FOREWORD Pakistan‟s peaceful national election in May 2012, in what was generally seen an unwieldy and complex scene, marked the full term completion of a democratically elected government and ushering in of democratic transition. The elections saw a massive turn-out, one of the highest in country‟s history, illustrating the popular sentiment for a new Pakistan with better rule of law, governance and accountability.

Along with political parties, media and judiciary played a pivotal role in promoting a well informed role and responsibility of the electorate by highlighting the nation building challenges.

With elections over, country has an amazing flow of energy at the national as well as grass-roots level to keep the promise for better governance and accountability.

As part of new dynamics the Supreme Court of Pakistan has been fairly active in setting deadlines for recently established provincial governments to draft local government laws and conduct elections before the turn of the year. In line with this directive from the highest judicial body in the country, the provincial governments have initiated rigorous process of drafting local government legislations to ensure that they devolve political, administrative and financial responsibility and authority to the local governments.

United Nations Development Program (UNDP) joined hands with Akhter Hameed Khan Resource Centre (AHKRC) to conduct consultation workshops throughout Khyber Pakhtunkhwa in order to solicit the opinions of the general public, who are the primary audience, change assets and beneficiaries, on the procedural elements of the devolution process and its ramifications on the quality of service delivery. The report in hand brings forward views of the grassroots level on delimitation of tiers of Local Government; sectoral devolution and functional redistribution; and interface between elected and non-elected officials of Local Governments.

The hard truth is that community voices have never been a part of the process. The preparation of this report has in itself exemplified the partnerships that are critical for furthering the cause of democracy in Khyber Pakhtunkhwa in particular and Pakistan in general. Through a series of consultations, this cooperative, consultative approach has served to sharpen the focus and, I hope, enhanced the utility and relevance of this report. It is hoped that these recommendations will not only stimulate more questions and inquiries for the provincial legislators but will also furnish them with a rational line of action predicated on the popular opinions, in shaping up the administrative organization of public sector management and local governance in the province. We have made an effort to bring forth community voices the challenge is to make it stick.

Fayyaz Baqir Director Akhter Hameed Khan Resource Centre (AHKRC)

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ACKNOWLEDGEMENTS What makes this report unique is the fact that it recapitulates a process which offered a veritable forum for inclusion of community voices in the making of legislative frame work for local governance in KPK. So, first and foremost, our sincere appreciation for the community members who came forward and joined the process enthusiastically.

Also the report draws on the cooperative and consultative review effort, involving many players and carried out over a four-month period. United Nations Development Program in Pakistan and its governance projects are strategically aligned with the legislative reforms taking place at various tiers of government. Strengthening Participatory Federalism and Decentralization, a project of UNDP took lead in initiating the consultative process.

A redeeming feature of the process is that the leading political parties were brought together for a candid discussion on all aspects of local governance system. Our sincere thanks to the political parties who sent their senior representatives to consultative sessions. This reassures commitment of the political parties towards democratic governance through legislative change. The lawyers from the District Bar Associations offered valuable legal insights during discussion sessions. Equally worthy of acknowledgement is the role played by NGO‟s, CBO‟s and civil society members. Optimistic Youth Network and many others not only offered coordination and support but also assured non-government perspectives in recommendations. Media raised the profile of the project while audiences offered a solid critique to the whole exercise. Notable among the print and electronic media followed the process actively. Radio channels are also worthy of due acknowledgement. Special mention must be made, with gratitude for UNDP guidance, assistance, contribution, participation and continuing support of the Minister for Local Government and Rural Development Department, representative of provincial government and NGOs, who sat through the lively question and answer sessions, to build consensus on the key issues.

The consultative workshops; the assembly, analysis and construction of data; and drafting of the report narrative is the result of combined effort of a dedicated and diverse team including. Fayyaz Baqir, Naseem-ur-Rehman, Mazhar Nawaz, Hamidullah, and Shaleem David. The active engagement, encouragement, assistance and support of Shahnawaz Khan, Fakhira Khanam, Asghar Khan, Faheem Ullah Khan, Hashmat Ara and Ayaz Muhammad are much appreciated.

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CONTENTS FOREWORD ...... i ACKNOWLEDGEMENTS ...... ii CONTENTS ...... iii ACRONYMS AND ABBREVIATIONS ...... iv GLOSSARY OF TERMS ...... v EXECUTIVE SUMMARY ...... vi 1.0 CONTEXTUAL ANALYSIS ...... 8 1.1. HISTORY OF DECENTRALIZATION IN PAKISTAN ...... 9 1.2. DEVOLUTION ENUNCIATED BY 18TH CONSTITUTIONAL AMENDMENT 10 1.3. KHYBER PAKHTUNKHWA LOCAL GOVERNMENT ACT 2013 ...... 11 2.0 RATIONALE FOR CONSULTATIONS ...... 15 2.1. CONSULTATION OBJECTIVES ...... 15 2.2. CONSULTATION STRATEGY ...... 15 2.3. CONSULTATION METHODOLOGY ...... 16 2.4. KEY QUESTIONS ...... 16 3.0 UNDERSTANDING THE ISSUES ...... 18 3.1. PARTICIPANTS PERSPECTIVE ON DEVOLUTION ...... 18 3.2. KEY LEGISLATIVE ISSUES DELIBERATED...... 20 4.0 DIALOGUE FACILITATION AMONG STAKEHOLDERS ...... 24 4.1. ADDRESS BY MINISTER LOCAL GOVERNMENT KP ...... 24 4.2. ADDRESS BY SPEAKER PROVINCIAL ASSEMBLY KP ...... 26 4.3. POINT OF VIEW OF OPPOSITION PARTIES ...... 26 5.0 RECOMMENDATIONS FROM GRASSROOTS ...... 28 5.1. POLITICAL DEVOLUTION ...... 28 5.2. ADMINISTRATIVE DEVOLUTION ...... 29 5.3. FINANCIAL DEVOLUTION ...... 31 5.4. GENERAL RECOMMENDATIONS ...... 32 6. CONCLUSION ...... 33 REFERENCES ...... 33 ANNEXES ...... 35 ANNEXURE 1: CONSULTATION SCHEDULE ...... 35 ANNEXURE 2: NEWS PAPER CLIPPINGS ...... 35 ANNEXURE 3: CONSULTATIONS PARTICIPANT LIST ...... 38 ANNEXURE 4: PARTICIPANTS’ FEEDBACK IN WORKSHOPS ...... 42

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ACRONYMS AND ABBREVIATIONS ACR Annual Confidential Report LGA Local Government Authority

ADP Annual Development Program LGO Local Government Ordinance

Akhter Hameed Khan Resource Local Government and Rural AHKRC LG&RDD Centre Development Department

ANP Awami National Party MNA Member National Assembly

BHU Basic Health Unit MPA Member Provincial Assembly

CCI Council of Common Interests MQM Muttahida Qaumi Movement

CSO Civil Society Organization NGO Non-Government Organization

DCO District Coordination Officer NWFP North West Frontier Province

District Development Advisory DDAC PML-N Pakistan Muslim League-Nawaz Committee

DFC District Finance Commission PTI Pakistan Tehreek-e-Insaf

Parliamentary Committee for DIK Dera Ismail Khan PCCR Constitutional Reforms

DPO District Police Officer PFC Provincial Finance Commission

ECP Election Commission of Pakistan PHED Public Health Engineering Department

EDO Executive District Officer PPP Pakistan People‟s Party

FATA Federally Administered Tribal Areas QWP Qaumi Watan Party

Deutsche Gesellschaft für GIZ RHC Rural Health Centre Internationale Zusammenarbeit

IYF Innovative Youth Forum RIC Reforms Implementation Cell

JI Jamat-e-Islami SRSP Sarhad Rural Support Program

Jamiat-e-Ulema-e-Islam-Fazal-ur- JUI-F TMA Tehsil Municipal Administration Rehman

KP Khyber Pakhtunkhwa UC Union Council

LG Local Government UNDP United Nations Development Program

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GLOSSARY OF TERMS

Anjuman Assembly, association or gathering

Bait-ul-Mal Islamic financial institution that administers distribution of zakat revenues for public works

City A district that consists primarily or entirely of a major city or large District metropolitan area

Jirga An assembly (tribal) of reputed elders which takes decisions by consensus

Nazim Chief elected official of local government/Mayor

Naib Assistant/deputy to the Nazim/Deputy Mayor Nazim

Tehsil An administrative division/entity of Local Government consisting of an area of land with a city or town as its headquarters

Thana Police station/geographic unit controlled by police

Ushr Islamic land tax

Zakat Practice of charitable giving by Muslims based on accumulated wealth

Zilla District (unit of Government above Tehsil and Union Council)

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EXECUTIVE SUMMARY

The concept of decentralized local governments is not new to Pakistan; however, this time around it is being implemented with the participation and engagement of democratically elected provincial governments under the constitutional amendment approved with the consensus of all the political parties. The three most significant decentralization reforms in the six decades old history of Pakistan were introduced by authoritarian military regimes in 1959, 1979 and 2001 respectively. The 18th Amendment passed under a democratic dispensation in April, 2010 was billed as the most comprehensive reform package in Pakistan. The aim was to repeal the 17th Amendment and reform the Constitution in the light of the Charter of Democracy. The Charter recognized the importance of subsidiarity and called for establishment of local government systems in the provinces.

The 18th Amendment has introduced important steps towards the devolution of authority to local government under Article 140-A. The constitution defines four parameters - political, administrative, financial and electoral - for devolving power to elected Local Government.

