LOCAL GOVERNMENT ACT

1976
Haliza Abdul Rahman
JKPP, FPSK
 BACKGROUND

 The Malaysian government system is divided into

three levels – namely
i. federal,
ii. state and
iii. local governments
 Consequently, the state government has the right to
determine types of programmes and policies that
are suitable for their local governments.

 Morever, the local government's status and position

is provided in the Malaysian Constitution, whereby
the Constitution states that the local government is
under the power and control of the respective state
governments.
 Under Item 4 in List 2 of the in the 9 Schedule, the
Malaysian Federal Constitution stipulates local
government to a subject under the State List.
Hence, all local authorities fall under the exclusive
jurisdiction of the state governments.
 This is a special provision stipulated in the
Malaysian Constitution to administer, formulate
policies, develop and control for the local
government, which is known as The National
Council for Local Government (NCLG).

 The local governments derive their power and

autonomy through the process of decentralization
from the state government.
 Though they have little power and autonomy, they play an
important role in providing basic facilities and services, as
well as maintaining infrastructures. The local government,
to that extent could to find their own revenue such as getting
involved in the privatization projects and so forth.

 Following an amendment to the Malaysian Federal

Constitution, the government enacted, under Article 95A,
the National Council for Local Government ( NCLG) to
advise and coordinate the local authorities in matters
especially pertaining to legal and major policy issues.
 INTRODUCTION
 LOCAL GOVERNMENT ((Malay: kerajaan tempatan or
pihak berkuasa tempatan (PBT)) - An administrative
body for a small geographic area, such as a city and town. A
local government will typically only have control over their
specific geographical region, and can not pass or enforce
laws that will affect a wider area. Local governments can
elect officials, enact taxes, and do many other things that a
national government would do, just on a smaller scale.
 The administration or the governing body of the
local affairs of a city, town, or other district by its
inhabitants and provide public services.

 Local governments are usually referred to as

councils (majlis), headed by a civil servant with the
title President (Yang Di-Pertua) for rural districts
and municipalities, and Mayor (Datuk Bandar) for
cities.
 The early history of the local government in Malaysia
started since the days the country was under the British rule.

 The first local government in Malaysia was formed in

Penang and it was known as Committee of Assessors who
were responsible for the planning and development of the
city of Georgetown in Penang.

 Its members were chosen from local citizens, whilst its

chairman was appointed from among the British officials.
 There are currently four type of local governments in Malaysia:

• City - City Hall (Majlis Bandaraya) or City Council (Dewan Bandaraya)

(e.g. Kuala Lumpur City Hall, literal meaning: council of a main town)

• Municipality - Municipal Council (Majlis Perbandaran) (e.g. Ampang

Jaya Municipal Council literal meaning: council regarding a town)

• Rural area - District Council (Majlis Daerah) (e.g. Hulu

Selangor District Council, literal meaning: area council)

• Special and modified local authority - Corporation, Development Board,

Development Authority or simply Pihak Berkuasa Tempatan (e.g.
Putrajaya Corporation)
 Local governments act within powers delegated to them by
legislation or directives of the higher level of government.
In Malaysia, local government comprises the third tier of
government. Local government is the lowest level in the
system of government in Malaysia—after federal and state.

 It has the power to collect taxes (in the form of assessment

tax), to create laws and rules (in the form of by-laws) and
to grant licenses and permits for any trade in its area of
jurisdiction, in addition to providing basic amenities,
collecting and managing waste and garbage as well as
planning and developing the area under its jurisdiction.
 Local governments are generally under the
exclusive purview of the state governments as
provided in the Constitution of Malaysia, except for
local governments in the federal territories. The
federal Ministry of Housing and Local Government
plays a role in coordinating and standardizing the
practices of local governments across the country.
 However, a constitutional amendment was made in 1960
that provides for the establishment of a consultative
committee called the National Council for Local
Government. Membership of this council consist of a
federal cabinet minister as the chair, a representative from
each state governments as well as no more than 10
representatives of the federal government. Although its role
is to be consulted in the matters of law governing local
authorities, this 1960 constitutional amendment also
provided the chair a casting vote thus gave the federal
government a big clout on local government.
 The most overreaching piece of law passed by the
parliament to control the operation of local
government in Malaysia is the Local Government
Act 1976 (Act 171). This act of parliament outlines
the form, organisational structure, functions and
responsibilities of a local authority.
 At the same time, the Town and Country Planning
Act 1976 (Act 172) was promulgated to overcome
the weaknesses in the planning of land use in local
area. This Act 172 puts the primary physical
planning responsibility at local level to the local
government. Additionally, the Street, Drainage and
Building Act 1974 (Act 133) explains several other
role of local authority regarding drainage,
maintenance of municipal roads as well as public
buildings.
 Among the basic criteria for granting City status on a local
government is that it has a minimum population of 500,000 and
an annual income of not less than RM 100 million.

