- The State Government may, for the purpose of application of the provisions of this Act, classify any municipal area on the basis of the population as ascertained at the last preceding census of which the relevant figures have been published, as-(a)a larger urban area having population above 2,00,000(b)a medium urban area of-Class 'A' municipal area having population above 1,50,000 but not exceeding 2,00,000, orClass 'B' municipal area having population above 1,00,000 but not exceeding 1, 50,000, orClass 'C' municipal area having population above 40,000 but not exceeding 1,00,000, and(c)transitional small urban area having population above 12,000 but not exceeding 40,000:Provided that for the purpose of classification of municipal areas in any hill area, pilgrim centre, tourist centre or mandi town, the government may, by notification, determine separate size of population for each class of such municipal areas.
