Types of Urban Local Bodies: Municipal Corporation, Municipal Council, Nagar Panchayat
Indian Polity › Local Government: Panchayats and Municipalities · Topic 23.8
India has eight types of urban local bodies: municipal corporations (Mayor and commissioner), municipalities (president and chief executive officer), notified area committees, town area committees, cantonment boards, townships, port trusts and special purpose agencies.
5 min read · UPSC Prelims · Polity · Local Government: Panchayats and Municipalities
At a Glance
- What it is The eight kinds of urban local government in India
- Constitutional ones Corporation, municipality, nagar panchayat
- Others Notified area committee, town area committee, cantonment board, township, port trust, special purpose agency
- Cantonment boards Created and administered by the Centre
- Exam link UPSC Prelims, Polity: Local Government: Panchayats and Municipalities
Where Does It Fit?
This is the eighth topic of the category on Local Government. Eight types of urban local bodies administer urban areas in India. The 74th Amendment recognises three of them as municipalities, but the others exist under various laws.
Municipal Corporation
Municipal corporations are created for the administration of big cities like Delhi, Mumbai, Kolkata, Hyderabad and Bangalore. They are established in the states by Acts of state legislatures and in the Union territories by Acts of Parliament. A corporation has three authorities: the council, the standing committees and the commissioner. The Council is the deliberative and legislative wing, consisting of directly elected councillors and a few nominated persons with municipal expertise. It is headed by a Mayor, assisted by a Deputy Mayor; in most states the Mayor is elected for a one-year renewable term and is an ornamental, formal head whose main function is to preside over meetings. The standing committees deal with public works, education, health, taxation and finance. The municipal commissioner, appointed by the state government and generally an IAS officer, is the chief executive authority who implements the decisions of the council and committees.
Municipality (Municipal Council)
Municipalities administer towns and smaller cities, set up by state Acts in states and by Acts of Parliament in Union territories. They are known by various names such as municipal council, committee, board, borough municipality and city municipality. A municipality has three authorities: the council, the standing committees and the chief executive officer. The council is headed by a president or chairman assisted by a vice-president or vice-chairman. Unlike the Mayor of a corporation, the president is the pivot of municipal administration and enjoys executive powers besides presiding. The chief executive officer or chief municipal officer, appointed by the state government, runs day-to-day administration. The Nagar Panchayat is the third constitutional type, for a transitional area, meaning an area in transition from rural to urban.
The Other Five Area-Based Bodies
| Body | Key features |
|---|---|
| Notified Area Committee | For a fast-developing industrial town or a town not yet fulfilling conditions for a municipality; entirely nominated by the state government; neither elected nor statutory; powers almost equal to a municipality |
| Town Area Committee | For a small town; semi-municipal authority with limited civic functions such as drainage, roads, street lighting and conservancy; created by a separate Act; wholly elected, nominated, or partly each |
| Cantonment Board | For civilian population in cantonment areas under the Cantonments Act, 2006; works under the Defence Ministry; 62 boards in four categories by civil population; the military officer commanding the station is ex-officio president; the executive officer is appointed by the President of India |
| Township | Established by large public enterprises for staff housing colonies; no elected members; headed by a town administrator |
| Port Trust | For port areas such as Mumbai, Kolkata and Chennai; created by an Act of Parliament; manages the port and provides civic amenities; official chairman |
The eighth type, the special purpose agency, is function-based and not area-based: town improvement trusts, urban development authorities, water supply and sewerage boards, housing boards, pollution control boards, electricity supply boards and city transport boards. They are statutory bodies created by state Acts or departments by executive resolution and function independently of municipalities.
Personnel, Revenue and the Central Council
There are three municipal personnel systems: separate (each local body controls its own staff, the most widespread), unified (state-wide cadre, as in Andhra Pradesh, Tamil Nadu, Uttar Pradesh, Rajasthan and Madhya Pradesh) and integrated (staff are part of state services, as in Odisha, Bihar, Karnataka, Punjab and Haryana). Municipal revenue has five sources: tax revenue (property tax being the most important), non-tax revenue, grants, devolution on the basis of State Finance Commission recommendations, and loans with state approval. The Central Council of Local Government, set up in 1954 under Article 263, is an advisory body chaired by the Union Minister for Housing and Urban Affairs with state ministers for local self-government as members; since 1958 it deals only with urban local government.
Why Is This Topic Important?
- List of eight types Frequently asked
- Mayor versus president Common question
- Cantonment boards Unique central body
What Came Next?
The next topic covers the District Planning Committee under Article 243ZD.
Key People and Terms
- Mayor Head of a municipal corporation
- Municipal commissioner Chief executive of a corporation
- Notified Area Committee Entirely nominated body
- Cantonment board Central body for army areas
- Special purpose agency Function-based body
Exam Corner
Points to Remember
- Eight types of urban bodies.
- Mayor is ornamental; municipal president is the pivot.
- Notified Area Committee: nominated.
- Cantonment boards: Defence Ministry; 62 boards.
Do Not Confuse With
- Corporation and municipality Big cities versus smaller towns
- Notified Area Committee and town area committee Nominated versus partly elected
- Cantonment board and municipality Central versus state
Memory Hook
Corporation, municipality, notified area, town area, cantonment, township, port trust, special agency.
Mains Angle
Questions on this topic usually ask about the diversity of urban bodies. Use these points to add depth.
- Eight types Different creators
- Executive heads Commissioner and CEO
- Personnel systems Separate, unified, integrated
- Finance Property tax
A Question You May Face
An original practice question, not a past paper question.
“Describe the types of urban local government in India.”
How to Answer
- Introduction Eight types.
- Corporation and municipality Structure.
- Others Short descriptions.
- Conclusion Coordination.
GS Relevance
Frequently Asked Questions
How many types of urban local bodies are there?
There are eight types: municipal corporation, municipality, notified area committee, town area committee, cantonment board, township, port trust and special purpose agency, according to how they are created and what they do. Only three are municipalities under the 74th Amendment.
What are the authorities of a municipal corporation?
A municipal corporation has three authorities: the council, which is the deliberative wing headed by a Mayor; the standing committees, which facilitate the council’s work; and the municipal commissioner, the chief executive appointed by the state government.
How is the Mayor different from a municipality president?
The Mayor of a corporation is an ornamental, formal head whose main function is presiding over meetings, while the president of a municipality is the pivot of administration and has executive powers besides presiding. The Mayor is usually elected for a one-year renewable term.
What is a Notified Area Committee?
It is created by a notification for a fast-developing industrial town or a town not yet qualifying as a municipality. All its members, including the chairman, are nominated by the state government, so it is neither an elected nor a statutory body.
How are cantonment boards different from other bodies?
A cantonment board is created and administered by the Central government under the Cantonments Act, 2006, and works under the Defence Ministry, whereas other urban local bodies are created and administered by state governments. Sixty-two cantonment boards exist at present.
PYQ Practice — Statement Analysis
1 There are eight types of urban local bodies in India.
Including special purpose agencies.
2 A Notified Area Committee is entirely elected.
Entirely nominated.
3 Cantonment boards are administered by the state government.
By the Central government.
4 The Mayor is the pivot of municipal administration.
The president of a municipality is.
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