74th Amendment Act

HISTORICAL BACKGROUND
Historically speaking, the congress government headed

by late sh. Rajiv Gandhi took sincere efforts in 1989
to provide status to urban local bodies. So many
discussions were also held with the ministers of local
self governments and the chief ministers of various
states. At least 65th constitution amendment bill was
introduced in the parliament in august 1989 but was
not passed in the rajya sabha . Subsequently with
the change of government at the national level the
bill was reviewed and introduced in the lok sabha in
1990. But with the change of government , the bill
was lapsed. Due to this lapse , 74th constitutional
amendment act was passed .
URBAN LOCAL
GOVERNMENT AND 74 TH
CONSTITUTION AMENDMENT
▪ In september 1991, the 73rd constitution
amendment bill was introduced in Lok Sabha.
▪ The committee consisted of 30 members- 20
from Lok Sabha and 10 from Rajya Sabha.
▪ Sh.K.P Singh Deo was appointed as its
chairman.
▪ On the basis of the report of this
committee,Lok Sabha passed this amendment
on Dec 22 and Rajya Sabha on Dec 23,1993.
▪ After the president accorded his assent to the
bill on april 24,1993 it became 74th
constitution amendment act. This act has
introduced revolutionary changes in urban
local government institutions.
CHARACTERISTICS/FEATURES
1. CONSTITUTIONAL
SANCTION TO URBAN
LOCAL INSTITUTIONS:- By
incorporating part 9-A and 12th
schedule into the constitution
through 74th constitutional
amendment , constitutional sanction
has been granted to urban local
bodies. Part 9-A includes 18 articles
from 243 to 243 G relating to
composition, functions and powers
etc of urban local institutions.
▪ COMPOSITION OF MUNICIPALITIES:-
Under article 243-R, the area of each
municipality shall be determined by state
government. The area falling in the jurisdiction of
each municipality shall be divided into wards and
the citizensct shall elect representatives of their
wards directly.
▪ CONSTITUTION OF WARD
COMMITTEES:- By incorporating article 243-
S into the constitution, 74th constitutional
amendment provides for the establishment of
ward committees in the areas of those
municipalities whose area has population of
3lakh or more. The state legislature is
empowered to determine the composition and
jurisdiction of ward committees.
 RESERVATION OF SEATS:-
 In every municipality, there shall be reservation of seats for
scheduled castes and scheduled tribes in Proportion to their
population.
 1/3 of the total seats reserved for SC and ST shall be reserved
for women belonging to these castes.
 1/3 of the total seats shall be reserved for women, in addition
to seats reserved for women belonging to SC and ST.
 As per the provision made by the laws of the laws of the state
legislature , the posts of the chairpersons of municipalities shall
be reserved for SC,ST and women.
 State legislature by law makes provisions for the reservation of
seats of other backward classes also.
 REGULAR ELECTIONS AND FIXED TENURE:-
According to the 74th constitution amendment the tenure of
urban local bodies has been fixed for 5 years. In case a
municipality is dissolved or superseeded before the expiry of its
normal tenuren, it shall be obligatory to hold elections within 6
months and the newly elected municipality would hold the
office for the remaining 5 years.
 QUALIFICATION OF MEMBERS:- For contesting
election of municipalities at each level, a person shall possess
the same qualifications as required for becoming a member of
state legislature. But he/she must be atleast 21 years of age. A
person who is disqualified from contesting the election to state
legislature shall be debarred from contesting the election of
municipality as well.’
 POWERS AND RESPONSIBILITIES OF
MUNICIPALITIES:-
 Urban planning which includes town planning.
 Making rules regarding the use of land and construction of
buildings.
 Planning for economic and social justice.
 Roads and bridges
 Public health and sanitation.
 Fire services
 Urban forestry and ecological protection and equilibrium.
 Removal of urban poverty
 Urban facilities such as parks , gardens and playgrounds.
 Cultural educational and artistic development
 Prevention of cruelities on animals.
 Registration of birth and death.
 Making rules for slaughter houses and dyeing of skins, etc.
 POWER TO IMPOSE TAXES:- State legislature can by
law authorise the municipalities to impose and collect taxes .
Under this law , some of the taxes imposed by the state
governments can be transferred to municipalities. Besides, the
state government provides financial assistance to municipalities
out of the consolidated fund of the state.
 CONSTITUTION OF FINANCE COMMISSION:- The
finance commission constituted under Article 234-1 of the
constitution shall examine the financial position of
municipalities also. Thus finance commission shall be set up by
the governor within a year of coming into force of 73 rd
constitutional amendment. After this , such a finance
commission shall be constituted after every five years.
 COMMITTEE FOR DISTRICT PLANNING:-
74th constitutional amendment provides for district planning
committee at district level in each state. State legislature can by
law make provisions for:-
 The composition of district planning committee.
 The method through which seats in the committee shall be

