The Urban local bodies are responsible for administering the governance of the urban areas through elected representatives. State governments demarcate the territory of the urban bodies to facilitate the governing process.

The candidates can read relevant information from the links provided below:

1. Addressing the needs of citizens
   • The United nations projections suggest that India’s urban population will increase from about 461 million in 2018, to 877 million in 2050
   • Under such a growth scenario, the ULBs need to play a significant role in financing public services. For instance providing safe drinking water, affordable housing, public transport. Wastewater treatment, solid waste management etc.
2. Creation of Urban Infrastructure for Economic growth
   • Urban settlements act as engines of growth and generate ‘agglomeration economies’ by supplying requisite infrastructure. Construction & Maintenance of such infrastructure requires adequate capital investment from ULBs
3. Role in Disaster management
   • Cities are exposed to high risk from natural and climate change related hazards
   • And thus, local governments are usually the first responders and their first-hand knowledge of community’s social, economic, infrastructure and environmental needs, help them to provide support in a disaster and carry out relief, rehabilitation and reconstruction activities
4. To mitigate and adopt them to climate change
   • ULBs need to invest in resilient infrastructure, green technologies, clean energy etc.
5. To help better implement developmental schemes
   • Successful implementation of missions like Smart city mission, AMRUT, HRIDAY etc, finally rests on ULBs efficacy in resource mobilisation and service delivery
   • Hence, financial empowerment of ULBs when seen from this perspective is no longer a matter of choice, but a necessity.

Urban Local Bodies Reforms

Urban local government reforms and urban service reforms are underway with the aim of strengthening the financing of urban local governments in states. These reforms would enable ULBs to provide better public health and sanitation services to their citizens.

Goa has joined five other States namely, Andhra Pradesh, Madhya Pradesh, Manipur, Rajasthan and Telangana, who have completed ULB reforms.

• The four citizen-centric areas identified for reforms are:

1. Implementation of One Nation One Ration Card System
2. Ease of doing business reform
3. Urban Local body/ utility reforms
4. Power Sector reforms.

The set of reforms stipulated by the Department of Expenditure to achieve these objectives are:

• The State will notify floor rates of property tax in ULBs which are in consonance with the prevailing circle rates (i.e. guideline rates for property transactions) and;
• The state will notify floor rates of user charges in respect of the provision of water-supply, drainage and sewerage which reflect current costs/past inflation.
• The State will put in place a system of periodic increase in floor rates of property tax/ user charges in line with price increases.

Significance Of Urban Local Bodies, Significance Of Urban Local Bodies

Read Also: Panchayats Extension to Scheduled Areas (PESA) Act 1996