RECOMMENDATIONS FOR
NATIONAL ACTION PLAN FOR GOOD URBAN
GOVERNANCE
1. THE CHALLENGE
1.1 Urbanization: A positive, historical force
India is launching her campaign for good urban governance at
one of the most radical turning points in the demographic
history of mankind. The entire developing world is witness to
an unprecedented shift of human settlements to the cities.
While India’s population remains substantially rural, she is
emerging as one of the fastest urbanizing countries in the
world, and has already a staggeringly large urban population,
around 285 million. It is estimated that by the middle of this
century or probably earlier, she would reach the same milestone
that the world reached at the beginning of this century - of
becoming more urban than rural. The economic base of the
nation through expanding industries, trade, commerce and
services has already shifted to the urban centres. Cities have
strongly emerged as the prime engines of the Indian economy
and generators of national wealth. It is evident, looking at the
past fifty years of India, and the empirical evidence around the
world, that the future of India is inescapably urban. As the
National Commission on Urbanization stated, urbanization is
the inevitable concomitant of economic change. It is time for us
to treat urbanization as a positive, historical force and care for
our urban centres. It is time that the nation perforce invests in
the destined social and economic functions of cities and ensures
that cities deliver a quality of life that would enable them to
become national assets and engines of economic growth.
Cities have strongly emerged as
the prime engines of the Indian
economy and generators of
national wealth…the future is
inescapably urban
1.2 India's urbanization
India’s overall demographic figures of rural-urban divide do
not reveal the fact that a sizeable part of the country has
reached levels of urbanization that are much higher than the
national average. Among the larger States, the States of Tamil
Nadu and Maharashtra are very close to the halfway mark and
the States of Gujarat and Karnataka are substantially urbanized.
The smaller States of Delhi and Mizoram and Goa are wholly
or predominantly urban, and so are some of the Union
Territories. Even Uttar Pradesh, West Bengal, Andhra Pradesh,
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With a total urban population of
285 million and 35 metropolitan
cities and metropolises, India's
urban issues with all their
related
challenges
and
opportunities demand their firm
place on the national agenda…
Madhya Pradesh, Rajasthan, Bihar and Punjab that are
predominantly rural States have very large urban populations.
The graph of metropolitan and mega cities has continued to
climb and 35 such cities now dot the Indian landscape. And
scores of cities with populations in excess of 100,000 are
jostling to join the million-plus city club. These unambiguous
facts that stare us in the face clearly demand that the country's
urban portfolio is large enough to merit serious concern. India's
urban issues with all their related challenges and opportunities
demand their firm place on the national agenda and the Nation
and urbanized States need to lead in strategizing for cities and
their needs.
1.3 Urbanization of poverty
Urbanization of poverty is one of
the key features of India's
urbanization…while
migrants
place enormous strain on urban
infrastructure, they must also be
recognized as vital contributors
to the city economy
It is no secret that India's rapid urbanization has
overwhelmingly been on account of an unprecedented
urbanization of poverty. There has been significant migration
of rural poverty to select urban locations in search of
employment and livelihood. While India has made a significant
dent in levels of poverty, urban poverty has proved more
stubborn in its decline. These migrants, however, have become
vital contributors to the city economy without whom many of
the support systems for city life would collapse. But the influx
has fuelled the growth of slums in cities dividing them into
formal and informal settlements. The non-recognition of this
fact has resulted in the unplanning of planned cities and has
contributed to enormous strains on urban infrastructure. In the
process, the poor seem to have exchanged rural unemployment
for demeaning urban survival. It is now estimated that about a
third of the urban population lives in informal settlements in
squalid conditions. Repeated warnings have already been
sounded that poverty no longer remains the preserve of the
villages. This trend is not peculiar to India, but a process
witnessed across the entire developing world. What is worrying
is that cities have not sufficiently taken notice of this
phenomenon and its impact on cities. It is evident that if cities
fail to deal constructively with poverty, poverty would
seriously undermine the sustainability of cities.
1.4 The challenges of urbanization
In the cited context, urban India faces daunting challenges.
Cities must cope with greater numbers, plan to provide them
services, find resources to meet needs of maintaining and
augmenting infrastructure, respond to the urbanization of
poverty, preserve their environment and retain their competitive
edge. Enmeshed in the web of rigid, inflexible working cultures
