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g) "Directly Affected areas" means the areas specified in
clause(a) of sub-rule(1) of rule 1[21];
h) 2[“Trust” means the District Mineral Foundation Trust of the
respective district registered under the Karnataka Societies
Registration Act, 1960 (Karnataka Act 17 of 1960);]
3[h-1) “Trustee” means a members of the District Mineral
foundation Trust and Managing Committee;”
Explanation:- for the purpose of this clause, the word
trustee shall have same meaning as assigned to it in the
Indian Trust Act, 1882.]
i) "Fund" means fund of the foundation 4[trust;]
5[i-a)
“Governing council” means the Governing council of all the
trustees of the District Mineral Foundation Trust and managing
committee;”]
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m) “Royalty” shall have the same meaning as in Section 9 of the
Mines and Minerals (Development and Regulation) Act, 1957
for major minerals or shall have the same meaning as in
Rule 36 of Karnataka Minor Mineral Concession Rules, 1994
for Minor Minerals.
n) "Rules" means the Karnataka District Mineral Foundation
Rules, 2016.
o) "Section" means the Section of the Act;
1[(o-1)“Settlor” means settlor of the Trust who shall be the
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1[5.District Mineral Foundation Trust:- The District Mineral
Foundation Trust in each of the District shall consist of the following
trustees, namely:-
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17 One Representative from a prominent Non- Nominated Trustee
Governmental Organization or any
Institution working on Environmental issues
in the concerned district to be nominated by
the State Government by notification.
18 Three representatives of the Community of Nominated Trustee
affected persons from affected areas
nominated by the State Government by
notification.
19 The Deputy Director/Senior Geologist of Ex-Officio Trustee
Mines and Geology Department of the and Convener
respective district.
Provided that in case the office of the Conservator of Forest is not
located in the headquarter of the District, then the Deputy Conservator
of Forest (Territorial) whose office is located in the headquarter of the
District shall be the Trustee.
(2) The State Level Steering committee shall meet at least once in a year.
(3) The State Level Steering committee shall monitor the implementation
of projects and programs of the District Mineral Foundation Trust
and review the functioning of State Level Empowered Committees.]
___________________________________________________________________________
1. Substituted vide Notification dated: 25.07.2016 and 08.03.2018
2. Inserted vide Notification dated:08.03.2018
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State Level Empowered Committee :(1) The State Level Empowered
1[5B
___________________________________________________________________________
1. Inserted vide Notification dated: 08.03.2018.
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(2) Drawing up and approving of Annual Action Plan and the
Annual Budget for Foundation Trust. The annual Action Plan
shall contain the list of schemes and projects with the tentative
provisions thereof.
Provided that if for any reason whatsoever, the Foundation
Trust does not prepare and accord approval to the Annual Plan
and Budget within specified time, the Management Committee
shall have Annual Action Plan and the Budget of the
Foundation Trust prepared and approve the same. The Budget
so prepared and approved shall be deemed to have been duly
prepared and approved by the Foundation Trust.
Provided also that while preparing the Annual Plan for the next
financial year, the sum total of the past commitment and
liabilities spilling over shall be assessed. To maintain financial
discipline and timely completion of project the sum total of the
past commitments and liabilities and the new schemes being
proposed shall not in any case exceed three times the expected
inflows for the next financial year.
(3) Approving such other expenditure in furtherance of the objects
of the Foundation Trust from the available Fund in accordance
with these rules 1[drawn from the endowment with the
concurrence of the Government.]
(4) Approving the recommendations of the Management Committee.
(5) Approving the Annual Report and Audited Accounts of the
Foundation Trust within sixty days of the close of the previous
year.
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(3) The quorum for such meeting shall be one third of the total
existing 1[trustees.]
(6) The Government may at any time remove any of the non-official
trustee and may appoint any other person at its sole discretion. The trustee
so removed shall cease to be a trustee with effect from the date of such
removal.
(7) Any vacancy in the non-official trustees position by virtue of
initial appointment not having been done, expiration of term, resignation,
removal, disqualification, death or any reasons whatsoever, shall not affect
the functions of the Foundation Trust and the Foundation Trust shall
function with the reduced 3[number of trustees.]
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(d) has been removed or dismissed from service of the Central
Government or a State Government or a body or corporation owned or
controlled by the Central Government or a State Government;
(e) has directly or indirectly by himself or as partner, has any share or
interest in any work done by the order of the Foundation Trust or in any
contract or employment with or under or by or on behalf of the Foundation
Trust;
(f) is employed as a paid legal practitioner on behalf of the Foundation
Trust or accepts employment as legal practitioner against the Foundation
Trust:
Provided that no person shall be disqualified under clause (e) or be
deemed to have any share or interest in any contract or employment within
the meaning of the said clause by reason only of his having a share or
interest in any newspaper in which any advertisement relating to the affairs
of the Foundation Trust is inserted.
