Section 120(3) in The Punjab Panchayati Raj Act, 1994
(3)Where by virtue of this section, powers and duties have been conferred or imposed as agency functions upon a Panchayat Samiti the Panchayat Samiti shall be paid by the State Government such sum as may be determined by the State Government in respect of any extra cost of administration incurred by the Panchayat Samiti in connection with the exercise of these powers and duties.
