Agenda for 211th meeting of Municipal Corporation Date : 31.10.2014 Time : 11.00 a.m. Venue : Assembly Hall

Municipal Corporation New Deluxe Building, Sector -17E, Chandigarh – 160017 AGENDA ITEM NO. 211.1

Subject: Confirmation of the minutes of 210th meeting & Special meeting of the General

House held on 25.09.2014 at 11.00 a.m. & 09.10.2014 at 11.30 a.m. respectively

in the Assembly Hall of the M.C., Chandigarh. AGENDA ITEM NO. 211.2

Subject: Election of the one member Finance and Contract Committee for the year –

2014. AGENDA ITEM NO. 211.3

QUESTION/ANSWER

By Sh. Satinder Singh, Councillor, Municipal Corporation, Chandigarh

regarding recent Study Tour for the year 2014. AGENDA ITEM NO. 211.4

No.6/1/4-FII(8)-2014/

CHANDIGARH ADMINISTRATION

LOCAL GOVERNMENT DEPARTMENT.

Chandigarh, dated the 22.09.14

To

The Commissioner, Municipal Corporation, Chandigarh.

Subject: Introduction of Property Tax on residential buildings.

Reference your letter No.Jt.CMC-II/Tax/SA-1/2014/879, dated 24.3.2014, on the subject noted above.

2. Kind attention is invited to order dated 4th July, 2013 issue by the Chandigarh

Administration according to which financially viable and buildings in conformity with the provisions under Sections 90(1)(2)(3)(4) and 5, 91(1), 93, 96, 97(1) of the Municipal corporation, Act,

1976 (as extended to U.T., Chandigarh), was required to be submitted within three months.

However, the proposal received vide letter under reference does not meet the requirement of orders referred to above and apparently evades the recommendations of the Second Delhi

Finance Commission and breaches various clauses of the “Memorandum of Agreement” entered into with the Ministry of Urban Development, Government of . 3. Accordingly, the Government of Union Territory of Chandigarh, exercising the powers conferred by Sub Section (4) of Section 90 of the Act, is pleased to direct the Municipal

Corporation, Chandigarh to reconsider and revise its earlier proposal for imposition of tax on residential lands and buildings to bring it in conformity with the Act and make it financially more reasonable and economically viable and further directs that the above direction should be complied with by the Municipal Corporation, Chandigarh urgently.

Sd/- Joint Secretary Local Govt., For Secretary Local Govt., Chandigarh Administration. AGENDA ITEM NO. 211.5

Subject: Fixing of rent in respect of newly constructed 04 nos. office space at over bridge, Sector 17, Chandigarh.

The Municipal Corporation, Chandigarh has constructed 04 nos. of office spaces at

2nd & 3rd floor at over bridge, Sector 17, Chandigarh. The total area of above 04 office spaces is over bridge, Sector 17, Chandigarh is 30331.60 (7582.90 X 4) Sq. Fts.

A committee was constituted by the Commissioner, MC vide order dated

22.08.2013 for framing of policy for the disposal of the properties recently constructed by

Municipal Corporation, Chandigarh.

The said committee held its meeting on 27.08.2014 at 11.00 am under the chairmanship of Additional Commissioner, to deliberate regarding disposal of office spaces at 2nd and 3rd floor at over bridge, Sector 17, Chandigarh, where the following were present:

1. Executive Engineer, R-1, MCC 2. Executive Engineer, R-2, MCC 3. Executive Engineer, R-3, MCC 4. Executive Engineer, (W&E), MCC 5. Assistant Controller (F&A), Estate, MCC 6. Section Officer (Estate), MCC

The above committee discussed the matter regarding fixing the monthly rent of newly constructed SCOs/office space at over bridge, Sector 17, Chandigarh. The Executive

Engineer, R-1 apprised that there 04 Nos. SCOs for office space at 2nd & 3rd floor of over bridge,

Sector 17, Chandigarh measuring 30331.60 (7582.90 X 4) Sq. Fts. The Executive Engineer supplied calculations sheet for assessment of rent of building adjoining Financial

Corporation in Sector 17-A & B, Chandigarh as per CPWD Manual as received from office of

CEMC. The Executive Engineer, R-1 has calculated rent on the basis of collector rate @

Rs.148/- per sq. ft. per month for Sector 17, Chandigarh and Rs.42/- per sq. ft. per month as per rates fixed by Chandigarh Administration for government institutions as per notification No.31/1/410-UTFI(4)/2010/2009, dated 15.03.2010. A copy of the calculation sheet is annexed herewith as Annexure-A.

