16th February, 1981

No. DS (R) 34/80. — In exercise of the powers conferred on him by section 167 read with section 40 of the Punjab Local Government Ordinance, 1979 (VI of 1979), the Governor of the Punjab is pleased to make the following Rules, namely—

CHAPET – 1

PRELIMINARY

1.
1. These rules may be called the Punjab Local Council (Works) Rules, 1981.
2. They shall come into force at once.

2. Definitions.
1. In these rules, unless the context otherwise requires, the following words and expressions shall have the meanings hereby respectively assigned to them, that is to say –
a. “Administrative approval” means the approval of the competent authority to the desirability, suitability of the work from the administrative point of view; and the incurring of the proposed expenditure thereon;
b. “Local Council Engineer” means—

i. a qualified engineer appointed and paid by a local council or group of local councils for the purposes of carrying out its or their works and includes the Chief Engineer of a local council; and
ii. any other engineer or agency appointed by a local council to grant technical sanction and execute the works of a local councils on part-time basis on such terms and conditions as may be determined by Government in consultation with lending agency.

c. “Technical sanction” implies the scrutiny of estimates from technical point of view and endnotes that the estimates as sanctioned are technically correct and in order; and
d. “Work” means a work executed in accordance with these rules.

2. Words and expressions used but not defined in these rules and defined in the Punjab Local Government Ordinance, 1979 shall have the same meanings respectively assigned to them in the Ordinance.

CHAPTER – II

CLASSIFICATION OF WORKS

3. For the Purpose of these rules, ‘works’ may be classified as follows –
a. Original work;
b. Maintenance work’
c. Deposit work’
d. Major work;
e. Minor work; and
f. Petty work.
4. Any new construction, whether of an entirely new work, or involving material additions or alterations to an existing work, shall be construed as an original work.

5. Any operation undertaken to maintain an existing work in proper condition and repair shall be construed as maintenance work.

6. Any work, which is executed or is to be executed by an agency other than a local council, shall be construed as a deposit work.

7. A work, the estimated coast whereof is twenty five thousand rupees or above, shall be deemed a major work.

8. A work, the estimated cost whereof does not exceed tow thousand and five hundred rupees or such other sum as any be specified by Government from time to time, shall be deemed a petty work.

CHAPTER – III

SCHEMES

10. Where a local council has to undertake an original work costing Rs. 15 Lacs or more with regard to water supply, drainage, development of roads and streets, lighting or any other similar service, the local council shall, subject to provisions of these rules and the Ordinance, frame a scheme for the execution of such work.

11. A scheme under rule 23 shall be prepared as a draft scheme in the first instance. Such a scheme may be prepared through the local council agency of through such technical agency as may be specified by Government.

12. Where a scheme is prepared by an agency other than a local council, the local council may pay to such agency such fees for the preparation of the scheme as may be fixed by Government either generally or in any specific case.

13. A draft scheme prepared under these rules shall, among other matters, specify—
a. detailed history of the scheme including nature and location of the scheme;
b. full particulars of the works to be executed;
c. justification for the scheme;
d. the estimated cost;
e. the manner in which the scheme shall be financed;
f. the agency through which the scheme shall be executed;
g. the phase in which the scheme shall be executed;
h. the period during which the scheme in its various phases shall be completed;
i. the benefits and returns from the scheme;
j. agencies responsible for maintenance; and
k. such other particulars as may be necessary or may be required by Government..

14. The draft scheme shall be published by the local council in such manner as may be considered necessary by the local council for the purpose of inviting objections and suggestions, any objection or suggestion received as a result of such publication shall be scrutinised by the planning and finance sub-committee if any and if there is no such sub-committee if any and if there is no such sub-committee, by the Chairman of the local council and thereafter placed before the local council in any ordinary meeting with the recommendation of the sub-committee or that of the Chairman, as the case may be, for consideration and sanction with such amendments as may be necessary.

15. After the scheme has been sanctioned under rule 14, the local council shall take such steps as may be necessary to implement the scheme.

CHAPTER IV

ESTIMATES AND PANS

16. Whenever a necessity for undertaking an original or major work arises, the Chairman of a Local Council may require the Local Council Engineer to prepare the necessary estimates and plans for the work.

