of Distrained Properties
15. Register of Prosecutions
16. Register of Suits
17. Register of Cheques

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18. Register of Money Orders a\
19. Register of Bills Issued
20. Bill Collector's Collection Book
21. Challan Register

5.2 Property Tax Demand Register (M.F.No. l7)

5.2.1 Purpose: It is a very important register maintained in the municipality. The

purpose of the register is to provide for the record of demand, collection and balance
'(DCB) of house tax for five years in one volume.
5.2.2 Main features: ,^\

l) It shall be opened aftGrtaxes on all properties are revised (generally once in five
years, called general revision). All particulars in regard to the demand and the amount of
tax for the first year shall be written from the entries made in the Assessment Lists (forms
used for revising the assessments). For the demand of each of the remaining four years,
the demand of the half-year immediately preceding shall be adopted. Necessary
alterations sin these figures may be made from time to time with reference to Mutation
Register. A.ll such alterations shall be attested by the Commissioner and the
corresponding number in the Mutation Register and the half-1'ear from which the
alterations have to be affected shall be noted in the column 'name of the occupier'.

2) The Register contains 49 columns, the important columns being:

./A
- Assessment Number
- Locality Name
- Door Number
- Name of the Occupier
- Demand (details of assessment and amount of tax)
- Collection (month wise for two half years)
- Details of Write-off
- Balance
- Name of Owner, etc.

3) Assessment numbers assigned as per Col. 29 of

Assessment Lists shall be
consecutive. Some numbers may be Ieft unused at the end of each ward/part for use of
new assessments during the currency of the Demand Register (Normally fiye years).
Each ward/part shall begin with a first digit number. If ward./part No.l contain 1824
assessments, the remaining numbers upto 2000 may be left, and ward./part No.2 may
begin with Assessment No.2001. The numbers to be left is a question of fact and depends
upon the judgement of the Commissioner.

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4) After all entries in the Demand Register have been made, all money columns on
each page will be totalled and the totals shall not be carried from page to page. A separate
page or pages shall be left at the end of each register and the totals of different columns
on each page shall be transcribed in the respective columns of the page(s) at the end. An
abstract shall be made on these page(s) of all page-war totals and the grand total of
different columns of the register arrived. If the page-war totals are carried to the
respective columns of the pages at the end, the same pages will be sufficient for preparing
the abstract of totals for all the years for which the Demand Register is to last.

5) If the register has been divided into wards/parts, the grand total of all the
wards/parts shall be similarly ascertained by making an abstract of the totals of different
wards/parts at the end of the last volume. The figures in the assessment columns shall be
totalled at the beginning of each year as soon as the Demand Register is prepared. The
totals posted in the abstract shall be reconciled with the previous half-year's t<jtal and
Mutation Register. At the end of the year, necessary alterations shall be made in red ink,
both in the body of the register as well as in the abstract of totals at the end.

6) Collection columns of Demand Register shall be posted from the Challan

Registers ancl the columns for write-off and remissions from the respective registers. The
total collections shall agree with the progressive totals of the Challan Register.

7) The total demand as shown in the abstract at the end of each register shall be
written both in figures and words and certified by the Commissioner at the end of the
year after reconciliation with the Assessment Lists and Mutation Register.

8) The balances outstanding at the end ofthe year shall be transferred to a separate
register called Arrear Demand Register (ADR).

9) No entries in the Demand Register (except clerical errors) shall be altered without
the written orders of the Commissioner. Such orders shall give reasons for such
alteration. They shall always be made in red ink under the initials of the Commissioner.

5.3 Vacant Land Tax Demand Register

The procedure as in the case of Property Tax Demand Register has to be

followed.

5.4 Agricultural Land Tax Demand Register

Agricultural land tax is levied at such proportion of land revenue payable on such
lands as may be hxed by Municipal Council. In many cases, land revenue is not payable
on agricultural lands and there is no demand under agricultural land tax. In case, in any
municipality, agricultural land tax is levied, The Demand Register shall be maintained as
per the procedure detailed under Property Tax Demand Register.

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5.5 Property Tax Aner Demand Register (M.F.No'22) A

5.5.1 purpose: This register provides u .."o.d of all the balances outstanding at the end ,^\
of the year of all demand registers.
At

5.5.2 Main features:

l) The balance of taxes outstanding at the close of a financial year shall be written in
the ADR. In any year, the balances outstanding in the immediate preceding
year as per
the Demand Register, and of other previous years as per the preceding years' ADR shall
be written. They shall be written year-wise beginning from the earliest year. The writing
of ADE shall be completed by the end of April every year'

Z) As soon as all the arreirs have been entered in the Arrear Demand Register, each
part of the register will be totaled and the totals tallied with those of the
bemand Register. The totals shall be written in words also and certified by the
Commissionir. The Commissioner should satisff himself that the corresponding bill
receipts of all outstanding items of taxes are available with the Bill Collectors- The
Commissioner shall ,".o.d a certificate of having satisfied himself about the availability
of bill receipts with reference to the entries in the alrear Demand Register.

3) As in the case of Demand Register, collections shall be posted month-wise. All

money columns shall be totaleh page-wise. The totals shall not be carried forward from
pug. io page. One or two pages may be set apart at the end of each ward/pdyear and the
iotals of different columns oleach page shall be transcribed in the respective columns ol A
the page(s) at the end. An abstract shall be made of all page-wise totals on these page(s)
and the grand total of different columns of the watd/partlyear arrived.

4) The collection columns shall be posted from Challan Registers and writes-
off/remission columns from the Register of Writes-off and Remissions' The total
collections shall tally with the progressive totals of Challan Registers. The demand,
collection and balance of various years shall be written in words also and certified by the
Commissioner.

5) The balances (year-wise) shall be struck with reference to demand, collections

and writes-off/remissions and they shallbe transferred to the ADR of the following year.

5.6 Vacant Land Tax Arrear Demand Register

Same procedure as in the case of Property Tax ADR has to be followed

5.7 Agriculrural Land Tax Arrear Demand Register

Same procedure as in the case of Property Tax ADR has to be followed

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5.8 Mutation Register of Property Tax (M.F.No.23)

5.8.1 Purpose:

This Register is intended to show all changes made during the course of an year
either by the Commissioner or Appellate Commissioner in the assessment of
house/vacant land tax after the Demand Register for the tax concerned has been written
for the year.
5.8.2 Main features:
l) Separate sets of pages will be set apart for house and vacant land tax. The register
will be written up from the particulars in the Register of Revision Petitions, Appeal
Petitions, notices of demolition, and from the monthly lists furnished by Bill Collectors.
The entries will be numbered consecutively. Necessary alterations shall be made
simultaneously in the Demand Register under the initials of the Commissioner. If any bill
has been written, it shall also be altered, duly quoting the number of entry in the Mutation
Register. The date from which it will have effect shall also be noted in the Demand
Register against the alteration. If, in any case, the alteration is to have effect from the
next financial year, it shall be noted in the Mutation Register of the next year.

2) The total demand for the year shall be arrived as follows:

Demand for the firs t half-year
Rs. Rs. Rs.
Total half yearly demand as in the 50,000
second halfyear ofprevious year
Add Increases as in Mutation
Resister for the first half year
i) Revision by Commissioner 4,000
ii) Direction by Council r,000
Total 55.000
Deduct Decreases as in Mutation
Register for the first half year
i) Revision Petitions by 2,000
Commissioner
ii) Appeal Petitions by Appellate 1,000
Commissioner
Total 3,000
Total demand for the first half year 52,000

135
 Demand for the second half-Year

Rs. Rs. Rs.

Demand for the first half Year as 52,000

above
Add Increases as in Mutation
Resister for the second half Year
i) Revision by Commissioner 5.000
ii) Direction by Council . 1,000
Total 58,000

Deduct Decreases as in Mutation

Register for second hallYqq-
i) Revision Petitions bY 1,000
Commissioner
ii) Appeal Petitions bY APPellate ,1,000
Commissioner
Total 2,000
56,000
Total demand for the second half
year
Total demandfor both hgl[tg!!!- 1,08,000

exactly
3) The total demand for the second half year as calculated above shall agree
with the total half yearly demand in the Demand Register'

5.9

5.9.1 Purpose

in the
This register provides a record of applications received for transfer of titles
Demand Registers.

5.9.2 Main features

Transfer of titles (alteration of ownership of properties) in assessment
books takes
I ) court sale
place on many grounds lit<e sale, exchange, partition, succession, court decree,
etc.

applications received for alteration of ownership of property shall

be entered
2) All
in the Regisier of Transfer of Titles and they shall bee disposed in accordance with
the
issued in GO
rules relat]ng to Alteration of Ownership of Property in Assessment Books
Ms. No.l059 MA dated l5'12'1966.

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5.10 Register of Vacancy Remissions (M.F.No.40)

5.10.1 Purpose

This register provides a record of applications received from owners of buildings

for vacancy remissions in payment of property tax.

5.10.2 Main features

l) Under Section 92 of AFM Act, 1965, the owner of a property is eligible for
vacancy remission subject to certain conditions stipulated therein. One of the cohditions
is that the owner has to give a notice/application to the Commissioner-

2) shall be entered in a Register of Vacancy Remissions and

All notices so received
shall be disposed in accordance with the provisions of Section 92.

5.rI

5.1 l.l Purpose

This register provides a record of all writes off and remissions sanctioned by the
Municipal Councils in respect of taxes and non-taxes.

5.11.2 Main features

l) The distinction between write-off and remission shall be carefully noted. Writes-
off are for amounts, which the council finds irrecoverable, while remissions are
exemptions granted temporarily on account of vacancy of the house or grounds of
poverty or otherwise.

2) Amounts found irrecoverable shall be reported by the Bill Collectors with their
These
reasons. The reports shatl be scrutinized and countersigned by the Commissioner'
lists shall be placed before the Council for consideration and writes-offof the amounts.

3) Under Section 124 ofAPM Act, 1965, the Council is empowered to write-off any
tax or fee or other amount, if, in its opiniotr, such tax, fee or amount is irrecoverable' If
irrecoverability is established, the Council can write-off even the decretal, amounts or
time-barred amounts. All such written-off amounts shall be entered in the Register.
entries
Separate pages shall be set apart for each class of taxes or fees. Simultaneously,
shall also be made in the Demand Register/ duly quoting the corresponding entry in the
Register of writes-of and Remissions.

4) Temporary remissions like remissions sanctioned to contractors and lessees as per

the rules issued in GO Ms. No.l323 MA dated 3-ll-1965 shall also be entered in the
Register.

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5) The register contains the following important columns:

- Assessment Number ,\
- Period
- Amount of tax A
- Grounds of writes-off or remission
- Amount written-off A
- Amount remitted
- Number and date of Council Resolution a
1
s.t2

5.12.1 Purpose ^
A
The Register provides a record of all Revision Petitions received for reduction of
property tax. a
A
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5.12.2 Main features

l) This register shall be maintained for one financial year, i.e., the year for which tax
sought to be revised relates, irrespective of the date of petition or date of receipt of
petition.
A
2) All petitions shall be entered in the register and a serial number shall be given to
each petition. a
3) The Commissioner shall record his decision on the petition (in detail on the
docket) as well as in the register (in brief).

5. I 3 Register of Appeals (M.F.No. I 6)

5.13.1 Purpose ,-r

This register provides a record of all appeals received for reduction of tax.
^
5.13.2 Main featufes A

I ) This register shall be maintained for one financi al year, i.e-, the year for which tax A
sought to be appealed against relates, irrespective of the date of petition or the date of
A
receipt of petition.
.a
2) All petitions shall be entered in the register and a serial number shall be given to
each petition. 1t

3) ffie appellate C;mmissioner shall record his decision on the p"tition (in detail on A
the docket) as well as in the register (in brief).
A

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 5.14 Register of Warrants (M.F.No.35)

5.14.1 Purpose

This register provides a record of warrants issued for distraint of moveable

properties in case of failure of property tax'

A 5.14-2 Main features

" l) Wanants shall be issued, if tax is not paid within fifteen days
from the service of
notice, or after rePeated demands.

written with
Z) Warrant forms will be consecutively numbered. Warrants thall,,be
at the same time in
reference to uncollected bills and necessary details shall be entered
the Register of Warrants.
with the
3) Both warrants and entries in the register shall be carefully compared
in the warrant'
Demand Register and the concerned clerk shall make his initials

they shall be
4) When it is decided to issue warrants in respect of the bills in a book,
shall be signed by the
issued for all the uncollected bills in that book- The warrants
Commissioner and examined in the szlme manner as in the case of bills'

5) Execution of warrants shall not be entrusted to Bill

Collectors' Revenue
Offrcer/Revenue Inspector shall normally be entrusted with execution
of warrants'

be effected
6) Under Rule 29 of Schedule II of APM Act, 1965, no distraint shall
unless demand notice is served on the tax payer'

rvithin 3
7) Further, under Section 365 of APM Act, 1965, distraint shall be elfected
(three) years from the date on which liability accrues, i.e., 30th April or 30th October, as

the case may be, of the Year.

5.15 Reeister of Distrained Properties (M.F.No'37)

5.15.1 Purpose

This register provides a record of properties distrained for non-payment

of tax'

5.15.2 Main features

l) After a warrant is executed and moveable property distrained, it shall be brought

the property
to the municipal office and made over to the store keeper, who shali record
in the Register of Distrained properties.

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2) If the sum due is paid by the tax payer within seven days, the property will
be returned to the party after obtaining his signature in the remarks column of the
register. If the sum due is not paid, the property will be sold in an auction conducted for
the purpose. The sale proceeds will be credited to the tax, warrant fee (12 paise) and
distraint fee (Appendix C of Schedule II of APM Act, 1965).

3) Separate pages shall be set apart for different classes of taxes. Register of
Distrained Properties shall be frequently verified tt Commissioner to ensure that
"by "
there is no undue delay in disposing the property seized.

5.16 Register of Prosecutions (M.F.No.62)

5.16.1 Purpose

This register provides a record of prosecutions launched against tax defaulters for
non payment of tax.
o

5.16.2 Main features

l) The defaulter (tax defaulter) can be prosecuted before a Magistrate, if for any
reason, the distraint has become not possible.

2) Under Section 365 of APM Act, 1965, a prosecution shall be filed within 6 (six)
years from the date on which liability accrues.

3) The prosecutions shall be entered in the Register of Prosecutions and a reference

of prosecution shall be entered againt the relevant assessment in the Demand Register.
4) The register will contain the following important details:
1
- XH:#3r?iffisorderaurter
Amount involved
r-\

Name of the Court and Case Number

5.11 Reeister of Suits (M.F.No.l l8)

5.17.1 Purpose

This register provides a record of suits filed by the municipality and against the
municipality.

5.17.2 Main features

l) Under Section 365 of APM Act, 1965, a suit can be filed in respect of any sum
due to the municipality within 9 (nine) years from the date on which the liability accrues.

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2) A Suits Register shall be maintained for the purpose of showing the suits
instituted, costs incurred, suits disposed in favour of or against the municipaliry and costs
awarded by courts, executions taken and results thereof.

3) Suits filed against the municipality shall also be entered in the Register of Suits.
The stage of suits from time to time shall be recorded.

4) The Municipal Standing CounseVAdvocate on behalf of the municipdity shall

also maintain the Suits Register of the suits entrusted to him.

5) A reference of the suit (suit number and name of the court) shall be made in the
Demand Register against the relevant assessment.

6) The register contains the following important details:

- Particulars of Suit/Appeal
- Name of the Court and Number of Suit
- Whether decreed in favour f or against the municipality
- Amount decreed by the Court
- Particulars of Execution Petition
A - Amount recovered
A 5.I 8 Register of Cheques (M.F.No. 152)

5.18.1 Purpose

The register provides a record of all cheques, pay orders and demand drafts
,\ received in the municipaloffice

AI

5.18.2 Main features

A I ). All cheques, pay orders and demand drafts received shall be entered in this
reglster.

2) The particulars, i.e., name of the person from whom received, number and date of
cheque/pay order/ demand draft, name of the bank, purpose for which the cheque/ pay
order/demand draft is issued shall be entered.

3) The cheque/pay order/demand draft shall be sent to the bank for collection
a immediately and the counterfoil of the bank challan shall be pasted in the register. The
date of encashment shall be noted in the register.
A

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4) and retumed, the fact shall be informed to the person
If the cheque is dishonoured A
*ho guu" the cheque and ensure that a fresh cheque is issued or cash collected, besides
taking other stePs as warranted. A

5.19 Reei A

5.19.1 Purpose !1

A
This register provides a record of all money orders received in the municipal
office.

5.19.2 Main features ,t

l) received shall be entered in the register. The bottom slip of the
All money orders ,\
payment shall be pasted
only order form on which the sender writes details/particulars lor
on the register. A

The amount received through money order shall be remitted to the municipal A
2) of
t*ur.rry through a challan and the ,"f...n." of 'money order' shall be made on the top Ao
the challan. Miscellaneous receipt has to be issued to the sender.
At
be entered in the
3) In case the money order relates to property tax collection, it shall
it ullu, Register of the concerned BiU Coil;tor and the reference of 'money order' shall
be noted in this
A
be rnade in the Challan Register. Date of credit in the Cash book shall
register. IA

5.20 Register of Bills Issued (M.F.No.32) A

AI
5.20.1 Purpose
a\
from time
This register is intended to show the bills issued to the Bill Collectors
to time and the bills returned by the Bill Collectors'

5.20.2 Main features

A
1) This register will contain the following important details
A
- Book Number
- Person to whom bills issued A
- Date of issue
- Total amount of the bills A
- Details of bills returned
A

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2) The Demand Registers shall be written before l5th of April every year and the
writing of bill receipts and demand notices shall also be got completed simultaneously.
The bills shall generally be written by the clerks in the office, and if it is not possible,
they can be got written by Section writers. The Commissioner shall initial alterations in
the bills.

3) After the bill receipts, demand notices and the memoranda are written, they shall
be carefully compared with the Demand Registers by the concerned clerks and they shall
initial all the bills, notices and memorandum in token of having compared them. At least,
l0o/o of the bill receipts, notices and memoranda shall be test checked by the Revenue
Offi3er or Manager.

4) The bills shall then be entered in the 'Register of Bills Issued' and stamped with
the facsimile signature of the Commissioner under the direct supervision of Revenue
Officer or Manager.

5) The bills shall then be handed over to the Bill Collectors after obtaining their
acknowledgements.

6) The register should always be kept under lock and key of the concemed tax clerk.

5.21 Bill Collector's Collection Book (M.F.No.l0lA)

5.21.1 Purpose

To record all amounts of taxes collected every day by the Bill Collectors.

5.21 .2 Main features

l) Bill Collectors shall bill books and Collection Book.

always carry with them the
As soon as any amount is collected from a tax payer, he shall enter the date of receipt
against the corresponding entry in the memorandum of the bill book and also in the
Collection Book for that particular day. The entries in the Collection Book are date wise.

2) On collection of tax from the tax payer, the Bill Collector shall sign the bill in full
with date of collection and hand it over to the tax payer. lmmediately thereon, he shall
enter the date of collection in the memorandum of the bill book and also enter the
particulars of the bill (Assessment number, year and amount of tax) in the Collection
Book for the particular day. No amount shall be collected by a Bill Collector without
giving the tax payer the bill for it duly receipted by him with date of collection. Part
collection of bill shall, on no account, be made.

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5.22 Challan Reeister (M.F.No.l0lB) A

To enter the daily collections ma$e by Bill Collectors and other outdoor staff, and A
to hand over the collections to the shroff.
-
5.22.2 Main features A

l) Each Bill Collqctor (also any outdoor staff entrusted with collection of any sum
due to the municipality) will maintain a Challan Register. It contains the collections made
by him each day. After making the entries in the Challan Register, the Bill Collector will A
take the bill books, Collection Book and the Challan Register to the Tax clerk. The Tax
clerk will examine the bill books and ensure that those bills, which are not found in the
bill books have been entered in the Challan Register.

2) ' In order to facilitate this, he will, at the same time, enter the date of credit of each
bill in the memorandum attached to each bill book and also make necessary entries in the
abstract, showing the number of bills collected and of those outstanding. He will then
count the number of bills in the bill book actually outstanding and safisfu himself that this
number agrees with that shown in the abstract of memorandum. r-\

3) After the Tax clerk is satisfied about the entries in the Challan Register, he makes
his initials in the Challan Register and the memorandum in the bill books in token of his
examination and permits the Bill Collector to remit the collections in the municipal .A
treasury. The registers will then be taken to the Shroff who will receive the amount and
acknowledges in the Challan Register. Normally, the Bill Collectors shall remit the
collections in the municipal treasury on the same day of collection.

4) The entries in the Bill Collector's Collection Book as well as in the Challan
Register are the same. While the Bill Collector's Collection Book will be a record of
daily collections and retained with him, the Challan Register will be attested by the Tax
clerk and the amounts therein will be received by the Shroffand acknowledged by him.

5) At the end of the month, an abstract of daily totals is made and it shall tally with
.A
the abstract of collections entered in the Demand Registers (including ADRs).
A
6. Advertisement Tax
A
6.1 Under Advertisement Tax, the following registers will be maintained
l. Advertisement Tax Demand Register
2. Advertisement Tax Arrear Demand Register.
A

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6.2 Advertisem8nt Tax Demand Register
l

6.2.1 Purpose I

This register is intended to show all advertisements liable for tax.

6.2.2 Main features

l) A Demand Register for Advertisement Tax shall be prepared as in the case of
Property Tax Demand Register.

2) The Commissioner issues permits for advertisements. Advertisement tax shall be

payable in advance after the Commissioner has approved the proposed advertisement and
before the permission is granted. It contains permit No. and other particulars as provided
in annexure II of Advertisement Tax Rules. These details and the amount of tax towards
demand have to be entered in the Demand Register.

3) Collections shall be entered month-wise as in the case of properry tax and the
balance arrived. At the end of each month, the total collections shall agree with the
entries in the Challan Register. An annual abstract shall be prepared at the end of the
yeat.

6.3 Advertisement Tax Arrear Demand Register'

Balances of advertisement tax outstanding at the end of the year shall be entered
in Arrear Demand Register. As in the case of Property Tax Arrear Deniand Register, they
shall be written year-wise, beginning from the earliest year. As in the case of property
Tax ADR, collections shall be entered month-wise end the balances at the end of the year
shall be struck.

7. Water Supply

7.1 Under Water Supply, the following registers will be maintained.

l.
House Service Connection Register
2. Water Charges Demand Register
3. Meter Register
4. Meter Reading Card
5. Meter Ledger ;
6. Water Charges Arrear Demand Register
7. Register of Miscellaneous Bills

145
7.2

7.2.1 Purpose

This register provides a record of house service connections given for supply of
water.

7.2.2 Main features

l) As soon as water supply is given to a house, the municipal Engineer will forward
to the revenue section by tOm of the following month, a list of connections given during
the month. Thereafter, the revenue section has to make entries in House Service .-
Connections Register.

Z) The cormections given may be either on tap rate basis , i.e., fixed rate every
month or on, meter basis, i.e., the charges will befixed based on consumption of water as A\
per meter reading. In this register, connections given both on tap rate basis and meter
basis shall be entered.

3) basis, the serial number in the Meter Register shall

If the connection is on meter
also be entered in the relevant column of the register'

7.3 Water Charses Demand Register

7.3.1 Pumose

The purpose of this register is to provide for the record of demand, collection and
balance of water charges in respect of taps sanctioned on tap rate basis.
.a
7.3-Z Main features

l) Water Charges Demand Register will be prepared based on the entries made in
House Service Connection Register. This register provides, among others, information
relating to date of sanction of house service connection, monthly/half-yearly water
chargei payable on tap rate (demand). The demand will be worked out on the basis of the
rates fixed by the Council.

Z) Collections will be posted month-wise as in the case of Property Tax,Demand

Register on the basis of entries in the Challan Register.

3) Annual abstract of demand, collection and balance shall also be prepared at the
end ofthe year.

146
 7.4 Meter Register (M.F.No.2lB)

7.4-l Purpose

The connections issued on meter basis will also be entered in the Meter Register.

7.4-2 Main features

l) Among various columns in the register, date of application for metero date of
providing meter and diameter of the meter are important.

2) Similarly, page number in the metr ledgershall also be entered in the register.

.^\ 7.5 Meter Reading Card M.F.No.2lC)

7.5.1 Purpose

The card provides a record of water consumed by a owner of a house-

o

7 -5.2 Main features

l) In respect of house service connections on meter basis, the meters shall be read by
the meter Reader at approximately one month's interval and the reading (units) shall be
made in the Meter Reading Cards.

2) The Meter Reading Cards have to be maintained in duplicate, one card has to be
given to the owner of the house and other has to be sent to the municipal office.

7.6 . Meterledger(M.F.No.2lD)
a\
7 -6.1 Pumose

This register provides a record of water supply connections on meter basis with
' consumption of water, amount billed, collected and balance.

7.6.2 Main features

;
l) Based on the Meter Reading Cards and on the basis of rates fixed by the Council,
demand will be fixed for various
connections sanctioned on meter basis. This register
(Ledger) provides name and address of the owner, date of connection, consumption of
water (in units) and the charges.

2) Collections will be posted month-wise as in the case of Property Tax Demand

Register based on the entries in the Challan Register

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3) Annual abstract of demand, collection and balance shall be prepared at the end of A
the year.
A
7.7 Water Charges Arrear Demand Register
A
7.7 .l Purpose
At
This register provides a record of all the balances outstanding at the end of the A
year in respect of watir charges on tap rate basis as well as on meter basis'

7.7.2 Main features

A,
1) Balances outstanding at the end of the year in Water Charges Demand Register
and Meter Ledger will be brought into Water Charges Arrear Demand Register-
They ,-\
shall be entered year-wise beginning from the earliest year'
A
2) Collections shall be posted and balances struck at the end of the year' A
7.8 A

7.8.1 Purpose A

This register is intended for the record of all transactions relating to

miscellaneous A
dues for which bills are issued.
A
7.8.2 Main features
A
There are certain bills, which are not fixed, like water charges
on meter basis'
1) charges on
A
if,",p."p*ation of bills wittr reference to Meter Ledger (in respect of water
mete.ieading), they shall be entered in the Register of Miscellaneous
Bills'
a
and handed
2) The bills shall be stamped with commissioner's facsimile signature A
over to Bill Collectors for service of bills and making collections'
A
8. Building Permissions --t

8.1 under Building Permissions, the following registers will be maintained. A

of Applications for Construction, Reconstruction or
a. Register A
Extension etc.
,t
b. Register of Construction, Reconstruction or Extension of buildings
A
assessed to ProPertY tax.

A
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 8.2 Register of Applications for Construction. Reconstruction or Extension etc
(M.F.No.l46)

8.2.1 Purpose

The register contains all applications received for sanction of building

permissions.

8.2.2 Main features

l) ' This register is maintained in the Town Planning section and all applications
received for sanction of building permissions will be entered in the register. The date of
receipt of application and the date of issue of building permission will be entered in this
register. The validity of building licence is one year and the construction need be
completed within one year of date of sanction. If the building is not completed within one
year, fresh application has to be made and licence obtained.

2) A copy of the building permission will be marked to revenue section to

enable them to assess the building to tax after its construction is complete.

8.3 Register of Construqtion. Reconstruction or Extension of buildings assessed to

property tax (M.F.No. l46A)

8.3.1 Purpose

This register provides a record to ensure that the new constructions,

reconstructions or extensions to buildings permitted by the municipality are zrssessed to
properfy tax.

8.3.2 Main features

l) As soon as construction of a building is complete, the Town Planning section will

send a completion report together with licence number, name and address of owner and
the nature of construction to revenue section.

2) Thereupon, the revenue section will initiate action to include the building in the
monthly list and get it assessed to property tax.

9. Encroachment Fees

9.1 Under Encroachment fees, the following registers will be maintained.

l.
Register of Encroachment Fees
2. Encroachment Fees Arrear Demand Register.

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9.2

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9.2.1 iPurpose

This register provides a record of all encroachments identified, and demand, A

collection, and balanci of licence fees from unobjectionable encroachments' .-\
e.2.2 M?"&.t* ^\
1) The Town Surveyor/Town Planning offrcials will submit the listwill of .-\
Officer/Commissioner
encroachments by 30fi April every year. The Town Planning
all encroachmenis and ciassiff them as objectionable or unobjectionable'
All aal
;;;"i
objectionable encroachments will be removed'
and the licence
2) The unobjectionable encroachments will be entered in the register ,.'
Th." details of unobjectionable
fee will be levied ; 'name
;;; the rates fixed by the Council
like of the encroach"r, the location, nature and exlent by of
"n"-uamn"",., year (with reference to the rates fixed ^t
encroachment and tt. ti""n"" fee payable per
the Council) will be entered in the Demand Register'
made through
3) The collections under encroachment fees, which are normally ,-r

challans will be entered in this register'

^
shall be
4) At the end of the year, the demand, collection and balance statement A
brought out as in the case ofother revenues'

period of five yezlrs' ^

s) This register provides information for a
,r
9.3 Encroachment Fee Arrear Demand Register
A.
9.3.1 Purpose A

fees outstanding at
This register provides a record of balances of encroachment
the end of the Year.

9.3-2 Main features

remained uncollected in the
1) At the end of the year, the amounts (licence fees)
Encroachment Fee Arrear Demand
Register of Encroachment Fees shall be brought into
year'
n"!i*"r. They shall be entered year-wise beginning from the earliest
struck at the end ofthe year'
2) The collections shall be posted and balances shall be
-,
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10. Duty on Transfer of ProPertY

10.i MiscelianeousDemand Register(M.F.No.2l)

l0.l.l Purpose

This register provides a record of demand, collection and balances of

miscellaneous items of revenue. The collections under Duty on transferof property
(surcharge on stamp duty) can be watched through this register.

L0.1.2 Main features

l) , Surcharge on stamp duty will be released once in a quarter. Collections will be

posted in the month in which it is adjusted to municipal fund.

2) There will be no demand under this head. Whatever is received by the municipality,
it shall be deemed as demand and accordingly demand, collection and balance to be
arrived.

11. Other Registers

A
I l.l There are a few more registers relevant in revenue collection matters. They are:
A
l.RegisterofMiscellaneous Sales
2. Register of Miscellaneous Receipts
3. RegisterofMiscellaneous Licences.
ll.2 Register of Miscellaneous Sales

A
ll.2.l Purpose

This register is intended to record all miscellaneous sales effected from time to
time.

11.2.2 Main features

l) All
miscellaneous sales, such as avenue clippings, old materials/tools/ plants,
distrained property, produce of lands and gardens, street sweepings, sale of lands other
than the cases where agreements are taken, find place in this register. ;

2) Separate pages have to be set apart for each class ofrevenue and necessary entries
have to be made, as soon as sales are confirmed and orders issued.

3) The total collections on account of each class of revenue shall agree with that
noted in the Register of Miscellaneous Receipts.

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4\ If the sale proceeds are not collected in the year, they shall be carried forward to
the beginning of the following year. ' ' /-l

I1.3

I 1.3.1 Purpose
A\
This register provides a record of all miscellaneous revenues collected
in the
municipal treasury through challans- A.