The AC (F&A), Estate, apprised that four requests have been received from

Government Institutions for the above space namely NIELIT, Income Tax Department, Oriental

Insurance Company and Debts Recovery Tribunal-I (Ministry of Finance). While NIELIT, Income

Tax Department and Debts Recovery Tribunal-I (Ministry of Finance) has expressed interest in taking the above space on rent, the Oriental Insurance Company has expressed interest in purchasing the space. A copy of the four requests received from above organizations, are enclosed herewith as Annexure-B, C, D & E respectively.

The Chandigarh is the Capital of States of Punjab and Haryana. In addition to office of the above two state Governments and UT Administration, a large number of Central

Govt. Departments also operates from Chandigarh covering the region. Land and space is in short supply in Chandigarh and Government Departments are basically engaged in one or other public services. Therefore, the committee was of the opinion that the space may be rented/sold to government or government owned institutions.

After discussion, it was decided by the committee to recommend that we may rent out space at Rs.75/- per sq. ft. per month plus taxes as applicable with rentee/lessee being liable to pay any other taxes, levies, cess, etc. The detailed terms and conditions for the same to be decided at an administrative level.

The matter is placed before the General House of the Corporation for consideration in the matter and decision please.

Additional Commissioner-I AGENDA ITEM NO. 211.6

Subject: Hiring of 20 nos. Tractor Trolleys.

An Agenda item no.208.32 was placed before the General House of Municipal

Corporation in its 208th meeting held on 28.07.2014.

In the said agenda the comparative statement was placed for taking decision in case of hiring or in case of purchasing of 20 nos. Tractor Trolleys. The said agenda was not discussed at length, however, the General House resolved as under:-

“The House considered & approved extension for three months i.e. beyond 31.7.2014 for hiring of 20 nos. Tractor Trolleys from M/s Engg. Works and M/s Capital Security

Services on the basis of same rate and conditions.”

The Comparative statement for taking appropriate decision as to hire 20 nos.

Tractor Trolleys from the Service provider or purchase new one has been prepared which is annexed as Annexure “A”.

As per comparative statement the annual financial implication in regard to hire and purchase 20 nos. of Tractor trolleys is as under:

Financial Implication In case of hiring In case of purchase

Expenditure involved for 1 Rs.2376/- Rs.3829/-

Tractor Trolley for one day. (3 trips daily)

Annual Exp. For 20 Tractor 2376X30x12x20=1,71,07,200/- 3829 X 30 X 12 X 20 =

Trolleys 2,75,68,800/- Annual excess expenditure per comparative statement which will be incurred in case Tractor Trolleys are purchased is as under:-

Rs.2,75,68,800/-

(-) Rs.1,71,07,200/-

Rs.1,04,61,600/- (Approx. Rs.104.61 Lacs)

It is worthwhile to mention here that the work was allotted on 1.4.2013, as per the

DNIT the said contract can be extended up to 3 years. Keeping in view of the performance for lifting dry leaves/horticulture waste/solid waste from Municipal limits. The last extension was given by the General House from 1.8.2014 to 31.10.2014.

Agenda is placed before the General House to decide whether the 20 nos. of

Tractor trolleys are to be purchased or hired.

a) In case these are to be hired, whether a new e-tender is to be floated or existing contract

be extended for 1 year i.e. upto 31.3.2015. The present contract was allotted on 1.4.2013.

In case a new e-tender is to be floated, extension to the existing contract may be given for

3 months beyond 31.10.2014 or finalization of e-tender whichever is earlier.

b) In case these are to be purchased, present tender be extended upto 28.2.2015 or

completion of purchase and fabrication process whichever is earlier.

M.O.H. AGENDA ITEM NO. 211.7

Subject: Regarding purchase of Road Sweeping Machines.

The matter regarding introduction of road sweeping in the more areas has been discussed in the various meetings of F &CC and General House. During the various discussions held, it has been suggested that more road sweeping machines are required for effective upkeep of sanitation services in the city. It has also been discussed that small machines be also purchased for internal roads, parking and market places. Municipal Corporation, Chandigarh has recently awarded with the Best Sanitation Prize in the city by ABP News. Thus, it is requires that more attention be given to maintain and improve the existing sanitation conditions of the city. Recently, a Sweeper namely Sh. Amrik Singh s/o Sarup met with an accident while carrying out sweeping in Sector 31 and was severely injured.

