On AUGUST 2, 2000 the Parliament of India passed the Bihar Reorganization Bill to create the state of Jharkhand, carving 18 Districts out of Bihar to form Jharkhand state on 15 November, 2000. Jharkhand became the 28th state of the country when it separated from Bihar on November 15, 2000 - the birth anniversary of Birsa Munda. The state shares its borders with Bihar to the North, Odisha to the South, West Bengal to the East and Uttar Pradesh and Chhattisgarh to the West.

The construction of the present Raj Bhavan was started in 1930 and completed in March 1931 at an estimated cost of Rs. 7 lakhs. It was designed by Mr. Sadlow Ballerd, architect. Though the building has primarily a British design, it seems to have been adapted to suit the local climate. The building has a roof with double Raniganj tiles to keep off heat and the floor, lounge and Durbar Hall are lined with teak wood.

Another attraction of the Raj Bhawan is the Audrey house, which has now been converted into a Heritage house. The Audrey House was built much earlier by Captain Hannyington, who was the Deputy Commissioner of Chotanagpur from 1850-1856. A museum is also being planned in the Audrey house to project the rich cultural heritage of Jharkhand. A large hall named “Birsa Mandap” is constructed to hold cultural activities and official ceremonies in the premises of the Raj Bhavan has the seating capacity of about 1,500 people.