1^,
11.3.2 Main features

This is one of the important registers under -revenue managem€nt' [t

shows
1) of
various miscellaneous receipts like rents in markets, shops, buildings'
sale proceeds
.t
interest on investments'
lands, buildings, avenue trees, sale proceeds of old material,
173 columns and the
contributions, fees for duplicate licenies etc. The register contains A
details of various receipts are under column5 to column 173'
against each receipt
2) The register will be written during the course of the day
revenues, and horizontal
issued. The register contains vertical colr"mrrs, i.e., item-wise
payments be shown
columns, i."., puy*",.ts made by different persons. Th9s.e -shall
of the line' For daily accounting'
against the relevant revenue head and at the last column
the vertical columns need not be totaled- It is enough
if the last column' i'e'' the amounts
paid by various p".rorN is totaled and the ngu* is shown
in the cash book under
month, totals of all columns' i'e''
Miscellaneo.r, R"""iptr.- Ho*"rr"r, at the "na of the A
use in the demand' collection and
+ revenue heads shall be totaled and they shall be made
balances of various other demand registers' 1

p."q" shall not be carried forward

3) For the purpose of monthly totals, totals of eacl
carried forward to the last page for the
from page to page. Totals of various pages may be
month.

I 1.4

I 1.4.1 Purpose

various purposes'for which

This register provides a record of licences issued for
licence fee is collected.

11.4.2 Main features

which are not entered in the

l) All revenues collected through municipal treasury,
(egister of Miscellaneous Receipts will be entered in this register.

152

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 2) Generally, licence fee yill collected in the Public Health section under D&O
trades, and in the Town Flanning section under Encroachment fee, Building licence fee
etc.

3) This register will be maintained like Register of Miscellaneous Receipts

4) It shall be written every day and the totals shall be made and carried to Cash
book-

5) The procedure adopted for Register of Miscellaneous Receipts shall be adopted in

the maintenance of this register also.

Annexure I - Taxes and no!-taxes which APIIC is empowered to collect.

Taxes and non-taxes Authority

?roperty tax
Advertisement tax
Water Supply
Building Permissions
Encroachment fees
Duty on Transfer of
Property
Drain connection charges
Levy and collection of property tax
(Sec.85 to95)
Levy and collection of advertisement tax (Sec.l 14 to
I 19)
Levy and collection of pipeline service charges
(Sec.142)
Levy and collection of different rates of water charges to
different categories of supply (Sec.l4l)
Building Regulations (5ec.202 to 230)
Building Rules (Schedule III)
Licences for projections, and lease of road sides and
llEqet margins Rules
Sec.120
Duty on Transfer of Properfy Rules
Connection of house drains to municipal drains
(Sce.148)

/4/
/

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 13. MAINTENANCE OF CIVIC SERVICES BY APIIC

l) Under the Municipalities Act, Government may transfer any power or function
velted in the municipality under the Act to the Andhra Pradesh Industrial Infrastructure
Corporation (hereinafter called APIIC), subject to such restrictions or conditions. When
such transfer is done, the APIIC shall exercise such powers and perform such functions

2) During the year 1994 and subsequently during 1997, Government ordered that
certain powers and functions specified should be dxercised by AOIIC in certain specified
areas of certain municipalities. The areas specified are industrial estates, private industrial
estates, autonagars, commercial complexes and housing complexes. The condition
imposed by the Government in this connection is that the APIIC shall pay thirty five
percent of properfy tax collected to the municipality once in six months. The powers and
functions relating to maintenance of civic services are shown in Annexure-1.

3) The APIIC has nominated certain senior officers to exercise the powers and
perform the functions in the specified areas. To bring in an element of self-govemance,
the APIIC has evolved a concept of Service Societies covering all areas in one
A towny'municipality and made the office bearers involve in collection of taxes and other
dues, and also in maintenance of civic services in the areas
A
/A\ 4) In this paper, we study the functions relating to civic services to be performed by
APIIC. Even though the APIIC is responsible for provision and maintenanci of sen,ices,
they must be integrated with the municipals system, since the ultimate source or disposal
emanates from or vests with the municipality.

A
5) The functions delegated by Govemment to the ApIIC are:

A l. Water Supply
2. Sanitation
3. Drainage/sewerage
4. Roads
5. Street lighting
Let us discuss various issues relating to provision and maintenance of these
functions

6. Water Supply

A 6.1. Under the Municipal Act, the municipality shall

to the extent of funds available, provide sufficient water to its inhabitants

for use
cause existing water supply maintained
with the permission of Government, supply water outside its limits

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-ensurenopersontrespassegintoanypremisesconnectedwithwater .-l

suPPlY
water matns'
ensure no structure constructed over any -,
6.2.Themunicipallyshallmakebye-lawsforwatersupply.Thebye-lawsshallmake ^\
different categories, and for different rates of
provision for classif,J"1,i"" J t"f^ply-under
categories etc' Urban Local Bodies are collecting ^
charges for water ,rppiil to different
Rs.t"ool- p". month per.tap i1,""|"1:|!omesti"
water charges ranging from Rs.60/- to
pip" line_service charges ranging from
connections. similirv-ilLg. are collectirrg connection
o

Rs.3000/- to Rs.6000/-'for sanction

of Residential House Service

tap connections' He may also require -'

6.3. The chairperson is competent to sanction
conditions, io obtain water connection'
owner of any U"ifairg, rri:""t to ""rtuin A
from
with any water-or unlawfully draws water
6.4. If any person unlawfully meddles
wittr u n.r" of tp""' five hundred or
imprisonment of ^
any water works, il;;ilhaUte
six months.
service charges
the municipality to collect pipeline
6.5. The Government may direct*rro* *ut.i is given at such of the rates
from the owner of the premises to "onnection
;;.""G;il cosr of the pipeline service works'
pr"r.Jita towards ""pior
to disconnect the supply of water,
if water tax or
6.6. The municipality is authorized permitted' if
charges are not paid, if the water
is used for purposer-otil"t than those
pipelines are interfered etc'
;'i;ii;;"ar. not i,tgooJ condition'
6.T.Byreadingtheaboveprovisions,oneoftheimportantfuqctionsthemunicipaliry
water supply'
to perform is to provide and maintain

6.8. Provision of water suPPlY:

of water
the APIIC will plan for provision
when an Industrial Estate is planned, municipality and store water
ln
supply. Generally, the APIIC tate.s.UJt water from the
reservoir. The municip;i'"y wi, consid"' tt'" req'irlm"nt of Inclustrial
an elevated generally'
for in{proveme.rt oi'*ut", supply and the IALA need not
Estate, when it plans A
pf"t f". provision of water supply separately'
A
6.9. Maintenance of water suPPlY:
-.
TheIALAisbasicallyresponsibleformaintenance(o&M_.operationand maintained,. its utility
Unless the system is properly
Maintenance) of water supply. unproductive and
and leads to early failure and the investments mai" become be
diminishes
to .?1i: ;; ihe heatttr and social benefits could not the At
large sums are required r i, ,ri"" J"'** i" a"ti'" the benefit continually from
realized. Therefore, proper o&M 1
investment made'
A

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6.10. What is O&M:

Operation refers to the art of handling the plant and equipment optimally, so that
the designed quantity and quality of water can be produced. The municipality, where
water is produced/treated for use, generally handles this.

6.11. Maintenance refers to the upkeep of the civil, mechanical and electrical
components and pipelines through normal repairs, so that they function at designed
capacity and for designed period. Routine repairs are also necessary to prevent the
o components from malfunctioning. Generally, maintenance costs include cost of spare
parts and cost of labour for repairs/replacements. \

6.12. The O&M function is generally performed by (i) operating staff and (ii)
supervisory staff. While the operating staff actually runs the system, the supervisory staff
monitors and provides support.

6.13. Before taking up O&M of water supply, it must be ensured that the detailed plans,
r-r drawings and maintenance manuals are made available to the operating/supervisorystaff.
They must be updated whenever additions or improvements are made. Similarly, if any
A deletions are made, they should also be recorded.

A 6J4. Similarly, each e.mployee/operator should be informed of the job he has to do and
it should be recorded and a copy should be made available to him. This is called daily
operation schedule. It should contain inspection of machinery and equipment, its
servicing and lubrication etc.

6.15. For al items of equipment and machinery, z record should be maintaind which
should contain information regarding date of service/lubrication, replacement of spare
part-s, cost of spare parts etc. A reasonable assessment of spare parts
required should be
made in advance and all the spare parts should be made avaitble without any delay.
A
6.16. The quality of water is another important aspect under water supply. A complete
record of bacteriological and chemical analysis of water supplied sfrouia-Ue maintained
and reviewed. The recommended residual chlorine at the iail end is 0.2. ppM. The
quantum of water supplied every day, together with hours of supply should also
be
maintained- A record showing the tap connections given to various individuals
/institutions together with number of connections, size oif"^rl" and quantity of water
consumed etc. should also be maintained for proper billing and recovery

6.17. Maintenance of Distribution System:

Important component of O&M under water supply is the distribution system. The
object is to detect and control leakages and also to prevent pollution. Generally, the
complaints in the distribution system include :

t57
 - non-availability of required quantity
- low Pressure
. pollution -
leakages and wastages through valves and pipelines
- unauthorized connections'

6.18. Some of the causes for pollution of water supply are

- improper maintenance of distribution system

.- proximity of water pipelines to storm water drains
- water pipelines cross house sewers and storm water drains
- entry of waste through back siphons in an intermittent supply system

must therefore be ensured that there are no leakages, and if any

leakages are
6.19. It
action should be
noticed, they should be rectified immediately. Similarly, preventive
taken and ensure that no pollution takes place'
/t
6.20. Financial Management:
Water
It is necessary that water supply system should run on self-support basis' For
supply ilfff;ilie fixed in such a manner to make the system self-sufficient'
ffifiirrp"i, u gooa financial management system is necessary' It includes:

-prepareastatementofrealisticincomeandexpenditureono&M A
- fix water charges to adequately meet the O&M costs
-minimi,epuut-icstandpo't".'dconsequentfreesupplyofwaterthe charges A.
period and recover
- raise Uiitr'"r"ry month during a specified
tultY' A\

7. Sanitation:

7.1. Municipality shall make ilrangements for regular/daily

i) sweePing and cleaning of roads

ii) removal of sweePings
iii) removal of rubbish from dustbins
iv) cleaning of drains a
uf disposal of road sweepings, rubbish and filth ;

vi) cleaning of public toilets and urinals' .q

transport and disposal of

7.2. In the present day context, it pertains to better collection,
municipal solid waste (MSW)
rubbish,.street waste, bulky
7.3. Municlp4l Solid Waste generally consists, food ryastg, A
dead animals' bio-medical waste'
waste, horticulturai *urr", staigt tir hluse waste and
waste'
construction and demolition waste, and industrial A,

158 A

/l
 7.4. Solid waste management not only improves public health, but also has potential
resource recovery. Currently, the garbage is not being disposed properly. It is not
segregated at source. After few rag pickers extract recyclable material like paper, glass,
plastics and metal etc., the left over is being used for land filling in a non-sanitary
practice.

7.5. Of late, the management of MSW is being viewed as a potential resource for
newer products, rather.than treating it as garbage and refusal.

7.6. Let us consider new techniques of waste management.

7.7. Reuse/Recycle

Reusing means using the material for the same or different purpose. Recycling
means transforming the material into secondary resources for manufacturi"g ne*
products. Separated material can be reused or recycled. Recyclable material, like paper,
A glass, plastics, metal etc. can be separated at source. The piactice of rag pickers iutirg
them out from the dump yards may be discontinued. Waste trading ente--rp^rises that buy
A recyclable materials and sell to brokers can be organized. It is very important that the
producers of productVservices should accept the responsibility for thl
A, that
results from the products/services. "onr"qr.n"es

7.8. Composing

The degradable biomass separated from solid waste can be used as fertilizer by
mechanical or biological composing. Composing is an accepted agricultural practice
for
years- As a natural process, it can be carried with little intervention.

7.9. Vermiculture
A

Vermiculture is an aspect of biotechnology involving the use of earthworrns

as
natural and versatile bioreactors for cleaning up the environment. It
is a simple low cost
technology providing the earthworms with conditions for rapid multiplication
and
conversion of farm wastes and biodegradable urban wastes inio bio-fertiliser,
which
preserves and improves soil feitility.

7.1 0. Plan of action for improving solid waste management

V[/aste storage and collection: Provision of dustbins at appropriate places.

Metallic
containers compatible for mechanical loading and unloading are
desirable.

Transportation: Various factors tike collection and transportation time, routing,

<iesi^en-and carrying capacityof vehicies, qipes of bins need be considered. It is
preferable to use vehicles having mechanicaf loading
system with closed system of
having no dust / smell nuisance during transportation.

159
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A
A
Recycling: The present system of segregating recyclable material either at source or at
dumping ground by rag pickers may be systamatised'
a
Cotmposing: All organic/biodegradable wastes can be compoqted by microbial and"/or A
vermin composting.

Final Disposal: It must be minimized to the extent possible. The current practices .t
of final disposal are open dumping on land and/or burning resulting in pollution'
The
altemate is.sanitary land fill'*ti"n provides disposing the waste in thin layers,
with soil' It prevents A
compacting them to the smallest particle volume and covering
pollution and at the same time, protects the environment' A

8. Drainage/Sewerage: -\
and maintain
8.1. The municipality to the extent of funds available shall provide
to public drains or
public drains. eff no"s" drains may lre permitted to be connected
any construction on or across
undergfound sewer. No person shouid be allowed to make
any public drain.

S.2.lnmanymunicipalities,onlymasonryopenpublicdrainsexist.Infew A
municipalities, sewerage system is in operation'
^
S.3.Theopendrainsareofdifferentsizesandareeitherearthendrainsormzlsonry
the hlth removed there from A
masonry arai"rto"ld be cleaned regularly and
drains. The
drains leading to
should be carried i*"i. Further, the open earthen drains and major
be cleand before rains set in to avoid inundation
of areas A
drainage channels etc. ihould
abutting the drains. -.
8.4. As regards, Sewers, there are two tlrpes of maintenance, preventive and

emergency. pr"u*,i.r-" ;;.;*"e is necessary to prevent any break down of the

system and to avoid emergency operations

like clogged sewers or overflowing manholes
or backing up of sewage into houses etc'

marking the whole system in a

8.5. The o&M of sewerage maintenance begin with
areas and keeping each section /area
plan and dividing the whole s-ystem into sections and
under a maintenance gang.

8.6. The task of gang would be

flow of sullage etc'

- to check manhole condition for deposition of silt,
- to clean manholes, PiPes etc'
manholes
- to check sewer lines beween two successive
-tocheckanyharmfulandextraneousmatterenteringintoserverlines
- to check air release valves etc'
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 8.7. The gang should be provided rvith cleaning implements like pick axes, manhole
guards, tripod stands, danger flags, lanterns, shovels etc. J

8.8. T'here are certain machinery to clear/clean the blocks in the sewer lines like sewer
cleaning bucket machines, dredger, roding machine with flexible sewer rods, scraper etc.

8.9. Emergency maintenance becomes necessary for removal of obstructions in sewers

caused by excessive silt accumulations or damage leading to the breakdown of the system
with flows much lower than the normal. The sewer gang of this type of work should
consist of specially trained men who are aware of the hazards and capible of coping with
situations calling for prompt action.

9. Roads:

9.1. Under the Municipal Act, the municipality shall maintain and improve public
streets and bridges- They are useful for public safety and convenience. A road
is
required to facilitate men and material to move from one place to another.
The
municipality may also layout and makes new public streets and constructs bridges.
The
municipality may acquire land or building(s) for improving public roads.

9.2. In municipalities, the following roads are laid;

- Water Bound Macadam (WBM) roads

- Bituminous (BT) Road
- Cement Concrete (CC) Road

9'3' For longevity of roads, it must be considered to construct shoulders or side berms
(to prevent edge slips) and road drainage (to remove
surface and sub surface water from
roads structure)

A
9.4. Road Maintenance

Maintenance consists of a set of activities directed towards

keeping the structure
in a serviceable state. The usual defects and remedies in respect of various
roads are
detailed. Below.

9.5. WBM Roads:

The usual defects are ruts and potholes, loss of blindage,

comrgation and wearing
of edges. The causes are inadequate foundation, poor quality of material, poor
workmanship and intensity of traffic. The remedies are
cleaning the potholes and filling
them with metal and watering it, picking up the surface und
.pr.uding momrm and
watering it, keeping the edges protected and covered by
shoulder wtre-n"ver potholes
are filled and momrm is spread, there should be "t".24 hours.
no traffic for at least

l6l
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a,

9.6. BT Roads: I.i

The usual defects are potholes and comrgation, bleeding and

cracks. The '
^
causes are constant wear and tear, movement of iron
wheeled vehicles, heavy traffic'
are cleaning the potholes'
unequal settlement and defective construction. The remedies
painiing with tar urpt ut, in layers and hand ramming, spreading
of hne sand, forcing
can also be filled with
premix inside the cracks and iland ramming. Cracked portion
asphalt cement.

9.7. CC Roads A
mud pumping' blow- A
The usual defects are cracking of slabs, uneven settJement, quality of
ups, joint spalling and sealing. The reasons are inadequate foundation, poor
-flow
of-water below cracki, lack of expansion
joints' The
material, poo, *o.k-*ship, grouting with
remedies are cleanin[mr and filling with molten sealing compound,
"i*tt
cement and sand or bituminous mixture, iater
proofing the sub grade, providing proper At

expansion joints etc.

l

.^

9.8. It is equally important to maintain the shoulders and keep them in order' They
edge' To eliminate ruts and depressions
should remain in futl contact with the pu,L*"nt
be bleid and dragged at frequent intervals'
and to maintain rr";;;-"p" th" soil should

10. Street Lighting:

shall provide street lighting' A
10.1. The municipalrty to the extent of funds available,
street lights in the towns'
r.rr.i'"ffiti"s are providing the following
Currently, tt
"
i) SV lamps/IvtV lamps onmain roads ^.
. ii) .uor"ri"nt lamps itube light) in lanes/residential areas
iii) High mast lights in junctions
following:
10.2. The maintenance of street lighting cover the

D Replacement of fused lights and lamps

ii) Repairing/replacementofchokes/starters/wiresetc'

considered' cost of maintenance at

10.3. This is one area, where privatization can be of one lamp or light etq'' may be
11gn,, repair
unit rates, replacement of one lamp or """
and work enirusted' The material
worked out and tenders/quotations *;;l;";iled.
should be procured by the municipalityind
it should be made available to the person to
ul',"udy privatized maintenance of street
whom the work is given. Few ULBs hu,"
lights.

A
A
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^
 Annexure-1

Poryers / Functions relating to civic services

Sections of APM Act

Section 134 to 145 Water Supply

Section 146 to 155 Lighting; Public and Private Drainage
Section l6l Power to carry wire, pipes etc through

Section 164 to 170

Section l7l to 183 Public Streets
A
Section 195 Precaution during repair of streets
A Prohibition to remove any bar, chain or

Prohibition against making holes on

streets
A
Permission for work on building likely to
A
Cleaning of debris of fallen houses
Fencing of buildings and lands, and

Water Supply House Service Connection

Rules

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163
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A

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A

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 )

14. EXECUTION OF WORKS BY INDUSTRIAL AREAS

, SERVICE SOCIETIES
)

l. Introduction:

Municipal and Panchayats laws have been amended in the year 1994 to transfer
certain functions and powers of local bodes for APIIC to facilitate proper upkeep and
maintenance of the Industrial Areas. Thus APIIC has acquired the status of a Local
Authority Industrial Area. APIIC under Local Authority Status has evolved the concepr
of the "Industrial Service Society" to promote the objective qf self-governance of the
notified Industrial Areas by involving tax payer communities and g"tting the service
societies registered under relevant laws and to ensure satisfactory maintenance of

l-1. The Notified Industrial Area Service Societies are formed as Nodal Agencies to
act. on behalf Andhra Pradesh Industrial Infrastructure Corporation in rlspect
of
maintenance of Common Services in the Industrial Areas. The Common Services
include Road, Streets, lights, sewerage etc. To help the societies in execution
of
A maintenance works certain guidelines are required, sinie the societies do
not have Civil
Engineering expertise.
,A
l'2' The guidelines. evolved are simple, at macro-level and the same are not
exhaustive
dealing with every item of work minutely. Tt is for the societies to
exercise the powers
delegated to them with utmost care, sense of responsibility with
more and more
transparency ensuring utilization of the every paise of itre funds
for the purpose of better, .
effective and qualitative maintenance of the^ civic amenities in the
notified industrial
areas' Since the empowerment of Societies in these matters is with
the objective of
promotion of self-govemzulce of industrial areas by the rate-payer-industries,.
iiis for the
societies to rise upto the challenges of the times and to workioih
in letter and in spirit for
translating the set objective into a reality. Societies may undertake
execution of works
either by themselves or through agencies-

1.3.. The Managing Committee of the Society shall alone, be competent to take
decision in all matters including sanction of woiks, sanction of estimates,
according
administrative sanctions, technical sanctions, registration of contractors,
,-t calling for
tenders, awarding works, payment of the works done/executed etc.,
and in all matters
connectedTarisen out of the same.
l'4' The main source of funds for taking up maintenance works is (70% out of the
property tax amount collected, Fees for Building Plan Approval, )
Fees for Installation of
Plant and Machinery etc. , together with any sums received as
donations by the Societies.

l'5' An individual society or a group of them may engage a technical consultanr on a

retainer basis for advising/attending to all technical matters including
preparation of
estimates and plans, technical sanction, supervision of works,
'i recording L"urr."*"nts in
M.Books, checking bills for paymenr.

165
 .A\

A
A

A
2. Execution,of works: A
works involves 5
2.1. The process of execution of ,any civil construction/maintenance A
important stages. Ar

a. Preparation of Plans and Estimates A\

b. Sanction of Works
c. Invitation of Tenders A
d. Finalising the Tenders and Entrustment of Work
e. Execution of Work and PaYments A
A
Each of the above stages is discussed below in
detail'

2.2. Preparation of Plans and Estimates:

be taken up, plans and
After the Managing committee identifies a work to
estimates are to U" goi p-reparea through
a qualified-person' While preparing the
Schedule of Rates (s-s.R.) of the concemed
Estimates, as far as possible the Stardai
Government Engineei-ng O"pu.t-"nt,
for relevant period is to be adopted'

2.3- SPecificationRePort:

Estimate shall invariably indicate the

Specification Report accompanying the
foltowing details. A
a) Preamble
and necessity for preparing the
estimates. A
b) L,nori,y
c) Provision of Budget Estimates
A\
d) ReportonthemainProvisionsandspecificationsintheEstimate,with
referencetothesiteconditions,detailedandworkingdrawingsand
standard norms.
Details of the Year and Circle of the
S'S'R" relevant Codes and
e)
*turrptions followed while preparing the Estimate'
p"t"ift of the market rates adopted in the Estimates'
0 be'
s)
ptirrtt area rate/unit rate as the case may

2.4. Sanction of Works:

sanction and'technical
No work shall be taken up without an administrative
of name of the work' estimated cost of
the A
sanction. The administrative Sanction "on,i,t' The
Estimate and sanction'
work. head of account, time frame abstract of the A
administrativesanctionisaccordedbytheManagingCommitteeoftheSociety.
should be.one Technical Sanction and
2.5. For each Administrative sanction, there
person.of the Society and If there is no
shall be accorded by the competent/d"rig.tut"a
A

person, the Managing shali accord the technical sanction also'

designated "o.mit[e A\

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t66 A

A
 2.6. Invitation of Tenders:
'

The next step, after administrative and technical sanctionsiare accorded by the
competent authority is to call for tenders and fixing up of agency/contractor to execute
the work.

A 2.7. Registration of Contractors:

The Society shall maintain a list of registered contractors. A person can be

registered as a contractor to execute the works of the Society if he fulfills the prescribed
norns.

2.8. Registration of Contractors shall be done in the following manner depending upon
the monetary limits specified below:

MOItETARY LIMIT
sl. Name of Work Class I Class II Class III Class IV
No. Rs. Rs. III Rs.
l. Civil Works 2,00,000 1,00,000 50,000 10,000
A
2. Sanitary and Water 10,000 10,000 5,000 No solvency
Supply certificate
3. Electrical 10,000 10,000 5,000 No solvency
certificate
2-'?' Any person.desirous of being registered as a contractor shall apply to the
Chairman of the societ5z giving details of his qualifications, previous
experience with the
list of works executed during the past 5 years with supportin! documents,
penalties levied
if any, value of works under exicution on the aate^of application for registration. He
shall also enclose a solvency certificate issued either by a schedule
bank or by revenue
authority not below the rank of MRo along with details
of partners and the technical
person with minimum qualification of diploma (LCE
ILEE) emlloyed by him.

2'10' All contractors shall certifu that they would not get themselves registered on more
than one name.

2.I l. The following shall be fee payable for registration of contractors.

Not less than of
Rs.
Class - I 250
Class - II ls0
Class - III 75
Class - IV 50

?'l?' If any person desired to be registered for more than one category, a single fee for
higher class shall alone be payable.

167
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2.13. All applications for registration shall be placed before the Managing Committee
for approval.

2.14. If the registered contractor withdraws his tender after it is accepted by the
entrusted to him or he has
competent authority or if he defaults in execution of the work
neither executed thl work nor even tendered
for work during the past tlvo years and in the
-"ur.
*h"." his performance has been bad in the work previously executed by him, the
such contractor' He shall not
Managing Committee may order for deletion of the name of A
Ue etiiiUie for registration till the expiry of
(3) years from the date of deletion of his name
by the Managing Committee of the society' A
society in the
2.15. A Register of Registered contractors shall be maintained by the
A

prescribed proforma.

Z.iA. Entrustment of Works:

3 types:
Works can be entrusted to the Contractors in the following

value not exceeding Rs'5'000/-

a) Nomination Basis: A work with an estimated
can be entrusted to a Registered Contractor
on nomination basis without calling
Tenders.However,executionofaworkthroughonnominationbasiscanbe
works, which cannot be delayed
resorted ,o onf/ in cases of urgent maintenance.
by the p.o".r. of calling of lenders. e woik can
be got executed through
of the Managing Committee of the
nomination basis after obtaining frio, upptoval -q
to any other person'
Society and this power cannot be delegated
A
b) Internal circulation: works with an estimated value not exceeding
on limited tender basis' In this
Rs.2.00 lakhs can be entnrsted io corrtractors
contractors' and
method, ,t schedules will be issued to all the registered
",.rrJ", .-.
tenders are called for'

c)openTenderSystem:Allworks,whoseestimatedvalueismorethan
through open tender system' In this
Rs.2.00 lakhs shall be entmsted to contractors
locally circulated
system, tender notification, u.. ffihed inSt l"^t in oneand in at least two
News Paper, if the value of the workis less Rs.5.00 lakhs
NewsPapers,oneinEnglishlanguageandotherinTelugulanguageifthevalue
shall have a wide circulation in the state
exceeds Rs.5.00 lakhs. These t*I po:p"*
of A.P. Tender notirrcation shali fe issued to all the concerned'
registered

contractors.
A

date of publication of the notice A

2.t7. A minimum period of at least (15) days from the
Earnest money deposit IPMP) shall in
no
shall be allowed for submission of the tenders- A
case be less than 2
t/z ofthe sanctioneJ estimate which shail be payable along with the
with the Society which-is repayable to the
tender- The amount of EMD shall be retained A
period after compietion of work successfully
Contractor only after a lapse of (6) months
A
and satisfactorilY.
A
168 A
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 2.1g. The tender Notification shall be in the prescribed form and consist all the
necessary particulars like name of the work, estimated value, date upto which
applicatitns for schedules are received, date and time when the schedules will be issued,
of schedule, date and time upto which, and by whom tender will be received, amount
"lrt
and mode of EMD to be accompanied with tender, date and and time by when the tenders
will be opened and relevant particulars. In the tender documents it shall be made clear
that the iociety reseryes the right to cancel, accept, reject all or any of the tenders
received without assigning any reason.

2.19. Issue ofTender Schedule:

A The Tender schedules shall be issued at a cost as decided by Managing

Committee of the Society. The Tender schedule shall consist all particulars of the work
r-\ to be executed like individual items of work, their quantities, amount and mode of
pa),ment of EMD relevant drawings detailed specifications and other relevant and
A\
required particulars. Also the Tender schedule consist the date and time upto which
tender will be received and when they will be opened.
,^\
2.20. Finalising the Tenders and Entrustment of Ll/ork:

The tenders received shall be opened on the specified date and time. The
tenderers can be present at the tilneof opening the tendgrs. If necessary, on the request
of the tenderers present, the rates quoted by all the tenderers can be read out.
Immediately after the tenders are opened, comparative statement of the rates quoted by
the tenderers shall be prepared. The comparative statement shall consist item wise rate
and value of estimate of the work, the rates and total value of each item of work quoted
by the contractors, the total quoted value of the work by each contractor, the percentage
A
of the quoted value of the work by each contractor in excess/less of the estimated value of
the work.

2.21. The tenders shall be finalized by the Managing Committee as early as possible
and in no case the finalisation shall not exceed trvo weeks after receipt and opening of
tenders.

2.22. The lowest tender shall ordinarily be accepted by the managing committee of the
Society. However, if the lowest tender is a high premium tender over the estimated
value, the managing committee shall negotiate first with the lowest tenderer for
reasonable reduction in his rates and if the negotiation fails, the second lowest tenderer
can be called for negotiation. In case this negotiation also fails, a decision could be taken
by the Managing Committee on award of the work, if it is felt that retendering would not
result in lower rates.

2.23. When it is considered undesirable to accept the lowest tender or next lower
tender, adequate grounds for rejecting these tenders should be recorded by the managing
committee. In selecting tenderers, the financial status of the tenderers, their capacity, the
security offered by them and record of their execution of any works previously done shall

r69
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be taken into consideration. Other conditions being equal, tn. toru"rt tender shall be
-
A
2.24. If none of the tenderers is acceptable to the managing committee of the society,
A\
fresh tenders may be invited for rejecting all the tenders previously received and the
reasons for rejeciing them shall be recorded in detail in the resolution of the managing r-\
committee.
A\
2.25. Additional Security Deposit @2.5% of tendered value shall be collected from the
contractor, if the contractor has quoled abnormally high or low rates compared
to the A\
estimated rates. The rates quoted by the contractor shall be considered abnormal, if rates
the
quoted by him are either in excess by 25% and above or less by l0% and above than
estimated rates.

