Recently, the Karnataka legislature passed the Bruhat Bengaluru Mahanagara Palike (BBMP) Bill, 2020.  BBMP is the municipal corporation of the Greater Bengaluru metropolitan area.  The BBMP Act, 2020 seeks to improve decentralisation, ensure public participation, and address certain administrative and structural concerns in Bengaluru.  In this blog, we discuss some common issues in urban local governance in India, in the context of Bengaluru’s municipal administration.

The Constitution (74th Amendment) Act, 1992 provided for the establishment of urban local bodies (ULBs) (including municipal corporations) as institutions of local self-government.  It also empowered state governments to devolve certain functions, authority, and power to collect revenue to these bodies, and made periodic elections for them compulsory. 

Urban governance is part of the state list under the Constitution.  Thus, the administrative framework and regulation of ULBs varies across states.  However, experts have highlighted that ULBs across India face similar challenges.  For instance, ULBs across the country lack autonomy in city management and several city-level functions are managed by parastatals (managed by and accountable to the state).  Several taxation powers have also not been devolved to these bodies, leading to stressed municipal finances.  These challenges have led to poor service delivery in cities and also created administrative and governance challenges at the municipal level.

BBMP was established under the Karnataka Municipal Corporation Act, 1976 (KMC Act).  The BBMP Act, 2020 replaces provisions of the KMC Act, 1976 in its application to Bengaluru.  It adds a new level of zonal committees to the existing three-tier municipal structure in the city, and also gives the Corporation some more taxation powers.  Certain common issues in urban local governance in India, with provisions related to them in the BBMP Act, 2020 are given below.

Functional overlap with parastatals for key functions

The Constitution (74th Amendment) Act, 1992 empowered states to devolve the responsibility of 18 functions including urban planning, regulation of land use, water supply, and slum upgradation to ULBs.  However, in most Indian cities including Bengaluru, a majority of these functions are carried out by parastatals.  For example, in Bengaluru, the Bengaluru Development Authority is responsible for land regulation and the Karnataka Slum Clearance Board is responsible for slum rehabilitation. 

The BBMP Act, 2020 provides the Corporation with the power and responsibility to prepare and implement schemes for the 18 functions provided for in the Constitution (74th Amendment) Act, 1992.  However, it does not provide clarity if new bodies at the municipal level will be created, or the existing parastatals will continue to perform these functions and if so, whether their accountability will shift from the state to the municipal corporation. 

This could create a two-fold challenge in administration.  First, if there are multiple agencies performing similar functions, it could lead to a functional overlap, ambiguity, and wastage of resources.  Second, and more importantly, the presence of parastatals that are managed by and accountable to the state government leads to an erosion of the ULB’s autonomy.  Several experts have highlighted that this lack of autonomy faced by municipal corporations in most Indian cities leads to a challenge in governance, effective service delivery, and development of urban areas.

An Expert Committee on Urban Infrastructure (2011) had recommended that activity mapping should be done for the 18 functions.  Under this, functions in the exclusive domain of municipalities and those which need to be shared with the state and the central government must be specified.  Experts have also recommended that the municipality should be responsible for providing civic amenities in its jurisdiction and if a parastatal exercises a civic function, it should be accountable to the municipality.

Stressed municipal finances

Indian ULBs are amongst the weakest in the world in terms of fiscal autonomy and have limited effective devolution of revenue.  They also have limited capacity to raise resources through their own sources of revenue such as property tax.  Municipal revenue in India accounts for only one percent of the GDP (2017-18).  This leads to a dependence on transfers by the state and central government.

ULBs in states like Uttar Pradesh, Uttarakhand, Bihar, Jharkhand, Rajasthan, and Haryana are in poor financial condition.  This has been attributed to limited powers to raise revenue and levy taxes, and problems in the management of existing resources.  For instance, the finances of Bihar’s ULBs were assessed to be poor because of: (i) delays in release of grants, (ii) inadequate devolution of funds, and (iii) delays in revision of tax rates and assessments of landholdings.

In comparison, Karnataka ranks high among Indian states in key indicators for fiscal capacity like collection of property taxes, grants from Central Finance Commissions, and state government transfers.  The BBMP Act, 2020 further increases the taxation powers of the Corporation, by allowing it to impose taxes on professions and entertainment.  

