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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) i 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. ii 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 TH 1.2. DEVOLUTION ENUNCIATED BY 18 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 iii 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

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