2.26. A tender register shall be maintained by the Society in the prescribed proforma'
by
All the original tenders shall be preserved and made available for audit and inspection
the officials APIIC IALA.
registered
2.27. Once the tender is accepted, the contractor should be intimated under
to enter into
poS *ittr acknowledgement due to attend to the office of the society
from
If there is no response q
agreement withiri one-week from the receipt of intimation. -
further extension of one *""k .u.t be entertained to give final oppornrnity
,f,;;;;""tor, to responds to this
to him dully intimuiing UV registered post. If the contractor fails
without any further
notice also, the tendei shall Le rejected and EMD be forfeited A
intimation and tenders recalled on the same day'
A
agreement is to be executed with the contractor
in the prescribed form on
2.28- The
after an agleement is entered into
stamp paper worth noit"r, than Rs.l00/-. Immediately
committee' the EMD
with the tenderer *hor" tender has been accepted by the managing
The Agreement shall be A
deposited by the other tenderers shall be refu,,<led to them'
by his'authorized agent and the society represented bv
its
signed by the ;; ,^\
""",;;;;;r
chairman. Such agreement shall contain among others,
provisions for the due fulfillment
if any, time by which work shall be completed'
of the works
""d
;;*s for default
of EMD (security
quantities and unit rates of eu"h item of the work, return
specifications,
months period from the date of
deposit) to the contractor only after expiry of six A
etc.
compleiion of the work successfully and satisfactorily,
with
2-Zg. Before concluding the agreement, the document shall be verified thoroughly'
attested copies of the same
reference to tender scheiule. On concluding the agreement,
shall be sent to the contractor immediately under Registered
Post' The agreement
contractor, or else within l0 days
concluding date is the date of handing over site to the
be notified to take
from the date of concluding agreement, the contractor should
possession of the site.
A
for execution of
2.30. Agreement has to be executed by the Society with the contractor
the work in the Prescribed format'
A

170 A
A
 2.3l. Execation ofllrork and Payments:

Execution:

2...32. Soon after handing over of the site, the concemed officials of the society should
discuss with the contractor to draw a realistic programme to complete each item
of work
with firm date within overall time schedule stipulated in the agreement. The prosress of
the work should be construrtly monitored, strictly adhering -to the time ..ir.air" una
specifications as per the agreement and drawings.
I
2'33' By the end of every month, the work executed by the contractor shourd be
measured and measurements recorded in the Measurement Book (M.Book). rr no *ort i,
executed during the month, the fact of the same is recorded in
ihe M.Book. After the
measurements are recorded in the M,Book the contractor should
be advised to verifu and
accept the measurements so recorded duly endorsing with
his own hand ;fil; ;i;
sigrature in the M.Book with dates for each set of m.uI*...rrt..
2.34. oiginal Agreement, Measurement Books, Sanctioned Estimates
and Tender
documents with comparative statements etc., are important
records to be kept ,na". ,ui"
custody ofthe Society.
2.35. Payments to Contractors:

payments shall not be made to contractors nor

.. 1A'dvance any
materiar can be
";;;;;"it]'f*
suppliedby the society. The contractor shail make his
procurement of materials and resources for "*" ro. ,rio*, *itrrl
execution of the work,
value of less than RS.25,0OO/-, intermediary pa)ments .t utt no, be made
lumpsum conract payment shall be made after
and onlw r
co.pr"ii", *";i ;;:,il""iii,;
the socrety "i,r,,
the satisfaction of the competent authgrity of
irr r.g.a to other works with
value exceeding Rs.25,000/- intermediary payments
an item of work. In no case part paym"rti
U"-.uJ" f".
"u,i to
il ;;pl";i"; ;i
ihull be allowed the contractor.
2'36' All work payments sha, be made onry after measurements
are recorded in the
measurement books and preparation of bill by the competent authority of rhe a;e;
Pass order by rhe Chairman of the.society
o; ury o;;. ;;.petent authoriry shall be
recorded both in the measurement book
as welr as in the bill of payment. All the
payments to the contractor sha be
cash payments shall be made.
made through a crossed cheque onry unJ i"
making p"i Uirip"y
;;;;
.While security depos it
of the value of work done shall.be il; "rt,deduction of income @7.s%

li8ruorage^ _Chg.g::
^.""or"".ia,
if any, penalty for "p"i .i *ort etc. At the tax,
slow prog."r,
paym€nt of frnal bilr part of the security time of
deposit i.e.i.5zo o] th" uulu"
be released and the barance 5zo shall te withheld ;"*;;;;i
roi oir"*ution period "f of 6 monrhs.
This amount shal be refunded if no defects
*. r"ii..J a'"G the six months observation
period' If defects are noticed the cost of rectifi"utio,
or a.i!.t, shall be recovered from
withheld amount. If, however the cost
of defecir. .".J* the withheld amount, the
excess shall be claimed from the contractor,

2'37' The accounts of the society is subject to audit

by the chartered Accountant
appointed by the society as per Clauie
(iii) oiRule + i.i"r* ofthe Sociery.
"i.frl
t7t
1A

/-\

r-\

ra,

,r'
A\

A.

.-,

,A

A.

^,
A
 A

15. LTRBAI\ PLANMNG and DEVELOPMENT coNTRoL

l.Introduction:

The terrn urban Plaruring is used to indicate the arrangement

of various components of an
urban area It helps to achieve the best possible advantages
of the situations of the Urban area
with respect to land and it's environment-The same can bJapplied
to ruralareas.

Planning and controlling the use on the land of

urban area can be termed as urban
Planning and Development conrol of Settlements.
Certain laws are enacted for the location of
buildingMand on which buildings are erected/;;r;;;hs
giving u.".r, ,o rrre buildings are
governed by certain specific provisions,.
so ttrry *r irop"rty located with least disturbance
$at
to the environment and to provide enough safety
," ,i" pr,6rlc generar.
2. Tools of Development Control:

The statutqry regulations of the land development

and building activitles are called as
Development control. For effective
Applications and proTpt.agtion against
developr.ri.ontroi, **tiil;d
diro"rn of Bu,ding
the u*rd;;red construction's and deviations
,.\ from approved plans in violatioo Jf R
lr,
avoid many legal complications also.'The
.*
**rution, is very essential. This will
.^l
followin! *:
th: generally used terms by the
l*T"3.ffi [:ll"#r'#ffir*1,i"*tcovernmenolp","rof mentco;;rorregurating
,.\ i) Zoning Regulations:

,-\ are generarv prepared as part

EB i:ilH"Regurations of Master prans /
A
ii) Layout Rules:

The layout /'sub-division of Iand rules

are prepared and issued under
statutory provisions of the Municipali;i.r the
)-Nirnicipal corporation Act
iii) Building Bye Larre:

The Building Bye Laws are prepared

provisions of the Municiparities and issued under the statutory
/ il;;i;p;iloroorution Act

173
 Al

3. Master Plans ,Zonal Development Plans and Land Use regulations: A

A
Master Plans are prepared for the given urban area with a perspective of about two
decades in order to meit the future ,"qui."ments considering its role, the potentials and A
problems.

Master plan areas are delineated into certain viable zones. Detailed plans are prepared for
each zone highlighting the road network, land uses, densities, infiastnrcture lines etc. Proper A
development of residlntial, commercial, Industrial, Institutional, recreational together
with
A
required road network, infrastructure are achieved through the implernentation of Master
Plans'

1920 by the
A
Master Plafrs are prepared under the statutes provided under APTP Act,
Authorities.
Directorate of rown planninj and ApuD Act, lg75 uy ttre urban Development A

Hence Orderty development is achieved :-

By l. Implementation of Master Plans

in-charge of area developme'lrts and
tfn co-oJnation with all the- departnents'
those Providing infrasfiucture)
2. BY aPProval of laYouts
3. ny enforcing zoning regulEtions'
4. BY enforcing building rules'

3.1. Land Use regulations:

of zoning regulations' These
Land use regulations are very important componant of work
ironment ior places 9f rysiaryi' places
regulations provide f,;;;;i"g ,ong*ii "'n
and places of leisurelJi".i.iion, *r,rT.
pr"rilil;?;; turi er"*ttt of main use tolether with
use'
the other uses complimenting to the main

3.2. Applications For change Of Land use:

Anapplicationneedtobesubmittedbytheapplicantforchangeoflandusefromthe up ,a
to required land use io.ut uuttrbrity. It must be thoroughly checked
existing land use i-i* e propo'al is permissible on appeal to competent
with reference to Zoning Regulatiot. *t "it oit At
authority or should be referred to Government'
A

/^.
a
174 A
A
A
A
 Requirements in the Application of Change of Land use:

i) Site plans to a scale of 1,,-33,O / l--66,0-.

ii) Topo detailed plans : I : 1000.

iii) Ownership particulars (ie) documents / FMB Sketches for site under reference with
l0 (l) adangal copy.

iv) width ofroads (ie.,) access to the site under reference classification and
road.
nature of

v) Extracts ofICRA / GTp, ifit is applicable along with council resolution.

Scrutiny:

After inspecting rhe site under referencg the

Town planning
fill in checklist and scrutini.e the proposal ;t",h"r';;;"rndaries Supervisor / T.p.B.o. shall
tallying with registered documenll 7 of sire under reference is
.rno sk"i"h*,- arso submitted prans, duly
superimposing on basc plans as. -with
wefl as in Mastei p-tan so ttrat the
passing through the site under referen"e road as per Master pran is
,fraf U" orr
"uoiua
Boundaries schedules must be prescribed.

Feefor change ofland use:

The fee for

G.o.Ms.No. 158 MA. Dated22-ig6.T\,"Try: of land
a"Jrs
use shall be calculated as
*" s; i, ih. ro6l, b.lo*. per

After scrutinisation oltle-nroposal, a detailed

technicar r?o1 must be submitted
Town pranning Supervisor / T.p.B:o.'whea;r;;;;;p# by
with ref€r€nce ro sunoundirg develop..ri is justified in the position
*,iriii*"jiffi*"n
ptu."
sround

If it is essential a comprehensive pran will be prepared in the rever of rocar

i r"lf. authority

:"","#""ffiiio:i"i:*',Hljf #lflt* t jil:,j:.* above to menrioned principar

3,ffi ,',-LT:IJii;ffi ;c";"ri,ri,ii;'""i;'il:ffi1''##ffi i"irff '*rt"trH

175
 G.O.Ms No. 158 M.A. DL 22-3-1996
TABLE
RATES OF DEVELOPMENT CHARGES TO BE LEV{ED TJNDER SECTION 18A, 188 0F
APTP ACT I92O & RULE SIA OF THE R1JLES ISSI.'ED IJNDER THE ACT
(OTHER THAN UDA AREAS)

Municipal Corporation Selection Grade and

Special Grade MpltYs I. II & m Grade MuniciPalities
Outside
Out side lnside Municipal Municipal
foF In side Municipal Municipal Limits Limits Limits
OR CHANGE OF USE
Limits
)R INSTITUTION OF
OR Built
Land Rs./ Mz Built
USE Built up Land Built up Land up
up Land
Rjv Other
area (tu./ area (Rs. (Rs. i area (Rs. (Rs. / area
Mplt- M2) / M2) M2) (Rs /
Kml (RJ M1 / M'z)
ys M2)
M2)

INSTITUTIONOFUSE: , r : r ::
10
r :I I i3
l4 1.5 4.5 3.5
.t. Vacant to 5 5
Residential l0
20 6 15 6 l5 4
). Vacant to E 8
Commercial l0
20 6 15 6 l5 4
Vscant to Industrial 8 8

5 l4 1.5 4.5 3.5 l0 I 3

L Vacant to other use. 5

II
CHANGES OF LAND USE l0 I I 3
t4 ') 6 4
a Recreational to 60 30
Residential l5 4 l0
20 6 15 6
b Recrcational to 80 40
Commercial l5 4 10
: 60 30 20 6 l5 6
Recreational to
Industrial I 3
30 l4 1.5 4.5 t.5 7.5
I Recreational to 60
other use 3
20 t4 2 6 4 l0 I
Agr/Conservational 30
or urban built to
Residential l5 4 l0
20 6 l5 6
i Agr/Conservational 40 20
of Creen built to
Commercial t0
20 6 l5 6 l5 4
Agr/Conservation 30 20
or Green built to

t76
 lndustrial

h Residential- 40 30 t4 2 7.5 3.5 l0 2 6

Commercial
I lndustrial to 30 20 20 6 l5 6 l5 4 t0
Commercial
j Otheruses to 30 20 20 6 l5 6 l5 4 l0
Commercial
k AgrUConservationa 30 20 t4 1.5 4.5 3.5 7.5 I 3
I or Green built to
other use
I Resideirtial to 30 20 l0 1.5 6 3 7.5 I 3
Industrid
m Reside,ntial to 30 20 l0 1.5 4.5 3 7.5 I 3
other use
n Residential to 5 5 t4 3 7.5 3.5 l0 2 6
Residential
o Commercial to 8 8 20 3 7.5 6 l5 2 6
industrial
p Commeicial to 4 4 l0 3 7.5 3 7.5 2
other use 6
q Indusuial to 4 4 l0 1.5 6 3 7.5 I
residential 3
r Indusrial to 4 4 l0 1.5 4.5 3 7.5 I
other use 3
s Otheruses to 4 4 l0 1.5 4.5 3 7.5
residential I 3
t Ottrer uses to 8 8 20 6 l5 6 l5 4 t0
Industial

NoTE: - In case ofdevelopments invglvi,ne changes of

land use and institution of use
(consists) both the changes shal 6'e puyiutr
r"f*ut.ty.

C. ARJLINA RAO
Principal Secretary to Government

177
4. Layouts and Layout Rules :

Placing the things in a planned manner on the land is called layout'

ThomostimportanttoolinrealizingtheMasterPlanJDevelopmefltPlansisthelayout
rules. Road and drainage typ" of development, density pattems, basic and
";;;i,-hJ;i",
social infrastructure are achievable through layout rules

in urban and Rural Areas is included in this book as chapter 17

A detailed note o n Lavouts

5. Buitding application, Building rules and FAR regulatlons:

Anypersonwhointendstoconstructorreconstructabuildingshallobtainpermission
Planning Act
under the Municipal Acttsos;;ai;*a"i t""tio" 17 of Andhra Pradesh Town of
1920 in the towns where T#thrd;-i;il"
ir igq1.+ Permissions for construction

wells and huts should r.a"ii.t,O" if S and 220 of Andhra Pradesh Municipalities
t.
-tt"iiorr Act 1965 no
Act 1965 respectively. "Ut.iJ
Uta"' Zll of Andhra Pradesh Municipal
or reconstruction
construction i"iij.g shall belakan up until and unless commissioner
the
the applicant
has granted permission ro,
"r " oi tfie *ork. The A.pplication submitted by
"*Juiioi- pradesh rvlunicipaliies Act 1965 shall be scrutinised by
under section 2og to 22j of tlre Andhra
i'e documents eic" are in conformity with the
the T.P.S/T'P.B.O. wether alt the enclosures 'oians
in Annexure (A) dutv insP€ctins
G:l!A
requiranants laid down t'
'#;;i#il;#;
,tl,ii" p"**"ffy and to be tun"iion"d *im reference to the
following'

be verified that
in.prescribed proforma are to
l. Whether the particulars given in application i.e site plan, topo plan' section"
are drawn u[
iffit;'ff;;;"tntng aa"iir
the ptans the
S:]il'HN". ipilN;. tf,"-tig,otut" of the applicant and
elevation including ^a
licensed SuweYor etc'

2. whether the ownership of tho site *d:' 3Yi:: lrffffiH,T:Hfol'"'IT.il* ""

Approacn
plan or occupied with any encroachment'
use
ml::be thorougNy verified' the-land
3. Whether it falls in G'T'P' Scheme/I'C'R'A:'- land uses and shall be
with reference to regulations' p"tti"iif, i"
'iv-ro.a"*l'""
'oning "t"'
p"-#rru" authority or permissible on
checked up *h",h.'lf";r"#;;il1
aPPeal to comPetent authoritY'

: shall be kept in mind during scrutiny of Building

4. Building Rules:4,12,15 and 16
Applications and to i'ake *ii"t *f i"t' are made against the rules'
dated 3l'7'98 in the
5. And must be checked up with reference to- G'O'MS'N o' 422'M'A
parking 20 Sq' Mtrs' &
of t"tbJ''"o'"rage of plot'F'S'I' p*il;;'i;'; car
orovision
Ln" ,.oot"' Putking 2 5 Sq'Mtrs )

178
 6. Fees: As per schedule of rates, B.L.F and Rain water harvesting
fee as per
G'o'Ms.No.350 M.A', dated 9.6.2000, tree prantarion fee, security deposii
at the rate'of
Rs.25l- per Sq.Mt.

7. In Layout site: Sites effected for in widening portion shall be handed over to
the
municipal authority before releasing plans through a regisrered gift deed.

5.1. Building Rules :

. The Building Rules are made under A-ndhra pradesh Municipal Act 1965 in schedule III
and are applicable to all the municipalities. The book ,,Building
Regulations r"i iffi
Health Living" published by Direcror
9f
useful guide to all the Town pranning Staffro* pranning is a simile,
"understand ir ""a
"*pt*uto.y-irij,r".y
members to the applicability of Bu ding
Rules.

. The following are some of the important rules which shourd be kept in mind during the
scrutiny of building applications and to take action on the buirding
which are -uJ" ugulrJt trr"
rutes-

Rule 4: with-holding permissions in case there is no sufficient crearance as provided

in
the rule in between the building and electric lines.
Restriction of height of buildings near Aerodromes as provided in the
rule.
Rule 5: Site approvals - Sites in which constructions are permi'tted _
Religious buildings.
Rule 6: Foundations
Rule 7: Basement. It shall be minimum 0.05 Mt. Above ground or site / road level.
Rule 8: Superstructure - Walls, floors and roofls.
Rule 9: Space around buildings and height ofbuildings.
Rule 9(2xi)(a): No building except plinth, steps and other similar structures not
above floor. Ievel and compound wall not exceeding 2.00
M height, should be
allowed with in 1.50 M of the boundary of street. (f,om
side). In-case of towns
covered by G.T.P. Scheme the front set back may vary
according to width olthe
ahrrtting 162aL

4ulc 9(2.xi)(iii) : when the site is away from the street the front set back shourd
be halfof the height of the building andshalt not be less
than 4.00 M.
Rule 9(?)(i) : Height of rhe building shourd not exceed
one-and-a-harf times
widthif the abutting streetplus open space provided in front of the building. the
Rule 9(3!(i) :-No building shafl have rno."ih- four
floors incruding grorid floo.
and total height shall not exceed 15 M.
Rule 9(4) ; Open space to be provided in the rear side
of the building i.e., 3.00 M
avcrage width.
P.oni.on-of building rhar c8n be permitred in the rear open
*!F*9!
Kulc 9(6) : Well, [^strine and orher building
spacc.
nor intendei for human habiration
that caa be permind in the rear open space, which should not exceed 25oh of rhe

179
 rear open space aree and height of such structures should be,restricted to glound
floor only.
Rule 9(7i : One third of the area of the site of Office, Schools, Factories, Work
places
-schemesetc., should be left open to sky. In case of towns covered by G'T'P'
the coverhge is required to be regulated according to G.O.Ms'No'584
M.A., Dated 28.5.1987.
Rule 9(9) : ConsEuctions should not be allowed to reduce the open spaces of the
adjacent building ofthe same owners as prescribed under the rules.
Rule l0: Minimum heighi to be provided for habitable rooms, both rooms, W-Cs and non
residential buildings.
Rule I l: Minimum size of habitable rooms, bath rooms and W-Cs.
Rule 12: Lighting and Ventilation to be provided in the Buildings.
Rule l2(2) : e, op"n space equivalent to one founh of height of the building should be left as
op",r-.pu"i adjacent to the Windows & ventilators to ensure required natural light
and Ventilation.
Rule 15: Stair cases and lifts to be provided in the buildings having more than one floor'
Rule 16: Special Rules for Huts.

Appendix 'A' to the nrles prescribes the proforma for building application.
Appendix 'B' Proforma of application for Huts.
Appendix'C' Requirements of site plan.
Appendix'D' Requirements of Building Plan
Appendix'E' Particulars of specifi cations.

Any person who can not comply with the building rules or to site condition, size of plot
etc., can submit application to the Govqrnment through the Municipal Commissioner, Director
of
Town and country Planning for consideration of relaxation / exemption subject to payment of
penal amount.

5.2 Basic Scrutiny of Building Applications by the Municipality

(a)Theapplicationsubmittedbyanapplicantundersection20gto22ToftheAndhm
' ' Pradesh Municipalities Act i965 Chipter XII of the Municipal Corporation Act and
Chapter of the indhra Pradesh Urban Areas (Development) Act, 1975, and the rules,
,"guiotionr and the byeJaws framed there under shall be scrutinized by a Town Ptaming
as the
Sripervisor / Town pianning Overseer / Section Oflicer or Junior Planning Offtcer
.ur" ,nuy be, whether all thi enclosures, documents, plans etc., are in-conformity with the
.equirements laid down in the application form as prescribed in Annexure-A. of the
building rules, together with detaifu of site plans and building plans' specifications of
building materials and structural designs.

(b) lf any informarion is lacking, or if the proposed building would violate building rules.
zoning rcgulations, layour rules and conditions, Town Planning Scheme conditions other
L",rrs or condirions spccifically applicable to the csse the application should be returfled
for the reasons ro be state in dlrail'within a week's time positivcly under the signaturc
of

180
 the Municipal Commissioner or any other officer to whom the powers are delegated by
the Municipal commissioner. A copy of the order sent to the part marked to the outdoor
Town Planning Technical Officer concemed so as to keep a watch about the possible
starting of the constuction, unauthorisedly,

O) It should also be ensured that the Licenced Surveyor has &awn the plans in accordance
with rules in force.

Checklist - I
Check List for Scrutiny of Building Applications, in Towns Falling within Development
Area of the Urban Development Authorities.

l. Scrutiny ofapplication forms

2. Whether all the fees have been paid, and challan enclosed.
3. Land use with reference to the Master Plan
4. Whether any area is effected by any of the road widening schemes.
5. Whether relevant building regulations, building rules, bye-laws, layout rules and
Zoning Regulations are complied with.
6. Whether the approval is within the puwiew of the powers delegated by the Urban
Development Authority to the Municipality.
7. Whether the site is covered by any approved layout ifso No. and date.

Checklist - II
Check List for Scrutiny of Building Applications in Town having Sanctioned Master plan
(including draft master plan)

l. Scrutinyofapplications
2. Whether all fees have been paid and challan enclosed.
3. Land use with reference to Master Plan (G.T.p. Scheme)
4. Whether any area is affected by any ofthe scheme for road widening.

5. Whether relevant zoning regulations are complied with.

6. Whether all building rules, and layout rules have been complied with.

.
'7
Whether the site is covered by any approved layout if so, No. and date.

l8l
5.3. General Procedure for obtaining buitding permission in Munlcipalities Falling in
UDAs and Non -UDAs ( as per Go'Ms.No-4Z2 and 423 MADL'31-7-1998 )

Individual Residential Buildings upto 100 m2 Plots, 10m Ht. (G+2):

In approved layout or subdivision by competent authority or plots allotted by Housing

eoard, Housing Corporation, patta issued by revenue department and registered sale deed, prior
to 3l-7-1998 may carry out construction in accordance to M.P.I zDPl zR and building bye laws
and rules duly apply with the local authority by paying necessary Building permission-fees along
with undertaking'that the party will ,uo*d". the affected land in road widening at free of cost
and not violatirg any building rules /bye laws and in case of violation the concerned
municipality
-...or" the deviated portion at party's cost with out any prior notice. The
"* is valid for 3 years and party shall produce the building completion certificate
approral
building'conce*ed
to the municipality. Party can also obtain building permission from concemed
municipalities.

Time Limit for disposal of Building application: 15 days

Individual Buildings upto 300 m2 Plots, 10m Ht. (G + 2 no stilt)

Site should be part of approved layout/ Sub-division permitted by competent Authority.

Petmission from qualified architect/engineer/Town planner/licensed s]trveyor may be

obtained. But the construction may be comirenced after filing plans with the concerned
municipality along with drawing apiroved by licensed technical pe6onnel along rrith_building
permit fee.i.S. {ecord (Vide N4r,no tto.t 1ZSA,{l/99 D1 5.7.9 of Prl.sec. M.A.& U.D. Dept ,
is not
bovemment of Andhra pradesh. Of A.P. " The Memo No.20548 lullg7 M.A.,DI:21.09.97
document,3opy gf aqnroved
applicable for the plots /prernises is being redeveloped'), registered
layout /subdivision und a., unJer taking 6at the party *ill sott"nao fte land effected under road
, ,iadng if any free of cost and in c'*e -y ,iolaion is found in constlction the concemed
municipllity shall take action on the same violated constnrction without issuing prior notice on
o*o"." The building permit is valid for 3 years and party shall nroducg the building
completion"ort.
certificate to thi municipality. Party can also obtain the building permission from
the
concemed Municipality.

Time Limit for disposal of building application: 30 days

For (G + 3): RDDTCP technical approval is required for Municipalities not covered in
UDAs

Above G + 3: DT&CP, A.P. technical approval required for Municipalities not covered
in UDAs

For all other types of residential Non-residential buildings permission of competent

authority is necessary.

182
 Note: If it comes to the notice of the local authority that approval of Building
application is drawn in violation of M.P./ z.D.P.lz.R., Bye-laws and rules, plot
dimensions not tallied with ownership documents or mis-represented by the
technical person the licence will be liable for cancellation.

^ 5.4 Floor Area Ratio (FAR), Setbacks, Parking and Building re{uirements : (as per
Go.Ms.No. 422 and 423 MA Dt., 31-7-1998 )
A

The following tables give a logistic information on FAR, Setbacks, Parking and Building
requirements at per Go.Ms.No.422 and 423 MA Dt., 3l-7- 1998 .

A , Floor Area Ratio - Table I

Setbacls -Table2
Parking - Table 3

Building requirements For Factories / Industries in Municipal

Corporations, and Municipalities area falling in all UDAs - Table - 4

Building requirements For Factories / Industries

Municipalities not covered by UDAs - Table -5

A.

183
 Table -l Fl,oor Area Ratio (F.A.R) as per Go' Ms.No' 422 artd 423 MADt3l'7-1998
Othcr Municipalitics in G.P's in UDA'S Mumcrpalitrcs not covered ln UDA
HYD, VSP MC and Municipal
Gaddiannaram G.P Corporations IJDA,HUDA,KUDA,
VI,'DA,VCTUDA &
SSSLTDA
wi.lrh in m
R 62.1 width in m tm width in m Road width in m
Plot Max Ma Max
size
Upto t2 Above
Max
upt t2 Above Upto 12 Above Uplo 12 !o Above kss Ht itr Individu Max.
in m2 Ht Ht xHt t2 IE IE
Ht in than m al Covcrag
t2 to t8 o12 lo l8 t2 to IE
in M
in in 12m Resi.ht
l8 l8 M
IE
M
M inm
Upto 50 1.00 t.25 1.25 l0 1.00 1.25 1.30 l0 r.00 t.25 t.33 l0 1.25 t.25 r.33 l0 t.25 ll I1.00 no Upro 30O
no no no 'no Stilt m' Plot
stilt Stilt Stilt Stilt area
60v.
5t-75
76 - 100
12 to 301 to
l0l 150
18 m 670 m2
1.50 r5 500h
l5l - 200
l.l0 l5 l5 t.40 1.50 1.60 t5 >18 Upto
201 300 1.00 r.25 1.33 l5 1.30 1.40 t.25 r.33 1.50
m 2000 m2
301- 1000 t.00 t.25 l.33 l5 Ll0 1.30 1.40 l5 t.25 l.l3 1.50 l5 1.40 1.50 1.60 l5 1.75 l5 l3 4oyo

t.25 l.,lo 1.60 1.33 1.40 L60 1.50 1.60 1.70 - Pcrmissiblc excess FAR individual
t00t- t.25 L33 1.50
2000
buitdings l57o (Garage,servant room
Above t.25 l_50 t.'15 t.25 t.50 1.75 1.40 1.50 t;t5 t.'15 l.t5 2.W (3x6x2,5) 20 m2 in rear open space.
2001
- Balcouics l.2m for 4m
setbackl.5m for 5m setback,l.Sm
"tltt for 5m sctback, staircasc)
- For individual residential bldgs l3m and Do stilt
- Group Housing and partmcnts:30olo
- For GtVApts plots of450 m2 and abov€ max.bt l8m with no still
- ComerciaV Institutional: 35oZ
- eddition i,ti 0.5 will be considcred whcn land affectcd in road widcniag is sunurdcrcd free ofcost.
- AC plant room, Electric Trarsformr, Pump house, watchnan booth, ga6agc shaft, corridor, staircase, lift blocks, balconies, one set of
toilet of l.2m x 2m in stilt floor are exempted from FAR.Pa*ing rcquireme fulfiued if lotal stilt floor left for perking use cxccpt
staircase and lift.
The Govemmont or any authority have no powers hcreafter to rclax any Bite Aom thc provision of bldg ctipulations cithcr in pan or the
total.

