ae 3 after the eleventh schedule, the following schedule shall be schedule, 24ded, namely:—  "twelfth schedule (article 243v)1 urban planning including town planning, 5 2, regulation of land-use and construction of buildings 8 planning for economic and social development, 4 roads and bridges, 5 water supply for domestic, industrial and commercial purposes 6 public health sanitetion, conservancy and solid waste manage- 10 ment,  7 fire services 8 urban forestry and promotion of ecological aspects 9 safeguarding the interests of weaker sections of society, including the handicapped and mentally retarded, is 10 slum improvement and upgradation 11 urban poverty alleviation, 12 provision of urban amenities and facilities such as parks, gardens, playgrounds 13 promotion of cultural, educational and asthetic aspects 20 14 burials and burial grounds; cremations and cremation grounds 15 cattle pounds; prevention of cruelty to animals 16 vital statistics including registration of births and deaths" statement of objects and reasonsin many states local bodies have become weak and ineffective on account of a variety of reasons, including the failure to hold regular elections, prolonged supersessions and inadequate devolution of powers and functions a' a result, urban local bodies are not able to perform effectively as vibrant democratic units of self-government  2, having regard to these inadequacies, it ig considered necessary that provisions relating to urban local bodies are incorporated in the constitution particularly for— 4 ©) putting on a firmer footing the relationship between the state government and the urban local bodies with respect to— (a) the functions and taxation powers; and (b) arransements for revenue sharing; gi) ensuring regular conduct of elections; (ii) ensuring timely elections in the case of supersession; and (iv) providing adequate representation for the weaker sections like scheduled castes, scheduled tribes and women _ 3 accordingly, it is proposed to add a new part relating to the urban lecal bodies in the constitution to provide for—  (2) constitution of three types of municipalities: (i) nagar panchayats for areas in transition from a reral area to urban area; (ii) municipal councils for smaller urban areas; (ii) municipal corporations' for larger urban areas 'the, broad criteria for specifying the said areas is being provided in the proposed article 2430; (b) composition of municipalities, which will be decided by the legis- jature of a state, haying the following features : (i) persons to be chosen by direct election; gi) representation of chairpersons of committees, if any, at ward or other levels in the municipalities; (ii) representation of persons having special knowledge or expetience of municipal administration in municipalities (without voting tights); (c) election of chairpersons of a municipality in the manner specified in the state law; (@ constitution of committees at ward level or other level or levels within the territorial ares of a municipality as may be provided in the state law;(e) reservation of seats in every municipality—  () for scheduted castes and scheduled tribes in preportion to their population of which not less than one-third shail be for women; \e _/ki) for women which shall \not tess than one-third of the total number of seats; ~ (iii) in favour of backward class of citizens if so provided by the legislature of the state: (iv) for scheduled castes, scheduled tribes and women in the " office of chairpersons as may be specified in the state law: (f) fixed tenure of $ years for the municipality and re-election within six months of end of tenure tf a municipality is dissolved before expiration of its duration, elections to be held within a period of six months of its dissolution; (g) devolution by the state legistature of powers and responsibilities upon the municipalities with respect to preparation of plans for economic development and social justice, and for the implementation of development schemes as may be required to enable them to function as institutions of self-government; (h) levy of taxes and duties by municipalities, assigning of such taxes snd duties to mumicipatities by state governments and for making grants~ in-aid by the state to the municipalities as may be provided in the state jaw: (i) a fiance commission to review the finances of the municipalities and ty recommend principles for— (1) determining the taxes which may be assigned to the municipalities: (2) sharing of taxes between the state and municipalities; (3) grants-in-aid to the municipalities from the consolidated fund of the state; (j) audit of accounts of the municipal corporations by the comptroller and auditor-general of india and laying of reports before the legislature of the state and the municipal corporation concerned: (k) making of law by a state legislature with respect to elections to the municipalities to pe conducted under the superintendence, direction and control of the chief electoral officer of the state: () application of the provisions of the bill to any union territory or part thereof with such modifications as may 'be specified by the president: (m) exempting scheduled areas referred to in clause (1), and tribal areas referred to in clause (2), of article 244, from the application of the provisions of the bill extension 'of provisions of the bill to such areas \ may be done by parliament by law: (n) disqualifications for membership of a municipality: (o) bar of jw sdiction of courts jn matters relating to elections (© the municipalities 4 the bil/secks to achieve the aforesaid objectives a ail sheila kaul- new delhi: the \1th september, 1991 financial memorandumclause 2 of the bill seeks to insert a new part ixa, in the constitution consisting of articles 243p to 243w 2 article 243v read with article 243t of the bill envisages that the legislature of a state may confer such powers and authority (including the powe!" to levy, collect and appropriate taxes, duties, tolls and fees) on the municipahities as may be required to enable them to function as institutions of selfgovernment the strengthening of municipalities as envisaged may ¢ 1 for the strengthening of the administrative capabilities of these municipalities in the states article 243u of the bill envisages that the accounts of the municipal corporations shall be kept im such form as may be prescribed by the governor 'on the advice of the comptroller and auditor-general of india and shall be audited by the compiroller and auditor-general of india as article 243t of the bill makes its isions applicable to the union territories, the expenditure which may have to be incurred in relation to the union territories, will have to be met by the government 'of india out of its consolidated fund some expenditure may have to be incurred on strengthening the office of comptroller and 'auditor-general to enable him to discharge the responsibility of audit of the municipal corporations it is, however, difficult to estimate the annual recurting expenditure at this stage 3 the bill, when enacted, will not involve any other recurring or nonrecurring expenditure