UPSC Indian Polity and Civics Local Government Notes - Local Government

 

LOCAL GOVERNMENT

 

Introduction

 

The local self-Government includes both rural and urban government. It is the third level of the government. There are 2 types of local government in operation – panchayatas in rural areas and Municipalities in urban area.

Lord riporn is Known as the Father of the local self-Government.

RURAL LOCAL GOVERNMENT

 

Panchayati Raj

 

The term Panchayti Raj in India signifies the system of rural local self-government. It has been established in all the states of India by the Acts of the State Legislatures to build democracy at the grass root level. It is entrusted with rural development.

It was constituationlised through the 73rd Constitutional

Amendment Act 1992.

A village or a group of villages, formed a panchayat of elected representatives, a few Panchayats formed a Panchayat Samiti and the various Panchayat Samities of a district were governed by a Zila Parishad and these three institutions had a three fold purpose:

(i) to be autonomous and self-governing to some extent.

(ii) to play an effective role in drawing up the 5 year plans.

(iii) to have scope for initiative and readjustment in implementing the plans to suit local needs.

 

Evolution of Panchayati Raj

• The Narasimha Rao Government introduced the Constitutional Amendment Bill in the Lok Sabha in September, 1991.
• It was passed by the Lok Sabha on 22nd December, 1992 and by the Rajya Sabha on 23rd December. Later it was, approved by the 17 State Assemblies and received the assent of the President of India on 20th April, 1993.
• Thus, it emerged as the 73rd Constitutional Amendment Act, 1992 and came into force on 24th April, 1993.
• Rajasthan was the first state to establish the institutiol ofPanchayati Raj in Nagaur District in 1959. Rajasthan was followed by Andhra Pradesh.

 

Balwant Rai Mehta Committee (1957)

• It was set up to examine the working of the Community Development Programme (1952) and the Nations Extension Service (1953).
• Recommendations:

(i) Three-tier Panchayati Raj system: Gram Panchayat at the Village level, Panchayat Samiti at the block level, Zila Parishad at the district level. (ii) Village Panchayat is directly elected, while the Panchayat Samiti and Zila Parishad constituted with indirectly elected members.

(iii) Panchayat Samiti is the executive body, while the Zila Parishad is the advisory, coordinating and supervisory body.

(iv) The District Collector should be the Chairman of the Zila Parishad.

 

K Santhanam Committee

One of the prime areas of concern in this long debate on Panchayati Raj Institutions was fiscal decentralisation. The K Santhanam Committee was appointed to look solely at the issue of PRI finance, in 1963.

 

Recommendations

• Panchayats should have special powers to levy special tax on land revenues, home taxes, etc.
• All grants and subventions at the state level should be mobilised and sent in a consolidate form to various PRIs.
• A Panchayati Raj Finance Corporation should be set-up to look into the financial resource of PRIs at all levels, provide loans and financial assistance to these grassroots level governments and also provide non-financial requirements of villages.

 

Ashok Mehta Committee

In December 1977, the Janata Government appointed a Committee on Panchayati Raj Institutions under the Chairmanship of Ashok Mehta. It submitted its report in August, 1978 and made recommendations to revive and strengthen the declining Panchayati Raj System in the country.

 

Recommendations

• The three-tier system of the Panchayati Raj should be replaced by two-tier system, that is, the Zila Parishad at the district level and below it the Mandal Panchayat consisting of a group of villages comprising a population upto 20,000.
• The Zila Parishad should be the executive body and be made responsible for planning at the district level.
• The Panchayati Raj Institutions should have Compulsory powers for taxation to mobilise their own financial resources.
• The Nyaya Panchayats should be kept as separate bodies from that of development Panchayats.
• A minister for the Panchayati Raj should be appointed in
• the Sate Council of Ministers to look after the affairs of the Panchayati Raj Institutions.
• Seats for the SCs and the STs should be reserved on the basis of their population.

 

G V K Rao Committee

The Committee on Administrative Arrangement for Rural

Development and Poverty Alleviation Programmes under the chairmanship of G.V.K. Rao was appointed by the Planning Commission in 1985.

