The ensuing Schemes & Programs under the Department of Municipal Affairs is detailed at Table 3

Table 1 Ensuing Schemes & Programs under Municipal Affairs Department

The Third State Finance Commission constituted on 20.03 2023 covering award period 2023-2026 recommended the following Grant-in-aids for the ULBs:

Devolution of taxes from State Government to ULBs

1% of the Gross State GST to be devolved to all the ULBs in the State for the award period 2023-24 to 2025-2026 as share in taxes.

Year wise allocation for the three-year period is indicated in Table x

However, since the report was tabled towards the fag end of the year 2023, the Grant amount was not earmarked in the Budget 2023-2024.

Grant-in-aid to the ULBs from Consolidated Fund of the State: The Commission recommended Grant-in-aid to select 26 ULBs to meet the ULB-specific needs such as Office building and sanitation vehicles. This grant in aid was recommended over and above the share in taxes recommended to the ULBs. The Commission also recommended that all the 22 Urban Station Committees be given Grant-in-aid of fixed token amount each year. The amount of Grant-in-aid to be given each year is presented as follows:

Other activities

DISTRIBUTION OF SMALL SANITATION VEHICLES for ULBs

During 2024-25, the Department took up a pilot project for provision of small sanitation vehicles to eight ULBs, with the aim of making sanitation services available even in those residential areas where approach roads are too narrow for larger vehicles to ply. The distribution of these vehicles underscores the government’s commitment to cleaner cities and towns and to assist the ULBs with resources and modern tools to ensure that sanitation services should be accessible to every urban household. A programme for distribution of these small sanitation vehicles was held on 16^thOctober, 2024 at Public Ground, Chumoukedima. Gracing the occasion as Chief Guest, Shri Zhaleo Rio, Advisor for Urban Development and Municipal Affairs, flagged off the sanitation vehicles,

The programme culminated with the allocation of the sanitation vehicles to nine Urban Local Bodies (ULBs) and the Commissioner of Police, Dimapur.

The vehicles were distributed as follows:

Dimapur Municipal Council: 1 Piaggio Ape BSVI Garbage Tipper and 2 Electric Vehicle Garbage Collection Fleets (e-rickshaws, capacity: 700 KG).

Chumoukedima Town Council: 2 Piaggio Ape BSVI Garbage Tippers, 1 Electric Vehicle Garbage Collection Fleet, and 1 Bolero Pick-Up 4WD PS BS6.

Medziphema Town Council, East Dimapur Town Council: Each received 1 Piaggio Ape BSVI Garbage Tipper and 1 Bolero Pick-Up 4WD PS BS6.

Niuland Town Council: 1 Piaggio Ape BSVI Garbage Tipper.

Mon, Aboi, Chiephobozou, and Pfutsero Town Councils: Each received 1 Bolero Pick-Up 4WD PS BS6.

Commissioner of Police, Dimapur: 1 Electric Vehicle Garbage Collection Fleet (e-rickshaw, capacity: 700 KG).

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The 15^thFinance Commission Grants

The main source of funds for the ULBs in the State are the Central Finance Commission Grants which however, are reforms-based in approach and call for various mandatory and optional reforms that the State and ULBs need to undertake to access the funds. Presently, ‘Urban Governance’ and ‘Municipal Finance’ are the critical reform agendas of Government of India. Over the years, successive Finance Commission grants have been instrumental in strengthening ULBs, empowering them to bridge gaps in urban service delivery and meet the aspirations of their citizens.

The 15th Finance Commission (15th FC) Grants cover a six-year period from 2020-21 to 2025-26 and are fully funded by the Central Government. Through targeted and flexible funding, the 15th Finance Commission Grants enable ULBs to deliver essential services, improve infrastructure, and foster sustainable urban development. These grants not only enhance the quality of life in cities and towns but also promote equity, resilience, and environmental consciousness.

The grants are distributed in two parts: TIED GRANTS and UNTIED GRANTS, each addressing distinct but equally crucial aspects of urban development.