Accordingly, the Government of Khyber Pakhtunkhwa engaged in a rigorous process of drafting legislation for the Local Government Act, 2013. Against this backdrop, United Nations Development Program (UNDP) and Akhter Hameed Khan Resource Centre (AHKRC) grasped the opportunity to organize consultation workshops in Dera Ismail Khan, Abbottabad, Swat and Peshawar to receive feedback from grassroots level about the draft legislation on devolution process so that a legislative framework in line with the sentiments of the general public can be prepared and shared with the legislators.

A common thread running through all the consultations that, the participants strongly supported was the uniformity of electoral system. Most of the participants demanded that measures should be taken to prevent floor crossing and horse trading. The most debated topic of discussion in all the workshops was the devolution of fiscal and administrative authorities and responsibilities to the elected representatives in line with the Constitution of Pakistan. The participants came up with pragmatic suggestions regarding the mechanisms of granting autonomy to the local governments in true sense of the word. It was argued that localization and personalization of power ought to be discouraged through effective legislation; and accountability and transparency must be ensured to guarantee efficient and quality delivery of public services. The fora unanimously agreed that effective devolution could only be achieved through participatory consensus based decision-making. We are glad to mention here that most of the recommendations made by the workshops participants were incorporated in the Local Government Act 2013 passed by KP Assembly.

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Contextual Analysis . History of Decentralization in Pakistan th . Devolution Enunciated by 18 Constitutional Amendment . Khyber Pakhtunkhwa Local Government Act, 2013

1.0 CONTEXTUAL ANALYSIS

Pakistan is a federal republic comprising four provinces: Sindh, Punjab, Balochistan and Khyber Pakhtunkhwa (KP). In addition to these four provinces, country has federally Administrated tribal Areas (FATA), Gilgit-Baltistan (GB), Jammu and Kashmir (AJK). Federalism envisages division of political power territorially in a constitutional way in which every part of the federation is regarded as a unitary state with its own internal system of local government (Smith, 1985). In contemporary literature the concept of „unitary state‟ has been replaced with „autonomous state‟ with more relevance to changing governance mechanisms. Devolution to local governments is referred to as one of the four major forms of Decentralization (Mathur, 1983); the other three being de-concentration, delegation to semi- autonomous or para-statal agencies and transfer of functions from public to non-government institutions. Devolution of power implies transfer of authority to sub-national governments electorally accountable to the sub-national populations (Turner & Hulme, 1997).

Pakistan‟s history is checked with political instability and frequent administrative changes. While independence movement was driven by political party mobilizations at the grassroots level, however, post-independence, there was little emphasis on local governments. The limited scope and authority of local governments that existed were controlled and superseded by the central bureaucracy by not holding elections and where elections were held, by limited „franchise‟ and massive malpractices (Waseem M. , 2007). During the decade of the 1950s, weakening of local governments coincided with increasing centralization and a centre was increasingly dominated by the symbiotic nexus forged between the civil and military bureaucracy (Jalal, 1995). Politically centralizing factors strengthened due to numerous changes in governments including four major military coups and wars with India in 1948, 1965 and 1971 led Pakistan to extremely centralized decision making mechanisms (Talbot, 2009). Elements of welfare state dropped down in priorities list and Pakistan‟s political discourse was highly influenced by its security concerns.

The three most significant decentralization reforms in the six decades old history of Pakistan were introduced by authoritarian military regimes in 1959, 1979 and 2001 respectively. These systems had five stark similarities (Bhatti, 2013):

i. Military governments installed all the three systems of local government in Pakistan. ii. First local body elections were held in the absence of any other forum of the elected government at provincial or federal levels. iii. Local government systems were incubated by the federal governments bypassing the provincial tier of governance. iv. Local government systems were deployed as a “ladder of legitimacy” by successive military governments in Pakistan. v. Local governments systems were used as a tool to extend central authority of the federation to the district and local levels which, according to some studies, led to over- centralized governance structures in Pakistan.

This led to apprehensions, hostility and mistrust about devolution of power to local government among political parties.

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1.1. HISTORY OF DECENTRALIZATION IN PAKISTAN A brief glimpse of the three local government reforms introduced by military regimes, given below, shows why political parties had a high level of mistrust in devolution of power to local government in Pakistan.

1.1.1. Basic Democracies System, 1959 In 1958, General Ayub Khan, Pakistan‟s first Martial Law Administrator, disbanded national and provincial assemblies and revived local governments as the only representative tier of government. The new local governments comprised of a hierarchical system of four linked tiers. The lowest tier of Union Councils consisted of members elected on the basis of adult franchise who, in turn, elected a chairman from amongst themselves. The higher tiers of local government had some members elected indirectly by these directly elected members and some official members nominated by the Government (Rizvi, 1976).

In the pursuit of legitimacy, the 1962 Constitution explicitly linked the office of the President to the newly created local bodies by declaring the 80,000 Basic Democrats as the Electoral College for the election of the President and national and provincial assemblies. Based on the concept of “controlled democracy”, the bureaucracy was supposed to guide the politicians while resisting their corrosive influences.

At the level of local governments, a legislative divide was maintained between urban areas, which were governed through the Municipal Administration Ordinance (1960), and the rural areas governed by the Basic Democracies Ordinance (1959). In a bid to secure electoral mandate, the share of targeted provincial and federal development resources was increased in favor of rural areas (Ahmed & Amjad, 1984).

However, the system of Basic Democracies was knocked down in 1969 as it failed to mobilize the rural population around the institutions of national integration. Its focus was on a centralized economic planning and development which led to regional disparities resulting in widespread political discontent.

1.1.2. Local Government Reforms, 1979 Local governments were revived under General Zia-ul-Haq‟s military regime through the promulgation of Local Government Ordinances (LGOs) and local bodies were elected in all four provinces during 1979 and 1980. The functions and financial powers assigned to local governments were in coherence with those delegated in the Basic Democracies system.

The direct representation of the bureaucracy in local governments as members and chairmen was abolished and instead stipulated that all members of all tiers of local government were to be directly elected through adult franchise. However, the local elections were organized on non- party basis which resulted in personalization of politics and strengthened the regimes of individual and tribal patronage at the local level (Wilder, 1999). The rural-urban divide persisted at the level of rural or district councils, town and municipal committees and corporations.

After the revival of elected federal and provincial assemblies in 1985, the absence of political linkages among different tiers of government, an outcome of non-party based local electoral system, widened the chasm between provincial and local tier which was seen as a competing structure of patronage.

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1.1.3. The Evolutionary Epoch (1985-1999) Between 1988 and 1999, the concentration of buoyant revenues in the hands of the federal and provincial governments created a discount with regard to the sense of ownership on part of the local tier. The provincial governments pre-empted the functions of local governments in delivering local services such as water supply, sanitation, land development etc. This resulted in constraining the financial capacity of local governments and led to the suspension of local bodies between 1993 and 1998 (World Bank, 2000).

1.1.4. Devolution of Power Plan, 2001 The Devolution of Power Plan by General (Retired) Pervaiz Musharraf culminated into the provincial governments promulgating the Local Government Ordinance, 2001 in their respective provinces to establish a new local government system with effect from August 14, 2001.

Under the plan, the District Coordination Officer (DCO) was designated to report directly to the elected head of the government (Nazim) at district level. Simultaneously, the DCO no longer retained the executive magistracy and revenue collection powers. Vast majority of public services previously under the purview of the de-concentrated district administration were transferred to elected local governments.

Both the members and heads of the basic tier of government, the union council, were elected through public vote who, in turn, indirectly selected the head of the district government, the District Nazim. The provincial powers and responsibilities were devolved to the district and sub- district levels of governments but no decentralization of any federal powers to either the provincial or local levels was undertaken.

The decentralization process was not uniform across the board, with significant heterogeneity in its extent not only across administrative departments but also across services within a department. The reform took place fairly rapidly under the military rule and at the time when no provincial and federal elected governments were in power. This created a void in integrating the newly elected local government with the soon to be elected provincial/federal governments. 1.2. DEVOLUTION ENUNCIATED BY 18TH CONSTITUTIONAL AMENDMENT The 18th Amendment passed in April, 2010 was billed as the most comprehensive reform package after the passage of the 1973 Constitution. The aim was to repeal the 17th Amendment and reform the Constitution in the light of the Charter of Democracy. The Charter provided the work-plan for the Parliamentary Committee for Constitutional Reforms (PCCR). It recognized the importance of subsidiarity by asserting that: “Local bodies election will be held on party basis through provincial election commissions in respective provinces and constitutional protection will be given to the local bodies to make them autonomous and answerable to their respective assemblies as well as to the people through regular courts of law” (Waseem M. , 2010). The mainstream parties in the country had signed the Charter in London in May, 2006 to pave the way for democratic transition.

The Constitution (18th Amendment) Act, 2010 was finalized by the 26 member PCCR headed by Senator Raza Rabbani (Hamid, 2010). As deliberated by Mr. Rabbani, this “negotiated legislative revolution has changed more that 36% (102 Articles) contents of the Constitution, which is the first ever home-grown initiative to reclaim the original federal character and spirit of the country (Khan, 2013).

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The 18th Amendment has introduced important steps towards the devolution of authority and enhancing provincial autonomy. It removed the Concurrent Legislative List that was a bone of contention between the federation and the provinces. Article 140-A adopted in the constitution via the 18th Amendment stipulates:

“Each province shall, by law, establish a local government system and devolve political, administrative and financial responsibility and authority to the elected representatives of the local government. (2) Elections to the local governments shall be held by the election commission of Pakistan.”