filled.
 The functions relating to district planning which are to be
delegated to the planning committee.
 The method of election of the chairperson of district planning
committee etc.
 COMMITTEE FOR METROPOLITAN PLANNING:-
According to 74th constitution amendment act , there shall be a
committee for metropolitan planning for each metropolitan
area. This committee shall prepare plan for the whole
metropolitan area. By metropolitan area is meant an area
having population of 20 lakhs or more and such an area has
been declared metropolitan area by a public order issued by the
state government
 EXCEPTIONS FOR CERTAIN AREAS:- Provisions
made under 74th constitutional amendment shall not be
applicable to those areas described in article 244 of the
constitution as scheduled areas and tribal areas . Similarly
these provisions would not affect the powers and functions of
other areas.
 While the 74th Amendment has become a lodestar for
civic activism in many cities, it has certain inherent
limitations. Many of its key provisions are not
mandatory for the State government. The functions
listed under the 12th Schedule — which a State
government is expected to devolve to the local
government — do not include essential civic issues such
as urban transportation, housing or urban commons.
The 74th Amendment also contains an industrial
township exception whereby a municipality need not be
constituted in areas which are declared as industrial
townships. These provisions have been employed by
State governments to keep local governments weak.

 Civic activism has often been focussed on the
creation of two bodies mandated by the 74th
Amendment — ward committees and metropolitan
planning committees. However, an over-reliance on
such semi-representative bodies does not augur
well for creating a genuinely democratic city
government. In fact, civil society’s fixation with
nominating its members into ward committees can
further depoliticise local governments and make
them captive to the interests of certain elite
resident welfare associations. Instead of
distrusting them, we must acknowledge that local
governments are inherently political spaces where
multiple interests compete.

 As cities struggle to meet the basic needs of their
inhabitants, we must re-examine the existing modes of
organising power in urban India. Unlike the 73rd
Amendment which provides for three levels of
panchayats (village, taluk, and district levels), power in
urban areas is concentrated in a single municipal body
(whether it is a municipal corporation, municipal council
or town panchayat). However, as Indian cities have
grown exponentially over the last 25 years, with some
crossing the 10 million population mark, we must
rethink the present model of urban governance that
vests power in a singular municipality. While urban
governance reforms can take multiple shapes, they
must be foregrounded in the political empowerment of
local government that furthers local democratic
accountability.

Twenty-five years ago, the Constitution underwent what is arguably its most
significant transformation with the passage of the 73rd (mandating the creation
of panchayats) and the 74th (creation of municipalities) Constitutional
Amendments. While the 73rd Amendment came into force on April 24, 1993,
the 74th Amendment came into effect on June 1, 1993. As the Central
Government’s Smart Cities mission completes three years this month, it’s the
right time to examine India’s tryst with municipal governance.
Much has been written about the failure of States to implement the provisions of
the 74th Amendment. However, it is important to examine concerns in the
underlying constitutional design of urban local governments and the politics
impeding this Amendment’s operation. The “implementation failure” narrative
tends to focus on how local governments are financially constrained and do not
have the administrative capacity to carry out its functions. It is also important to
explore how urban local governments are actively disempowered and
depoliticised as an institution.
Much has been written about the failure of States to implement the provisions of the
74th Amendment. However, it is important to examine concerns in the underlying
constitutional design of urban local governments and the politics impeding this
Amendment’s operation. The “implementation failure” narrative tends to focus on how
local governments are financially constrained and do not have the administrative
capacity to carry out its functions. It is also important to explore how urban local
governments are actively disempowered and depoliticised as an institution.

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HISTORICAL BACKGROUND

Historically speaking, the congress government headed

 The method through which seats in the committee shall be

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