The Andhra Pradesh Backward Classes Sub-Plan (Planning, Allocation and Utilization of Financial Resources) Act, 2019
**THE ANDHRA PRADESH BACKWARD CLASSES**

**SUB-PLAN (PLANNING, ALLOCATION AND**

**UTILIZATION OF FINANCIAL RESOURCES) ACT, 2019.**

**ARRANGEMENT OF SECTIONS**

Sections

**CHAPTER I**

**PRELIMINARY**

1.  Short title, extend and commencement, duration and savings.

2.  Definitions.

**CHAPTER II**

**PLANNING, RESOURCE ALLOCATION FOR BACKWARD CLASSES**

**SUN-PLAN FUNDS AND SCHEMES**

3. Earmarking of Backward Classes Sub-Plan Fund from Plan

outlays.

4. Communication of Plan outlay earmarked Backward Classes

as Sub Plan Fund to the departments.

5. Schemes to be included under the Backward Classes Sub
Plans.

6. Promotion of equity among Backward Classes.

7. Obligation to cover Backward Classes in general Schemes.

8.Formulation of Backward Classes Sub-Plan schemes and

preparation of Sub-Plans by the departments.

9. Submission of Sub-Plan proposed to be included in the Annual

Plan for appraisal.

**CHAPTER III**

**APPRAISAL ALLOCATION OF BACKWARD CLASSES**

**SUB-PLAN FUND AND APPROVAL OF THE SUB-PLAN**

10. Appraisal of the Backward Classes Sub-Plan Schemes by the

Nodal Agencies.


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11. Allocation of Backward Classes Sub-Plan Fund for financing

the Backward Classes Sub-Plan Schemes included in the
Sub-Plan.

12. Recommendation by the Nodal  Agencies and Nodal

Department.

**CHAPTER IV**

**BUDGET PROVISIONING DISTRIBUTION AND STRENGTHENING**

**OF IMPLEMENTATION MACHINERY**

13. Budget allocations.

14. Backward Classes Sub-Plan wing in Finance Department.

15. Budget Release Orders.

**CHAPTER V**

**INSTITUTIONAL ARRANGEMENTS**

16. State Council for Development of Backward Classes.

17. Functions of the State Council.

18. Nodal agency and Nodal Department.

19. Functions of Nodal Agency and Nodal Department.

20. Administrative and technical support to Nodal Department

for Backward Classes Sub-Plan.

21. Department level Sub-Plan Support Unit.

22. Implementation of Backward Classes Sub-Plan schemes in

the districts.

23. Institutional strengthening for effective implementation and

monitoring.

**CHAPTER VI**

**TRANSPARENCY AND ACCOUNTABILITY IN THE IMPLEMENTATION**

**OF BACKWARD CLASSES SUB-PLAN**


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24. Transparency and accountability.

25. Incentives and penalties

26. Annual Report to be placed before State Legislature.

27. Power to make Rules.

28. Power to remove difficulties.

**THE ANDHRA PRADESH BACKWARD CLASSES**

**SUB-PLAN (PLANNING, ALLOCATION AND**

**UTILIZATION OF FINANCIAL RESOURCES) ACT, 2019.**

**(ACT No.13 of 2019)**

[19[th] February, 2019]

**AN ACT TO ENSURE, ACCELERATED DEVELOPMENT OF BACKWARD**
**CLASSES WITH EMPHASIS ON ACHIEVING EQUALITY IN THE NEXT**
**TEN YEARS FOCUSING ON ECONOMIC, EDUCATIONAL AND HUMAN**
**DEVELOPMENT ALONG WITH ENSURING THE SECURITY AND SOCIAL**
**DIGNITY AND PROMOTING EQUITY AMONG BACKWARD CLASSES, BY**
**EARMARKING A PORTION, IN PROPORTION TO POPULATION OF**
**BACKWARD CLASSES IN THE STATE, OF THE TOTAL PLAN OUTLAY**
**OF THE STATE OF ANDHRA PRADESH AS THE OUTLAY OF THE**
**BACKWARD CLASSES SUB-PLAN OF THE STATE AND ENSURING**
**EFFECTIVE** **INSTITUTIONAL** **MECHANISMS** **FOR** **THE**