 

Recommendations

The Committee made the following recommendations to strengthen and revitalise the Panchayati Raj system;

• “The district is the proper unit for planning and development and the Zila Parishad should become the principal body for management of all development programmes which can be handled at that level”.
• The Panchayati Raj institutions at the district and lower levels should be assigned an important role with respect to planning, implementation and monitoring of rural development programmes.
• A post of District Development Commissioner should be created.
• Elections to the Panchavati Raj institutions should be held regularly.

 

LM Singhvi Committee

In 1986, Rajiv Gandhi Government appointed a committee on the “Revitalisation of the Panchayati Raj Institutions for democracy and development” under the Chairmanship of LM Singhvi.

 

Recommendations

• The Panchayati Raj Institutions should be constitutionally recognised, protected and preserved. It also suggested some constitutional provisions to ensure regular, free and fair elections to the Panchayati Raj bodies.
• Nyaya Panchayats should be established for a cluster of villages.
• The villages should be organised to make the Gram Panchayats more viable.
• The Village Panchayats should have more financial resources.
• The judicial tribunals should be established in each state to eradicate controversies about election to the Panchayati
• Raj Institutions, their dissolution and other matters related to their functioning.

 

Rajiv Gandhi Government

In July 1989, Rajiv Gandhi Government introduced the 64^th Constitutional Amendment Bill to constitutionalise PRIs, but it was not approved by Rajya Sabha.

 

VP Singh Government

In November 1989, Prime Ministers VP Singh proposed the introduction of a fresh Constitutional Amendment Bill and the bill was introduced in Lok Sabha in September 1990, but it lapsed due to the fall of government.

 

Narsimha Rao Government

In September 1991, Prime Minister PV Narsimha Rao introduced the modified proposal of Constitutional Amendment Bill, which finally emerged as the 73rd Constitutional Amendment Act, 1992 and came into force on 24th April, 1993.

 

73^rd Amendment Act (1992)

• Added to Part-IX (Articles 243 to 243-0) and the Eleventh Schedule to the Constitution.
• 11th Schedule contains 29 functional items and deals with Article 243-G.
• The Act has given a practical shape to Article 40. The Act has brought them under the purview of the justifiable part of the Constitution.
• State governments are under constitutional obligation to adopt the new Panchayati raj system in accordance with the provisions of the Act. However the Panchayati raj system in each state is created through its own Act.
• The main provisions of the Act are as follows:

 

Three-Tier System

• Three-tier system with panchayats at the village, intermediate, and district levels. Panchayat means an institution of self-government for rural areas.
• Act brings about uniformity in the structure of Panchayati raj throughout the country. However a state having a population not exceeding 20 lakhs may not constitute panchayats at the int ermediate level.

 

Gram Sabha (Article 243A)

Gram sabha is the foundation of the Panchayati raj system. It shall exercise such powers & functions at the village level as the legislature of a state determines.

 

Elections of Panchayats (Articles 243F)

 

• All the members of Panchayats at the village, intermediate and district levels shall be elected directly by the people.
• Chairperson of Panchayat at the village level shall be elected in such manner as the state legislature determines.
• However, the chairperson at the intermediate and district levels shall be elected indirectly; by and from amongst the elected members thereof.

 

Qualifications

• A person seeking election to the panchayat must possess the qualifications prescribed for a member of state legislature.
• Minimum age for contesting election to the panchayat is 21 year (as against 25 years for State Legislature).

 

Disqualifications for Membership (Article 243F)

• A person shall be disqualified for being chosen as, and for being a member of a Panchayat-

(a) If he is so disqualified by or under any law for the time being in forcr for the purposes of election, to the Legislature of the State concerned.

(b) If he is so disqualified by ...r ''nder any law made by the Legislature of the State.

• If any question arise as to whether a member of a Panchayat has become subject to any of the disqualifications mentioned in clause (1), the question shall be referred for the decision of such authority and in such manner as Ac legislature of a State may, by law, provide.
• No person shall be disqualified on the ground that he is less than twenty-five years, of age, if he has attained the age of twenty-one years.                            
• The question regarding disqualification of the members of panchayat are referred to such authority as may be provided by the state legislature by law.

 

State Election Commission

 

 

• The superintendence, direction and control of the preparation of lectoral rolls for, and the conduct of all election to the Panchayats shall be vested in a State Election Commission consisting of a State Election Commissions to be appointed by the Governor.
• Subjects to the provisions of any law made by the legislature of a State, the conditions of service and teniure of office of the State Election Commissions shall be such as the Governor may by rule determine.
• The Governor of a State shall, when so requested by the State Election Commission, make available to the State Election Commission such staff as may be necessary for the discharge of the functions conferred on the State Election Communication by clause (1).