1[“Providedfurther that no person shall be disqualified under
clause (e) or be deemed to have any share or interest in any contract or
employment within the meaning of the said clause by reason only of
his being an officer or a personal on the pay rolls of any official
implementing agency to whom the Foundation Trust has provided
funds for implementing work or service or for procurement of goods”.]
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(3) Without prejudice to the powers of the Foundation Trust,
convergence shall be done with the State and the Districts plans
so that the activities taken up by the Foundation Trust
supplement the development and welfare activities.
(4) An amount not exceeding 5% of the annual receipts of the
Foundation Trust may be utilized for administrative, supervisory
and overhead costs of the Foundation Trust.
(5) No permanent or temporary posts shall be created under the
District Mineral Foundation Trust without prior approval of the
State Government.
(6) Services that need to be procured for efficient functioning of the
District Mineral Foundation Trust shall be procured as service
contracts.
(7) If the affected area of a mine in one district also falls in the
jurisdiction of another district, such percentage of amount
collected from the mine by the Foundation Trust as may be
decided by the State Government, shall be transferred to the
Foundation Trust of the other district concerned for taking up
the activities in such areas:
Provided that a project that is for benefit of the affected area or
people, but stretches beyond the geographical boundary of the
district shall be taken up under the District Mineral Foundation
Trust after obtaining prior approval of the State Government.
(8) Projects for development of common infrastructure like
construction of roads, bridges etc., in excess of limits specified in
regard to the priority for fund utilization, on a case to case basis,
may also be taken up for projects of importance to the District.
Provided that prior approval of the State Government shall be
taken before taking up such works in excess of the limits of fund
utilization.
(9) 1[The District Mineral Foundation Trust shall prepare an
Annual plan and budget for implementation by January of
Each calendar year. In so for as the three district viz.,
Bellary Chitradurga and Tumkur such plan shall be
prepared in consultation with the Karnataka Mining
Environment restoration corporation (hereinafter referred
to as the KMERC) and changes suggested by the KMERC
shall be duly incorporated in the Annual Plan and Budget.”]
[13.
2 Managing Committee.- the Managing Committee shall be
consist of the following members, namely:-
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1[3. The Deputy Conservator of Forest Ex-Officio Trustee
(Territorial), forest Department
4. The District Health Officer of the District Ex-Officio Trustee
5. The Executive Engineer of the Public Works Ex-Officio Trustee
and Inland Water Transport Department of
the District
6. The Executive Engineer of Zilla Panchayat of Ex-Officio Trustee
the District, In charge of the Rural Water
supply in the district
7. Joint Director, District Industries Centre, Ex-Officio Trustee
commerce and Industries Department
8. The environmental Officer, Nominated by the Ex-Officio Trustee
Karnataka State Pollution Control Board
9. The Deputy Director of Public Instruction Ex-Officio Trustee
Department in the District
10. The Deputy Director or Senior Geologist of Ex-Officio Trustee
Mines and Geology Department of the and Convener
respective district.]
________________________________________________________________________
1. Substituted vide Notification dated:08.03.2018.
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(3) Get the Master Plan or Vision Document for the activities of the
Foundation Trust prepared from the specialized agency.
(4) 1[Preparation of the Annual Plan and budget of the Trust
along with the proposed schemes and projects, for approval
of the trust.”;]
(5) Supervise and Ensure the execution of the Annual Plan and the
approved Schemes and Projects.
(6) Accord 2[work order] to the Projects, release and disburse the
Foundation Trust fund for the purpose subject to delegation
limits.
(7) Operate the Foundation Trust Fund through Accounts in the
name of the Foundation Trust in the Government Treasury and
with prior approval of the Government through designated Bank
Accounts.
(8) Monitor the progress of the utilization of the Fund of the
Foundation Trust.
(9) Place the audited accounts along with an Annual Report before
the Foundation Trust for its approval within sixty days of close of
financial year.
(10) Do all other things which are necessarily for smooth functioning
and management of the Foundation Trust.
16. Fund of the Foundation Trust.- (1) There shall be a Fund called
the District Mineral Foundation Trust Fund.
(2) There shall be credited to the said Fund,- (i) all grants,
subventions, donations and gifts made by the Central Government, State
Government, any local authority or anybody, whether incorporated or not or
any person; (ii) the amount borrowed by the Foundation Trust with prior
approval of the State Government; (iii) all other sums received by or on
behalf of the Foundation Trust from any source whatsoever; (iv) the
Contribution collected or to be collected from the holders of mineral or
Minor Mineral concession in the District at such percentage of the Royalty
as may be 3[specified] by the Central Government under the Mines and
Minerals (Contribution to the District Mineral Foundation) Rules, 2015 or as
may be specified by the State Government under the Karnataka Minor
Mineral Concession Rules 1994; (v) investments and other deposits and the
interest accrued thereon and any other income derived there from; and (vi)
all other properties of the Foundation Trust and the income derived there
from or appreciation thereof.
