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Promoting Inter-Governmental Relations and Sharing of Good Practice Policies on Local Government

Promoting Inter-Governmental Relations and Sharing of Good Practice Policies on Local Government. Dr.Ashok Singhvi Joint Secretary Ministry of Urban Development Government of India. Structure of Presentation. Key Features of India’s Urbanization Process, 2011

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Promoting Inter-Governmental Relations and Sharing of Good Practice Policies on Local Government

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  1. Promoting Inter-Governmental Relations and Sharing of Good Practice Policies on Local Government Dr.AshokSinghvi Joint Secretary Ministry of Urban Development Government of India

  2. Structure of Presentation • Key Features of India’s Urbanization Process, 2011 • Governance Structure and Functions • Enabling Legislation • Principles of subsidiarity &Fiscal Federalism • Enabler’s for Urban Local Governance • JnNURM– a National Initiative for sound planning and service delivery • Challenges facing local governments

  3. Key Features of India’s Urbanization Process, 2011 • Increase of 91.1 million persons to urban population during 2001-2011 • The annual exponential growth rate of 2.76% registered during 2001-2011 • Rural to Urban conversion and Rural-Urban migration • Number of metropolitan cities (+1 million) 35 to 53 during 2001-2011.

  4. Number of UAs/Towns and OGs in India

  5. Governance Structure – 3 Tier Ministry Central Finance Commission State Governments State Finance Commission State Election Commission Municipal Corporations Municipality Municipal Council

  6. Enabling Legislation: 74th Constitutional Amendment Act(CAA) - 1992 • Enables constitution, election and functioning with powers as per Article 253W • Seventh Schedule – Article 246 – List –II State List provides for the powers of the States • Delegation of powers and functions to ULBs • MoUD mandate: Oversee provisions under the Constitution are adopted in the State Specific Laws

  7. Functions - ULBs:12th Schedule –Article 243W • Urban planning including town planning. • Regulation of land-use and construction of buildings. • Planning for economic and social development • Roads and bridges. • Water supply for domestic, industrial and commercial purposes. • Public health, sanitation conservancy and solid waste management. • Fire services. • Urban forestry, protection of the environment and promotion of ecological aspects • Safeguarding the interests of weaker sections of society, including the handicapped and mentally retarded.

  8. (Contd.) • Slum improvement and up-gradation. • Urban poverty alleviation. • Provision of urban amenities and facilities such as parks, gardens, playgrounds. • Promotion of cultural, aesthetic aspects. • Burials and burial grounds; cremations, cremation grounds; and electric crematoriums. • Cattle pounds; prevention of cruelty to animals. • Vital statistics including registration of births and deaths. • Public amenities including street lighting, parking lots, bus stops and public conveniences. • Regulation of slaughter houses and tanneries

  9. Finances of Local Bodies: Constitutional Provisions Article 243I: Central Finance Commission Article 266: Net of the share of taxes of the States Central Finance Commission: Consolidated Funds State Finance Commission • SFC recommends funds to be allocated • Voted by the State Legislature and passed on to Local Bodies Urban Local Bodies Article 282: aids Finance Commission to recommend direct devolution of funds to institutions of local self government for any “Public Purpose”

  10. State Finance Commission • Constitution requires SFCs to review the financial position of ULBs and recommend to the Governor on : • Distribution of net proceeds of taxes, duties, tolls and fees levied by the States to ULBs( Art.243Y) • Determination of taxes, fees, tolls and duties that may be assigned to or appropriated by ULBs • Grants to ULBs from the Consolidated funds of States • 28 States - SFCs from 2004

  11. Local Governance: State Election Commission • Art. 243K: empowers setting up of a State Election Commission • Art.24ZA, vests the power with the SEC to conduct elections to ULBs • Seventh Schedule – Article 246 – List –II State List provides for the powers of the States • CAA provides for delegation of powers and functions to Urban Local Bodies • Elections to ULBs in all the States were held on a non-partisan basis by SECs • Art.243G restrains interference of courts in electoral matters except by an election petition

