Provided that the State Government may direct that the said provision shall apply subject to such modifications and restrictions as may be prescribed.

Government contribution to Primary Education Fund :- When a Primary Education Fund is constituted under Section 362, the State Government shall contribute thereto a sum not less than the proceeds of taxation levied under section 364 on behalf of the fund:

Provided that such contribution shall be, in addition to and not in lieu of the amount of recurring expenditure incurred from the Consolidated Fund of the

State during the financial year before coming into force of the provisions of this

chapter in Primary Schools managed or aided by the municipality for which

¹ Substituted by the Orissa Act 11 of 1994, w.e.f. 31.05.1994.

such Primary Education Fund has been constituted: Provided further that if and when the State Government transfer the management of any Primary School directly managed or aided by them to the

THE ORISSA MUNICIPAL ACT, 1950 137) municipality, the amount of expenditure made on such a School from the Consolidated Fund of the State during the year immediately preceding the year of such transfer shall be contributed by the said Government to the said municipality.