Section 277 in The Orissa Municipal Corporation Act, 2003
277. General provisions regarding contracts.
(1)The Corporation may enter into and perform all such contracts as it may consider necessary or expedient for giving effect to the provisions of this Act.(2)With respect to the making of contracts under or for any purpose of this Act. The following provisions shall have effect, namely :-(a)every contract shall be made on behalf of the Corporation by the Commissioner;(b)no contract for any purpose for which, in accordance with any provision of this Act, the Commissioner may not carry out without the sanction of one of the other Corporation's authorities or of the Government shall be made by him unless such sanction has been given;(c)no contract involving an expenditure exceeding fifty thousand rupees but not exceeding rupees ten lakhs shall be made by the Commissioner unless it has been sanctioned by the Standing Committee;(d)no contract involving an expenditure exceeding rupees ten lakhs but not exceeding rupees fifty lakhs shall be made by the Commissioner unless the Corporation has sanctioned it;(e)no contract involving an expenditure exceeding rupees fifty lakhs shall be made by the Commissioner unless it has been sanctioned by the Government; and(f)every contract made by the Commissioner involving an expenditure exceeding five thousand rupees but not exceeding fifty thousand rupees shall be reported to the Standing Committee in its next meeting.(3)The provision of Sub-section (2) shall apply to any variation of a contract involving an increase of more than ten percent on the expenditure involving in the original contract.
