Session Title:

Urban Local Bodies (

Municipalities and Municipal Corporations

) — A Historical perspective

Session Overview:

 In this session we will discuss:  the origin government, and evolution of urban local self  the system of the same in ancient and present India.

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 The

Learning Objectives:

overview of this will enable the participants  to understand the role and importance of urban local self government in urban society.

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Origin of urban local self government

• Development in all its possible dimensions – social, economic and political – is the cry of the day, not only in the developed countries, • but especially in the developing countries of Asia, Africa and Latin America as well, which have earned independence after the Second World War.

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• These “New States” aspire for modernity and feel the pressing necessity of rapid national development.

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• The tendency in the countries today is towards  organizing local governments to give them sound footing, and  to make them play a substantial role in the process of economic and political transformation.

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• • • The industrial revolution, new scientific and technological advancements, need for social and economic changes -- are some of the causes which have generally widened the scope of the activities of the state, vis à vis, local governments.

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• The municipal government in the urban areas may be conceived as -- an elected political institution for local popular choice for local civic services.

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• It has been universally regarded as people’s government at the grass roots level in the shape of local government for the urban areas.

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• A municipality, being closest to the local community, is favourably suited to • respond to diverse local needs in the most economical manner.

• It enhances people’s participation and political awareness

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• The word ‘municipality’ denotes  a town, city or district that has its local government, and • ‘corporation’ refers to  a group of people elected to govern a large town or city and provide public services.

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• The name city or town is given to certain communities  by virtue of some legal or conventional distinction and  it refers to an urban area incorporated by special or general act of state legislature.

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• Its charter of incorporation prescribes the extent of municipal powers and the frame of local government subject to constitutional limitation and amendment.

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• A municipal town is generally acclaimed to have these characteristics: • ¾ of the adult male population chiefly employed in pursuits other than agriculture; • • not less than 3000 residents; an average number of not less than 1000 inhabitants to the square miles; and • it serves as the primary school for training in the management of the government.

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The origin of urban development dates back  to the ancient age.

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• The earliest of man’s settlements grew in the rich subtropical valleys of the Nile, the Tigris, the Euphrates, the Indus and the Yellow rivers or in such well-watered islands of Crete.

• Such areas provided favourable environmental factors making town living relatively easy.

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• Historians believe  that man started relatively fixed settlement about 10,000 years ago in the Neolithic age.

 evolution of the Neolithic village into a city took more than 1,500 years in the Old World from 5,000 to 3,500 B.C.

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• Domestication of animals and technological developments in agriculture tuned development in transportation facilitated with man’s settlement in urban places.

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• This is evident from  the city based settlements valley around 3,500 B.C, in Tigris-Euphrates  Sumerian Coast at Ur and in the Indus Valley at Mohenjo-daro and in the valleys of Nile.

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• Cities proliferated along overland trade-roots from Turkestan to the Caspian and then to the Persian Gulf and eastern Mediterranean.

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• The heterogeneous peoples Greco-Roman world inherited of the  a technological and non-material culture from Asia that helped nourish the growth of cities.

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• In the Greek city-state or ancient city system of ‘polis’ the administration reached its peak.

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 In the medieval age (12th and 13th centuries) new towns were set up, and  the age witnessed a singular upsurge toward civic autonomy.

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 Towns in western Europe had various kinds of municipal institutions loosely grouped together under the designation ‘commune’.

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 The renaissance and industrialisation was a watershed in the modern urban world which witnessed a rapid growth in urban development.

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 More number of cities and townships came into being  advent of rapid modes of transit,  communications, new building materials,  the automobile and rising level of per capita personal income.

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Types of Municipal system

 The municipal system of government today may be classified in four principal types:  the decentralised system found in federal constitutions;

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 the decentralized system found in unitary constitutions;  the supervisory “Napoleonic’ administration; and system or found under French-type  the integrated system found in eastern Europe.

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Modern day urban planning

 With the growth of more urban areas in the present day the need for proper civic administration importance.

is of paramount

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 A modern day city or town has to look after the following needs shown in next slide: the

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 orderly arrangement of parts of the city  residential, business and industrial  so that each part could perform functions with minimum cost and conflict; its

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 an efficient within the city and to the outside world, using to the maximum advantage transportation; system of all of circulation modes of

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 the development of each part of the city to optimum standards, in terms of plot size, sunlight, and green space in residential areas and parking and building spacing in business areas;

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 provision comfortable of safe housing , in sanitary a variety and of dwelling types to meet the needs of all families;

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 provision of recreation, schools and other community services of adequate size, location and quality;  provision of adequate and economical water supply, sewerage, utilities and public services.

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Urban self government in Ancient India

 The idea of local self government was present even during the grand old days of Vedic India.

 The cult of “Sabha” (Popular Assembly) and mention of city administration in the ancient epics show evidence of existence constitutional government at local level.

of

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 Kautilya’s “Arthasastra” of 300 B.C. talks of city administration by state appointed “Nagaraka” (City Superintendent) performing various civic functions  The accounts (wards).

of Megasthenes, narrate performance of various civic administration and formation of local bodies like “Kudumbus”

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Urban self government in British India

 the present system of municipal government was by and large introduced in this country by the British Government.

 Madras was the first city to be established as a municipal corporation in 1688.

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 Municipal Corporations were created for Calcutta and Bombay by a Royal Charter granted in 1727.

 More Municipalities and Corporations were set up in different areas progressively.

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 Socio-political obligations chiefly led to the creation of those urban local governments  to bring down pressure on the royal treasury,  to look after the health and well-being of the British soldiers and  to facilitate collection of taxes and revenues from the local inhabitants.

