The Gujarat Self financed Schools (Regulation of Fees) Act, 2017.

Extra No. 20 
© 
tltbe ~ujarat dPobernment @a~ttte 
Vol. LVIII] 
EXTRAORDINARY 
PUBLISHED BY AUTHORITY 
WEDNESDAY, APRIL 12, 2017/CAITRA 22, 1939 
Separa te paging is given to this Part in order that it may be filed as a Separate Compilation. 
PART IV 
Acts of Gujarat Legislature and Ordinances promulgated and Regulations 
made by the Governor. 
The following Act of the Gujarat Legislature, having been assented to by the 
Governor on the J2°'April, 2017 is hereby published for general information. 
KM.LALA, 
Secretary to the Government of Gujarat, 
Legislative and Parliamentary Affairs Depanmem. 
GUJARAT ACT NO. 20 OF 2017. 
(First published, after having received the assent of the Governor, in the 
"Gujarat Government Gazette", on the 12'' April, 2017). 
AN ACT 
to make special provisions for fixa tion of fees for the self financed schools in the 
State and the matters connected therewith and incidental thereto. 
It is hereby enacted in the Sixty-eighth Year of the Republic of India as 
follows: -
CHAPTER I 
PRELIMINARY 
1. (!) This Act may be called the Gujarat Self financed Schools (Regu lation Short title, extent 
of Pees) Act, 2017. •nd 
(2) It extends to the whole of the State of Gujarat. 
(3) It· shall come into force on such date as the State Government may, by 
notificat ion in the Official Gazelle, appoint. 
IV-EX.-20 20·1 
con1niencement. 
20-2 GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 [PART JV 
Definitio ns. 2. In this Act, unless the context otherwise requires,-
(a) "academic year" means the year specified by the Government or, as the 
case may be, by any Board or Council to which respective school is 
affiliated; 
(b) "an aided school" means any pre-primary school, primary school, upper 
primary school, secondary school, or higher secondary school, established 
and administered or maintained by any person or body of persons and 
recognized or approved by the competent authority under any law for the 
time being in force, which receives any financial grant or assistance from 
the Central Government or the State Government or any local authority; 
(c) "educational district" means an educational district, as may be specified by 
the State Government in the Official Gazelle; 
(d) "elementary education" means the education from First Class to Eighth 
Class; 
( e) "employee" means a teacher and includes every other employee working in 
a recognized school; 
(f} "ex isting school" means a recognized self financed school which is in 
existence at the commencement of this Act; 
(g) "Fee or Fee Structure" means any amouot, by whatever name cal.led, 
collected, directly or indirectly, by a school for admission of a student to 
any Standard or course of study and includes,-
(i) Tuition fee; 
(ii) Term fee, which shall not exceed on.e month tuition fee per tern1; 
(iii) Library fee and deposit; 
(iv) Laboratory fee and deposit; 
( v) Gymkhana fee; 
(vi) Caution money; 
(vii) Examination fee; 
(viii) Admission fee, which shall not exceed one month tuition fee; 
(ix) Yoga and Physical Education fee; 
PART IV] GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 20-3 
(x) any other fee as determined by the Fee Regulatory Committee; 
(h) "Fee Regulatory Committee" means a committee constituted under section 
3; 
(i) "Fee Revision Committee" means a committee constituted under section 
12; 
G) 
(k) 
(I) 
"Government" means the State Government; 
"Government school" means a school established, owned or maintained by 
the Government or a local authority; 
Guj. 18of1973. 
"Higher Secondary Education" shall have the same meaning as defined in 
clause (hh) of section 2 of the Gujarat Secondary and Higher Secondary 
Education Act, 1972; 
(m) "local authority" means,-
Boru. LIX or 1949. (i) a Municipcl Corporation constituted under the Gujarat Provincial 
Municipcl Corporations Act, 1949; 
Guj. 34of1964 . 