 

Reservation of Seats (Article 243D)

• Reservation of seats for SCs & STs in every Panchay. (at all levels) in proportion of their population to the total population in that area. State legislature shall provide for the reservation of offices of chairpersons in the Panchayat at the village or any other level for the SCs and STs.
• Reservation of not less than one-third of the total number of seats for women (including those reserved for women of SCs and the STs). Not less than one-third of the total number of offices of chairpersons in the Panchayats at each level shall be, reserved for women.
• For any backward classes, state legislature is authorizide to make any provision for reservation.

State Finance Commission (Article 2431)

• Governor after every five years, constitute a Finaii Commission to review the financial position of the Panchayats.
• State Legislature may provide for the composition of the Commission, the required qualifications of its members and the manner of their selection.
• They review the financial position of the panchayats and makes recommendations to the governor for distribution of the net proceeds of taxes between the state and the panchayats. It also recommends grants-in-aid the panchayats, from the Consolidated Fund of the State Central Finance Commission shall also suggest measures needed to augment the consolidated fund of a state to supplement the resources of the panchayats in the States.

 

Audit of Accounts of Panchayats

The legislature of a State may, by law, make provisions with respect to the maintenance of accounts by the Panchayats and the auditing of such accounts.

 

Duration of Panchayats (Article 243E)

• Fixed tenure of Five-year
• In case the panchayat is dissolved before its term of 5 years, fresh elections must be held within six months. The panchayat thus constituted are elected for the remaining period. It may be noted that if the remaining tenure of the dissolved panchayat is less than six months no elections need be held.

Powers and Functions (Article 243G)

The State Legislature may endow the Panchayats, with such powers and authority as may be necessary to enable them to function as institutions of self-government. Such a scheme may contain provisions for the devolution of powers and responsibilities upon Panchayats at the appropriate level with respect to

• Preparation of plans for economic development and social justice.
• The implementation of schemes for the economic development and social justice as may be entrusted to them, including those in relation to the 29 matters listed in the Eleventh Schedule.

The following 29 functional items placed within the purview of Panchayats are:

1. Agriculture, including agricultural extension.
2. Land improvement, implementation of land reforms, land consolidation and soil conservation.
3. Minor irrigation, water management and watershed development.
4. Animal husbandry, dairying and poultry.
5. Fisheries, social forestry and farm forestry.
6. Minor forest produce.
7. Small-scale industries, including food processing industries.
8. Khadi, village and cottage industries.
9. Rural housing.
10. Drinking water.
11. Fuel and fodder.
12. Roads, culverts, bridges, ferries, waterways and other means of communication.
13. Rural electrification, including distribution of lectricity.
14. Non-conventional energy sources.
15. Poverty alleviation programme.
16. Education, including primary and secondary schools.
17. Technical training and vocational education.
18. Adult and non-formal education.
19. Libraries.
20. Cultural activities.
21. Markets and fairs.
22. Health and sanitation, including hospitals, primary health centres and dispensaries.
23. Family welfare.
24. Women and child development.
25. Social welfare, including welfare of the handicapped and mentally retarded. '
26. Welfare of the weaker sections and in particular, of the Scheduled Castes and the Scheduled Tribes.
27. Public distribution system.
28. Maintenance of community assets.
29. The act gives a constitutional status to the Panchayati Raj Institutions.

 

Major Problems and Shortcomings in the Working of PRIs

• Election not being held on a regular basis.
• Lack of adequate transfer of powers and resources to Panchayati institutions.
• Lack of Panchayati Raj bodies to generate their own resources such as tax on sale of land.
• Non-Representation of women and weaker sections on the elected bodies.

 

PESA Act, 1996

This act is called Provisions of the Panchayats Extension to the Scheduled Areas (PESA) Act, 1996. In this Act 'Scheduled Areas' means the Scheduled Areas as referred to in clause (1) of the Article 244 of the Constitution. It meant to give Self-rule authority to the Tribal people and govern themselves as well as their resources.