  12. Key responsibilities of the Ministry • Oversee the provisions of the 74th CAA, 1992 and its implementation • Frames Guiding policy level initiatives to facilitate the functioning of Local Self Governments • Planning and Coordination of Urban Transportation systems • Town and Country Planning, Planning and Development of Metropolitan Areas • Water Supply, Drainage and Sewerage in urban areas (with an overall perspective on National Planning)

  13. Enabler’s for Local Governance • 30% of Urban Population contributes to ~70% of GDP of the country, To improve Urban governance, schemes to address urban infrastructure • Jawaharlal Nehru Urban Renewal Mission • Sub- Mission I: Urban Infrastructure & Governance (UIG) • Sub-Mission II: Basic Services for the Urban Poor (BSUP) • Urban Infrastructure Development Scheme for Small and Medium Towns (UIDSSMT) • Integrated Housing and Slum Development Programme (IHSDP) • National Capital Region Plan ( covering States of Uttar Pradesh, Haryana, Rajasthan and NCT of Delhi) • Development of Satellite Cities/Counter Magnet Cities • Pooled Finance Development Fund & Tax Free Municipal Bonds • National E-Governance Project in Municipalities (NeGP)

  14. Jawaharlal Nehru National Urban Renewal Mission:Two track strategy for the urban sector development Track-I Track-II Sub Mission for Urban Infrastructure and Governance Urban Infra. Dev. Scheme for Small & Medium Towns Integrated Housing & Slum Dev. Program Sub Mission for Basic Services for the Urban Poor Coverage- 65 cities Coverage- all other cities Cities/UAs with 4 million + population 07 Cities with 1 million + population 28 State Capitals and other Cities 30 • 7 years time frame, starting from 2005-06 and up to 2011-12 • Overall allocation (original) – Rs. 50,000 Crore • Increase in allocation in Feb ’09 – UIG: Rs. 6,000 Cr, UIDSSMT: Rs. 5,000 Cr, BSUP: Rs. 2682.13 cr., IHSDP: Rs. 2361.19 Cr. • MoUD is responsible for 2 schemes: Sub Mission for Urban Infrastructure and Governance, Urban Infrastructure Development Scheme for Small and Medium Towns * Starting Year 2005-06, running upto 2011-12 ** Rs. 16,084.66 Cr additional allocation in 2009-10

  15. Mission Objective and Coverage • Planned development • Integrated development of infrastructure • Linkages between asset creation & asset management • Ensuring adequate investment of funds • Scaling up delivery of services and emphasis on universal access • Renewal of inner city areas PORBANBAR THIRUPATI

  16. JNNURM - Overall Process Key deliverables • Monitoring implementation of projects and reforms is also a key constituent of the overall process of JNNURM.

  17. JNNURM Implementation Structure

  18. Funding Pattern • 4 installments; 25 % finance with CDP+MOA+ DPR approval; balance based on project & MoA milestones. 18

  19. Progress of projects implementation

  20. Reforms under the Mission Objectives Reform Framework

  21. Key achievements under JnNURM • Legislation has been enacted for establishment of urban local bodies in few of North Eastern States • Municipal elections have been held after a gap of 22 years in one state Jharkhand . Community Participation Law and Public Disclosure Law have been enacted for the first time • Rain Water Harvesting structures have been constructed in by individuals and in govt. buildings • Earmarking of funds for provision of basic services to urban poor • Land Titling in urban areas initiated in Rajasthan • Creation of a separate municipal cadre and municipal accounts service in Andhra Pradesh • Creation of a separate Urban Transport Fund in Cities of Surat and Ahmedabad • Setting up of Urban Metropolitan Transport Authority in Hyderabad, Jaipur, Chennai, Bangalore and Mumbai

  22. Challenges faced by Urban Local Governments • Pressure on service delivery • Resource constraints to meet the Infrastructure investments to augment facilities for scaling up municipal services • Dependence on fiscal transfers from the federal government • Capacity constraints in manpower, adoption of new technologies and urban management practices • Urgent need for Creation of a dedicated, separate Municipal Cadre in States to meet the shortage of qualified manpower • Capacity Building and Training of elected representatives and Municipal staff • All functions devolved on local bodies are obligatory, local governments face revenue crunch in meeting the aspirations of the population in urban areas.

  23. MoUD’s sustained efforts…

  24. Thank YouWebsite : urbanindia.nic.in

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