(ii) a Municipality constituted under the Gujarat Municipalities Act, 
1963; 
Guj. 18or1993. (iii) a Panchayat constituted under the Gujarat Panchayats Act, 1993; 
(n) "Management" means;-
(i) in the case of a school managed by the Government, the 
Government; 
(ii) in the case of school managed by any local authority, the respective 
local authority; 
(iii) in any other case, managing committee or the governing body by 
whatever name called, of school to which the affairs of the school 
are entrusted and, a person, by whatever name or designation called, 
where such affairs are entrusted to such person and shall also 
include trust or company associated with the school in any manner 
whatsoever; 
(o) "minority educational institution" means the Government approved 
institution established and administered by minority having right to do so 
under clause ( I) of article 30 of the Constitution of India; 
3 
20-4 GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 (PART IV 
(p) "prescribed" means prescribed by rules made under this Act; 
(q) "pre-primary school" means a Nursery, Junior Kindergarten, Senior 
Kindergarten level or any school imparting education up to pre-primary 
school level for children having age of 3 to 6 years, by whatever name 
called and of any medium attached in the prescribed manner to the school, 
(r) "profiteering" means any amotmt accepted in cash or kind, directly or 
indirectly which is in excess of the fee fixed or approved as per the 
provisions of this Act and shall include profit earned from school by trust 
or company associated with the school in any manner whatsoever; 
(s) "public examination" means an examination conducted by the Gujarat 
Secondary and Higher Secondary Education Board or Central Board of 
Secondary Education or Council of Indian School Certificate 
Examinations or any other Board recognized by the Government; 
(t) "recognized school" means a school recognized by the competent 
Educational Authority of the State or the Central Government; 
(u) "self :financed school" means any pre-primary school, primary school, 
upper primary school, secondary school or higher secondary school, 
established and administered or maintained by any person or body of 
persons including trusts and companies and recognized or approved by the 
competent authority under any law for the time being in force holding 
affiliation of International or Central or State Boards operating in the State 
of Gujarat, which are not receiving any financial grants or assistance from 
the Central Government or the State Government or any local authority, 
but does not include a school giving, providing or imparting religious 
instruction alone; 
(v) "school" includes a pre-primary, primary, upper primary, secondary and 
higher secondary school and also includes any other institution which 
imparts education or training below the degree level, but does not include 
an institution which exclusively imparts technical education; 
(w) "school property" means all movable and immovable property belonging 
to, or in the possession of, the school and all other rights and interests in, 
or arising out of, such property, and includes land, building and its 
appurtenances, playgrounds, hostels, furniture, books, apparatus, maps, 
equipments, utensils, cash, reserve funds, investments and bank balances; 
PART IV) GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 20-5 
18of1973. 
(x) "seconda ry education" shall have meaning as defined by clause (u) of 
section 2 of the Gujarat Secondary and Higher Secondary Education Act, 
1972. 
CHAPTER II 
CONST ITUTION OF COMMITTEE, DETERMINATION OF FEE AND 
PROH IBITION OF COLLECTION OF EXCESS FEE 
3. (I) The Government shall constitute a Fee Regulatory Committee for the 
purpose of determinat ion of the fee for any standard or course of study in self 
financed schoo ls; 
(2) The age of the Chairperson and the members shall not be more than 65 years 
at the time of appointme nt. The term of the Chairperson and other nominated 
members shall be three years. 
(3) The honorarium and allowances payable to and other tenns and conditions of 
service of member shall be such a~ may be prescribed . 
(4) The Committee shall consist of the following members, namely:-
(a) retired District and Sessions Judge or a person who had been a 
member of All India Service, hav ing retired from a post not below the 
rank of Principal Secretary to Government or a person who had been 
a member of Indian Police Service, having retired from a post not 
below the rank of Additional Director General of Police, to be 
nominated by the Governmen t, who shall be the Chairperson of the 
Committee; 
(b) the Chartered Accountant, to be nominated by the Governm ent; 
(c) one Civil Engineer I Government approved valuer, to be nominated 
by the Government; 
(d) one representative from the self financed school management of the 
respective zone, to be nominated by the Government; 
( e) one Academician of repute, to be nominated by the Government. 
(5) The District Education Officer or, as the case may be, the District Primary 
Education Officer shall act as a co-ordinato r to the Committee to provide 
administrative support. 
