Chapter II ESTABLISHMENT OF CORPORATION

3.

1[Specifying larger urban area and establishment] of Corporation, etc.-

1[(1) The Governor may, having regard to,-

1. (a) the population of any area;
2. (b) the density of population of such area;
3. (c) the revenue generated for the local administration of such area;
4. (d) the percentage of employment in non-agricultural activities in such area;
5. (e) the economic importance of such area; and
6. (f) such other factors as may be prescribed; specify by notification such area to be larger urban area; Provided that no such area shall be so specified as a larger urban area unless,-
7. (a) such area contains a population of not less than three lakhs;
8. (b) the density of population in such area is not less than three thousand inhabitants to one square kilo meter of area;
9. (c) the revenue generated from such area for the local administration in the year of the last preceding census is not less than rupees six crores per

annum or an amount calculated at the rate of rupees two hundred per capita per annum, whichever is higher;

1. (d) the percentage of employment in non-agricultural activities is not less than fifty percent of the total employment: Provided further that no such notification shall be issued except after consulting the local authority, if any, concerned. (1A) Any area specified as larger urban area under sub-section (1) shall be deemed to be a city and a corporation shall be established for the said city. (1B) The name of the city shall, where the local area having two or more local authorities form the city, be as determined by the Governor.] (2)The Corporation shall be a body corporate by the name “the Corporation of the City of ................” and shall have perpetual succession and common seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property and to contract and may, by the said name, sue and be sued. 1[Provided that the “Corporation of City of Bangalore” shall be called the “Bruhat Bangalore Mahanagara Palike”.]

¹ Substituted by Act 35 of 1994 w.e.f. 1.6.1994.

¹ Inserted by Act 2 of 2009 w.e.f. 13.01.2009.

1[larger urban area] .- (1)

1[The Goveror may having regard to the provisions of clauses (a) to (f) of sub-section (1) of section 3 and] , subject to the provisions of sub- section (2), by notification,-

1. (a) include within the limits of the 1[larger urban area] and local area adjacent thereto; or
2. (b) exclude from the limits of the 1[larger urban area] and local area comprised therein; and every such notification shall define the limits of the local area to which it relates.

¹ Substituted by Act 35 of 1994 w.e.f. 1.6.1994.

1. (2) No such notification shall be issued unless a draft thereof is,-
   • (a) published in the official Gazette for the information of all persons likely to be affected thereby inviting objections and suggestions within 1[one month] from the date of publication; and
   • (b) referred to the corporation for expressing its views thereon within the period specified in clause (a).
2. (3) Save as otherwise provided in this Act or any other law for the time being in force, when a local area is excluded from the 1[larger urban area] ,-
   • (i) the rights and liabilities of the corporation in such area shall vest in Government; and
   • (ii) Government shall, after consulting the corporation, determine what portion of the corporation fund and other property of the corporation shall vest in Government for the benefit of the inhabitants of such local area and how the liabilities of the corporation shall be apportioned between the corporation and Government.
3. (4) When a local area is included in the 1[larger urban area] , the provisions of this Act and all taxes, notifications, rules, bye-laws, orders, directions and powers, levied, issued, made or conferred under this Act or any other law applicable to the 1[larger urban area] shall apply to the said area from the date of inclusion of such area within the 1[larger urban area] .

¹ Substituted by Act 11 of 1979 w.e.f. 17.11.1978.

¹ Substituted by Act 35 of 1994 w.e.f. 1.6.1994.

¹ Substituted by Act 35 of 1994 w.e.f. 1.6.1994.

It shall be the duty of the corporation to cause at its own cost to be erected or set up and thereafter maintain at its own cost substantial boundary marks of such description and in such position as shall be approved by the Deputy Commissioner of the revenue district having jurisdiction, defining the limits or the altered limits, as the case may be, of the city which is subject to its authority.