Local Goverment Act 1976 – Act 171


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local government 1 laws of malaysia reprint act 171 local government act 1976 incorporating all amendments up to 1 january 2006 published by the commissioner of law revision malaysia under the authority of the revision of laws act 1968 in collaboration with malayan law journal sdn bhd and percetakan nasional malaysia bhd 2006


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2 laws of malaysia act 171 local government act 1976 date of royal assent 18 march 1976 25 march 1976 date of publication in the gazette previous reprints first reprint second reprint 1998 2001


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local government laws of malaysia act 171 local government act 1976 3 arrangement of sections part i preliminary section 1 2 short title application and commencement interpretation part ii administration of local authorities 3 4 5 6 7 8 9 10 11 12 13 14 15 declaration and determination of status of local authority areas change of name and status and alteration of boundaries merger of two or more local authorities succession of rights liabilities and obligations extension of this act to non-local authority areas administration of local authority areas power of state authority to issue directions councillors declaration by councillor before assuming office councillors exempt from service as assessors or jurors local authorities to be corporations common seal provisions relating to local government elections ceasing to have effect


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4 laws of malaysia p art iii act 171 officers and employees of local authorities section 16 17 18 list of offices power of local authority to provide for discipline etc of its officers superannuation or provident fund part iv conduct of business 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 local authority office ordinary meetings special meetings notice of meetings meetings of local authority to be public quorum chairman of meetings vote of majority decisive minutes to be kept of all proceedings appointment of committees standing orders for regulating proceedings of local authorities extraordinary powers in case of emergency validity of acts of local authority officers authentication and execution of documents exemption of councillors etc from personal liability disability of councillors for voting on account of interests in contracts etc restriction contracts mode of executing contracts exceeding ten thousand ringgit employees not to be interested in contracts part v general financial provisions 39 40 revenue of the local authority local authority fund


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local government section 5 41 42 43 44 45 46 47 48 49 50 51 52 power of local authority to raise loans power of local authority to issue mortgages or debenture stock and to make regulations in respect thereof notice of trust charge or other interest not receivable securities to be trust investment remedies for default borrowing powers for special purposes loans by government loans to be first charge on revenue and assets advances by way of overdraft sinking fund state authority may give directions as regards sinking fund renewal and insurance funds part vi accounts and audit 53 54 55 56 57 58 59 60 61 62 accounts to be kept financial year annual estimates to be passed and approved supplementary estimates no expenditure to be incurred unless included in the estimates virement form of estimates audit of accounts power to take evidence remuneration of auditor part vii public places 63 64 65 66 67 68 control of public place etc power to make new public places etc and enlarge them power temporarily to close public places power to erect public buildings in open public places conditions and restrictions in regard to closure of street etc naming of public places etc.


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6 laws of malaysia part viii pollution of streams act 171 section 69 committing nuisance in streams etc 70 pollution of streams with trade refuse etc 71 local authority may recover for work done part ix food markets sanitation and nuisances 72 powers 73 by-laws 74 filthy house etc 75 power to enter and cleanse houses or buildings 76 destruction of rats and mice 77 closing and demolition etc of insanitary dwellings 78 overcrowding of houses 79 when house to be deemed overcrowded 80 nuisances to be abated 81 nuisances liable to be dealt with summarily under this act 82 notice requiring abatement of nuisance 83 order for demolition of house unfit for habitation 84 power to proceed where cause of nuisance arises outside local authority area part x fire services 85­93 deleted part xi burial places crematoria and exhumation 94 local authority may provide burial grounds and crematoria and issue licences for the same 95 penalty for unlawful burials 96 power to close burial grounds and crematoria 97 exhumation of corpses