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 The Bengal Act X of 1842  the first municipal legislation Presidency town of Calcutta.

outside the  replaced by the Act XXVI of 1850 as an all-India measure.

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 Lord Rippon’s famous Act of 1884  universally acknowledged as the harbinger of local democracy in urban India.

 brought about fundamental changes in the municipal structure, functions and responsibilities, and  under this Act, all members of the Board were to be elected.

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 Later, this Act was substituted by the Bengal Municipal Act 1932  which continued to be the basic guiding municipal legislation in the pre -independence era.

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Urban self government in Post Independence India

 After independence and inauguration of the Constitution with the  the position institutions has of local assumed self an government increasing importance in the political and administrative set-up of the country.

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Urban self government in Post Independence India

 A Central Council of Local Self Government was established under Article 263 of the Constitution by a Presidential order in September, 1954.

 This provided a forum for discussion of policy and programmes on local self government.

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Constitutionalising the ULBs

 A wave of decentralization of service delivery to local governments gathered momentum in the 1990s, including countries like Albania, Bolivia, Bosnia, Brazil, Ethiopia, Malawi, Madagascar, Philippines, South Africa, Uzbekistan Uganda and Zambia.

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Constitutionalising the ULBs

 India also implemented a countrywide experiment with decentralisation to urban local governments with the passage of 74th Constitutional Amendment in 1992.

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 The 74th Amendment Act, 1992 inserted Articles 243 P to 243 ZG, for uniform compliance throughout the country.

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 the major features of Articles 243 P to 243 ZG are:  a) Granting ULBs constitutional status;  b) Ensuring free, fair and regular elections;  c) Keeping terms fixed;  d) Identifying a list of 18 subjects to come under the jurisdiction of the ULBs as enumerated in the Twelfth Schedule;

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 e) Setting up of a State Finance Commission once in five years to review ULB financial position and make suitable recommendations for fund distribution to ULBs;  f) Independent State Election Commission to supervise preparation of electoral rolls and control electoral process;

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 g) Proportionate reservation of seats and offices of Chairpersons at all levels for SC and ST, with one third reserved for SC/ST women;  h) One third of total seats and chairperson offices reserved for women;  i) The centrality of Ward Committees to decentralise governance.

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 Article 243W enjoins  the Legislature of a State may, by law, endow the Municipalities with such powers and authority as may be necessary to enable them to function as institutions of self-government.

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 Such law may contain provisions for the devolution of powers and responsibilities upon Municipalities with respect to:  the preparation of plans development and social justice; for economic  the performance implementation of of functions schemes as and may the be entrusted to them including those in relation to the matters listed in the 12 th Schedule.

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 Thus, the 74th Amendment consolidated Constitutional  social gains conceived in establishing the ULBs throughout the country and  imposed a political uniformity on the structure and working of the third tier.

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Urban Local Bodies in West Bengal

This part is to be adopted as per Sate specific scenario  Modernisation in the system of Urban Local Bodies in West Bengal seventies.

started in the late

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Urban Local Bodies in West Bengal

This part is to be adopted as per Sate specific scenario  The State Government constituted an Urban Development Strategy Committee which recommended,

inter alia:

 bringing uniformity in the development programmes of the municipalities and corporations,  optimum utilisation of local resources,

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 giving precedence to the development of the poorest section of the society,  decentralisation of development schemes entrusting the local bodies to draw the schemes for civic services and execution thereof.

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 Besides, followed the by five-point the State included

inter alia

: programme Government  holding civic elections of all the urban local bodies at fixed regular intervals,  establishing development in the urban infrastructure, efficiency, modernisation and transparency,

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 There are 117 municipalities, 6 municipal corporations and 3 notified area authorities in West Bengal.

 Municipal Corporations are located in:  Kolkata  Howrah,  Silliguri,  Assansol,  Chandernagore,  Durgapur

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Budget provision and expenditure of Urban Local Bodies in West Bengal

(Rs. in Crores)

1400 12 32 .6

1200 99 6.8

5 1000 91 1.8

7 800 600 59 0.2

6 49 9.4

54 7.6

2 400 200 12 1.1

5 12 5.5

5 15 1.7

3 1.7

5 1.7

8 0 2002-03 Budget Estimate Actual Non-Plan Exp.

2003-04 Actual Plan Exp.

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The percentage of over all expenditure is illustrated in the following graphs: (Rs. in crores)

Year 2002-03 2003-04 2004-05 Budget Estimate 1232.6

911.86

996.85

Actual Expenditure 622.3

674.95

743.60

Savings(+)/ Excess(-) (+) 610.30

(+) 236.91

(+) 253.25

Percentage of Over all Expenditure 50.48

74.01

74.59

610.3, 50% 622.3, 50% 236.91

, 26% 253.25, 25% Actual Exp.

Savings 2002-2003 Actual Exp.

Savings 674.95

, 74% 2003-2004 Actual Exp.

Savings Next Training Module on 'Audit of ULBs' Session 1 743.6, 75% 2004-2005 61

Analysis of Financial performance

 Subject to availability of data, a performance study on the working of ULBs may be made through an interesting analysis of allotment, vis à-vis, actual expenditure under different heads, as shown below by way of illustration, say for the year 2004-05:

Heads Salaries Sewerage Sanitation Water supply Health care Solid Waste Management Allotment (Rs in crore.) 500 50 50 200 100 300 Actual Expenditure (Rs. in crore) 525 35 30 150 70 150 Savings (+)/ Excess (-) (-) 25 (+) 15 (+) 20 (+) 50 (+) 30 (+) 150 % age of Savings/Exce ss (-) 5 (+) 30 (+) 40 (+) 25 (+) 30 (+) 50 Training Module on 'Audit of ULBs' Session 1 62