Home » Indian Polity » Functions and responsibilities of the Union and the States, issues and challenges pertaining to the federal structure, devolution of powers and finances up to local levels and challenges therein. » Devolution of Powers and Finances up to Local Levels and Challenges Therein. » 74th amendment act- Municipalities » Measures required in addressing these challenges

Measures required in addressing these challenges

Greater devolution of powers
Empowering metro-planning committees
De-politicization of ULB.
Conducting elections on time as per the constitutional provisions
Recommendations of 15th Finance commission need to be implemented, according to which the share of Urban local bodies in Finance commission grants to local bodies, should be gradually increased to 40% over the medium term
Performance based grants: National municipal accounts manual: The manual comprehensively provides details to all states/UTs in relation to account policies, procedures and guidelines to ensure correct, complete and timely recording of municipal transaction to produce accurate and relevant financial reports.
Use of technology to reduce corruption and bring in more transparency in the civic administration
Encouraging citizen participation will improve the civic administration by bringing more accountability
Strengthening municipal bonds
Compensating for loss induced by GST

Reforms are needed to enable urban local bodies to act as engine of inclusive growth, so as to broaden & deepen the resource base required to match the growing needs of infrastructure and civic necessities.