17. When a work, other than that relating to repair and maintenance, to be undertaken is under the direct charge of a Local Council Engineer, the Local Council Engineer shall obtain the approval of the Chairman before the preparation of plans and estimates.

18. (1) The Local Council may, from time to time with the approval of Government, frame a Schedule of rates specifying the rates on the basis of which the estimates shall be prepared. A complete analysis of the rates proposed to be fixed along with specifications shall be attached with the rates to be submitted for approval to the Government.

(2) For item relating to job and market rates a separate Schedule shall be prepared and submitted for approval to the Government.

(3) No rate which is not included in the Schedule or approved as job or market rate shall be included in the estimate of a work without prior approval of the Government.

19. When no Schedule of rates is prepared or approved under rule 18 the relevant Schedule of rates of the Communications and Works Department or the Public Health Engineering Department, as the case may be, enforce in the area concerned, shall be Schedule of rates of the Local Council.

20. The estimate for a work under these rules shall be prepared as far as may be in the form and in the manner prescribed for the preparation of estimates in the Communication & Works Department or the Public Health Engineering Department, as the case may be.

21. An estimate on the basis of which a work is to be undertaken shall be subject to-
(a) Sanction and grant of administrative approval; and
(b) Technical sanction, in accordance with the provisions of these rules.

[22. The executive powers of a Local Council with regard to the grand of administrative approval of all works and schemes included in the approved budget estimate of a Local Council for a financial year shall vest in its Chairman.] 1
1 Subs. Vide Notification No. SOV-1-58/81 P-11 dated 23.11.1988.

23. Unless the Government otherwise decides, a Local Council Engineer shall have the same power of technical sanction in respect of a work and scheme as vests in the engineer of corresponding rank in the concerned Department of the Government; subject to the condition that the rates provided in the estimates are strictly based on the Schedule of rates applicable from time to time to the Local Council concerned.

24. The authority competent to grant technical sanction to a work which is beyond the power of a Local Council Engineer, shall be competent Engineer in Communication and Works Department or other concerned Department of the Government as if such estimates were estimates of that Department.

25. The Authority competent to grant administrative approval or sanction, may approve or sanction the estimate subject to such modifications as may be deemed fit.

26. An estimate for a maintenance work shall lapse after the expiry of the financial year to which it relates. An estimate for a work, other than a maintenance works, shall unless otherwise specified, lapse after a period of five year.

27. The Local Council Engineer shall maintain a Register of estimates in which all proposals for the undertaking of works, and all estimates prepared, technically sanctioned, and administratively approved, shall be entered.

CHAPTER V

ANNUAL WORKS PROGRAMME

28. As soon as may be, after the preparation of the Local Council Budge is undertaken, the Chairman shall in consultation with the Local council Engineer, and the Heads of the Department of the Local Council draw up annual works programme.

29. The Annual Works Programme shall, among other matters, specify:-
(a) The various works to be undertaken;
(b) The order in which they shall be undertaken;
(c) The probable dates of the commencement and the completion of various works;
(d) Whether a specified work shall be executed departmentally or through contract or agency ; and
(e) Such other particulars as may be necessary or as may be specified by the Local Council.

30. The Annual works Programme proposed under rule 29 shall be placed before the Planning and Finance Sub-Committee, if any, of the Local Council for scrutiny and for making such recommendations as it may deem fit.

31. The Annual Works Programme with the recommendations of the planning and Finance Sub-Committee, if any, shall be placed before the Local Council in its ordinary meeting for consideration.

32. The Annual Works Programme shall be subject to the sanction of the Local council along with the budget estimates and the Local Council may sanction it with or without modification.

33. (1) A copy of the Annual Works Programme sanctioned under rule 32 shall be forwarded to Government and to such other authorities as Government may specify.
(2) Government may, in any special case involving public or state interest of important nature, make such observations on the Annual Works Programme of a local council as it may deem necessary, and Local Council shall take such observations, if any, into consideration and amend the Annual Works Programme accordingly.

