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ABSTRACT
Urban Local Self Governments play the major role in urban development process in India. This level of governments has enormous functions and inadequate source of finances. These governments invest surplus of own source over revenue expenditure along with external sources (grant and other fund) for infrastructure development. This paper establishes that performance measurement and classification of urban local self governments can be made on the basis of infrastructure development using indicators measured in purely financial parameters. Empirical study is based on state wise data. Multiple and binary regression analysis have been applied on the consolidated financial results under a state. Empirical study shows that the concept used in the paper has a strong base and therefore can be accepted.
Keywords: Urban Local Self Governments, Urban Infrastructure Development, Performance Measurement and Classification, Regression Analysis, Logistic Regression Analysis.
INTRODUCTION:
Governments at all levels have to play a major role in developing urban infrastructure which strengthens the base of an economy. Indian Constitutionhas provided for a three tiers federal structure (Union, State and Local) specifying the powers and responsibilities for all the tires of the governments. Therefore, it is the desired intention of the Constitution that all the tiers of the Governments work in a co -ordinated manner well within limits of the Constitution for urban infrastructure development. Third tier of Governments are generally termed as local self-governments and it has two wings, one which operates in the rural areas and the other in the urban areas. Constitutional status has been provided to these local governments through the 73th and 74th Constitutional Amendment Acts, 1992. Local self-governmentoperating in urban areas are commonly known as "Urban Local Self Governments".Prior to the Amendment Act, the plan for local infrastructure development were used to be drawn by the upper tier governmentswhere local requirement would not be considered. Therefore, the amendment is a direction to the state governments for transfer of power and responsibilities to the local governments with respect to preparation of plans for economic development and social justice, and also for the implementation of development schemes as may be required to enable the local governments to function as institutions of self-government. Unfortunately the issue of empowerment of the local selfgovernments has been left at the discretion of the...