URBAN LOCAL SELF GOVERNMENT
PREPARED BY A. ALLEN JOSEPH

1. INTRODUCTION
2. CONSTITUTION OF MUNICIPALITIES
3. COMPOSITION OF MUNICIPALITIES
4. FUNCTIONS OF MUNICIPALITIES
5. FINANCES OF MUNICIPALITIES
6. POWERS AND FUNCTIONS OF MUNICIPAL AUTHORITIES
7. GOVERNMENT CONTROL OVER MUNICIPALITIES
Presentation outline

URBANIZATION TRENDS
A.P. : FIFTH LARGEST STATE IN INDIA BOTH IN AREA AND POPULATION
6TH MAJOR URBANIZED STATE
TOTAL POPULATION OF AP AS PER 2011 CENSUS : 84.66 MILLIONS
URBAN POPULATION OF AP AS PER 2011 CENSUS : 29.75 MILLIONS
PERCENTAGE OF URBAN POPULATION TO TOTAL
POPULATION IN AP : 27.08
PERCENTAGE OF URBAN POPULATION TO TOTAL
POPULATION IN THE COUNTRY : 29.78
INCREASE IN URBAN POPULATION IN
AP FROM 1961-2001 : 62.00 LAKHS TO 205 LAKHS
PERCENTAGE OF GROWTH RATE FROM 1961-2001 : 230

Urbanization trends in India, as shown in Table 1, indicate the growth of its urban population and
the number of urban centres.
Table 1
Growth of urban population in India, 1901-2001
Census No. of towns Total urban
population
(million)
Level of
urbanization
(per cent)
Decadal growth of
urban population
(%)
1901 1811 25.6 11.0 -
1911 1754 25.6 10.4 0.0
1921 1894 27.7 11.3 802
1931 2017 33.0 12.2 19.1
1941 2190 43.6 14.1 32.1
1951 2795 61.6 17.6 41.3
1961 2270 77.6 18.3 26.0
1971 2476 107.0 20.2 37.9
1981 3245 156.2 23.7 46.0
1991 3609 212.9 26.1 36.3
2001 5161 286.1 27.8 34.4
Source Census of India

Table 2
Level of urbanization in five major urbanized states in India
(per cent of total population)
State 1951 1961 1971 1981 1991 2001
Tamil Nadu 24.4 26.7 30.3 33.0 34.2 43.86
Maharashtra 28.8 28.2 31.2 35.0 38.7 42.40
Gujarat 27.2 25.8 28.1 31.1 41.0 37.35
Karnataka 22.9 22.3 24.3 28.9 30.9 33.98
Punjab 21.7 23.1 23.7 27.7 29.7 33.95
Source: Census of India.

Evolution of Local-self Government in India
1. Municipal Bodies have a long history in India
2. First Municipal Corporation was constituted for Madras city in
the year 1688
3. Later on, Municipal Corporations of Bombay and Calcutta were
constituted in the year 1726

Constitution of Municipalities
i. The Constitution of India (through 74th
Amendment) provides for three types of
municipalities with constitutional status
a. A Nagar Panchayat for a transitional
area, that is to say, an area in transition
from rural to urban
b. A Municipal Council for a smaller urban
area
c. A Municipal Corporation for a larger
urban area

Main Criteria for constitution of Urban Local
Bodies
Population
Nagar Panchayat : 20,000 to 40,000
Municipality : Above 40,000
upto 3.00 lakhs
Municipal Corp. : 3.00 lakhs and
above

Gradation of Municipalities
Third Grade Municipality Annual income of more than one crore
or less than two crores of rupees
Second Grade Municipality Annual income of more than two crores
and less than four crores of rupees
First Grade Municipality Annual income of more than four
crores and less than six crores of
rupees
Special Grade Municipality Annual income of more than six crores
and less than eight crores of rupees
Selection Grade Municipality Annual income of more than eight
crores of rupees and above

Urban local-self Government in A.P.
First Municipality was constituted in A.P. for
Bhimunipatnam in the year 1851
Municipal Corporations : 16
Municipalities : 102
Nagar Panchayats : 6
Total : 124

Composition of ULBs
Criteria for fixation of strength : Population
Strength of ULBs
Nagar Panchayats /
Municipalities : 21 to 45 members
Municipal Corporations : 50 to 150 members
MPs, MLAs, MLCs are Ex-officio members

Municipal Authorities
A Council
A Chairperson
A Commissioner
A Ward Committee

Municipal Authorities
A Council
A Chairperson
A Commissioner
A Ward Committee

Division of Nagarpanchayats & Municipalities
into wards
• Municipality / Nagar panchayat divided into as many
single member wards as the number of elected members.
• Electoral Rolls: The electoral Roll for Assembly
Constituency shall be adopted as Electoral Roll for the
Municipality.

Election of Ward Members
i. Voters in each ward elect a member
ii. There is a provision of reservation
a. SCs and STs: As per the proportion of the population
of SCs and STs to the total population
b. BCs: One-third of the total members.
c. Women: one half of the total members including one
half of the reserved for SCs, STs and BCs
iii. Reservation is by rotation

Election of Chairperson
i. All ward members elect one of its elected members as
Chairperson.
ii. Ex-officio members also participate.
iii. There is provision for reservation.
a. SCs and STs: As per the proportion of the
population of SCs and STs in all municipalities to the
total population in all municipalities
b. BCs: One-third of the total number of Chairpersons
in the State.
c. Women: One half of the total number of
Chairpersons including one half of the reserved for
SCs, STs and BCs
iv. Rotation in reservation.

