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Polity and governanceConstitutional amendments1992

74th Amendment

Gave constitutional status to urban local bodies.

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Added Part IXA and the Twelfth Schedule.

The old Parliament House (Sansad Bhavan), New Delhi.
The old Parliament House (Sansad Bhavan), New Delhi. Nikhilb239, CC BY-SA 4.0, via Wikimedia Commons
Practise this in the app: flashcards, quiz and a timed answer
Prelims

Quick recall

Which Part did the 74th Amendment add?
Part IXA.
How many subjects are in the Twelfth Schedule?
18.
What are the three types of urban local bodies?
Nagar panchayat, municipal council and municipal corporation.
Which committee plans for metropolitan areas?
The Metropolitan Planning Committee.
When did it come into force?
1 June 1993.
Which Article provides for District Planning Committees?
Article 243ZD.

Asked before in UPSC

Recurring theme: Empowerment of urban local bodies and municipal governance

Mains
  1. 2024 · GS2 · 10 marks

    Analyse the role of local bodies in providing good governance at local level and bring out the pros and cons merging the rural local bodies with the urban local bodies.

    The 74th Amendment set up a separate urban tier, which frames the case for and against merging it with rural bodies.

  2. 2023 · GS2 · 10 marks

    "The states in India seem reluctant to empower urban local bodies both functionally as well as financially." Comment.

    The 74th Amendment left devolution of Twelfth Schedule functions to States, which is why urban bodies remain weak.

  3. 2020 · GS2 · 15 marks

    The strength and sustenance of local institutions in India has shifted from their formative phase of 'Functions, Functionaries and Funds' to the contemporary stage of 'Functionality'. Highlight the critical challenges faced by local institutions in terms of their functionality in recent times.

    The functionality problem applies equally to municipalities created under the 74th Amendment.

The basics

Why it matters

The 74th Amendment (1992) gave constitutional status to urban local bodies, with elections, reservation and a list of functions for cities and towns.

18
Subjects in the Twelfth Schedule
For urban local bodies.

Types of urban bodies

Bodies depend on the size of the area.

Urban local bodies
  1. 1Nagar panchayatAreas in transition from rural to urban
  2. 2Municipal councilSmaller urban areas
  3. 3Municipal corporationLarger urban areas
  4. 4CommitteesWard committees, District and Metropolitan Planning Committees

You now know

  • Added Part IXA and the Twelfth Schedule (18 subjects).
  • Three types: nagar panchayat, municipal council, municipal corporation.
  • One-third seats reserved for women.
  • Provides District Planning Committees and Metropolitan Planning Committees.

Go deeper

In one line: The 74th Amendment made city governments constitutional, but most remain weak.

Why it matters for UPSC

Urban governance is increasingly asked as cities grow.

The core idea

Cities need elected leaders with real powers and money. Most mayors have limited authority, and Municipal finance is thin. Metropolitan Planning Committee provisions are rarely implemented well.

Where to go next

In one line: Urban local bodies have mandates without matching money or power.

Problems

State parastatals control water, planning and transport; mayors often have short terms and little executive power.

Fixes

Property tax reform, municipal bonds, directly elected empowered mayors and functioning Metropolitan Planning Committee bodies. See Municipal finance.

Where to go next

Municipal finance

How cities raise and spend money

In one line: Municipal finance covers how cities raise revenue and spend.

Sources

Property tax, user charges, grants and municipal bonds.

Problem

Indian cities' revenue is very small relative to GDP compared with other countries.

Where to go next

Metropolitan Planning Committee

Planning for big city regions

In one line: A Metropolitan Planning Committee prepares a development plan for a metropolitan area under Article 243ZE.

Composition

At least two-thirds elected from local bodies.

Reality

Many States have not set them up or given them real powers.

Where to go next

Prelims-style quiz

  1. The Twelfth Schedule contains:

    1. 18 subjects
    2. 22 subjects
    3. 29 subjects
    4. 12 subjects
    Show answer

    Answer: (a) 18 subjects. 18 subjects.

  2. Consider the following:
    1. The 74th Amendment added Part IXA.
    2. It provides for Metropolitan Planning Committees.
    Which of the statements given above is/are correct?

    1. 1 only
    2. 2 only
    3. Both 1 and 2
    4. Neither 1 nor 2
    Show answer

    Answer: (c) Both 1 and 2. Both are correct.

  3. A nagar panchayat is meant for:

    1. Cantonments
    2. Industrial townships only
    3. Large cities
    4. Transitional areas
    Show answer

    Answer: (d) Transitional areas. Areas in transition from rural to urban.

  4. District Planning Committees are provided under:

    1. Article 243K
    2. Article 243ZD
    3. Article 280
    4. Article 243G
    Show answer

    Answer: (b) Article 243ZD. Article 243ZD.

Syllabus

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