The Municipal Corporation, Chandigarh is at present having 03 road sweeping machines which were purchased during the year 2008. The primary merits of Mechanized Road Sweeping are given as under :-

1. Primarily for aesthetic improvement of the roadways. 2. Maintain roadside safety, to lower chances of road accidents 3. Remove roadside debris before it clogs storm sewers or ends up degrading area streams. 4. Improve safety, health and working condition of human beings involved in sweeping 5. Improve record on road cleaning expenditure and effectiveness e.g. expense per hour or kilometer of road cleaned.

Agenda is placed before the General House of the Municipal Corporation, Chandigarh for discussion as regards to purchase of more road sweeping machines.

M.O.H. AGENDA ITEM NO. 211.8

Subject: Continuation of Swachcha Bharat Abhiyan.

A special meeting of F&CC held on 27.10.2014 resolved that “The manpower and tractor trolleys hired and sanitation material purchased during the Swachcha Bharat

Abhiyan be continued further and matter in this regard may be placed before the General

House for approval.”

It is submitted that the following infrastructure was hired/purchased for carrying out the Swachcha Bharat Abhiyan w.e.f. 25.9.2014 to 25.10.2014. If this campaign is to be further carried out then the monthly expenditure will be as under:-

Sr. Requirement Tentative No. expenditure

1. 90 Safaikaramcharis through existing firm i.e. M/s TDS Management 9.50 lacs Consultant (P) Ltd. @ 2.18% admn. Cost on DC rates plus statutory payments as applicable.

2. 4 nos. of Tractor Trolleys i.e. 2 from M/s Malwa Engineering Works and 2 2.86 lacs from M/s Capital Security Services.

3. Sanitation material (60, Panja, 60 Scrapper, 250 Rings for broom, 800 Mtr. 0.50 lacs Hassion cloth (Tat), 75 Malbury Basket.

Total 12.86 lacs

Hence, the total expenditure for carrying out this campaign will be Rs.12.86 lacs approx. per month.

Agenda is placed before the General House for deciding the period for which this campaign is to be continued and approval of the expenditure accordingly.

M.O.H. AGENDA ITEM NO. 211.9

Subject: Policy/Scheme regarding regularization of daily wage/work charged employees working in various departments of Chandigarh Administration.

The Chandigarh Administration has circulated a Policy vide No.28/64/2013-IH(7)-

2013/2645 dated 10.02.2014 regarding the above issue (Copy at Annexure „A‟). As per instruction at Para No.5(1), (2) & (3) which read as below:-

5(1) The employees working on work charged/daily wage who fulfill the educational

qualification may be considered for regularization against the vacant Group „D‟

posts in any department of Chandigarh Administration according to

rules/instructions.

2. All departments/offices shall make recruitment against vacant Group „D‟ posts from

amongst the work charged / daily wage employee of the Engineering Department,

Forest Department and Municipal Corporation etc.

3. While regularizing the services of Group „D‟ work-charged / daily wage employee on

the same post on which he / she was engaged in the department, relaxation in

educational qualification may be allowed to those who had completed 10 years of

service till December, 2006 as a one time measure.

The matter was considered for regularization. The Law Officer was of the opinion as per Condition No.5(3) such persons can only be regularized against the same post against which they have been employed. As per Condition No.5(1), such employees can be regularized against the vacant Group-D posts in any department of Chandigarh Administration. A large number of Group – D posts are vacant against which there is no employee who can be regularized as per opinion of the Law Officer and Condition No.5(3). There are number of Group- D employees who are unable to be regularized on the above interpretation because there are no posts against such daily wage/worked charged employees as per Condition No.5(3). These posts are non-technical in nature and it is proposed to regularize the Group-D employees against any vacant regular Group-D post in the Municipal Corporation, Chandigarh. The filling up of posts will be done wing-wise first and thereafter remaining employees left for regularization shall be regularized against the left out posts in other Wings as approved by the Commissioner,

Municipal Corporation, Chandigarh.

The matter is placed before the House for consideration and approval please.

Sd/- Additional Commissioner-I Municipal Corporation, Chandigarh. SUPPLEMENTARY AGENDA ITEM NO.1

Subject:- Framing a policy for Car Bazaar in order to comply with the judgment dated 11.08.2014 passed by the Hon‟ble High Court of Punjab & Haryana Chandigarh in LPA No. 966 of 2014.

