(1)The committee shall set apart and apply out of the municipal fund -(a)firstly, such sum as may be required for the payment of any amounts falling due on any loan legally contracted by it;(b)secondly, such sum as the committee may be required by the State Government to contribute towards the cost of such Local-Self Government Board or Inspectorate as the State Government may establish for the purpose of advising, assisting and supervising the work of municipal committees and other local bodies:Provided that such sum shall not exceed an amount equal to one per centum of the income for the financial year preceding the year, in which the committee is called upon to make the contribution;(c)thirdly, such sum as may, be required to meet the establishment charges and the salary, allowances, provident fund, pension and gratuity of the members of the Municipal Services and other municipal employees including such subscriptions and contributions as are referred to in Sections 44 and 45;(d)fourthly, such sum as may be required to pay the expenses incurred in auditing the accounts of the committee, and such portion of the cost of any public expenditure by the Central Government or the State Government as may be held by the State Government to be equitably payable by the committee in return for services rendered to it;(e)fifthly, such sum as the committee may be required by the State Government to contribute towards the maintenance of pauper lunatics or pauper lepers sent from any place in the State to mental hospitals or public asylums whether in or outside the State;(f)sixthly, such sums as may be due to the State Government in respect of the cost of services of town-planning and police, rendered by it to the committee and for the maintenance of waterworks, drainage, sewerage, roads, etc., by it on behalf of the committee;(g)seventhly, such sums to be paid annually by the committee to the Town Improvement Trust as are required to meet the charges under section 68 of the Punjab Town Improvement Act, 1922:Provided that for payment of charges under clauses (f) and (g) no resolution of the committee shall be necessary.
