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State of Karnataka - Section

Section 14A in Karnataka Town and Country Planning Act, 1961

14A. [ Change of land use from the outline development plan. [Inserted by Act 17 of 1991 w.e.f. 19.04.1991]

(1)At any time after the date on which the outline development plan for an area comes into operation, the Planning Authority may, with the previous approval of the State Government, allow such changes in the land use or development from the outline development plan as may be necessitated by topographical cartographical or other errors and omissions, or due to failure to fully indicate the details in the plan or changes arising out of the implementation of the proposals in outline development plan or the circumstances prevailing at any particular time, by the enforcement of the plan:Provided that,-
(a)all changes are in public interest;
(b)the changes proposed do not contravene any of the provisions of this Act or any other law governing planning, development or use of land within the local planning area; and
(c)the proposal for all such changes are published in one or more daily newspapers, having circulation in the area, inviting objections from the public within a period of not less than fifteen days from the date of publication as may be specified by the Planning Authority.
(2)The provisions of sub-section (2) and (3) of section 14 shall apply mutatis mutandis to the change in land use or development from the outline development plan.][[(3) XXX] [Omitted by Act 38 of 2015 w.e.f 10.09.2015]][[14B. Benefit of development rights. [Inserted by Act 38 of 2015 w.e.f 10.09.2015]
(1)In a Local Planning Are if any Public Authority requires any 'Area' for the public purpose, it shall notify the same in such manner as may be prescribed and the owner of such 'Area' hands over possession of such 'Area' free from all encumbrances to such Public Authority in lieu of any compensation, under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (central Act 30 of 2013) or any other law, he shall, notwithstanding anything contained in this Act or regulations, be entitled to be granted Development Rights (DR) under this section subject to conditions specified below. The Planning Authority shall issue Development Rights to such persons not more than the extent specified in table below, subject to such terms and conditions as may be prescribed.
(2)The provisions of this section shall be applicable to the Local Planning Areas having City corporation and may be extended to other Local Planning areas as and when required by the State Government by notification from time to time.
(3)No Development Rights shall be granted under this section unless the Public Authority deposits the amount with Planning Authority equal to the market value of the area required:Provided that the Local Authority and Planning Authority are exempted from such deposition.
(4)The Public Authority intending to obtain Development Rights in favour of owners shall apply to the Planning Authority enclosing the list of land owners who have surrendered the area for the public purpose as per the provisions in sub-section (1) after verifying title over such property and ensuring that no other person has any claim over such property. It shall also specify the details of entire land or building so surrendered along with payment of 'Deposition Amount' as per the market value, to the Planning Authority.
(5)The Planning Authority before issuing Development Rights shall verify and notify the details of Area surrendered in the news paper calling objections and suggestions, if any, for the purpose of Development Rights and the Development Rights intended to be issued, after satisfying itself beyond doubt that the persons claiming Development Rights is entitled for the same.
(6)If the owner does not agree to surrender his 'Area" required by a public Authority for any public purpose, for the Development Rights and demands for monetary compensation, then the public Authority may acquire such 'Area' by providing compensation as per the provisions of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (central Act 30 of 2013) or any other law prevailing.
(7)Any 'Area owned by Public Authority required for public purpose by a Local Authority shall also be eligible to obtain Development Right if such 'Area is surrendered to the Local Authority in lieu of any compensation under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (central Act 30 of 2013).
(8)The Authority competent to approve Building plan shall not approve utilization of the Development Right unless an entry to that effect is made in the Development Rights Certificate and in the register/database maintained by the Planning Authority as prescribed.
(9)The Planning Authority after considering objections or suggestions received under sub section (5) shall verify the details for sanction of Development Rights and if found eligible issue it in the form of Development Right Certificate (DRC) under intimation to the public Authority to the owner specifying the extent of Notional Land as Development Rights admissible, subject to such terms and conditions as may be prescribed or reject it, quoting the reasons thereof.Provided that no such application shall be rejected without giving opportunity of hearing to the public Authority and the owner of such land.
(10)The Development Rights shall be calculated based on the land area or building area surrendered by the owner to any Public Authority free from all encumbrances and without claiming any compensation. The Land or building area so surrendered shall be converted into 'Notional Land' to extent specified in the Table below based on the value of the land determined on the basis of Market value notified by the State Government under the Karnataka Stamp Act, 1957.
(11)The Deposition amount or fee amount received by the Planning Authority under sub section (3) or sub section (27) shall be kept in a separate account called Transferable Development Rights Fund of the Planning Authority and shall be granted and utilized in the concerned Local Planning Area by the concerned Local Authority or Planning Authority in the prescribed manner.
(12)The Development Rights so issued shall be utilized within the same Local planning Area to which it is issued.
(13)The Development Rights may be utilized within the same plot or in any other Area in the same Local Planning area by the owner or the owner of such Development Rights may transfer the Development Rights to somebody else who can use that Development Rights on any other Area within the Local Planning area, as Transferable Development Rights.
(14)The utilization of Development Rights at the receiving plot shall be subject to limitations, as may be prescribed.
(15)Whenever the owner sells the Development Rights, it shall be registered in the Planning Authority after due entry in the register/database and on the Development Rights Certificate.
(16)No transfer or utilization of the Development Right shall be valid unless it is registered by the Planning Authority.
(17)The Planning Authority shall maintain a register/database and shall make entry of issue, transfer or utilization of Development Rights granted under this section in such manner as may be prescribed.
(18)Issue, transfer or utilization of the Development Rights may be done through electronic form and through internet in such manner as may be prescribed.
