cum – tender procedure, it shall have power to adopt such procedure in the sale of property or leasing out the right to enjoy property or to collect fees for the use of public places. if it has reason to believe that due to collusion among the intending bidders or due to threat by habitual participants to the new entrants in the bidding, either there is a low bid or no bid at all, at least on two occasions, it shall record the fact in the minutes of the meeting and opt for adopting auction – cum – tender procedure in respect of lease or sale of any item which it proposes to conduct.
(2) When the Panchayat decides to adopt the auction – cum – tender procedure, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall issue auction – cum – tender notice with appropriate terms and condition covering the salient formalities and legal aspects of each of the system in the same notice fixing, a suitable time for conducting the auction and some other time on the same day following the completion of auction proceedings, for opening the tenders for the same items of leases or sales. Under any circumstances, the time appointed for the receipt of tenders shall not exceed the time appointed for the conduct of auction and any tender, received after the commencement of the auction shall be straightway rejected without opening. Security deposits, shall be specified separately for auction and tender.
The time, place and the last day for the receipt of tender and the time, place and last day for the sale of tender documents and payment of tender deposits shall also be specified in the notice. A Tenderer can send his tender by registered post sufficiently in advance so as to reach the office of the Tenderee before the appointed date and time and the official who receives the postal cover upto the time on the last day fixed for the receipt of tenders shall deposit it into the tender box prepared and kept for that purpose.
(3) On the day and time fixed for the conduct of auction, strictly observing all the formalities and subject to the terms and conditions mentioned to take action under current notice, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall commence the auction proceedings, conduct and complete the auction or sale of each item one by one and simultaneously completing the records of auction or sale and obtain necessary initial amount from the successful bidders at the time appointed for the opening of the tenders. The tenders received upto the prescribed time and date shall be opened and the amount quoted therein in respect of each item shall be read openly at the meeting of bidders and Tenderers. The tender details may be entered in the register of tenders maintained for that purpose. After completing all the formalities, the executive Authority or the Commissioner or the Secretary, as the case may be, shall place before the concerned panchayat, the records of auction and of tenders for approval. The Panchayat shall have power either to decide the higher bid in an auction or quoted in tender or any suitable bid or tender amount which is next to the highest amount. In case, it accepts a lower amount than the highest tender or the auction amount, the reasons for the same shall be specifically recorded in the minutes of the meeting.
23. Renewal of lease - (1) The Panchayat shall have power to renew the lease of right of enjoyment of shops, rooms, garages, public markets, canteen, hotels or lodging houses belonging to it and for which rent is payable on a monthly basis or for a longer period in favor of the existing Lessee, if the Lessee agrees to the renewal of the lessee for a higher amount to be decided by the Panchayat, supported by not less than one half of the members than holding office which shall not be less than fifteen per cent for every year on the previous years lease or of rent fixed:
Provided that such extension of renewal of lease shall be done only upto a maximum of three years.
(2) The existing Lessee, if he desires to continue the lease for a further period, he may apply to the Executive Authority or the Commissioner or the Secretary, as the case may be, requesting the renewal of the lease in his favour atleast three months before the expiry of the
21. PANCHAYAT ASSETS 618 lease period. On receipt of such a request, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall place the matter before the respective Panchayats to fix provisionally a sum at which the lease can be renewed, taking into consideration the following factors :-
(a) the increase in the market value of the building subsequent to the letting out of the present lease;
(b) the appreciation in the increase of rental value of the building and other similar buildings in the locality;
(c) consideration of growth and business of the locality in which the building is situated;
(d) other factors such as the location of the property in close proximity to railway station, bus stand, business area and other factors which may have effect in the promotion of business.
(3) The Executive Authority or the Commissioner or the Secretary, as the case may be, may fix the lease amount at fifteen per cent, if the annual rise in prices leass than fifteen percent, over the existing lease amount for the fourth year of lease and this rate of increase may be fixed at more than fifteen per cent for the fifth year and sixth year of the lease period as may be decided by the Panchayat.
(4) The Executive Authority or the Commissioner or the Secretary, as the case may be, shall place before the Panchayat within two weeks of the receipt of the request from the Lessee, the request for renewal together with his recommendation regarding the probable amount of lease or rent to be fixed for ensuring lease period.
(5) The Panchayat shall be at liberty to accept the offer of the Lessee and fix up the rent for each of the next three years at a progressive rate of increase so as to derive not less than forty – five per cent of the total amount for the next term of three years, over the previous term of lease. If the Panchayat decides not to accept the request of the Lessee, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall take further action to conduct auction of the lease for that particular item of lease in the usual manner, by observing the procedures prescribed under these Rules.
