How are the costs for extra administration incurred by a State, when exercising such powers and duties, paid?
When a State incurs extra costs of administration in connection with the exercise of powers and duties conferred or imposed upon it by virtue of Article 258A, the Government of India pays such sum as may be agreed upon between them. In case there is no agreement, an arbitrator appointed by the Chief Justice of India determines the amount to be paid by the Government of India to the State in respect of those extra costs.