How does the inability of local bodies to generate their own funds affect their ability to function effectively? Suggest necessary measures to empower local governments in generating independent revenue streams.

Local bodies were initially benefited through state constitutional amendment. (CAT 243K, Act 243P of Rural & ULB) However, they struggle with fund generation & governance.

Inability to generate funds: reasons

Inability to effect function:

1. Overdependence on state → lack of autonomy

eg: Bhgal municipal body → 90% state funded

2. Affects civic work → lack of public funds

3. Cannot hire staff → lack of human power

eg: Indore municipal corporation → 23% staff funded

4. Mere implementing agency of state scheme

eg: Smart cities

5. Lack of assertion → Inability to deliver taxes

Necessary measures:

1. Power devolution:

a) Devolution of taxing powers about from basic taxing

eg: housing taxes, road taxes

b) Independent revenue bodies within named ULB/RLB

c) Devolution of civic lanes → build accountability

[Case study] → Udyam Hampur independent taxation fines & compulsory taxation measures. Publishing attack against non-tax payers led to developing & comprehensive Mukti tax & necessary.

2. Innovative approaches:

a) eg: Waste → health (Chiene)

b) Amenity to local → both internal and external

c) Forum for POE municipal corporation eg: BMC (Mumbai)

d) Accessibility to locals → both internal and external

e) Forum for FOE municipal corporation eg: BMC (Mumbai)

f) Reassemble parallel bodies like smart cities norm [Case study] → Helping Hamburg independent taxation fines, & compulsory taxation measures. Publishing attack against non-tax payers led to developing ker for efficient devolution of powers, developing & receiving ULB A should be answered justice.

— DEEKSHA PATKAR · AIR 88