 

Bhuria Committee

• It was set-up in June 1994 to work out details as to how structures similar to Panchayati Raj Institutions can take shape in Tribal Areas and Scheduled Areas to define their powers. It submitted it's report in January 1995 and GOI made PESA, 1996.
• According to this act, under Part IX of the Constitution, the Legislature of a State shall not make any law under that part, which is in consistent with the following features
• A State Legislation on the Panchayats shall be in consonance with the customary law, social and religious practices and traditional management practices of community resources.
• Reservation for the Scheduled Tribes shall not be less than one-half of the total number of seats. Reservation shall be in proportion to the population of me communities for whom reservation is sought. All seats of Chairpersons at all levels shall be reserved for the Scheduled Tribes.
• Gram Sabha shall be consulted before making the acquisition of land in Scheduled Areas for development projects.
• The recommendations of Gram Sabha shall be made mandatory to grant of prospecting licence or mining lease for minor minerals in the Scheuled Areas.
• Powers of Panchayat in the Scheduled Areas to Regulate, sale and consumption of intoxicant, ownership f minor forest produce, preventing alienation of land as per laws, manage village markets, exercise control over money lending, control over institutions and functionaries in social sectors and local plans and resources.
• The act extended provisions of Panchayats to tribal areas of 9 states that are included in Fifth Schedule these are - Andhra Pradesh, Himachal Pradesh, Madhya Pradesh, Chhattisgarh, Jharkhand, Odisha, Gujarat, Maharashtra, and Rajasthan.

The Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006

• The Scheduled Tribes and other Traditional Forest Dwellers (Recognition of Forest Rights) Act, 2006 is a result of the protracted struggle by the marginal and tribal communities of our country to assert their rights over the forest land over which they were traditionally dependent.
• This act is crucial to the rights of millions of tribals and other forest dwellers in different parts of our country as it provides for the restitution of deprived forest rights across India. Including both individual rights to cultivated land in forest land and community rights over common property resources. The notification or rulers for the implementation of the Forest Right. Rights Act, 2006 on 1st January. 2008, has finally paved the way to undo the 'historical injustice' done to the tribals and other forest dwellers.
• The livelihood of perhaps 100 million poorest of the poor (the Indian Forest Rights Act, 2006; Communing Enclosures) stands to improve if implementation can succeed. The act is significant as it provides scope and historic opportunity of integrating conservation and livelihood rights of the people.
• This act will prove a potential tool
• To empower and strengthen the local self-governance.
• To address the livelihood security of the people, leading to poverty alleviation and pro-poor growth.
• To address the issues of conservation and management of the Natural Resources and Conservation Governance of India.

 

Significance of the Act

• For the first time Forest Rights Act recognises and secures
• Community Rights or rights over common property resources of the communities in addition to their individual rights.
• Rights in and over disputed land rights of settlement and conversion of all forest villages, old habitation, un-surveyed villages and other villages in forests into revenue villages.
• Right to protect, regenerate or conserve or manage any community forest resource which the communities have been traditionally protecting and conserving for sustainable use.
• Right to intellectual property and traditional knowledge related to biodiversity and cultural diversity.
• Rights of displaced communities.
• Rights over developmental activities.

 

URBAN LOCAL GOVERNMENT

 

 

• There are eight types of urban local governments in India - Municipal Corporation, Municipality, Notified Area Committee, Town Area Committee, Cantonment Board, township, port trust, special purpose agency. At the Central level the subject of 'urban local government' is dealt with by the following three Ministries.

(i) Ministry of Urban Development created as a separate ministry in 1985.

(ii) Ministry of Defense in the case of cantonment boards.

(iii) Ministry of Home Affairs in the case of Union Territories.

 

74^th Amendment Act (1992)

• 74th Amendment Act pertaining to urban local government was passed during the regime of P.V. Narsimha Rao's government in 1992. It came into force on 1st June, 1993.
• Added Part IX -A and consists of provisions from articles 243-P to 243-ZG.
• Added 12th Schedule to the Constitution. It contains 18 functional items of Municipalities and deals with Article 243 W.
• State governments are under constitutional obligation to adopt the new system of Municipalities in accordance with the provisions of the Act.

 

Muncipalities

There are three types of municipalities which are as follows:

(i) Nagar panchayat for a transitional area from a rural area, to urban area.

(ii) A municipal council for a smaller urban area

(iii) A municipal corporation for a larger urban area.