 For a municipal status, the minimum population is 150,000 with

an annual income of not less than RM 20 million. These are the
latest criteria approved during the State Council Meeting for
Local Government in June 2008.

 The previous criteria is a minimum of 100,000 residents and

minimum annual income of RM 20 million for City and a
minimum of 100,000 residents and minimum annual income of
RM 5 million for Municipality
 In case of Sabah, local government in Sabah has
controlled by State cabinet under the Ministry of
Housing and Local Government and local
government in Sarawak lies under the Ministry of
Health and Environment.
 LOCAL GOVERNMENT ACT 1976
 Shall apply only at Peninsular Malaysia

Contain:

 PART I – Preliminary
 PART II – Administration of Local Authorities
 PART III – Officers and Employees of Local Authority
 PART IV – Conduct of Business
 PART V – General Financial Provisions
 PART VI – Accounts and Audit
 PART VII – Public Places
 PART VIII - Pollution of Streams
 PART IX – Food, Markets, Sanitation and
Nuisances
 PART X – Fire Services
 PART XI – Burial Places, Crematoria and
Exhumation
 PART XII – Further Powers to Local Authority
 PART XIII – By Laws
 PART XIV - Miscellaneous
 PART XV – Rating and Valuation
 PART XVI – Special Provisions
 PART I – IMPORTANT DEFINITION

1. Local Authority : means any city council, municipal

council or district council

2. Nuisance : means any act, omission or thing

occasioning or likely to occasion injury, annoyance,
offence, harm, danger or damage to the sense of sight,
smell or hearing or which is or is likely to be injurious
or dangerous to health or property or which affects the
safety or the rights on the inhabitants at large
3. Occupier : the person in occupation of the premises in respect of
which the word is used or having the charge, management or
control thereof either on his own account or as agent of another
person but does not include a lodger.

4. Owner:
(a) In relation to any land or building, means the registered
proprietor of the land and, if in the opinion of the local authority
the registered proprietor of the land cannot be traced, the person for
the time being receiving the rent of the premises in connection with
which the word is used whether on his own account or as agent or
trustee for any other person or as receiver or who would receive the
same if such premises were let to a tenant; and
(b)In the case of subdivided buildings, includes the management
corporation and any subsidiary proprietor.

5. Sewage : has the same meaning assigned to it under the Sewerage

Services Act 1993 (Act 508)

6. Street : any road, square, footway, passage or service road, whether

a thoroughfare or not, over which the public have a right of way, and
also the way over any bridge, and also includes any road, footway or
passage, open court or open alley, used or intended to be used as a
means of access to two or more holdings whether the public have a
right of way over it or not, and all channels, drains and ditches at the
side of any street shall be deemed to be part of such street.
PART VIII – POLLUTIONS OF
STREAMS
 Section 69 – committing nuisance in streams, etc.

- Any person who commits a nuisance or deposits any filth in or

upon the bank of any stream, channel, public drain or other
water-course within the local authority area shall be guilty of an
offence and shall on conviction be liable to a fine not exceeding
two thousand ringgit or to a term of imprisonment not exceeding
one year or with both and to a further fine not exceeding five
hundred ringgit for each day during which the offence is
continued after conviction.
 Section 70 – pollution of streams with trade refuse, etc.

 Any person who, within or without the limits of a local

authority area –
(a). Puts or causes to be put or to fall or to flow or knowingly
permits to be put or to fall or to flow or to be carried into any
stream, so as either singly or in combination with other acts of the
same or any other person to interfere with its due flow or to pollute
its waters, the solid or liquid refuse or any manufactory,
manufacturing process or quarry or any rubbish or cinders or any
other waste or any putrid matter;
(b) Cause to fall or flow or knowingly permits to fall or flow or
to be carried into any stream any solid or liquid sewage matter; or

(c) uses, for the purpose of carrying on any laundry trade, any
stream, channel, public drain or other water-course or pool, pond
or tank,

