Urban Local Bodies

Urban local bodies-

Background of Urban local bodies in India-

• The first municipal corporation in India was set up at Madras In 1687-88
• In 1726, the municipal corporations were set up in Bombay and Calcutta. 
• Lord Mayo’s Resolution of 1870 on financial decentralisation visualised the development of local self-government institutions. 
• Lord Ripon’s Resolution of 1882 has been hailed as the ‘Magna Carta’ of local self-government. He is called the father of the local-self government in India. 
• Under the dyarchical scheme introduced in Provinces by the Government of India Act, 1919, local self-government became a transferred subject under the charge of a responsible Indian minister. 
• In 1924, the Cantonments Act was passed by the Central legislature.
• Under the provincial autonomy scheme introduced by the Government of India Act, 1935, local self-government was declared a provincial subject
• In 1989, the Rajiv Gandhi government introduced the 65th Constitutional Amendment Bill (Nagarpalika bill) in the Lok Sabha and although the bill was passed in the Lok Sabha, it was defeated in the Rajya Sabha in October 1989 and, hence, lapsed

Finally-

• 74th Constitutional Amendment Act 1992 deals with urban local bodies
• The Constitution (Seventy Forth Amendment) Act, 1992 has introduced a new part namely, Part IXA in the Constitution and articles 243-P to 243-ZG
• It added schedule 12 to our constitution

It has following provisions-

Types of Municipalities

Under this amendment there are following types of municipalities-

1.A Nagar Panchayat- A Nagar Panchayat is for those areas which are transitional areas i.e. transiting from Rural Areas to Urban areas.

2. A municipal council- It is for a smaller urban areas

3.A municipal corporation- It is for a larger urban area

Governor will define these three areas on the basis of the density of the population therein, the revenue generated for local administration, the percentage of employment in non agricultural activities, the economic importance or such other factors as he may deem fit

Composition of Municipalities-

It consists of Elected members-

• All the seats in a municipality shall be filled by persons chosen by direct election from the territorial constituencies in the municipal area.
• Each municipal area shall be divided into territorial constituencies to be known as wards.

The legislature of a state may, by law provide

a) For the representation in a municipality of

• Persons having special knowledge or experience in Municipal administration
• The members of the house of the people and the members of the legislative Assembly of the state representing constituencies which comprise wholly or partly the municipal area
• The members of the council of states and the members of the legislative council of the state registered as electors within the municipal area

The chairpersons of the committees constituted under this schedule (will be discussed later )(without voting right)

Ward committees

• There shall be constituted wards committees, consisting of one or more wards, within the territorial area of a municipality having a population of three lakhs or more

Composition of ward committee-

A member of a municipality representing a ward within the territorial area of the wards committee shall be a member of that committee.

Where a wards committee consist of-

a) One ward, the member representing that ward in the municipality; or

b) Two or more wards, one of the members representing such wards in the municipality elected by the members of the wards committee, shall be the chairperson of that committee.

 Reservation of seats-

• Seats shall be reserved for the scheduled castes and the scheduled tribes in every municipality in proportion to their population out of which One Third should be women
• Not less than one third (including the number of seats reserved for women belonging to the scheduled castes and the scheduled tribes) of the total number of seats to be filled by direct election in every municipality shall be reserved for women and such seats may be allotted by rotation to different constituencies in a municipality.
• The offices of chairpersons in the municipalities shall be reserved for the scheduled castes, the scheduled tribes and women in such manner as the legislature of state may, by law provide.
• State legislature can provide for reservation of seats in any municipality or offices of chairpersons in the municipalities in favour of ward class of citizens

Duration of Municipalities-

The act provided for a five – year term of office to municipality

An election to constitute a municipality shall be completed

a) Before the expiry of its duration of 5 year

b) Before the expiration of a period of six month from the date of its dissolution

c) Provided that where the remainder of the period for which the dissolved municipality have continued is less than six months, it shall not be necessary to hold any election under this clause for constituting the municipality for such period

Disqualification for membership-

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

a) If he is also disqualified by or under any law for the time being in force for the purpose of elections to the legislature of the state concerned

b) Provided that 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 21years.

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

Power to impose taxes by, and Funds of, the Municipalities.- 

The Legislature of a State may, by law,-

a) Authorise a Municipality to levy, collect and appropriate such taxes, duties, tolls and fees in accordance with such procedure and subject to such limits;

b) Assign to a Municipality such taxes, duties, tolls and fees levied and collected by the State Government for such purposes and subject to such conditions and limits;

c) Provide for making such grants-in-aid to the Municipalities from the Consolidated Fund of the State; and

d) Provide for constitution of such Funds for crediting all moneys received, respectively, by or on behalf of the Municipalities and also for the withdrawal of such moneys there from as may be specified in the law.