 

Municipal Corporation

It is created for the administration of big cities like Delhi, Mumbai, Kolkata, Hyderabad, Bangalore and others. Established in the States by the Acts of the concerned State Legislatures and in the UTs by the Acts of the Parliament of India.

 

Municipal Council

Municipal Council is established for the administration of towns and smaller cities. They are also set up in the States by the Acts of the concerned State Legislatures and in the UTs by the Acts of the parliament. They are also known by various 3ther names like Municipal Committee, Municipal Board, Borough municipality. City municipality and others.

 

Composition

• Members shall be elected directly. State legislature may provide the manner of election of the chairperson of a Municipality.
• For this purpose, each Municipal area shall be divided into territorial constituencies to be known as Wards. It may also provide for the representation of the following persons in a municipality.

1. Persons having special knowledge or experience in municipal administration without the right to vote in the meetings of municipality. 2. The members of the Lok Sabha and the state legislative assembly representing constituencies that comprise wholly or partly the municipal area. 3. The members of the Rajya Sabha and the state Legislative Council registered as electors within the municipal area.
2. The chairpersons of committees (other than wards committees).

 

Wards Committees

Wards committee, consisting of one or more wards, within the territorial area of a municipality having population of three lakhs or more.

 

Reservation of Seats (Art. 243 T)

• For SCs & STs, in proportion of their population to the total population in that area. For backward classes, state Legislature may make provisions.
• Reservation of not less than one-third of the total number of seats for women (including those reserved for women belonging to the SCs and the STs)
• State legislature may provide for the manner of reservation of offices of chairpersons in the municipalities for the SCs, the STs and the women.

 

Committee for District Planning (Art 243 ZD)

• There shall be constituted in every state at the district level a District Planning Committee to consolent the plans prepared by the Panchayats and the municipalities in the district and to prepare a draft development plan for the district as a whole.
• The Legislature of a state may, by law, make provision, with respect to -

(a) The composition of the District Planning Committees;

(b) The manner in which the seats in such committees shall be filled:

Provided that not less than four-fifths of me total number of members of such committee shall be elected by and from amongst, the elected members of the Panchayat at the district level and of the municipalities in me district in proportion to the ratio between the population of the rural areas and of the urban area in the district.

(c) The function relating to district planning which may be assigned to such committees.

(d) The manner in which the chairpersons of such committees shall be chosen.

• Every District Planning Committee shall, in preparing the draft development plan,

(a) have regard to-

(i) matters of common interest between the panchayats and the municipalities including spatial planning sharing of water and other physical and natural resources,   the   integrated   development   of infrastructure and environmental conservation.

(ii) the extent and type of available resources whether financial or otherwise.

(b) Consult such institutions and organizations as the Governor may, by order specify.

• The chairperson of every District Planning Committee shall forward the development plan, as recommended by such committee, to the Government of die State.

 

Disqualifications for Membership

• (A person shall be disqualified for being chosen as, and for being a member of a municipality –

(a) If he is so disqualified by as under any law for the time being in force for the purposes of election to the legislature of the state concerned provided that no person shall be disqualified on the ground that he is less than twenty-five years of age, he has attained the age of twenty-one years;

(b) If he is so disqualified by or under any law made by the legislature of the state.

• If any question arises as to whether a member of a municipality has become subject to any of the disqualifications mentioned in clause (1), the question shall be referred for the decision of such aufliority and in such manner as me legislature of a State may, by law, provide.

Bar to Interference by Courts in Electoral Matters

Not with standing Naturestanding anything in this constitution-

• The validity of any law relating to the delimitation of constituencies or the allotment of seats to such constituencies made or purporting to be made under article 243ZA, shall not be called in question in any court.
• No election to any municipality shall be called in question except by an election petition presented to such authority and in such manner as is provided for by or under any law made by the Legislature of a state.

 

Continuance of Existing Law and Municipality

Nature standing anything in this part, any provision of any law relating to municipalities in force in a state immediately before the commencement of the constitution (seventy- fourth amendment) Act, 1992, which is inconsistent with the provisions of this part, shall continue to be in force until amended or replaced by a competent legislature or other competent authority or until the expiration of are year from such commencement, whichever is earlier.

Provided that all the municipalities existing immediately before such commencement shall continue all the expiration of their duration, unless sooner dissolved by a resolution passed to that effect by the Legislative Assembly of that State or, in the case of a state having a Legislative Council, by each House of the Legislature of that state.

