Report of the Task Force on Panchayati Raj Institutions (Pris)
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REPORT OF THE TASK FORCE ON Panchayati Raj Institutions (PRIs) Planning Commission, NEW DELHI DECEMBER 2001 Sl Contents Page No. 1 Preface 2 Chapter I – Introduction 1 - 2 3 Chapter II – Status of Panchayati Raj Institutions in the 3 - 17 Country 4 Chapter III – Implementation of Centrally Sponsored Schemes 18 - 66 through Panchayati Raj Institutions 5 Chapter IV – Externally Aided Projects and the Panchayati 67 - 72 Raj Institutions 6 Chapter V - Flow of Funds to the Panchayati Raj Institutions 73 - 76 7 Chapter VI - Panchayati Raj Institutions – Non Government 77 - 80 Organisations Interface 8 Chapter VII - System of Checks and Balances over 81 - 82 Panchayati Raj Institutions 9 Chapter VIII – Agenda for Action for the Tenth Five Year Plan 83 - 90 10 Annexures I to IX 91 - 133 11 Acronyms 134 - 135 Preface The 73rd Constitutional Amendment Act, 1992 marked a new era in the democratic set up of the country as it created Panchayati Raj Institutions (PRIs) as tiers of self governance below the level of States in the federal set up. It is also a landmark in the decentralized development as it envisions people’s participation in the process of planning, decision-making, implementation and delivery. These Constitutional provisions provide for devolution of powers and responsibilities to different tiers of PRIs with respect to preparation of plans and programmes for economic development and social justice and their implementation in relation to 29 Subjects listed in the Eleventh Schedule. Consistent with the spirit of the provisions, the Central Ministries / Departments and State Governments are expected to confer necessary executive powers and administrative authority along with control over functionaries in their jurisdiction dealing with subjects allotted to them and devolve financial resources to the concerned level of PRIs to enable them to discharge their responsibilities effectively and efficiently. During the decade since the 73rd Amendment Act was added to the Statue Book while the PRIs have started functioning and are in their second elective tenure in many states, the process of empowering PRIs has followed a varied pattern across States. It has been observed that Central Ministries / Departments as well as State Governments have yet to integrate the PRIs in planning and implementation of programmes which essentially fall in their jurisdiction. The centrally sponsored / central sector schemes of Central Ministries continue to be implemented departmentally or through parallel delivery arrangements such as the users association, programme specific committees / agencies, self help / beneficiary groups, mahila sangh or through NGOs, virtually bypassing the PRIs. The situation is worse in respect of internationally funded projects which have set up separately structures for decision making and monitoring at various levels. What is true of the Central Government is also more or less true of the State Governments barring a few States which have taken some initiative / steps to genuinely transfer power and resources to the PRIs. However, even these States feel handicapped in involvement of PRIs in execution of centrally sponsored schemes as the guidelines concerning them are drawn by the concerned Central Ministries which they have no authority to change. It was felt that there was need to conceptualise the role of different levels of PRIs in implementation of centrally sponsored / central sector schemes. The Planning Commission, therefore, constituted a Task Force to formulate operational guidelines for the involvement of PRIs in schemes of selected Central Ministries / Departments. This Task Force was also required to examine the PRIs- NGOs inter face which is another area of concern and suggest norms for their harmonious relationship consistent with the spirit and provisions of 73rd Constitutional Amendment Act. The Task Force has reviewed the status of the PRIs in the country, transfer of administrative powers and provision of financial resources to the PRIs, the conceptual dimensions of PRIs - NGOs interface, in the matrix of autonomy and accountability for effective functioning of the PRIs. The Report has considered in detail the role of PRIs in ii the implementation of specific centrally sponsored and central sector schemes of a few Ministries (as a starting point) such those of Rural Development, Health & Family Welfare, Social Justice and Empowerment, Women and Child Development, Environment and Forests, Agriculture, Irrigation and Education and made specific recommendations on the manner in which involvement of different tiers of PRIs in their implementation and monitoring can be effected. Similarly, dovetailing of PRIs in existing management structures for Externally Aided Projects has also been dealt with. It is hoped that Central Ministries / Departments would internalise the recommendations of the Task Force while drawing / revising operational guidelines of the schemes implemented by them. The other relevant Ministries not specifically covered through schematic references in the report are also expected to formulate appropriate guidelines concerning their centrally sponsored / central sector schemes in the light of the recommendations of this report. Planning Commission, I am sure, would like to dovetail the recommendations of this report in the format of the Tenth Plan and set up appropriate mechanism to monitor that the requisite follow up action is being taken on them by the concerned Ministries / departments. Needless to say that steps taken by State Governments for devolution of powers, authority and resources to the PRIs to facilitate this process would continue to engage focused attention from the Commission in their interface with them during Plan discussions and other relevant fora. K B Saxena Chairman, Task Force on Panchayati Raj Institutions Place: New Delhi Date: 28.12.2001 Chapter I Introduction Village Panchayats have a long history in India. They represent a system of governance prevalent in ancient India. Gandhiji had aptly remarked that independence must begin at the bottom. Every village ought to be a republic or panchayat with the authority and resources to realize the potential for economic and social development of the village. Gandhiji's views found articulation in Article 40 of the Constitution. It enjoins that `the States shall take steps to organise village panchayats with such powers and authority as may be necessary to enable them to function as units of self- government’. During the last fifty years, several attempts have been made to bring about effective decentralisation, both political and economic, with limited success. However, the year 1992 marks a new era in the federal democratic set up of the country. The 73rd Constitutional Amendment Act, 1992 conferred Constitutional status on the Panchayati Raj Institutions (PRIs). It envisages the establishment of a democratic decentralized development process through people's participation in decision-making, implementation and delivery. In order to achieve this objective, the Constitution provides for devolution of powers and responsibilities upon panchayats at appropriate levels. 29 Subjects listed in the Eleventh Schedule of the Constitution have been identified for devolution to the PRIs. The 73rd Constitutional Amendment Act has created three tier PRIs in the rural areas with allocation of specific subjects to them. In pursuance of this, States have initiated action to devolve administrative and financial powers and resources to PRIs to enable them to discharge their Constitutional role. It is expected that once the process of devolution is effectively operationalised, resources from the Central and State Governments meant for programmes falling within the jurisdiction of the PRIs would directly get allocated to them. It is however, observed that a number of Ministries of Central Government have not taken any concrete steps to integrate PRIs in their strategy of planning and implementation of various programmes, which essentially fall in their jurisdiction. At best the Ministries issue general instructions / directions for involvement of panchayats in their programmes without suggesting concrete modalities or institutional arrangements with specified roles for them consistent with their jurisdictional status. Besides, the Ministries are increasingly implementing programmes through Non Governmental Organisations (NGOs), which are expanding rapidly in the social sectors. PRIs do not really figure in this strategy of implementation and in fact there is not even a conceptual recognition that essentially NGOs are operating in areas and subjects which belong to the PRIs and therefore they should work in tandem with them. Ministries also take up internationally funded projects. All such projects are implemented through bureaucratic functionaries and do not involve panchayati raj institutions even though the subject they deal with fall in the domain of panchayats. The Ministry of Rural Development (MORD), which is the nodal Ministry for implementation of the 73rd Constitutional Amendment Act, has also, so far, not discharged its role in setting up institutional mechanisms for bridging the wide gap that 2 exists today. Though some steps have been taken by the MORD to goad the State Governments to strengthen and deepen the process of democratic decentralization, it has not yielded the desired results. Most Central Ministries have not yet internalised the PRIs role in the delivery of services handled by the Ministry. What is true of the