Furthermore, the Article 32 of Principles of Policy asks the State to encourage local government institutions composed of elected representatives of the areas concerned and give special representation to minorities, peasants, workers and women in such institutions. Similarly, Article 37(i) calls for decentralization of government administration on the axis of expeditious disposal of business for convenience of people.

Hence, the Constitution categorically defines four parameters for elected Local Government that it has to have political, administrative, financial and electoral responsibility and authority (Bhatti, 2013):

i. Devolution of Political Responsibility and Authority: The political aspect corresponds to the regulative and policy related responsibilities and authorities to be devolved to the local government(s). ii. Devolution of Administrative Responsibility and Authority: The administrative aspect relates to executive responsibilities and authorities in the course of every-day functioning of the local government(s). iii. Devolution of Financial Responsibility and Authority: The fiscal component relates to the revenue and expenditure assignments of the local government(s). iv. Devolution of Responsibility and Authority to the Elected Representatives of Local Government: This component clearly establishes that the devolution of responsibilities and authorities of all the functions should be assigned to the elected representatives of the local government.

1.3. KHYBER PAKHTUNKHWA LOCAL GOVERNMENT ACT 2013 Following the elections, a new sense of urgency was palpable for strength seeing local government the provinces found themselves in a vivtnal race to do better. KPK took lead to estimate in real earnest as have PTI, which won the most seats, emerged on the scene without any baggage. The process was given a boost in KPK by the UNDP initiative for federalism and The Local Government Act, 2013 was passed by the Provincial Assembly on October, 30, 2013 (Buneri, 2013). AHKRC with the help of UNDP organized a series of consultations with representatives of political parties, government officials, members of academic community, media and civil society a candid dialogue on the subjects and functions to be devolved from provincial to local government stipulated under the 18th Amendment. Detailed discussion on the draft bill was made possible due to technical assistance received from Secretary, Local Government, Khyber Pakhtunkhwa and Technical Working Group Members.

The Chief Secretary Khyber Pakhtunkhwa, Arbab Muhammad Shehzad of Reforms Implementation Cell (RIC), had established Working Groups for Education, Health, Local Government & Rural and E-Governance to accomplish the mission of the Provincial government. The Working Group in local government and rural development sector were enriched by

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participation of top political leadership including Inayatuallh Khan (Minister for Local Government and Rural Development Department) as Chairman, Shahram Khan Tarakai (Minister for Agriculture), Member, Yousaf Ayub (Minister for Communication and Works), Member, Shafqat Mehmood, (Member National Assembly), Member, Ms. Aneesa Zeb Tahirkheli (Member Provincial Assembly), Member, Hifzur Rahman (Secretary Administration), Member, Rahmat Ghazi, Member, Ali Asghar Khan, Member, Dr. Iqbal Khalil, Member, Fariduddin Ahmad, Member, Mukhtar Javed, Member, Ms. Mayuam Bibi, Member and Syed Said Badshah Bukhari (Secretary Local Government) as Member/Secretary.

The Working Group was responsible for preparing the draft of Local Government Bill. After the completion of legal proceedings, it was approved by the cabinet and later taken up by the KP Assembly. The new Act incorporated most of the recommendations received during the consultation process initiated by UNDP and AHKRC. The Act envisages that the local body polls will be held under the new law instead of Khyber Pakhtunkhwa Local Government Ordinance, 2001.Consultation is also being carried out with the Election Commission of Pakistan (ECP) in this regard. An overview of this draft is mentioned below:

1.3.1. District Government  District Government is mandated to provide and manage social services including water, sanitation, sewerage, education and health.  District Council and District Administration will be made up of the devolved offices with Executive Authority vested in Chairman District Council. The Chairman will look after the operation, management, financial and administrative control of devolved offices and will be responsible to the people and Government for improvement of governance and delivery of services.

1.3.2. Tehsil Government Supervisory role, provision of municipal services (streets, roads, water supply etc.) and development of infrastructure will be the obligation of tehsil government.

1.3.3. Village and Neighbourhood Councils This will be the lowest tier of government (replacing Union Council) and comprise of 4,000 to 8,000 elected officials with Chairman and Vice-Chairman as its leaders. The delimitation of the village councils will be done for the first time. These councils will monitor and supervise the performance of functionaries of government departments located in the area of the council including education, health, engineering, agriculture, livestock policy and revenue.

1.3.4. Grants and Fiscal Transfer Framework Provincial Finance Commission (PFC) comprising of 12 members including Minister of Finance (Chairman), Minister Local Government, two members of Provincial Assembly nominated by Chief Minister and Leader of Opposition, Secretaries to Government, Finance, P&D and Local Government (LG) Departments, Two Chairmen District Councils and Two Chairman Tehsil Councils will be constituted.

The PFC will make recommendations to the Government on the amount of Local Government Grant out of Provincial Consolidated Fund in a financial year in addition to the grant in lieu of Octroi and Zilla Tax. Development grant for local governments shall be so determined that it is not less than 50% of the total development budget of the province in a given year. Grants to local government will be predicated on the criteria of poverty, population, and infrastructure lag and revenue base.

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1.3.5. Elections and Franchise

 District and Tehsil Councils i. Direct elections to general seats of both District and Tehsil Councils will be held on bases of Wards. 33% for women, 5% for peasants and workers, 5% for minorities and 5% seats will be reserved for youth. ii. Elections to district and Tehsil Councils will be held on party basis and a political party shall be eligible to obtain an election symbol for contesting the elections. iii. There will be single member territorial wards for general seats in Tehsil and District Council and District and Tehsil single ward for all seats reserved for women, peasants and non-Muslims. iv. Members will fill reserved seats, elected through proportional representation system of political parties list of candidates, on the basis of the total number of general seats by each political party. v. Electoral College for the election of Chairman and Vice chairman District and Tehsil Council shall be members of respective council.  Village and Neighbourhood Councils i. Direct elections on non-party basis through adult franchise, joint electorate and free list system will be conducted for Village and Neighbourhood Councils. ii. Candidates obtaining highest and 2nd highest votes will be designated as Chairperson and Vice Chairperson. iii. The councils will consist of General Seats (Muslims) for 5 to 10 members. 2 seats for women, 1 for peasants and workers, 1 for minorities and 1 seat will be reserved for youth.

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Rationale for Consultations . Objectives

. Strategy

. Methodology . Key Questions

2.0 RATIONALE FOR CONSULTATIONS

Inspired by 18th constitutional amendment and the country‟s quest to optimize opportunities to improve service delivery mechanisms through democratic and parliamentary instruments of decision-making, UNDP embarked upon the project titled “Strengthening Participatory Federalism and Decentralization” to inform, facilitate, support and maximize the process of transition-management at federal, provincial and grassroots level. Driven by thses objectives UNDP supported the process of holding a series of consultation meetings in four major regions of Khyber Pakhtunkhwa (KP) including Dera Ismail Khan (DI Khan), Peshawar, Hazara and Malakand regions. AHKRC collaborated with UNDP to set in motionthe process of Consultations.Diologues between community, elected representatives and government officials were convened in D.I.Khan , Abbottabad, Swat and Peshawar with great success. The current report entails a brief account of the rationale, strategy, proceedings and recommendations of these consultations. 2.1. CONSULTATION OBJECTIVES The main objectives of the consultations, in line with UNDP‟s initiative on Strengthening Federalism were as follows:

i. To facilitate consensus based legislation by provincial law makers in KP ii. To generate discussion on the context of devolving power to Local Government Authorities (LGAs) as defined by Article 140-A of the Constitution of Islamic Republic of Pakistan iii. To exchange views on appropriate number of tiers for Local Government, size and boundaries of each tier, criteria for deciding the level of each tier and devolution of sectors and functions to various tiers 2.2. CONSULTATION STRATEGY AHKRC engaged all the key stakeholders in the consultation process and ensured their maximum involvement to receive meaningful response on the proposed Local Government Act. For this purpose, small scale meetings were conducted with eminent people from all walks of life in order to sensitize them of their responsibility to bring their opinions to the forefront with regard to the local government system in the province. They were informed that this was a crucial opportunity for them to raise their voice and play a key role in framing a system in accordance to the public will, whims and demands. Letters of invitation were circulated and all the invitees, ensuring their participation, were reminded through electronic mails, telephone calls and Mobile- Text-Messages/ Short Messaging Service (SMS) of their commitment prior to the days of holding the workshops.

