KMDA is a parastatal body, an authority functioning under the administrative control of Urban Development Department of Government of West Bengal. KMDA derives its powers and functions from the provisions of WBT&CP Act, 1979. KMDA has an 11-member Board or Authority that includes both elected people's representatives and nominated bureaucrats. The Hon'ble Minister-in-charge of Urban Development, Government of West Bengal is the ex-officio Chairman of the Board of KMDA.
The Board or Authority of KMDA takes all major policy decisions that are incidental to running the business of KMDA. However, for decisions in certain matters that may have impacts across other organisations and areas outside KMA, the same are forwarded to the State Government via the Urban Development Department, after the Authority of KMDA recommends the same. KMDA's day-to-day administration and planning and development activities are carried out under several directorates under control of a Chief Executive Officer-a senior IAS officer. The administrative functions are primarily organised under Secretary, again an IAS officer, through a number of functional units. The technical functions of planning and project formulation and execution are performed by 6 Sectors and Planning Directorate in KMDA–each usually headed by an officer in the rank of Director/Chief Engineer. In addition, KMDA has a separate directorate for finance headed by a Director. All the heads of directorates report to CEO directly or via some officer of the rank in between such as Director General or Secretary or Special Secretary. The KIT and KMWSA have merged with KMDA w.e.f. 28.04.2017 in terms of Kolkata Improvement Trust and Kolkata Metropolitan Water & Sanitation Authority Repealing Act and amendment of West Bengal Town and Country (Planning & Development) Act, 2017.