The brief facts of the case are that the Second Hand Car Bazaar is running since long in the Chandigarh and prior to formation of the Municipal Corporation, Chandigarh, the same were being managed by the Chandigarh Administration. It is a matter of record that there are 60 Showrooms on Madhya Marg in Sector 7-C, Chandigarh, where the said Bazaar is being held every Sunday. It is also a matter of record that 43 members of the Car Dealers Association (Regd) are applying and getting a permission to run their business. However, the basis on which such type of practice is continuing is not ascertainable.

The Municipal Corporation had taken a decision that only one car bazaar shall be allowed in front of one show room and only the area in front of that particular show-room would be allowed for parking cars for sale. The Municipal Corporation had also revised the rate of the fees to Rs. 2500/- + Service Tax, which comes out to be Rs. 2809/-.

In the year 2103 some of the members of the Car Dealers Association (Regd) had approached the Hon‟ble High Court of Punjab & Haryana by way of filing CWP No. 26494 of 2013 for seeking directions for the Municipal Corporation to grant permission to them also against the 17 sites lying vacant. The said CWP was disposed of vide orders dated 03.12.2013 with a direction to the Commissioner, Municipal Corporation to look into the matter, consider the grievance of the petitioner raised vide their legal notice dated 19.09.2013, and decide the same at an early date. (Copy of the Judgment dated 03.12.2013 is enclosed herewith as “A”)

Accordingly, the Commissioner Municipal Corporation had passed a detailed speaking orders dated 08.01.2014 observing therein that no reason is seen as to why only the 17 petitioners should be given preferential treatment. If a public facility is to be given to a private person then equal opportunity is to be given to everyone to participate in the process. Accordingly, the Commissioner, MCC had directed the office to invite open applications for the 17 number sites lying vacant for the business of sale-purchase of second hand cars in front of showrooms at Madhya Marg, Sector 7, Chandigarh and a transparent procedure should be adopted for selection. Copy of the same is enclosed herewith as “B”. However the relevant portion of the same is reproduced here under for ready reference:-

The undersigned is of a view that transparency should always prevail and monopoly should be discarded. Though, there exist no vested right of the existing 43 members to use the Municipal Land to the exclusion of others, however such a practice is continuing since long, therefore, the undersigned is not inclined to mix up the said issue with the present request of the petitioners, who are 9 in number. In view of the position explained above, it can be seen that the Municipal Corporation is permitting the usage of the parking purely on temporary basis in front of show rooms on Madhya Marg in Sector 7-C , Madhya Marg for the sale of old cars every Sunday after charging prescribed fees of Rs. 2500 + Service tax. It was decided earlier by the Finance and Contracts Committee of the Municipal Corporation Chandigarh that only one car dealer shall be allowed in front of one show room and only the area in the parking in front of that particular show-room would be allowed for parking cars for sale. As per the office report there are 60 showrooms in the area. At present only 43 persons being given permission every Sunday for last many years even before Municipal Corporation came in existence. 17 sites are thus available. The request of the petitioners is to consider them to be adjusted against these 17 vacant sites. However, I see no reason as to why these persons should be given preferential treatment. If a public facility is to be given to a private person then equal opportunity is to be given to everyone to participate in the process. Accordingly, the office is directed that open applications should be invited for these 17 vacant sites for the business of sale-purchase of second hand cars and a transparent procedure should be adopted for selection for these 17 vacant sites.

In compliance to the aforesaid orders, Applications were invited in respect of 17 number sites (subject to ground conditions) at parking space in front of showrooms at Madhya Marg, Sector 7, Chandigarh for running the business of sale-purchase of second hand cars. The form containing the details terms and conditions were made available by the office of the OSD-II w.e.f 03.03.2014 and last date of submission was fixed as 24.03.2014. Accordingly a public notice was got issued in the news papers. Copy of the same is enclosed herewith as “C”. In response thereto 70 number applications were received. However before any further action could be taken on the same, the aforesaid speaking order of the Commissioner, Municipal Corporation, Chandigarh was challenged before the Hon‟ble High Court of Punjab & Harayana Chandigarh by the 17 Car dealers, who were not getting the permissions by way of filing CWP No. 4561 of 2014. the aforesaid CWP was disposed of vide judgment dated 06.05.2014 by the single bench of the Hon‟ble High Court. It was held that held that the only mode for the allotment of any site for carrying on commercial activity, is by way of auction. The same process should be followed by the Corporation. A comprehensive policy be framed and approved without any delay and the allotment of sites be completed by the end of the June, 2014. Besides giving certain guidelines to be kept in mind while framing the policy as aforementioned, the Hon‟ble Court has further held that the members of respondent No. 3 - Association cannot be permitted to claim preferential right for allotment of 43 sites. As an interim measure, till such time the allotment of all the sites is done by way of auction to be operative from 6.7.2014, being Sunday, the Corporation should invite applications from all interested persons for granting permission to carry on their business of sale and purchase of old cars for all Sundays till 29.6.2014 and in case the applications received are more than the number of sites available, the allotments be made by draw of lots. Fee should be collected in advance. Copy of the same is enclosed herewith as “D”. It is relevant to make mention here that the Hon‟ble High Court had given the following directions also qua the framing of the policy:-