2.2.1. Participants in Consultation The consultation meetings were attended by more than 200 participants including the Minister for Local Government and Rural Development Department, Mr. Inayatullah Khan, Speaker Provincial Assembly KP, Mr. Asad Qaiser, representatives of mainstream coalition and opposition political parties of the country as well as the region (Pakistan Tehreek-e-Insaf, Pakistan People‟s Party, Pakistan Muslim League-N, Muttahida Ulema Council, Jamaat-e-Islami, Jamiat-e-Ulema-e-Islam-F, Awami National Party, Muttahida Qaumi Movement, Qaumi Watan Party, Tehreek-Suba Hazara Pakistan, Global Peace Council, Swat Qaumi Jirga, Sraiki Lok Party), members of Working Group in local government and rural development sector, serving as well as retired public servants, academia, department heads of local government institutions

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(Local Government and Rural Development Department-LGRDD), Civil Society Organizations (CSOs), (Rise International, Sarhad Rural Support Program, Sungi Development Foundation, Women Commission, Swat Active Youth Society, Innovative Youth Forum, Optimistic Youth Network, GIZ, First Women Jirga, The Awakening), lawyers from the district bar association, former councilors, minorities and print and electronic media personnel (Express News, Geo News, Daily Mezan-e-Adl, ARY News, Dunya News, PTV, Daily Shamal, Daily Aitidal, Daily Auqaf, Daily Dawn, Daily Statesman, Daily Mashriq, Daily Akhbar-e-Khabar, Daily Nai Baat, Daily Payam-e-Noor, Daily Sarhad Times, Daily Darpan). For Details, See Annexures. The overwhelming participation of women, coming from diverse backgrounds, was a very important indicator of their perception that they were key stakeholder in the decision making process revolving around bottom-up democratic approaches. 2.3. CONSULTATION METHODOLOGY The methodology was designed to ensure meaningful participation without any discrimination. In line with the principles of democratic discourse, two way communication was ensured whereby the participants were encouraged to ask questions, give their views and share their experiences. The participants were informed, through presentations, about the context and constitutional requirements of Article 140- A and the redistribution of subjects and functions between various tiers of government.

The Draft Policy Framework on Local Development in Khyber Pakhtunkhwa developed by the high-powered working group was also presented and explained to the participants. They were then engaged in healthy discussions, through group work, presentations and one-to-one interactions, regarding the devolution of responsibilities and authorities of all the functions to the elected representatives and its implications in the wake of Article 140-A. The participants were divided into three groups. Each group presented their views and further discussion was carried out on their suggestions and opinions.

2.4. KEY QUESTIONS To facilitate the discussion, the participants were asked to respond the following key questions:

Question 1 a) What sectors do we want to devolve from the provincial to local government? b) What functions in each sector we want to devolve to various tiers of local government?

Question 2 Article 140-A has mentioned to “devolve political, administrative and financial responsibility and authority to the elected representatives of the local governments” however, administrative and financial functions are not being performed by elected representatives at provincial level. So, the participants were asked to determine how these functions could be devolved to elected representatives at local level and what would be its implications needs to be thoroughly reviewed due to the serious nature of its consequences.

Question 3 Bearing in mind that any legislation done by a province is open to judicial review, the participants were reminded to make decisions in line with the sub-clause stating that the province should “devolve political, administrative and financial responsibility and authority to the elected representatives of the local governments” could be challenged in the court of law and delay and derail the process of devolution to local governments and local bodies elections.

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Understanding Issues . Perspective Participants . Key Legislative Issues Deliberated

3.0 UNDERSTANDING THE ISSUES

3.1. PARTICIPANTS PERSPECTIVE ON DEVOLUTION The views of the participants on the question of devolution generated a lively debate. The views touched on different issues relating to the structure and organization of government. The following is an executive summary of the views:

 Benefits should be apportioned from resources between the district government and village councils where such resources are found.  Almost all the participants agreed on Village Council as the lowest tier of government.  There was wide support for local government, which people said should be strengthened to support the state in administrative, management and development at the local level. · The Budget should be done from the grassroots level to the top.  All councilors should be elected on party basis through adult franchise and joint electorate.  The Chairmen of District and Tehsil Councils should be elected directly by the people.  The councilors should be required to have certain minimum educational qualifications.  There should be a certain proportion of women in Provincial and District Finance Commissions.  Some articulated that the Local Government Ordinance, 2001 should be implemented with amendments instead of it being abolished.  Others were in favour of filling reserved seats on proportional basis.  Annual Development Programs (ADPs) should be shared with the members of village councils in order to avoid duplication and prevent the wastage of development funds.  District Finance Commission should be established at district level to ensure an amicable and equitable distribution of financial resources.  Monitoring and supervisory mechanisms should be strengthened to ensure accountability, transparency and efficient delivery of public services at the grassroots level.  Persons with Disabilities should have reserved seats in the Village, Tehsil and District Councils as they form 15% to 18% of the total population in the country.  The delimitation of village councils should be pursued on the basis of population and not on the basis of geographic area.

Minimum educational Municipal courts should Election at Village

qualification for the be established to Council level should be

District and Tehsil regulate encroachment, held on party basis and Chairmen should be inflation and other seats for women should Graduation. municipal laws. be increased from 33% to 50%.

Zafran Hussain (Pakistan People’s M. Saeed Party) Faheem Iqbal (Social Worker) (Advocate)

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Revenue assignment Framework should be Honorarium must be and Expenditure developed to ensure granted to the Union assignment must be compatibility of the LG Councilors to get rid of given due manifestation Act with the existing the dreaded menace of in the proposed KP LG civil service structure by corruption. Act 2013. transferring fiscal and administrative authorities to the Rubina Naz Naznin Shad elected represent- (Women Commission) (PARD Peshawar) atives. Nobat Khan (MQM)

The District and Tehsil Regular capacity The main aspects of Chairmen should be building programs the Local Government directly elected through should be initiated for System should be adult franchise and joint the Union Council publicized in the print electorate members, Tehsil and and electronic media District Chairman, for the common people common public and all in their language.

other stakeholders. Habibullah Wazir (Additional Collector) M. Ashfaq Kamran Haider (Advocate) (Former Councilor)

Legislation should be Consensus should be The right to impeach carried out to ensure developed among the the District and Tehsil the continuity of the local leaders and Chairmen should be local government members of assemblies granted to the system but it should be on power sharing and Councilors to ensure in accordance with linkages. accountability. changing times.

Irfan Mughal Latifullah M. Siddique (Ary News) (Retd. Civil Servant) (Former Councilor)

Public should be Equal financial funds Development plans facilitated on the day of should be granted to should be implemented election as a voter will the Village Councils to by respective councils have to caste 7 votes. discourage corruption. minimizing allocation of resources to MPAs and MNAs.

Usman Ghani Naila Nazir (Asst. (Sarhad Rural Professor Peshawar Ijaz Ahmad Support Program) University) (Qaumi Watan Party)

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3.2. KEY LEGISLATIVE ISSUES DELIBERATED The key issues discussed in the meetings included the history and background of devolution, the size and character of devolved units, the institutions and structures of devolved government, the powers and functions of devolved units, financing of devolved units, the place of marginalized groups and communities in the devolved system of government, and the process of implementing the devolved system of government.

The proposal for Devolution of Power by the government of KP was supported in principle. The participants of workshops felt that the suggestions and recommendations coming from the grassroots level should be incorporated and taken into consideration to make the proposed legislation responsive to local concerns. It was urged very strongly to create viable structures that would promote equitable resource allocation, accountable governance, delivery of public services and the empowerment of the people.

3.2.1. Tiers of Government The delegates were predominantly in the support of Village and Neighbourhood Councils as the lowest tier of government. It was suggested that their delimitation should be carried out on the basis of population. Some participants favoured a three-tier devolution structure (district, tehsil and village and neighbourhood council) while others were of the view that it should be a two-tier devolution structure (district government and village and neighbourhood councils) by abolishing the tehsil tier or integrating it with the district. It was generally proposed that there ought to be comparable social and economic resources for the proposed units of devolution.

3.2.2. Understanding Constitutional Requirements of Devolution The Articles 140-A, 32 and 37(i) were discussed with the participants at length. Some of the people had limited knowledge and level of comprehension about devolution, its underlying aspects and the constitutional provision related to it. It was felt that regular capacity building endeavors were the need of the hour in developing the political knowledge of the general public at the grass roots level. It was discussed that this would lead to the realization of their rights as well as duties which would benefit in the efficient functioning of local governments.

3.2.3. Functions of Devolved Government Some delegates were of the view that District Councils ought to have legislative power devolved to them while others were of the view that the Provincial assembly ought to handle all legislative issues of the devolved government. Some participants argued in favour of devolving functions police, minerals, tourism and forestry departments to the district governments. One of the participants suggested that documentation of current facilities and quality of services as well resources and local priorities should be devolved to the tiers of local government. It was asserted that the Village and Neighbourhood Councils should be given tax collection authority and 40% of the revenue generated thus should be spent on the Union Council (UC) while the remaining may be transferred to the district councils. It was proposed that the Disaster Management and Response Department along with the Forest and Environment Department should be devolved to the lowest tier. It was also proposed that Zakat and Bait-ul-Mal fund should be distributed through democratic process by allocating it to the local village council which should be responsible to select the deserving individuals.

3.2.4. Delimitation of Wards The fora asserted that a consultation mechanism ought to be set up for taking the general public on board. It was unanimously agreed that the delimitation of wards should be pursued on the

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basis of population. One of the participants put forth the idea that the population of Village and Neighbourhood Council‟s should not be more than 20,000. It was argued that one Union Council should comprise of at the most two village councils to reduce the number of Village and Neighbourhood Councils by half.

3.2.5. Coordination among Stakeholders The delegates discussed that the political linkages among the members of Village/Union councils and the Members of Provincial Assembly (MPAs) or Members of National Assembly (MNAs) should be strengthened and the tussle to overpower one‟s rivals in the quest to localize and personalize power by virtue of clienteles‟ politics may be abolished.

3.2.6. Financial Arrangements Some of the participants proposed that District Finance Commission may be constituted in order to decentralize the fiscal matters including the handling and expenditure of funds. The delegates appreciated the current government‟s efforts and planning to ensure that development grant for local governments should not be less than 50% of the total development budget of the province in a given year. Another suggestion was that women should have representation in the Provincial Finance Commission (PFC) as well District Finance Commission (DFC). It was also proposed that district monitoring and evaluation councils should be formed with the inclusion of civil society representatives in order to promote transparency, inclusion and accountability.