TIED GRANTS (60% of total amount) – Targeted for National Priorities

TIEDGRANTS are allocated to support national priorities and strengthen the delivery of basic services. This portion of the grant is strictly earmarked for specific purposes and cannot be diverted.

50% of TIED GRANT for Sanitation and Solid Waste Management:
Supporting sanitation initiatives, solid waste management, and achieving Star Ratings as developed by the Ministry of Housing and Urban Affairs (MoHUA).

50% of TIED GRANT for Drinking Water and Water Conservation:
Enhancing drinking water supply, rainwater harvesting, rejuvenation of water bodies, and promoting water recycling practices.

UNTIED GRANTS (40% of total amount) – Addressing Local Needs

UNTIED GRANTS allow ULBs the flexibility to address location-specific priorities under the 18 subjects listed in the 12th Schedule of the 74th Constitutional Amendment Act, 1992. These funds empower cities and towns to cater to their unique developmental needs, excluding salaries and establishment expenses.

Works which can be taken under 15^thUNTIED Grants (Basic Grants):

Water supply (domestic, industrial and commercial use).

Sanitation, septage management and solid waste management.

Underground drainage system.

Roads, bridges and footpaths.

Storm water drains.

Streetlight/energy saving programmes.

Garden/parks and green spaces and playground development.

Burial ground/crematorium/ electric crematorium.

Public utilities such as bus stand, vehicle parking spaces and toilets.

Urban forestry, environmental protection and IEC activities of environmental issues.

Anganwadi centre building construction (with water supply & toilets).

Slum development and rehabilitation.

Urban poverty alleviation.

Urban planning including town planning.

Financial and social development schemes.

15th Finance Commission Health Grants: Strengthening Healthcare through Local Governance:

The 15th Finance Commission’s focus on health sector grants underscores the importance of local governance to bridge gaps in urban healthcare delivery, enabling efficient resource utilization and tailored interventions for urban populations. As per the operational guidelines of the Ministry of Finance, Department of Expenditure, the urban components of health sector grants are now entrusted to ULBs, ensuring a direct and impactful approach to healthcare delivery. This responsibility is to be carried out in close coordination with District Health Departments, under the supervision of the Deputy Commissioner.

To streamline the implementation of health sector grants in Nagaland, the State Level Committee, chaired by the Chief Secretary, convened on 24th January 2022 and established the following directives:

Financial Releases via Nodal Department:

All financial disbursements for urban components of the health grants will be routed through the Municipal Affairs Department, ensuring centralized monitoring and accountability.

Implementing Agencies:

Municipal Councils, Town Councils, and Health Centre Management Committees (HCMCs) have been designated as the primary implementing agencies. These entities will collaborate to execute projects and initiatives funded under the health grants.

CHALLENGES AHEAD

The most important challenge for the newly elected ULBs is to become self-sufficient, self-sustainable and to function as “LOCAL SELF GOVERNMENTs” as envisaged in the 74^th CAA.

Our urban local bodies have, so far, not been able to function to their full potential due to lack of critical skills and financial capacity. Most of the smaller ULBs are struggling due to the acute lack of resources and lack of revenue generating avenues and functioning under tremendous pressure to provide basic sanitation services. Due to haphazard and unregulated construction activities the development process has not taken place in a balanced manner.

Except for few bigger ULBs, many of the smaller ULBs have been functioning with skeletal manpower, often drawn from the District Administration Office, to assist in the functioning of the Urban Local Bodies. It is vital need for ULBs to find and explore ways for revenue generation and to appoint qualified manpower with expertise in accounts and technical matters.

On the other hand, major portion of Revenue Income earned by the larger ULBs with large manpower are being spent towards payment of salaries/ wages of the ULB staffs. There is need rationalise manpower in some of the ULBs and identify actual requirement of staff so that the ULBs can function with minimal administrative and office expenses.

It is now high time to adopt behavioural change as responsible citizens in order to get better services from the local bodies, starting from every household level.