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and erosion of all round capacity, they must reengineer
themselves to face these enormously complex challenges.
1.5 The Inclusive City
That reengineering precisely is the goal of the Good Urban
Governance Campaign. It envisages improving the quality of
life in cities through improved local governance by reinventing
a city as an inclusive city. Such a city provides space and voice
to all its stakeholders through inclusive decision-making, since
such decision-making is at the heart of good governance. The
inclusive city allows full flow to women's thoughts and
initiatives, since women are one of the biggest levers of
positive change in the society. The strategy for achieving the
goal and vision is to advocate the norms and country-specific
issues of good urban governance and promote inclusive
decision-making processes.
The Global Campaign for Good
Urban Governance aims to
realise the "inclusive city",
which provides space and voice
to all its stakeholders…
2. ISSUES AND OPTIONS
2.1 Issues of good urban governance
Several key issues of good urban governance stand out in the
Indian context. These are decentralization, integration of the
poor and marginalized, environmental sustainability,
mobilisation of municipal finance, transparency and civic
engagement, better municipal management and capacity
building. In the context of urban local bodies, these issues do
not stand alone, but are inextricably linked to each other and
mutually reinforce the strengths that each brings to the process
of good urban governance. These linkages, however, are not
automatic, and the improper structuring or management of one
issue contains the potential to impact negatively on some
others.
2.2 Decentralization
Decentralization signifies the transfer of certain powers and
responsibilities and their devolution from one authority to
another. In the urban context, it connotes the establishment of a
local representative government endowed with administrative
and financial powers to deliver mandated services to its
citizens. For municipal administration, decentralization is the
very essence of good governance. It has the innate ability of
promoting democracy by taking decision-making close to the
scene of action. It allows direct, larger, continuous and more
meaningful participation by citizens in the development process
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Decentralization allows direct,
larger, continuous and more
meaningful participation by
citizens in the development
process and leads to true
ownership and commitment…
of their area. This heightens a sense of true ownership of the
citizens and their commitment to the civic cause.
Three clear tiers of decentralization are involved in traversing
the goal of the inclusive city. The first comprises the functional
and financial decentralization that should flow from the State to
the cities. The second is the decentralization within the Council
from the city centre to its wards. But inclusiveness demands a
third level of decentralization that goes beyond the four walls
of the Town hall to embrace community groups and civil
society stakeholders, the women and the marginalized to share
in
decision-making
and
implementation.
Indeed,
decentralization in the local context connotes citizen
participation in its fullness.
While the urban local bodies have found political protection
through the 74th Amendment to the Constitution, the other
aspects of decentralization have lagged behind. There is also
quite some diversity in ways in which States have gone about
the implementation of decentralization. It can broadly be said
that much ground remains to be covered before cities can
experience the freedom and the potential of true, decentralized
functioning.
2.3 Municipal Finance
Cities need to improve their
finances through adoption of
prudent financial practices
innovative ways of generating
resources…
While cities have larger populations and expanding boundaries
to shoulder, their financial base remains as fragile as ever. The
abolition of octroi and imposition of the Rent Control Act have
not helped matters. Cities themselves have not been very
prudent in their spending practices, and wasteful expenditures
and financial irregularities in urban local bodies are not hard to
find. Cities have been shy to tax and their capacities at
innovation generally appear to be low. It is quite evident that
cities need to put their house in order through prudent financial
practices and come up with innovative ways of generating
resources.
Government of India has taken certain welcome steps to help
urban infrastructure. Tax exemption for municipal bonds and
guidelines for their issuance, fiscal incentives for private sector
participation in urban infrastructure, permitting FDI inflows
into city hardware have heralded the possibilities of great
change. Some States and cities have shown the initiative in
introducing taxation and accounting reforms, setting up State
level Urban Development Funds, issuing municipal bonds and
attempting private sector participation in civic services. And
yet, a lot is left undone on the path to urban restructuring. The
pouring of institutional finance further into urban infrastructure,
4
for instance, is an area that deserves further attention. There is
also, at the same time, a case for allowing cities greater
