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As per the Constitution (74th Amendment) Act, Legislatures of States have not been conferred the power to empower municipalities with the responsibility of :
Preparation of plans for economic development and social justice
Management of law and order
Implementation of schemes as may be entrusted to them
Levy, collection and appropriation of taxes, duties, tolls etc
74th Amendment Act, 1992 granted constitutional status and protection to the urban local bodies. For this purpose, the Amendment has added a new Part IX-A entitled as ‘the municipalities’ and a new Twelfth Schedule containing 18 functional items of the municipalities.
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