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In exercise of powers conferred by section 9B, sub-section (4) of section 15 and 15A of the Mines and Minerals (Development and Regulation) Act, 1957 (Central Act No. 67 of 1957), the State Government hereby makes the following rules for the interest and benefit of persons and areas affected by mining related operations in the district in the manner as specified in these rules, namely:-

R.1 Short title, extent and commencement

(1) These rules may be called The Haryana District Mineral Foundation Trust Rules, 2016.

(2) They shall extend to whole of the State of Haryana and shall apply to all minerals.

(3) They shall be deemed to have come into force on the 12th day of January, 2015.

R.2 Definitions

(1) In these rules, unless the context otherwise requires -

(i) "Act" means the Mines and Minerals (Development and Regulation) Act, 1957 (Central Act No. 67 of 1957);

(ii) "Affected area" means the area specified in sub rule 1 of rule 21.

(iii) "Affected people" means the persons specified in sub rule 2 of rule 21.

(iv) "Auditors" Means the auditor / Chartered Accountant appointed by the trust and include the Principal Accountant General of the State;

(v) "Beneficiaries" means the area and persons affected by mining related operations undertaken in the area;

(vi) "Chairman" means the Chairman of the foundation.

(vii) "Contribution" means the Contribution collected or to be collected from the holders of major or minor mineral concessions in the district at such percentage of contract money/dead rent/royalty as may b

R.3 Objects of the Foundation

The objects of the District Mineral Foundation Trust shall be to work for the interest and benefit of persons and areas affected by mining related operations in the district in the manner as specified in these rules.

R.4 Constitution of Foundation

The District Mineral Foundation Trust constituted for each district of the State, under section 9B of the Act, shall consist of the following trustees namely:-

(2) Any non-official member may resign his office by writing under his hand addressed to the State Government but shall continue in office until his resignation is accepted.

(3) The non-official members shall receive allowances to meet the expenses for attending the meetings in accordance with the Annexure-A to the Haryana Civil Services Rules.

(4) The Ex-Officio members shall continue as members during the period they are holding the post and the designation and shall be deemed to have ceased to be the members once they cease to hold the office by virtue of which they were so appointed and their successors in office shall be deemed to have been appointed as members in their place with effect from the date of their acquiring such official designa

R.6 Disqualification for membership of office

A person shall be disqualified for being appointed as and for being a member if he/she;

(a) Has been convicted and sentenced to imprisonment for an offence which in the opinion of the State Government involves moral turpitude;

(b) Is of unsound mind and stands so declared by a Competent Court;

(c) Is an undischarged insolvent;

(d) Has been removed or dismissed from service of the Central Government or a State Government or a body or corporation owned or controlled by the Central Government or a State Government;

(e) Has directly or indirectly by himself or as partner, has any private share or private interest in any work done by the order of the Foundation or in any contract or employment with or under or by or on behalf of the Foundation; or

(f) Is employed as a paid legal practitioner on behalf of the Foundation or accepts employment a

R.7 Removal of member

(1) The State Government shall remove a member if;

(a) He/she becomes subject to any of the disqualifications mentioned in rule 6:

Provided that no member shall be removed on the ground that he/she has become subject to the disqualification mentioned in clause (e) of that Rule, unless he/she has been given an opportunity of making his representation against the proposal; or

(b) He/she refuses to act or become incapable of acting; or

(c) He/she without obtaining leave of absence from the Foundation, absents from three consecutive meetings of the Foundation; Provided that this clause shall not be applicable in case of ex-officio members; or

(d) In the opinion of the State Government he/she has so abused his position as to render his/her continuance in office detrimental to the public interest: Provided that no member shall be removed under this clause unless he

R.8 Powers and functions of the Foundation

The foundation shall be responsible for;

(1) Laying down the broad policy framework for the functioning of foundation and review its working from time to time, subject to such directions and guidelines issued by the Government from time to time.

(2) Drawing up and approving of Annual Action Plan and the Annual Budget for Foundation. The annual Action Plan shall contain the list of schemes and projects with the tentative provisions thereof.

Provided that if for any reason whatsoever, the Foundation does not prepare and accord approval to the Annual Plan and Budget within specified time, the Management Committee shall have Annual Action Plan and the Budget of the Foundation prepared and approve the same. The Budget so prepared and approved shall be deemed to have been duly prepared and approved by the Foundation.

Provided also that while preparing the Annual Plan for the next financ

R.9 General Provisions regarding District Mineral Foundation

(1) The developmental and welfare activities to be taken up under the District Mineral Foundation shall be, as far as possible, in the nature of complementing the ongoing schemes or projects being funded by the State as well as Central Government.

(2) Activities meant to be taken up under the "polluter pays principle" shall not be taken up under the District Mineral Foundation.

(3) Without prejudice to the powers of the Foundation, convergence shall be done with the State and the Districts plans so that the activities taken up by the Foundation supplement the development and welfare activities.

(4) An amount not exceeding 5% of the annual receipts of the Foundation may be utilized for administrative, supervisory and overhead costs of the Foundation.