borrowing flexibility.
2.4 Urban Environment
Urban environment has been under particular threat as
populations in cities have multiplied and commerce and
industry have fuelled the generation of waste and nonecological use of resources. The availability of water and its
quality is under severe strain, and discharge of industrial and
household effluents in water bodies has emerged as a major
hazard. Very few cities have a satisfactory network of sewerage
facilities. The proliferation of informal settlements with heavy
human concentration and scant urban infrastructure has added
to the dangers of disease and epidemics. Solid waste
management is pitiable in many cities and sanitary dumping
and recycling facilities have not made much headway. In the
larger cities, the unbridled rise of automobiles have rendered
the air unfit for inhaling and respiratory diseases are steeply
rising. Despite such alarming signs, several cities have, through
Herculean efforts, shown the way to turn their environment
around. Some States have made the preparation of annual
environment status reports mandatory and the Judiciary itself
has forced the pace on urban environmental care. Many of
these examples have been documented and need to be
replicated across cities in the country.
Sustainability of cities depends
in no small measure upon their
ability to provide basic
environmental
sanitation
services… potable water, safe
wastewater disposal, effective
solid waste management...
2.5 Integration of the Poor and Marginalized
It is now widely recognized that the poor are important
contributors to the city economy, and an essential support
system to the city’s life. Yet they continue to be dealt with on
the periphery. Huddled in high-density informal settlements,
the poor are left to fend for themselves to find shelter, water,
and services that enable daily life. The women and children
face the brunt of the problems in keeping the fragile lives of
their family going. Even employment opportunities in the form
of informal employment run the constant risk of disruption,
uprooting and harassment. Poverty alleviation schemes have
helped but their impact has been limited. The recent rapid
expansion of thrift and credit groups that Governments have
encouraged seem to hold out promise and hope and many
NGOs have illustrated how the poor can be organized to help
themselves. There is now larger understanding that urban
poverty cannot be seen from the mere perspective of rural
poverty. It is infinitely more complex and dynamic comprising
deprivations of housing, employment, services and physical
safety.
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Urban poverty is infinitely
more complex and dynamic
than its rural counterpart... it
comprises
deprivations
of
housing, employment, services,
physical safety and above all,
a voice….
While the effort to help the city poor has to be multi-pronged,
as an initial and important step, city planners need to go beyond
spatial concepts and look at the socio-economic realities that
propel the city’s economy. Quite definitely, the poor and the
marginalized can no longer be dealt with on the fringes of cities
but need to be integrated into the entire planned process. There
are indeed numerous proven positive multiplication effects for
both the city's economy and social makeup of providing secure
land tenure and basic services to the poor. Disregard to this
monumental issue has very dangerous portents for the
sustainability of cities. As part of the anticipated expansions of
urban population especially that comes from immigration, there
is need to protect the Constitutional right of these migrants
against exclusion from older city dwellers, who may wish to
treat city boundaries sacrosanct to protect in-migrations.
Supporting Cosmopolitan City development which creates
spaces for multi-cultural and multi-ethnic neighbourhoods,
which co-exist, is vital for peace law and order and safety in
cities.
2.6 Transparency and Civic Engagement
Transparency has enormous
potential to craft the inclusive
city... it imports greater
accountability and integrity in
the
discharge
of
public
functions by public officials…
Civic engagement may thrive
in a city in ways such as
participation in public policy
formulation,
resource
allocation, service delivery and
monitoring...
Transparency connotes the conduct of public business in a
manner that affords stakeholders wide accessibility to the
decision-making process and the ability to effectively influence
it. In the context of urban governance, transparency assumes
added significance. Aspects of life and services that are closest
to citizens are transacted and delivered at the local level. Their
quality or their absence directly affects the daily lives of
citizens. Quite naturally, their concern with such matters is
much larger than the attention they would care to give to
national and global issues. Since it is also possible to foster,
build and cement close relationships among various civic actors
in a city, having the advantage of a compact, circumscribed
geographical area, transparency has the enormous potential to
craft an inclusive city. Transparency also imports greater
accountability and integrity in the discharge of public functions
by public officials. This process currently seems to be drawing
strength from an urban-based media.