184

))) ) )))) )) )>) t )) )) ) ) ) )) ))))))) ) )) ) )

) )) ))))) )))) )))) ))) ) ) ) ) ))) ) ))) )))) )

Table -2 SET BACKS IN m as per Go. Ms.No. 422 and. 421 UA Dr i I -7- l qqR
Non- UDA Areas
G.P.s
Plot Size in Individual Buildings Grouo Housinc A Daftnents (Five + Multinle Dwalliro t lnir.)
m7 Front Rear Side Setbacks around thc Uldg. UOes ,lon UDAs Area

Upto 50 0.7 5
Stilt + 3

3 m upto
1000 m'
Abutting
road
12 m
ffi 335 ro 670 m2 % ofBuilding
3m 3m beisht
5t-75 1.00 1.00 0.5 4al 12 - 18 road 6't I
1000 - 2000 m2 4m 4.5 m
76 - 100 t.25 1.00 0.5 5 n abow
l00t m2 plot
l0l - t50 r.50 2.00 1.00 Stilt + 5
4m/1000m2
l5l - 200 2.00 2.00 t.25 5m/
l00l - 2000 m2
201 - 300 3.00 2.00 1.50 - Minimum plotarea+so m'uio.o@Max F.A.R.:Refer F.A.R
Details.
301- 1000 Abutting 12 m Road - Dislance Block to Block : % ht of Block
- No height resriction on th€ construction of the buitding for ptot area above I 000 m2
3.00 3.00 % plot width - Tot lot: Plot upto 2000 m2 5% plot area and 2000 m, iOy" ofptot *"u.
- Toilets: 1.2 x l.2m pcrmiued in stilt for non-uDAs Max.ht l8m including stilt abutting l2m wide
12 - l8 m Road
Abuttins road, l4m ht includiag stilt abutting less than l2m wide road.
6.00 3.00 % plot width - Securitv Deposit: ASD in caslr/ Bank guarantee or FDR pledge with locat authority payable.
Abutting above l8 m road width - Municiprl Corpontign rrea: Rs. 100/m2 Builr-up area
- IJDAs Aree: Rs. 50/m2 Security Deposit refundable affer submission of occupancy cartificate
l00l - 2000 6.00 in 3.00 % plot width
UDAs
4.5 for
Non UDAS
Note;(I)NecessaryclearancefromFireServiceDept.,Nationl,e'irpo@
I8m stand from provision of multi storied building rcgulations.
(2) Evcry group housing/Apanments and Commcrcial Complex/ Institutional Bldgs. Shall bc provided with the required facilities
and infrxtructure for conservation
and harvesting of rain water percolation pits of size l.2m width X l.2m long X 2m to 2.5 m depth oR Trenchei of size 0.6m wide
x 2 to 6m Long x 1.5 to 2m depth
is compulsory as per G.O.Ms.No.6l I M.A.M.A.&U.D.(Ml) Depr.] dt.26_10-99

185
 Table -3 PARKING (GROUP HOUSING/APARTMENTS IN STILT FLOOR)
Car Scooter

Area of Flat Extent Required

Authority Ar* of Ft"t Extant requirgd

20 mz l2Flats Upto 40 mz 5 Scooter/ 6 flats

Upto 100 mz
Municipal Corporation
Above 100 m'z 20 m2 I I flat 40 to 60 m' 3cooter/4flats

Visitor Parking 20 m'l loflats 60 to 100 mr I scooter/2 flats

Visitors I scooter /5 flats

Upto 40 m2 area of flat 20mzt4flats

Other areas
UDAs 40 to 60 m2 area offlat 20m2l3flats
oo to ioo m' area offlat 2orIl l2flats
Above 100 mr 2orI2 l2flats

Selection/Special Grade bne Car 20 mz + 2 Scooter / Additional one car marking

2 flats (20 m2) for every l0 flats
Municipalities
for visitors
I ,ll and III Grade Onecar(20m)+4Scooter
Municipalities for every 4 Flats

186

) ) ) ) ) ) ) ) ) ) r, ) I ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ), ) ), )
A
A

Table J BUILDING REQUIREMENTS

For Factories / Industrial (Min Plot area 450 m2 )
Municipal Corporartions, and area falling in all UDAs
As per Go.Ms.No. 423 M.A Dt.3 I -7-l 998 Set Backs
Size of the Plot in m2 Min Plot Max Max Front Rear Sides
Size in m2 Coverage FAR

Upto 1000 450 s0% L00 6.00 3.00 r.50

1000 to 5000 40% 1.00 9.00 3.00 3.00
5000 to 15000 35% 0.75 9.00 4.s0 4.50
Above 15000 40% l.s0 6.00 3.00 3.00
Flatte.d/guild type 40% L50 6.00 3.00 3.00
Parking :20 m2 I 2oo m2 Above l0 m ht bldg. Add lm
setback all sides for every 3m
increase of blde. Ht.
Educational Buildings
Nursery School 800 40% Refer 6.00 4.50 4.50
Primary school s000 3s% relevant 9.00 6.00 6.00
High school 5 Acre 3s% floor
area
o
ratios
A ?arking :20 mz / 100 m2 builrup area - for auditoriums 20 m2 / 30 seats
INSTITUTIONS MEDICAL / ASSEMBLY /
PUBLIC BUILDINGS AND PUBLIC OFFICES
Below 500 6.00 4.50 4.50
(office Buildines)
Below 500 9.00 6.00 6.00
(other buildines) Refer
500 - 2000 50% relevant 6.00 4.50 4.50
(office buildines) floor
A s00 - 2000 area 9.00 6.00 6.00
(Other buildines) ratios
Above 2000 40% 6.00 4.50 4.50
(Office buildines)
Above 2000 9.00 6.00 6.00
A (other building) Above lOm ht bldg.add lm setback
all sides for every 3m increase of
blde. Ht.
Parking: For Medical 200 m'l for 20 bedi -
COMMERCIAL AND MERCANTILE BUTLDINGS
Upto Abutting 12 m road 3.00
Abutting 12 to 18 m Refer 4.00 1.00 0.50
Road relevant
Abutting above l8m floor 6.00 2.00 1.00
road area
200 to 300 ratios
Above 300 Abutting l2 m road 3.00 3.00 %thof
Abutting 12 to l8 m 4.00 3.00 Plot
Road width
187
 A\

A
Size of the Plot in m2 Min Plot Max Max Front Rear Sides
Size in m2 Coverage FAR A
COMMERCIAL AND MERCANTILE BUILDINGS At
Above 300 Abutting above l8m Refer 6.00 3.00
road relevant A
FAR
Parking 20 m2 for 80 m2 on built up area Above lOm ht bldg. Add lm A
setback all sides for every 3m
increase of blde. Ht. A
itted on road wiqths not less than l8m
Al
U - Type s00 1.5 1.5
Commercial complex 14.
Shopping halls 2000 40%
A

r-\

A.

a
,-l

A
Ar

.4,

,\
rit

-
A

A
Ar'

,it

188 A
At
A
A
A

Table -5 BTIILDING RE QUIRBMENTS

For Factories / Industries in
Municipalities notcovered by UDAs
As per Go.Ms.No 422 M.A Dt.3 -7-1998
Type Min Plot Max Max FAR Set Backs
size in m2 coverage Front Rear Sides
Upto l2m wide roads
Flatted or Guild 1000 40% 1.5 3.00 3.00 3.00
Factory 12 to 18 m wide roads
4.50 3.00 3.00
Upto 1.00 Above l8 m wide Road
Other industrial 5000 25 to 50o/o 6.00 3.00 3.00
buildings Above 0.75 6.00 3.00 3.00
5000
Parking : 20 m2l 200 m2 built.up area
PUBLIC and SEMI PUBTIC BUILDINGS

Central and State Abutting 3.00 3.00 3.00

Offices, 60% upto less than
Defense Usages, 500 670 mz l2m road
Research & 1.25
A Medical (Minimum 50o/o for
Institutions and width of 6',7t to l2m to l8m 4.50 3.00 3.00
A Hospitals, plot shall 2000 m2 l.s0
Stadiums, be l6m) 40o/o for
Museums, above
Swimming 2000 m2 More than 6.00 3.00 3.00 or
Pools, m
18 1.75 ll4th of
Educational
building
Institutions,
height
A Petol bunks
without servicing
A

Assernbly 1000 As above

Buildings, (minimum
Cinerna width of
A Theatres, plot shall
Auditorium, be 30m)
Petrol filling
stations with
service stations

Parking : 20 m2 / 200 m2 built-up area

For all above mentiorred categories more tharr iOrn irt bldg. Add im setback aii sides ior every
3m increase of bldg. Ht.

189
6. Processing of Installation Applications

section :
The A.P.M.Act, 1965 provides the scrutiny of installation applications ,und-er
209 and 2ll and section 220 & 221,264 and 268 and also under section - 14 0f
A.P.T.P Act,
particulars along
1920. The installation proposal shali accompany with the following required
prescribed for
council resolution duly paying the requisite fee as per "Licence fee" already
each municipality.

l. Site Plan: drawn to scale showing the boundary of the site proposed constructed
with
apartment open space and how it is connected to existing roads'

2. Topo plan : drawn to scale showing the location ofsite along with the surrounding
development and their uses within 100 Mts' radius

3. Detailed building plan of the factory or workshop showing the machinery and

particulars of machinerY.

partnership deed'
4. Copy of ownership document / Registered lease document /

5. Challan regarding payment of fees for the amount paid in Municipal Treasure

pertaining to Building & Installations'

6. F.M.B. copy of site under reference

onreceiptoftheapplicationstheLocalAuthorityshalltakeactioneithertoaccord
permission / retusal / f;;;;ili."d particulars if-any in siputatea t:'::P-:f1:-o:"iAs'n"ll per
"ull
obtain the approval of Inspector of Factories, A.P. Pollution Control
Board clearance.
the installation unit shall be
G.O.Ms.No.335, dt:16.9.93 the minimum *idth of th" road for
12.20 mts. Or 40'_0,, *iae. ln or Draft Master plan towns formally approved_ by the
"*"
-pii""toi
Government/pendingwitrrcouemment,theinstallationproposalsshallbeforwardedbythe
Municipal commissioner to tt of Town and Country Planning for.scrutiny with
"
referencetotheDraftr'a*t.'pru"p'oposals.WhereasincaseofsanctionedMasterPlan
towns industrial areas are rp*i-nJfi with clear direction mentioning the type &
",irtarked
specifically.martioned in Zottni',g Regulations
ii";;p"*; to be permittd ii-"u"f,i",.g".y also be scrutinized, duly following
issued by the Government. fi" i*Ai"ti"l proposuts shall
under section 264 and
the standards of G.o.Ms.No.4ii, a,,sl.l 's8' As pet A'P'M'Act' 1965
359, the Municipal Commissioner can issue notices unauthorized
industries'

mentioned
Inof sanctioned I.C.R.A' towns' the industrial areas are sPecificallY
case
are issued bY the
with schedule and type of industrial and Horsepower to be permitted
Municipal Commissioner.
procedure to be
the installation falls in Master Plan areas, the following is the
Il
adopted for scrutinY.

proposals in the
l. The width of the access shall be examined with reference to the
Masterplan,ifnottheroadwidthshouldbewidenedsufficientlybyeffectinglhe.road
after that building
width equally on either side of the road as per Master plan proposal
line shall be fulfilled.

r90
 2. The land use of the site may be verified with the help of F.M.B. sketch and also verily
he Zoning Regulitions whether the proposed use is permissible by the Municipal
commissioner itself or shall be forwarded to the competent authority or n.t
permissible?

The concerned staff inspect the site under reference and submit detailed report to
higher authorities duly fulfilling the details in a technical data sheet (copy enclosed) withour
any omissions given in the sheet for necessary further orders.

The fees and charges prescribed by the Local Body shall be collected for clearance by
the local bodies and also mllect levy of licence fee for grant of permission for manufacturing
plant vide G.O.Ms.No. 16, dated 10. L96.

In comection with Panchayat areas for establishment of industries (i.e.,) road width,
setback and coverage should be verified with referencs to Go.Ms.No.335, dated 16.9.93 antl
for grant of permission for construction of a building vide G.o.Ms.N o.345 p.R.dated 2j.7.72

7. Action on Unauthorised Constructions:

Statutort Notices and Actions on un-authorised developments.

7.l Under APM A4 1965 - as provided under Section 217, 228 and,340

As per Section-230 of the APM Actl965, the building rules are embodied in
schedule-Ill and rhe same are part of the Act. Under the provisions of Rule-2 every
person who intended to construct a building shall submit an application in a prescribed
format duly enclosing site plan in triplicate and proposed plans of the building in
triplicate duly showing the plans, elevations and sections as specified in Appendix-D
to the Building Rules and also the plans accompany the proposed specifications in
triplicate as per the requirements specified in Appendix-E of the Building Rules. The
application and as well as the plans shall be signed by the owner, andalso by the
licensed technical person. under section-209 of the A.p.M. Act
-
1965 the owner of
the site shall submit an application to the commissioner and under the provisions of
Section-2l4 the commissioner may grant or disapprove the building pennission for
the reasons recorded. within 60 days from the receipt of the any building application,
if the application is not disposed the same shall be treated as deemei 'have been
approved, but not show as to contravene any of the provisions of the A.p.M. Act and
rules made their under. The general requirements of the buildings are of the same as
National Building Code.
,
7.2 Under HMC Act, 1956
(i)
Notice and action under section 461 directing the person who is doing un-
authorised construction to stop the construction immediately.
(ii)
To direct the police officer to remove the person who is carrying the un-
authorised construction to be removed from the site.
(iii) To recover the cost incuned on removal ofun-authorised construction.

l9l
l. Notice and action under seclion 452.

(i)Todirecttheindividualwhoiscarryingtheconstructioncontinuingtothe
provisions of the Act or ByeJaws to shorw cause why the un-authorised
construction cannot be removed, altered or pulled down or
(ii)Directingtheconcemedtoattendpersonallytoshowsufficientcausewhythe
building and work should not be removed, altered or pulled down'
(iii) If such person fails to show sufficient cause as required the commissioner may
."*or", alter or pull down the building and work and the expenses thereof
shall be recovered from the said person'

2. Notice and action under section 636

WorkorthingdonewithoutpermissionoftheCommissionertobedeemedtoun.
authorised:-
down
(i) Notice to owner such that the un-authorised construction removed' pulled
or undo within the stipulated time.
(ii) If the owner does noicomply, the Commissioner may remove or alter or undo
theun-authorisedwork/thingandexpensesincurredthereonberecoveredfrom
the owner.

192
 16. LAYOUTS IN URBAN AND RURAL AREAS
lT.Layouts Delinition:

Placing the things in a planned manner on the land is called layout.

The most important tool in realizing the Master Plans/ Development plans is the
layout rules. Road and drainage network, land use, type oldevelopment, density patterns,
basic and social infrastructure are achievable through layout rules.

Layouts help in achieving the desired road net work, linkages, desirable urban
forms and designs, density pattem, cityscape, Infrastructure relating to water supply,
drainage, power and communications, social infrastructure in the form of avenue
plantation parks and play grounds, schools, community Halls etc., and above all healthy
and safe environment with organised neighbourhoods.

ln order to avoid vast areas in cities and towns developing as unauthorised and
slums, town plamers, Administrators, Engineers have to strive for encouraging layouts.

l7.l Processing of Layout Applications

Layout is an essential plan indicating the sub-division of large chunks of open

land, details of type of future dwelopment of a particular land with reference to the set
norms and also with reference to the Layout Rules, 1970 which clearty specifi the norms
for the layout and the procedure to be adopted. Number of Government orders and
cfucular instructions ofthe Director of Towns & Country Planning, A.p., Hyderabad have
been issued from time to time as guide lines in addition to the specific provision in the
A.PM Act 1965 and Layout Rules, 1970.

17.2 SECTION-l84; OF APM, ACT, 1965

Agricultural land owners obligation to make layout to form roads before sub_
dividing and disposing land as building site has been covered under this section.

Agricultural Land:- Generally all land other than building sites, Gramakhantam etc.,
are agricultural lands as per Revenue Records. Revenue classification have to be taken
into consideration to decide whether the land is agricultural or not. Earlier some
Municipalities entertained certificate from Tahsildar/MRo, stating that the particular land
was non-ag:icultural land and exempted from payment of conversion lee which is not
correcl. Generally conversion fees have to be collected for all vacant sites meant for
layout.

193
 :

17.3 Conversion Fee:

Conversion fee have to be collected at the rate not less than 25 paise and not
exceeding Rs.l/- per sq.m. of the total area ol the layout site. The Govemment in
G.O.Ms.No.l l5 M.A. dt. l0-2-69 have directed to fix-up zones in each Municipality for
the purpose of collection of conversion fee basing on the proximity to
infrastnriture/facilities at the rate of 0.25 paise, 0.50 paise and Rs. 1.00 per sq'mt. Each
Municipality has to adopt such rates and publish/notification for the purpose of collecting
convenion fee for different uses viz., Residential, Commercial and Industrial sites.

Conversion fee once remitted can not be refunded to the applicant even if he
withdraws his layout application, as per Govemment order in G.O.Ms.No.68 M'A', dated
3t-t-1992.

17.4 Essential Requirements of Layouusub-divislon and when permission for

construction ofbuildings can be granted on such sltes.

l. There must be an existing access to the layout site and site should not be a
water logged area and suitable for development and should be desigaated as
essential use zone in the GTP scheme/ICRA.

2. Roads must be formed with minimum width specified duly providing access
to all the plots (except where the sites about to existing road)-

3. Reserved open space of l0% of total area of the layout site is to be provided
for public purpose at a suitably place.

4. The plots size must satisry the minimum prescribed under rules'

5. conversion fee must be paid.

6. Security deposit @Rs.3/- per sq.m for the gross area of the layout either in
cast oi gar* gr*Lt"" or in the shape of mortgage of part of site whose value
should not be iess than the amount of security deposit should be fulfilled'

'7. If covered in G.T.P. or I.C.R.A., location of site with reference to F'M'B'

(Field Measurement Book) extracts must be enclosed.

17.5 Procedure for submission of layout application, processing and sanctioning

under section 185 of AMP Act, 1965.

l. The layout application as prescribed along with plans should be submitted by

the peison iniending to make a layout and form new road to the Municipal
Commissioner.

t94
 2. The layout proposal should contain the following:-

(a) The level, direction and width ofroad,

(b) Building line.
(c) Arrangements relating to leveling, paving, metalling, flagging,
channeling, sewering, draining, conserving, street lighting of roads
and provision of water supply mains.
(d) Reserved open space of l0%o for public purpose.
(e) Certificate regarding payment ofconversion fee.
(0 Security deposit in the form of cash payment or mortgage ofland
or Bank guarantee in favour of Municipality for the purpose of
fulfillment ofobligations on the part of layout applicant.

17.6. LayoutsScrutiny :

After inspecting the site under reference, the proposal shall be scrutinized in
conformity with the layout rules for provision of size of plot, width of road and l0%o open
space for public purpose.

L Whether there is any drain / channel / water course / electric lines / telephone
line passing through the site, if so the same has been shown in the plan.

2. Details of approved layouts (i.e.,) which are falling within t0OMts. radius
must be shown with approved layout boundaries.

3. Whether the site is accessible through an established existing road

4. Whether the site covered in sanctioned G.T.P. Scheme,then the site under
reference must be located with reference to F.M,B. sketch duly superimposing
on base plans as well as in Master Plan, so as to locate any Master plan roads
passing through the site shall be carried out in the proposed site.

5. Certificate regarding payment ofconversion fee.

After scrutiny of the proposals, the technical staff of T.P. Section must submit a
detailed technical report specifically on above mentioned points.

11.7. (a) On receipt of layout application, the Municipal Commissioner may call for
additional particulars from the applicant or forward the proposals to the DT &
CP within 15 days. If further particulars are called for by the Municipal
Commissioner, the applicant shall fumish the same within l0 days and the
proposals with full particulars shall be forwarded to the DT & Cp within 15
days from the date ofreceipt of further particulars.

195
 :

(b) The DT & CP within 60 days liom the date of receipt of proposals in his office
shall forward his recommendation with conditions for sanction ofthe layout to
the Municipal Commissioner.

(c) The layout can also be re,commended for refusal by the D.T. & C.P. and the
reasons for refusals must be recorded in writing.

17,8, Reasons for refusal ofany layout application:

(a) If the layout proposals are contrary to the general Town Planning Scheme or
GTP(MP)/ICR Areas.

(b) If the roads are not in conformity with the layout rules.

(c) Ifatleast one ofthe proposed roads is not connected to the existing road which
is already open.

(d) If l07o reserved open space is not set apart in the layout.

17.9.(l) No person shall make a layout without sanction of the Council or in

contravention to the approved layout. During the period, when further particulars
are called for, no steps should be taken to form new roads and demarcate plots or
disposed.

(2) If the layout application is not disposed off within 60 days from the date of its
receipt or receipt of further particulars as called for, then the layout is deemed to
have been sanctioned in accordance with provisions ofthe Act.

17.10.

Wherever any land owner makes unauthorised layout or sub-division of sites for
building construction or utilises, sells, leases or other-wise disposes of such land or any
portion there of, as sites for construction of building, the Municipal Commissioner can
issue notice u/s. 184 read with 360 of A.P.M.Act, 1965. If directions issued in the notice
are not complied with such land owners have to be prosecuted for the offence under the
provisions of the Act.

General the stones erected for unauthorised sub-divisions are removed by the
Municipality, once the unauthorised sub-divisions are detected.

Prompt action has to be taken to check the unauthorisei sub-divisions and a

register should be maintained by the Town planning staff in respect of unauthorised
layouts and sub-divisions. The Director of town and country planning in his circular in
D.D. is. NO.l453l/76-d5, dated l6-ll-67 and 17465168-d5, dated 29-ll-68 has

196
A

instructed regarding prompt action to be taken on such cases and a register to be

maintrined in this regard.

The provisions concerning carious aspects of layouts in Municipalities,

Municipal corporations and Grampanchayat areas, are tabulated below in table t7.I l

t97
 T 7.1 T. LAYOUT R(ILES _ GR,4M PANCHAYATS , MUNICIPALITIES AND MI]NICIPAL CORPORATIONS
ININDHR,4 PRADESH

SL. DESCRIPTION GRAM PANCHAYAT MUNICIPALITIES MUNICIPAL.

NO.
.,
I 3
a) Rules relating to Rules issued in G.O.Ms.No.377
I
approval oflayout P.R. dt. t2.10.73
Under section 217 of
A.P.G.P.Act.,l964 ( Section 268
ofA.P.P.R.Act 1994)
2 Owners obligation Owner of any land shall before he
to make a layout utilises, sells, leases or disposes of
such land for construction make a
layout - Rule 3
J Particulars to be A written application with Plans
submitted along and section showing the following
with application particulars namely:
l. The intended level of direction
and width of the street.
2. The Street alignment and
building line.
3. The arrangements to be made
for levelling, paving,
metalling, flagging,
channelling, sewering,
draining, conserving and
liehtine the street.
4 5
Orders issued in G.O.Ms.No. 62
M.Adt.28. l. I 970 under section
185 of APM Act
Owner of any land shall before he
utilises, sells, leases or disposes of
such land for construction makes a
layout (section 184 (2))
A site plan in quadruplicate signed
by the licenced surveyor and the
owner to a scale of not less than
l:1000 on a tracing cloth showing
the topo details of the land and
sanctioned layouts within a
distance of 100 metres around the
site and indicating surveY Nos.
within and around the site and
existing roads and buildings,
huts, open spaces, natural water
courses, big trees and Permanent
features which can not be
CORPORATIONS
Rules issued in
G.O.Ms.No.l095 M.A
dt.24.8.65
(section 388 of HMC Act)
Owner has to apply for layout if
he intends to utilise, sells, leases
or disposes of land or position
of the silne or for constructi,on
of anv buildine - Rule (3)
l. Application form duly
signed by the owner and
licenced surveyor with site
plan to a scale of l:500 on
tracing cloth and 2 blue
prints indicating
(a) Contour levels at 50' (15
mts) intervals.
(b) Topographical details within
a radius of 800'.
(c) Existing thermal lines,
telephone lines, water
mains. drainage, sewers.

r98

,))) ) rr) )))) ) r r)))))))) )), l))))))) )

)))))))))))) )))))
The area set apart for public
purpose under clause (B) of the
sub-rule (l) of Rule 3
5 Site plan to a scale of l:1000
6 A non-encumbrance certificate
from Registration department,
copy of title deed attested by
Gazettod Officer.
4 Sanctioning G.P. after receipt of
Authority of layout recommendations of Director of
Town and Country Planning
(D.T.&C.P.) (as under rule 5 (2)
and G.O.Ms.No.480 P.R.,
Dt.28.7.r988)
5 Layout Fees Rs.2/- per 100 sq.ft. or l0 sq.mts.
6 Security Deposit in Rs.l.50 per sq.mtr. under rule 5
shape ofcash or (v) 50% of the estimated cost by
bank zuarantee or the applicant (as per apDendix- "k"
))) )) ) )))
disturbed normally and other
developments if any. A non-
encumbrance certificate from the
Registration department with tnre
copy of title deed.
Municipal Council after receipt of
recommendations of the
D.T.&C.P.
Rs.500/- to Rs.40001- per hectare
depending upon the grade of the
municipality as per G.O.Ms.No.2l
M.A., Dt.5.1.96
Rs.3/- per sq.mtr. as per
G.O.Ms.No.982 M.A. Dt.5. I 0.79
50% of the estimated cost by the
) ))))))))
(d) Where there are no above
lines alternate arrangern ents
shall be indicated.
(e) The direction and means of
street and access from the
existing public or private
street intended level and
widths of proposed streets
with sections.
(0 The position, no., sizes of
the individual buildings,
plots, open spaces with their
extents.
(g) Boundaries of the land
based on survey records and
documents.
As per G.O.Ms.No.l095 M.A.,
Dt.24.8.1 965 the municipal
Commissioner/Corporation aft er
clearance of layout committee.
l% of the land value for the
layout area subject to minimum
of Rs.50/-.
50% of the estimated cost and
50% on plots of equivalent
value will be mortgased in
199
 applicant as per G.O.Ms.No.62 tbvour of corporation.
in shape of in G.O.Ms.No.377 P.R.,
mortgage deed Dt.12.10.1973. M.A., Dt.28.1.70.
refundable
Minimum width of As per G.O.Ms.No.377 P.R dated As per G.O.Ms.No.62 MA As perG.O.Ms.No.l095
7
roads 12.t0.73 Dt.28.1.70 and 528 M.A dt,24.8.65 and 1034 dt.2.12.66
dt.25.9.98.
Minimum road width : 10.00 m Length of Road : Width of Road 0'-0" to 500'-0" :13.00 M.(40')
600 to 1000 mtrs : 13.00 Upto 50 mtrs : 8m cul.dl.sac 501'-0" to
m Upto 250 Mts :12 m(40') min 1000'-0" :16.00 M.(50')
(G.O.Ms"No.405 PR Upto 600 mtrs : l3m l00l'-0" to
dt.s.8.92) 1500'-0" : 19.00
Collectors Street of Exceeding 600mt: l8m M.(60',)
Length of 600 mtrs. : 18.00 l50l'-0" to
m 2000'-0" : 25.00
(G.O.Ms.No.377 PR M.(80',)
dt.12.10.73)
Huts 6.00 m
B)Weaker Section 6.00 Mts. (as per) G.O.Ms.No.5l 6.00 Mts. (as per) G.O.Ms.No.5l 6.00 Mts. (as per)
Housing colonies: Hg.(U&lA7-l) dept. Dt. I s.7.98) Hg (U&lA7-l) Dt. I s.7.e8.) G.O.Ms.No.5l
Heru& I A7- l) Dt, I 5.7.98.)
8 (a) Minimum plot As per G.O.Ms.No.405 P.R. G.O.Ms.No .292 M. A dt.28.5.9 4 G.O.Ms.No .292 M. A dt.28.5.94
size and area dt.5.8.92
a) Organised Housing Huts : 70 Minimum 100 m2 with a min.of Minimum 100 m2 with a min.of
m2 plot width 6.00 mtrs. plot width 6.00 mtrs.
( 7xl0 m) For private Individual bldgs. For private Individual bldgs.
b) Permanent Residential Bldg
(under E.W.S) :96 m2 a) 50 to 100 m2 - Row housing a) 50 to 100 m2 - Row
(8x12 m) minimum width of 4.5mtrs. housing minimum width of
c) Individual Private Huls b) 100-200 m2 semi detached 4.5mtrs.

o
-
200

r))) ) >)))))) ) ) r)))))))) )))))))))) ) )

)) ))))) ))))) ))))) ))))) ) ))) ) )))) ))))

: 80m2 with 6.00 mtrs width b) 100-200 m2 semi detached

(8x10 m) c) above 200 m2 detached bldgs. with 6.00 mtrs width
d) Individual Private c) above 200 m2 detached
Permanent Bldg. bldgs.
: 160 m2
(lOxl6 m2)
b) Weaker Section Under Weaker section Housing Under Weaker section Housing Under Weaker section Housing
Housing programme ( G.O.Ms.No.Sl Hg programme ( G.O.Ms.No.5l Hg programme ( G.O.Ms.No.5l Hg
proglamme dt. 15.7.98 ) dt. rs.7.98 ) dt. 1s.7.98 )
l. Population less than 4 lakhs.- l. Population less than 4 lakhs.- l. Population less than 4 lakhs.-
about 96m2 ( 8xl2 m) about 96 m2 ( 8xl2 m) about 96 m2 ( 8xl2 m)
2. More than 4lakhs - about 60 2. More than 4lakhs - about 60 2. More than 4lakhs - about 60
Sq.m (6x10 m) Sq.m (6x10 m) Sq.m (6x10 m)
3. around l0lakhs 50 to 60 3. around l0 lakhs 50 to 60 3. around l0 lakhs 50 to 60
Sq.Mtrs (6x8.5 mtrs) Sq.Mtrs (6x8.5 mtrs) Sq.Mtrs (6x8.5 mtrs)
4. Metropolitan cities 45 to 50 4. Metropolitan cities 45 to 50 4. Metropolitan cities 45 to 50
Sq.m Sq.m Sq.m
9 Minimum reserved l0 % (as per G.O.Ms.No.405 l0 % (as per G.O.Ms.No.982 MA a) Open space not required for
open space for P.R.dt.s.8.92 ) dt.5. r0.79) cul-de-sac - layouts less
public purpose than 2 acres. in extent
(G.O.Ms.No.l034
dt.2.12.66)
For other layouts having extent
of land of 2 acres and Below:
35oh and for layout for over 2
acres:40oh ( open space and
roads)
l0 Lighting To be carried out by the G.P. as Lighting shall be executed by the Shall be executed by the
per Appndix.K in G.O.Ms.No.377 Mplty.(G.o.Ms.No.62 M.Adt: applicant as per Appendix.A

201
 P.R dt.12.10.73
ll T'ime limit for Maximum 150 days (Rule 5(4) as
approval oflayout per G.O.Ms.No.377 PR.
dt.12.10.70)
30 days or at the next ordinary
meeting-- to place before the G.P.
l0 days -- for submission of
further particulars if necessary
15 days .- To forward to DT & CP
90 days -- To forward the
recommendation of DT & CP
60 days -- To sanction bY G.P.
28.01.70 ) (G.O.Ms.No.l045 M.A
dt.24.8.6s)
150 days (Rule 5(4) as per G.O.Ms.No.l045 M.A.
G.O.Ms.No.62 P.R. dt.26.10.7 0 dt.24.8.65
l5days -- To call for further
particulars if necessary a) To communicate the
l0 days -- for submission of conditions & modifications -
further particulars by owner 60 days
15 days -- To forward to DT & CP b) To give agreement by the
60 days -- To forward the applicant - 7 days
recommendations of DT & CP. c) lapse of application if
60 days- To sanction LaYout bY agreement not received
the Mplty. within 15 days

t2 Time limit for To be specified by the executive I year I year

execution of work authority
l3 Works to be Avenue plantation, roads, under Water bound macadam roads & Laying Asphalt or bitumen
carried out by the ground storm water drains through planting of Avenue trees, under roads, Avenue tress at 50'-0"
applicant proper culverts & to sewer and ground storm water drains through intervals, drainage work both
lighting will be under taken to the proper culverts & to sewer and sewers as well as storm water &
satisfaction of the G.P. as Per the light the areas & to carry out all lighting arrangements as per
appendix'K' the arranganents to the G.O. Ms.No.l095 M.A.
satisfaction ofthe secretary to the dt.24.8.1965
municipalities as Per the
agreement.
t4 Handing over of An under taking in Appendix 'K' The owner of the laYout shall All the roads and open spaces
roads and open appended to G.O.ms.No.377 within or reasonable Period which such as parks and playgrounds
sDaces to the local P.R.dt.12.10.73 shall be eiven by shall mot exceed one year from the earmarked in accordance
with

202

)))))) ))), )) )) )))))))))))))))))))))

))))))) ))))))))))))))))
body the applicant stating to hand over
the private streets or roads after
develop them .to the prescribed
standards and along with the lands
set apart for parks & play grounds
educational institutions or for any
other public purpose to the Gram
Panchayat under clause (b) of sub-
section (2) of section 184 of the
Act (As pr Appendix 'K'
l5 Action to be taken Under Rule - 6 in G.O.Ms.No.377
on failure to PR Dt.12.10.73 if any person
comply with the makes a layout and forms any
layout conditions street or road referred to in Rule-5
without otherwise than in
conformity with the orders of the
Gram Panchayat the Executive
Authority may whether or not such
person be prosecuted under this
rule by notice.
))))) )))))))
date of communication of approval these rules in a layout which is
of the layout under sub section (3) approved by the corporation
of section 185 shall transfer the shall automatically stand
private streets or roads along with transferred to free of cost and
the lands set apart for parks, vest with the corporation free
playgrounds, educational from all encumbrances.
institutions or for any other public G.O.Ms.No.229 M.A., Dated
purpose under clause(b) of sub- t6.02.t994.
section (2) of section 184 of the
act (As per Appendix 'K')
In case if the owner fails to If the work is carried out in
comply with the conditions with in contravention, under sec.392,
the stipulated period, the the Commissioner may issue a
Municipality is empowered to take show cause notice for the
action to fine and to restore the alteration of the conditions so as
land to original form, as per the to bring it back to the original
section 340,359,360,361 & 362 of position prior to the execution
the APM Act, 1965 of the un-authorised work and if
the person fails to show cause,
the Commissioner may cause
the works of alteration,
demolition removal or
restoration to be carried out and
the expenses thereof shall be
paid by the said person.
203
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 c'

t7. UTILISATION OF OPEN SPACES IN LAYOUT AREAS

Copy of G.O. Ms. No.419 M.A. dated 13-8-1996, as amended in G.O.Ms.No'557 M.A.
dated 30-11-2000

Lands - Municipalities - Allotment of municipal lands to private individuals, municipal

employees, religious and educational instilutions etc. - utilisation for remunerative schemes
- Guidelines - Issued.
Read: l. Govt. Memo. No.12lJ1186-3 M.A. dt.9-7-1986
2. Govt. Memo. No.2l50lJl188-4 M.A. dt.13-12-1993
3. Govt. memo. No.21617lJll95-7 M.A. dt.25-3-1996

ORDER:

Government have issued instructions in the reference first read above to the
Commissioner and Director of Municipal Administration with a request to issue suitable
instructions to all the municipalities in the State, that, in future no proposal of allotment of
municipal lands to municipal employees/private individuals shall be entertained, and that
these public lands have to be used for public purposes like parks, play grounds, schools etc

2. Further, Government, while reiterating the above instructions in the reference 2nd
read above, requested the District Collectors in the State not to allot the open
spaces in the approved layouts for any activity without first consulting the
Director of Town and Country Planning and these instructions should be followed
scrupulously in future.

