Chapter VII MUNICIPAL ESTABLISHMENT

Municipal establishments:

1. (1) Save as otherwise provided in this Act, a Municipal corporation or a municipal council may have all or any of the following officers:
   • (a) an Executive Officer by whatever designation it is called;
   • (b) a Health Officer;
   • (c) an Engineer;
   • (d) a Finance Officer;
   • (e) a Town Planner;
   • (f) a Secretary;
   • (g) an Office Superintendent;
   • (h) one or more than one Sub-Assistant Engineer;
     • (i) one or more than one Sanitary Inspector;
   • (j) a Head Clerk;
   • (k) a Head Assistant;
   • (l) an Accountant;
   • (m) a Surveyor;
   • (n) a Draftsman;
   • (o) such other officers as may be designated by the State Government in this behalf: Provided that the State Government may reduce the number of posts of the officers as aforesaid for any Municipality: Provided further that the State Government may by order re-designate any of the posts of the officers as aforesaid in respect of any Municipality.
2. (2) A Municipal Board may have anyone or more of the officer mentioned at sub-section (1) as the State Government may, having regard to the function of the Board and the revenue generated by the Board, sanction from time to time.
3. (3) Until the cadre of common municipal service for the State is constituted under sub-section (1) of section 62, and subject to the provisions of sub-section (1) of this section, the Board of Councillors may, at a meeting, determine which of the officers referred to in sub-section (1) of this section are necessary for a Municipality, and, with the prior sanction of the State Government, create posts of such officers and fix the salaries and allowances to be paid and granted to such officers.
4. (4) The Board of Councillors at a meeting may, subject to the norms regulating the size of the municipal establishment for each Municipality and the categories or designations of officers and other employees of each Municipality with their scales of pay as may be fixed by the State Government from time to time, determine what officers and other employees, other than the officers mentioned in sub-section (1), are necessary for a Municipality, create posts of such officers and other employees, and fix the salaries and allowances to be paid and granted to such officers and other employees.
5. (5) Subject to the norms regulating the size of a municipal establishment as may be fixed by the State Government under sub-section (4), no post of an officer or other employee shall be created under sub-section (4) by the Board of Councillors of a Municipality without the prior sanction of the State Government, if the number of posts to be so created in a year for a Municipality is more than one percent of the total number of sanctioned posts of officers and other employees in existence in the year immediately preceding: Provided that the number of posts so admissible for creation in a year without the prior sanction of the State Government after the Commencement of this Act, if not created in that year, may be carried forward to the next year, subject to a minimum of one and a maximum of ten.
6. (6) Notwithstanding anything contained in sub-section (1), sub-section (3), sub-section (4) or sub-section (5), the Board of Councillors of a Municipality may, with the prior sanction of the State Government, create, if it considers necessary so to do for due discharge of municipal functions, a post of an officer or other employee which is not included in the norms as may be fixed by the State Government under sub-section (4), and fix the salaries and allowances to be paid and granted to such officer or other employee.
7. (7) Until norms are fixed under sub-section (4), no post of officer or other employee shall be created by the Board of Councillors of any Municipality without the prior sanction of the State Government.

Cadre of common municipal service, appointments, etc.: The State Government may constitute a cadre of common municipal service for the State in respect of Executive Officers, Health Officer, Engineers and Finance Officers referred to in sub-section (1) of section 61.

1. (1) The State Government shall be the appointing authority of all the officers borne in the cadres constituted under sub-section (1), and shall be authority to transfer such officers from one municipal area to another: Provided that until the cadre is constituted under sub-section (1), the Board of Councillors may, with the prior approval of the State Government, engage the officers to the posts of Health Officers and Engineers, sanctioned by the State Government, on contract basis or otherwise, and the qualification and the recruitment procedure for such engagements shall be such as may be prescribed: Provided that the remuneration for such engagements shall be paid from the Municipal Fund.
2. (2) The appointment of all other officers and employees, not included in sub-section (1) shall be made by the Municipality with the prior approval of the State Government.
3. (3) The recruitment to the post of officers and other employees not required to be made through the Municipal Service Commission constituted under sub-section (1) of section 63, shall be made through the local employment exchange or through such other method as the State Government may determine from time to time.
4. (4) Save as otherwise provided in this Act, the State Government may by rules provide for the qualification for appointment, conditions of service and other allied matters relating to the officers and employees of Municipalities.

