Explanation:

The Central Council of Local Government  was set up in 1954.It was established under Article 263 of the Constitution of India by an order of  the President of India. The original name was Central Council of Local Self-Government. In 1980’s  ‘self-government’ was replaced by the term ‘government’. Till 1958, it dealt with both urban as well  as rural local governments. After 1958 it has been dealing with matters of urban local government  only. The Council is an advisory body. It consists of the Minister for Urban Development in the  Government of India and the ministers for local self government in states. The Union minister acts  as the Chairman of the Council. The Council performs the following functions with regard to local government -
1. Making proposals for legislation.
2. Examining the possibility of cooperation between the Centre and the states.
3. Considering and recommending the policy matters.
4. Drawing up a common programme of action.
5. Reviewing the work done by the local bodies with the Central financial assistance.
6. Recommending Central financial assistance