• The Indian Institutes of Information Technology (Public-Private Partnership) Bill, 2017 was introduced by the Minister of Human Resource Development, Mr. Prakash Javadekar in Lok Sabha on April 10, 2017.  The Bill declares 15 existing Indian Institutes of Information Technology established through public-private partnership as institutions of national importance.

• Definition of ‘public-private partnership (PPP)’:  PPP is a partnership under a scheme of the centre which provides for establishment of institutes through collaboration between the centre, the state government and industry partners.  Industry partners can be individuals, trusts, companies or societies.

• Establishment of an institute:  In order to establish an institute, the state government will identify at least one industry partner for collaboration and submit a proposal to the centre.  The centre will examine the proposal based on certain criteria, which include: (i) the capital investment for establishing the proposed institute, to be borne by the centre, the concerned state government and industry partners (ratio 50:35:15); (ii) expertise and standing of the industry partners; (iii) the assessment of the capability, financial and other resources of the industry partners to support the institute; and (iv) the availability of adequate physical infrastructure (water, electricity, road connectivity, etc.) and land (50 to 100 acres), to be provided by the state government free of cost.

• The centre may reject or accept the proposal with modifications.  Upon such acceptance, the centre will enter into a Memorandum of Understanding (MoU) with the concerned state government and the industry partners for the establishment of the proposed institute.  The MoU will outline details such as the investment proposal of capital and the commitment of the centre, state, and the industry partner in ensuring autonomy of the institutes, among others.

• Role of the industry partner:  The industry partner will have powers which include: (i) co-creating programs as per the requirements of the industry; (ii) actively participating in the governance of the institutes; and (iii) funding and mentoring startups in the institutions.

• Composition of the Board of Governors:  The Board of Governors will be the principal policy making and executive body of the institute.  The Board of each institute will comprise upto 15 members.  The composition of the Board includes:  (i) a Chairperson, nominated on the recommendation of the centre; (ii) one nominee each of the central government and the concerned state government; (iii) Director of the institute; (iv) one nomine representing each of the industry partners; and (v) two faculty members.

• Powers and functions of the Senate:  The Senate will be the principal academic body of each institute.  Its powers and functions include: (i) specifying the criteria and procedure for admission to courses of study; (ii) recommending to the Board, creation of teaching and other academic posts; and (iii) specifying the broad academic content of programmes and courses of study.

• Coordination Forum:  The Coordination Forum will deliberate on matters of common interest to all the institutes.  Its functions include advising the centre to include or exclude an institution in the Bill’s schedule.

• Funds of the institute:  Each institute shall maintain a fund which will consist of funds from the government and other sources including fees, grants and donations. 

• Further, each institute will create a corpus fund for its long term sustainability.  This fund will be credited with a certain percent (notified by the central government in accordance with the Income Tax Act, 1961) of the net income of the institute and donations made specifically towards such corpus fund.

• Dispute resolution:  Any dispute arising out of a contract between an institute and any of its employees will be referred to a Tribunal of Arbitration.  The Tribunal consists of one member appointed by the institute, one member nominated by the employee, and an umpire appointed by the Visitor (President).

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