 

Duration of Municipalities

Five-year term. However, it can be dissolved before the completion of its term. Further, the fresh election to constitute a municipality shall be completed (i) before the expiry of its duration of five year; or (ii) in case of dissolution before the expiry of a period of six months from the date of its dissolution.

 

Powers and Functions

Under Article 243(W), subject to the provisions of this Constitution, the Legislature of a State may, by law, endow

• The municipalities with such powers and authority as amy be necessary to enable them to function as institutions of self-government and such law may contain provisions for the devolution of powers and responsibilities upon municipalities, subject to such conditions as may be specified therein, with respect to
• the preparation of plans for economic development and social justice.
• the performance of functions and the implementation of schemes as my be entrusted to them including those in relation to the matters listed in Twelfth Schedule.
• The committees with such powers and authority as may be necessary to enable them to carry out the responsibilities conferred upon them including those in relation to the matters listed in the Twelfth Schedule.

 

 

 

Twelfth Schedule

• It contains 18 functional items which is covered in Article 243 (W). They are as follows
• Urban planning including tow planning.
• Regulation of land use and construction of buildings.
• Planning for economic and social development.
• Roads and bridges.
• Water supply for domestic, industrial and commercial purposes.
• Public health, sanitation conservancy and solid waste management.
• Fire services.
• Urban forestry, protection of the environment and promotion of ecological aspects.
• Safeguarding the interests of weaker sections of society, including the handicapped and mentally retarded.
• Slum improvement and upgradation.
• Urban poverty alleviation.
• Provision of urban amenities and facilities such as parks. gardens, and playgrounds.
• Promotion of cultural, educational and aesthetic aspects.
• Burials and burial grounds; cremations, cremation grounds and electric crematoriums.
• Cattle pounds; prevention of cruelty to animals.
• Vital statistics including registration of births and deaths.
• Public amenities including street lighting, parking lots, bus stops and public conveniences.
• Regulation of slaughter houses and tanneries.

 

Finance Commission

• Consituted for every five years, review the financial position of municipalities and make recommendation to the Governor.
• The distribution of net proceeds of taxes, duties, tolls and fees between State Municipalities, which are levied by the State.
• Central Finance Commission shall also suggest the measures needed to augment the Consolidated Fund of a State to supplement the resources of the Municipalities in the State.

 

Application to Union Territories

• President of India may direct that the provisions of this act shall apply to any Union Territory subject to such exceptions and modifications as he may specify.

 

Areas Kept Out

• Scheduled areas and tribal areas referred in Article 244 of the Indian Constitution. It shall also not affect the functions and powers of the Darjeeling, Gorkha Hill Council of the West Bengal.

 

Urban-local Government Structures in India

There are eight types of Urban Local bodies that are create in India for the administration of urban areas. These are a follows:

1. Municipal Corporation

Municipal Corporation are for the big cities like Delhi Mumbai, Kolkata, Hyderabad, Bengaluru and others. These are established by the Acts of State Legislature are the Parliament in case of Union Territories. A Municipal Corporation has three authorities.

(i) The Council

It is a deliberative and legislative wing of the corporation It has councilors, directly elected by the people.

The council is headed by the Major and he/she is assist by a Deputy Major who is elected for 1 year with renewable term.

(ii) The Standing Committees

It is created to facilitate the working of the Council. The committees deal with public works, education, health taxation, finance, etc.

(iii) The Municipal Commissioner

The Commissioner is responsible for the implementation of the decisions taken by the Council and its standing committees. The Commissioner is appointed by the State Government. So, that he is the chief executive authority of the Municipal Corporation. Generally, the Commissioner is a member of the IAS cadre.

2. Municipality

The Municipalities are established for the administration of towns and small cities. Like the corporation, they are also established by the Act of State Legislature and the Parliament.

Municipality has three authorities

(i) The Council

(ii) The Standing Committees

(iii) The Chief Executive Officer. All the authorities have same functions as the corporation has.

3. Notified Area Committee

It is any land area earmarked by legal provision for future development. It is set-up by government notification and not a legislation.

All its members and Chairman are appointed by the State Government and not elected. It is set-up in area where municipality is not feasible, but potential for fast development is there.

4. Town Area Committee

It is set-up by an Act of State Legislature and can have both elected and nominated members. It is quasi-municipality with limited number of Municipal functions like street/lighting, sanitation, etc.