One of the encouraging features of urban life is the rise of
multiple civil society organizations and their urge to
increasingly participate in affairs of their cities. Civic
engagement has enormous potential to promote transparency,
accountability, equity, and more mature and wholesome city
functioning. It can thrive in a city in several ways such as
participation in policy formulation, resource allocation, service
delivery and monitoring, civic education and poverty
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alleviation. Nothing can build consensus and a deepening of
true democracy better in a city than civic engagement.
Several city governments are attempting to open their gates
wider, allow more information flow, declare charters for
citizens and benchmark municipal response to citizens'
demands and promote civic engagement in civic services.
Citizens in some cities have also shown nascent vibrancy, and
charted both partnership and adversarial courses in their
attempt at holding civic bodies responsible. But the overall
national impact has been limited and the principles of civic
engagement and transparent functioning have yet to strike
fertile soil.
2.7
Municipal Management and Capacity
Building
Municipal management covers the entire gamut of
administrative facets that make for efficiency and excellence in
handling city organizations. Envisioning a city, setting its
priorities, strategizing to achieve set objectives, organizing
public consultations, promoting civil society participation and
norms of good urban governance, budgeting for expenditures,
raising resources, monitoring works, collecting taxes and fees
and charges, all form part of the management task. Attempts at
toning up municipal management have been partial and
sporadic, and generally sectoral rather than holistic. They have
also been driven by individual champions and their departure
from the scene has seriously affected the sustainability of good
urban management practices.
Indeed, sustainable municipal efficiency needs capacity not
merely within the municipal ranks of elected representatives
and officials, but also outside among civil society stakeholders.
Capacity building for good urban governance is complex
because the urban scene is dynamic, and capacities tend to get
eroded quickly. The demands of capacity building in cities also
largely vary with the size of urban local bodies, and it has often
been found that small city officials find it difficult to relate to
the problems of very large ones and vice versa. Capacity
building, in any event, needs to be demand-based and dynamic
in its content. It should cover a wide spectrum of stakeholders
and should address itself to a sufficiently large and widespread
group to achieve impact. In view of limited resources, their
optimum use through a well-designed capacity building
programme cannot be overemphasized.
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Sustainable municipal efficiency
needs capacity not merely
within the municipal ranks of
elected
representatives
and
officials, but also outside among
civil society stakeholders...
3. COMMITMENTS TO NATIONAL ACTION
PLAN
The National Action Plan for good urban governance envisages
implementation of its recommendations in a period of three
years. It envisages commitment of all concerned stakeholders
to examine what is in the Plan that fits their own objectives and
mandates, and help carry forward that part of the Action Plan.
Government of India, State Governments, Urban Local Bodies,
Civil Society, NGOs, the Private Sector, Financial Institutions,
International Agencies, Multilaterals and Bilaterals consider
that the points enumerated below are important for the
furtherance of good urban governance and commit themselves
to examine ways in which they could provide support to take
these action points forward. With that objective, all
stakeholders would set up a body to strategize on the part they
would like to play. Government of India would continue to take
the lead in coordination, exhortation, guidance and advice.
ACTION AREAS
The National Action Plan for Good Urban Governance is not a
blueprint. It is a framework for action within which specific
and focused Action Plans should be locally developed,
consultatively, with full participation of local stakeholders.
3.1
Decision-making at the
lowest logical level is the
essence of good urban
governance
Decentralization
1. Review the performance of States in the implementation of
the Constitution 74th Amendment Act, particularly in the
areas of devolution of functional and financial powers to
urban local bodies. West Bengal’s effort should guide the
process of decentralisation.
2. Transfer of power for elected representative to be coupled
with right to recall.
3. Review the performance of 35 metropolitan cities in city
level decentralization down to the ward committees.
4. Prepare and publish a comparative analysis of the steps
taken by 35 metropolitan cities in involving the civil society
in the functioning of the city.
5. Similar reviews should be carried in respect of small and
medium towns.
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6. Prepare and publish a comparative analysis of the levels
reached in the empowerment of women in urban local
bodies and in mainstreaming gender on the urban agenda.
7. Making Mandatory Constitutional Provisions