4. ( 1) The jurisdiction of each Fee Regulatory Committee shall be the 
zone comprising of such districts as the State Government may, by notification in 
the Official Gazette, specify. 
s 
Constitution of 
Fee Regulatory 
Comn1ittee. 
Jurisdiction and 
headquarters of 
Committee. 
20-6 
Vacancies, etc. 
not to invalidate 
proceedings of 
the comm i ttt-~. 
Procedure to be 
regulated by the 
Fee Regulatory 
Comn1ittee. 
Disqualifications 
of n1en1bers of 
Fee Rcg,ulatory 
Con1 n1 ittee. 
Po,vcrs and 
Functions of the 
Fee Regulatory 
Ccmn1ittee. 
GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 [PART TV 
(2) The headquarters of the Fee Regulatory Committee shall be at such place 
specified by the Governmen t by notification in the Official Gazelle. 
5. (I) If any vacancy occurs by reason of death, resignation , expiry of tenn 
of office or termination of appo intment of the member or for any other cause 
whatsoever, suc h vacancy shall be filled in by the State Government as soon as 
possible within a period of six months from the date of occurrence of the vacancy. 
(2) No act or proceeding of the Committee shall be questioned or shall be invalid 
merely on the ground of the existence of any vacancy or defect in the Constitution 
of the Committee. 
6. (I) The Fee Regul~tory Committee shall meet as and when necessary but 
at least once in a quarter at such ti.me and place as the Chairperson may think fit. 
(2) The Conuni ttee shall regulate its own procedure for the conduct of its 
business. 
(3) All orders and decisions of the Committee shall be authenticated by the 
Chairperson of the Committee or the person duly authorized by the Chairperson in 
this behalf. 
7. The Government may tenninate the appointment of the Chairperson or any 
member of the Fee Regulatory Committee before the expiry of the tern1 of his 
office, if he-
(i) has been adjudged an insolvent; 
(ii) has, in the opinion of the State Governm ent, become physically or 
mentally incapable of acting as a member; 
(iii) has been convicted of an offence involving mora l turpitude, or 
(iv) has been guilty of proven misbehavior: 
Provided that no member shall be removed from his office on the 
above grounds, unless he has been given a reasonable opportu nity of being 
heard. 
8. (J) Subject to the provisions of section 9, the Fee Regulatory Committee 
shall determine the fee payable by students in the self financed schools. 
(2) The Committee shall have power to,-
PART IV) GUJARAT GOVERNMENT GAZETfE, EX. 12-04-2017 20-7 
(a) require each self financed school to place before the Committee, the 
proposed fee structure of such school alongwith all relevant 
documents and books of accounts for scrutiny before such date as 
may be specified by the Committee; 
(b) verify whether the fee proposed by the self financed school is 
justified and whether it amounts to profiteering or charging of 
exorbitant fee; 
(c) approve the existing fee structure or determine the fee which can be 
charged by the self financed school; 
( d) verify whether the fee collected by the self financed school, operating 
within the territory of the State of Gujarat, is recognized by the 
competent State Educational Authority or affiliated to the Gujarat 
Secondary and Higher Secondary Education Boaxd I Central Board of 
Secondaxy Education/Council for Indian School Certificate 
Examinations I lB board or any other board, as the case may be and 
the school impaxts instruction prescribed by the Gujaxat Secondary 
and Higher Secondary Education Board or any other Board, as 
referred to above; 
(e) hear complaints or initiate suo moto hearing with regard to collection 
of excess fee by a self fi nanced school, as referred to above in Clause 
(d); 
(f) regulate the fees chaxged by the school and penal action as per the 
provisions of this Act; 
(g) report the matter to the respective competent Educational Authority 
that the school has collected excess fee and it has not complied with 
the provisions of the respective applicable Acts and rules made 
thereunder of the concerned Board for appropriate action. 