(3) Except as otherwise directed by the State Government all moneys
credited to the Fund shall be kept in the designated Account in the State
Government Treasury.
(4) The administrative expenses of the Foundation Trust including the
salaries, allowances and pension if any, payable to the officers and
employees of the Foundation Trust shall be defrayed out of the fund of the
Foundation Trust.
________________________________________________________________________
1. Substituted vide Notification dated:08.03.2018.
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1[17. Operation of the District Mineral Foundation Trust Fund:- The
District Mineral Foundation Trust shall open a Bank Account in the name of
the respective District Mineral foundation Trust in any of the nationalized
bank and shall operate the accounts as per the provisions of Trust Model
Guidelines. The District Mineral Foundation Trust account shall be operated
under joint signatures of the Member Secretary and Convener. The District
Mineral Foundation Trust shall maintain the books of accounts of all its
transaction in a fair and transparent manner as per rule 24A.]
________________________________________________________________________
1. Substituted vide Notification dated:08.03.2018.
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(c)Health Care:-(i) the focus shall be on creation of primary or
secondary health care facilities in the affected areas. The emphasis
should not be only on the creation of the health care infrastructure,
but also on provision of necessary staffing, equipment and supplies
required for making such facilities effective; and
(ii) To that extent, the effort shall be to supplement and work in
convergence with the existing health care infrastructure of the local
bodies, state and Central government. The expertise available with the
National Institute of Miners; Health may also be drawn upon the design
special infrastructure needed to take care of mining related illnesses and
diseases. Group Insurance Scheme for health care may be implemented
for mining affected persons.
(d) Education:- the construction of school buildings, additional
class rooms, laboratories, libraries, art and crafts room, toilet blocks,
drinking water facilities, residential hostels for students or teachers in
remote areas, sports infrastructure, engagement of teachers or other
supporting staff, e-learning setup, other arrangement of transport
facilities (like bus/van/cycles/rickshaws/etc.) and nutrition related
programmes;
(e) Welfare of Women and Children:- the special programmes for
addressing problems of maternal and child health, malnutrition,
infectious diseases, etc. shall be taken u under the PMKKKY;
(f) Welfare of aged and disabled people:- The Special programmes for
welfare of aged and disabled people;
(g) Skill development:- The Skill development projects or schemes
for livelihood support, income generation and economic activities for local
eligible persons. Such projects or schemes may include training,
development of skill development center, self-employment schemes,
support to self-help groups and provision of forward and backward
linkages for such self-employment economic activities; and
(h) Sanitation:- The collection transportation and disposal of waste,
cleaning of public places, provision of proper drainage and Sewage
Treatment Plant, provision for disposal of fecal sludge, provision of toilets
and other related activities.
(ii) Other priority areas:- Up to forty percent of the PMKKKY shall
be utilized under the following heads, namely:-
(a) Physical infrastructure:- Providing required physical
infrastructure, like road, bridges, railways and waterways
projects;
(b) Irrigation:- Development alternate sources of irrigation, adoption
of suitable and advanced irrigation techniques;
(c) Energy and Watershed Development:-Development of alternate
source of energy (including micro-hydel) and rainwater
harvesting system, development of orchards, integrated farming
and economic forestry and restoration of catchments; and
(d) Any other measures for enhancing environmental quality in
mining district.
Note: the percentage of funds to be spent on directly affected
areas may be changed, with prior approval of the State
Government, if the number of persons living in the directly
affected areas is low and spending such funds in such area may,
in the opinion of the District Mineral Foundation Trust, is
wasteful”.]
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19. Transfer of Funds.- Transfer of fund to all agencies and
beneficiaries shall be into their bank account.
Provided that transfer of funds to agencies of the State Government shall
be as per guidelines of the State Government.
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(ii) ‘Displaced family’ as defined under Section 3 (k) of the Right
to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Resettlement Act, 2013
(iii) Any other as appropriately identified by the concerned Gram
Sabha.
(b) Persons affected by mining shall include people who have
legal and occupational rights over the land being mined, and also
those with usufruct and traditional rights
(c) Affected families shall be identified, as far as possible, in
consultation with local/elected representatives of Gram Sabha or the
Urban Local Body as the case may be.
(d). The District Mineral Foundation Trust shall prepare and
maintain an updated list of such affected persons or local
communities.
(e) The District Mineral Foundation Trust shall prepare and
maintain an updated list of such affected people.
22. Implementation of Works or Contracts.- Works or goods or
services may be procured by the District Mineral Foundation Trust after
following the due procedure prescribed under the Karnataka Transparency
in Public Procurements Act, 1999 for such procurements.
