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Implementation of the 74th CAA 1992

The 74th CAA 1992- Introduction. Hailed as Ushering Dawn of Decentralisation or new era of local decentralisationHas roots in recommendations of earlier several committees especially National Commission on Urbanisation (1986)Earlier CAA 67

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Implementation of the 74th CAA 1992

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    1. Implementation of the 74th CAA 1992

    2. The 74th CAA 1992- Introduction Hailed as Ushering Dawn of Decentralisation or new era of local decentralisation Has roots in recommendations of earlier several committees especially National Commission on Urbanisation (1986) Earlier CAA 67 & 68 were introduced in 1988-89 but got lost Finally in 1992 parliament adopted them Came in to effect from April 1993

    3. Situation prior to the 74th CAA Various decentralisation initiatives to make ULBs and PRIs institutions of self governance were taken but failed Two main reasons for their failure Structure of Indian Constitution – three lists State governments’ refusal to part with functions, powers, and finances to ULBs & PRIs Prior to CAA most local government institutions were either routinely superseded or elections were not held timely, resulting in complete subversion of the system of local governance.

    4. The 74th Constitutional Amendment Act Visualised ULBs as Institutions of Self-governance with the capability to prepare 'plans for economic development and social justice'. Introduced unified three tier structure based on population, function and economic base Put an end to State Government’s discretion to constitute or not to constitute ULB Representation to women, SC/ST/OBC groups Introduced 12th Schedule regarding functions which may be transferred to ULBs

    5. The 74th Constitutional Amendment Act Democratic Decentralisation: constitution of Ward Committees with representation from women, citizens' groups, SC/ STs etc. in cities with a population of over 0.3 million. For lower level of ULBs, the State Government can decide. To bring governance closer to the people and could be empowered to carry out the responsibilities of the ULB including the XII Schedule District and Metropolitan Planning Committees: To effect spatial and economic development, and rural and urban planning, with majority representation of elected local representatives.

    6. The 74th Constitutional Amendment Act State Finance Commission: To ensure financial stability of ULBs, a State Finance Commission (SFCs) to be constituted every five years. Based upon the recommendations of SFC, the Central Finance Commission to suggest measures for augmenting the consolidated funds in a state, for supplementing the resources of municipalities State Election Commission: To ensure a democratic process, the act mandates the creation of State Election Commissions (SECs). Another key task of the SECs is to ensure that election to municipalities dissolved by the state government, be held within 6 months of the dissolution.

    7. The 74th Constitutional Amendment Act Critical Issues In nut shell what has happened is a political decentralisation More than 60000 elected representatives assumed role in 15 states but no provision for their training Political decentralisation is not backed by financial devolution and functional autonomy The 12th Schedule pertaining to functions is not mandated State’s absolute power to determine functional and fiscal domain of ULBs remained as it is

    8. The 74th Constitutional Amendment Act - Critical Issues No criteria for seat reservation possibility of political victimisation States have not created ward committees Those who have created has not given financial powers to these committees or has clubbed several wards to form a single committee Rotation and short term of Mayor and other functionaries Delay in SFC constitution and non implementation of their recommendation Very few States have provided for DPC and MPC

    9. Implementation of the 74th Constitutional Amendment Act - Summary Has only ensured existence of ULBs Political Decentralisation but without empowerment Only silver lining is there is no reversal of a democratic situation

    10. Implementation of the 74th CAA 1992 Thank You

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