**IMPLEMENTATION AND FOR MATTERS CONNECTED THEREWITH OR**
**INCIDENTAL THERETO.**

Be it enacted by the Legislature of the State of Andhra Pradesh in the

seventieth year of the Republic of India as follows:

**CHAPTER I**

**PRELIMINARY**

**1. Short title, extent, commencement, duration and savings – (1) This**
Act may be called the Andhra Pradesh Backward Classes Sub-Plan
(Planning, Allocation and Utilization of Financial Resources) Act, 2019.

(2) It extends to the whole of the State of Andhra Pradesh.

(3) It shall come into force on such date as the State Government may,

by notification in the Andhra Pradesh Gazette, appoint, and different dates
may be appointed for different provisions of this Act.


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(4) It shall ceases to have effect after the expiry of ten years from the

date of commencement, except in respect of this done or omitted to be done
before such cesser and upon such cesser the Andhra Pradesh General
Clauses Act, 1891(Act No.1 of 1891), shall apply as if this Act had been
repealed by a State Act.

**2. Definitions – In this Act, unless the context otherwise requires, -**

(a) “Backward classes” shall have the meanings assigned respectively

under Article 15 and 16 of the Constitution of India as specified by the State
Government from time to time.

(b) “Backward classes Sub-Plan (BCSP)” means the Plan approved by

the State Council for inclusion in the Annual Plan of the Department to
bridge the gap in development of Backward Classes and shall include the
Backward classes component of general schemes;

(c) “Backward classes Sub-Plan Fund” means a portion of the total

plan outlays of the State, in a financial year, as earmarked under the
section 3;

(d) “Backward Classes habitation” means any habitation where

population of Backward Classes is not less than 40% of the total population
of the habitation;

(e) “Backward classes Sub-Plan Schemes” means the Backward

Classes Sub-Plan schemes included in the Backward Classes Sub-Plan of
the Departments;

(f) “Gaps in development” means differences in development indicators

of Backward Classes when compared to the state averages, as may be
prescribed particularly relating to human and economic development;

(g) “General Schemes” means schemes included in the Annual Plans of

the Departments which benefit all social groups including Backward
classes;

(h) “Government” means the State Government of Andhra Pradesh;

(i) “Nodal Agency for BCSP” means the committee headed by Minister

of Backward Classes Welfare;

(j) “Nodal Department” means Backward Classes Welfare Department

for Backward Classes Sub-Plan;


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(k) “Notification” means notification published in the Andhra Pradesh

Gazette and the word ‘Notified’ shall be construed accordingly;

(l) “Prescribed” means prescribed by the Government by rules made

under the Act;

(m) “State Council” means State Council for Development of Backward

Classes constituted under the Act;

(n) “Sub-Plans” means Backward Classes Sub-Plan (BCSP);

(o) “The Department” means any Government Department concerned

with implementation of the plan schemes for the welfare of Backward
classes;

**CHAPTER II**

**PLANNING, RESOURCE ALLOCATION FOR BACKWARD CLASSES**

**SUN-PLAN FUNDS AND SCHEMES**

**3. Earmarking of Backward Classes Sub-Plan Fund from Plan outlays –**

The State shall, in every financial year, earmark one-third portion of

the total Plan outlays of the State to be called as Backward Classes SubPlan Fund:

Provided that, the Fund to be earmarked is determined at least 6

months prior to commencement of the next financial year:

Provided further that, the Backward Classes Sub-Plan Fund outlay

shall be revised according to State Annual Plan final outlay and:

Provided also that the expenditure of the BCSP Fund shall be

accounted for in the manner hereafter specified in this Act.

**4. Communication of Plan outlay earmarked Backward Classes as Sub**
**Plan Fund to the departments – The department as may be authorized by**
the Government shall, every financial year, communicate, in the manner
prescribed, to the departments, a tentative plan outlay out of Backward
Classes Sub-Plan Fund as earmarked under Section 3 for preparation of
respective department wise Backward Classes Sub-Plan.