3.2.7. Taxation The forum felt that in order to mobilize and generate revenue and reduce dependence on the provincial government, taxes should be levied at the Union Council level on natural resources such as forests, minerals, water and tourism. It was suggested that the terminology of “Tax” should be replaced by “Service Charges” and based upon the previous system of Usher that had existed in the area during the mid-nineteenth century. Some delegates strongly opposed the employment of any sort of tax regime at the local level while others professed the implementation of Pakistan Income Tax Act, 1932 in Swat.

3.2.8. Administration of Devolved Units It was proposed that local government service commission should be established to provide personnel to the devolved units. The tenure, academic and age qualifications for the administrators should also be specified. The participants also argued that the District Coordination Officer (DCO) and District Police Officer (DPO) should report to the chairman of District Council. Some delegates were of the opinion that the Police department should be independent to ensure transparency and rule of law. The fora proposed that District, Tehsil and UC coordination officers should be designated to improve the coordination among district, tehsil and village councils. It was suggested that the Chairman of Village and Neighbourhood Council should be promoted to scale 14 to ensure efficiency and transparency.

3.2.9. Participation of Women Women from different walks of life present in the meeting, expressed their views and demanded equal participation of women in the local government system. The Founder and Chairperson of First Women Jirga proposed that the elimination of violence and all forms of discrimination against women should be the responsibility of the village and neighbourhood council. Besides, it was suggested that the women should be granted ample representation in the reconciliatory committees at the local level to enable them stand for the safeguard of their rights. It was also discussed that it should be the responsibility of the lowest tier of local government to facilitate the women with any easy access to Bait-ul-Mal.

3.2.10. Electoral Process

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Some participants were in favour of holding the election at all the three tiers of local government (village and neighbourhood council, tehsil and district) on non-party basis. The argument put forward was that the vested and clientelist interests of political parties was a hurdle towards transferring the benefits of the LG system to the grassroots level and un-equal distribution of development funds. The opponents of this debate were of the view that the even the non-party candidates and local representatives had clandestine affiliations with political parties so it was better to hold the elections on party basis to avoid the localization and personalization of power. Another suggestion was that the Chairmen of Tehsil and District Councils should be elected directly and an educational qualification should be specified for their offices. It was also discussed that the tenure for the local governments should be from 4-5 years duration by giving the system ample amount of time to mature and reciprocate to the demands of the modern times.

3.2.11. Challenges to Devolution During the workshops, the main challenges facing devolution were discussed including inadequate resources to support the effective implementation of devolution, political resistance to the implementation of devolution, lack of a common understanding of the roles of the different institutions involved in the implementation. In addition, some of the challenges being faced are mentioned below:

 Lack of rule of law  Lack of awareness about local government system, concept, spirit and working  Non-implementation of accountability, mechanism as provided in law  Lack of political will to strengthen the grassroots level of resolution of local problems  Prevailing political rivalry amongst the local leaders and members of assemblies on power-sharing and artificial supremacy  Doing and un-doing the LG system by the political parties in power-lack of continuation of the system (gaps, intervals etc.)  Undue interference in the functioning of LG institutions by political elites, bureaucracy, influential people and press  People‟s attitude towards LG not realistic rather aggressive, selfish and humiliating  Non-merit based staff induction at all tiers and frequent transfers against the prescribed policy of government and over-staffing  Local taxes neither encouraged nor levied through the process of law  Financial constraints and wastage of value resources  Non-observance of municipal code  Moral corruption  Poor managerial qualities of the departmental heads of local government institutions and poor coordination

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Dialogue Facilitation among

Stakeholders . Minister Local Government KP . Speaker Provincial Assembly KP . Point of View of the Opposition Parties

4.0 DIALOGUE FACILITATION AMONG STAKEHOLDERS

One of the most significant features of the consultative meetings was the participation of key Government officials and representatives from the ruling, coalition and opposition political parties. Members of the Working Group in Local Government and Rural Development who had been designated the task of framing the Local Government Act, 2013 were also present. Mr. Inayatullah Khan, Minister Local Government and Rural Development Department (LG&RDD), along with Speaker Provincial Assembly KP, Mr. Asad Qaiser, also graced the consultation with their presence. The Government luminaries not only informed the audience with recent developments, procedures, processes, consultations, matters of agreement and contest; but also responded to the queries raised by the participants from different segments of society regarding the local government legislation.

4.1. ADDRESS BY MINISTER LOCAL GOVERNMENT KP Addressing the inaugural session of the final workshop held in Peshawar on October 30, 2013, Mr. Inayatullah Khan, Minister for Local Government and Rural Development Department (LG&RDD) KP, said that the inclusion of the public sentiment to firm up a solid program would go a long way in fostering the true spirit of devolution of power. At the same time, he said, the KP government had been holding consultative meetings for the last five days to finalize the Act through consensus. The issue of holding elections on party or non-party basis was expected to be resolved pretty soon, he said.

While talking to the participants of the consultation forum, the Minister unveiled the proposed Khyber Pakhtunkhwa Local Government Act, 2013 provided for direct elections on general seats of District and Tehsil Councils. He informed the audience that the proposed bill envisaged filling of the reserved seats in Tehsil and District Councils on the basis of proportional representation system of party`s list of candidates on the pattern similar to that of filling such seats in the national and provincial assemblies.

A major innovation in the bill, he said, was the replacement of Union Councils by Village Councils in rural areas and Neighbourhood Councils in urban areas. The new law envisaged establishing 3,500 villages and neighbourhood councils across the province with population ranging between 2,000 and 10,000. The wards for the general seats in tehsil council and district council would be single member territorial wards. He further added that the elections of all the local councils would be held on the basis of joint electorate and adult franchise. However, the polls for village and neighbourhood councils would be held on non-party basis whereas rest of the councils would be on party-basis.

He clarified that each Tehsil or District would be a single ward for all seats reserved for women, peasants and workers, youth and non-Muslims allocated to the tehsil or district. Furthermore, Members to fill seats reserved for women, peasants and workers, youth and non-Muslims in the tehsil council and district council would be elected through proportional representation system of political parties` list of candidates on the basis of the total number of general seats secured by each political party in the respective local council.

The Minister noted that the Electoral College for the election of Nazim and Naib Nazim of a district and tehsil councils would be all the members of the district and tehsil councils

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respectively. He articulated that the proposed law envisaged that the elections to district and tehsil councils would be held on party basis and a political party shall be eligible to obtain an election symbol for contesting these elections.

It also empowered a member elected on independent basis to join any political party within three days of the publication in official gazette of the names of the returned candidates and the total number of seats won by a political party would also include those independents.

Mr. Inayatullah stated that under the proposed law the provincial government would within 60 days of the commencement of the law notify village and neighbourhood councils in all districts. Each village and neighbourhood council would comprise 10 to 15 members, including five to 10 Muslim members, determined on the basis of population, elected to general seats; two members elected to seats reserved for women; and one member each elected to seat reserved for peasants and workers, youth and non-Muslims.

The village and neighbourhood councils would be multi-member wards for election of members and the candidates securing the highest and second highest number of votes in the election on general seats of the village and neighbourhood councils, would respectively be the Nazim and Naib Nazim of that council.

Another important initiative, he added, was the activation and strengthening of District Development Advisory Committee (DDAC). The Deputy Commissioner would be the Secretary of the committee and would go a long way in the formulation of an effective coordination mechanism among the Members Provincial Assemblies (MPAs) and Nazims District and tehsil Councils. He told the gathering that the committee had the mandate to discuss all the issues pertinent to the district regarding law and order situation, fiscal matters, and administrative procedures etc. but had not been bestowed the authority to strike down decisions taken by the District Councils, thus, granting flexible impunity to the local governments and also ensuring transparency and accountability.

In responding to the questions of the participants, Mr. Inayatullah said that the District Nazim had been granted authority over the Deputy Commissioner who was supposed to report directly to the elected representative and the Nazim reserved the prerogative to present his Annual Confidential Report (ACR). He said that the District Finance Commission (DFC) had not been proposed in the bill but the Provincial Finance Commission (PFC), headed by the Provincial Finance Minister, had been strengthened. Two Tehsil Nazims from the province were to be selected as representatives of the local government in PFC, he said. He further added that the right to impeach the Nazim had been given to the respective council and no-confidence motion could be passed through two-third majority.

In an answer to the question on autonomy of the Village, Tehsil and District Councils, the Minister elucidated that all these entities had been corporate in the past but now the proposed bill has restored their demarcation, in terms of coordination, and also defined the legislative competence of each tier. He said that a grade-7 clerk would be provided to each Village Council who would be answerable to Tehsil Municipal Officer (TMO) and Tehsil Municipal Administration while the Village Council would present the annual report to Tehsil Council. Village Councils would be constituted within the limits of Union Councils (UC) and UC unit had not been broken, rather, it had been subdivided into smaller units.

On the question of tussle of power among the MNAs, MPAs and Local Government, Mr. Inayatullah Khan responded that the idea of devolution of power would sink into the minds of the stakeholders gradually and the continuity of political process, strengthening of political parties,

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political maturity , economic and social empowerment of communities along with awareness and education in the masses would be instrumental in discouraging the MPAs and MNAs to challenge the autonomy and authority of local governments.