(6) In case, the Panchayat decides to accept the offer at a meeting where not less than fifty per cent of members than on the Panchayat is present, it shall fix lease rent for each year for the next three years period and the Executive Authority or the Commissioner or the Secretary, as the case may be, shall intimate the Lessee, the decision of the Panchayat before six weeks to the expiry of the lease period with the condition to indicate his willingness to accept the offer within a week of the date or receipt of intimation from the Executive Authority or the Commissioner or the Secretary, as the case may be, the Lessee may express his willingness to accept the offer consisting of graded increase of lease amount any year of the renewal at an amount indicated by the Panchayat or unwillingness to accept the offer. In which case the Executive Authority or the Commissioner or the Secretary, the case may be, shall take action to conduct the auction of the lease before the expiry of the period of the lease after getting the approval of the Panchayat. In case, the Lessee expresses his willingness in writing to the Executive Authority or the Commissioner or the Secretary, as the case may be, to accept the offer of the Panchayat, the executive Authority or the Commissioner or the Secretary, as the case may be, shall get a fresh lease deed executed and registered by the Lessee. The lease deed shall contain all the conditions normally stipulated for such a lease with a specific reference for the acceptance of increase of lease amount during each year of the three years period in a graded manner. If the Lessee fails to execute the lease deed within the period mentioned above, the offer of the Panchayat shall stand withdrawn and the executive Authority or the Commissioner or the Secretary, as the case may be, shall report the matter to the Panchayat immediately, obtain its permission to let the property on auction.
(7) The Panchayat is competent to renew the lease of the property only for a period of three years to an existing Lessee and shall not renew for the second time, even if the Lessee is
21. PANCHAYAT ASSETS 619 willing to pay higher rent. The Executive Authority or the Commissioner or the Secretary, as the case may be, shall put on such lease of property on auction after the sixth year when the existing Lessee will be free to compete in auction and knock out the lease at any amount as he may desire.
(8) Where the Lessee fails to pay the rent specified in the lease deed or where he fails to pay the revised rent, he shall be evicted in accordance with the conditions of the deed and a fresh lease of the property shall be effected in public auction in the manner specified in these Rules.
24. Direct management by the Panchayat - (1) The Panchayat shall have power to manage itself the affairs of letting on lease, the enjoyment or right of a property of collection of fees, for the use of public places like public market, bus stands, vehicle stand, etc., in one or more of the following circumstances, However, the Panchayat can report to the management by itself only for a short period till the lease of such property is let out, -
(a) when the lease is terminated for the violation of conditions of lease deed by the Lessee and the lease property or right has to be necessarily managed by the Panchayat at the risk of the Lessee till the lease for the remaining period is auctioned and a fresh lease deed is executed for its management;
(b) when the process of leasing could not be finsalised due to extraordinary unforeseen circumstances or administrative reasons, before the period of commencement of leasee;
(c) in case of collection of fees during an annual festival of a temple, lasting for a very short period, when there is no bid at the first auction of a lease or when the lease amount is comparatively low due to collusion or other unhealthy means and the Panchayat does not see reason to accept such a low lease amount.
(2) When a Panchayat decides to take up the management by itself of a lease of enjoyment or right of a property, the Executive Authority or the Commissioner or the Secretary, as the case may be, may utilize the service of its employees for the collection work. In exceptional cases, where it is essential to engage temporary staff for collection, it shall also decide regarding the appointment of temporary staff, their daily wages not exceeding the rates fixed by the Inspector for such period of Panchayat management, mode of selection of person for appointment, the amount of security deposit to be collected from the temporary staff, expenditure on the printing of tickets or receipt books and other contingent expenditure. The Panchayat shall be competent to incur expenditure for the departmental management not exceeding thirty per cent of the anticipated receipt without outside sanction and for any expenditure exceeding this limit, the previous permission of the Inspector shall be obtained.
(3) The Executive Authority or the Commissioner or the Secretary, as the case may be, shall decide the colour of ticket for different denominations, for different rates of fees, the design and size of ticket leaves, the number of series of ticket books for different rates of fees, the actual letter of series (such as “A,B,C”) of ticket books for different rates of fees, the number of ticket leaves to be provided for each denomination, the details to be provided in the ticket leaf, the size of the leaf, the number of tickets to be printed in each series in each denomination, etc., the details of ticket leaf may be similar to those approved by the Panchayat already when the lease for a particular purpose was auctioned last. Each ticket book shall contain one hundred leaves having printed serial number on the leaves. Depending upon the number of series of ticket book to be printed and number of books to be prefixed in each series the first letter of each series may be printed to serial number of leaf. By this way the leaves of same denomination can be identified on the basis of letter of series prefixed to such serial numbers. The ticket book in each denomination in each series shall be serially numbered. The receipt for the printing of ticket books shall show details, names of series of ticket books printed in each denomination, the total number of leaves in each book and the total number of ticket leaves printed in each series in each denomination.