**5. Schemes to be included under the Backward Classes Sub-Plans - The**
Sub-Plans of the departments shall include only such schemes that secure
direct and quantifiable benefits to the Backward Classes individuals or
Backward Classes households and that have the potential to bridge the gaps


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in development following the norms laid down in this Act and the rules
made there under:

Provided that the schemes should be consistent with the Annual and

Five Year Plans and priorities of the State of Andhra Pradesh as may be
communicated by the Planning department.

**6. Promotions of equity among Backward Classes – The departments**
shall prepare Backward Classes Sub-Plan to promote equity in the
development among various Castes within Backward Classes and focused
development within.

**7. Obligation to cover Backward Classes in general schemes – The**
departments shall ensure coverage of Backward Classes in the ongoing
general schemes consistent with their eligibility for the same.

**8. Formulation of Backward Classes Sub-Plan schemes and preparation**
**of Sub-Plans by the departments -  On receipt of communication under**
section 4, each department, shall, after estimating the gaps in the
development of Backward Classes, prioritize the development needs of
Backward Classes through a consultative process, as may be prescribed and
shall formulate the Backward Classes Sub-Plan schemes and prepare the
Sub-Plans comprising of the Backward Classes Sub-Plan schemes, within
the State Plan priorities as communicated under section 5.

**9. Submission of Sub-Plan proposed to be included in the Annual Plan**
**for appraisal - Each Department, excluding the departments separately**
notified under this Act, shall submit each year, to the respective Nodal
Departments, the Sub-Plans comprising of Backward Classes Sub-Plan
Schemes proposed to be included in the Annual Plans, for appraisal by the
Nodal Agency concerned, within the time frame and in the format, as may be
prescribed.

**CHAPTER III**

**APPRAISAL ALLOCATION OF BACKWARD CLASSES**

**SUB-PLAN FUND AND APPROVAL OF THE SUB-PLAN**

**10. Appraisal of the Backward Classes Sub-Plan Schemes by the Nodal**
**Agencies – The Nodal Agency for Backward Classes Sub-Plan, shall take up**
appraisal of the Backward Classes Sub-Plan Schemes submitted by
departments, to ensure conformity with the conditions and norms laid down
in the Act.

**11. Allocation of Backward Classes Sub-Plan Fund for financing the**
**Backward Classes Sub-Plan Schemes included in the Sub-Plan - The**
respective Nodal Agency, while indicating allocation of Backward Classes


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Sub-Plan Fund to the Backward Classes Sub-Plan Schemes shall follow the
following norms namely; 
(a) For schemes exclusively benefiting Backward Classes
individuals or Backward Classes households, 100% of
scheme cost shall be allocated and accounted for under
Backward Classes Sub-Plan fund.

(b) For schemes benefiting Backward Classes habitations,
100% of scheme cost shall be allocated and accounted for
under Backward Classes Sub-Plan fund in case of other
habitations the cost shall be allocated and accounted for
under Backward Classes Sub-Plan in proportion of the
population of the Backward Classes;

(c) For general schemes, included in the Sub-Plans,
benefitting Backward Classes individuals or households,
along with others, the scheme cost shall be allocated and
accounted for under Backward Classes Sub-Plan, in
proportion to the Backward Classes beneficiaries covered;

(d) In respect of non-divisible infrastructure works a portion
of the scheme cost as may be determined by the
Government shall be deemed to have been attributed for
Backward Classes Sub-Plan.

**12. Recommendation by the Nodal Agencies and Nodal Department -**
The schemes that fulfill the norms laid down in the Act shall be
recommended by Nodal Agency for Backward Classes Welfare for inclusion
in the Annual Plan proposals of the departments and aggregated for placing
before the State Council for Development of Backward Classes, for
consideration and approval as a pre-budget process.

**CHAPTER IV**

**BUDGET PROVISIONING DISTRIBUTION AND STRENGTHENING**

**OF IMPLEMENTATION MACHINERY**

# 13. Budget allocations - The budget approved by the State Council for
Backward Classes Sub-Plan shall be included in the Demands for Grants for
the departments under the relevant head of account for the Backward
Classes Sub-Plan.