Carrying out of constitutional provisions should be made
mandatory.

Uniformity in basic legal framework between the States
should be carried out. The West Bengal Municipal Act,
1993 may be taken as a model.

Devolution of powers, functions and funds should be
expedited.

The 74th Constitutional Amendment must be reviewed
especially Article 243 W and implemented in letter and
spirit.

Decentralisation of fiscal resources by the National
Government to local authorities according to duties and
functions.

Devolution of competence and empowerment by the
National Governments to Local authorities of all local
functions and services.

Tax sharing between the three tiers of governments on an
equitable basic.
8. Defining State Municipal Relationship

The elected representatives of the local body should have
executive control over employees of local bodies. The
provision should also be made for transfer of employees
from one local body to another.

The local bodies should have control over the land in
their jurisdiction and other infrastructure including roads
in their area. They should have power to remove
encroachment from public land, construct and maintain
roads within their respective municipal areas.

The relationship between the para-statal bodies and the
local bodies should be clearly defined with proper
demarcation of respective areas of activities and inter
authority coordinations.
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
District Urban Development Authorities and District
Rural Development Authorities should not overlap the
decisions of the local authorities.
9. Tenure and Functions of the Mayor

The Madhya Pradesh practice should be adopted. People
should have the power to recall Mayor.

There should be uniformity in Mayor’s tenure in all
states.

There should be similar provisions for recall of
councillors.

Nomination of Councillors should not be made on
political basis and should include professionals and
experts.
10. Nomination of MPs and MLAs as ex-officio local
councillor

MPs and MLAs should not be included in the local
bodies.

Local area development funds of the MPs and MLAs
should be used in consultation with the local bodies.
11. Inter-institutional relations and Co-ordination

Each state should formulate clear rules regarding power
and functions of all types of local bodies.

DPCs and WCs should be given enough financial
powers.
12. Financial Resources and Revenue Base of Local Bodies

The recommendations of the State Finance Commissions
must be made mandatory and should be implemented as
a matter of course.

There should not be any delay in releasing funds to the
local bodies once the projects are sanctioned.

Law enforcement powers should be given to local bodies
to compel payments of taxes and other charges levied by
them.
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13. Capacity Building of Local Bodies

The local bodies must develop proper indicators for
evaluating their performance.

Local bodies should introduce Good Governance Report
Cards.

The local bodies should adopt measures for proper
financial management.

The local bodies must develop systems for information
collection and dissemination.

Involve community participation in civic engagement.
The Brazil model of public participation in budgeting
should be followed.

The focus of local bodies should be on delivery of public
services.

National, state level and municipal projects which impact
local bodies and localities, should be planned in
consultation with ULB.

