Governance
- Digital Public Administration, Participatory Governance & E-services
It is required and essential now to make the digital governance a reality. A single app for the city of Mumbai should be developed with a JAM trinity i.e. Bank Account, Aadhar Cark and a Mobile number linked. All the services should be provided and visiting the government offices should be discouraged. Survey and Feedbacks should be regularly updated to not only encourage participatory governance but also resolving real-time genuine issues for the general public. Video Calls should be allowed where ever physical participation Is required.
- Mayoral Elections & One In-charge
Presidential style mayoral elections should be help fixing the accountability and restricting the chaos around making decisions under one umbrella. Currently we have the City Mayor, Municipal Council, Municipal Corporation of Greater Mumbai (MCGM) Chairman, Mumbai Metropolitan Region Development Authority (MMRDA), Maharashtra State Road Development Corporation (MSRDC), Slum Rehabilitation Authority (SRA) and Mumbai Port Trust (MbPT). This is not including the Railway and Civil Aviation land parcels, Maharashtra Pollution Control Board (MPCB), the Maharashtra Coastal Zone Management Authority (MCZMA) and Mumbai Heritage Conservation Committee (MHCC). These departments and committees are not just state governed but also governed by the Central Government.
Mayors should be elected giving him total powers to head all these departments as their Chairman. Departments and Committees headed by the state and central government should have 50% appointees by them and the 50% appointee should be done by the Mayor. Issues with regards to the defense should totally be under India’s Ministry of Defense.
To compare India with other developed countries in terms of local governance and financial distribution, and suggest reforms for India, we can look at several aspects:
How other countries do it
Germany: Germany employs a federal system where local governments (municipalities) have significant autonomy in decision-making and revenue collection. This allows for tailored development according to local needs.
United States: States and local governments in the U.S. have considerable control over local policy, funding, and infrastructure, although federal funds are also distributed based on specific criteria.
Canada: Provinces receive substantial transfers from the federal government via equalization payments, which aim to reduce fiscal disparities among provinces, allowing local entities to have more say in spending.
Sweden: Known for its local government system where municipalities control significant portions of public spending, particularly in education and social services.
Switzerland: Famous for its direct democracy where citizens can influence policy directly, which can be seen in local referendums that affect local development and financial decisions.
Current Situation in India:
Constitutional Framework: The 73rd and 74th Amendments to the Indian Constitution were pivotal in decentralizing power to Panchayats (rural local bodies) and Municipalities (urban local bodies). However, the actual devolution of power and finance remains uneven.
Financial Distribution: The Finance Commission of India periodically recommends the share of central taxes to states, but local bodies often depend heavily on state governments for funds.
Suggested Reforms:
Enhancing Local Autonomy: Constitutional Provision: Amend Article 243 and 243-ZZ to mandate greater local autonomy, ensuring that local bodies have the legal right to make significant decisions without excessive state or central interference.
Financial Reforms: Direct Funding: Increase the direct allocation from the central pool to local bodies through mechanisms like the existing Finance Commission but with a more substantial share or through a separate “Urban Development Fund”.
Tax Powers: Strengthen or grant new tax powers to local governments, similar to property taxes in developed countries, which can be retained locally to fund development projects.
Participatory Budgeting: Legislative Support: Implement laws that encourage or mandate participatory budgeting where citizens have a say in how a portion of the local budget is spent, fostering community-driven development.
Capacity Building: Training and Resources: Establish institutions or programs for capacity building of local government officials to manage finances, plan development, and engage with the community effectively.
Transparency and Accountability: Legislation for Transparency: Enforce laws that require local bodies to publish detailed accounts of financial inflows and outflows, project implementations, and outcomes, similar to the Right to Information Act but more localized.
Intergovernmental Coordination: Regular Consultative Meetings: Foster a system where central, state, and local governments regularly meet to discuss development issues, ensuring that local voices are heard in national planning.
Reforms required to achieve these goals:
1. Amendments to the 74th Constitutional Amendment Act
The 74th Amendment established a framework for urban governance but requires enhancements to strengthen ULBs further:
Devolution of Powers: Amendments should explicitly mandate states to devolve not just powers but also financial resources to ULBs. Currently, while the amendment encourages financial assignments, it does not enforce them strictly, leading to inconsistencies across states 12.
Enhanced Financial Autonomy: Introduce provisions that allow ULBs to generate their own revenue through local taxes and levies without excessive state intervention. This could include a clearer definition of tax powers assigned to ULBs 24.
Metropolitan Planning Committees (MPCs): Strengthen the role of MPCs by ensuring they have binding authority over urban planning decisions in metropolitan areas. This would facilitate integrated planning across jurisdictions and enhance resource allocation 13.
2. Inclusion of Urban Development in the Concurrent List
Currently, urban planning and governance are primarily state subjects. By moving urban development issues into the Concurrent List, the central government could play a more proactive role in ensuring uniformity and adherence to best practices across states. This would facilitate the implementation of national policies on urbanization 34.
3. Legislative Framework for Public Participation
Establishing laws that mandate public participation in urban planning processes is crucial:
Public Consultation Requirements: Amend existing laws to require mandatory public consultations before any major urban development project is approved. This ensures that local voices are considered 34.
Participatory Budgeting: Implement legislation that encourages or mandates participatory budgeting processes at the municipal level, allowing citizens to have a direct say in how funds are allocated 3.
4. Strengthening Accountability Mechanisms
To ensure effective governance, amendments should focus on enhancing accountability structures:
Performance-Based Funding: Introduce criteria for performance-based funding from the central and state governments to ULBs, linking financial support to measurable outcomes in service delivery and urban management 34.
Transparency and Reporting: Mandate regular reporting by ULBs on financial management and project implementation, making this information publicly accessible to enhance transparency and accountability 12.
Amending these laws and constitutional provisions is essential for empowering urban local bodies in India. By ensuring greater financial autonomy, enhancing public participation, and establishing robust accountability mechanisms, cities can better manage their development needs and contribute effectively to national growth. These reforms would not only strengthen local governance but also align urban development with the aspirations of citizens across India. By implementing these reforms, India could move closer to the governance models of developed nations where cities and towns not only have a say in their development but also receive a fair share of financial resources to execute developmental projects. These changes would require a concerted effort in legislative and administrative reforms, as well as a cultural shift towards more decentralized governance.
How Reforms Should Look Like 