**14. Backward Classes Sub-Plan wing in Finance Department - There**
shall be an exclusive Secretary, Finance in Finance Department for
performing the functions relating to Budget implementation and allocation
according to the provisions of this Act within the overall discipline of the
ways and means positions as determined by the Finance department.

**15. Budget Release Orders - Budget Release Orders shall be issued to each**
department, for the amount provided in the Budget Estimates for Backward


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Classes Sub-Plan immediately after passing of the budget by the State
Legislature in accordance with the schedule and norms prescribed.

**CHAPTER V**

**INSTITUTIONAL ARRANGEMENTS**

**16. State Council for Development of Backward Classes - (1) As soon as**
may be, after the commencement of this Act, the Government shall, by
notification, constitute a Council under the Chief Minister, to be known as
the State Council for Development of Backward Classes to exercise the
powers conferred and to perform the functions assigned to it under the Act
and the rules made thereunder.

(2) The State council shall meet at least twice in a year.

**17. Functions of the State Council – The State Council shall:-**

(a) Advise the State Government on all the policy matters
relating to Backward Classes Sub-Pan;

(b) Suggest measures for proper planning and
implementation of the schemes by the departments;

(c) Approve the Annual Backward Classes Sub-Plan
proposals of the Departments;

(d) Perform such other functions as may be prescribed.

**18. Nodal agency and Nodal Department – (1) Nodal Agencies headed by**
Minister of Backward Classes Welfare, shall be constituted in the manner
prescribed, for Backward Classes Sub-Plan and shall exercise the powers
conferred and perform the functions assigned under this Act.

(2) The Backward Classes Welfare Department shall act as Nodal

Department for assisting the respective Nodal Agency to perform its
functions and exercise its powers.

**19. Functions of Nodal Agency and Nodal Department – The Nodal**
Agency with the assistance of the Nodal Department shall:

(1) Evaluate and appraise Backward Classes Sub-Plan
proposed by the departments for ensuring conformity to the
provisions of this Act;

(2) Prepare State Backward Classes Sub-Plan for placing
before the State Council for Development of Backward
Classes for consideration and approval;


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(3) Recommend reallocation of Backward Classes Sub-Plan
funds from a department to other department;

(4) Review the implementation and monitoring of the
Backward Classes Sub-Plan programme;

(5) Identify impediments and suggest measures for
overcoming the impediments;

(6) Co-ordinate with the departments for preparation of
State Level and district level Backward Classes Sub-Plan;

(7) Maintain transparency in expenditure; maintain scheme
wise; district wise, village wise and beneficiary wise details
as may be prescribed; set up a web portal for tracking the
progress of the implementation, expenditure, output and
outcome indicators as may be prescribed of Backward
Classes Sub-Plan;

(8) Facilitate at least annual social auditing of expenditure of
Backward Classes Sub-Plan funds and facilitate analysis of
improvement in Human Development Index against the
projections for the State and district:

Provided that the directions of the Nodal Agency shall be

binding on the Departments.

**20. Administrative and technical support to Nodal Department for**
**Backward Classes Sub-Plan – The Government shall appropriately**
strengthen the Nodal Departments of Backward Classes Welfare with an
Administrative and Technical Support Unit and a Sub-Plan Research Centre
as may be prescribed, to perform the functions and discharge the duties
assigned to it and to assist the respective Nodal Agency.

**21. Department level Sub-Plan Support Unit – The departments as**
identified by the State Council may establish a Sub-Plan Support Unit, as
may be prescribed to manage the Backward Classes Sub-Plan.

**22. Implementation of Backward Classes Sub-Plan schemes in the**
**districts – (1) The Government shall constitute a District Monitoring**
Committee in each district with the District Collector as its Chairman, which
shall be responsible for implementation of the Backward Classes Sub-Plan
in the district.

(2) The District Planning Committees of each district shall review the

implementation of Backward Classes Sub-Plan, periodically.