23. Compliance of Transparency.- Each District Mineral Foundation
Trust shall prepare and maintain a Web Site on which, the following
information shall be hosted and kept updated, namely:-
(i) Details of Composition of the District Mineral Foundation
Trust
(ii) List of areas and people affected by mining.
(iii) Quarterly details of all contribution received from leases and
others.
(iv) All meeting agenda, minutes and action taken reports
(ATRs) of the District Mineral Foundation Trust.
(v) Annual Plans and Budget
(vi) Annual Report of the District Mineral Foundation Trust.
(vii) Status of ongoing works including description of work,
details of beneficiaries, estimated cost, name of
implementing agencies, expected date of commencement
and completion of work, and financial and physical
progress up to last quarter.
(viii)List of beneficiaries made under various welfare programs
taken up by the District Mineral Foundation Trust.
(ix)Voluntary disclosures under Right to Information Act,
1[2005.]
24. Accounts and Audit.-(1) The Annual Accounts of the District
mineral Foundation Trust shall be prepared within sixty days of the close of
the financial year. The accounts of a District Mineral Foundation Trust shall
be audited every year by a Charted Accountant appointed by the District
Mineral Foundation Trust.
________________________________________________________________________
1. Substituted vide Notification dated:25.07.2016.
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(2) After the audit by the Chartered Accountant the accounts shall be
audited by the State Accounts and Audit Department.
(3) Audit at sub rule(1) shall be got completed within three months of
the close of the financial year and the audit at sub rule (2) shall be got
completed within six months of the close of the financial year.
Provided that with prior approval of the State Government the
completion of audits at sub rules (1) and (2) put together could be extended
up to a period of nine months from the close of the financial year.
Provided further that the annual accounts and audit for the years
2014-2015 and 2015-2016 shall be completed by the Foundation Trust by
31st of March 2017.
1[24(A) Double entry Accrual of Accounts.- The accounts of the District
Mineral Foundation Trust shall be on double entry accrual basis.]
25. Annual Report.- (1) Every year, within nine months from the
date of closure of the financial year, the Member Secretary of the District
Mineral Foundation Trust shall cause to prepare an Annual Report on its
activities for the respective financial year and place it before the District
Mineral Foundation Trust.
Provided that with prior approval of the State Government, this period
of nine months may be extended by a period of another three months.
[Provided further that the annual reports for the years 2014-2015
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(2) The Foundation Trust may request the State Government to provide
required number of core personnel from its departments or from regular
employees of the Zilla Panchayat or such other cadre, for providing
administrative and technical assistance to the Foundation Trust Services of
such personnel shall continue to remain in their own respective cadres. The
Foundation Trust may bear expenditure up to 5% of its accrued funds for
this purpose.
________________________________________________________________________
1. Substituted vide Notification dated:25.07.2016.
2. Substituted vide Notification dated:25.07.2016.
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(3) The Foundation Trust may also ask service providers to provide such
services as may be needed for smooth functioning of the Foundation Trust
and may provide for incurring contingent expenditure for its functioning.
(G. LINGAMURTHY)
Deputy Secretary (Mines)
Commerce and Industries Department.
To:-
The Complier, Karnataka Gazette to publish in the Special Gazette and to supply
300 copies to this Department and 300 copies to Directorate of Mines and Geology,
Khanija Bhavan, Bangalore-01.
_________________________________________________________________________
1. Substituted vide Notification dated:25.07.2016.
2. Substituted vide Notification dated:25.07.2016.
Copy to:-
1. The Accountant General (A&E), Karnataka, Bangalore.
2. The Chief Secretary to Government, Vidhana Soudha, Bangalore
3. The Addl. Chief Secretary to Hon’ble Chief Minister, Vidhana Soudha,
4. The Addl. Secretary, Ministry of Mines, Govt., of India, Shastri Bhawan, New Delhi.
5. The Secretary to Govt.(Budget & Resources) Finance Dept. Vidhana Soudha.
6. The Principal Secretary to Govt. Parliamentary Affairs & Legislation Dept.
7. The Principal Secretary to Govt. Law, Justice and Human Rights Dept.
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8. The Director, Dept., of Mines and Geology, Khanija Bhavan. Bangalore-01.
9. All the Deputy Commissioners of the Districts (Karnataka).
10. All the Deputy Director / Senior Geologist of Mines & Geology of the Districts.
11. P.S. to Hon’ble Minister of Mines and Geology, Vikasa Soudha.
12. P.S. to Secretary to Govt., Commerce and Industries Department, Vikasa Soudha.
13. P.A to Deputy Secretary to Govt., Commerce and Industries Dept. Vikasa Soudha
14. S.G.F. / Extra copies.
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