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  • Previously, the State government was empowered by law, to make byelaws for Nagar Palika Parishads and Nagar Panchayats. This power has now been decentralized and delegated to Divisional Commissioners.

  • The powers of State Governments to dissolve or keep under prolonged suspension elected boards of ULBs have been drastically curtailed. Now, no ULB can remain dissolved for more than six months from the date of its dissolution, and elections are mandatory to take place before expiry of that period. Since the amended act, no ULB is understood to have been dissolved in UP.

Empowerment of disadvantages groups

  • Under Section-7 of the UP Municipal Corporation Act, 1959 and Section 10-A of the UP Municipalities Act, 1916, provisions for reservation of seats for SC/ST/Backward classes and Women have been made. This has resulted in more representation to weaker sections in ULBs.

  • 30% of total seats have been reserved for women in all categories.

Expanding functional Domains of Urban Local Bodies (ULBs)


Out of the 18 functions listed in the XIIth Schedule, 12 are traditional ones being already

performed by ULBs. The revised laws incorporate six new functions for ULBs.

  • Planning for economic and social development;

  • Construction and maintenance of parking lots, bus stops and public conveniences;

  • Promoting urban forestry and ecological aspects and protection of environment;

  • Safeguarding the interest of weaker sections of society, including the handicapped and

mentally retarded;

  • Slum improvement and up gradation;

  • Urban poverty alleviation.

Financial Autonomy

Nagar Nigams Nagar Nigams

Mayor Nagar Ayukta

Nagar Palika Parishads Nagar Panchayats

President President


Up to 10,00,000

Up to 10,000

Up to 2,00,000

Up to 10,000

Up to 50,000

Up to 3,000

Up to 15,000


Financial poser of Nagar Ayukta in case of Nagar Nigams and President in case of Nagar Palika

Parishads and Nagar panchayats have been increased as under:-

Types of ULBs


Financial powers

Before 74th

After 74th



Devolution of Sate Revenues

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