5. Cantonment Board

They are autonomous bodies functioning under the overall control of the Ministry of Defence. These boards comprise elected members besides ex-officio and nominated members with the station commander as the President of the Board.

The resources of these boards are limited as the bulk of the property is owned by government on, which no tax can be levied.

Thus, the Central Government provides financial assistance by way of grants-in-aid. The boards are responsible for discharging the mandatory duties like provision of public health, sanitation, primary education and street lighting etc.

6. Township

The township is established to provide civic amenities to its staff and workers who live in the housing colonies built near the plant by the large public enterprises.

The township is headed by the town administrator, appointed by the enterprises, he/she is assisted by some engineers and other technical and non-technical staff. It shows the bureaucratic structure of the enterprises.

7. Port Trust

The Port Trusts are established in the port areas such as Mumbai, Kolkata, Chennai, etc. These are established for the following purposes

- To manage and protect the ports.

- To provide civic amenities.

The port trust is established by an Act of the Parliament. It has both elected and nominated members. Its Chairman is an official and its civic functions are more or less similar to those of a municipality.

 

Special Purpose Agency

• Above all seven area based urban bodies, the states have set-up certain agencies to undertake designated activities or specific functions. The special purpose agencies are established for single purpose. Some such bodies are as follows:
• Town improvement trusts

- Water supply and sewerage boards.

- Urban development authorities.

- Housing boards.

- Pollution control boards.

- Electricity supply boards.

- City transport boards.

• These bodies are created as statutory bodies by an Act of State Legislature or as department by an executive resolution.
• They function as autonomous bodies and are not subordinate agencies of the local municipal bodies.

 

Co-operatives

In 1958, the National Development Council (NDC) had 'recommended a national policy on co-operatives. Jawaharlal Nehru had a strong faith in the co-operative movement. In 2011, the cooperatives were given constitutional status by the 97th Constitutional Amendment Act, 2011. Co-operatives have been inserted in Part IXB covering Articles 243 ZH-ZT.

Incorporation of co-operative societies (Article 243ZI) subject to the provisions of this part, the Legislature of a State may by law make provisions with respect to the incorporation, regulation and winding up of co-operative societies based on the principles of voluntary formation, democratic control, economic participation and autonomous functioning.

Audit of Accounts of Co-operative Societies (Article 243 ZM)

The Legislature of a State may by law, make provisions with respect to the maintenance of accounts by the cooperative societies and the auditing of such accounts atleast once in each financial year.

The accounts of every cooperative society shall be audited within 6 months of the close of the financial year to which such accounts relate. The audit report of the accounts of an apex co-operative society as may be defined by the State Act shall be laid before the State Legislature in the manner, as may be provided by the State Legislature by law.

Number and Term of Members of Board and its Office Bearers (Article 243 ZJ)

• The board shall consist of such number of directors as may be provided by the Legislature of a State by law. The maximum number of directors of a cooperative society shall not exceed twenty-one.
• The Legislature of a State shall by law provide for reservation of one seat for the Scheduled Castes or the Scheduled Tribes and two seats for women on board of every cooperative society consisting of individuals as members and having members from such class or category of persons.
• The term of office of elected members of the board and its office bearers shall be 5 years from the date of election and the term of office bearers shall be continuous with the term of the board.

The Legislature of a State shall, by law, make provisions for persons to be members of the board having experience in the fields of banking, management, finance or specialisation in any other field relating tothe objects and activities undertaken by the cooperative society as members of the board.

 

Election of Members of Board (Article 243 ZK)

The superintendence, direction and control of the preparation of electoral rolls for and the conduct of all elections to a cooperative society shall vest in such an authority or body, as may be provided by the Legislature of a State by law.

 

Central Council of Local Government

• The Central Council of Local Government was set- up in 1954. It was constituted under Article 263 of the Constitution of India by an order of the President of India.
• The Council is an advisory body. It consists of the Minister for Urban Development in the Union and for local self-government in the state. The Chairman of the Council is the Union Minister. The Council has following functions
• Considering and recommending the policy matters.
• Making proposals for legislation.
• Drawing up a common programme of action.
• Examining the possibility of cooperation between the Centre and the States.
• Recommending Central Financial Assistance.
• Reviewing the work done by the local bodies with the Central Financial Assistance.