While pointing to the devolution of police related matters to the Village Council, the Minister said that the Department of Police had been regulated by the Police Order 2001. However, governing boards and committees would be formed from among the elected representatives in the Village Councils to ensure accountability, fairness, efficiency and transparency under the Thana of their jurisdiction.

Mr. Inayatullah Khan, answering to a question on the educational qualification of the Nazims, elaborated that the Constitution of Pakistan had not imposed any such restriction even for the seat of Prime Minister and so the proposed bill, in conjunction with it, had not envisaged such a constraint.

Some of the participants of the forum remarked that non-party based Village Council elections will give vent to floor crossing and horse trading. In his reply, the Minister said that the question on dichotomy of electoral systems among different tiers of local government had remained a matter of serious debate in the Select Committee meetings but he believed that it would become quite difficult for the political parties to manage the election of 60,000 councilors. He added that non-party based elections would strengthen the spirit of Village Councils, however, the matter was still under debate and a solution to it would soon be reached through consensus.

While responding to a major question on the political and bureaucratic interference in the affairs of district governments, Mr. Inayatullah articulated that the local government would operate within the framework of the provincial government, therefore, the proposed law did not impinge the local government system. “The Chief Minister can suspend the District Council Nazim for 30 days and if not proved he will stay reinstated”, he said. 4.2. ADDRESS BY SPEAKER PROVINCIAL ASSEMBLY KP In practical demonstration of KPK‟s poitical leadership‟s commitment Speaker Provincial Assembly, Mr. Asad Qaiser, devoted time to a number of sessions. He said consensus had been achieved on the 95% content of the KP Local Government Act 2013 in consultation with all political parties including opposition parties. PTI government, he said had allocated 37% of the budget for the first time in history, for the proposed three tier structure of government, at the Village, Tehsil and District level. He commended the efforts of the Provincial Government in promoting an atmosphere of consultation by taking all the stakeholders on board and deliberated that the 18th amendment presented a historic opportunity to the people of the country to claim their share in the power structure. 4.3. POINT OF VIEW OF OPPOSITION PARTIES Representing the opposition parties in the meeting held in the provincial capital Peshawar, Mr. Atta-ur-Rehman from Jamiat-e-Ulema-e-Islam (JUI-F) emphasized the importance of devolution of fiscal and administrative authorities and responsibilities to the elected representatives and articulated that the proposed legislation should be in coherence with the Constitution of Pakistan in letter as well as in spirit. He remarked that mechanisms need to be put in place to discourage tussle between the local government representatives and MPAs. He said that personalization and localization of power should also be checked through proper accountability and checks and balances.

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Recommendations from the Grassroots… . Political Devolution . Administrative Devolution . Financial Devolution . General Recommendations

5.0 RECOMMENDATIONS FROM GRASSROOTS

The participants came up with numerous recommendations on the structural mechanics, procedural dynamics and strategic corollaries of the devolution process. Here is a brief description of these recommendations: 5.1. POLITICAL DEVOLUTION  Party-based Electoral System: Local body elections should be held on party basis in order to maximize the political linkages between different tiers of government and minimize the localization and personalization of politics. Furthermore, this would also discourage floor crossing and horse trading.  Direct Election of Nazims: As opposed to the previous practice carried out in the Devolution of Power Plan, 2001, the head of Distirct Government, Distirct Nazim, and that of Tehsil Government, Tehsil Nazim, should be elected directly through the majority public vote. The Tehsil and District Nazims should have specified educational qualifications. The Electoral College should be village council members for District Nazim and neighbourhood council members for Tehsil Nazim.  Educational Qualification: Minimum educational qualification for the District and Tehsil Chairmen should be Graduation.  Women Representation: The representational seats of women should be increased from 33% to 50% in order to give them equitable participation in the decision making process.  Representation of Minorities: The minorities should be provided an ample opportunity to participate in the political process by respecting their rights and ensuring seats to be reserved for them.  Right to Impeach: The right to impeach the District and Tehsil Chairmen should be granted to the Councilors to ensure accountability.  Delimitation of Village Councils: Delimitation of village councils should be carried out keeping in mind the population, geographic, ethnic, facilities, staffing, operation and maintenance. . People from the grassroots level should be accessed to ensure their participation. The population of a village council should not exceed 20,000. The village councils should be constituted such that each Union Council houses not more than 2 village councils.  Village Council Members: The number of Village Council members is large which will lead to an increase in administrative and establishment cost as population of village councils is comparatively small. The authority and responsibilities should be devolved for one year to test the efficacy of the system.  Village Council Chairmen: The chairman of village council may be made the members of district council while vice chairman should be made the member of tehsil council.  Continuity: Legislation should be carried out to ensure continuity in the local governments. The tenure of Local Government system should be of 5 years duration.  An Anomaly in Proposed Law: The proposed law envisages that the general councilor with highest number of votes would be the Nazim while the one with the second highest number of votes would be the Naib Nazim. However, no mechanisms have been provided in the proposed law to deal with the situation that may arise in the respective council when one or more general councils are elected unopposed.

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 Scope of Elected Government: The role and scope of local governments in terms of services pertinent to health, education, sports, administration, agriculture, water management etc. should be enhanced.  Responsibility to Maintain Social Cohesion: The elected representatives of the Union Councils should be authorized to resolve social conflicts through reconciliatory process in order to promote harmony in the locality.  Rule of Law: The decisions undertaken by the elected representatives of local governments through reconciliation should be granted the status of Rule of Law under the Judicial Recommendation and Arbitration Act.  Resident Magistrate: The District and Tehsil Councils should have the prerogative of carrying out legislation to appoint dedicated resident magistrate to Tehsil Municipal Administration (TMA) for encroachment. 5.2. ADMINISTRATIVE DEVOLUTION  Documentation of Priorities: Documentation of current facilities and quality of services as well resources and local priorities should be devolved to the tiers of local government. The Academia and Universities should be integrated into this process. The students should be encouraged to carry out their researches and thesis on these subjects.  Service Delivery: All social service delivery within a district should be under the subordination of District Council while all municipal and daily consuming services delivery within a district should be subordinated to Tehsil Council including Public Health and Engineering Department (PHED). All the administrative functions of devolved departments under Executive District Officers (EDOs) should be authenticated by the majority decision of District Council. Similarly, creation of posts, hiring firing transfer of staff, creation and disposal of assets, approval of new taxes and all contracts should be approved by the respective councils. There should be no execution at village council level and the village council should make recommendations to the district council.  Establishment of Local Government Service Commission: Local Government Service Commission should be formed to recruit/post/induct staff on merit and oversee the transfer of administrators in coordination with the chairman of the District Council.  Coordination Officers: Coordination officers should be appointed at the District and Tehsil level and a Secretary at Union Council level, on the pattern of Local Government Ordinance 2001, to ensure coordination among all tiers of local government. These should be under the administrative control of Chairmen of respective councils at all level. Maximum tenure for coordination officers should be 3 years. In case of poor performance, the officers‟ transfer should be tabled before the respective councils. Annual Confidential Reports of the coordination officers should be initiated by the chairmen of respective councils.  District Ombudsmen System: The district ombudsmen system should also be strengthened to address weakness and irritants in the local governments system.  Autonomous Local Governments: A culture orchestrated around and dominated by the whims and will of the MPAs and MNAs needs to be discouraged so that the authorities and responsibilities are devolved to the LGs in letter as well as in spirit. Coordination must be developed among various tiers of government to abolish intrusion and localization of power.  Primary and Secondary Education: Educational/university entrance exams should be held at the district level. The Government school‟s petty funds should be in line with the recommendations of the Union Council as well as in accordance with the school‟s development plan. The district government should be authorized to undertake innovations in the local schools in coherence with the National Education Policy in order

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to improve the quality of education. The teachers should not be transferred before a minimum of threshold of 3 years to ensure consistency and continuity.  Vocational/Technical Education: The district government should be granted the authority to recommend and propose technical/vocational trades in accordance with the local needs, interests and inclinations of the youth.  Special Education: The Non-Government Organizations (NGOs) working with Persons with Disabilities should be granted sufficient grants so that they are able to fulfill their responsibility of complementing the government in letter as well as in spirit. A district level forum of Persons with Disabilities may be constituted to propose recommendations to the district government. In addition, legislation should be carried out in the District Councils for Persons with Disabilities and appropriate steps should be taken to ensure the implementation of existing by-laws in local context. Finally, Persons with Disabilities should have representation in district government.  Mother and Child Health Centre: Mother and child health department should be made a part of the health department. Regular innovative programs should be pursued in order to bring down the Infant Mortality and Mother Mortality Rates. Local staff should be appointed to these departments to enhance their efficacy.  Basic Health Units (BHUs), Rural Health Centres (RHCs) and Hospitals: Steps should be taken by the district government to upgrade the BHU/RHC. Health units should be under the direct supervision of the local government. In order to promote accountability and feedback mechanisms, health committees should be linked with the local government while banning private practice.  Social Welfare and Community Development: The Social Welfare Ordinance 1961 should be granted the status of “Act”. In order to regularize the mushroom growth of NGOs, scrutinized registration may be pursued. A forum of NGOs at district level should be revitalized. Simultaneously, CCBs should be given a role in the local government setup.  Progress Sharing: Annual progress reports should be published on Union Council level which may be discussed in the District and Tehsil Councils for performance appraisals.  Municipal Courts: Municipal courts and municipal magistrates should be established under the jurisdiction of the current judiciary to regulate inflation, encroachment and other municipal by-laws.  Violence against Women: Violence and all forms of discrimination against women should be designated as the responsibility of the village councils. Representation of women in reconciliatory committees should be enhanced by ensuring their proper participation. The village councils should facilitate the women with easy and hassle-free access to Bait-ul-Mal.  Disaster Management Authority: The disaster management and response authorities should be devolved to village council level. Formulation of safety, emergency, mitigation and evacuation plans must be the responsibility of the village councils.  Land Use Planning: To regulate encroachment, land use planning should be devolved to the districts and should be coordinated at all tiers of government. For this purpose, the capacities of local government institutions should be enhanced.  Authority over Local Thana: The elected representatives of the Union Council should be granted constitutional protection to maintain a system of check and balance on the local thana‟s police.  Forest and Environment: The forest and environment departments should be devolved to the districts as well. The districts should benefit from the generated revenue and resource base.