There are some recommendations that must be treated as
a wish list and segregated from those that are more
specific with responsibilities allocated and time frame
defined.
3.2 Municipal Finance
With the inclusion of additional municipal functions in the 12th
Schedule of Constitution, the requirements for Municipal
Finance have increased further. At the same time, the gap in
the Municipal Finance for upgrading existing services itself is
fairly high. This requires a series of innovative interventions in
Resource Mobilisation and Municipal Reforms so that
municipal bodies are able to raise requisite funds. The specific
recommendations made in the Session on Municipal Finance
are grouped under three categories namely:
1) Expanding the Resource Base for Stable Revenue of Local
Bodies;
2) Improved and Better Financial Management; and
3) Agenda for Investing in the Reforms.
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Yawning gaps in
municipal finance demand
financial innovation and
the commercialization of
urban infrastructure
3.2.1 Expanding the Resource Base for Stable Revenues
1. Land Information System should be updated.
Actions Taken:
 Many financial reforms
started for improving
financial
status
of
municipalities.
 The Central Finance
Commission devolved
Rs.2000 crores.
 State
Finance
Commission
Reports
submitted and action
taken
by
State
Government.
 Property
Tax
Rationalisation being
attempted
by
Municipalities.
 Many fiscal concessions
granted
for
Urban
Infrastructure.
 Foreign
Direct
Investment permitted in
Urban Infrastructure.
 Municipal Accounting
Reforms
being
attempted.
 Tax free status granted
to Urban Local Bodies
to a limited extent.
2. Land should be used as a resource to generate revenue.
3. Fiscal Transfers from Central to State and State to Local
Bodies should be further rationalised to ensure a better
normative base and timely transfer.
4. Implement State Finance Commissions recommendations in
letter and spirit.
5. Small/ Medium and Hill Towns be given a special package
of support in their efforts for resource mobilisation and
financial management.
6. Accessing external sources of funds
through
the
Municipal Bonds, pooled financing and other suitable
instruments, create state level pool financing structure/Bond
Banks.
7. The current ceiling of Rs. 200 Crores for raising tax-free
municipal bonds should be enhanced with a quantum jump.
8. Access to funds of affordable interest rates and longer
tenure for urban infrastructure should also be made
available from Pension funds, Provident fund and Insurance
sector.
9. Property Tax base should be delinked from rental value
method and should be linked to Unit Area or Capital value
method as applied by Patna, Bangalore and Hyderabad. It
will reduce discretionary assessment and promote
transparency and tax compliance. Further, the levying of
‘Impact Fee’ for resource mobilisation for new
developments in the city be also utilised.
10. Exhort cities to publish an annual subsidy report,
highlighting the amounts of subsidy given to a particular
service, how was the subsidy funded and who were its
beneficiaries.
11. Central and State Government Properties and other
properties owned by Government Undertakings including
utility service providers should also be brought under
Property Tax regime or in the alternative through
service/utility charges.
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3.2.2 Improved and Better Financial Management
1.
Need for commercial accounting through introduction
of double entry accounting system.
2.
Public Private Partnership in Urban Infrastructure is
essential. Environment for such participation should be
strengthened.
3.
Modern Accounting Manuals should be prepared at
state level to encourage cities to switch over to accrual
based double entry accounting system.
4.
The Second State Finance Commissions should take up
the issue of fiscal powers and devolution functions to
municipal bodies and resources available with them.
5.
Grants should be linked to municipal fiscal performance
and reforms with a particular reference to raising own
resources and taking up financial management
innovations.
6.
Role of non-municipal agencies dealing with the
municipal services at town or state level should be
examined in relation to their functions and their
financial implications on municipal bodies.
7.
Incentive based funds should be created to accelerate
the pace of reforms.
8.
Timely Auditing should be promoted with the use of
private Chartered Accountants for routine audit and
local fund audit to carry out proprietary audit.
3.2.3 Agenda for Investing in the Municipal Finance
Reforms
1.
Set up a 'City Challenge Fund' as an economic incentive
programme for cities that show readiness and
commitment to an innovative economic reform process.
Any resource inputs in the Municipal Finance Reform
sector should be considered as an investment for
sustainable city development for making ‘cities to
work’.
Resources for such fund can come from
Central/State/Local Governments and Financial
Institutions.
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2.
Participatory and normative budgeting should be taken
up to improve municipal financial planning.
3.
The ULBs should undergo appropriate capacity building
for which suitable training programmes, training
manuals and networking with other stakeholders would
be promoted. Financial Institutions like HUDCO, LIC,
IDFC, ILFS etc. can develop the capacity building of
ULBS to establish their creditworthiness and capability
for project formulation, implementation and absorption
capacities.
Application of e-governance is equally
important
for
municipal finance.
Adequate software development and
application in the financial management
sector
is
the
imperative need required at different levels. The best practices