34. The Annual Works Programme sanctioned under rule 32 or modified under rule33 shall be published in such manner as the Chairman may consider necessary and copies thereof shall be forwarded to all contractors registered under these rules.
35. As soon as the Annual Works Programme has been sanctioned, the Local Council Engineer shall, subject to the general direction of the Chairman, proceed to take such steps as may be necessary, to execute the work in accordance with the Annual Works Programme.

36. The Local Council Engineer shall submit to the Chairman on the seventh day of every month progress report about the Annual Works Programme for the proceeding month.

37. The Chairman shall submit to the Local Council as least once in two months the progress report about the implementation of the Annual Works Programme.

38. No new original work shall be executed unless it is included in the Annual works Programme:
Provided that, in the event of an emergency to be certified by the Chairman, any work may be executed in anticipation of its inclusion in the Annual Works Programme.

CHAPTER VI

AGENCIES FOR THE EXECUTION OF WORKS

39. If a work is to be undertaken as part of a scheme, it shall be executed through such agency as may be specified in the scheme.

40. If Government has sanctioned a grant for the execution of any work and the agency through which such work shall be executed has been specified in the conditions for the grant, the work shall be executed by such agency.

41. If in the opinion of Government any work to be undertaken by a local council is likely to involve special technical skill, it may direct the local council to get such work executed through the agency specified by it.

42. If a work is not covered by the provisions of rules 39, 40 and 41 it shall be executed by the local council.

43. Where a work is executed or is to be executed by an agency the local council shall pay such agency such charges for the execution of works as may be fixed by Government either generally or in any specific case.

44. Where a work is to be executed by an agency the Chairman and the Local Council Engineer shall keep in touch with the progress of the work at various stages, and such agency shall forward to the local council quarterly reports about the progress of the work.

45. Whenever a work is to be executed by a local council, it may be executed either departmentally or through the contract in accordance with the annual works programme unless modified by the local council 1 or through a Project Committee as may be specified by the Government:
Provided that the execution of the work through Project committee shall be liable to the technical supervision and evaluation by the technical staff of the local council.
Explanation. —In this rule Project Committee means a committee appointed as such by Government or an officer appointed specially or generally for the purpose.
CHAPTER VII

Contractors

46. (1) Any person possessing such qualifications and experience as may be specified by the Chairman may apply to the Chairman of a local council for the registration of his name as a contractor of a specific class or category.

(2) The contractors registered with a Zila Council shall be eligible to undertake works if any rural local council falling within the District.

47. (1) A person applying for registration as a local council contractor shall state his qualifications and experience as a contractor, his financial antecedents, his relations with any member or official of the local council and such other particulars as may be necessary, or may be specified from time to time by the local council.
(2) The registration shall be subject to renewal every year by 31st July, on payment of a renewal fee equal to registration fee.
(3) No tender shall be issued to or quotation invited from a contractor who is not registered with the local council unless he is specially permitted in writing by the Chairman.
(4) Tender form shall not be issued except on payment of RS. 25/- for each tender:
Provided that the tender form fee may be increased or decreased by the Government from time to time.

48. Contractors shall be classified as follows:-
(1) Contractors authorised to undertake work of any amount———— A class.
(2) Contractors authorised to undertake work not exceeding RS 25 lacs————-B class.
(3) Contractors authorised to undertake work not exceeding RS 10 lacs————-C class.
(4) Contractors authorised to undertake work not exceeding RS 2 lacs————-D class.
(5) Contractors authorised to undertake work not exceeding RS 50,000/————E class.

49 Every application for registration as a contractor shall be accompanied by a registration fee in accordance with the following scale—
(a) For ‘A’ Class contractors RS. 5,000
(b) For ‘B’ Class contractors RS. 1500
(c) For ‘C’ Class contractors RS. 750
(d) For ‘D’ Class contractors RS. 500
(e) For ‘E’ Class contractors RS. 200

50. The Chairman of a local council may for reasons to be recorded in writing, refuse to register or allow the renewal of registration of any person as a local council contractor.

51. If an application for registration as a local council contractor is granted, the name of such contractor shall be registered in the register of contractors to be maintained by the Local Council Engineer.