(5) No permanent or temporary posts shall be created under the District Mineral Foundation without prior approval of the State Govern

R.10 Management of the Trust.

The management of the trust shall vest in a Governing Council which shall consist of all trustees including nominated trustees of the trust. However, the day to day management of the trust shall be managed by a Managing Committee, as specified in Rule 11. The Government may however decide to alter the composition of the Managing Committee at any time. The powers and functions of the Governing Council and of the Managing Committee shall be as contained in these rules.

R.11 Managing Committee

The day to day management of the Foundation shall be managed by a Managing Committee, which shall consist of all the members of the Foundation except the nominated non-official members. However, the State Government shall have the right to remove, alter or appoint any member of the Managing Committee at its discretion.

R.12 Powers and Functions of the Managing Committee

The Managing Committee Shall,-

(1) Exercise due diligence in carrying out its duties for protecting the interest and contribution of the Foundation.

(2) Ensure timely collection of Contribution Fund from the concerned holders of Mineral concession in accordance with the provisions of the Act and Rules made there under.

(3) Get the Master Plan or Vision Document for the activities of the Foundation prepared from the specialized agency.

(4) Assist in the preparation of the Annual Plan and Annual Budget of the Foundation along with the proposed schemes and projects.

(5) Supervise and ensure the execution of the Annual Plan and the approved Schemes and Projects.

(6) Accord Sanction to the projects, release and disburse the Foundation fund for the purpose subject to delegation limits.

(7) Operate the Foundation Fund thro

R.13 Meetings of the Foundation

(1) The Foundation shall meet as often as necessary but at least once every quarter.

(2) The meeting of Foundation shall be convened as desired by the Chairman.

(3) The quorum for such meeting shall be one third of the total existing membership.

R.14 Meetings of Managing Committee

The meeting of the Managing Committee shall be held at least once every quarter.

R.15 Decisions of the Foundation

(1) All the decisions by the trustees shall be taken in the meeting of the Governing Council by the majority of the members present and if required, by voting. In case of the tie the Chairperson of the meeting shall have a casting vote. Every meeting of the Governing Council shall be deemed to be a meeting of the trust.

(2) The Government may issue directions and guidelines from time to time for working of the foundation and foundation shall act in accordance with the same.

R.16 Fund of the Foundation

(1) There shall be credited to the said Fund;

(i) All grants, subventions, donations and gifts made by the Central Government, State Government, any local authority or anybody, whether incorporated or not or any person;

(ii) The amount borrowed by the Foundation with prior approval of the State Government;

(iii) All other sums received by or on behalf of the Foundation from any source whatsoever;

(iv) The Contribution collected or to be collected from the holders of major or minor mineral concessions in the district as per following;

(a) In case of major minerals, as prescribed in the Mines and Minerals (Contribution to District Mineral Foundation) Rules, 2015, as amended from time to time; and

(b) In case of minor minerals, one third of total amount received under Mines and Mineral Development and Regulation Fund established in accordan

R.17 Operation of the Foundation Fund

The District Mineral Foundation fund shall be kept in interest bearing account in scheduled commercial Nationalised Bank only in the name of trust, one for each district and account shall be operated under the joint signatures of the two designated authorized signatories including Member-Secretary. The Foundation shall maintain the books of accounts of this Fund.

R.18 Utilization of Funds

The fund shall be vested in Foundation and shall be utilised for carrying out the purposes of these rules in the following manner namely:-

(1) 20% of the fund of the District Mineral Foundation shall be kept aside as endowment for taking care of future expenses after mining activities have ended in the area.

(2) High priority areas:- Out of the balance after reserving 20% of the fund as per sub rule(1), at least 60% of the District Mineral Foundation fund shall be utilised for the following:-

(a) Drinking Water Supply- centralized purification systems, water treatment plants, permanent/temporary water distribution network including standalone facilities for drinking water, laying of piped water supply system.

(b) Centralized preservation and pollution control measures- effluent treatment plants, prevention of pollution of streams, lakes, ponds, ground water, other water sources in

R.19 Transfer of Funds

Transfer of fund to all agencies and beneficiaries shall be into their bank account.

Provided that transfer of funds to agencies of the State Government shall be as per guidelines of the State Government.

R.20 Pradahan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY)

The Pradahan Mantri Khanij Kshetra Kalyan Yojana (PMKKKY) as notified shall be implemented by the District Mineral Foundation of the respective Districts using the funds accruing to the District Mineral Foundation as per the guidelines of the Yojana issued by the Government of India from time to time.

R.21 Identification of affected areas and people

(1) Affected areas:

(a) Directly affected areas are the areas where direct mining-related operations such as excavation, mining, blasting, beneficiation and waste disposal, overburdened dumps, tailing ponds, transport corridors etc., are located and shall include:

(i) Villages and gram panchayats within which the mines are situated and are operational. Such mining areas may extend to neighbouring village, block or district on even state.