J. Govemment have also issued general instructions in the reference 3'd read above
to the effect that no municipal lands shall be given for any private purpose
including religious, educational etc., for, there is income potential for utilization
of public land for remunerative schemes and to earn inq-qtne.

4. It is observed that several representations/proposals for alienation of municipal

land to private individuals, religious institutions, Government institutions etc. are
pending with Heads of Departments and Government.

5. Govemment, after careful examination, direct that open lands in t[e layouts have
to be used for parks, playgrounds and other specific purposes mentioned therein.
If the local Municipal Council proposes to use the municipal lands for other than
the above purposes, such lands shall be used for remunerative purposes like
shoPPing/sffice comPlexes etc-

6. Alienation of municipal land to Govenrment departments and Government

institutions can be considered only on specific requisition from the concerned

205
 ,A'

A
Department for the
departments on payment of value fixed by the Registration A
purpose of registration'
A
which are not
7. Ifthere are any lands other than open spaces-in approved layouts
the same can be put
required by the municipalities for any of the above purposes' ,Q
so that the
to public auction t-hrough Tenier-cum-Auction procedure, -headed .
by the
municipalities can derive income. For this purpose, a Committee A
Administration' the
Joint Collector with the Regional Joint Direttor of Municipal
commissioner
Regional Joint Director of Town Planning and the Municipal
4\

The income derived by disposing of

concerned as members shall be constituted. A
drinking water supply,
the municipal lands shall be used only for improvement of
account.
parks and ilay grounds, Sale proceeds shall be kept in a separate A

the above instructions

8. Govemment also direct that the proposals not covered by' A
should not be entertained.
A
g. deviation will be
The above guidelines should be followed scrupulously and any
viewed seriouslY.
PRADESH)
(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA

C. ARJTINA RAO
PRINCIPAL SECRETARY TO GOVERNMENT

To
Hyderabad A
The Special commissioner and Director of Municipal Administration,
The Director of Town and Country Planning, Hyderabad
(P.H.) Hyderabad A
T'he Engineer-in-chief (P.H.) Hyderabad/ chief Engineer
All District Collectors in the State A
All Municipal commissioners in the State through spl. C&DMA
All Regionul loint Directors of Municipal Administration through Spl' C&DMA
& Country
All Relional Joint Directors of Town Planning through Director of Town
Planning, Hyderabad

Copy to
fne p.S. to Prl. Secy. to Govt., MA & UD department .
The P.S. to M (M.A.)
The Chief Minister's Office
All sections in MA &UD dePartment
Housing Department/ Revenue Department IA

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 GOVERNMENT OF ANDHRA PRADESH
MIINICIPAL ADMINISTMTION AND URB AN DEVELOPMENT D EPARTME NT
I

MEMORANDUMNO.34935/TV95.6 M.A. DATED 5-II-1997

Sub: Suits W.p.No.26276195 filed by Sri Ch. Radha Madhava Rao challenging
-
the orders issued in G.O.Ms.No.439 M.A., dated 16-4 1994 - Reg.
Ref : l. From the Assistant Registrar, High Court of A.P. Oral Order in
W.P.No26276 of 1995 dated 6-8-1997.
2. Gov1. Memo. Np.34935/95-5 M.A. dt.29-9-97.

A copy of the Court order dated 6-8-1997 in W.P.No. 26276 of 1995 is sent herewith

to the Director of Town & Country Planning, Hyderabd and he is requested to communicarte
the same to all the Municipal Commissioners with instructions to follow the above Court
orders while processing the change of land use and other cases to Government in future.

N.S.HAzuHARAN
PRINCIPAL SECRETARY TO GOVERNMENT

To
The Director of Town & Country Planning, Hyderabad (w.e.)
^\
A Copy to
The Commissioner & Director of Municipal Administration, Hyderabad (w.e.) with a similar
request.

207
 A
A
IN THE HIGH COURT OF JUDICATURE, ANDHRA PRADESH AT HYDERABAD
(SPECIAL ORIGINAL JURISDICTION)

WEDNESDAY, THE SIXTH DAY OF AUGUST,

ONR THOUSAND NTNE HUNDERED AND NTNETY SEVEN

PRESENT:
THE HONOURABLE MR. JUSTICE D. REDDEPPA REDDY

WRIT PETITION NO.26276 OF 1995.

Between: ,-'
Chintala Radha Madhava Rao -- Petitioner
A\
And
1. The Govt. of A.P. rep. by its Prl. Secretary,
Municipal Administration & Urban Development
Deparunent (H), Secretariat, Hyderabad.
2. Director of Town & Country Planning,
Govt. of Andhra Pradesh, Hyderabad
3. The Peddapuram Municipality, rep. by its .A
Commissioner, Peddapuram, E.G.Dist.
4. Thailiki Gangaraju, Prop. N{/s. Sri Lakshmi A
Tiles & Brick Works, Near Maharani College,
Peddapuram, E.G.Dist. A
5. Dr.S. Vijaya Kumari, Medical Superintendent,
.l\
Maternity Hospital, Pondichery, rep. by her
G.P.A. K.S.Kamar
/-\
(R5 is impleded as on Court order dt.5-2-96
in WPMP.372l2l95) ...Respondents
A

Petition under Article 226 of the Constitution of India praying that in the
circumstances stated in the Affidavit filed herein, the High Court will be pleased to issue
Writ of mandamus or any other appropriate Writ or Order, declaring the action of the
respondents I to 3 in issuing G.O.Ms.439 M.A., Municipal Administration & Urban
Development Department (H) dt.l64-94 by allotting the site to an extent of l23l sq. yards
of land situated opposite to plot Nos.56 & 6l out of the layout plan belonging to 3'd rl

respondent to 4th respondent as illegal, null and void and for a consequential order directing ,\
the respondents I to 3 to drop all further proceedings in this regard.
/A
For the Petitioner: Mr. Ch. Dhananjaya, Advocate.
For the Respondents I and 2: G.P. for Municipal Administration. A
For Respondent No3: N4r. K.S.K.Reddy, Advocate.
For Respondent No.4: Mr. C. Subba Reddy, Advocate. A
A.

208
A
A

.-,
 For Respondent No.5: Mr. N. Subba Reddy, Advocate.

The Court made the following ORDER: -

,1 W.P.No.26276/95

A ORAL ORDER:

This writ petition by way of Public Inte,rest Litigation is for declaring G.O.Ms.
No.439 Municipal Administration & Urban Development Department of Qovernment of
Andhra Pradesh dt-16-4-1994 approving the proposal of the third respondent - Peddapuram
Municipality represented by its Commissioner, Pedddapuram, East Godavari Distrct, to
exchange l23l sq. yards of land situate opposite to plot Nos.56 and 6l in layout plan
No.504/65 to an equal extent of land in T.S.Nol080 of Peddapuram belonging to the fourth
respondent, namely, T. Gangaraju, which was taken over by the third respondent for laying
main water pipe line and to provide approach road to the residential colonies in and around
the area as illegal and void.

The admitted facts are: The third respondent sanctioned lay out plan No.504/65 as per
the provisions of Sec.l85 of the Andhra Pradesh Municipalities Act, 1965 (hereinafter called
as 'the Act') and the Municipalities Layout Rules, 1970 (hereinafter called as 'the Rules'). In
the said layout, open site situate opposite to plot Nos.56 and 61 was earmarked for play
ground, market yard and school etc. Houses have come up on the land covered by the said
layout. There are also other colonies, called, Lecturers Colony, Prakasam Colony,
Sarvarayudu Colony and Jawahar Colony. It has, thus, become necessary to provide water
supply to those colonies, including the one covered under layout No.504/65. For the said
purpose, main water pipeline was drawn from the land in T.S. No.l080 belonging to the
fourth respondent. A road rvas also laid over the said pipeline. But, all this was done without
A acquiring the same, either under the provisions of Land Acquisition Act or through private
negotiations. However, it seems that the third respondent by its resolution No.280 dt. l8-2-
1992 agreed to give l23l sq. yards situate opposite to plot nos.56 and 6l earmarked as open
space in LP No.504165 to the fourth respondent in lieu of his land in TS.No.1080 already
taken over for the purpose mentioned above. Accordingly, proposals were submitted to the
Govemment of Andhra Pradesh, the first respondent herein, who in consultation with the
second respondent, namely, Director of Town & Country Planning, issued the impugned
G.O. Hence, this writ petition by a resident of Jawahar Nagar.

The principal contention of Sri Ch. Dhananjaya, Iearned counsel for the petitioner is
that neither the Municipality nor the Govemment have any power either undei the
Act or
under the Rules to accord permission to convert the open space earrnarked in a sanctioned
layout for a particular purpose to some other purpose. it is also his submission that it is
not
permissible to reduce the open space earrnarked in the layout plan- in opposition-
it is
contended by the Government Pleader for Municipal Administration and the
learned
Standing Counsel for N{unicipalities that the open space co.,,ered under any sanctioned
layout
plan vests in the Municipality and thus it would be tpen to it to use it for
any public purpose.

209

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A
In the insrant case, they try to justify the proposed exchange of land on the ground that the A
land belonging to the 4th respondent was already taken over for the benefit of the inhabitants
of number of residential coionies in the locality. Sri C. Poomaiah, leamed counsel for the A
fourth respondent, while adopting the above submissions, adds that the land of the fourth
respondeni was taken ou., by the third respondent and the officials of other concemed A
departments promising him to give an equal extent of land. His further submission is that the
third respondent - Municipality and the inhabitants of the colonies mentioned above have A
been higirly benefited hug. amount was saved by drawing the pipelines through the land
^
bearing T.S. No.l080 belonging to the fourth respondent. In view of these rival contentions,
the principal point for consideration is: A
.khether the respondents I to 3 have power to use or convert the land earmarked for /^
a particular prrlpor" in a sanctioned layout for any other purpose?"

Section 184 of the Act deals with owner's obligation to make Iayout and
to form a
sites' A,
street or road when he intends to dispose of agricultural land as building
Sec'185

prescribes procedure for making a layout and forming new private streets
or roads' Sub-
section (1) of Sec.326 the Government to make rules, in general' for carrying out -
"*po*"r, lhe matters
all or any of the purposes of the Act and sub-section (2) in particular conferred under
on
enumerated in ia) to (s) thereof. No doubt, by virtue of the power Rules' 1967
"fu,rt.t
cl.(c) of Sub-section (2), Acquisition and Transfer of Immovable Properties the power
framed by virnre of
have been made. Likewi;;, Layout Rules 1970 have also been
conferred under Cl. (s) of Sub-section (2)' -f

the owners- of the land to

Clause (b) of Sub-section (2) of Sec.l84 of the Act obligates -r
may be prescribed for a play
"set apart in the fayorrt adequate ur"u of land on such a scale as
ground, a park, an educational institution or for any other public
purpose"' Sub-section (a) of a
Sec.l85 empowers the Municipal Council to refuie sanction of layout,'if adequate area has r^\
(b) of Sub-section (2) of
not been set apart for public purposes as contemplated under Cl-
Sec.l84. Rule 10 (1) of Rules provides that: A

of sub-section (2)
" l0 ( 1). The area of land required to be set apart under clause (b) A
by the layout with more
of Section 184 shall not be less than 5o/o ofthe gross area covered
increase of every two plots per
than 8 plots pefgroSs hECtare. Over and above thir, fot the
gross hectare, the open spaces to be provided shall increase
by one more percent' Such open
A
space shall, ho*e,rer be, limited to iOX at maximum,
irrespective of the size of plots when
minimum extent and width satisfy as per sub-rule (l) of Rule 9"- A

Rule 14 of the Rules Provides that: A

..14. On fulfillment of the conditions laid down in Sec-184 to the entire AA

shail, *-ittiin a reasonable

satisfaction of the Secretary, the owner of the layout
communication of the
period, which shall not exceed one year from the date of
'approvalof transfer the pnvate streets
the layout under sub-section (3) of Sec' 185 A
or roads along with the lands set apart for parks, play
grounds, educational
A
A
2t0
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/Al

l-,
 institutions or for any other public purposes under clause (b) of sub-section (2) oi
Section 184 under sub-rule ( I ) of Rule l0 to the municipality".

There can be little doubt that none of the provisions empowers either the Municipal
Council or the Government to transfer or otherwise dispose of the land set apaft under clause
(b) of Sub-section (2) of Sec.l84 of the Act. At any rate, my attention is not drawn to any
specific provision conferring such power on the respondents.

Leamed counsel for the respondents try to sustain the impugned order on the basis of
Rule 3 of Acquisition and Transfer of Immovable Properties Rules, 1967, which reads as
under:
"3. Transfers otherwise than by lease of immovable property vestine but not
belonging to municipal council:
(l) Immovable property vesting in, but not belonging to Municipal Council
shall not be transferred or charged in contravention of the conditions
subject to which such property became vested in the council.
(2) The deed of transfer of immovable properly shall be in the appropriate
form in Schedule II appended to these rules, with such variations as
circumstances may require".

I am at a loss to understand how the above rule is of any help to the

respondents. On the other hand. it mandates the Municipal Council not to transfer or
charge the properly vested in it in contravention of the conditions subject to which
such property became vested in the Council. Let us assume that the open site situated
opposite to plot Nos.56 and 6l in
layout plan No.504/65 vested in the third
to the condition that it should be used for
yespondent. But, such vesting is subject
playground, market yard and school etc. I am, thus, of the clear view that Rule 3
prohibits the third respondent to use the open site in question for any other purpose.

The locus-standi of the petitioner to question the impugned G.O. is beyond doubt in
view of the principles enunciated by the Supreme Court in BANGALORE MEDICAL
TRUST Vs. B.S. MUDDAPPA 1r1, wherein it is held that :

"Locus standi to approach by way of writ petition and refusal to grant relief in
equity jurisdiction are two different aspects, may be, with the same result. One
relates to maintainability of the petition and other to exercise of discretion.
Law, on the former has marched much ahead. Many

r. AiR 1991 SC 1902

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milestones have been coverecl. The restricted meaning of aggrieved person A

wide
and narrow outlook of specific injury has yielded in favour of broad and
private challenge to
construction in wake of public interest litigation. Even in .i\

executive or administrative action having extensive fall out, the dividing

line
vanishing' /a\
between personal injury or loss and injury of a public nature is fast
Law has veered iound from genuine grievance against order affecting A
prejudicially to sufficient interest in the matter. The rise in exercise of
power
ty the eiecutive and comparative decline in proper and effective
A
administrative guidance is forcing citizens to espouse challenges
with public
,interest flavourl It is too late in the day, therefore, to claim that petition
filed 4t
nursing home had
by inhabitants of a locality whose park was converted into a
no cause to invoke jurisdiction of the High Court. In fact, public- -
"quity
spirited citizens having faith in rule of law are renderin g gteat social
and legal
be ignored or A
service by espousing cause of public nature. They cannot
locus standi or
overlooked on techniial or conservative yardstick of the rule of A
absence of Personal loss or injury"'

open space
The question that fell for consideration in that case was "whether an
publig, in accordance with a formally
reserved for a park or playground for the general
allotted to a private
approved and published deve"lopment scheme in terms of the Act
can be
Answeririg the said
person or a body of persons for the purpose of constructing a hospital?"'
point in the negative, the Supreme Court observed:
,-,
..One of the main objects of public parks or play grounds is the promotion of
the health of the community'by meuns of ventilation and recreation'
It is the ^\
preservation of the quality of lif" of the community that is sought to be
,-\
protected by means of these regulations'"
A
concurring judgements
Finally, their Lordships of the Supreme Court by separate but
to convert the site reserved for park or A
concluded that the Govemment have nolurisdiction
playground for some other purpose.
,.t

The same view has been reiterated by the Suprenle court

in vIRENDRA GAUR Vs'
hand' leasing out the land
STATE OF HARYANA tzi.This case is similar to the one on
ve stecl in the Municipality in furour of Punjab
Samaj Sabha. Declaring such grant ol lease as
illegal, the SuPreme Coutl observed:
,l
''it is seen that the open lands vested in the Municipality were meant for the public
ecology, sanitation' recreation' play
amenity ro the residents of th. Iocality to maintain ^
to be constructed necessarily affect
grounci anci ventilation purposes. The Uuitaing, directecl
and oiher effects on the residents of the
ald eai-*or'i:lenI aiversell'' sanitation
A
the heal-'-:i
loc:1:r;.

A.

2.1995(2)SCC577
-.
A
212
:
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 Thereforc, the order passed by the Goverrunent and the action taken pursuant thereto
by the Municipality u,ould clearly defeat the purpose ol the schetne.
Shri D.V. Sehgar, learnecl Senior Counsel again contended that two decades have passed by,
and that, therefore, the Municipality is entitled to use the land for any purpose. We are unable
to accept the self-destructive argument to put a premium on inaction. The land having been
taken from the citizens for a public purpose, the Municipality is required to use the land for
the protection or preseruation of hygienic conditions of the local residents in particular and
the people in general and not lor any other purpose. Equally acceptance of the argument of
Shri V.C.Mahajan encourages pre-emptive action and conduct, deliberately chartered out to
frustrate. the proceedings and to make the result fait accompli. We are unable to accept the
argument olfait accompli on the touchstone of prospective operation of our order."

In the light of this settled proposition of law, there be no hesitation to conclude that
the impugned order, being one of without jurisdiction and ultra vires of the provisions of the
Act and the Rules made thereunder, is liable to be quashed.

Sri C.Poornaiah, leamed counsel for the fourth respondent makes a serious grievance
that the land of the fourth respondent was taken over long time back without paying him any
compensation. True, it may be so. But it is his own doing. Nobody compelled or could
compel him to part with his land without claiming compensation as per law. Yet, he has done
it for the reasons best known to himself. It is not as if he is remediless, for, even now, he can
lay his claim for compensation as per law. No doubt, his case needs sympathetic and
expeditious consideration. Therefore, I direct respondents I to 3 to consider his case either
for payment of compensation or to provide him an unobjectionable alternative site as
expeditiously as possible.

For the aforesaid reasons, the impugned G.O., namely, G.O. Ms.No.439 Municipal
Administration & Urban Development Department dt.16-4-1994 is quashed. In result, the
writ petition is allowed. No costs.

That Rule Nisi has been made absolute as above.

Witness the Hon'ble Mr. P.S.Mishra, hief Justice on this Wednesday, the sixth of
August, One thousand, Nine hundred and ninety seven.

For Asst. Registrar.

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18. .\PPROVAL OF PLANS BY FACTORIES DEPARTN{ENT

The Entrepreneurs are required to obtain the approval of plans to establish and
run a factory under the Factories Act.

FACTORY: Factory under the Factories Act means any premises including the
precincts thereof

Section 2m (i) Whereon ten or more workers are working; or were working on any day
of the preceding twelve months, and in any part of which a
manufacturing process is being carried on with the aid of power, or is
ordinarily so carried on, or
Section 2m (ii) Whereon twenty or more workers are working, or were working on any
, day of the preceding twelve months, and in any part of which a
manufacturing process is being carried on without the aid of powpr, or is
ordinarily so carried on, but does not include a mine subject to the
operation of the Mines Act,1952.

Section 85 (i) Thirteen (13) categories of Factories detailed below are covered under
. Section 85(i) of the Factories Act, even though the number of workers
employed in them is less than l0 with the aid of power.

l. Paddy Shelling and /or rice polishing (with installed power of more than l0
H.P.).
2. Vegetable oil extraction (with installed power of more than 10 H.P.).
3. Sawing of timber (with installed power of more than l0 H.P.).
4. Dall Milling(with installed power of more than l0 H.P.).
5. Machinery works or Engineering works(with installed motive power of more
than 20 H.P.).
6. Graphite powdering and / or processing
7. Stone Crushing
8. Slab polishing
9. Manufacruring and or bottling of Liquified Perroleum gas, Nitrogen, Hydrogen,
Oxygen, Carbon dioxide, oxides of Nitrogen and Ammonia.
10. All the processes, involving usage of chlorine.
I l. Manipulation (Mixing, bending, formulating, filling, emptying, packing and
otherrvise handling) of pesticides, insecticides, Fungicides and Herbicides as
defined in the scheclulc XXIV, under Rule 95 of Andhra Praclesh Facrories
Rules, 1950 framed under Section 87 o[the Factories Act, 1948.
12. Handling and processing of Asbestos, Manulacture of any article asbestos, or its
ancillary products ancl any other process in rvhich asbestos is used in any fonn.

215
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.al

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13. Manufacturing of Bulk Drugs and their Intermediates. Ar
Section 2(k) 'Manufacturing process' means any process for-

i. making, altering, repairing, omamenting, finishing, packing, oiling, washing,

cleaning, breaking up, demolishing or other wise treating or adapting any afticle
or substance with a view of its use, sale, transport, delivery or disposal; or
A
ii pumping oil, water, sewage or any other substance; or
iii. generating, transforming or transmitting power; or
A

iv. composing types of printing, printing by letter press, lithograph, photogravure A

or other similar process or book binding; or
A
v. constructing, reconstructing, repairing, refitting, finishing or breaking up ships
or vessels; or
vi. preserving or storing any article in cold storage.

GUIDELINES FOR PREPARATION OF PLANS: A

l. plans to be drawn to a metric scale by a qualified engineer / draltsman duly A

signed by him and also by the applicant showing;

breadth
i. Site plan drawn to a metric scale of l:400/800/1200 showing length and
of tni site, and also location of the road which gives direct access to the site,
the width of the road. This access is a must- The site plans should
indicating"front, A
indicaie rear, and side set-backs clearly along with extent of site
purchased for establishing the industry. (This plan should indicate surrouding .A
ieatures and develop*.ni etc.). North direction shall be indicated in the site
plan.

lay
ii. Detailed building plan, elevation and sections of the proposed factory sheds
with
out and type of machines proposed to be installed in the particular shed
Horse power, drawn to scale of l:100 indicating correct plinth areas- Specity
materials to be used for the construction of building and roofing.

2. Standard nonns lor the building and installation of machinery:

is to
i. The minimum height of the building in which the machinery / equipment
be installed should nor be les than 4.27 mt (14 feet) and height of Office rooms,
godowns, stores etc., should not be less than 3.65 m (12 feet). ^
A,
ii. There should be a clear moving space of 0.9m (3 feet) from rnachine to machitle
and machine to wall.
-,
Ridge roof ventilator with an opening of 0.9mts (3 teet) width and 0'6m
(2f-eet)
iii. ^
height shall be provided over the roofing of all the work halls- In case of
north
the rAt
ligtrt glazing an air gap of atleast 0.3 m (lfoot) should be provided between

2t6 A

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 top ol' *,ur,n* and the roof sheeting. Also the north light glazing should
invariably t'ace nor1h.

lv. The building should have masonary walls.olf A.C.Sheet or metal sheets are used
as cladding they should be fixed in the form of louvres, vertical cladding of not
more than I meter height is permissible.

Sizes of doors and windows should not be less than l.2x2.l mts (4'x 7') and
0.9 x 1.5 mts (3'x 5') respectively. Ventilators should be 0.9 x 0.45 mts (3'x I
%'). The doors and windows should be so spaced that they should not be located
at a distance of more than 3 mts. (10 feet) from center to center. All windows
should be fixed with their lower sill level at 0.9 mts (3 feet) or less from the
floor level. All doors should have shutters opening oufwards except when they
are of sliding or rolling type.

vi. Where any building is 6rnts (20 feet) or more in height, a second set of windows
should be provided over each door and window. These second set of windows
should not be.less than 1.2 x 0.9mts (4'x 3') in size.

vu. There shall be atleast 3.05 mts (10 feet) clear space between shed to shed or
shed to building. Further, a clear space of 3.05 mts (l0feet) should be
maintained between the building and adjoining compound wall.

vlll. Verandah will be permitted on one side only. Width of verandah should not
exceed 3.65 mts (12 feet) and the height of the verandah at the eaves not less
than 3.65 mts (l2fee|. No machines, equipment shall be installed in the
verandah. Verandah shall not be used as a place of storage, which could block
the wirrdorvs etc.

ix. Toilets, urinals, separately for men and women, should be provided away from
the main work place. The number of toilets/urinals proposed to be provided
shall be shown in the site plan and their number shall not be less than the
number stipulated under the A.P.Factory Rules. Generally one toilet seat for
every 20 workers to be provided.

x. A minimum of two exits shall be provided to each of the manufacturing

buildings. In the case of manufacruring buildings / godowns/stores, good
number of exits should be provided in such a manner to ensure that in case of
emergcncy a person need not travel a distance of more than 30 mts to get out of
the building.

xi. Every f-actory shall be constructed with pucca masonary walls of bricks, stone
or other suitable material. The roofing materials used shall be of non heat
radiaiiiig and fire rcsistant tipe. Anir other special requirements ir.r respect t-rf
building specific to the manufacturing process should be implemented.

211
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xll. Mechanical exhaust arrangements, dust collection systems etc., should be
A
provided wherever necessary.

xiii.

a. If number of women workers are more than 30, provision of crdche for children
of below six years age of women workers.
b. If workers more than 150, provision for resting shed and lunch room.
c. If workers are more than 250, provision for a Canteen'
d. If workers are more than 500, provision for Ambulance room.

xiv. A NOC is required from the Fire Service Department in respect of all places and
trades involving risl of fire. Factories such as match factories, tile factories, Cold
Storage plants, fire works, manufacturing and explosives manufacturing units, Tobacco
gradiig and threshing units, Solvent extraction plants, cotton, jute, dyeing.,. uld printing
pup"., ,u* and timber units require clearance from Fire Department. Similarly, storage
goio*nr for ground nuts, cashew nuts, gurmy bags, paper, timber, charcoal, liquors,
ipirits and other combustible materials also require NOC from Fire Department-
Further units using flammable chemicals in solid, liquid and gaseous form also require
to obtain Noc.

xv If the unit is hazardous industry attracting provisions of Manufacturing Storage

and Import of Hazardous Chemicals Rules 1989, the details of hazardous processes the
maximum quantity of chemicals stored in the premises and Material Safety Data Sheets
of all Chemicals, Hazard Analysis and Risk Assessment Report and on site emergency
plan shall be enclosed to the application along with a Consent for Establishment from
the A.P. Pollution Control Board.

xvi. Clearance from the Explosive Authorities is necessary wherever materials

attracting the provisions of Explosives Act are handled/processed/stored'

xvii. If there are any residential developments near or around the site within the
radius of 400 metres, t-he applicant has to furnish No Objection Certificate from the
residents/Local Authorities.

xviii. Ownership documents of the site and if the site is taken on lease the copy of
registered lease-deed is to be furnished, in case of private lands and possession
certificate in case of APIIC allotment.

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FORM NO.I
A
(Prescribed Under Rule 3.)

APPLICATION FOR PERMISSION TO CONSTRUCT EXTEND OR

TAKE INTO USE ANY BUILDING AS A FACTORY,

l. Applicant's Name
A
a\
Applicant's Profession
rq

A Applicant's address to which the

. cofirmunications to be sent
A
Ar 2'. Full Name of the factory
A
Nearest Post Office with Pin Code,
A
Village / Town / District

3. No. of workers to be Employed

A
(a) Men
3
^\ (b) Women

4. Details of Plant and Machinery (Give full

details with Horse Power of Prime movers
of Motors)
5. Raw materials used in the manufacturing
process

(a) Brief description of manufacturing

Process

(b) Final products and their output

219
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(c) Type and nature of wastes and

effluents their quantities and the
methods of their disposal

(d) (I) In case of extensions or additional

installations reference numbers
of flans approved earlier should be given
D

(2) Registration Number

,\
Date:
tignature of aPPlicant
,
Instruction to Jill up tlis Form:
This application shall be in triplicateoand accompanied by the following :

(a) A flow chart of the Manufacturing process supplemented by brief description of

the process in its various stages.

(b) Plans in triplicate, drawn to metric scale by a qualified draftsman and duly a
signed by him and also by the occupier, showing'

" (l) The site of the factory and immediate surroundings including adjacent
buildings other structures roads, wells, canals, rivers, ponds, tanks, etc.,
drawn to a scale of 1:400 and ;
.:
(2) The plan elevation and necessary cross sections of various buildings ,A
indicating all relevant details relating to natural lighting, ventilation and
means oi.r"up" in case of fire drawn to a scale of l:100. The plans shall
also clearly indicate the position of the plan and machinery aisles and
passage, ways and

(3) Specify materials to be used for the construction of buildings and

roofing.

(c) Rs. 2 non-judicial court fee stamp shall be affixed to original Form No- I in A

the space provided.

rr

220

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 19. LEGAL ASPECTS OF ENVIRONMBNT
I. PROTECTION OF ENVIRONMENT, PREVENTION AND CONTROI,
OF POLLUTION:

The Policy Statement for Abatement of Pollution issued by the Ministry of

Environment and Forests in 1992, provides instruments in the form of legislation and
regulations, fiscal incentives, voluntary agreements, educational programmes and
information campaigns in order to prevent, control and reduce environmental
pollution.
A
A The establishment and functioning of any industry will be govemed by the
following acts of the Ministry of Environment and Forest besides the local zoning
and land used laws of the states and UTs.

i) The Water (Prevention and Control of Pollution) Act, 1974 as

amended from time to time (Water Act).
ii) The Water (Prevention and Control of Pollution) Act, 1971 as
amended (Water Cess Act).
A
iii) The Air (Prevention and Control of Pollution) Act, l98l as amended
A (Air Act).
i,r) The Environment (Protection) Act, 1986 (EPA).
A v) The Hazardous Waste (Management and Handling) Rules,l989 as
amended (HWa4 Rules)
vi) The Public Liability Insurance Act, 1991 as amended (PLI Act).
vii) Rules for Hazardous Micro Organisms
viii) Hazardous Chemicals Rules, 1989
ix) Costal Regulation Zone
x) Bio - Medical Wastes Rules
A xi) Recycled Plastics Usage Rules, 1998 (Draft)

Once an industry has been set up, during the process of manufacture and
operation, the industry is also required to meet the standards of emissions, eff'luents
and noise levels prescribed under the Environment (Protection) Rules framed uncler
the Environment (Protection) Act of 1986 which is an umbrella legislation fbr the
protection of environment in the country.

2. THE WATER (PREVENTION AND CONTROL OF POLLU1'rON)

ACT, 1974 AND AS ANIENDED UPTO 1988 :
A
The main provisions of this Act aim at prevention and control ol rvater
pollution as well as restoration of rvater quality, through the estzrblishrnent of Statc
Poilution Control Boar,js. Some salient f-eaturcs of this Act:

221

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Subject to the provisions in the Act -

(a) No person shall knowingly cause or permit any poisonous, noxious or

polluting matter determined in accordance with such standards as may be laid
down by the State Board to enter (whether directly or indirectly) into any
stream or well or sewer or on land:
(b) No person shall knowingly cause or permit to enter into any stream any other
matter which may tend, either directly or in combination with similar matters,
to impede the proper flow of the water of the stream in a matter leading or
likely to lead to a substantial aggravation of pollution due to other causes or
ofits consequences.
(c) No person shall, without the previous consent of the State Board:

(i) establish or take any steps to establish any industry, operation

or process, or any treatment and disposal system or an
extension or addition thereto which is likely to discharge
Sewage or trade effluent into a stream or well or sewer or on
land (such discharge being hereafter in this section referred to

(ii) ;:iff.c,l,il':;tiln:? llrt"."o outrets ror the discharge or

sewage; or
(iii) being to make any new discharge of sewage'

An investor intending to set up an industry is required to apply in the

prescribed form to the SPCBconcemed to obtain the consent to establish as well
as
granting the :
ih" to operate the industry after establishment. While consent,
"onr"rt
the SPCB also itipulates specific conditions relating to the temperature, volume, A
composition, rate and point of discharge of emission, effluents etc' The consent
to
op".i" an industry is granted for a specific period after which the conditions
before the
stipulated at the time of granting consent are reviewed by the SPCB. Even
of the consent period, the SPCB is authorised to carry out random checks on
any industry to chect if tn" standards prescribed are being complied with by
"*pi.y the
iniustry; in case the standards are not being met, the SPCB is authorised to serve a

notice to the concerned Persons.