Municipal Service Selection Board:

1. (1) The State Government may appoint a selection Board Consisting of a Chairperson, a Secretary, and two other Members for selection of municipal officers and employees as may be required from time to time as under-

Director, Urban Development Department Two Councillor of concerned municipality

1. (2) The State Government may by Rules provide for the manner in which the Selection Board shall work.

Salaries and allowances of officers and employees:

1. (1) All officers and employees of a Municipality including the officers referred to in section 61 shall receive salaries and allowances out of the Municipal Fund: Provided that the State Government may make such contribution towards the salaries and allowances as it may, from time to time, determine by an order.
2. (2) The Municipality may also provide for pension, gratuity, provident fund, incentive, bonus, reward or penalty for its officers and employees in accordance with such rules, norms, scales and conditions as may be prescribed.

Leave and other conditions of service: All officers and employees of the Municipality shall be subject to such conditions of service including leave and other benefits or obligations, not specifically provided for in this Act, as may be prescribed.

Compulsory retirement of municipal officers and other employees:

1. (1) Notwithstanding anything contained in this Chapter or elsewhere in this Act or in any rules made thereunder, a municipal officer or other employee shall retire from service compulsorily with effect from the afternoon of the last date of the month in which he attains the age of fifty eight years or other age of years as the State Government may by a notification fix from time to time.
2. (2) No municipal officer or other employee shall be re-employed after retirement in any post without the prior sanction of the State Government.

Power to declare essential service in municipalities: Notwithstanding anything to the contrary contained in any other law for the time being in force, the Board of Councillors may, with the sanction of the State Government, declare any cadre or class of municipal employees to be in essential service and upon such declaration, no employee of such cadre or class shall withdraw from his duties without the permission of the Chairman and, in no case, without giving prior notice of clear thirty days to the Chairman of his intention so to do.

Appointment of officers of State Government for Municipalities: Notwithstanding anything contained elsewhere in this Act, the State Government may appoint an officer of that Government possessing such qualifications as may be determined by it for a Municipality or group of Municipalities as Executive Officer, Health Officer, Engineer, Finance Officer or other officer or employee referred to in sub-section (1) of section 61 or with such designation as the State Government may consider necessary, in such manner, and on such terms and conditions of service, as may be determined by the State Government in this behalf. The expenditure on account of salaries and allowances of any such officer shall be borne by the State Government: Provided that the officer so appointed shall be under the administrative control of the Board of Councillors of the Municipality and may be withdrawn by the State Government suo motu or if a resolution to that effect is passed by the Councillors at a meeting called for this purpose by a majority of the total number of members holding office for the time being and, in the case of a group of Municipalities, if such resolution is so passed by the Councillors of the majority of such group of Municipalities.

Powers and functions of Executive Officer and Finance Officer:

1. (1) The Executive Officer shall be the principal executive officer of the Municipality and all officers and other employees of the Municipality shall be subordinate to him. He may be required to be present at a meeting of the Councillors or of any committee by the Chairman to make a statement or to explain facts, but he shall not vote for or against, or make any proposition at such meeting.
2. (2) Subject to the supervision and control of the Chairman, the Executive Officer and the Finance Officer shall exercise such powers and perform such functions as may be notified by the State Government from time to time.

Classification, control and appeal:

1. (1) The Chairman shall be the executive head of the municipal administration and shall exercise control over all officers and employees in the matter of discipline.
2. (2) The Chairman may delegate his power to any other member of the Executive Council or an officer of the Municipality in such manner as he may specify by an order.
3. (3) Subject to the provision of sub-section (5) the punishment for breach of discipline may include dismissal from service, reduction in rank, withholding of increment, suspension including suspension pending proceedings, fine and censor.
4. (4) In all disciplinary matters involving dismissal from service and reduction in rank, an appeal shall lie before the Board of Councillors, which shall be the appellate authority.
5. (5) No disciplinary action shall be taken by a Municipality against any officer borne in cadre of common municipal service for the State constituted under sub-section (1) of section 62 or any officer of the State Government appointed for a Municipality or group of Municipalities under section 68.
6. (6) The State Government may by rules provide for the norms of conduct of the officers and employees of the Municipalities and such other matters regarding discipline and control as it may think fit.

Appointment of a Pay Review Committee: Notwithstanding anything contained elsewhere in this Act, the State Government may, if it considers necessary for the purpose of rationalising the scale of pay and other terms and conditions of service, including leave and retirement benefits, in respect of all or any category of municipal officers and employees, appoint a Pay Review Committee, and the decision of the State Government upon the recommendations of such Committee shall be binding on all.