(ii) An area within such radius from a mine or cluster of mines as may be specified by the State Government, irrespective of whether this falls within the district concerned or adjacent district.

(iii) Villages in which families displaced by mines have been resettled or rehabilitated by the project authorities.

(iv) Villages that significantly depend on the mining areas for meeting their economic needs and have usufruct and t

R.22 Implementation of Works or Contracts

(1) Works or goods or services may be procured by the District Mineral Foundation after following the due procedure as per State Government Policy.

(2) As far as possible, the works undertaken by the trust shall be executed only through Government Departments, agencies and public sector undertakings normally undertaking such works which will follow the relevant norms and procurement procedures as may be applicable to the Government projects implemented by the organisation while executing or awarding contracts.

(3) Technical approval and supervision of the work will be looked after by officers competent to do so under the administrative delegation of powers as applicable to the Department concerned.

(4) In respect of such works which cannot be executed through Government Department, agencies or public sector undertakings, the Executive Committee may award the work to any other competent and sound agenci

R.23 Compliance of Transparency

The state shall develop a web-portal for Haryana District Mineral Foundation. Each of the DMFs shall host and keep updated the following informations namely: -

(i) Details of Composition of the District Mineral Foundation

(ii) List of areas and people affected by mining.

(iii) Quarterly details of all contribution received from leases and contracts.

(iv) All meeting agenda, minutes and action taken reports (ATRs) of the District Mineral Foundation.

(v) Annual Plans and Budget

(vi) Annual Report of the District Mineral Foundation.

(vii) Status of ongoing works including description of work, details of beneficiaries, estimated cost, name of implementing agencies, expected date of commencement and completion of work and financial and physical progress up to last quarter.

(viii) List of beneficiari

R.24 Charging of Expenses

The trustees shall be entitled to charge the trust fund with the following expenses namely:-

(a) All expenses properly incurred in the operation or execution of the trust and for the realization, preservation or benefit of the investments and assets comprising the trust fund and for the protection of the interests of the trust.

(b) All expenses (including expenses incidental to execution and/or registration of any agreement or other deeds) incurred by the trustees for obtaining the contributions and or any other resources; which may accrue.

(c) All expenses in connection with any legal proceedings by or against the trustee concerning the affairs of the trust including professional fees and costs of any legal advisor.

(d) All legal statutory expenses incurred in the operation or execution of the trust including all levies, duties and other charges paid/payable in connection with th

R.25 Accounts and Audit

(1) The Annual Accounts of the District mineral Foundation shall be prepared within 90 days of the close of the financial year. The accounts of a District Mineral Foundation shall be audited every year by a Charted Accountant appointed by the District Mineral Foundation.

(2) After the audit by the Chartered Accountant the accounts shall be audited by the Principal Accountant General (Audit), Haryana.

(3) Audit at sub rule (1) shall be got completed within 03 months of the close of the financial year and the audit at sub rule (2) shall be got completed within six months of the close of the financial year. Provided that with prior approval of the State Government the completion of audits at sub rules (1) and (2) put together could be extended up to a period of nine months from the close of the financial year.

R.26 Annual Report.

(1) Every year, within 09 months from the date of closure of the financial year, the Member Secretary of the District Mineral Foundation shall cause to prepare an Annual Report on its activities for the respective financial year and place it before the District Mineral Foundation. Provided that with prior approval of the State Government, this period of 09 months may be extended by a period of another 03 months.

(2) The Annual Report shall be submitted to the State Government within 01 month from the date of its approval by the District Mineral Foundation and shall also be hosted on the website of the Foundation.

(3) The Annual Report of each Foundation shall be laid before the Houses of the State Legislature in its next session following the month in which the Annual Report is received by the State Government.

R.27 Administrative arrangements

(1) The State Governments shall provide services of the personnel working under their control for management of the Foundation and for execution of the Annual Plan as may be required for the purpose.

(2) The Foundation may request the State Government to provide required number of core personnel from its departments/undertakings for providing administrative and technical assistance to the Foundation. Services of such personnel shall continue to remain in their won respective cadres.

(3) The Foundation may also ask service providers to provide such services as may be needed for smooth functioning of the foundation and may provide for incurring contingent expenditure for its functioning.

R.28 Liability of Trustees

(1) The trustees shall not be liable on account of anything done in good faith, bonafide with due diligence. The trustees shall also not be liable or responsible for any banker, broker, custodian or other person in whose hands the same may, in good faith, be deposited or placed nor for the deficiency or insufficiency in the value of any investments of the trust fund nor otherwise for any involuntary loss.

(2) The trustees and every attorney or agent appointed by the trustees shall be entitled to be indemnified out of the trust fund in respect of all liabilities, losses and expenses incurred in execution of the trust or any of the powers, authorities, and discretion vested in or delegated to them other than those arising out of gross negligence and/or wilful misconduct, provided however, that, such indemnity shall not in any event exceed the total of the contributions.

R.29 Review of the Foundation

The following State Level Committee shall review the works undertaken by the Foundation on regular basis.