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Wednesday, Nov 28, 2007
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Make local bodies citizen-centric: ARC

Vinay Kumar

Report presented to Manmohan; recommends effective devolution of functions and powers

— Photo: PTI

FOR DEVOLUTION OF POWERS: Prime Minister Manmohan Singh has a look at the Administrative Reforms Commission’s report that was presented to him by the commission’s Chairman M. Veerappa Moily (second from left) in New Delhi on Tuesday.

NEW DELHI: The second Administrative Reforms Commission (ARC) has made a number of recommendations in its report on local governance, favouring democratic decentralisation and making local bodies “citizen-centric.”

The commission has recommended promotion of local democracy, which is much more than decentralisation and which seeks to build up local bodies as self-governing institutions.

In its sixth report which dealt with local governance, the ARC, headed by senior Congress leader and former Karnataka Chief Minister, Veerappa Moily, favoured clear delineation of functions of various spheres of government and recommended effective devolution of functions and powers. The report was presented to Prime Minister Manmohan Singh on Tuesday.

Focus on core principles

Giving highlights of the recommendations at a press conference, Mr. Moily said the focus was on core principles for democratic decentralisation and make citizens and stake holders play a key role in decision making.

The ARC’s earlier recommendations on ethics in government, public order and other issues were being examined by the Centre and separate administrative and legislative steps would be taken for their speedy implementation. The Commission would organise a national seminar, to be presided over by the Prime Minister, in January for critically examining the crucial subject of ``civil services reforms.”

In the sixth report, the ARC recommended that the government place before Parliament a framework law for local bodies on the lines of the South African Act for laying down the broad principles of devolution of power, responsibilities and functions to the local bodies.

“At the district level, a third tier of democratic government is proposed to replace the present system, which is a colonial legacy. In its place a district council, representing both urban and rural areas, should be constituted and the District Collector should work as the chief secretary of the council while reporting to the State government for regulatory functions. This will ensure convergence of planning and developmental activities for rural and urban areas,” Mr. Moily said.

Yet another recommendation pertained to Parliament making provision for constitution of a legislative council in each State. It would comprise members elected by the local bodies in order to strengthen the voice of local bodies.

Mr. Moily said that to reform the electoral process, the task of delimitation and reservation of constituencies should be entrusted to the State Election Commission.

To strengthen local bodies’ finances, the Commission recommended that a State Finance Commission be constituted in such a manner that it can take into account the recommendations of Central Finance Commission.

The Commission recommended that local bodies take total responsibility for the functions entrusted to them under the Constitution and bodies such as electricity boards and water authorities made responsible to them. For ensuring accountability and transparency in the functioning of local bodies, it was suggested that a local body ombudsman be constituted to look into complaints of corruption and maladministration.

To suggest steps to deal with rapid urbanisation, the commission recommended the setting up of a national commission of urbanisation. It also favoured direct election of Mayors by popular mandate.

“Abolish octroi”

The Commission recommended abolition of octroi and suggested that the government evolve mechanisms to compensate local governments for revenue loss.

To tackle the problem of urban transport, particularly in larger cities, it suggested that a unified metropolitan transport authority be set up in all one-million plus population cities for coordinated planning.

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