G.O.(Ms) No.55, Delegation of Monetary Powers for Renewal of Government Land Leases, 2017

What the document covers

G.O.(Ms) No.55 of the Tamil Nadu Revenue [LD2(1)] Department, dated 24 February 2017, deals with delegation of monetary powers for Government land leases, particularly lease renewals. The monetary threshold is based on the cost of the land, not the amount of lease rent.

The document is relevant to lessees of Government land, revenue officials processing lease cases, and professionals advising on renewal applications. It explains that higher guideline values had caused even leases involving small urban sites to require approval at Government level.

Earlier approval framework

The Revenue Department records that G.O.(Ms) No.527, dated 28 November 2014, had enhanced the monetary limits for granting Government land leases as follows:

• Tahsildar, no monetary power.
• Revenue Divisional Officer, up to Rs.50,000.
• District Revenue Officer, up to Rs.1,00,000.
• District Collector, up to Rs.4,00,000.
• Commissioner of Land Administration, up to Rs.5,00,000.
• Government, above Rs.5,00,000.

These figures are part of the earlier framework reviewed by G.O.(Ms) No.55. The supplied text ends before setting out the final operative limits, if any, adopted for renewals in 2017.

Why revision was considered

The Additional Chief Secretary and Commissioner of Land Administration reported several practical problems:

• There were 1,025 lease cases pending across the State.
• More than 80 percent reportedly required a decision at Government level under the delegation then being applied.
• Delayed renewals could lead to loss of Government revenue while lessees continued using land without paying lease rent for years.
• Increases in guideline values meant that very small areas in cities could exceed the monetary authority of District Collectors.
• Lease land could not practically be divided to fit within an officer's approval limit.

Reports from 26 District Collectors covered 531 lease cases, excluding Chennai. Of the cases above Rs.4 lakhs in land value, 34 were valued from Rs.4 lakhs to Rs.5 lakhs, 92 from Rs.5 lakhs to Rs.10 lakhs, and 215 above Rs.10 lakhs. The document also notes that a separate solution for Chennai lease renewals was being considered because of higher land values.

Practical effect for readers

A lessee should establish the assessed land cost and identify the competent approving authority before relying on a renewal application. Because the supplied extract omits the final part of G.O.(Ms) No.55, it should not be used alone as proof of the final 2017 approval limits.