Empowering Local Governance in India: The Seventy-Fourth Amendment Act

Introduction

The Seventy-Fourth Amendment Act (1992) is a significant amendment to the Constitution of India that seeks to strengthen local self-governance by granting constitutional status to municipalities. The amendment was passed in response to the growing demand for greater decentralization of power and resources, and to address the shortcomings of the existing system of local governance.

Before the amendment, municipalities were created by state legislation and had limited powers and functions. There was no constitutional recognition of local self-governance, and municipalities were often seen as subordinate bodies of the state government. The Seventy-Fourth Amendment Act sought to change this by elevating municipalities to a higher constitutional status and granting them greater autonomy and powers.

Brief History

The historical context of the amendment can be traced back to the broader political and social movements in India during the 1980s and early 1990s. These movements called for greater democratization and decentralization of power, and for the empowerment of marginalized communities. The amendment was also influenced by the global trend towards decentralization and local self-governance, which was gaining momentum at the time.

Key Provisions of the Seventy-Fourth Amendment Act

Constitutional status of municipalities

The Seventy-Fourth Amendment Act grants constitutional status to municipalities. It provides for the inclusion of a new Part IXA in the Constitution, which specifically deals with municipalities. This recognition gives municipalities a legal framework and ensures their existence as independent and autonomous local governing bodies.

Reservation of seats for Scheduled Castes and Scheduled Tribes

The amendment mandates the reservation of seats for Scheduled Castes (SC) and Scheduled Tribes (ST) in municipalities. It aims to promote social inclusion and ensure representation of these marginalized communities in decision-making processes at the local level. The reservation percentage varies from state to state, but it generally aligns with the proportion of SCs and STs in the population.

Reservation of seats for women

The Seventy-Fourth Amendment Act also provides for the reservation of seats for women in municipalities. It seeks to enhance women’s participation in local governance and promote gender equality. Typically, one-third of the total seats are reserved for women, ensuring their presence in decision-making bodies and empowering them to contribute to the development of their communities.

Composition and duration of municipal bodies

The amendment lays down provisions regarding the composition and duration of municipal bodies. It specifies the structure of municipalities, including the number of members and the method of their selection. The duration of the municipal bodies is generally five years, after which elections are conducted to form a new body. This ensures regular and democratic functioning of the local government.

Powers, authority, and responsibilities of municipalities

The Seventy-Fourth Amendment Act grants municipalities specific powers, authority, and responsibilities. It empowers them to prepare and implement plans for economic development and social justice within their jurisdiction. They have the authority to levy taxes, generate revenue, and manage their finances. Municipalities are responsible for providing essential services like water supply, sanitation, roads, public health, and urban planning.

Impacts of the Seventy-Fourth Amendment Act

Strengthening local self-governance

The amendment has granted constitutional status to municipalities, which has led to greater autonomy and increased decision-making powers at the local level. This has enabled municipalities to respond more effectively to the needs and aspirations of their communities. The amendment has also provided a legal framework for municipalities to function as independent local governing bodies.

Empowerment of marginalized communities

The reservation of seats for SCs and STs in municipalities has ensured their representation and participation in local governance. This has enabled these communities to have a say in the development of their areas and has provided a platform for their voices to be heard. The amendment has also created opportunities for these communities to benefit from local development programs.

Increased participation of women in decision-making

The reservation of seats for women in municipalities has encouraged their participation in decision-making processes at the local level. This has given women a greater voice in local governance and has empowered them to contribute to the development of their communities. It has also helped to address gender inequalities and promote women’s rights.

Decentralization of power and resources

The Seventy-Fourth Amendment Act has brought about decentralization of power and resources by transferring certain responsibilities from the state government to municipalities. This has ensured that decision-making and resource allocation is done at the local level, which has enabled municipalities to tailor development programs to the specific needs of their communities. Decentralization has also increased transparency and accountability in local governance.

Challenges and Criticisms of the Seventy-Fourth Amendment Act

Implementation issues

One of the main challenges faced by the amendment is the implementation of its provisions at the local level. Municipalities often lack the capacity and resources to implement the provisions effectively, leading to issues like inadequate service delivery and poor infrastructure. This has resulted in a gap between the intended goals of the amendment and the actual outcomes on the ground.

Lack of financial resources

The Seventy-Fourth Amendment Act has granted municipalities greater autonomy and powers, but it has not provided them with the financial resources needed to carry out their functions effectively. This has limited their ability to provide essential services and undertake development activities. The dependence of municipalities on state governments for financial resources has also limited their independence and decision-making powers.