The owner of a defaulting industry may be required to construct a

sewage/effluent treatment system. In the event of non-compliance of the standards,

the SiCn may issue directions for disconnecting electricity and water supply
or any
other services to the industry, in extreme cases even to closes down the unit'

Stringent penalties are prescribed in this Act for those rvho operate their
industry without the valid consent or in violation of consent conditions'

Any person aggrieved by an orcler of the SPCB in the above context tnay
appeal to tire Appellate Authority constituted by the concemed State Government'
As
pli tn" provisions under the Water Act and Air Act, all State Governments, are

222 ,^l

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 rcquired to constitute Appellate Authorities tbr addressing'the appeals received
against SPCB. While some Statc Covcmments, have separate Appellate Authoritics
under the two Acts, a single Appellate Authority may also exist in other states.

3. THE WATER (PREVENTION AND CONTROL OF POLLUTION)

CESS ACT, 1977:

The purpose of this Act is to levy and collect cess on water consumed by
A cerlain categories of industry specified in the schedule appended to the Act. Local
authorities may also specifo the categories of such industries. The money thus
,ar collected is used by the Central and State Pollution Control Boards to prevent and
control water pollution. Some salient features of this Act are as follows:

The assessing authority under the Act levies and collects cess based on
the amount of water consumed by these industries; the rate is also
determined by the pu{pose for which the water is used.
The concemed industries are required to install standard water meters
at such places as may be required by the concerned authority for
measuring and recording the quantity of water consumed by the
,^r
industry.
Based on the cess returns to be fumished by the industry every month,
the amount of cess is assessed by the assessing authorities.
Aggrieved persons may appeal against the assessment to the Appellate
Authority.
The act also provides for a 25o/o rebate on the cess payable to those
industries who consume water within the quantity prescribed for that
category of industries and also comply with the effluents standards
prescribed under the Water Act or the EPA.

rr 4. THE ArR (PREVENTTON AND CONTROL OF POLLUTTON) ACT,

1981:

The objective of the Air Act is to prevent, control and reduce air pollution
including noise pollution and to establish Boards at the StatesfuTs for this. Under
the provisions of this Act, no person shall establish or operate any industrial plant
without the consent of the SPCB/PCC.

For obtaining consent to establish an industry, the investor has to

A apply to the SPCB /PCC in the prescribed form accompanied by the
prescribed fees. The Board is required to grant consent rvithin 4
months of receipt of the application. The consent would containi
/.', conditions relating to emission standards, details of pollution control
equipment to be installed.
Other provisions of the Act are sirnilar to those of the Water Act,
r97 4.

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/ll

s. THE ENVIRONMENT (PROTECTION) ACT,l986:

This act is an umbrella legislation providing a single focus in the country for
the protection of environment and seeks to plug the loopholes of earlier legislation A\
relaiing to environment. Several sets of Rules relating to various aspects of
managlment of hazardous chemicals, wastes, micro-organisms etc' have been I
notified under this Act. .^
5.1 Notification of Ministry Of Environment And Forests

NOTIFICATION under Section 3(2) (v) of Environment (Protection) Act, -,

19g6 and Rules 5 (3) (d) of Environment (Protection)Rules, 1986 Prohibiting
Industries in Murud-janjira Area in the Raligarh District of Maharastra'
.A
s.o.No.20 (E) - whereas a notification under sub-rule (3) of the rule 5 of the
Environment (Proteciion) Rules, 1986 inviting objecting against the imposition
of
prohibition on the location of all industries in Murud-Janjira.area in Raigarh district
of Maharastra was published vide No.S.o. 85 (E), dated the 7th September,
1988'
l
And Whereas all objections received have been duly considered by the

Central Government.

(d) sub-rule
Now, therefore, in exercise of the powers conferred by clause 9f
(3) of Rule 5 of the said rules, the central Govemment hereby prohibits location
of
from
all industries, carrying on of operations or processes in a belt of one kilometre
Point (near
the high tide mark frim the Revdanda Creek at 190 3l'').upto Devgarh
the banks of the
Shrivardhan) at 180 O') as well as in one kilometre-belt along
precesses which
Rajpuri Creek upto Mhasia, except those industries, operations of A
and those thich
are in connection with the prornolion and development of Tourism
,are permitted by the Central Government after examining the environment impact' A

5.2 "environmental pollutant",

Definition of "environment",tthazardous
,,environmental pollutiontt and substance" under the
.rr
E.P.A. 1986
.-\
According to Section 2 of E.P.A.
A\
which
a. "Environment" includes water, air and land and the inter-relationship
other living
exists among and between water, air and land, and human beings, ,^r
creatures, plants, micro-organism and property'
'
"Environmental pollutant" means any solid, liquid or gaseous
substance A
b.
present in such concentration as may be, or tend to
I be, injurious'to
environment.
c. "E,nvironmental pollution" means the presence in the environment
'
of anY
environmental Pollutant.
A

Ar

224
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 d. "Hazardous substance" means any substance or preparation lvhich, by re'ason
of its chemical or physico-chemical properties or handling, is liablc to cause
harm to human beings, other living creatures; plants, micro-organisms,
propedy or the cnvironment.

5.3 General powers of the Central Government under E.P.A. for the
protection and improvement of environment

Section 3. Power of Central Govemment to take measure to protect and improve the
environment -

1. Subject to the provisions of this Act, the Central Government shall have the
power to take all such measures as it deems necessary or expedient for the
purpose of protecting and improving the quality of the environment pollution.
2. In particular, and without prejudice to the generality of the provisions of sub-
section (l), such measures may include measures with respect to all or any of
the following matters, namely.

co-ordination of actions by the State Governments, officers and other

authorities

a. Under this Act, or the rules made thereunder

Or

b. Under any other law for the time being in force which
is relatable to the objects of this Act.

ll. Planning and execution of a nation-wide programme for the

prevention, control and abatement of environmental pollution.

1l l. Laying down standards for the quantity of environment in its various

aspects.

iv. Laying down standards for emission or discharge of environmental

pollutants from various sources whatsoever. provided that different
standards for emission or discharge may be laid down under this
clause from different sources having regard to the quality or
composition of the emission lr discharge of environmental pollutants
from such sources.

Restriction of areas in which any industries, operations or processes or

class of industries, operations or processes shall not be carriecl out or
shall be carried out subject to cerlain saf-eguards.

225
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vi. Laying down procedures and safeguards for tlie .prevention of
accidents which may cause environmental pollution and rernedial A
measures for such accidents. )

A\
vii. Laying down procedures and safeguards for the handling of hazardous
A
substances.

viii. Examination of such manufacfuring processes, materials and

substances as are likely to cause environmental pollution'

ix. Carrying out and sponsoring investigations and research relating to

problems of environmental pollution.

x. Inspection of any premises, plant, equipment, machinery, A

manufacturing or other processes, materials or substances and giving,
by order, of sich directions to such authorities, officers or persons as it a\
may consider necessary to take steps for the prevention, control and
abatement of environmental pollution. -\
A
xl. Establishment or recognition of environmental laboratories and
institutes to carry out the functions entrusted to such environmental A
laboratories and institutes under this Act'
A
xii. Collection and dissemination of information in respect of matters
relating to environmental pollution'

xiii. Preparation of manuals, codes or guides relating to the

prevention, A
control and abatement of environmental pollution'
a
or
xiv. Such other matters as the Central Government deems necessary ,^
expedient for the purpose of securing the effective implementation
of
At
the provisions of this Act.

so to do
The Central Government may, if it consider it necessary or expedient
for the purposes of this Act, by order published in the official Gazettee,
constitute an authority or authorities by such name or names
as may be
such of the
specified in the ord". fo. the purpose of exercising and performing
po*"r, and functions (including tt " power to issue directions under Section
with
S) of the Central Government under this Act and for taking measures 1
respect to such of the matters referred to in sub-section(2)
as may be
mentioned in the order and subject to the supervision and control
of the A

Central Govemment and the provisions of such order, such

authority or
authorities may exercise the powers or perform the functions
or take the
measures so mentioned in the order as if such authority had been
emporvered A
by this Act to exercise those powers or perform those functions or take such
A
measures.
A

226 A

a\

A
 Section 4. Appointrnent of Officers anci their powers and functions :

l. Without prejudice to the provisions of sub-section(3) oFSection 3, the Central

Government may appoint officers ',vith such designations as it thinks fit for
the purpose of this Act and may entrust to them such of the powers and
functions under the Act as it may deem fit.
2. The officers appointed under sub-section(l) shall be subject to the general
control and direction of the Central Govermnent or , if so directed by that
Government, also of the authority or authorities, if any, constituted under sub-
section(3) of Section 3 or of any other authority or officer.

Section 5. Power to give directions :

Notwithstanding anything contained in any other law but subject to the provisions of
this Act, the Central Governmentmay, in the exercise of its powers and performance
of its functions under this Act, issue directions in writing to any person, officer or any
authority and such person, officer or authority shall be bound to comply with such
directions.

Explanation - For the avoidance of doubts, it is hereby declared that the power to
issue directions under this section includes the power to direct

a. The closure, prohibition or regulation or any industry, operation or

process. Or
b. Stoppage or regulation of the supply of electricity or water or any
other service.

Section 6. Rules to regulate environmental pollution :

l. The Central Government may, by notification in the Official Gazette, make

rules in respect of all or any of the matters referred to in section 3.
2. In particular, and without prejudice to the generality of the foregoing power,
such rules may provide for all or any of the foilowing matters, namely:

a. The standards of quality of air, water or soil for various areas and pulposes.
b. The maximum allowable limits of concentration of various environmental
pollutants (including noise) for different areas.
c. The procedures and safeguards for the handling ofhazardous substances.
d. The prohibition and restrictions on the handling of hazardous substances in
dit'ferent areas.
e. The prohibition and restrictions on the location of industries and the
carrying on of processes and operations in different areas.
f. The procedures and safeguards for the prevention of accidents which may
cattse environmental pollution and for providing for remedial measures for
sr-ti:h acciclents.

a 227

A
A.
 /.,

5.4. Some other important points of this Act (EPA Act 1986) are:

- The Central Govemment may also put restrictions on an area in which any
industry, operation or process or class of industries or operations shall not be A
out, they may be permitted with certain
,carried out. If they are to be carried A,
safeguards.
- Emissions and effluent standards in respect of 61 categories of industries have
been evolved and notified so far.
- They standards in respect of pollutants are to be achieved within a period of
one year from the date of their notification, specially by those industries
identified as highly Polluting. A
- However, if u purti"rrt* SPaB may so desire, it may reduce the time limit and .-\
also speciff more stringent standards in respect of a specified category of
industries within their jurisdiction. The SPCB however cannot relax either the
time limit or the standards.
-
- Those industries who require consent under the Water Act, Air Act or both,
or
authorisation under the Hazardous Waste (Management and Handling) Rules,
1989, are required to submit an environmental audit report to the concemed Al

SPCB/PCC on or before 30th September every year' r-\

6. THE HAZARDOUS WASTE CMANAGEMENT & HANDLING)

RULES, 1989:
A
Persons handling specific categories of hazardous wastes
(44 cat'egories of
authorisation for ,1
hazardous wastes t uu" 6"e1 identified so far) are required to obtain
handling such wastes from the concerned SPCB/PCC'
A
As per the provisions of the Environment (Protection) Act, 1986, Rules .i
notified' Main
regarding Management and Handling of Hazardous Wastes have been
points are: Ar

Every occupier generating hazardous waste and intending to collect,

treat, A
- an application
transport, ,a." uia dispoi of such waste, is required to make
in Form-l (provided in the above quoted Rules) to the SPCB / PCC' The
treatment and
SPCB /pCC issues the authorisation along with stipulations for A
disposal of such wastes.
have
- Rules for the Management, Storage and Import of Hazardous Chemical A
the occupier
also been notified in tgSq under the EPA. As per these Rules,
the will
shall not undertake any industrial activity involving any of 17.(Lists
a
be provided if necessary) identified hazardous chemicals unless he/she
has
specified in the A
prepared a Safety nepon containing the requisite information
Rules. New industriei are required to prepare the safety report
within 5 years

of colring into operation. The occupier of industries handling any of the

chemicals specified in schedule 2 and 3 of the Rules is also required
to
At
rvith
prepare and maintain an up-to-date on-site emergency plan for dealing
major accidents. A
A

228 A

A
A
.A
 6.1 Other Important Features Of 'I'hcsc Rules:

l. Owners of industries Lrtilising any of the identifled hazardous

chemicals, are required to identifu likely hazards and their danger
potential and are expected to take adequate steps to prevent such
occurrences.
2. Preparation of Materials Safety Data Sheets (MSDS) is essential for
all chemicals handled.
3. Workers on-site are required to be provided with information, training
and necessary equipments to ensure their safety.
t\ 4. On-site Emergency Plan is to be prepared before colnmencement of
activity.
5. Information regarding off-site spill, if any, of an accident envisaged
on-site, needs to be provided to the District Collector for preparation
of an off-site emergency plan before cofilmencement of the activity.
6. Before commencement of activity, the public in the activity of the
plant needs to be informed of the nature of a major accident that might
occur on-site and the Do's and Don't' to be followed in case of such
an occurTence.

7. THE PUBLIC LIABILITY INSURANCE ACT,199I:

This Act, unique to India, imposes on the owner the liability to provide
immediate relief in respect of death or injury to any person or damage to any property
A. resulting from an accident while handling any of the notified hazardous chimicals.
This relief has to be provided on " no fault" basis. To be able to meet this liability,
the owner handling hazardous chemicals has to take an insurance policy of an amount
equal to it's "paid up capital" or upto Rs.l2, 500/-. The liability of the insurance is
lirnited to Rs. 50 million, whichever is less. The policy has to be renewed every year.
New undertakings will have to take this policy before starting their activity. For
existing plants the policy was to be taken within one year of the Act coming into
force i.e. upto 3l't March, 1992.The owner also has topay an amount equal to it,s
annual premium to the Central Government's Environment Relief Fund (ERF). The
reimbursement of relief to the extent of Rs.25,000/- per person is admissible in case
of fatal accidents in addition to the reimbursement of medical expenses upto Rs.l50
million per year or upto the tenure of the policy. Any claims in extess to this liability
will be paid from the ERF. In case the award still exceeds, the remaining amount
shall be to be met by the owner. The payment under the Act is only for the immediate
relief; owners shall have to provide the final compensation, if any, arising out of legal
proceedings.

8. RULI'S FOR HAZARDOUS MICRO ORGANISMS (TO BE

NOTIFIED UNDER THE EP ACT, 1986)

G.S.R. 1037(tr). - In exercise of the powers conferred by sections 6, g and 25

of the Environmental (Protection) Act, 198(t (29 of 1986) and with a vierv to

229
 ,t

a
A

of A,
protecting tl're environment, nature and health, in connection with the application
made certain
gene- technology and micro-organisms, the Central Government has .-t

rules.
A
g. HAZARDOUS WASTES (MANAGEMENT AND HANDLING) RULES A

exercise of the powers conferred by sections 6, 8 and

In 25 of the
Government has made
Environment (protection) Aci, 1986 (2g of 1986), the Central
Hazardous Waites (Management and Handling) Rules' [989'

9.1. Polver to suspend or cancel an authorisation :

/\
under
l. The State Pollution Control Board may cancel an authorisation issued A
these rules or suspended it for such period as it thinks fit,
if in its opinion, the
authorised p".ron has failed to with any provisions of the Act or these
"o-ply
rules, after giving the authorised person an opportunity to
show cause and
after recording reasons therefore. A

/ft
during the pendency
2. Upon suspension or cancellation of the authorisation and
give
oi un appeal under rule l Z, the State Pollution Control Boardor maycancelled
directions to the persons whose authorisation has been suspended
person shall comply
for the safe storage of the hazardous wastes, and such A
with such directions.
*^
10. COASTALREGULATIONZONE(CRz)INANDHRAPRADESH
A
Coastal zone Management plans of Andhra Pradesh identifying
and
A
the high tide line were prepared
categorizing the coastal areas-up to 500 meters from
- Peorrlation 7,one(CRZ) Notification 1991. The plans
Regulati A
ur p-. the provisions of
^r(inocrql
Coastal
|)#' ff"ffi;;; by th" r*t Force constituted bv Ministry of
"pprot"d land use details and category of .-,
Environment & Forests, Government of India. The
coastal Zone Management
each survey number were documented in the approved
Plansalongwiththerelevantmaps.Theplansareopenforreferencebyany
Districts' For details of
individual and are available with the Collectors of Coasial
clearances and verificationof Coastal Zone Management Plans the Collectorates of
concerned coastal Districts or the office of the
Director, Andhra Pradesh Shore Area
Development Authority, E.F.S.& T. Department, 'K' Block, Secretariat maybe
contacted.

I l.CONCLUSTON: :
3A
rules give a general outline
The above features of provisions of various acts,
all these acts and
of the concerne{ u..u. H.n"", in practice an integrated approach ofand modifying the A
for exploiting
rules is required while tackling clearances, consent
A
environments in any Local authority area'
Ar

230 A
A
A
^A
 20. CLEARANCES FROM ANDHRA PRADESH
POLLUTION CONTROL BOARD (APPCB) IN
INDUSTRIAL AREAS
1. Introduction:

The link between business, production, commerce and environmental

imperatives seems to be becoming increasingly obvious in recent times. The
development of an unprecedented set of environmental laws all over the world
substantiated this growing trend. What is even more interesting is the fact only
a few crusaders managed to influence policy makers and opinion makers to
A devise the "Command and Control regime". However, it became increasingly
clear during later part of 20th century that " C & C" model could not help attain
the appropriate milieu for progress towards a desirable environmental and
ensure sustainable development.

2. Categorisation of Industries:

All industries or activities related to development / infrastructure have

been categorised into Red, Orange and Green depending upon pollution
caused/ expected to have impact on environmental components. The latest
categorisation of industries or activities followed by APPCB, depending upon
process and impact on environment are enclosed at the end of notes /
A Annexure- I (a) and (b) J.

3. Projects ;equiring environmental clerance from ministry of

environment &forests, goi:

The Ministry of Environment & Forests (MOE&F),Govt. of India ,

New Delhi has made it mandatory to obtain Environmental Clearance from
MOE&F for the following 30 category of industries (for undertaking of any
project or expansion or modernisation of any activity) subject to certain
provisions (as per notification dt.27 .01 .94, 04.05.94 & 27 .01.200 I ).

4. Projects Requriing Evironmental Cearance:

l. Nuclear Power and related projects such as Heavy Water Plants,

Nuclear fuel complex, rare earths.
2. River Valley projects including hydel power, major irrigation and their
combination including flood control.
J. Ports, Harbours, Airports (except minor ports and harbours)
4. Petroleum Refineries including crude and product pipelines.
5. Chemical Fertilizers (Nitrogenous and Phosphatic other than single
superphosphaie)
6. Pesticides (Technical).
1. Petrochemical complexes (Both Olefinic and Aromatic)

231

A.
 and Petro-chemical intermediates such as DMT, Caprolactam, LAB etc.
and production of basic plastics such as LLDPE, HDPE, PP, PVC'
8.', Bulk drugs and pharmaceuticals.
9. Exploration for oil and gas and their production, transportation and A
storage.
}a
10. Synthetic Rubber.
11. Asbestos and Asbestos Products. At
t2. Hydrocyanic acid and its derivatives
A
13. (a) Primary metallurgical industries (such as production of Iron and
Steel, Aluminium, Copper, Zinc,Lead and Ferro Alloys)'
A

(b) Electric arc fumaces (Mini Steel Plants). ,.\

Chlor-alkali industry. A
14.
15. Integrated paint complex including manufacture of resins and basic raw
materials required in the manufacture of paints.
16. Viscose Staple fibre and filament yarn. A
17. Storage batieries integrated with manufacture of oxides of lead and lead
antimony alloys.
18. All tourism projects between 20Om - 500 meters of High Tide Line or
at locations with an elevation of more than 1000 meters with investment
of more than Rs.5.00 crores.
19. Thermal Power Plants.
20. Mining projects (major minerals) with leases more than 5 hectares. .A\
2t. Highway Projects.
22. Tarred Roads in Himalayas and / or Forest areas-
23. Distilleries.
24. Raw Skins and Hides. A\

25. Pulp, Paper and Newsprint.

26. Dyes A
27. Cement.
A
28. Foundries (individual)
29. Electroplating.
30. Meta Amino Phenol (Notification dt.27.01.2000)

Further, the MoE&F, in its notification dt.l0-04.97, had made it

mandatory to cause public hearing for the aforesaid projects to elicit the
suggestions, views, comments and objections of the public before according ,i
Erwironmental Clearance. However, in certain situations, the process of public
hearing alone has been exempted. Ar

A
The proponent(s) is required to apply for EC with certain documents
including Environmental Impact Assessment (EIA) report, Environmental A
Management Plant (EMP), Risk Assessment (RA), Disaster Management Plant
(DMP) etc., along with No Objection Certificate (NOC) from the State .-t

Pollution Control Board (SPCB).

AI

232 A

.A
 However, in case of certain projects, EC was delegated to State
Government.

5. Projects Cleared by State Government :

The Board had identified 65 categories of industries in Small Scale

Sector which have pollution potential on environment. (G.O.Ms.No.l&2,
dt.23.01.95, G.O.Ms.No.8L,dt.22.05.96 and22.9.01) (Seethe list inAnnexure
-r(b))
The said industries have to apply and obtain NOC, / Consent for
Establishment (CFE) of the Board before undertaking any activity.

6. Powers Delegated to District Industries Centers @ICS) :

Keeping in view, the delay caused in processing the applications, the

APPCB delegated some of the powers to General Manager (GM), DICs vide
G.O.Ms.No.26 & 27 dated 19.04.1994 to issue acknowledgements to non-
pollution categories of SSI industries other than 116 categories of industries
(now these industries were short listed and bought down to 65 categories).
The SSI units other than 65 categories can obtain acknowledgement from GM,
DIC on behalf of APPCB.

7. Issue of consent for establishment (cfe), consent for operation (cfo)

and hazardous waste authorisation (hwm) and validity :

Consent Management in APPCB

CFE (Consent for Establishment)

New
Expansion

CFO (Consent for,Operation)

Fresh
Renewal

7.1 Consentfor Establishment (CFE) :

The proponent intends to establish / expand / modernise the unit (s) is

required to apply with requisite fee in the prescribed format and obtain the
Consent for Establishment (CFE) of the Board as required under Section 25 of
the Water (Prevention and control of Pollution) Act, l9l4 and under Section 2l
of Air (Prevention and Control of Pollution) Act, 1981. The Board had already
issued notifications dt. 23.12.96 and 30.04.99 in this regard.

733
 a

. Every industry should apply for CFE to get the APPCB approval for the
a
Establishment of Industry. a
. Industry can take the CFE application from respective RO I ZO I HO. A

. CFE application is available free of cost

A

A
. CFE application broadly covers the Investment details of the raw
materials, products, process, water consumption and generation ,
emissions, proposed pollution control devices etc. ^
A
. The filled CFE form has to be submitted in the respective Regional
A
Offices along with the required Consent fee, Process Flow Chart, Site
Plan, Topo plan etc. A

. After scrutiny of the application and Site Inspection , Board gives the At
Consent for Establishment in case industry fulfils all the requirements
from F.nvironmental point of view. /\
. While sanctioning the CFE, Board clearly indicates the compliance's
under
A

Schedule -A& Schedule - B, which should be adhered to by the A

industry.
,n
. Schedule - A, compliance will be more generic in nature and Schedule
- B, compliance will be specific to the industry.
. Proponent can go ahead for the construction of Industry after getting ^\
the CFE Order.

. Fee Structure: Based on the Category oflndustry and Hazardous

Waste generation and the investment of the industry the Fee Structure
for CFE will be calculated. i

CFE for Expansion / Modernisation / Diversification / Change of

Product: If an existing industry wants to Expand the unit / Add new
products / Change of product / Modernise the existing units, then they
have to apply tbr CFE similar to that of establishing a New Industry. /n

The following Flow Charts ( I - New CFE and 2 - CFE Expansion) A

gives the steps involved in each case
A

1
A
Ai

234 A

A
A
 New CFE
Receipt of Common CFE
application for both Air,
Water and Hazardous at
R.O., along with Consent fee
Calculation basis for Consent Receipt of Common CFE
Fee, lnvestment application for both Air,
Categorisation, Hazardous Water and Hazardous at R.O.,
Receipt of Common CFE
Waste generation. along with Consent fee
application for both Air,
Water and Hazardous at
R.O., along with Consent fee

Entry of the Application

A To verify whether the industry

proposed industry falls
under 29 categories which
require to obtain environmental
clearnance
For cat.
delegated to
the
CFE Clarnance Committee Fi/O.s
Meeting and Scrutiny of application and
communicating the site inspection. lnspection
decision of the meeting recent preparation
on the same day

Scrutiny by Technical Committee &

Recommendations to the Board
Process at Head Office
Agenda Preparation

Release of orders relating to

lssue / Reject / Clarification

CFE Clearance Committee

Meeting and Communicating
Ratification of the Consent
the decision of the meeting
order by the Board
on the same daY

235
 a
A

A
,\
a
CFE Expansion A
A
Receipt of Common CFE
application for both Air, A
Water and Hazardous at
R.O., along with Consent fee A
Calculation basis for Consent Receiptof Common CFE
r-r
Fee, lnvestment application for both Air,
Categorisation, Hazardous Water and Hazardous at R.O.,
Receipt of Common CFE
Waste generation. along with Consent fee 4
application for both Air,
Water and Hazardous at
A
R.O., along with Consent fee

,\
At

/a
A\

To verifywhether the industry

A
proposed industryfalls
under 29 categories which
require to obtain environmental
a
clearnance
For cat.
A
delegated to
the -f
CFE Clarnance Committee Fl/O.s
Meeting and Scrutiny of application and A
communicating the site inspection. lnspection
recent preparation
decision of the meeting
on the same day
a
1
Scrutiny by Technical Committee &
Recommendations to the Board
Process at Head Office
Agenda Preparation

Release of orders relating to

lssue / Reject/ Clarification
,a
A\
CFE Clearance Committee
Meeting and Communicating
Ratiflcation of the Consent
the decision of the meeting
A
order by the Board
on the same day
lt

A
At
236
A

A
 7.2 Consent for Operation (CFO)

will be granted under Section 25126 of the Water

Consents for Operation (CFO)
(Prevention and Control of Pollution) Act, 1974 and Section 2l of Air Act, l98l to
operate the industry under Water and Air Acts separately for operation of industry'

The CFO of the Board can be obtained by applying in prescribed application

forms (Form I under Air Act and Form XIII under Water Act) separately under each Act
along with requisite fees.

The CFE under each act has to be renewed before expiry regularly for continuous
operations of the project.

. Industry should acquire CFO before commencing the production.

. Industry should geithe respective application from Regional Office I Zonal Office
by paying Rs. 50.
. Indrstry has to ensure the completion of all compliance's identified during CFE
stage by APPCB before applying for CFO-
. Oepending upon the Category of Industry in some cases industry should get
clearance from MOEF before applying for CFO'
. Board will do an inspection of ilie industry to check the adherence of industry for
all the compliance's identified during CFE.
. CFO will be sanctioned to the industry after Board getting satisfied with the
required condition of the industry.
. Sometimes common CFO will be given for both New CFE & CFE Expansion'
. CFO fee will be computed based on the investment by the industry.
. After getting the CF6, industry can go ahead with the corunencement of
production.
. bnO certification will be valid for certain period, which will be indicated on the
certificate. Industry should get the renewal of CFO one month before expiry of
CFO certification-

The foltowing Flow charts ( 3 - cFo Fresh and 4 ' cFo Renewal ) gives the
steps involved in each case

237

,
 A

,-r

'CFE
lssued to lndus
for establishment with
Fresh CFO a
A
Letter
sent to
lndustry
a
submission of CF0 aPPln

before CFE expiry date and A

payment of consent fee

}\
Entry of common CFO At
Collection of fee and Fund Transferred
appln. for both air and
deposite in non to H.O.
operating current A./C
atR.O.
,l

A
A

rft

^t

Verification of CFO aPPln.

with CFE consent in
terms of products & A

A
Verify if any pending
Consolidate original CFE
CFE expansion exists
and CFE expansion

A
a

Verify whether consent

issue from R.O. as per
the delegation of
powers & guideline .^r

lndustry / R.O.
,n
data sent to H.O

A
lssue of consent
from R.O.

A
-lnspection
Report-
Preparation at R.O.
task force A
PARAA/EIERS
DEflNANON /^\
Limitinq standards for
effluents dependang uPon
drsposal poinl A
'Ambient Air 0ualily

238
A
 CFO Renewal
CFO to issued to industry
expiry period & consent fee
period mentioned
A

Collection of fee and

deposite in non
operating cunent A,/C
a atR.O.

whether any CFO is to 'Consolidate

original CFE
be issued against CFE
and CFE exPansion
expansion or the same

report & CFO revewal

appln. data to H.O.

task

Accept PAMMETERS

Limiting standards for the

effluenls depending uPon
disPosal Point
'Ambienl Air OualitY

239

A
 A
.-\

A
7.3 Hazardotts LI/as te Authoris ation :

As per the Hazardous Wastes (Managernent and Handling) Rules, 1989

every occupier generating hazardous wastes and having a facility for collection,
reception, treatment, transport, Storage and disposal of such wastes (at present
44 categories) in Form I to the Board for the grant of Authorisation for any of
the above activities.

Validity Period in Years

Red Category Orange Category Green Category
Order / Authorisation
,^\
CFE 5 years .
A\
CFO * Year 2 Years 3 Years

(including 30
A
Category

Hazardous **

Waste Authorisation
5Years A

For renewals only subject to fee payment accordingly.

A

** A
For hazardous category of industries only.

8. Location of Bo, Zo and Ro : ^

A

Board has constituted five Zonal offices (ZO) at Hyderabad, ,\

Ramachandrapuram (Medak District), Visakhapatnam, Vijayawada and
Kumool for decentralization of administration, effective implementation of A
Acts and speedy clearances of applications. Each Zonal office is headed by an
officer in the cadre of Jt. Chief Environmental Engineer (JCEE). The Regional
offices are headed by Environmental Engineer (EE). A
The powers vested with the Board were delegated with a view to hasten ,'\
the process of issue of CFEs, CFOs, etc. The Powers delegated to ZOs ahd
ROs for granting CFEs, CFOs through empowered committees and HWM

^
.^t

A
240 A

.A
 Orange and Green Categories
Autliorisations at present in respect of Recl,
including 30 categories are as follorvs :

30 Categories Red CategorY Orangc

Issue ofordcr /
Categorv
Authorization

---- With CaPital Investment ----

CFE & CFO

HW Authorisation Off-site and

on-site
storage for all
30 categories
and traders

CFE & CFO All Red (other

than 30
categories)

HW Authorisation All Red (other

than 30 Cat.) for
onsite storage
and transPorta-
tion to TSD
CFE & CFO

A All green and orange

HW Authorisation
category (excePt 64
categories of SSI and
all other than Red and
30 categories
irrespective of caPital
investment) for onsite
storage ofall
Hazardous Wastes and
transpotlation to TSDF
ents shall be filed'
ef f ,ppti*tions of all categories in
lcxcept in tlte case of
irr ROs oiy' Single
inclucling 30 categories uncier EIA notification,
Window Clearance

aAt
L+t

A
 A
,r\

A
9. Single Windorv Clearance :
A\

The Centralised Documentation and Clearances Center (CDCC) was ,.\

constituted by Industries and Commerce (lP) Department vide G.O.Ms.No.335,
dt.16.09.93. Pre-scrutiny of the applications received at CDCC rvas introduced ^\
to avoid delay in correspondence with entrepreneurs.