(3) (a) For the purposes of this Act, the Fee Regulatory Committee while holding 
inquiry shall have the powers of a Civil Court under the Code of Civil 
v or 1908. Procedure, 1908 while trying a suit in respect of the following matters, 
namely:-
(i) summoning and enforcing the attendance of any witness and 
examining him on oath; 
(ii) requiring the discovery and production of any document; 
7 
20-8 
'Exemption 
fron1 
appearance 
before 
C-0mmittee. 
Factors for 
dt-ltrminatjon 
of fee. 
GUJARAT GOVERNMENT GAZE1TE, EX. 12-04-2017 [PART IV 
(iii) receiving evidence on affidavit; and 
(iv) issuing commission for examination of witnesses for local 
inspection. 
(b) All inquiries and revisions under this Act shall be deemed to be the judicial 
proceedings within the meaning of sections 193, 219 and 228 of the Indian 
Penal Code. 
9. (I) The Fee Regulatory Committee may exempt such self financed schools 
that charge amount of fee lower than the fee prescribed by the Government by 
notification in the Official Gazelle, from the determination of fee. Such self 
financed school shall file an affidavit to that effect: 
Provided that if any such school desires to revise the fee, it shall follow 
the procedure as laid down in section 8. 
Provided further that exclusive pre-primary classes/play groups I creches I 
not attached to any school shall be exempted from the application of the 
provisions of this Act. 
(2) The Fee Regulatory Committee may · detem1ine fee for all self 
financed schools except the self financed school as refer:red to in sub-section (1), 
imparting pre-primary, primary, upper primary, secondary, and higher secondary 
education. 
(3) The exemption shall remain operative till the prescribed fee is 
revised by the Government. 
(4) The Fee Regulatory Committee may withdraw the exemption, after 
providing reasonable opportunity of hearing to the erring school, if it has reason 
to believe that the school has charged fee in excess of the fee, prescribed under 
sub-section ( 1.) or has furnished false or misleading or incomplete information to 
the committee. 
(5) The information regarding erring schools, including details of their 
management shall be published through an advertisement in the leading daily 
newspapers, in the best interest of students, parents, and society at large. 
10. (1) The Fee Regulatory Committee shall determine the fee leviable by a 
self financed school taking into account the following factors, namely:-
(i) location of the self financed school i.e. village, town, or city in 
which the school is situated; 
>1.LV of 186-0. 
PART IV] GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 20-9 
(ii) investment incurred to setup the school; 
(iii) infrastructure made available to the students for the qualitative 
education, facilities provided as mentioned in the prospectus or 
website of the school; 
(iv) expenditure on administration, maintenance of services and 
utilities of the school; 
(v) excess fund generated from Non-Resident Indians, as a part of 
charity by the management and contribution by the 
Govenunent for providing free-ship in fee or for other items 
under various Government schemes given to the school for the 
students. 
(vi) students strength in the self financed school; 
(vii) classes of study and courses of study offered by the school; 
(viii) qualification of teaching, and non-teaching staff (as per the 
relevant norms) their salary components, and reasonable 
amount for yearly salary increments; 
(ix) expenditure incurred on the students against total income of the 
school which shall include profit earned from school by the 
trust or company associated with such school; 
(x) reasonable revenue surplus for the purpose of development, 
education and expansion of the school; 
(xi) any other factors which may be prescribed by the Govermnent 
from time to time. 
(2) The Fee Regulatory Committee shall, after determining the fee leviable by 
a self financed school, communicate its decision to the school concerned. 
(3) The Fee Regulatory Committee shall detem1ine the total fees which shall 
be levied by considering all different fees charged by the school. 
(4) The fee structure so determined by the Fee Regulatory Committee shall be 
binding on the self financed schools for a period of three years. 
(5) The Fee Revision Committee may recommend to the Government for the 
upper fee limit to be kept for the schools of the State. The Government may 
consider such recommendation appropriately. 
9 
20-10 
Prohibition of 
collection of 
excess fee. 
GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 [PART rv 
11. (!)No selffwanced school shall collect any fee in excess of the fee fixed 
by the Fee Regulatory Committee for admission of students to any standard or 
course of study in that school. 
(2) No excess fee shall be collected by any person either for himself or on behalf 
of such self financed school or on behalf of the management of such self financed 
school. 