Experts have recommended that the central government and the respective state government should provide additional funds and facilitate additional funding mechanisms for ULBs to strengthen their finances.  The revenue of ULBs can be augmented through measures including assignment of greater powers of taxation to the ULBs by the state government, reforms in land and property-based taxes (such as the use of technology to cover more properties), and issuing of municipal bonds (debt instruments issued by ULBs to finance development projects). 

Powers of elected municipal officials

The executive power with state-appointed municipal Commissioners and elected municipal officers differs across states.  States like Tamil Nadu and Gujarat, and cities like Chennai and Hyderabad vest the executive power in the Commissioner.  In contrast, the executive power of the Corporation is exercised by a Mayor-in council (consisting of the Mayor and up to 10 elected members of the Corporation) in Kolkata and Madhya Pradesh.  This is unlike large metropolitan cities in other countries like New York and London, where elected Mayors are designated as executive heads.  Experts have noted that charging Commissioners with executive power diluted the role of the Mayor and violated the spirit of self-governance.

Under the BBMP Act, 2020, both the elected Mayor and the state-appointed Chief Commissioner exercise several executive functions.  The Mayor is responsible for approving contracts and preparing the budget estimate for the Corporation.  He is also required to discharge all functions assigned to him by the Corporation.  On the other hand, executive functions of the Chief Commissioner include: (i) selling or leasing properties owned by the Corporation, and (ii) regulating and issuing instructions regarding public streets. 

The Expert Committee on Urban Infrastructure (2011) has recommended that the Commissioner should act as a city manager and should be recruited through a transparent search-cum-selection process led by the Mayor.  A Model Municipal law, released by the Urban Development Ministry in 2003, provided that the executive power should be exercised by an Empowered Standing Committee consisting of the Mayor, Deputy Mayor, and seven elected councillors.  

Management of staff and human resources

Experts have noted that municipal administration in India suffers from staffing issues which leads to a failure in delivering basic urban services.  These include overstaffing of untrained manpower, shortage of qualified technical staff and managerial supervisors, and unwillingness to innovate in methods for service delivery. 

The BBMP Act, 2020 provides that the Corporation may make bye-laws for the due performance of duties by its employees.  However, it does not mention other aspects of human resource management such as recruitment and promotion.  A CAG report (2020) looking at the implementation of the Constitution (74th Amendment) Act, 1992 in Karnataka has observed that the power to assess municipal staff requirements, recruiting such staff, and determining their pay, transfer and promotion vests with the state government.  This is in contrast with the recommendations of several experts who have suggested that municipalities should appoint their personnel to ensure accountability, adequate recruitment, and proper management of staff.

Other states including Kerala, Maharashtra and Tamil Nadu also allow the state governments to regulate recruitment and staffing for ULBs.  In cities like Mumbai, and Coimbatore, and some states like Gujarat and Madhya Pradesh, while the recruitment process is conducted by the respective municipal corporations, the final sanction for hiring staff lies with the state government.

Last week, the Assam Legislative Assembly passed the Assam Cattle Preservation Bill, 2021.  The Bill seeks to regulate the slaughter and transportation of cattle and the sale of beef.   It replaces the Assam Cattle Preservation Act, 1950, which only provided for restrictions on cattle slaughter.  In this post, we examine the Bill and compare it with other state laws on cattle preservation.  For a detailed analysis of the Bill, see here.

Cattle preservation under the Bill

The Bill prohibits the slaughter of cows of all ages.  Bulls and bullocks, on the other hand, may be slaughtered if they are: (i) over 14 years of age, or (ii) permanently incapacitated due to accidental injury or deformity.  Inter-state and intra-state transport of cattle is allowed only for agricultural or animal husbandry purposes.  This requires a permit from the competent authority (to be appointed by the state government).  Further, the Bill allows the sale of beef and beef products only at certain locations as permitted by the competent authority.  No permission for such sale will be granted in areas that are predominantly inhabited by Hindu, Jain, Sikh and other non-beef eating communities, or within a five-kilometre radius of a temple or other Hindu religious institution.

Provisions of the Bill may raise certain issues which we discuss below. 