10. Ban Orders & Exemptions :

A
Due to the existing pollution problems, local issues, the Government of
A.P. has decided to restrict the establishment / expansion of the certain types of A
industries in existing IDAs, IEs and other existing industrial areas in the
Districts of Medak, Rangareddy, Mahaboobnagar and Nalgonda by A
G.O.Ms.No .62, dt.28.04.1999 .
,.\
Government of A.P. further banned area within a distance of 25 Km
A
radius flom revenue village limits of Turkpally village by G.O.Ms.Nol48
dt.18.12.00 for establishment of Cement, Porver, Primary Metallurgical
industries and Petroleum & Petro Chemical Industries except for Biotech
acitivities. A

Government of A.P. to encourage Information Technology oriented Ar

industries in a big way, exempted I.T. related industries from the purview of
the APPCB except D.G. sets. G.O.Ms.No.16l, dt.15.10.98 and A
G.O.Ms.No .l | 4, dt.25.05.99.
J\

11. \Yeb Site Information:

^
Information relating to the above may also be downloaded from the
Web site www.apspcb.org containing static and dynamic data. The web site
also contains information on the status of applications filed and processed at
R.O., 2.O., and B.O for the sake of industries to ascertain the status of A
applications. These details are regularly updated for the convenience of
proponents. A

aAa
L+L
 Annexure - I(a)

CATEGORISATION OF INDUSTRIES

1. List of Industries under RED category

sl. Industry / Product / ActivitY

No
I Distillery including Fermentation industry.
2 Sugar (excluding Khandsari)
J Fertiliser.
4 Pulp & Paper (Paper manufacfliring with or without pulping)
5 Chlor alkali
6 Pharmaceuticals (Basic) (excluding formulation)
7 Dyes and Dye-intermediates.
8 Pesticides (Technical) (excluding formulation)
9 Oil refinery (Mineral oil or Petro refineries)
l0 Tanneries
ll Petrochemicals (Manufacture of and not merely use of as raw material)
t2 Cement and large size Clinker grinding units (above 50 T/day)
13 Thermal Power Plants
t4 Iron and Steel (Involving processing from ore/scrap/Integrated steel plants)
t5 Zinc smelter '

16 Copper smelter
t7 Aluminium smelter
l8 Tyres and tubes Vulcanisation/ Retreading/ moulding
t9 Synthetic rubber
20 Glass and fiber glass production and processing
2l Industrial carbon inciuding electrodes and graphite blocks, activated carbon, carbon
black etc.
22 Paints and vamishes (excluding blending/ mixing)
23 Pigments and intermediates.
24 Synthetic resins.
25 Petroleum products involving storage, transfer or processing.
26 I.ubricating oils, greases or petroleum- based products
27 Synthetic fiber including rayon, tyre cord, Polyster filament yarn'
28 Surgical and medical products involving prophylactics and latex.
29 Synthetic detergent and soaP-
30 Photographic films and chemicals.
Chemi-cai, petrochemical and Electrochemicals including manufacture of
acids such as
3l
Sulphuric Acid, Nitric Acid- Phosphoric Acid etc
32 Chlorates, perchlorates and perorides-
JJ Glue and gelatin
34 Yam ancl textile processing involving scouring, bleaching, dyeing, printing or any
effl uent/etnission generating process.

- A1
L+)

/
35 Vegetable oits including solvent extracted oils, hydro-generated oils.
36 Industry or process involving metal treatment or process such as pickling, surface
coating, paint baking, paint stripping, heat treatment, phosphating or finishing etc.
37 Industry or process involving electroplating operations.
38 Asbestos and asbestos-based indushies.
39 Slaughter houses and meat processing units.
40 Fermentation industry including manufacture of yeast, beer etc.
4t Steel and steel products including coke, plants involving use ofany of the equipment's
such as blast fumace, open hearth fumace, induction furnace or arc fumace etc or any
of. the operations or processes such as heat treatment, acid pickling, rolling or
galvanising etc.
42 Incineration plants.
43 Power generating plants (excluding D.G. Sets)
44 Lime manufacturing
45 Tobacco products including cigarettes and tobacco processing.
46 Dry coal processing/ Mineral processing industries like ore sintering, palletization etc.
47 Phosphate rock processing plants.
48 Coke making, coal liquefaction, coaltar distillation or fuel gas making.
49 Phosphorous and its compounds.
50 Explosives including detonators, fuses etc.
5l Fire crackers
52 Processes involving chlorinated hydrocarbons.
53 Chlorine, fluorine, bromine, iodine and their compounds.
54 Hydrocyanic acid and its derivatives.
55 Milk processing and dairy products (Integrated project)
56 Industry or process involving foundry operations.
57 Potable alcohol (IMFL) by blending or distillation ofalcohol
58 Anodizing
59 Ceramid refractori es
60 Lead processing and battery reconditions & manufacturing including lead smelting.
6l Hot Mix Plants
62 Hospitals
63 Mining and ore-benefaction.

ADDITIONAL CATEGORIES OF INDUSTRIES INCLUDED

64 Nickel and cadmium batteries

65 Nuclearpower and related projects such as heavy water plants, nuclear fuel complex,
rare earths, Nuclear fuel
66 Bio-Technology Unit
67 Asphaltic roofing sheets and atlied products
68 Cement bonded particle boards
69 Common Effluent treatment plant (CETp)
70 Silicon Carbide Manufacturing (mineral processing)

244
 7| Automobile manufacfuring / assembling
l
72 Heavy engineering
73 Electro-thermal products'(artificial abrasives, calcium carbide etc., )
74 Straw board
75 Industrial gases namely (a) chemical gases: Acetylene, Hydrogen, Phosphine, (b)
Hydrocarbon Gases: Methane, Butang, Ethane, Propane.
76 Cooking of fibers, digesting
77 Alumina storage, handling and transportation
78 Production of Arsenic
79 Production of non-ferrous metals
80 Ship breaking units
8l Paint removers
82 Printing and copying with liquid toner
83 Production or use of materials made with silicones (excluding cements)
84 Production or use of plastics or raw materials for them
85 Production of cosmetics (involving usage of flammable gases or solvents)
86 Productioq formulation or use of wood preservatives.
o 87 LPG Storage and Bottling facilities
88 Production of alloys
89 Production/ use of cadmium
90 Production or use of latex
9l Extraction of Amino acids from hair
92 Petro- chernical Intermediates
93 Manufacture of Furfural
94 Petroleum products manufacturing and oil / crude oil / residues re-processing.
95 Acid / Alkali storage, handling and transportation.

List of Identified Non-Industrial Projects apart from Industries under Red

Category.
96 Highway projects
97 Port, Harbours, Air ports (except minor ports and harbour)
98 River valley projects including hydel power, major irrigation and their combination
including flood control.
99 Tar Roads in Forest areas.
100 Dredging Operation
l0l All Tourism Projects between 200 M - 500 Meters of High Tide Line or at locations
with an elevation of more than 1000 meters

2. List of Industries under ORANGE Category:

Sl. Industry / Product / ActivitY

No
I l'{anufacture of miiror from sheet glass and photo framir,g
2 Cotton spinning and weaving

245
3 Automobile servicing and repairs stations.
4 Hotels and restaurants.
5 Flour mills (excluding Domestic Aatta Chakki)
6 Malted food
7 Food including fruits and vegetable processing
8 Pulping and fermenting of coffee beans
9 lnstant tealcoffee, coffee processing.
t0 Non- alcoholic beverages (soft drinks)
ll Fragrances and industrial perfumes
t2 Food additives, nutrients and falvours
l3 Fish processing
t4 Organic nutrients
15 Surgical and medical products not involving eflluent / emission generating processes.
l6 Laboratory-wares
t7 Wire drawing (cold process) andbailing straps
l8 Stone crushers
t9 Laboratory chemicals involving distillation, purifi cation process
20 Tyres and tubes wlcanisation, wlcanisation, retreading moudling.
2t Pesti ci deVlnsecticideVFungicideVHerbicideJAgrochernical formulation.
22 NPK Fertilisers/ Cranulation
23 Pharmaceuticals formulation
24 Khandsari sugar.
25 Pulverizing units.

ADDITIONAL CATEGORIES OF INDUSTRIES INCLI'DED

26 Aqua Culture
27 cashew nut processing units (dry process)
28 Oil reclamation units
29 Herbal Extraction
30 Granite industry
3l Hatcheries
32 Paper boards using waste paper
33 Plant nutrients (only manure)
34 Coir industries
35 Engraving, etching, block making ofglass
36 Parboiled rice mill
37 /
Cement Clinker grinding units (up to 50 T/day) Sulphur grinding units
38 Sago units
39 Production of Bricks, Tiles, Mangalore tiles, crucible etc.,
40 Waste paper based units
4t Egg tray moulding
42 Ready mix concrete units
43 Chilly grinding units
44 Manufacture of mosquito coils
45 lute rnills

216
 46 Poultry feed and pet food
47 Agarbattis (excluding cottage industries)
48 Saw mills
49 Plywood / veneers manufacturing
50 Cotton ginning, spinning and weaving.
5l Lead acid battery re-conditioning/ assernbling
52 Manufacture of synthetic detergent intermediates (other than formulated synthetic
detergent products)
53 Manufacture of soaps (process generating trade effluent)
54 Optical fiber cable I Jelly filled telephone cables
55 Production of cosmetics (excluding usage of flammable gases or solvents)
A
3. List of Industries under GREEN category:

Sl. Industry / Product / Activity

No
I Wasting of used sand by hydraulic discharge
2 Atta-Chakkies
3 Rice mullors
4 Steeping and processing of grains.
5 Mineralised water
6 Dal mills
7 Bakry products, Biscuits confectionery.
8 Groundnut decorticating (dry)
9 Supari (Betelnut) and masala grinding
l0 Chilling plants and cold storages.
A II lce-sream or Ice-making
12 Tailoring and garment making
l3 Cotton and woolen hosiery
14 Apparel making
A 15 Handloom weaving
16 Shoelacemanufacturing
17 Gold and silver thread zari work
l8 Gold and silver smithy
l9 Leather footwear and leather products excluding tanning and hide processing.
20 Musicalinstrumentsmanufacturing
21 Sports goods.
^ 22 Bamboo and cane products (only dry operations)
A 23 Cardboard or corrugated box and paper products ( paper or pulp manufacturing excludctl)
24 Insulation and other coated papers (Paper or pulp manufacturing excluded)
A 25 Scientific and mathematical instruments.
26 Fumiture (wooden and steel)
^ 27 Assembly of domestic electrical appliances
no
LO fr^l:^ ^^^*Ll:--
NaltiliJ a1D)9lrlulrrrts,.
29 Fountain pens.

^
247
30 Polythene, plastic and PVC goods through extrusion moudling.
3l Rope (cotton and plastic)
32 Carpet weaving
33 Assembly of air coolers, conditioners.
34 Assemblybf bicycles, baby carriage and other small non-motorised vehicles.
35 Electronics equipment (Assembly)
36 Toys
37 Water softening and dernineralised plants.
38 Paint (by mixing process only)
39 Candles
40 Carpentry (excluding saw mill)
4l Oil ginning/expelling (no hydrogenation/refi ning)
42 Jobbing and machining.
43 Manufacture of steel trunks and suitcases.
44 Paper pins and U-clips
45 Block making for printing
46 Optical frames.
47 Powerlooms/ handlooms (without dyeing & bleaching)
48 Printing press.
49 Garments stitching , tailoring
50 Thermometer making
5I Footwear (rubber)
52 Plastic processed goods
53 Medical and surgical instruments.
54 Electronic and Electrical goods
55 Rubber goods industry.

ADDITIONAL CATEGORIES OF INDUSTRIES INCLUDED

56 Manufacture of concrete railway sleepers

57 Light engineering (Small Scale)
58 Manufacture of Made Up Textiles Goods such as Curtains, Mosquito Nets, Mattresses,
Bedding Materials, Pillow Cases, Bags, Decorative Yokes, Etc.
59 Manufacturing of Metal Building Components such as Grills, Gates, Doors and Window
Frames, Water Tanks, Wire Nets, Etc., (Use of coal not Permitted )
60 Manufacturing of Structural Stone Coods, Stone Dressing and Polishing (Stone Crushing i
Stone Quarrying Will not be Permitted)
6l Surgical and Medical Products Excluding prophylactics and latex products
62 Industria[ gases namely air, oxygen, nitrogen, argon, helium, carbondioxide, nitrous oxide.
63 Manufacture of synthetic detergent soaps (formulation)
64 Coconut Desiccated powder
65 Poultry farm
66 Manufacture ofsoaps involving process without generation oftrade effluent.(saponification
offats and fatty acids only)

248
61 Manufacture of bidis
68 Manufacture of fly ash bricks
69 Hand made paper
70 Aluminum utensils (excluding polishing I acid cleaning)

Annexure -I (bl

65 CATEGORY OF INDUSTRIES

l. Cement
2. Asbestos and Asbestos Products
3. Refractories & Ceramic products
4. Calcium Carbide
5. Mining Projects other than minerals
6. Lime Manufacture
7. Dry Coal processing / mineral processing industries like Or sintering / benefaction
pelletization, pulverisation etc.,
-coke
8. making, coal liquification and fuel gas making industries
9. Stone Crushers
10. Fermentation and Distillery units
I l. Basic Drugs and Pharmaceuticals
12. Sugar
13. Fertilisers (Smeller units) & Micro nutrients
14. Dye & Dye Intermediates
15. Sulphuric Acid
16. Petrochernical Intimidates ( such as DNIT, Caprolactum LAP etc.,)
17. Industrial explosives (including detonating fuse, safety fuse, nitrocellulose, Electrit
Detenators, gun Powder etc.,)
18. Hydrocyanic acid and its derivatives
19. eitutiri (such as Soda ash, precipitation calcium carbonate, potassium hydroxide etc.,)
20. Paints, pigments and varnishes
21. Resins
22. Photographic chernicals
23. Processes involvingchlorinated Hydrocarbon
24. pesticides, Insecticides, Fungicide and Herbicides (Technical and Formulation)
25. PotassiumPermanganate
26. Metallic sodium
27. Manufacturing of Lubricating oils
28. Grinding of Zirconium Oxide
29. Pulp, Paper Board and News Print
30. Tanneries
31. Synthetic Rubber
32. Butyl Rubber TYres and Tubes
33. Retreading of all types of tyres'

249
34. Iron and Steel Production.
35. Extraction and recovery of Zinc I Copper/ ,Aluminium and Lead
36. Metal Castings and Foundries
.
37 Ferro Alloys
38. Industries involving operations such as pickling, degreasing, nitriding and phosphadng.
39. Nickel and Cadmium Batteries
40. Storage batteries (integrated with manufacture of Oxide, Lead and Lead antimony alloy)
41. Incineration plant for hazardous and non-hazardous wastes
42. Electroplating andOalvanizing
43. Welding fluxes and electrodes
44. Manufacture of power driven pumps, compressors, refrigeration units, fire fighting
equipment etc., (excluding assembling units)
45. lndustrial gases (Nitrogen, Oxygen, Carbondioxide, Hydrogen, Acetylene etc.,)
46. Clue and Gelatine
47. Chlorine, Flourine, Bromine, Iodine and their compounds
48. Glass and Glassware.
49. Textiles (excluding handlooms and power-looms upto 50 hp)
50. Textiles, Dyeing and Printing
5 l. Surgical Cotton and Sanitary Napkins
52. Milk Products (skimmed milk, paseturised milk ,condensed milk, milk powder and baby
food)
53. Soap and Detergents (except cottage soap and detergent indushies)
54. Vanaspathi, Hydrogenated and refined and solvent extracted oils
55. Aqua culture project more than 5 hectares
56. Slaughtering of animals, rendering ofbones and processing
57. Processing offish and prawn
58. Fruits and Vegetables Processing
59. Cashew Nut industries
60. Tobacco redrying
6l . Paraboiled Rice Mill
62. Barium Carbonate & Barium based products.
63. Oil reclaimation units
64. Cashew lndustries.
65. Chemicalslndustries
Other than the above 65 category Industries, are treated as non-polluting
in Small Scale Sector.

250
 9

zt. CASE STUDY OF NUS SUR/ OLS and DERIVATIVES (I)

LIMITED PEDDASIIAPUR , RANGA REDDY DISTRICT
**
0
8-3- I 996 G.O.Ms.No.l I l, Proh ing Industries within l0 km radius of
Himayatsagar & Osmr .rgar lakes

24-5-t996 IWs SURANA applie< r NOC and was rejected.

3-7-t997 The State Governmen' anted exemption to M/s SURANA.

7-8-1997 The State Governmenr rdified the exemption.

5-l -l 998 The appellate authorif lowed the appeal of the industry.

1-5-1998 The High Court uphel ,e orders of the appellate authority

27-r-r999 Notional Appellate Ar rrity was asked to submit a report.

l-12-2000 Hon'ble Supreme Cou ave judgement asking the industry to

shift.

25

A
 Civil Appeal Nos:368-371/99
with
Civil Appeal Nos:372 and 373 of 1999
Judgement dated l-12-2000
Observations of Hon'ble Supreme Court

Drinking Water Reservoirs of Osman Sagar and Himayat Sagar shall be

prevented from Pollution.

The right to access to drinking water is fundamental to life and there is a duty
on the State under Article 2l to provide clean drinking water to its citizens.

Right to'Health Environment'is part of the right to'life" under Article 21.

The right to sustainable development has been declared by the UN General

Assembly to be an inalienable human right.

Section 19 permitted the State to resrict the application of Water Act, 1974 to
particular area" if need be, but it did not enable the state to grant exemption to a
particular industry within the area prohibited for location of polluting
industries. G.O.Ms.No. 153, dated 3-7 -199'l granting exernption was held to be
without statutory backing, wholly arbitrary and violative ofArticle 21.

The Hon'ble Suprerne Court held valid the following conclusion of the NEAA
"Establishment of any chemical industry carries with it, the imminent dangers
of the chemicals or chernical effluents polluting the water of Himayat Sagar
and Osman Sagar".

Hon'ble Supreme Court did not rely on assurance by the industry that a) care
will be taken in storage serious of hazardous material. b) the hazardous
substances would be effectively removed without spillages.

The Hon'ble Court concluded on the basis of the reports that there is a very
great risk that these highly hazardous material could seep into the earth and
reach the tanks, after passing through the dolerite dykes.

The Hon'ble Court viewed that on the basis of scientific material obtained, it is
not fit case for directing grant ofNOC of the APPCB. The Honble Court had
also not hold that the safe-guards suggested by the Appellant-Board pursuant to
the direction of the Govemment dated 3-7-1997 will be adequate. The safe-
guards could fail either due to accident or due to human error.

The leamed Appellate Authority ened in thinking that because of the approval
ofplan by the panchayat or conversion of land by the Collector, there is a case
for applying the principlc of " Promissory Estoppel". Honble Supreme Court

252
observed that there could be no estopped_against_statute. The industry could
not therefore seek an NOC after voilating the policy decision of the
Government.

Honble Court made an appeal to the Law Commission to consider the question
of review of the environmental laws and the need for constitution of
"Environmental Courts" with experts in environmental law.

The State of Andhra Pradesh is directed to identiff the polluting industries

located within l0 km radius of these two lakes and to take action in
consultation with APPCB to prevent pollution to these reservoirs.

The State and the Board shall not permit any polluting industry within l0 km
radius.

A report shall be submitted to Hon'ble Court by the State of Andhra Pradesh in

this behalf within 4 months, in regard to the pollution or pollution potential of
industries, if any, existing within l0 km radius of the lakes.

In the result, the appeals are allowed, the judgement of the High Court and the
order of the Appellate Authority are set aside and the order of the Appellant
Board refusing permission to the industry i.e. M/s Surana Oil & Derivatives (l)
Ltd., under section 25 of the Water Act is restored.

The Honble Supreme Court while acknowledging hard work put in by the
NEAAAIGRI/Dr.Bhowmich, directed the State of Andhra Pradesh to pay claim
for money, if any, made by them.

MEMBER SECRETARY

253
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GOVERNMENT ORDERS

A
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 (iOVBRNM]iNT OiI ANDI]RA PRADIISJII -*13$-*
'? ;!,RS1'ttACT
Transfer of certain powers and f uncLiolls r')f I'lIni r:ipal'ities
to
POIIIERS - LiniLed under the
Anclhra Pradesh Incltrstrial IDfra,structure j corporation
prov isions of Antlhr:a Praclesh Municipalit es Act ' 1965 -
Notif icabion
\
I SSI]ED.
=================================================================.=:=:>====
(J2} DEPARTMENT'
MUNICIPAL ADMINiSTBATION & URBAN DEVELOPIIENT

G.0. ( I'ls ) No. 619 M.A, Dat,ed the 21st SePtetrrber

'
1994 '
' Read Lhe fr>l lowtrrttl -- I

.l . li'l'ont l;lto 1;(.i & Ml)! A,lr..[ttdrrsLrla'l lrtf rnr*trttot'rrr't'

CorpcrraLlon Ll:t1., U.O. Lr. No'1:1827 /PLq,'lll{/D'll/89
DaLetl 31.03.1994.
2. Gcrvt.Memo. No.735/J2/94-4' M'A', dt'06-07-1994'
3, t,r.lloc, No' 424(i3/00/nta' I ( i ) '
li't'ont t,lrc O,$I)MA, ,
dnLed 0q-08-t994.

Q[iDEB-:.
Thefollorringnobificationshallbepublislrecl.intheextraordinary
issue of the Andhra Prnrjesb Gazet.tee. clated the 2Znd septenber,
1994'

NOI'I FIC.ATION

Irr r.xer<:irre oI t;lre Lrowers conferred by sccbiotr 389-9 of Ehe Andhre

l,r,ltlcuh lrlrrrrlr:lprrltl,lo$ Acl.r ltl06r'iA,'t. ri t'rl' .l 0fi|'i]r l'ltd (lrtvr'rltor r''l' Antlhrn
j.c jpnl ulos ntrtl. Ltrt: Nul:l f ietl Ar:r:n Commlt'-
.
;,;;;;;i,, ;i;;; "ou*,,t i;irrq l.nc Mr.rrr i
tcespecifiorli.nC<rllImtl(2)..,IAnnexurelltothisnot,ificnt.ionanrlalso l.l.nl)t>t''ll'irrIl' harr:'hy directs
l.lro Arrrlhrn trrn.,l",,,ir i,,,t,tutt.ial. Iltlr^nl: t'rt.tttt"'t.lttltttnlln (z) rurrl l.J)- ol-..Attttttex-
l.lr&i. t.lrr:r lrorvr::rs rriltl l'rttrt'l,Jotts syrr.'t:i l'.1,r:'tl llt
NoLlfIetl Area
rur:e-I Lo r.hls nntii].,*tri.rn "*"""i.r'.rri* lry the Municipulll.Ics./ IJ s)roll be exer-
Conrmitt.ee spu.if iea irr Colrrmn 2 ) t. the' ( soicl Annexttre
Corportatiol r in the
ciserl by t-he .,tnrllrra Pradeslt. t nclustrial irrf rasbrucLure
II, sub;iect to the
&r.e&s specif iecl in Col,nrru (gf oi-ih" snid Anrrbxurecr:Iler:Led by the eaid
concliti on that thirt-v purcenbr.,, oi the-""tilt"cl prol:erty tax
C'rporaLion i, ttro. s"id'rr.eas sho.ti i* to the plunieir:ral'it"r- / lJoti-
'tieit Aren Counritbee of l-lrnl' nrel eve''y.half yr:n'r'..
I

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AJ ,(BY0RDERANDINTIIENAMEoFTI{EGovE{tNoR0l.'AND}IRAPRAD[sll)
I

I P.V.'RAO
l)lII N(,lt t'AL fillCIlIiTAIaY 'l'O GOVlii'INMIiNT '')
^.
To
,l,ho Dir.nrl[,or., ],r'lnhirrr{'r sLnbIr:rnery & st,oreS lrttrcltasrr, Ilyderabad'
ll'vdr:r'rr']rn'd'
'l'lre Conrninsloltc,r n tft''n"l:.or oI trtrrnlo.tpnl ArlrnlnjBl:rrtl'lotr'
'l'lrr: lrlnnn{irtt{ Dit'trt:l,t:r, Attrlhr'n Prirr{cslr IlrdrrsLrlnl InIrtlsLrttcl"ul'':
tlc,rpc,.ni,iolr L"irni Lc'cl, lll'rlero'btrtl
.,'2..,

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Copy to:
Tlre DisLrict Collectors concer.trecl .
The Engineer-in-Chief {public fteatti,). Hyderabad.
The Municipal Commissioners concerneci.
The Conrnissioner, Industries, Hvclerabacl
,
The cornmissioner, InformnLion &.' pultric
l')re Luw Dcllnrtment,, Ilelar-ions, lrycleral_,^cl.
The Irrdustries & Coqmpp6,1 DeparLmenL.
P.S. to Chief Minister.
P.S, to M(tU.A.) ,A'
'l'lrc Accclurr bntr t-G,nrrt rnl ArrrJIrr^ pr.nrleslr, Ilvdrrra.llnrl.
,
/./ tr0jll{AllDfD rr Lty ORDI|,,lUrr_
su(Iru 0N 0lrlrl L:li;lt.
f*****
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oA
rrsr oF po',r'S A*?..Iufg-Iloxs 0,rtil'$Nqffiillr*rrs/ N,rrFrED
Bv rlIE ANDHRA pnroilin INDUsrniAi c,MMrrrEEs r0 ,-t

lfrrfff,:t'sED inrn.rsrnucruRr
^nEA cogponArrog -;
sl. Section in the
^t
No, A,P,M,Acbr 1965
l9irt.ure of pouer/furrct.ion
l) 35 to 95 Provjsious relatin4 to propertl- tax. i
21 114 to ll'J Provisions relating to Tax ol aduertisenernt ;i
3) Rules 1 to 3g of i
Provision-s relabing to Assessment. :

Schedt.rLe II of Appenls nnd Collection of Propertl iA

. Alrtlht-rr I',rrrrlon)r Ta-:i i

MrlnIcl pu-[ I ti es
Act, 1965,
4) 134 to l45 Proyiciorrr- rel;rtin{ trr tfrrl^r .i11rr1rlv.
6) l.l(i t,rr I ltlr l'rr.rv.lrr.l tltrB ro_l rrt..lrrg 1.fi
l,jrtllt lr,u,'l',rri, I Ir: rurtl
privat,e dr.nirrage,
6) 164 Lo 170 Provisiorrs re.latin{ to Ssar,,.rn(irrg. A
7t 171 to 183 Prrrvisions re.laLirrg [o Publir: S;tileel,.s.
8) 184 to 193 Provisions relating io prirot. sli".ts
and A
encroachnetrts olr s.treets.
9) 202 t.o 230 Provisions relating to Building regula[ions.
10) 231 to 235 .\
Provisiorrs relating to Dangero,]"-it"r"uureerTrees
airtl placds
t1) 264 to 270 Provisions-relating to rirdustries & Factories. A
72t 349 to 353 Provisions relating to noti"es-et".
13) 354 to 3i6 Provlsions relating to relatior;-;i ,\
to otrners occupier
14 ) 357 to 368 Provisions relatirrg_ to powers of entr],
inspecti on , Enforceins ii"uo""-p""""",f and ^
PaymenL 'of Conprensatlirre
-- - iil"
-'
l5) 369,370 t373.?,77 Provlsions relating to f .iai"t". 1:roceerl-ines. A
16) 381 to 3B-5 Mi scel I aneous provisjons.
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4t srrtrrbrilrap,rr il I;:ffllili B:i:ff;,:xtiiSllra*.,,"nu..
zt rnd,striat ;;;;l j;;iffiil,
t"u"ropni"n; ,r,_,
ir i;il:riii ffii;*rmr: :fi:riiliilii ffil,
5) .tndustrial Develoirerrt ,lrL.;1 , Jc,ttlinetla, ph_Ii,.
s) 6) Industz'iat Devetoi,;;;; ..{""., j;;;;;i;,
!,ikarabarl
gl r,,^r,,n""il,-,,gn, li i;ffilliii ffl;i:l
7l G;rdr'ral ;im*ill;;;:""'=""'
or,_,

1 ) Induslt'ial Deveropment
8) Ma,l.kajgiri Area . dadr.nl.
l ) Irrdrr-strial Estate, l,{oula ,tli
Z) Irrdusbrial Devetop**nt-rf"o,i,
e, ra,rra lxffl:ili i:x:iH;St i::i,llli;"lij'
' 2ii) .tnctrrst_rial
n,r,,In Ali

0rl,*ior,r.iilire"o, .lrIalJ.irpur phase

3) Industrial Development A"*u, illallaprrr plrase I
I ) Industrial Developr"r,,i .+"".. II
5 ) Indrrstrial Lrer elo;r.;;i
Cberlapally ph I
,lre.r, Clrer-l.npally ph II
6) Inclrrstrial Dqvetoineni e""o, CLerlapally ph III
I) Industrial Developr"rri f..", Cher.lapall},
8 ) Electronic Complei,
ph Iy
irr*iioigrao
9) Electronic conple., i__ii"iiuda (Expn)
t0 I Intlustrial-Ilouiing'c;pi;.r,
Nusbaigucla
L0) uppal III & s.F,A.
t
1,) Ne,,ore ii1rI iiii;i:l
,-",,.:I::ilrl.,1l,
I:*:lljar Deveioi;;,;
I
t.lili;"iffi:.li:i,,lfltl,
.r"*ui'uppor
Ne,lore
,l

il |'tq Nagar, Nellore pr,^"e-i

. wooA Conrpj.exr
4)] Auto Na.gar, Nellore Fhase tJ
NeLloro
tzt Markap,r ri irir"i;iri',rXii;::"r::iilrl
13) chittoor I ) Auto lloeo,., Chittoor,
2 ) Assist,ed Frivate Indusbrial
Esl;al,tr, r.'r'J!
f-lhiltorrr
111 Ma,'anapal,' ilffilii:i '
I5) Samalkot l
fxlffi;
il) Indust rial Esta.te, ;llli:;i.iil,;;i
L6) Bhimavaram 1) fndusirial Estate,
Sarnalkot ,