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local government section 7 98 power to make by-laws 99 keeping of registers 100 non-application of other written laws part xii further powers of local authority 101 further powers of local authority part xiii by-laws 102 general power to make by-laws 102a by-law etc may prescribe fees and charges 103 104 105 106 by-laws to be confirmed by state authority penalties for breaches of by-laws power to demand monetary deposits from applicants for permits publication of by-law rule or regulation in the gazette constitutes notice part xiv miscellaneous 107 108 109 110 111 112 113 114 115 116 licences notices etc default in compliance with notice or order power to enter premises officer may demand names and addresses penalty for obstructing councillor and others recovery of expenses expenses and costs payable by owners recovery of expenses or costs from persons in default recovery of charges for local authority services


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8 section laws of malaysia act 171 117 118 119 120 121 122 123 124 125 126 recovery by instalments compensation damages and costs to be determined by courts of competent jurisdiction general penalty local authority may direct prosecution power of arrest books of local authority to be prima facie evidence of sums due liability for acts and omissions public authorities protection act 1948 protection of councillors officers and employees from personal liability officers to be public servants part xv rating and valuation 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 power to impose rates further rates division of area and holding for rating purposes basis of assessment of rate deleted drainage rate duration of rate exemption from rates exemption or reduction of rate minimum rate payable preparation of valuation list designation if name of owner unknown joint or separate valuation returns may be required notice of new valuation list to be published objections confirmation of new valuation list amendments to valuation list appeals rates to be first charge proceedings in default


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local government section 9 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 proceedings for recovery of an arrear sale of property attached application of proceeds of sale attachment and sale of holding recovery of costs power to stop sale objection to attachment recovery of rates paid by occupier arrear may be sued as debt evidence of rates assessment etc not to be impeached for want of form liability of owner on subdivision or amalgamation of holdings notice of transfer of rateable holdings notice of new buildings refund on unoccupied buildings provision for rating buildings on state or reserved land saving part xvi special provisions 165 166 transfers of functions repeal first s chedule second schedule


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10 laws of malaysia act 171


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local government laws of malaysia act 171 local government act 1976 11 an act to revise and consolidate the laws relating to local government [see appendix whereas it is expedient for the purpose only of ensuring uniformity of law and policy to make a law with respect to local government now therefore pursuant to the provisions of clause 4 of article 76 of the constitution be it enacted by the seri paduka baginda yang di-pertuan agong with the advice and consent of the dewan negara and dewan rakyat in parliament assembled and by the authority of the same as follows part i preliminary short title application and commencement 1 1 this act may be cited as the local government act 1976 and shall apply only to peninsular malaysia 2 this act shall come into force in a state on such date as the state authority may after consultation with the minister appoint in relation to that state by a notification in the gazette and the state authority may after consultation with the minister appoint different dates for the coming into force of different provision of this act and may bring all or any of the provisions thereof into force either in the whole state or in such part or parts of the state as may be specified in the notification 3 notwithstanding subsection 2 in relation to the federal territory this act shall come into force on such date as the minister may by notification in the gazette appoint.


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12 laws of malaysia act 171 4 the state authority may notwithstanding subsection 2 by notification in the gazette exempt any area within any local authority area from all or any of the provisions of the act or from any by-laws 5 where in any notification made under subsection 2 it is specified that part or parts of this act shall come into operation the state authority may specify in the same notification the provisions of any of those laws referred to in section 166 which shall be repealed interpretation 2 in this act unless the context otherwise requires annual value means the estimated gross annual rent at which the holding might reasonably be expected to let from year to year the landlord paying the expenses of repair insurance maintenance or upkeep and all public rates and taxes provided that a in estimating the annual value no account shall be taken of any restrictions or control on rent in so far as it limits the rent which may be required by a landlord or recovered from a tenant of a holding b in estimating the annual value of any holding in or upon which there is any machinery used for any or all of the following purposes i the making of any article or part of an article ii the altering repairing ornamenting or finishing of any article iii the adapting for sale of any article the enhanced value given to the holding from the presence of such machinery shall not be taken into consideration and for the purposes of this paragraph machinery includes steam engines boilers or other motive power belonging to such machinery c in the case of any land i which is partially occupied or partially built upon ii which is vacant unoccupied or not built upon;