Undue restriction on cattle transport in the north-eastern region of India

The Bill prohibits the transport of cattle from one state to another (or another country) through Assam, except with a permit that such transport is for agricultural or animal husbandry purposes.  This may lead to difficulties in movement of cattle to the entire north-eastern region of India.  First, the unique geographical location of Assam makes it an unavoidable transit state when moving goods to other north-eastern states.  Second, it is unclear why Assam may disallow transit through it for any purposes other than agriculture or animal husbandry that are allowed in the origin and destination states.  Note that the Madhya Pradesh Govansh Vadh Pratishedh Adhiniyam, 2004 provides for a separate permit called a transit permit for transporting cattle through the state.  Such permit is for the act of transport, without any conditions as to the purpose of transport.

Unrestricted outward transport of cattle to states that regulate slaughter differently from Assam

The Bill restricts the transport of cattle from Assam to any place outside Assam “where slaughter of cattle is not regulated by law”.  This implies that cattle may be transported without any restrictions to places outside Assam where cattle slaughter is regulated by law.  It is unclear whether this seeks to cover any kind of regulation of cattle slaughter, or only regulation that is similar to the regulation under this Bill.  The rationale for restricting inter-state transport may be to pre-empt the possibility of cattle protected under the Bill being taken to other states for slaughter.  If that is the intention, it is not clear why the Bill exempts states with any regulation for cattle slaughter from transport restrictions.  Other states may not have similar restrictions on cattle slaughter as in the Bill.  Note that other states such as Karnataka and Chhattisgarh restrict outgoing cattle transport without making any distinction between states that regulate cattle slaughter and those that do not.

Effective prohibition on sale of beef in Assam 

The Bill prohibits the sale of beef within a five-kilometre radius of a temple (which means an area of about 78.5 square kilometres around a temple).  This threshold may be overly restrictive.  As per the 2011 census, the average town area in Assam is 5.89 square kilometres (sq km) and the average village area is 1.93 sq km.  The three largest towns of Assam by area are: (i) Guwahati (219.1 sq km), (ii) Jorhat (53.5 sq km), and (iii) Dibrugarh (20.8 sq km).  Hence, even if there is only one temple in the middle of a town, no town in Assam – except Guwahati – can have a beef shop within the town area.  Similarly, if a village has even one temple, a beef shop cannot be set up in a large area encompassing several adjoining villages as well.  In this manner, the Bill may end up completely prohibiting sale of beef in the entire state, instead of restricting it to certain places.

Note that certain states such as GujaratRajasthanUttar Pradesh and Haryana completely prohibit the sale or purchase of beef within the state.  However, they also completely prohibit the slaughter of cows, bulls and bullocks.  This is not the case under the Bill, which only places a complete prohibition on slaughter of cows.  Further, in places such as Delhi, municipal regulations prohibit the sale of meat (including beef) within 150 metres from a temple or other religious place.  This minimum distance requirement does not apply at the time of renewal of license for selling meat if the religious place comes into existence after the grant of such license. 

The prohibition on sale of beef in areas predominantly inhabited by communities identified based on religion or food habits (non-beef eating) may also have an unintended consequence.  With the food typically consumed by a community becoming unavailable or available only in select locations, it may lead to the segregation of different communities into demarcated residential areas.  As per the 2011 census, the population of Assam comprises roughly 61% Hindus, 34% Muslims, and 4% Christians.

Onerous requirement for the accused to pay maintenance cost of seized cattle

Cattle rearing is essentially an economic activity.   Under the Bill, cattle may be seized by a police officer on the basis of suspicion that an offence has been or may be committed.  Seized cattle may be handed over to a care institution, and the cost of its maintenance during trial will be recovered from such persons as prescribed by the state government through rules.  Note that there is no time frame for completing a trial under the Bill.  Thus, if the owner or transporter of seized cattle is made liable to pay its maintenance cost, they may be deprived of their source of livelihood for an indefinite period while at the same time incurring a cost.

Cattle preservation laws in other states

The Directive Principles of State Policy under the Constitution call upon the state to prohibit the slaughter of cows, calves, and other milch and draught cattle.  Currently, more than 20 states have laws restricting the slaughter of cattle (cows, bulls, and bullocks) and buffaloes to various degrees.   Table 1 below shows a comparison of such laws in select states of India.  Notably, north-eastern states such as Arunachal Pradesh, Meghalaya, Mizoram and Nagaland do not have any law regulating cattle slaughter.