Conduct of Elections
• State Election Commission supervises the conduct of
municipal elections.
• Commissioner & Director of Municipal Administration is
the Election Authority (appointed by SEC).
• District Collector is the District Election Authority
(appointed by SEC).

Term of the Council
• Chairperson and Elected Councilors : Five years from
the date of first meeting of the Council.

Elections on party basis
• The election to the office of Chairperson and ward
members shall be conducted on party basis

Meetings of Municipal Council
• Council shall meet at least once in every month
• Agenda for the meeting shall be prepared by the
Commissioner in consultation with Chairperson.
• Minutes of the proceedings at each meeting shall be
entered in minutes book and signed by the Chairperson.

Functions of Municipalities
1. Cleaning of streets, drains, removal of rubbish,
scavenging and solid waste management
2. Supply of protected water
3. Construction and maintenance of roads, bridges, cause
ways and culverts
4. Construction and maintenance of storm water and swage
water drains
5. Lighting of public streets (Street lighting)
6. Town planning – Zones and Building Regulations
7. Construction and maintenance of buildings
8. Public Health, control of malaria and other epidemic
diseases.
9. Prevention of Food Adulteration

Contd..
10. Maintenance of hospitals, maternity and child welfare
centers, dispensaries
11. Maintenance of Elementary & Secondary Schools
12. Registration of births and deaths
13. Provision of slaughter houses and markets
14. Maintenance of parks and play grounds
15. Slum improvement and Urban poverty alleviation
16. Implementation of urban development schemes
17. Maintenance of burial grounds
18. Urban forestry

Finances of Municipalities
Main sources of Income :
Taxes :
i. Property Tax
ii. Advertisement Tax
iii. Government have taken over levy and collection of
Profession Tax from 1987-88 and paying
compensation to the ULBs

Non-Taxes
i. Water Charges
ii. Fee from Markets and Slaughter Houses
iii. Rents from Commercial Complexes
iv. Building License Fee
v. Trade License Fee
vi. Betterment and development charges
vii. Encroachment Fee
viii. Contributions towards water supply connections

Assigned Revenues
i. Entertainment Tax : 90% of Entertainment Tax
collected by Commercial Tax Department is assigned
to ULBs on quarterly basis.
ii. Surcharge on stamp duty : Surcharge on Stamp
Duty is levied @ 2% of the value of the instrument by
Registration Department and 100% of the Surcharge
on Stamp Duty is allocated to ULBs on quarterly basis

Non-Plan Grants
i. Grants under 13th Finance Commission
ii. SFC Grants

Plan Grants
i. Jawaharlal Nehru National Urban Renewal Mission
ii. (UI&G, BSUP, UIDSSMT, IHSDP, )
iii. APMDP – World Bank Project
iv. Swarna Jayanthi Shahari Rozagar Yojana
v. Indira Kranthi Padham (Urban)
vi. Rajiv Nagar Baata
vii. Environmental Improvement in Urban Slums
viii. Municipal internal roads
ix. Assistance for Pavalavaddi Scheme
x. Assistance to New Municipalities for developmental works
xi. Indiramma Programme for Water Supply, ILCS
xii. Indiramma Programme for Infrastructure
xiii. Provision of basic facilities in Municipal Schools
xiv. Fencing of parks and playgrounds in ULBs
xv. Grants under Backward regions grant fund

Heads of Departments
1. Commissioner & Director of Municipal Administration
2. Engineer-in-Chief (Public Health)
3. Director of Town & Country Planning
4. APUFIDC
5. MEPMA

Payment of salaries through Treasuries
i. Salaries and pensions of Municipal employees
including municipal teachers are paid through
Treasuries from 1-4-2013.
ii. Statutory and non-statutory grants are forgone by the
municipalities.

Powers and functions of Municipal
Authorities

Council Powers
i. Administration vests in the Council
ii. All public streets vests in the Council
iii. All vacant lands of Government shall vest in the
Council
iv. Sanction of works both original and maintenance
v. Sanction for purchase of all categories of materials
vi. Approval for acceptance of Tenders excluding tenders
to be settled by the Contract Committee
Approval of lay-outs
viii. Permission for construction of factories / workshops
ix. Lease of lands, shop rooms, buildings.
x. Fixation of fees for use of markets, for all licenses and
permissions granted under the Act

Role of District Collector in Municipal
Administration
• Competent to suspend a resolution, order, license,
permission or act of Municipal authorities.
• Competent to call for any document from Municipal
Commissioner.
• Powers of inspection of any work or immovable property.
• In cases of emergency direct the execution of any work
necessary for the safety of the public.

Municipal Authorities
1. Corporation
2. Standing Committee
3. Commissioner

Powers of Commissioner to sanction estimates
for works
1. Andhra Pradesh - upto Rs. 20.00 lakhs
2. Karnataka - upto Rs. 30.00 lakhs
3. Tamilnadu - upto Rs. 10.00 lakhs
4. Kerala - No provision in the Act
5. Maharastra - upto Rs. 10.00 lakhs

Major problems faced by ULBs
i. Poor Governance
ii. Lack of sufficient financial resources
iii. Poor performance in solid waste management
iv. Inadequate drinking water supply
v. Environmental degradation
vi. Urban poverty

REFERENCE
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