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local government iii with an incomplete building or 13 iv with a building which has been certified by the local authority to be abandoned or dilapidated or unfit for human habitation the annual value shall be in the case of subparagraph i either the annual value as hereinbefore defined or ten per centum of the open market value thereof at the absolute discretion of the valuation officer and in the case of subparagraphs ii iii and iv the annual value shall be ten per centum of the open market value thereof as if in relation to subparagraphs iii and iv it were vacant land with no buildings thereon and in all cases the local authority may with the approval of the state authority reduce such percentages to a minimum of five per centum d where in respect of any particular holding in the opinion of the valuation officer there is insufficient evidence to base a valuation of annual value upon the valuation officer may apply such methods of valuation as in his opinion appears appropriate to arrive at the annual value building includes any house hut shed or roofed enclosure whether used for the purpose of human habitation or otherwise and also any wall fence platform underground tank staging gate post pillar paling frame hoarding slip dock wharf pier jetty landing-stage swimming pool bridge railway lines transmission lines cables redifussion lines overhead or underground pipelines or any other structure support or foundation by-laws in relation to any local authority means any by-laws made by the local authority under any power in that behalf conferred upon such local authority by any of the provisions of this act or in force by virtue of the provisions of this act city council means the council of any municipality which has been conferred the status of a city councillor in relation to any local authority means any person appointed under this act to serve on the local authority and includes the mayor or president thereof;


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14 laws of malaysia act 171 documents of title means grants leases of state land certificates of title qualified titles entries in the mukim register mining leases or mining certificates and other documents evidencing title or registration of land kept by a register of titles or a collector of land revenue health officer means the officer for the time being perfoming the duties of a health officer to a local authority and includes an assistant health officer holding means any land with or without buildings thereon which is held under a separate document of title and in the case of subdivided buildings the common property and any parcel thereof and in the case of penang and malacca holding includes messuages buildings easements and hereditaments of any tenure whether open or enclosed whether built on or not whether public or private and whether maintained or not under statutory authority improved value of holding means the price that an owner willing and not obliged to sell might reasonably expect to obtain from a willing purchaser with whom he was bargaining for sale and purchase of the holding improvements in relation to a holding means all work done or material used at any time on or for the benefit of the holding by the expenditure of capital or labour by the owner or occupier thereof in so far as the effect of the work done or material used is to increase the value of the holding land includes things attached to the earth or permanently fastened to anything attached to the earth local authority means any city council municipal council or district council as the case may be and in relation to the federal territory means the commissioner of the city of kuala lumpur appointed under section 4 of the federal capital act 1960 [act 190 market means any public place ordinarily used for sale of animals or of meat fish fruit vegetables or other perishable articles of food for human consumption and for sale of any clothing or other merchandise and includes all land and premises in any way used in conjunction or in connection therewith or appurtenant thereto;


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local government 15 mayor means the person for the time being lawfully performing the duties of the office of mayor of a city council and includes the deputy mayor nuisance means any act omission or thing occasioning or likely to occasion injury annoyance offence harm danger or damage to the sense of sight smell or hearing or which is or is likely to be injurious or dangerous to health or property or which affects the safety or the rights of the inhabitants at large occupier means the person in occupation of the premises in respect of which the word is used or having the charge management or control thereof either on his own account or as agent of another person but does not include a lodger owner a in relation to any land or building means the registered proprietor of the land and if in the opinion of the local authority the registered proprietor of the land cannot be traced the person for the time being receiving the rent of the premises in connection with which the word is used whether on his own account or as agent or trustee for any other person or as receiver or who would receive the same if such premises were let to a tenant and b in the case of subdivided buildings includes the management corporation and any subsidiary proprietor president means the person for the time being lawfully performing the duties of the office of president of a municipal council or district council and includes the deputy president public place means any open space parking place garden recreation and pleasure ground or square whether enclosed or not set apart or appropriated for the use of the public or to which the public shall at any time have access rateable holding means a holding which is subject to the payment of a rate made and levied under this act;



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