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Section 3

Delimitation of Municipalities.-

(1) The State Government may, by notification published in the Official Gazette, declare any local area not included within the limits of a Municipality to be a Municipality, or include any such area in a Municipality, or exclude any local area from a Municipality, or otherwise alter the limits of any Municipality and when- (a) any local area is declared as, or included in, a Municipality, or (b) any local area is excluded from a Municipality, or (c) the limits of a Municipality are otherwise altered, by amalgamation of one Municipality into another or by splitting up a Municipality into two or more Municipalities, or (d) any local area ceases to be a Municipality, the State Government may, notwithstanding anything contained in this Act or any other law for the time being in force, by an order published in the Official Gazette provide ,- (i) in a case falling under clause (a), that the election of the members for the area or theadditional area shall be held within a period of six months from the appointed day; (ii) in a case falling under clause (b), that the members who in the opinion of the State Government represent the area excluded from the Municipality shall be removed; (iii) in a case falling under clause (c), that until the term of the Municipality in which another Municipality is amalgamated expires under this Act, the Chairperson, Vice-Chairperson and members of such another Municipality shall be deemed to be the members of the Municipality in which such another Municipality is amalgamated and where a Municipality is split into two or more Municipalities, that the members representing the area included in the newly constituted Municipality shall be deemed to be the members of such new Municipality and such new Municipality shall continue, unless dissolved sooner, until original Municipality would have continued; (iv) in a case falling under clause (d), that the Municipality shall be dissolved. Explanation.- In this sub-section, appointed day means the day from which a change referred to in any of the clauses (a) to (d) takes effect. (2) It shall be the duty of every Municipality already existing and of every Municipality newly established under this Act and of every Municipality whose local limits are altered as aforesaid to cause at its own cost, to be erected or set up, andthereafter to maintain, substantial boundary marks of such description and in such positions as shall be approved by the Collector or any officer authorized by him in this behalf, defining the limits or altered limits of the Municipality subject to its authority, as set forth in the notification. (3) When any local area ceases to be a Municipality, the Municipality established therein shall cease to exist, and the balance of the municipal fund and other property and rights vesting in such Municipality shall, subject to all charges and liabilities affecting the same, vest in the State Government and the proceeds thereof, if any, shall be expended under the orders of the State Government for the benefit of the local area in which such Municipality had jurisdiction. (4) Notwithstanding anything contained in sub-section (3), when any local area ceases to be a Municipality and is included within the local limits of the jurisdiction of some other local authority, the municipal fund and other property and rights vesting in the Municipality shall vest in such other local authority and the liabilities of the Municipality shall be the liabilities of such other local authority. (5) When any local area is excluded from a Municipality and included in another Municipality, such portion of the municipal fund and other property vested in the first mentioned Municipality shall vest in, and such portion of the liabilities thereof shall be the liabilities of, the other Municipality as the State Government may, after consulting both Municipalities, declare by notification in the Official Gazette: Provided that the provisions of this sub-section shall not apply in any case where the circumstances, in the opinion of the State Government, render undesirable the transfer of any portion of the municipal fund and properties or liabilities. (6) When a dwelling house, manufactory, warehouse, or place of industry or business is situated within the limits of two or more adjacent municipal areas, the State Government may, notwithstanding anything contained elsewhere in this Act, by notification in the Official Gazette, declare the municipal area within which such dwelling house, manufactory, warehouse, or place of industry or business shall be deemed to be included for the purposes of this Act. (7) When any local area is included in a Municipality, all rules and bye-laws made, orders, directions, notifications and notices issued and powers conferred and in force throughout such Municipality at the time when the said area is so included, shall apply thereto, unless the State Government otherwise directs, from the date of such inclusion. (8) When an area comprised in a village is specified as, or when any area is excluded from the village and included in, a municipal area, then with effect from the date on which such area is so specified or is so included, the following consequences shall ensue, namely: - (a) such area shall cease to be a village; (b) the Municipality in which such area is included or the Municipality declared for such area shall exercise jurisdiction over such area and the panchayat established for such area shall cease to function therein; (c) until elections are held under sub-section (1) or the term of the Municipality expires under this Act, whichever is earlier, the Sarpanch, UpSarpanch and the panch or panchas representing the area of the village so included in, or declared as a Municipality shall be deemed to be the additional members of the Municipality in which such area of the village is included or the Chairperson, ViceChairperson and the members respectively of the Municipality declared for such area, as the case may be; (d) the whole of the assets vesting in, and of the liabilities subsisting against, the panchayat so declared to be a Municipality or in case where only a part or whole of a village is so included in a Municipality, such portion of the said assets and liabilities as the State Government may direct, shall devolve upon the Municipality declared for such area or upon the Municipality in which such area of the village is so included; (e) the Municipality so established by the inclusion of any area of a village therein or by the declaration of a village as a Municipality, shall levy or continue to levy such of the taxes as are lawfully imposed under this Act; (f) any such area shall cease to be subject to all rules, notifications, orders and bye-laws made under the Rajasthan Panchayati Raj Act, 1994 (Act No.13 of 1994). (9) For the purpose of facilitating the inclusion of any area of a village in a Municipality or of the declaration of any such area as a Municipality, the State Government may, by order in writing, give such directions as may appear to it to be necessary. (10) Save as otherwise provided in this section its provisions shall have effect notwithstanding anything contained in this Act or in the Rajasthan Panchayati Raj Act, 1994 (Act No.13 of 1994) or any other law for the time being in force.