(19)The State Government shall establish a State level Development rights monitoring authority consisting of such number of members as may be prescribed to keep track of all transactions of Development Rights. It shall also have power to inspect, verify the records of concerned planning Authority pertaining to these transactions. It shall also have power to prosecute persons responsible for illegal or fraudulent transactions in contravention of the provisions of this section.
(20)No person shall be eligible for the Development Rights for the surrender of the areas earmarked for road, parks or common open spaces and Civic Amenity sites to the Planning Authority or Local Authority while obtaining permission for formation of layouts or development any land under section 15 or 17.
(21)The Planning Authority shall periodically publish total number of Development Rights issued, transferred and the balance remaining in each Local Planning Area and the name of the holder in such manner as may be prescribed.
(22)Any person aggrieved by any order of the Planning Authority may appeal to such Appellate Authority, in such manner, as may be prescribed. The appellate Authority may dispose the application with such direction as it deems fit. The decision of the appellate Authority shall be final.
(23)Any person who fraudulently create any Development Rights Certificate or fraudulently transfers Development Rights shall on conviction be liable for an imprisonment for not less than one year which may be extended to three years and to a fine which may extend to double the value of amount cheated by him.
(24)The member secretary of the Planning Authority, shall be responsible to file complaint before the Court regarding the offences committed under this section.
(25)In case of any dispute arising over the ownership of the 'Area' surrendered, where the Development Rights Certificate issued for such 'Area' is already transferred and utilized by any person other than the person who has surrendered the 'Area', such claims shall be restricted only to the extent of eligibility of compensation from the person who has surrendered the 'Area' for Development Right. The Public Authority which verified the claims shall also be responsible for the wrong recommendation for issue of Development Right. It shall make good the loss occurred by it.
(26)All Development Rights issued before the commencement of the Karnataka Town and Country Planning (Amendment) Act, 2015 shall also be entered in the register/database maintained under this section in the same manner specified herein.
(27)Necessary fees as prescribed shall be collected by the Planning Authority for registering any transaction of issue, transfer or utilization of Development Rights Certificate.
(28)Every Transaction pertaining to issue, utilization or transfer of Development Rights and the Transferable Development Rights Fund of the Planning Authority created under sub-section (11) shall be audited every year by such officer as may be prescribed. The audit report alongwith compliance shall be sent to the Government by the concerned planning authority and the Government shall place the same before both the houses of the State legislature.{see sub-section (1)}Quantum of Development Rights Admissible
SI. No. PURPOSE FOR WHICH LAND SURRENDERED DEVELOPMENT RIGHT ADMISSIBLE
1. Land Development Rights  
  (i) Any road widening/any road formation asproposed in Master Plan or as proposed by the Local Authority orDeveloping Authority.  
(ii) Any infrastructure Projects approved by theGovernment (Transportation Water Supply, Sewage, Electricity,etc.,..) Development Right inthe form of "Notional land" which shall be equal to:(a) two times of theArea surrendered;(b) two times of the total area surrendered, incase the remaining area after surrendering the required portionfor public purpose has become incapable of reasonable beneficialuse.
(iii) Providing for parking, parks, play groundsand open spaces or any other public places proposed in the MasterPlan or proposed by Local Authority
(iv) Providing EWS/LIG/affordable housing.
(v) Any other public purpose notified by theGovernment from time to time
2. Building Development Rights  
  All types of authorized buildings Development Rights inthe form of notional land which shall be equal to one time theland area derived by dividing the value of the building/portionof the building surrendered, by the market value of the land/ploton which the building is situated.The method of valuation of building shall be asprescribed.
Note. - The Development Rights in the form of 'Notional Land' shall be multiplied by the permissible Floor Area Ratio of the plot where Development Rights or transferable Development Rights is proposed to be utilized, to derive the additional Floor Area eligible for that plot due to utilization of Development Rights or Transferable Development Rights.Explanation. - for the purpose of this section,-
(a)"Area" means land/plot or land and building/portion of building thereon.
(b)"Deposition Amount" means the amount to be remitted by any Public Authority intending to acquire the area falling within the jurisdiction of the Local Planning Area. This amount shall be equal to the market value of the area to be acquired;
(c)"Development Rights (DR)" means the right given for development of land within the Local Planning Area in the form of "Notional Land" to an owner who surrenders the area of land or building required for public purpose without claiming any compensation.
(d)"Development Right Certificate (DRC)" means the certificate of Development Rights issued to owner;
(e)"EWS/LIG" means such class of person as may be notified by the State Government from time to time;
(f)"Floor Area" means the floor area defined in the respective Zonal Regulations;
(g)"Market value" means the value determined as per the guidance value of land in accordance with a section 45B of the Karnataka Stamp Act, 1957;
(h)"Notional Land" means the Development Rights in the form of theoretical land area and not in the form of real/physical land area, in lieu of compensation;
(i)"Public Authority" means the Planning Authority, Local Authority or an authority or a body owned and controlled by the State Government, Central Government or by both State and Central Government jointly having Authority by laws to acquire, hold and dispose of property together;
(j)"Public purpose", means and includes for the purposes of,-
(i)Any road widening/any road formation as proposed in Master Plan or as proposed by the Local Authority;
(ii)Any Infrastructure projects approved by the Government (Transportation, Water Supply, Sewage, Electricity, etc.,..)
(iii)Providing for parking, parks, playgrounds and open spaces or any other public places proposed in the master plan or proposed by Local Authority except cases under Section 15 and 17;
(iv)Providing EWS/LIG/affordable housing; and
(v)Any other public purpose notified by the Government from time to time."
(k)"Transferable Development Rights" (TDR) means the Development Right given in the form of 'Notional Land' to an owner, which can be sold or disposed or utilized elsewhere in the Local Planning Area. The DR of the 'Area' surrendered in the form of 'Notional Land', shall be permitted as TDR only after factorizing the Market Value of the Originating Plot and the Receiving Plot, as specified in the Terms and Conditions.]]