52. (1) If a registered contractor is, in the opinion of the Chairman, guilty of any misconduct, or a beach of the terms of his contract, the Chairman may after giving the contractor such opportunity of explanation as may be necessary delete his name from the list of registered contractors for such period as may be specified by them.
(2) Any person aggrieved by an order of the Chairman under sub-rule (1) may file an appeal as provided for in the Punjab Local Councils (Appeal) Rules, 1980.

CHAPTER VIII

Works Orders and Contracts

53. Subject to the provisions of these rules, a Local Council work may be carried out—
(a) By the employment of daily labour;
(b) As a piece-work if it does not exceed RS. 5,000 in value; or
(c) As a contract work.

54. When any work is to be executed by the employment of daily labour a muster roll shall be maintained for such work in the form and in the manner prescribed by the Communications any Works Department of the Government.

55. The Chairman may, from time to time, with the sanction of Local Council, specify the classes of works, which may be undertaken as piece-work.

56. Where a work is to be carried out as a piece-work, the Chairman shall invite quotations in the manner prescribed under Punjab Local Councils (Contract) Rules, 1981 for the invitation of tenders and the work shall be given to the person offering the lowest quotation; provided that the Chairman may for reasons to be recorded in writing refuse to accept the lowest quotation.

57. Where quotation of a contractor has been accepted under rule 56 for a piece-work, the Engineer-in-Charge shall issue a work order for the execution of the work in the form and in the manner prescribed by the Communications and Works Department.

58. The work order issued under rule 57 shall contain only-a description of the work to be executed and the rate to be paid for it without any reference to the total quantity to be executed or the time within which it is to be executed.

59. In the case of contract works the Local Council Engineer shall prepare contract document to include—
(a) A complete set of drawing, the general dimension of the proposed work, and so far as necessary details of the various parts of the work;
(b) A complete specification of the work to be done and of the materials to be used unless reference can be made to some standard specifications;
(c) A Schedule of the quantities of the various descriptions of work; and
(d) A set of conditions of contract to be complied with by the contractor whose tender may be accepted.

60. When a work is to be carried out as a contract work, tenders shall be invited and accepted and the contracts entered in the manner prescribed by the Punjab Local Councils (Contract) Rules, 1981 and in the forms prescribed by the Communications and Works Department.

CHAPTER IX

Execution and Inspection of Works

61. The Local Council Engineer and his subordinates shall be responsible for ensuring that—
(a) All works are executed in the best interest of the local council
(b) All works are executed in accordance with the specifications in the sanctioned estimates, and the provisions of these rules; and
(c) The terms of contract are strictly enforced, and nothing is done tending to nullify or vitiate a contract.

62. If due to any unavoidable circumstances, a wok cannot be completed within the period specified in a contract an extension in such period may be allowed—
(a) By the Local Council Engineer, if the period of extension does not exceed one month;
(b) By the Chairman, if the period of extension does not exceed three months; and
(c) By the local council, if the period of extension exceeds three months.

63. In execution of works, every care shall by taken to see that the safety and convenience of the public are duly attended to, and that all operations are carried out in such a manner as to interfere as little as possible with the traffic and ordinary pursuits of the people. Temporary roads and bridges shall, where necessary, be provided and particular attention shall be paid to adequate lighting at night of all obstructions to public roads and streets.
64. If there is—
(a) any interruption in the execution of a work;
(b) any unusual loss in materials;
(c) any damage to property; or
(d) any accident during the execution of any work, the Local Council Engineer or person in charge of the work shall report the case to the Chairman who shall take such actions may be considered necessary with intimation to the local council and such other authority, as may be specified by the government in this behalf.

65. The local council works shall be subject to inspection by the local council Engineer and his subordinate and may also be inspected by—
a. the Chairman and the Vice-Chairman;
b. the functionaries of the local council authorised by the Chairman;
c. the Finance Sub-Committee and works Sub-Committee, if any;
d. any officer or authority responsible for inspection of the working of the local council or the audit of its account; and
e. an officer of the Communications and Works Department or the Public Health Engineering Department authorised in this behalf.
Provided that this clause will not be applicable to a local council where the Engineering Department is headed by a Chief Engineer.