Political interference and corruption

Municipalities often face political interference and corruption, which can undermine the effectiveness of their functions. Politicians sometimes interfere in the functioning of municipalities for their personal gain or political interests, leading to poor governance and misuse of resources. Corruption can also lead to poor quality of service delivery and infrastructure, negatively impacting the lives of citizens.

Comparison with the Seventy-Third Amendment Act (1992)

Similarities between the Seventy-Fourth and Seventy-Third Amendments

Decentralization of power

Both amendments seek to decentralize power by granting constitutional status to local governing bodies. They aim to bring decision-making closer to the grassroots level and empower local communities to participate in the governance process.

Reservation of seats

Both amendments provide for the reservation of seats to ensure representation of marginalized communities. The Seventy-Third Amendment reserves seats for Scheduled Castes (SCs) and Scheduled Tribes (STs) in rural local bodies (panchayats), while the Seventy-Fourth Amendment reserves seats for SCs, STs, and women in urban local bodies (municipalities).

Differences between the Seventy-Fourth and Seventy-Third Amendments

Scope

The Seventy-Third Amendment Act applies to rural areas and panchayats, while the Seventy-Fourth Amendment Act applies to urban areas and municipalities. This difference reflects the distinct needs and challenges of rural and urban governance.

Composition and powers

The amendments differ in terms of the composition and powers of the local governing bodies. Panchayats under the Seventy-Third Amendment Act are organized in a three-tier structure (village, intermediate, and district), while municipalities under the Seventy-Fourth Amendment Act operate at the urban level. The powers and responsibilities granted to these bodies also vary based on the specific needs of rural and urban areas.

Coordinated functioning of municipalities and panchayats

Both amendments recognize the need for coordinated functioning between municipalities and panchayats. They emphasize the importance of synergy and cooperation between these bodies for effective local governance. This coordination ensures that rural and urban areas can complement each other in terms of planning, resource allocation, and development activities.

Future Prospects and Recommendations

The future prospects of local self-governance in India, as envisioned by the Seventy-Third and Seventy-Fourth Amendments, can be further improved by considering the following recommendations:

Enhancing the effectiveness of local self-governance

  • Capacity building and training: Invest in capacity building programs to enhance the skills and knowledge of elected representatives and officials at the local level. This will enable them to effectively carry out their responsibilities and deliver quality services to the community.
  • Participatory governance: Encourage greater citizen participation in decision-making processes. Foster a culture of inclusivity and engage communities in planning, implementation, and evaluation of local development projects.
  • Strengthening local institutions: Ensure that municipalities and panchayats have adequate administrative and technical support to fulfill their roles. This includes improving infrastructure, digitalization of processes, and strengthening governance structures.

Strengthening financial autonomy:

  • Adequate financial resources: Allocate sufficient financial resources to municipalities and panchayats to enable them to carry out their functions effectively. Ensure timely and transparent flow of funds from the central and state governments to local bodies.
  • Revenue generation: Explore innovative methods to increase revenue generation at the local level, such as property taxes, user fees, and leveraging local resources for sustainable development projects.
  • Fiscal decentralization: Devolve financial powers to local bodies, allowing them greater flexibility in financial management and decision-making. This will promote financial autonomy and reduce dependency on external sources.

Promoting transparency and accountability:

  • Accessible information: Ensure that information regarding local governance, budget allocation, and project implementation is readily accessible to the public. Utilize technology, such as online portals and mobile applications, to enhance transparency and enable citizens to monitor local governance processes.
  • Social audits: Promote the practice of social audits to encourage citizen participation and hold local governing bodies accountable for their actions. This will help identify and address issues of corruption, mismanagement, and non-compliance with regulations.
  • Strengthening oversight mechanisms: Establish robust oversight mechanisms, including independent auditing bodies and grievance redressal mechanisms, to ensure transparency and accountability in local governance.

In conclusion, the Seventy-Fourth Amendment Act, 1992 is a significant milestone in the history of local self-governance in India. The amendment provided constitutional status to municipalities and aimed to strengthen their autonomy and capacity to deliver essential services to citizens.

The key provisions of the amendment, such as reservation of seats for marginalized communities and women, and defining the powers and responsibilities of municipalities, have had a positive impact on local governance in India. The amendment has empowered local communities and facilitated decentralization of power and resources.

However, the amendment faces several challenges, such as implementation issues, lack of financial resources, and political interference, that have hindered its full potential. To overcome these challenges, there is a need to focus on enhancing the effectiveness of local self-governance, strengthening financial autonomy, and promoting transparency and accountability.

In the long-term, the amendment has the potential to contribute to the overall development and empowerment of local communities, ensuring sustainable and inclusive growth at the grassroots level. By implementing the recommendations discussed, India can further improve the effectiveness of local self-governance and achieve the goal of decentralized governance.

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