should be widely disseminated and applied.
The current
exploitation of
environment cannot
be at the cost of a
similar right for
future generations
3.3
Urban Environment
1.
Formulate strategy through city consultation to identify
problems, solutions and implementation.
2.
Environmental Status Report for the major cities shall
be prepared to monitor the improvements through the
participation of multi stake holders.
3.
Create community awareness and support for cost
effective technologies to be enforced and financed by
the Urban Governance.
4.
Mass Media along with traditional folk plays shall be
used to demonstrate and disseminate the eco- friendly
practices like tree plantation, water harvesting,
sanitation etc through public participation.
5.
The integrated waste management systems, waste water
recycling and non conventional sources of energy to be
promoted and supported at all levels.
6.
Implement Municipal Solid Waste Management Rules
2000 within stipulated time as per Supreme Court
guidelines and Govt. of India Notification.
7.
Laws/rules/regulations specific to city / local issues
should be tried to facilitate planning process,
implementation and avoid encroachment of unbuilt
surfaces. These should be lucid and easily understood.
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Participatory mechanism should be so structured that
they had legal Entity and administrative powers.
8.
Monitoring Mechanisms for the control of various
facets of pollution, specially in Metro Cities, should be
strengthened in cooperation with research institution,
govt. agencies & NGOs so that the people, specially the
poor people are not affected.
9.
All dry bucket latrines to be converted into two pit pour
flush latrines.
No schools should be allowed to
function without toilets.
3.4 Integration of the Poor and Marginalized
1.
Shelter for all to be an agenda for the Government,
affordable land and low cost housing finance is
essential for urban poor.
2.
Through a participative process, every city should
undertake a city-wide poverty situational analysis to
promote a better understanding among all stakeholders
of the multiple dimensions of poverty in their city.
3.
Since the majority of UN member states including
India has agreed to reduce urban poverty and support a
campaign of cities without slums, Central and State
Government should formulate and actively disseminate
their policy on the provision of basic services for the
poor, clearly specifying the implementation
responsibilities of Local Government and other
agencies and stakeholders.
4.
Each State should formulate their policy and action
plan on land tenure adequately to safeguard poor
people’s shelter needs and rights, with security from
forced eviction and priority for in-situ upgradation and
effective convergence of all pro-poor programmes and
resources.
5.
Each State should ensure the necessary amendments to
the Statutory Planning Processes to incorporate propoor participatory city planning.
6.
Each city must draw up a city-wide action plan to
target integration of the poor and marginalised
population into the city with special attention to land
tenure, basic services, housing and employment needs,
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including support for informal enterprise of the poor,
particularly women.
7.
Local Government should work in partnership with
non-government and community-based organisations
to support the organisation and monbilisation of the
poor, particularly women, to promote constructive
dialogue and shared decision making.
8.
State and Local Government should actively facilitate
the social and economic empowerment of the poor
through, among other actions, ensuring access to
education, health and other social services, the
promotion of self-managed thrift and credit societies
linking the poor to formal credit, knowledge sharing
and awareness raising.
9.
Central State and other institutions should identify
successful initiatives and encourage sharing of these
experiences between cities by promoting visits and
other innovative activities.
3.5
Transparency and Civic Engagement
1. Help cities to work on the simplification of laws, rules and
procedures within their purview that are easily intelligible
to an average person.
2. Assist cities in the development of transparent public
procurement processes.
3. Assist cities in holding wide consultations on city budgeting
and planning including social and gender budgeting and
auditing.
4. Prepare school textbooks that inculcate and promote good
civic sense in real terms.
5. Ensure regular audit of the accounts of local bodies
6. Other Recommendations
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12th Schedule be made mandatory.
Actual partnership between Centre, State and Local
Government.
Identifying major bottlenecks at the local governance level
through consultative processes like group discussions,
public hearings, developing participatory tools etc.
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Reduce Discretionary Powers in Municipal Laws.
Discretionary powers should be exercised in favor of
classes rather than individually.
Code of conduct for municipal executives and elected
representatives.
Encourage public-private partnership through legislative
and regulatory framework, public education, resource
mobilization, good leadership and transparent processes –
apply in municipal finance and development work.
Instruments to improve the efficiency of local bodies
through enhanced technical, administrative and financial
capacities (database on cities, computerization of cities etc.
Networking and regular interaction between municipalities.
Closer networking with media and their engagement in
creating public awareness and creating demand for good
governance.
Reducing multiplicity of authorities and roles by