(4) A stock register of ticket books shall be maintained in two parts. In the part one of the register, the details of ticket books printed and brought to stock shall be entered and the details
21. PANCHAYAT ASSETS 620 of issues of ticket a book to the collecting staff, who are appointed with a separate set of serially numbered for all ticket books under each denomination, the ticket books serial be numbered in a separate series for each denomination, the total number of leaves serially numbered under each denomination, the serial number of leaves bound as a ticket – book being printed on the ticket book. The leaves in the ticket – book shall bear the facsimile of the signature of the Executive Authority or Commissioner or the Secretary, as the case may be and singnature of the collecting staff in ink. Part two of this register shall be treated as a personal ledger fo each collecting staff showing the details of ticket books issued to each collecting person under each denomination together with total number of leaves and the total value of ticket books supplied. Whenever ticket books are issued, the dated signature of the collecting person shall be obtained in the register as a token of his acknowledgement. The details of amount daily collected and remitted into the Panchayat shall be noted in this part of the register, denomination – wise and date – wise under the dated signature of the collecting person. In this way the balance amount to be remitted by each collecting person can be ascertained on any date and the responsibility and accountability of the collecting person can be ensured and fixed.
(5) The Executive Authority or the Commissioner or the Secretary, as the case may be, shall issue a set of directions to the collecting staff on all matters enumerated below relating to the collection work, -
(a) area or zone allotted for each collecting person;
(b) rate of fees to be collected for different articles/ purposes or person, ect.,
(c) remittance of daily collection at the Panchayat Office in the evening of the every day with details of the collection work for that day and surrender the counterfoil books;
(d) authorised persons for receiving the collections and counterfoil books from the collecting staff and give acknowledgement in the register or note book maintained by him for this record;
(e) any other pertinent matter which way arise in a particular case;
(f) the person receiving the cash daily at the Panchayat must verify the number of counterfoils and assess the amount which should have been collected and tally it with the case actually received. If any discrepancy is notified in the verification, then he should take up the matter to the notice of Executive Authority or the Commissioner or the Secretary, as the case may be, for suitable further action.
(6) The Executive Authority or the Commissioner or the Secretary, as the case may be, shall keep strict watch over the collection work of the staff. He shall undertake the following measures in this regard. He shall take immediate and effective action in case he notices any irregularity or misappropriation during his check -
(a) verify with vendors or other persons who have to pay fees, whether they receive tickets for the amount they pay to the collecting person, whether they were demanded to pay or give more amount than that specified in the ticket or mentioned in the notice board installed at the site of collection;
(b) verify whether the collecting persons are collecting fees from all persons / vendors or they omit to collect fees from some persons/ vendors or whether they collect money but omit to give receipts;
(c) whether the tickets available with the vendors are genuine or spurious;
(d) any other kind of check, as he may consider necessary or essential;
(e) if he thinks desirable or necessary, he can authoirse the Vice-President to undertake the measures he is taking, on days on which he could not undertake them, due to his pre-occupation with any other official business; and
21. PANCHAYAT ASSETS 621
(f) surprise verification of stock of tickets and cash on hand with the collecting person at frequent intervals.
(7) Each and every collecting person shall maintain a separate account in two parts for his record in respect of tickets entrusted to him and collections made and remitted into the Panchayat.
Details of collection made and remitted into Panchayat shall be entered daily in the register.
(8) The Executive Authority or the Commissioner or the Secretary, as the case may be, shall verify the number of ticket books used, cash on hand with every collecting person and append a certificate of verification in the stock register of the collecting persons with a view to keeping strict vigil to prevent misappropriation and defalcation. Any irregularity noticed during such verification should be given due serious consideration and follow up action take. The Executive Authority or the Commissioner or the Secretary, as the case may be, shall arrange to issue a receipt for the cash remitted into the Panchayat Office daily to the collecting person when they remit money and receive used ticket book. The miscellaneous register shall also indicate the serial number of tickets from which fees were collected and the serial number of used ticket books received by the office.
(9) After the period of management by the Panchayat is over, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall review the overall position with reference to the number of ticket books printed, number issued, amount collected and remitted and the net savings accrued and report the matter to the concerned Panchayat at its next meeting.
25. Collection of lease and sale amount - (1) After completing the execution of lease deed, necessary entries shall be made in the register of miscellaneous demand under the attestation of the Executive Authority or the Commissioner or the Secretary, as the case may be.
(2). The Executive Authority or the Commissioner or the Secretary, as the case may be shall make necessary posting regarding the total amount, initial payment, when the deed is executed, what the amount to be recovered in instalments at the beginning of each month, scrutinise this register, note down the due date of instalments of lease amount, and issue advance reminder to the Lessee for remitting the dues. If they fail to remit the instalment due even after a reasonable period, the Executive Authority or the Commissioner or the Secretary, as the case may be, shall take action to terminate the lease besides taking appropriate action to realise the dues with interest.
L.N.VIJAYARAGHAVAN SECRETARY TO GOVERNMENT
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