Power of municipality to frame regulation regarding establishment :

Subject to the provisions of this Act and of any rules made thereunder, the municipality ata meeting, specially convened for the purpose, by a resolution in favour of which not less than two-thirds of the Councillors present at such meeting shall have voted, may subject to the approval of the State Government, make regulations in respect of officers and servant on its staff of—

1. (a) fixing the grades and scales of salaries, fees and allowances;
2. (b) fixing the amount and nature of the security to be furnished; (¢) laying down educational or other qualifications;
3. (d) regulating the grant of leave, leave allowances, acting allowances and travelling allowances:
4. (f) fixing the rates at which and conditions under which pensionary contributions shall be paid;

1. (2) establishing and maintaining Provident Funds or Annuity Funds and making contributions thereto compulsory, and for supplementing such contribution out of the Municipal Fund for the payment of moneys out of such Provident Fund; 1. State Governemnt's power to declare Municipal Officer to be public servants-repeated by the Orissa Municipal (Amendment) Act, 1952 (Orissa Act X11 of 1953) 5.5 (€& THE ORISSA MUNICIPAL MANUAL
   • (h) regulating conduct; and
     • (i) generally laying down conditions of services and method of recruitment of officers and servants of the municipality; Provided that —
     • (i) the amount of any leave, leave allowances, travelling allowances, pension or gratuity, provided for in such regulations, shall in no case, without the special sanction of the State Government, exceed what could be admissible in the case of State Government servants of similar standing and status; and
     • (ii) the conditions under which such allowances are granted or any leave, superannuation or retirement is sanctioned, shall not, without similar sanction, be more favourable than those for the time being in force for such State Government servants.

² Deleted by the Orissa Act 5 of 1988, w.e.f. 17.12.1987.