coordinating city development, Integrated city development
plans, development activities to involve local bodies.
Replication of good practices.
Transparent engagement of private sector.
Citizen’s charter should be brought out by all local bodies.
Standards of service should be specified.
The local bodies need to make public commitments of what
services it will provide to the citizen’s as per entitlements
with specific reference to the informal settlements, with
clear stated information about standards and quality.
If the services are not provided there must be a clear cut
grievance redressal process.
Establishing the process of public hearings to identify
priorities for taking up projects, their costs and contractual
arrangements and periodic reviews of progress.
Charter should spell out areas of local bodies working with
citizen’s groups, the various activities in which it will work
in partnership with people.
Vulnerable groups in the cities need to be identified at the
ward level and the city should have a statement of how it
proposes to address their issues and concerns.
Process of involving citizens in the preparation of budgets
as in the Brazil model should be laid out in the Charter.
There should be right to information on all matters
pertaining to local government.
Electoral reforms should be introduced at the local level.
All the recommendations should indicate the agencies
responsible to implement the specific recommendations and
also the specific time frame.
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3.6
In the final analysis, all
good urban governance
rests on holistic and
sensible
municipal
management
Municipal Management
1. For creating efficient, effective and productive services for
improving the quality of life, alternative delivery
mechanism is the key which can come through diversified
mode of Public, Private and People’s Participation through
unbundling of service development, supply and billing and
collection in partnership with various stakeholders
including the private sector, NGOs, CBOs, Banks, City
Civic Centres etc.
2. Legislative and Regulatory Framework for action is needed
for effective decentralisation and functional devolution of
financial and organisational work.
3. To bring in effective city information system including
computerisation and IT application in the city management
process including GIS leading to efficiency and
productivity and also increased revenue generation.
Good
urban
management
without
adequate capacity is a
misconception
3.7
Capacity Building
1.
Capacity Building needs to focus on all the stakeholders
to cover areas of policy facilitation, system of
restructuring, organisation development, training and
knowledge management.
2.
Capacity Building is required for “good government”
which will bring in efficiency and effectiveness of
service and for “good governance” to deal with the
empowering of more and more stakeholders and
bringing-in transparency and accountability in the
various systems of delivery for city services.
3.
Capacity building facilities should cover political,
administrative, functional and operative grassroot level
functionaries including NGOs, CBOs, Private Sector
etc.
4.
Institutional arrangement through creation of State
Institute of Urban Development/Local Administration
be taken up. The training and capacity building be
organised at the State level, district level, city level and
Community Level. A host of systems and delivery
options for training and capacity building be initiated
through distance learning and other innovative methods
and tools keeping in view the different target groups
and the different levels of training needs.
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5.
Creation of a corpus fund of 1-1/2 to 2% of all
development funds for IEC, Capacity Building and
training be ensured. Additional funding from Central
and State governments and National and International
funding agencies be also utilised.
6.
Platform for sharing experiences and innovations
among municipalities to be created.
7.
The report card system to be developed for effective
service delivery.
4. IMPLEMENTATION STRATEGY
The National Action Plan demands a three-tiered
implementation: at the National level, at the State level and at
the City level.
As a process for moving the Good Urban Governance
Campaign forward, deepening it and making it state specific,
the National Government will take the Campaign to the States
through State level Good Urban Governance Summits.
At each of these levels, however, the Plan would require the
concerted effort of all stakeholders that operate
at that level.
At the same time, strategies at one level must be in consonance
with strategies at the other levels to prevent activities working
at cross-purposes.
For each of the Action Points, milestones would be marked and
measurable targets set, and the required resource inputs
defined.
For each Action Point, a timeline would be charted, and its
content in terms of geographical spread and the density of
activities within that Action Point would be worked out based
on the kind of commitment and ownership it attracts and the
resources it garners.
While it is envisaged that most Action Points would have
multiple stakeholders buying in, the Action Point would have to
have a primary actor to take responsibilities of implementation,
monitoring and follow up.
The overall coordinating role would be taken by the National
Government at the National level, the State Governments at the
State level and the City Governments at the City level. For this
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purpose, coordinating committees with multi-stakeholder
representation would be set up at those levels, and would be
chaired by an Officer of the Government.
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