Shall be guilty of an offence and shall on conviction be liable

to a fine not exceeding five thousand ringgit or to a term of
imprisonment not exceeding two years or with both and to a
further fine not exceeding five hundred ringgit for each day
during which the offence is continued after conviction.
PART IX – FOOD, MARKETS,
SANITATION AND NUISANCES
 Section 72 – powers – local authority shall have
power to do all of the following things,

(a) To establish, maintain and carry out such sanitary

services for the removal and destruction of, or otherwise
dealing with, rubbish, litter, dead animals and all kinds to
refuse and effluent;
(b) To establish, erect, maintain, let, control and manage markets
and markets buildings, lodging houses, houses, rooms or buildings
kept for public refreshment, shops, stalls and stands, and to control
the occupation and use thereof;

( c) to license temporary buildings, stalls, tables, show boards,

barrows, carts, tricycles or other receptacles, whether stationary or
otherwise, set up or used for the sale or exposing for sale of –
i) any food or drink in streets, public places or places of public
resort or on private premises
ii)goods other than food or drink in streets, public places or places
of public resort, and to seize, destroy or dispose of the same if they
are not so licensed;
(d) To establish, erect and maintain public lavatories, closets and
urinals, either above or below ground in any public place

(e) To establish, erect, maintain and control abattoirs, whether within

or without the local authority area

(f) To safeguard and promote the public health and to take all necessary and
reasonably practicable measures –
(i) for preventing the occurrence of any infectious, communicable or
preventable disease
(ii) for maintaining its area in a clean and sanitary condition
(iii) for preventing the occurrence of, or for remedying or causing to be
remedied, any nuisance or condition likely to be injurious or dangerous to health
(g) To establish, erect, equip, maintain, control and operate cold
storage works and depots for the inspection of meat

(h) To establish, erect, equip, maintain, control and operate

depots for the inspection, treatment, distribution, purchase and sale
of milk and milk products

(i) To establish, acquire, erect, maintain, control and operate

laundries and places for washing clothes; and

(j) To establish, erect, maintain, control and operate disinfecting

stations.
 Section 73 – By-laws
Section 73(1)- A local authority may from time to
time make, amend or revoke by-laws for the better
carrying out of the provisions of this Act

 Section 75 – power to enter and cleanse houses or

buildings
 Section 76 – destruction of rats and mice

 Section 77 – closing and demolition, etc. , of insanitary

dwellings

 Section 80 – nuisances to be abated

 Section 82 – notice requiring abatement of nuisance

 Section 84 – power to proceed where cause of nuisance arises

local authority area
PART XI – BURIAL PLACES,
CRENATORIA AND EXHUMATION
 Section 95 – penalty for unlawful burial

 Section 96 – power to close burial grounds and

crematoria

 Section 97 – exhumation of corpses

PART XII –FURTHER POWERS OF
LOCAL AUTHORITY
PART XIII – BY-LAWS

 Section 102 – general power to make by-laws

 102A – prescribe fees and charges

 104 – penalties for breaches of by-laws

 SABAH AND SARAWAK

 Article 95D of the Malaysian Constitution however

bars the Parliament to create laws pertaining land
and local government for the states of Sabah and
Sarawak. Furthermore, article 95E excludes the
states from following laws formulated by the
National Council for Local Government.
 However, both state governments still send their
representative to the consultative meetings of the
committee as observer without any voting rights.
 In Sabah, the local authorities were established
through provisions under the Local Government
Ordinance 1961.

 This ordinance also outlines the responsibility and

function of local councils in Sabah. A state ministry,
the Ministry of Local Government and Housing,
created for the first time after the state election in
1963, governs the operation of local authorities in
the state.
 In Sarawak, local authorities were established under
the Local Authority Ordinance 1996. This
ordinance is the successor of pre-independence law,
the Local Government Ordinance 1948.

 Other laws regulating the running of local

authorities in Sarawak include Building Ordinance
1994, Protection of Public Health Ordinance 1999
as well as by-laws formulated under this main laws.
 Meanwhile, the local authorities in Kuching area were
established under the provision of Kuching Municipal
Ordinance 1988 and City of Kuching North Ordinance
1988. Under these ordinances, there are currently three local
authorities in Kuching area, namely Kuching North City
Hall, Kuching South City Council and Padawan Municipal
Council.

 The latter two however were later governed under the Local
Authority Ordinance 1996. The state Ministry of
Environment and Public Health is responsible for
overseeing the running of local councils in the state
Thank you