App Logo

No.1 PSC Learning App

1M+ Downloads
The percentage of the state budget allocated to local bodies in Kerala is decided by:

AGrama Sabha

BState Finance Commission

CCentral Government

DPanchayat Secretary

Answer:

B. State Finance Commission

Read Explanation:

Decentralized Planning Process followed in Kerala:

After the 73rd and 74th Amendments, Kerala’s decentralized planning began with the People’s Plan Campaign and expanded with institutional support across various levels, particularly during the 9th Five-Year Plan (1995-2000). Key developments included:

  1. Transfer of Powers (1995-2000):

  • Local governments received authority over various functions, institutions, and staff from state departments.

  • Transferred staff were made accountable to both Panchayati Raj Institutions (PRIs) and their original departments for implementing state and local plans.

  1. Dedicated Budget for Local Self-Governments (since 1996):

  • A separate budget for Local Self Governments (LSGs) was introduced in 1996, alongside a formula for allocating plan funds (grants-in-aid) among LSGs.

  1. Plan Fund Allocation (1996):

  • Decision to devolve 35-40% of state plan funds to local governments in July 1996.

  • Allocation breakdown: at least 30% for productive sectors, up to 30% for infrastructure, and at least 10% for women’s development programs.

  1. People’s Plan Campaign (1996):

  • Launched in August 1996, this campaign mobilized public participation and awareness, with support from organizations like Kerala Sasthra Sahitya Parishad (KSSP).

  • Linked with institution-building at various government levels.

  1. Restructuring of Panchayat and Municipality Acts (1999):

  • Kerala Panchayat Raj Act and Kerala Municipality Act were restructured based on the Sen Committee (Committee on Decentralization of Powers) recommendations.

  1. State Finance Commission Reports:

  • First Report (1996) and Second Report (2001) reviewed the financial status of LSGs, providing recommendations to enhance financial governance and self-reliance at the local level.


Related Questions:

When did India ratify the UN Convention on the Rights of Persons with Disabilities?
At which level of management does strategic planning primarily occur within an MIS structure?
In ancient India, the Panchayati Raj system was primarily based on:
What is the primary objective of introducing the Eleventh and Twelfth Schedules through the 73rd and 74th Amendments?
In a Management Information System (MIS), who receives information tailored to their organizational level?