Bhimaverram

i ii'rrue eapn i i
 ^i'

t.,*k

I'ieri al Nnme of the Mun i -

Nunrher cirra.l. il.y/Noli.f ied Nanre ol l'llt,r Inclur:l.r'ial ,1r.r"n.
Area Comnr.i t.l e,e.
il) t2) t3)
17) G;-r,juwa.lta l. ) Indr.rsLrial Develol:rlre:nL Arca,
Vi sakhapatnanr R.locli-A
I) I nclus Lri al Del'e.lo1:nrent Area. A
Vi salihapatnam BI ock-B
ll ) Industrial DeveIol:ment .\rea,
A
Vi saliho.patna,m BIock-C
,l ) l nrlLrstrl nl DoveJ opment, ir.r-,n,
VI -sakhapatnarn Ill ock-l)
5 ) Industr.ial Developnrent Aren.
Vi salihaprrtnan IIlock-E
6 ) [trrlrrshritt] Dllvt:'l.olirrrntrl:,\rotr,
Yl snlihn;rn.tlnrnll-lcrt;k-l) ( lilpnla.i on )
7) Industrial Development Area.
Yi sakh.l.rr,:tnam BJ.ocli-.1 (Er;la.rrs ion )
B) A, I . [. PeclaEarr Li var-la
0) Industria.[ Dele]opmet)f. Arrtra, Chilro.ganbiyarJa
IB ) Ivararrgal 1) Industrin-l Estate, Warangal
2) Ar.rtona.gar, lrlarangal (XAN)
19 ) Jartngaon 1) Assisted Privnte Inclustrial Estate, Janagaon
2 ) Irrclustrial Estate, ,Ianragaon
?O'l Knr irnnae.ar 1 ) Industrial Estate, Karinnagar
.q
2 ) Autonagar. liarint)lxgar,
:1) lolorrchn I ) Indnstrirr.L Devr'.toFrnrcnB Area. Iralonclrn
?'2'l Ni znrnabarl I ) Arrtoncgi,rr,. Niznnaliod A
231 Kanraredrly 1) Induetrial Eevelolrnent Area, Kanraredtlv
?.q i lkrrlhn.n 1 ) Inclrrri ir.l n l Pst,,r{,n, I!'orlhnn
lln ) N.lrnrn I | ) lndrrrrl rllr.l linl,nl.r', Ntr.nnl
ilti) I{nrrr.'holln.l .l ) rrrlrrsIr.irrl Uel,nl:r,. I}fnrrchcrr,iltl
.1
,:,7 | 'l'tltrnl. i 1) Aesistcrl Pr.lfrrl:c .Irrrjr.rstrinl lisrl.nte, J'enall
2) lntltr.st.r, la-I llstnLer ,l,t,trnJ I ll,:.rrrnrrsJ;rl""""
?8 ) Nnrnsnr.aopel, I) AssisLed privaLe Inclustria.[ Estate Narasaraopet
2C ) Ropntla I ) Assistc,rl Prir,ate InclusLriaJ fstnte, Bapatla
30 ) Machilipabnam .l) Assisted private Industrial Esiate.
Mnch j I i;,atnan
31.) (]r.r<l Ir,,urla. 1 ) Indur; LrinI [st&Lo, Orrtl lwadu
3i:l Vizionagara.m 1 ) ASsist,ecl pri,ate Intlustrial
Estate,Vizienagaran
33) 2) Mini-Inclustrial EstaLe, Vizianagaram
Arnnrtnlnvrr.ln.sn I ) ..\sni,qtecl pr,i rn t.r, I rrrlirnllri n.l nnt r.it.n,.ilmn.rtnJnvn.lne
3,1 ) Nnrrrlaval I ) Indrrstrlnl list.al,r:, Nnrirlynl
2) Industria.l Estate, E.rpanslon Nancll,al
ll5 ) .Taclipatri 1 ) Indu.strinl listate, Taiipn[ri
3C ) Grrn t.nkn I I ) Inclust,rinl Developmont. i""n, Cunt,al;nI
i111,.No,7Il0 orrl;-)
37) liol.hngrrr.lon Ncrl.i.llicrl i ) Inrlrtstr:inI ll.rt.al,ei lioi;lln{urlr:m , J 7 Acres
At.r,.n ('onrrrr i l., l..r.lo, ..1

P. V, n,lo
FRINCIPAL SECRETARY iO COVTRNUTIIT.

...4,.
 F--
(i0Vti|)"li1l,lll'l 0I \;ll)llltA ltttADIlSlr
ARSTII,ACl'
', 'i,:

::' :
Ar,:l'::'.'i
t'. Andhra Prnd.es)r Pancha. .rl. Raj Act, I9g.l, Act No.L3 of 1994 Andhra Prldesh
Irtditstrir;,1 Ir:frast. .rcture Corporation Ltci ., - Declaration ns Local Authori-
tI. for m&i1,,,6,.na*,ce of Il,:llretri t Eehnter/Ilrr.lrral',1,nil,, DovttJopunnL
Arens/AUl:rrtto(nrn,-,,iril,u, ilrjel,It,r. l4?,,l Llru ,\rrLlhr'& l)rrulBllh '?'Psp"5nro, BaJ
Act, 1994 - Ortiers -- Ie te
, PANUJJAY.,I1. )TAJ, (Prs. IV) rlI'Ati'f irtrNI'
0. 0. lrls. No, 1 l 3. ]'\nte: 4-3-1995.
.jli iir,rr,, I the fol lowingl -
,::.:li:.-,

1.. \,,C.i,r. M.D., A.p..l .LC,i.td., D.O.Lr.No, Liifi

Fr' ., the
PI,, DW/DlL/89, dt, 18-7-9..
4t Fr6m the b..rulory to Oovt,, (Pil) &-FC D.0, Lr,No.
to aII Dis-
)
44582/Pt-s,IV /94, t11,. 27-{: -94 adc.lressed
trict Col Le,','c,:c i:r th,"'t :itftte.
x.*:t: ***
,i.11'r
!i rt,
i::.
.
q&DEBi
'.'L;:!il.
al:;j;i,q;r, 'l'lr<l fo.LIoulng NoLlflcot,lon sha1I bo published in the E.xtra-ordi-
il r)ary issue ot' 1',)re Andhra Pradesh. Gazette r dated -11-1994: .

6.irj;,,,,,;;i
ir{li{; NoJI FiCATIgNi' o

^s'''i
"Tlre Viee-Chairnan & ManagiirE Directorr Andhra Pradesh Industrial
Infrastructure Corporation Limiteclr h,r,n rofluontocl' fon clool,nt'nIlon of Anclbra
Ir.hclosh l rrdulrtr,,[nl Irrf rn,n Lructrrrs Colporn,tlou Llrnlted r os Local Authorlty
oB provided Under Section L47 of Ancihrn Pradesh Panchayot ReJ Actp 1994
(Act No.13 of 1994) ano publication of a Gasette Notificatlon!'for transfer-
ring the powe,:s and funclions as provided under section {47 of Andhra
Fradesh Panch, yat ltnj Act l 1994 to bhe mainten&nce of Inddstrial Infra-
structure Corporation f or maintenalrc. of Industrlal Es'lr:hca/ Indtrstrial
Dtrvelopntent Aroas,/ Arrt .gnrg, et',c,., r'nvol.r)lr,:rl by thr 0or1ir:r'atJ,ott Inlltng
ulrtlor tlrn purvlor+ ol' blro 1,.','ul Autlrorlty (I'il) 1116[, ho]pg tlrc speedy dovel-
olnront of Incluel'"les In Ar.,ltra Prndesir. The relevr.nt Sections under which
the. potrors and -,,cbions of Gra,m Pan,'nH.lr,r.r:ri h&ve been proposed ore 60 to
69, 93.,fo 103, 120' 123' 126 to 129, 131 Lo 142, 145' 256t 266t 251 and
273. .j

I(eepi' ,{ in view oF the above i:rovision and tlre. propt,sal receivod

f rom tbe Vile-ihairnran &, Manoging Director, Andhro Prn,donh Inclunbrlol
Itrfragbruc,;rrr r (lrrrpornLlon LInrlLed, uJ.I the Dlstrict Collectorg rlefe re-
quesl-ed in the rofereltce'2nd rcod a,! 've to furnish their repliea artcl sug-
SeBtionB by 20-9-1.J94 by'Jiqing t:,nc bouncl noticcs to llte 0rarn Prr.ttehnynLR
i.o file thair o[r,j ..clhjorrn'r,;r,l rrrrr{(ogt..ir:uru, il'ltny wcrt'tt tt.Jtrrr tt(lv.l scttl t,,0 Jttl'orm
t;lrrr (l rrrnr i,rrrrclr,'rt'rrt,n l'lrnt [.t'rrr:t,ltlng ln htttu'rl fr',,,rtt Lltr:nr by such dnbc, it
rvll1 be cgnsLru.:rl t:[ot L]rere is no object,ior] to trangfer the f unctiong of
locaI autho;"r l,r' in l:lres,: area,s to the Andhra Pradesh Ilrduetrial Inf rustrttc..
ture Cot porabic,:r Limited.

Govei,nmerrt rf ler cal rlf ul r:ortsi deration and i tr exercisr: of the

pot{sl.s eolfer.'r:fl ttnder ,\t:e+rio!r 1.,1? o:' An,l!trs i lsci:ts}l P*r:chayat P"eJ Acr-, '

1994 (Ac[ ll,:.]3 of 199'4), ].:reby.tronsfers the powers and functione of Oram
Panc)rayat.s aa local nrtt;irorlty itnder Slctions 60 to 69, 93 t,o;103, 120 to
!23, i26 to teS, 131 {,ri 142 , 145 , 25i:, 256 | 257 nncl 273 to Lht; con [ro1' of
Contd , ,. ,2/'
 { ,P'
r) iYl t
*'Y
:::l: I

Atttlhi'^ l)t'rttir'rsrlt InrjuBt"rl.rr.i lttlrastrucIure

utirpornLlon Lirn.[t.crti, wiLlrin ,rr,r
Ijnrits: of l lre Ittclrtsl''iaI risinrt,es/rrrrl,rstrial 'Douelopment
f rrr' 1;lieir sysl.crrtst,i.; ancl'"*g,.,l.frr Areas/Aut,ona.gars
clovtr.lo[)r,(],')r: of rrrrrrrnhr.i,r* ''l',, m,ri,,tori,r"u j.rr tl:L interl*"t of
speedy
l)trl;rrl,rt*,/lttrltrrrl,r'lrr,,l [)rrvt]Jr)l,,rllt f.rrrr sbrrt:o. 1,lro nn.lnrrr.i of Itrt.ltrHLri^I
co,cBrr)erl or.rl showrr lrr Ar,:,,:xurt_._I, -r\r,t,rrtr/Aitl,,ttrLr{lrt.^ ^l,l lrrr 0trrnr l,tr.ttr:l,.r.ytrl;n
{:

to tltr: '{ttcllti'tr Prr'r'desl, lnousiri"i.'t,',r, nrrrl blte i:,ir"ti.rrs 0,nrl powors tratroferred
Allttexttr'e-IItothgappet,declll.oiificaLion, u.*r,.r.tu"" cor., rrni.ion are ,s'own i'
(llY 0RDEll ANli.lN 1'llt, NAMIi: or,'T'ru ooyrinNorr'olr ANDrtnl pnlr)n[ilr)

fl, [il.lt)ll1lt,
SIidIIIJI'AITY 1'O OOV!;IINMBNT ( II? }
llt'r
AND FINANCIAL COM}II$SIONEI.,
'l'ltt'' (".lttlttlgtllott.rl. of l't'.[ttl. Irrg ll [:rr.t.Iorr.r,y
chancl:nlguda, Anclhra praaesli, Hyde.nbad. - lr.rrr.l gtt:r,ou l)r.r r,r.rlrrurri ([, l:rr.wlrrg),
tion of the Notification ir: itre Extca-oid,i;r;; He i"-;;;;;"tij'
lo""u,,"u pubJ, ica_
issue of the A.p,Gazette and
[:i?:;tr:331;:lt:s ro Gove.,,I,,t t,;-p;;;;;ioir ou, Rurar Deveropmenr and
Tlre Conrmissioner, panchayat Raj, Hyderabad.
Copy to I
# 'l'lrr.r ! I.ce" Lllro j r,rrrrrn
.&. Mlrrrnglrrg
-ifrf"o"truoLure
l).l. r,r:cLor,
Andhra !r'ades,h Iniir.rsLrioi
The Commissioner, Ir:dustri"" D;;;i;ffii; Corporat-ion Lfmitecl, Ityclerabod.
-p.ruioprent,' Hyderabad
J, 11,9 Commissionei, Rura} Hyderabad.AlI District o
t.
I:'
Col lec tors .
tt AII Chief li.recublvo 0f f ic,lrs, ZilIo paristrad tn
I' AII lrlar:clal porishad nevelopo,*nt Clffi"""" vr the State. .
l.l-r through Chief Ex,i,cutive offi;;i;:-'e oi r'e'|
lfanaal parisbacl
rhe Director of l,oca,r runa auait, Andhrer pracresh, Iryderabad.
TIrs Law (A) DapnrLmen!.
'l'lre Membor srrcrot'r.yr, strrte fri'ance
i'()mmlssron, Irydorar:*cr.
AII ef Ensinee!s/S,perin re,cii,s,i,,;i;;;;;;l"ri*,,"r,oyabi
ch.i
il I of .S,,,.;..,1,;;i;[:'
Dtrpnt.tmorrhg Baj .
'l'he P'tj. to rr'rrrcipor tteuret;;v, lift,
nt) & tirlellarLmenL,
The P,S. to trfj,1is.ber (pB & RiiSj.
l: All Officers,/gections in pn, Ri & R Department,.
The Director of Translatio,r",-Atrie-;-fi;;;;;ffi
l{e is retluested Lo translate .
in1.,: i;ri;;i;";;,r urcru versiorr
and furnish 2 copies of manuscri.pt aroig ,itt., cut
urgen tI y . "t",rcirs
Stock file.
//Forwarded by order//
sd./-
SECTION OFFICER.

/ / 'lRUt! COty / /

f\___-
Dy. Mnnn(ar ( [,a.rv )
Al'l1c L Lcl , llyDlnA LtAl).
A

"-Pt"'t-
A-NNEIUIt[:l
Sl,, Nnme o.fl l,lrt, Nnme of lhe Nt: . of (llrimpnnr:lrtyal;ri
No, l)Ist-r,icl- nl Arcn,
.tndus{.r'l n.It. I . I .U, Ig
tvlrtrr.r:r
falling under prc.rposed to be declarerj
its purvierv os Loca1 Authorit,v
2 3' 4

1, Atlilnt:rucl I,l:1. r'riilnltotl,.lvlavnlu (C).p.)

// 2, Anan Irillur I.R,I , fi, , Stclj nlral1y, ,l . S, Sadlapally 0. p. t( j::,ikern
L I'lindupur (M)
t
I
'J, Ll),A, , llirrtllrprrr, ,,,Z, IjnrrtlrrrvJtlulrrrr
fi<lpttJ.rrpur.rr rn (1.
(1,
[),
1,.
r
nrrrl
'Ilrurrrrr-
L kun t;rr. &nrl 'io I 1 a.purrr.m (V )

I
lllndrrpur (n)
L 3,API!i, Anal:tapur. . . . . S. A.Narayonapuram G, P.
L Papannapeta ( V)

: 4.I.8., Gooty ....4. Cooty G.Ir.

I 5,I.8,, Kadir.i.,., ... .5, Kumerondlapal ly
c
6.I't.I. E. Soj jaladinne, .6. Sajjaladinne G. P. Tadipatri (V)
I 3. Kurnoo I .l.i.8., Kurnool
h
I
SEI It l(urnool
J

J
I
I
IE Expn. Kurnoo.l. J 1. KaIlur G. P. & l'{andal
'r1
i
PH.I, II & PH.III )
I

;A ,.1 . lirI lral<rrIlnr lJo.l.agnr wurrl

2,IE Seerthampeb.,,, ..,2, See thampet

tls li.I[ Pa.!nsa..,,...,...3. Anan thapuram
i
i'
'/^ 4, IDrt PyrJiblrirntrr,nr.nm. .4 . I,yclihhimovnrn.n
.:i,
5.IDA Srikakulall, . . . .,5. Kusalapuram
5. GrrnLur' l.IlIn Doki 1rn,t'r"n. . . . . . .'l . Dol< i grn.r'rtt

2.IE Periclrerln,,. .. ...2. [)criclrcrln

3.IE Sattenai:alli, .,,,3. Vadavalli ancl Sattenapalli (V )

4. Phase V AN Guntur. . .4. Agathavarai:padu

5.AN Tena.ii.., .,.5. Kn btavorR,m

6,Phase III IDA Ountu16. Pedakakani

7,IB Ntclikudi ,..,7. Narlikudl

8.IB Nowlul'u.. .,.U, Yc.:r'ravalam

\
:r

i
Conld,.,2/-
A
t:
A
i.
ln
I
A
 ,,.)a
tr"
?r'--"'' :;?
A
. Name of rh;-----;;;;-;; ;;;:-
;;,;;-;;.,r.,.,:,"r;;; _
sr __ A\
No, Dint|icL Inclust:,i.jnj'A.,rn ,r5e"n .4.1,.I.1.(),is
irtg underr
f a.ll. proposed t-o be declar,eci '_t

J. i ts Ptt t'r' i ew
Z es Loca._l. Au ilror i ty
S A\

A
' 6. Nizanrabacl , liE l(isa.r:r, rar,. . . . , .1, l(isrrnnagai. A
lLl litrnrrgrupr. .,,,,, . ?..,lrrrreiknmptlt a'
:-i 7, I{arangal l.IDA
a,:
Ro.mpur r........1. Ralrpur
t:.,
ll, IDA Madikoncla,,,,,,,l,
.

t I,llrdihrrnd;r
..i
g, Vizianagar.g.m ^
1.IDA Nellimerla....,,l.
Nellimerla .
3, Ne'IIor.e 1,IE liavali..........,1,
r Madrrrupa,ctu
r^

l.lE Crrtlrtr,..,,,,2, Divipalern

t
il, l l)A lrurrr rrrrrl-l"r.lu ..... .X. llrnrgrn.r: lror.lrlvar.rtrrr
A
4. IDA \renlirrbachrrlom.,
. 4. C)romuclugulrl,a

5, [,oXc{Ip 'l'ncla,., ., , r, .. S. ,l,acJa

.ar
6. IDA Chil.[n.)<rrr.. ...,,6. ChiI]lltrr:.
A
titt, /-
sE0l'I0N otl[,ICER. A
//,r*r1: (:oPY// ,\
.(,Gw.),
?r;#,#
ApI i f: Ltcl , I llyclei.nbad
.
'-i

^A\

,-r

,-,

,.\
A

.-l

'

A
Ar..

. .;-Ql I(l''' (-)

/#

ANN!lxltJtli:I I

t LIST Otr POI{ENS AND I?UNCTTONS IINNER. ANDllt(A PRAIr[lS]l PANC]lAyA'f IlAJ()o11lORA'I ACI'] 1994
t0N
'10 t!!: ti)(tftO.t!lrr,l) UY ANt)llll,\ t'llAlillLill t I'lDtlll'l'lt tAt, I l'llf lt^s'llilll'.r'l'l,r[?ll
LIMiTBD.

S, Nct. Sec LJ ottg ltr 1:lre AoL, l 1)t)'l Ntrl'rtro ol' ltrr! r)l''l l'ull(:t'loll
-- -:-
,

gllAP:lE&.' J,l
i
1.. 60 to 69 Provisions relati.ng to
Taxatiott and fiuulrce
t
cHAPI'liR. v
.) 93 tc, 103 Provisiotls relating to
& IiO to 123 PubIic safetY, convenience'
-nnd lteal th
-

A!IAPTSU].
Provisions reJ.at'ing to
a 3, 126 to 129
l3l to 142 Gctt'tr.:rnl nncl Mi scellnneottg
( (lt'tr,trt llrtttulttrYnlrtr )
rrlrt.l 146

eutLyIL
255,250 ar:cl 257 Provisions relatin( to
4. I,li scel Iarleous

gut'L Vl I I.,

?'13
Provisiorts relal"ing t'o.
5, n;i"; Bye-l.ows Penrlties '
artcl trdjudicatiorr '

1.
$r1. /-
IiintYl' I 0N olf I' I CEII'
,4. ,

.:*
//'ril,rsl, corY// / ) r")
^
di.il-^{'*'?'i*r
APIIC LTD. I TIYDERABAD'

A
,\
A
 coPr oF :
GOVERNM.ENT OF ANDIINA PRADESH
ABsTltA(:.r
POI{EltS - Trarlsf or
l,:::l,l:r' :,
ni,, iii,l.r.
j:i;il,lr,r:;,iar'Bo rand :i
il5il::t",;::""",""ru;"o,t1nu r,r,iii"J",,ndoI. th, ^:lii:j;:1.,
provtsIonB of
Notr.flcaLlon - ,""uuoltotn"' cornorAtlon ec,[; inr;- ":
, uN L,ruu ri,r,ir:i;- ;r; -;ilfi -;fi -- -
1 u.r rrr^ r H i ;;;;;;i;-;i; ;.;il;
o,O,Ms,No, iB1 ,,\,,
1, Frorn Lhe Vlce I
f;;il.:n;"li:;n'l:]I'll:,
t:l;:i^ii::"il^li3x:.lr:r,n;"
ltd,I::ir l.'
r,'i..iiii"i,"I Dlrector
r,: sii )iiii i rili.) iii"i."3 : d'"td,
) ; i'; : f; !r'f :,
._.-!o'0
5

2. Governnenl Memo No: 222?'t/D?/91-

QJ I , dnled 14, 10, g? ,
3. Fron thc Cornmlssl orrcr, !'a
uorpor.aLlon,0.o. rang al Mr,urlcll)al
_.-27.11 ,199? and l3 i;;:i;rI:. A,z/L.L4Bt/bu, our",r
ORDE}1 :

The
extra o r.d Ifollowtrrtr l,catlon thul I bo nubLlrrhod
jj,ii;: of rlro nrrdtrr^ r,",,,tori,-..6-,,)]ni.ilr,.,1,r;:,i
^o"y 1o-u,,ltoL1f
t;t!o i4rlutr ii;ii, ln Lbe

.,.;;
: ^11!T: iif.: "dj, m;fr'Li*,:,"
consutitns' aiJ"iri"or"n9 Govcrnor of AIdfip6 pr;dethf;,,
i
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lili l-lipl: q
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i/rnnexurc +-, i.#r; 1';f;
- Ir, ,i-f
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l'9"i1.i"4 r^"trf'r"'ucLur6 coriroratlon : I

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lr ir *, -: iii:-', "*,:i'n :t:* f :1i[ I J;' ::{*,#.
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(oy or{neH rN r,o,,i,,.':;'r;;";:,:;i:"';;t;r;r;; ;.;;
^ND

To PRr Ncr p^ L !;3;Htll'.,t^i816.,r.nrr"r"

ll;".:l;;:t.", Prlnrinj, sLarlonery

-. and
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r on o r nnd, J, .
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The Hanagirtg DirecLorr lAnt'ihra Prodesh Industrial

Inf t'os i rucbu rc' CorPorntiotr Ltmi lecl , HYdg ra.bad '| :

99PY'.uo:
Thr Dlsbrict Collector,' ( WarangaL
rhi. Ens lneo"- rIl6i',;;;; P;611;''Hssrt'h ) ' Hvdoralrad ' worognr'
The comnl,salonor, \,JoronEor uunrolpnr corpo.ratlonr
--;;'
ii;; a;;;ie"ronor, Inrlttsirleg Departntent' PubrIo tierail''rns
'Thd conrnrlssioner, tnt'ormnf i;;-
DeparlmenL,
Tlre Lnw DePat'Lmerrl' --L-^^l
The IncltrsLrles an<J Comlnerce DeplvtmenL '
The P.S. to Chief Minlst'er', Administratiotrl'
The P's, t" Hi;;"t"t"iN;;icipal' Pradesh' Hvderabad'
rhe t\ccourt,t'n''i"il;;;'^i';-;;;;;i- I
SF/SCs '
//Forwnrde''l By Order// Sa/' -----
SECTION OFEICER

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lglt8Tl'lllXllo'
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 : ANNEXUSB _'J. ', i , l

LIST OF
IOTPT{P..4ND FUNCTIONS OF I{AITANGAL MUI.,IC]PAL
CORPOR;\TION TO BIi bXENCISNb NV t'HE ANDiiHA PNAOESH I}{DUSTRIi\L
rHrna$fnucruRE coRpoRATroru r,ruITED,

sl. sgctrorri'li,.uhoA,p. ,'i....,, A

No ' |luni"iltl Co"po"otion Nature ot' powerr/functlon
Act I I 994
-\
l{AIIANOAL
:

1. an ama ko ntl a
H
l. Mini Industrlal
( Bsl"aIe (in Incltrstrial
'aU , ba [c , Warangal )
Es .

z, I{rrnamakonda 2, , Commerci a1 Cc,mplex ,

3. Hanarcakonda
C
3, IndrrstriaJ Eet,at,e
4. l'laLr.radu
{ . l(alcat i ya Au bc nag nr ,

N, S. }IANI}IANAN
PNINCIPAL SECRETARY TO GOYENNMENT
a
a
sd/ -
SECTION OFFICEIT. A

.\ / /nc;estzd/ / A
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.!" it t_- A
i,l'\i ,ArrDl1 (Ui'.r ) A
/',lJI I., , Li,:. ,lt-,i"u ,.,1' ,:l:Ci, ,
A
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,-\
,-\

ANNEXU[ip - r r

Po},lE}rS^NDrUNC,fIoNSoFl'IUNICIPAI,CoTiPoRATIoNSUNDER
ro BE DELEoATED ro'
uyDERABAD MUNTcTPAL coRPoRnti"ii-;ai;-ri6r collPonATroN
A , P, r NDus'rRrAu rNrnnsi'riucrultE l------
SI. Soction (s) ?owqrs and functi":l:

llllAl)'l.lr:lt - Y l.t trN I Q,tj l'ILt--lAldtLQU'

n\rl\r.\/ lrlr -"r3!--L'i+
t \ Municlpar taxatlon'
1, "' 19?' to 203
^.
t\ ,L ' 2O'l t'o 206 \iabllitY ot ProPortY
unxeg

tax '

ztz Lo 21', Valuation of ProPerLY

{, ;::;:;;;i"-
ossegs€ !o' pronertv
taxe s'

AaRcssrtnen'L Book
u, zL'l t'o ZZE
6 , ,z,zs Lo .2 3 r :l::l?1, X;";ii:li!" ancl
f,,'lrtlr'l''tI'vn IlcY l'(txt)n ' '

texes
' '/.Jo
^^o Refr'tnd of ProPertY
7, 232 l,o f or vacanciee.
of
8, 261 ;::r:l;lransfer
'l'oxes '
Correc[toh of
$,
&v 't to 218
'ie I
281 'urit'':1o.,;ll,'"
I'rec t'hkes'
to ' : "

11 , 282
','
zBe tliliti"l'il:=t8xe B ',

\'loltl(tts : :
r:rtrrp't'tttt - f x. Utt^fHli t'"lrll^INAQll '

Llurttclpnl l)ralnu'
2,, 2$o (;o 295 sireet's
1,'
ru'
2uLi Lo 31* '^:l'lir?1,,t;::':?
Prettlises'
DiaPonnI of SeHage
319 to Jz\'
14, .L,^r.ar. c.,,ogeLgr prrvreo
324 Lo 328 x?!;.,:'tn e.,c ' '
16,
ltj
I?.
:ii l: ii[ L:;:::l'??;"isione '

A
A
I

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^4{ I

A
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A
A
crrABT-ER - XLIBGULATTUN -Or STnEETS :

,-t
18. 3?3 urs 396 Constructlon I
Mainl,enance and
Improvement of PubLic'. . a
SLreets Preservstlon of
llegu1 ar Lltte, Ptrblic A
SUreet I Provlslons
concertrlng Private ,,\
Streets.
A
19, ,39? Lo 423 Projec.Liotts &
L, OLrsirttctlons TomPorary
erecLion on SLreete
dtrriug f es Uivols: A
l

Provisione concerning
execution of works in or
n€&^ bo Streeb Naming of ^
Sl,reets etc,, Sk,Y-818ns ,\
& Advertisemettts I
Dangerous placeE i a
20, 424 Lo 427 Lighbing of SLreeLe i a
C}IAPTER - XII BTIIJEDING RECULATIONS :
A
21, '428 to 435 NoLices regarding ,a
ereetiotr bulldlnBs;
Notlces regardtng *.
execut,lon of works not'" a
amoulrting t,o erectlon of
C a buiLdlngi Forme of
Notices;
\- '.436 to ^
22. 443 ComnetrcemenLof works;
'o!
A
23, ,l,l 4 to ,l 6u Provisions as to
gtructttre maLerial etc. A
24, 451 Lo 456 Inspection. ,\
.,i. I

25, 456 Lo 460 Dnngc rotls sLrtlc Lure s , A

26, .16i t,<.: 463 Works \tllIawfuII y carried ,t
oIl .

A
6Af,tY,lrInv
C}IAPTEii - XIV J/ltrlltrrrr P'TOVISIONS:
TT, . Scaveng ing and Cleanlng;
lnspecLion and SanitarY
rrlg\rIaLlon of Pt'otnleee i
ZB, 516 to 524 Regtrloflon of irhc'Lorles A
t.rodos et'c ;,
,
 --3--

1,
3,

cfiAPTER - XI{ PIIOCEDURE :

29, 622 to OO3

!t:,:nces and p.ermisslon
PubIlc Notlces ancl
;

ndvet'llsemenbe ; Servlce
of NoLlces el,c,
- Unaul,hori sed r+or.[e r
Power of Entryi
DnforcenrqnL of or.ders .1,o
exectrte works etc,, ,
Recovery of Expenses by
tlre Comrnlogtonor I
l''ttytttnttt, rll' Llrlnrporurtr l.,.Iott ;
llr.rcovcry of oxI:ottsos ol'
Cornpensatlon In cese of
11 I. slrtr l:o i

30 6?0 Lo 613 M l scel J"onsoue

31. ()1 4 Legal Proceedings

C_HAPqER, -., XXrr SUPELEMENTARY TTROVI S :rqry$

32, 681 Co-operation of PoIlce
33. 682 AssisLance for recoverY
of rent on land'
34. 684 Int'ornrallbies ond errors
ln BBEessments etc, , not
1"o be cleemed to
inverl idate such
aEsessntenl, etc.
.rtr
685 Protecl-i.on o f Persol)s
acting under thls r\cL
nlainet suits.
36, Schedtrle - f Irorrus of Notices of
Tronsf er o'f ProPerties '

1a Schedule - l( Fortn of Notlce of Demand

38, Schedttl.e -i I-r Irorlns of DisLress

o
WarranL

39, Schedule - M Form of Irtvetttory

Notice
 r-\

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:
.A\
--4--

1, 3,

40, Sci:eduli ! N Table of fees payable'in

Distraint,p.
A
41, ScheduIi, - D ,.. , Drainage completl,olrl.,.
' certlflcate A

42, Schedulo - P Articles which ehalI not ,.\

be ltep! wlthou a llcence
ln or upon any, prenrlses
(ParU I to IV) ^
43, 1'lro llyclerabad- liunicipol Corporotlonu t
t (Aesessurenl" of Pr.o1>erLy Ta.r) R,uIesr. 1990 ,.\
44, Municipal Corporatlon Builcllng Bye-Laws, r-
198l;
45, The Bye-Laws for the protection of Avenues,
'l'roca in Putrlic Street,o, Porka ancl othor
Publ.lc or. t'lunlclpal PIaces, 196? i
: .

46, The llyderabad Munlclpal Corpo"ration

(llegislry of the Trnnsf er of ownershlp of
properties in the Agsesgmeni Rulee, 1966, A\

41 , The Bye-larvs Regulating trade,In-Cot,tor.; ." -r

CoLt,on ref rises, Rhgs, Bones, 1,9?i!;
48. The Bye-Lews r.egulatlng stor:itig of ,A
inflammable maberlals and the Llglit.lng'of
( firee in any speclfied portion of the
Cities of Hyderab'ad and Secunderabad, A

(.'
49. Licence Fees for certaln trades under
Secl,ion 52I (1) (e) (11) of I.tyderobad
t4uniclpal Corporetlon AcL, 1955,

N . S.IIANIIIAIIAN
PITINCIPAL SIICR.IJ'INIIY'TO GOVENNMENT

sd/_
SECTION OF'IIICTIl,

//ATTESTD,N//
,..\
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M^NAGER ( LAW )
At'I IC r Lr\C, I{IIAD OFFI.CE