66. An orders book shall be maintained for every work in which shall be written from time to time.
a. the orders and instructions given to the subordinates or to the contractor; and
b. the remarks about the inspection of the work.

67. A dairy of progress shall be maintained for every work in the form and manner prescribed by the Communications and Works Department for such purposes.

68. When during he course of the execution of work it appears that the sanctioned estimate is likely to be exceeded by more than five per cent. Either from the rates being found insufficient, or from any other cause, a revised estimate shall be prepared, and the necessary administrative approval and technical sanction obtained thereto in the manner provided under these Rules.

CHAPTER – X

COMPLETION OF WORKS

69. As soon as a work has been completed, it shall be inspected and measured by the officer of the local council in charge of the work, within ten days from the date of completion.

70. All measurements under rule 69 shall be recorded in a measurement book in the form used in the Communications and Works Department. Full particulars of the work measured shall be given in the measurement book to admit of the work being readily identified, and the measurement being checked.

71. A register of measurement books shall be maintained in the office of the Local Council Engineer or if there is no such Engineer in the officer of the Chairman in the form used in the Communications and Works Department.

72. All measurements a made by the officer-in-charge of the work under rule 69 shall be checked by the Local Council Engineer in the manner done in the Communications and works Department.

73. If, as a result of any inspection or measurement under these rules, it is found that there has been any breach of the terms of a contract, or the work is nay way not in according with the specifications in the sanctioned estimates, the Local Council Engineer shall take such action as may be necessary to make the work conform to the terms of the contract or the specifications in to the sanctioned estimates, as the case may be. The Local Council Engineer shall also report the details of such breach, etc. and the action taken, to the Chairman who shall inform the local council.

74. If any contractor is found guilty of any breach of the terms of a contract the provisions of the penalty clause in the contract deed shall be enforced against him with the sanction of the Chairman.

75. Where, on inspection and measurement, a work is found to be in order, a completion certificate and a completion report shall be prepared in the form in use in the Communications and Works Department.

76. For every work of original construction which is completed a record plan shall be prepared which shall be the correct representation of the work as actually executed.

77. Copies of the Completion Report under Rule, 75 shall be forwarded tot he authorities with whose administrative approval and technical sanction, the work was executed.

78. On the seventh day of every month, a statement shall be forwarded by the Local Council Engineer to the Chairman showing the details for the work completed during the preceding month. The completion statement shall be in the form in use in the Communication and Works Department.

79. When a work has been completed, all documents connected therewith shall be duly checked and filed.

CHAPTER XI

ACCOUNTS FOR WORKS

80. Bills for payment for works shall be prepared in the form in use in the Communications and works Department.

81. When a work is executed by daily labor, a muster roll accompanied by an abstract of work executed shall be the basis of the account. When the work is executed as piecework or a contract-work of a contract-work, the measurement book shall form the basis of the account.

82. Payment shall be made when the work has been completed but running payments may be made during the course of the execution of the works in accordance with the principle followed in the Communications and Works Department.

83. When any establishment is engaged for the purpose of a particular work, and the cost of such establishment is to be charged against such work, the pay of such establishment shall be paid by means of a work charged establishment pay bill as in use in the communications and Works Department.

84. All bills for payment under these rules shall be checked in the account branch of the local council, which may raise such objections and seek such information as may be considered necessary.

85. Payment to Contractors shall be made by cheques and as far as possible, be made within thirty days of the completion of the work. If for any reason the payment is not made or cannot be made within the specified period of thirty days, the reasons for such non-payment shall be reported to the Chairman.

86. The security deposited by the contractor if any shall be retained for six months after the completion of the work and shall then be returned to he defective or not up to the specifications and the contractor has not remedied such defects or failed to comply with the specifications in which case such security or sums deducted shall be retained until such defects have been remedied In the case of supply of materials, security shall be retained for three months subject to the above conditions.

87. For the purpose of accounts of local council works, such register and forms shall be maintained as are in force in the Communications and Works Department subject to such modification as may be deemed necessary by a local council to suit its requirement.

88. Under no circumstances shall an advance be made to a contractor for any work to be executed for a local council.

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