(i) The sites shall be allotted by way of auction. (ii) A comprehensive policy be framed by the end of the june 2014 for that purpose. (iii) Permission to hold car bazaar should be for certain specified period and not for every Sunday. (iv)It should also be ensured that the licence /permission is granted to the persons who have some credentials and take care of the fact that bonafide buyers are not cheated with the sale of stolen vehicles. (v) Members of the Car Dealer‟s Association cannot be permitted to claim preferential rights qua 43 sites.

The aforesaid judgment of the Hon‟ble High Court was further challenged before the Division Bench of the Hon‟ble High Court by 43 members of the Car Deals Association (Regd) by way of filing LPA No. 966 of 2014. The Hon‟ble High Court vide its interim orders dated 05.06.2014 stayed the operation of the judgment passed by the Ld. Single Bench. Copy of the interim orders is enclosed as “E”. The aforesaid LPA was thereafter finally decided vide judgment dated 11.08.2014. Copy of the same is enclosed as “F”. However the relevant portion of the same is reproduced hereunder for ready reference:-

(8) There is no gain saying that Car Bazar is essentially a commercial activity. It needs to be regulated and the policy-framework for such regulation must be transparent and consistent with the equality clause. The permission, licence or allotment of a site to carry out commercial activity can not be fair, just and reasonable unless equal opportunity is given to all the eligible aspirants, for which auction is undoubtedly one of the well known method. The occasion to consider any other alternative modicum would arise only if the public auction does not achieve the desired results or leads to some other evils. No interference in the directions issued by learned Single Judge is, thus, called for at this stage.

(9) Once the permission to use a site is to be granted through auction etc. by considering the claim of all those who are eligible and willing to participate, it is obvious that no preferential treatment can be given to the members of appellant Association merely because they are old timers in the business. The direction issued by learned Single Judge prohibiting favoritism thus, is also in conformity with the first direction that the permission be granted by way of auction.

(10) However, the question as to whether the permission is to be granted for a specific period or for every Sunday, essentially falls within the domain of the policy makers. It is for them to decide it in public interest and for regulating the activity. The direction issued by learned Single Judge in this regard is set aside /modified.

In order to comply with the directions of the Hon‟ble High Court, the Commissioner, Municipal Corporation had formed a committee for preparing a draft policy. Accordingly, the said committee had prepared the draft policy. Copy of the same is enclosed as “G”. The said policy was thereafter discussed in the Special meeting of the F&CC held on 27.10.2014. The formal minutes of the F&CC are though awaited however the suggestions, which were suggested has been carried out in the draft policy. Copy of the policy prepared as per the suggestions of the F& CC is enclosed as “H”.

It is intimated that the Hon‟ble High Court has directed that permission to run Car Bazaar be given by way of auction. It has categorically observed that the occasion to consider any other alternative modicum would arise only if the public auction does not achieve the desired results or leads to some other evils. Further the Hon‟ble Court has directed that let the subject policy for carrying out the business of Car Bazaar be framed as early as possible and preferably within three months from the date a certified copy of the order is received i.e. before 26.11.2014 and till then the present arrangement shall continue.

In view of the position explained above, it is intimated that a draft policy has ben drafted and the same was also discussed in F&CC on dated 27.10.2014 and further now the same is placed before the General House for consideration and approval so that the orders of the Hon‟ble High Court cab be complied in a time bound manner. The certified copy of the orders dated have been received on 26.08.2014. Once the terms and conditions of the policy/scheme are finalized the process for conducting the auction will be initiated.

Agenda is accordingly placed before the General House for consideration in the light of the directions given by the Hon‟ble High Court vide judgment dated 11.08.2014 passed in LPA No. 966 of 2014.

(Additional Commissioner-II) Municipal Corporation Chandigarh.