(3) No school itself or on its behalf shall collect any donation or capitation fee 
under any name whatsoever, or receive any deposit under any head to the school 
management, school trust, company, or any trustee or member of the school. If 
any parents or guardian of a student has paid voluntarily any above referred 
amount, he shall inform the concerned Fee Regulatory Committee, the details of 
such payment on affidavit. Such non-disclosure shall amount to abetment of the 
profiteering committed by the ~chool management. 
(4) The School shall open and operate separate and only one Bank account for 
individual registered school. The parents shall make payments of prescribed fees 
directly into the concerned school bank account. TI1e acknowledgement of receipt 
of the total collected fee from the parents shall be given in the form of counter­
foil !Tom bank and concerned school, as the case may be. 
Fee Revision 12. (1) The Government shall constitute a committee for the purpose of 
Committee. revision against the order passed by the Fee Regulatory Committee. The 
headquarters of the Fee Revision Committee shall be at Gandhinagar or at such 
other place, as may be decided by tbe Chairperson of the Committee. 
(2) The Committee shall consist of the following members, namely:-
(i) retired Judge of the High Court, to be nominated by the Government 
shall be the Chairperson of the Committee; 
(ii) the Secretary to the Government of Gujarat, Education Department 
(Primary and Secondary); 
(iii) the Secretary to the Government of Gujarat, Finance Department, or 
his nominee not below the rank of the Deputy Secretary; 
(iv) the Secretary, Gujarat Secondary and Higher Secondary Education 
Board or, as the case may be, the Director, Primary Education, ex­
officio, who shall be the Member-Secretary; 
(v) one representative from the self financed school management to be 
nominated by the Government; 
(vi) the Chartered Accountant, to be nominated by the Government. 
PART IV] GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 20-11 
(3) A person aggrieved by the order of the Fee Regulatory Committee made 
under section l O may file revision application before the Fee Revision Committee 
within a period of twenty-one days from the date of receipt of such order: 
Provided th.at if the Fee Revision Com.m.itlee is satisfied that such school 
was prevented for filing a revision application within prescribed time-limit for 
sufficient cause, it may condone the delay and shall allow the revision 
application but not later than three months. 
(4) The orders passed by the Fee Revision Committee shall be final and 
binding on the self financed school. 
CHAI'TER III 
REGULATION OF ACCOUNTS AND MAINTENANCE OF RECORDS 
13. (I) The Government shall regulate the maintenance of accounts by the self 
financed schools in such manner as may be prescribed. 
Re-g·uiation of 
acccounts and 
maintenance or 
r«:ords. 
(2) The self financed schools shall maintain such records in such manner as may 
be prescribed. 
(3) Every self financed school shall maintain accounts for different kinds of 
transactions like the fees collected, the grants received, financial assistance 
received including funds from NRis, payments of salary of staff, purchase of 
machinery and equipments, furniture, laboratory articles, sports equipments, 
library books, stationary and other expenditure incurred towards payments to 
the agencies, companies hired or engaged by the school for different kind of 
services and these accounts shall be audited by the Chartered Accountant. 
( 4) Every self financed school shall keep the accounts and the records within the 
premises of the educational institution and shall make them available at all 
reasonable times for inspection by the Fee Regulatory Committee or its 
authorized officer; 
(5) The accounts maintained by the self financed school together with all 
vouchers relating to various items of receipts and expenditures shall be 
preserved by the schools for a period of seven years. 
11 
20-12 GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 [PART IV 
CHAPTERlV 
CONTRAVENTIONS AND PENALTIES 
Contrav<ntions 14. (1) For contravention of any of the provisions of this Act or the rules made 
and penalli•.. thereuoder, the school management shall, in addition to refund of twice the 
amount of fee to the parents or guardians or to the person who has made the 
payment, be liable -
Bar of 
jurisdicti on of 
ci,•il court 
Powers of State 
Govtr nmtnt to 
gi\'e direction s. 
Operat ion of 
other Laws.. 
Protection of 
action taken in 
good fait h. 
