v. Essential features of the 73rd Constitutional Amendment Act, 1992

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v. Essential features of the 73rd Constitutional Amendment Act, 1992

1. Gram Sabha	Gram Sabha is defined under Article 243(b) which states that a gram sabha is a body that consists of persons registered on the electoral rolls relating to the village that falls under the area of Panchayat at a village level. It is the foundation of the Panchayati Raj Institution. Article 243A of the Indian Constitution empowers the Gram Sabha to perform the functions at its village level as is provided by the law or State Legislature.
2. State Election Commission	State Election Commission is constituted in every state for the superintendence, maintenance, control, and preparation of electoral rolls. The Commission also handles the elections of panchayats.
3. Three-tier system	Article 243B of the Indian Constitution provides for a three-tier system in the Panchayati Raj Institution where panchayats shall be constituted at the village, intermediate, and district levels in every state.
4. Composition of the panchayats	According to Article 243C, the composition of the panchayats shall be as decided by the State legislature. The number of seats at any level of a panchayat shall be according to the population of that territory.
5. Manner of election	The election of members of panchayats of village, intermediate, and district levels shall be done through direct election by the people. The elections of chairman of the intermediate and district level panchayat will be elected indirectly by the elected members of the panchayats.
6. Reservation of seats	Article 243D provides for the provision of reservation of seats which specifies the reservation of seats for SCs and STs according to the proportion of their population. The Article also provides for one-third of the total seats to be reserved for women that belong to the SCs or STs. This Article empowers the State Legislature to make any provision relating to the reservation of backward class.
7. Duration of Panchayats	Article 243E specifies the duration of panchayats to be for a term of 5 years if it does not get dissolved before the completion of its tenure. If the panchayat gets dissolved then the other panchayat which was constituted would function till the remaining period of the dissolved panchayat.
8. Duties and power of the panchayats	Article 243G puts State Legislature under an obligation to make laws so as to provide such power and authorities to the panchayats so that they can function as a unit of self-government. It is the duty of the panchayats to prepare a plan for economic development and social justice for the people. The Article provides authority to the state government to give power and authority to the panchayats on all the 29 subjects prescribed under the Eleventh schedule for local planning and implementing schemes, i.e., implementing Mahatma Gandhi National Rural Employment Guarantee, 2006, MGNREGA, which is one of the largest employment generating schemes. Panchayats implement the schemes made by the central and state governments for the betterment of people at the ground level. Panchayats have the authority to increase employment facilities and work upon the development of the area.
9. Finance Commission	Under Article 243I, the Finance Commission is constituted by the Governor of the State to review the financial position of the Panchayats, to recommend the principles for the distribution of taxes between the state and panchayats. The finance commission also determines the taxes, duties, tolls, and fees that will be assigned or appropriated to the panchayats.
10. Audit of accounts	Under Article 243J, the State Legislature is empowered to make provisions for the panchayats to maintain and audit the accounts of panchayats.
11. Finance	The State Legislature by law may authorise the panchayats to levy and collect tax, duties, tolls, or fees. The panchayats may be assigned with the tax, duties, fees, or tolls that are collected by the state government to carry out specific work. The panchayats are provided with a grant-in-aid from the Consolidated Fund of the State. The state legislature may also constitute a fund for crediting and withdrawal purposes by or for the panchayats.