Section 3(1) in The Punjab Panchayati Raj Act, 1994
(1)The State Government may, by notification, declare any village or group of contiguous villages with a population of not less than [three hundred] [Substituted 'two hundred' by Punjab Act No. 4 of 2012, dated 21.5.2012] to constitute a Gram Sabha area:Provided that a new Gram Sabha area may be constituted for any village or group of contiguous villages in respect of a separate distinct abadi or group of abadis having a population of not less than [three hundred] [Substituted 'two hundred' by Punjab Act No. 4 of 2012, dated 21.5.2012] taking into consideration its physical distance from the main village or villages, as the case may be and other relevant facts:[Provided further that a Gram Sabha constituted prior to the commencement of the Punjab Panchayati Raj (Amendment) Act, 2012, with a population of less than three hundred shall not be affected:] [Inserted by Punjab Act No. 4 of 2012, dated 21.5.2012]Provided further that neither the whole nor any part of -(a)a Notified Area under Section 241 of the Punjab Municipal Act, 1911, or any other Act for the time being in force; or(b)a Cantonment ; or(c)a Municipality of any class; or(d)a Municipal Corporation;shall be included in a Gram Sabha area unless the majority of voters in any Notified Area or Municipality of the Third Class desire the establishment of a Gram Sabha in which case the assets and liabilities, if any, of the Notified Area Committee or the Municipal Committee, as the case may be, shall vest in the Gram Panchayat of that Gram Sabha and the Notified Area Committee or the Municipal Committee shall cease to exist.