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 Provision of Infrastructure: Infrastructure should be provided to all the union councils by combining 2 to 3 Union Councils with population ranging from 100,000 to 150,000.  Police: The Police department should be independent and should not be under the local governments to guarantee transparency and rule of law.  Public Fora: Town meeting (public forum) for social accountability and public query should be set up to ensure the inclusive participation of general public at grassroots level. 5.3. FINANCIAL DEVOLUTION  Provincial Finance Commission (PFC): A rule-based fiscal transfer mechanism ought to be established for the division of Provincial Consolidated. Some of the criteria proposed for allocation of funds between the province and the local governments are as follows: i. Poverty ii. Infrastructure iii. Revenue Collection iv. Population v. Conflict and disaster vulnerability vi. Inverse Density Population Natural resources may also be included in factors relating to distribution of Provincial Consolidated Fund between the province and the local governments. Provincial Finance Commission should be formulated on the basis of representational parity giving equal representation to the district government.  Revenue Collection Mandate: The mandate of district governments to collect revenue should be extended, thus, exterminating their excessive dependence on provincial funds. In order to introduce a mechanism of accountability and transparency on the Tehsil and District level, the elected members of Union Council should be taken into confidence and made part of the consultation process.  District Expenditures: The district government should reserve the prerogative to alter its expenditures as a vast proportion of district expenditures are “establishment charges”.  District Finance Commission (DFC): In order to decentralize the fiscal distribution of revenue, district finance commission may be established at the district level. The involvement of MPAs in district level development projects should be restricted while two members from ruling and opposition should nominate for the District Finance Commission. The establishment of District Finance Commission and implementation would be responsibility of the elected members of provincial assembly and their monitoring.  Resource Allocation between MPAs and LGs: Allocation of resources between LGs and MPAs should be consensus based and should not dwell on any voting criteria to reduce the friction and tussle that is likely to arise owing to the MPA oriented culture as most of the development funds have, in the past, been diverted to the MPAs instead of the LGs.  Primary Level Tax Collection: The district council should be made responsible to collect primary taxes from the district. Another suggestion is that the Village Council should be handed over the taxation authority while atleast 40% of the generated revenue should be spent on the concerned Union Council while the rest may be transferred to the higher tiers of government. Service charges on the design of Usher system may be introduced. These charges should relate directly to the quality and standard of services being provided. Taxes should be levied at the Union Council level on natural resources such as forests, minerals, water and tourism.

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 Women Representation in PFC and DFC: Women should be given representation in Provincial and District Finance Commissions.  Civil Society Representation in Provincial Finance Commission: Civil society should have representation in monitoring and supervision. District monitoring and evaluation council should be formed with the inclusion of civil society.  Allocation of Funds for Disasters and Other Emergencies: Funds should be reserved for dealing with disasters and any emergencies along with mitigation plans. Funds should also be reserved for orphans, widows and marginalized groups.  Financial Transparency: General public should have knowledge and awareness of budgets. Websites and other electronic mechanisms should be used in this regard. An accountability committee should be formed to make the process of formulation, distribution and expenditure of funds transparent.  Urban/Rural Bias: The urban and rural administrative areas ought to be integrated (at the Tehsil level) as a major source of revenue for the urban areas is octroi levied in urban areas for all goods regardless of whether they were eventually consumed in a rural area. This results in a disproportionate access of resources for urban areas. This urban/rural bias has to exterminate to ensure uniform development.  Zakat and Bait-ul-Mal: Zakat and Bait-ul-Mal fund should be distributed through democratic process by allocating it to the local village council which should be responsible to select the deserving individuals.  Development Schemes: Development schemes and annual grants should be passed by the village councils and then transferred onto the District and Tehsil councils for further process. The District Council should be responsible for preparing development plans in coordination with the Tehsil and Village and Neighbourhood Councils. Annual Development Programs (ADPs) should be shared with the members of village councils in order to avoid duplication and prevent the wastage of development funds. 5.4. GENERAL RECOMMENDATIONS  Equity Based Resource Allocation: Regardless of the debate on the electoral system being party based or non-party based, its merits and demerits, procedures and mechanisms must be put in place to ensure the equity based distribution of resources to the grassroots level.  Local Capacities and the Role of Print and Electronic Media: The capacity of local people to exercise self-governance ought to be enhanced to sensitize them about roles and duties. Print and electronic media should take up this responsibility by telecasting public service messages, programs and dedicated transmission explaining the local government system and roles and responsibilities of stakeholders in simple yet elucidated language.  Complaint Redressing: An effective complaint registering and redressing system with clearly laid out procedures would go a long way in building trust between the community and Local Governments, reduce financial burden of the key stakeholders in building infrastructure and operating and maintain services and ensure sustainability of quality services.  Adherence to the Constitution of Pakistan: The proposed bill should be in adherence to the Constitution of Pakistan which stipulates the devolution of both fiscal and administrative authorities as well as responsibilities to the elected members of the local governments. Also, its compatibility with the existing civil service structure must be ensured.

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 Civil Dispute Committees: Legislation must be carried out for civil dispute committees, reconciliatory anjumans and jirgas to enable conflict resolution at the grassroots level.

6. CONCLUSION The overwhelming and vehement response of the participants to the consultations was a rational indication of the progress made by the country and its people towards democracy. The people were unanimously in favour of such education, awareness and training initiatives which would build their capacities in the effective exercise and wielding of power through the devolved responsibilities and authorities. The participants of the workshops demanded, vociferously, that the elections should be organized on party basis at all levels and the people from different parties should be capacitated and facilitated to learn to accept difference of opinion and pluralism with an open heart and objectively. It was also recommended that checks and balances must be strengthened and put in place between the elected representatives and bureaucracy to ensure accountability and transparency.

The devolution of political, administrative, financial and electoral responsibilities and authorities to the democratically elected local government would significantly enhance efficiency, transparency, accountability, fairness and participation in resource allocation and public service delivery. It is hoped that this will be instrumental in enabling the people from grassroots level to participate in public management and local governance.

REFERENCES Ahmed, V., & Amjad, R. (1984). The Management of Pakistan’s Economy, 1947-82. Oxford University Press.

Bhatti, A. (2013). Deconstructing Article 140 (A). Islamabad: United Nations Development Program (UNDP).

Hamid, S. (2010). Impact of 18th Amendment on Federal-Provinces Relations. Pakistan Institute of Legislative Development and Transparency (PILDAT).

Jalal, A. (1995). Democracy and Authoritarianism in Pakistan: A Comparative and Historical Perspective. Cambridge: Cambridge University Press.

Khan, Z. (2013). Post 18th Amendment of the Constitution of Pakistan: A Critical Appraisal". Islamabad: Strengthening Participatory Organization (SPO).

Mathur, K. (1983). Administrative Decentralization in Asia. In G. S. Cheema, & D. A. Rodonelli (Eds.), Decentralization and Development: Policy Implementations in Developing Countries (pp. 59-76).

Rizvi, S. A. (1976). Changing Patterns of Local Government in Pakistan. Pakistan Historical Society.

Smith, B. C. (1985). Decentralization: The Territorial Dimension of the State. London: George Allan and Unwin.

Talbot, I. (2009). Pakistan: A Modern History. London: C Hurst & Company Publishers Limited.

Turner, M., & Hulme, D. (1997). Governance, Administration and Development: Making the State Work. West Hartford: Kumarian Press.

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Waseem, M. (2007). Politics and the State in Pakistan. Islamabad: National Institute of Historical and Cultural Research, Centre of Excellence, Quaid-i-Azam University.

Waseem, M. (2010). Federalism in Pakistan. Lahore: Lahore University of Management Sciences.

Wilder, A. (1999). The Pakistani Voter: Electoral Politics and Voting Behavior in Punjab. Oxford University Press.

World Bank. (2000). Pakistan Reforming Provincial Financesin the Context of Devolution: An Eight Point Agenda. Poverty Reduction and Economic Management Unit South Asia Region.