**23. Institutional strengthening for effective implementation and**
**monitoring – The respective departments of Government shall take such**
measures as may be necessary for institutional strengthening of State
District and Sub-District units by providing necessary guidelines staff and


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training to the staff in the manner prescribed for effective implementation
and monitoring.

**CHAPTER VI**

**TRANSPARENCY AND ACCOUNTABILITY IN THE IMPLEMENTATION**

**OF BACKWARD CLASSES SUB-PLAN**

**24. Transparency and accountability – (1) Each department shall ensure**
transparency and accountability at all levels in the implementation of
Backward Classes Sub-Plan schemes.

(2) Each department shall, host the documents, as may be prescribed

in public domain.

**25. Incentives and penalties - Government shall formulate and**
appropriate scheme, to award incentives for commendable performance and
disincentives for proven negligence and lack of due diligence, in discharge of
responsibilities under this Act by any functionary or official concerned:

Provided that disciplinary action shall be governed by the relevant

service/disciplinary rules applicable to the Government officials and
functionaries.

**26. Annual Reports to be placed before State Legislature – The Nodal**
agency shall place before the State Legislature, an Annual Report on
outcome of implementation of Backward Classes Sub-Plan containing
department-wise achievements and the un-utilized funds during the
financial year under report.

**27. Power to make Rules - (1) Subject to the other provisions of this Act,**
the Government may, by notification, make rules for carrying out all or any
of the purposes of this Act.

(2) In particular and without prejudice to the generality of the
foregoing power, such rules may provide for all or any of the following
matters, namely:

# (a) Determination of gaps in development of Backward Classes under section 2 (b);

(b) Earmarking Backward Classes Sub-Plan Funds from
the plan outlays under section 3;

(c) Identification of Backward Classes Sub-Plan Schemes
and preparation of Sub-Plans by the departments under
section 8;


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(d) Preparation of budget proposal of Backward Classes
Sub-Plan for appraisal by the Nodal Departments under
section 9;

(e) Strengthen the Finance Department for monitoring
expenditures under the Backward Classes Sub-Plan under
section 14;

(f) Constitution of, and transaction of business in the State
Council for development of Backward Classes; the
qualification, disqualification and other allowances to the
non-official members of the State Council under section 16;

(g) Constitution of Nodal Agencies for Backward Classes
Sub-Plan under section 18;

(h) Maintenance of a web portal by the Nodal Agency under
section 19;

(i) Constitution of Administrative and Technical Support
Unit in respective Nodal Department for Backward Classes
Sub-Plan under section 20;

(j) Constitution of Sub-Plan Support Unit at department
level under section 21;

(k) Constitution of District Monitoring Committees and the
connected matters under section 22;

(l) Institutional strengthening at State, district and subdistrict level for ensuring effective implementation,
awareness, mass contact programme, social audit and
monitoring of Backward Classes Sub-Plan under section
23; and

(m) Procedures for ensuring transparency and accountability
in the implementation of Backward Classes Sub-Plan
under section 24.

(3) Every rule made under this Act shall, immediately after it is made,

be laid before the Legislature of the State, if it is in session and if it is not in
session, in the session immediately following for a total period of fourteen
days which may be comprised in one session or in two successive sessions
and if, before the expiration of the session in which it is so laid or the
session immediately following the Legislature agrees in making any
modification in the rule or in the annulment of the rule, the rule shall, from
the date on which the modification or annulment is notified, have effect only
in such modified form or shall stand annulled as the case may be so,
however, that any such modification or annulment shall be without
prejudice to the validity of anything previously done under that rule.


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**28. Power to remove difficulties – (1) If any difficulty arises in giving effect**
to the provisions of the Act, the Government may, by order, make such
provisions or give such directions not inconsistent with the provisions of the
Act as may appear to it to be necessary or expedient for the removal of the
difficulty:

Provided that no such power shall be exercised after the expiry of a
period of two years from the commencement of this Act.

(2)  Every order made under this section shall be laid, as soon as it
is made, before each House of the State Legislature.

**R.ARAVIND,**

Secretary to Government (I/c),

Legal and Legislative Affairs & Justice,

Law Department.


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