(a) to pay fine which shall be upto five lakb rupees to the Fee Regulatory 
Committee,for the first contravention; 
(b) to pay fine which shall not be less than five Jakh rupees but which may 
extend to ten lakh mpees to the Fee Regulatory Committee for the second 
contravention; and 
(c) for cancellation or withdrawal of registration I affiliation I No Objection 
Ce1t ificate of the school, on third and subsequent contravention by the: 
concerned authority on the recommendation of the Fee Regula tory 
Committee . 
(2) The amount of fine and the amount of refund shall be paid within fifteen days 
from the receipt of the order, failing which fine of one per cent of the total 
payable amount shall be levied each day till the refuod of the tota.1 amount and 
fine is paid. However, if the schoo l management fails to make the payment of fine 
and refund within three months, than the entire unpaid amount shall be recovered 
as an arrear ofland revenue. 
15. No Civil Court shall have the jurisdic tion to deal with or decide any 
question which the Fee Regulatory Committee or, as the case may be, the Fee 
Revision Committee is empowered to deal with or decide with by or under this 
Act and no injuction shall be granted by any civil court in respect of any action 
taken or to be taken in pursuance of any of the provisions of this Act. 
CHAPTERV 
MISCELLANEO US 
16. The State Government may, from time to time, issue general or special 
directions consistent with the provisions of this Act and the rules made 
thereunder, as in its opinion are necessary or expedient for carrying out the 
purposes of this Act or for giving effect to any of the provisions contained therein 
or in any rules or orders made thereunder and the management of the self financed 
school shall be bound by such directions. 
17. Save as otherwise provided in this Act, the provisions of this Act shall be in 
addit ion to, and not in derogation of, any other Jaw for the time being in force. 
18. No suit, prosecution or other legal proceeding shall be instituted against the 
Committee or its members, Government or any officer, authority or person 
PART IV] GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 20-13 
XLVof 
1860. 
empowered to exercise the powers or perform the functions by or under this Act 
for anything which is in good faith done or intended to be done under this Act or 
the rules made thereunder. 
19. All the members of the Committee and the officers and employees while 
acting or purporting to act in pursuance of the provisions of this Act or rules made 
thereunder, be deemed to be a public servant within the meaning of section 21 of 
the Indian Penal Code. 
20. (1) The State Government may, by notification iu the 0.fficial Gazette, 
make rules for carrying out 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) the honorarium and allowances payable to and other terms and 
conditions of service of members of the Fee Regulatory Committee 
under sub-section (3) of section 3; 
(b) the fee to be levied by the self financed schools under sub-section 
(1) of section 9; 
( c) the other factors under which the Fee Regulatory Committee shall 
determine the fees leviable by the self financed school under clause 
(xi) of sub-section (1) of section 1 O; 
( d) to regulate the maintenance of accounts by the self financed schools 
under sub-section (1) of section 13; 
(e) for maintenance of records of accounts of the Fee Regulatory 
Committee under sub-section (2) of section 13. 
(3) All the rules made under this section shall be laid for not less than thirty days 
before the State Legislature, as soon as after they are made shall be subject to the 
rescission by the State Legislature or to such modification as the State Legislature 
may make during the session in which they are so laid or the session immediately 
following. 
( 4) Any rescission or modification so made by the State Legislature shall be 
published in the Official Gazette, and shall thereupon take effect. 
21. (I) If any difficulty arises in giving effect to the provisions of this Act, the 
State Govemment may, by general or special order published in the Official 
13 
Mcnibers of 
Committee, 
officers and 
c1nployees to be 
public servant. 
Po\~tr to make 
rules. 
Po\\'er to remove 
difficulty. 
20-14 GUJARAT GOVERNMENT GAZETTE, EX. 12-04-2017 [ PART IV 
Gazette, make such provisions not inconsistent with the provisions of this Act, as 
it appears to it to be necessary or expedient for the purposes of removing the 
difficulty: 
Provided that, no such order shall be made after the expiry of the period of 
two years from the date of commencement of this Act 
(2) Every order made under sub-sect ion (1) shall be laid, as soon as may be, after 
it is made, before the State Legislature. 
Government Central Press, Gandhinagar 

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