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ANNEXES

ANNEXURE 1: CONSULTATION SCHEDULE

Sr. # Consultation Venue Date 1 Dera Ismail Khan August 31, 2013-September 1, 2013 2 Abbottabad September 7, 2013 3 Swat September 14, 2013 4 Peshawar October 30, 2013

ANNEXURE 2: NEWS PAPER CLIPPINGS

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ANNEXURE 3: CONSULTATIONS PARTICIPANT LIST

PESHAWAR

Afzal Yousafzai Director Ask Dev Sanhiz Ali UNDP SPFD Tamkeena Mansoor Manager SB/PEI Sajawal Cameraman G.S. Tunio PARD Peshawar Shakeel Mahmood Dept. of Information Naznin Shad PARD Peshawar Mukhtar Dept. of Information M. Saeed Khan ADR Specialist UNDP Ali Dept. of Information Amjad Bhatti UNDP Basha Rehman - Ayaz Muhammad AHKRC Waheedullah - Shafiq Alam PMU/MSP M. Khaliq PTI Kishwar Khan PMU/MSP Shumaila Tabassum Weder Ex. District Naseem-ur-Rehman AHKRC Councilor Said Rehman HRDO Javed Amjad LMO MPL coroporation Abdul Wahid Qadri Ex Nazim Shaleem David Project Coordinator ABES Atta-ur-Rehman JUI Asghar Khan AHKRC Shahid Ullah Babar QWP Shah Nawaz Khan AHKRC Nobat Khan MQM Suleman Khan AHKRC Sadia S Khan CEO AIRD Faheemullah AHKRC Inayat Asst. Professor Alhaj Mali Saleem Chamkani Chairman QWP Ali Babar Peshawar Dr. Usman Ghani PM-HID SRSP Ijaz Ahmad QWO Dr. Muhammad Iqbal Khalid JI (Naib Amir) Shah Usman Malik Akbar PPP Nasim Ahmad Khan S.V. chairman Khulsa 1 Omar Javed Sungi Foundation Maryam Bibi Program Officer Saifullah Ex Naib Nazim Rubina Naz Women Commission Inayatullah Minister of Local Government Ismail Khan KP Arbab Mir Afzal Khan General Secretary QWP Qazi Ayaz JUI Peshawar H. Shahzad PTI M. Iqbal Shah Haidri JUI Bushra Naaz Khwendo Kor Asad Qaiser Deputy Speaker Provincial M. Israr DLTO-URDO Assembly KP Ghulam Mustafa PA to Minister LG KP Ijaz Asst. Security Ashar Siddiqui IT Assistant MNCH KP Tahir P.A. to Deputy Speaker PA Dr. Naila Nazir Asst. Professor Peshawar KP University Dr. Naila Tabassum Asst. Professor Peshawar University Habibur Rahman - M. Zia-ul-Haq - Kifayat ur Rehman Credit Officer Hamid-ud-Din Office Assistant Swepeet Gill Cameraman Malik Mamoon Ahmad -

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DERA ISMAIL KHAN

Name Designation-Organization Saeedullah Marwat Geo News DI Khan Ramzan Seemab Express News Faheem Iqbal Executive Director Veer Hameed Pirzada Daily Mezan Inamullah Gandapor Ex. Councilor M. Kamran Ex. Nazim Dilshad Begum Ex. District Council Irfan Mughal Ary News Member Hanif Jan Ex. Tehsil Council Member Habibullah Khan Addt. DC Arslan Awan Dunya News Dr. Shadiullah Professor Gomal University Yasin Qureshi PTV M. Farooq PM HDO Atakkar Khan Ex. Councilor Abdul Rauf P.E. M. Asghar Khan Advocate Qais Javed Faith & Trust DI Khan M. Yasmin Jan PML (N) Ghulam Sardar Sup. LGRDD Sheikh M. Arif PML (N) M. Ishfaq J.U.I. (F) Adil Mughal Ary News Waqas Ali Program Officer Shaloom Victor St. Thomas Church M. Saeed Aasi Daily Aitidal M. Haroon Regional Officer TVO Abr-e-sabr Programming Officer SPO Neelofar Ex. Councilor Farhat Siddique Ex. Councilor Naheed Ex. Councilor Zahid Muhibullah Jamat-e-Islami Zafarullah VDP Qazi Shoaib Jamat-e-Islami M. Shabbir Nazim Amir Sohail Sadozai Presient Sahara S. Zafran Hussain S.V.P. Sardar Latifullah Civil Servant (R) Rehana Yasin Awaz SPO Member Tasleem Daud Awaz SPO Shaheen Sakina Awaz SPO Afshan Awaz SPO Saselia Awaz SPO Javed Masih Awaz SPO

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SWAT

Rehmat Ali C.E.C. Rasool Khan Former Nazim (UC Landikas) Jamiat-e-Ulema-e-Islam (JUI) M. Khaliq Advizor GIZ Latif Ahmad Chairperson STIP Samiullah Swat Active Youth Society Bilawal Jamshed President-Innovative Muhammad Zeeshan Optimistic Youth Network Youth Forum (IYF) Jawadullah Khan Optimistic Youth Network Waheed Imran President Aghaaz Hamid Khan Social Worker Shoukat Sharar Political Activist and Anwar Hayat Former Nazim Architect Engr. Umer Farooq G.S. PML-N Mutasarrif Khan Executive Director CDC Amjad Khan Social Worker Tabassum Bibi Founder and Mahmood Rafique G.S. SPC Chairperson-First Women Jirga Rashid Iqbal Chairman SPC Erfaan Hussain Babak Executive Director-The Khan Saeed Pak WIN Awakening Fazal Mabood Associate Professor Shahi Duran Former Tehsil Nazim Wafa Muhammad Associate Professor Nasir Qasmi Executive Director-KCDO Syed Mohi-ud-din Chairman AWS Swat Muhammad Ali Khpal Kor Taj Muhammad Former Councilor Ahmad Shah Chairman Global Peace Council Yasmin Begum Social Worker Faza Zahid Swat Qaumi Jirga Roquia Amin Staff Nurse Syed Akbar Former Nazim Raham Begum LHS Mazhar N. Khan Sraiki Lok Party Shaukat Saleem HRCP Dr. Jawad Chairman Innovative Youth Hamid Khan DO, Social Welfare Forum Nilofar Social Worker

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ABBOTABAD

Shakeel Anwar Media Coordinator-TSH Pakistan Fozia Abrar Social Worker M. Haroon Asst. Director LG&RDD Abdul Malik Khan Social Worker Qazi M. Bilal Ex. Secretary Union Council Altaf-ur-Rehman Ameer Mutahida Ulema Mazhar Leshari AHKRC Council Atd. Azhar Ali Khan Ex. Councilor UC-Kakul M. Aslam Qureshi Ex. Councilor Hashim Zaidi UNDP Omar Javed Regional Coordinator Sungi Gulzar Karlal Daily Shamal Tehmina Faheem PTI Vice President Atd. S.A. Shakoor Political Secretary PTI Atd. Gulzar Abbasi President PPP Atd. Abdul Haq PTI M. Rabnawaz Social Worker Shaleem David Project Coordinator-ABES Uzma Akram UN Habitat Engr. Sultan Jadoon Tehreek-e-Suba Hazara Bushra Waheed Ex. Councilor Jan Muhammad Qureshi PTI (Ex-Nazim) Alia Wajid Sungi M. Aslam Social Worker M. Saeed Ex. Nazim M. Mushtaq Social Worker M. Saqib Daily Aaj Surkhan Khan PAKSBAB Dr. Khurram Jadoon Veterinary Doctor SRSP Sardar Hukam Dad Ex. Nazim Malik Saeed Akhter Advocate Shah Sultan Kazmi Ex. Nazim Kakul Mobashar Hussain President Shabab-e-Milli M. Gulfam Sungi Hazara Sardar Arif Khan Sungi Gulfaraz Mughal Shabab-e-Milli Hazara Sultan Irfan TSH Mubarik Hussain Ex. Nazim Ahmed Abbasi Secretary Dist. Atd. M. Suleman Ex. Nazim M. Sabir Ex. Councilor Saeed Ahmed Khan Political Worker M. Wazir Social Worker Sardar Faisal Daily Aaj S.M. Riaz Secretary UC Nagri Bala Gul Khan Jadoon Chief Officer Aaj M. Ashfaq Khan President SUCA Atd. Sultan Khan Ex. Asst. DC Zobia Bibi Social Worker

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ANNEXURE 4: PARTICIPANTS’ FEEDBACK IN WORKSHOPS Feedback of Participants in Consultation Workshop Held in Swat Grades Workshop Evaluation Organization of Workshop Coherence Clarity Relevance Supply of Works Contact and Food Location Materials Hours Correspondence and Atmosphere Very Good 31% 23% 31% 46% 31% 58% 62% 65% Good 62% 58% 46% 35% 31% 31% 31% 31% Satisfactory 8% 19% 23% 19% 23% 4% 8% 4% Poor 0% 0% 0% 0% 15% 8% 0% 0% Feedback of Participants in Consultation Workshop Held in DI Khan Grades Workshop Evaluation Organization of Workshop Coherence Clarity Relevance Supply of Works Contact and Food Location Materials Hours Correspondence and Atmosphere Very Good 76% 77% 93% 73% 70% 81% 62% 96% Good 24% 23% 7% 12% 26% 15% 26% 4% Satisfactory 0% 0% 0% 11% 4% 4% 8% 0% Poor 0% 0% 0% 4% 0% 0% 4% 0% Feedback of Participants in Consultation Workshop Held in Abbottabad Grades Workshop Evaluation Organization of Workshop Coherence Clarity Relevance Supply of Works Contact and Food Location Materials Hours Correspondence and Atmosphere Very Good 64% 57% 43% 54% 43% 50% 75% 82% Good 29% 25% 36% 36% 39% 29% 18% 14% Satisfactory 4% 11% 14% 4% 18% 14% 7% 4% Poor 0% 0% 0% 0% 0% 4% 0% 0%

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