Finance commission-

The Finance Commission constituted under article 243-I shall also review the financial position of the Municipalities and make recommendations to the Governor as toa).

The principles which should govern-

i. The distribution between the State and the Municipalities of the net proceeds of the taxes, duties, tolls and fees leviable by the State, which may be divided between them under this Part and the allocation between the Municipalities at all levels of their respective shares of such proceeds;

ii. The determination of the taxes, duties, tolls and fees which may be assigned to, or appropriated by, the Municipalities;

iii. The grants-in-aid to the Municipalities from the Consolidated Fund of the State;

•  The measures needed to improve the financial position of the Municipalities;
• Any other matter referred to the Finance Commission by the Governor in the interests of sound finance of the Municipalities

The recommendations of Finance commission should be laid before state legislature

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

Elections to Municipalities-

•  The superintendence, direction and control of the preparation of the electoral rolls for, and the conduct of, all elections to the panchayats and municipalities shall be vested in the State Election Commissions. 

Application to union territories-

• The president of India may direct that the provisions of this act shall apply to any union territory subject to such exceptions and modification as may specify

Committee for district planning-

Aim : to consolidate 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.

Composition-

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

c) Provided that not less than four-fifths of the 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 the district in proportion to the ratio between the population of the rural areas and of the urban areas in the district;

d) The functions relating to district planning which may be assigned to such Committees

e) 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 regarded to-

• 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
• The extent and type of available resources whether financial or otherwise

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

Committee for Metropolitan planning-

Aim : To prepare a draft development plan for the Metropolitan area as a whole

Article 243 ZE of Part IX A provides for establishment of the Metropolitan Planning Committee (MPC)

The State legislature may by law make provision with respect to-

• the composition of the Metropolitan Planning Committees;
• the manner in which the seats in such Committees shall be filled: Provided that not less than two-thirds of the members of such Committee shall be elected by, and from amongst,
• the elected members of the Municipalities and Chairpersons of the Panchayats in the Metropolitan area in proportion to the ratio between the population of the Municipalities and of the Panchayats in that area;
• the representation in such Committees of the Government of India and the Government of the State and of such organisations and institutions as may be deemed necessary for carrying out the functions assigned to such Committees;
• the functions relating to planning and coordination for the Metropolitan area which may be assigned to such Committees;
• the manner in which the Chairpersons of such Committees shall be chosen.

Eight types of urban local bodies

The following eight types of urban local bodies are created in India for the administration of urban areas:

1.Municipal corporation

• These are set up in Big cities and have council,commissioner and standing committee

2.Municipality

• It is set up in small towns
• It is headed by president or chairman and state government can appoint CEO in municipality

3.Notified Area Committee

• It is created by notification of government in fast growing areas or areas which are not yet developed and lacks basic amenities
• All the members of the notified area committee are nominated by the state government

4.Town Area Committee 

• It is created by state legislature in small towns with limited functions

5.Cantonment Board

• It is usually set up for a civilian population living in the cantonment area and works under central defence ministry
• It consists of both Elected and Nominated members

6.Township

• It is built by large public enterprises for its staff and workers
• It has no elected members and it is  an extension of the bureaucratic structure.

7.Port Trust

• These are established in port areas and created by parliamentary act

8.Special Purpose Agency

• These are the agencies or bodies formed for specific purpose and they are autonomous bodies

Subjects covered under 11^th Schedule-

There are total 18 subjects that are covered under this schedule and they are as follows-

1. Regulation of land use and construction of land buildings.
2. Urban planning including the town planning.
3. Planning for economic and social development
4. Urban poverty alleviation
5. Water supply for domestic, industrial and commercial purposes
6. Fire services
7. Public health sanitation, conservancy and solid waste management
8. Slum improvement and up-gradation
9. Safeguarding the interests of the weaker sections of society, including the physically handicapped and mentally unsound
10. Urban forestry, protection of environment and promotion of ecological aspects
11. Construction of roads and bridges
12. Provision of urban amenities and facilities such as parks, gardens and playgrounds
13. Promotion of cultural, educational and aesthetic aspects
14. Burials and burials grounds, cremation and cremation grounds and electric crematoriums
15. Cattle ponds, prevention of cruelty to animals
16. Regulation of slaughter houses and tanneries
17. Public amenities including street lighting, parking spaces, bus stops and public conveniences
18. Vital statistics including registration of births and deaths