StudyPulse
StudyPulse.online
CoursesExam Information Hub
← Back to UPSC Civil Services Notes

74th Constitutional Amendment

UPSC Civil Services• POLITY• Local Government• 74th Constitutional Amendment
The 74th Constitutional Amendment Act, 1992 constitutionalised Urban Local Bodies and established a framework for democratic urban self-government in India. It came into force on 1 June 1993 and inserted Part IX-A, covering Articles 243P to 243ZG, and added the Twelfth Schedule containing 18 functions. The Amendment provided for three types of Municipalities—Nagar Panchayat for transitional areas, Municipal Council for smaller urban areas and Municipal Corporation for larger urban areas. It also provided for five-year tenure, regular elections, reservation for SCs, STs and women, State Election Commission, State Finance Commission, Ward Committees, District Planning Committees and Metropolitan Planning Committees. However, as with Panchayats, actual devolution of powers, functions, finances and personnel depends substantially on State legislation.

74th Constitutional Amendment

1. Introduction

The:

74th Constitutional Amendment Act, 1992

is a landmark reform in India's:

Urban Local Government

It gave:

Constitutional Status

to:

Urban Local Bodies

and established a constitutional framework for:

Urban Local Self-Government

Core Idea

74th Amendment → Constitutionalisation of Urban Local Government


2. Background

Before the 74th Amendment, Municipalities largely functioned under:

State Municipal Laws

They faced problems such as:

  • Irregular elections
  • Frequent supersession
  • Weak finances
  • Limited powers
  • Administrative dependence
  • Fragmented urban governance
  • Inadequate planning

The Amendment sought to strengthen:

Democratic + Decentralised + Accountable Urban Governance


3. Constitutional Foundation

The Constitution originally did not provide a detailed constitutional framework for:

Urban Local Bodies

The 74th Amendment filled this institutional gap by establishing:

Part IX-A

for Municipalities.


4. 74th Constitutional Amendment Act, 1992

The Amendment was enacted in:

1992

and came into force on:

1 June 1993

Significance

It transformed Municipalities into:

Constitutionally Recognised Institutions of Local Self-Government

Important Date

1 June 1993 → 74th Amendment came into force


5. Part IX-A

The Amendment inserted:

Part IX-A

into the Constitution.

Part IX-A

Deals with:

The Municipalities

Articles

243P to 243ZG

Memory

73rd → Part IX → Panchayats

74th → Part IX-A → Municipalities


6. Twelfth Schedule

The Amendment added:

Twelfth Schedule

to the Constitution.

It contains:

18 Functions

that may be devolved to Municipalities.

Important

The 18 functions are:

Not automatically transferred

to Municipalities.

Actual devolution depends substantially on:

State Legislation


7. Three Types of Municipalities

The Constitution provides for three categories:

1. Nagar Panchayat

For:

Transitional Area


2. Municipal Council

For:

Smaller Urban Area


3. Municipal Corporation

For:

Larger Urban Area

Memory

Transition → Nagar Panchayat

Smaller → Municipal Council

Larger → Municipal Corporation


8. Nagar Panchayat

A:

Nagar Panchayat

is constituted for a:

Transitional Area

that is:

Transitioning from a rural area to an urban area

UPSC Memory

Nagar Panchayat → Transitional


9. Municipal Council

A:

Municipal Council

is constituted for a:

Smaller Urban Area

UPSC Memory

Municipal Council → Smaller Urban


10. Municipal Corporation

A:

Municipal Corporation

is constituted for a:

Larger Urban Area

Typical Responsibilities

  • Urban planning
  • Roads
  • Water supply
  • Sanitation
  • Public health
  • Waste management
  • Urban infrastructure
  • Fire services

UPSC Memory

Corporation → Larger Urban


11. Article 243Q

Article 243Q

Deals with:

Constitution of Municipalities

It provides for:

  • Nagar Panchayat
  • Municipal Council
  • Municipal Corporation

Core Memory

243Q → Types of Municipalities


12. Composition of Municipalities

Article 243R

Deals with:

Composition of Municipalities

Municipal seats are generally filled through:

Direct Elections

from:

Territorial Constituencies

Important

State law may provide for representation of certain persons or institutions as permitted by the Constitution.


13. Ward Committees

The Constitution provides for:

Ward Committees

under:

Article 243S

Applicability

Ward Committees are constitutionally required in Municipalities having a population of:

3 lakh or more

Purpose

They strengthen:

Local-Level Urban Participation

UPSC Trap

Ward Committees are mandatory in every Municipality.

❌ Incorrect.

The constitutional provision applies to Municipalities with the specified population threshold.


14. Reservation

The Amendment provides reservation for:

Scheduled Castes

Seats according to:

Population Proportion


Scheduled Tribes

Seats according to:

Population Proportion


Women

At least:

One-Third of Seats

are reserved for women.

This includes women belonging to:

SC/ST reserved categories


15. Reservation of Chairperson Offices

The Constitution also provides for reservation of offices of:

Chairpersons

for:

  • SC
  • ST
  • Women

according to:

Constitutional + State-Level Provisions

Objective

Political Inclusion + Social Justice


16. Duration of Municipalities

Every Municipality normally has a:

Five-Year Term

from the date of its:

First Meeting

Important

A Municipality may be dissolved earlier according to law.


17. Elections After Dissolution

If a Municipality is dissolved before completion of its term:

Election should generally be completed within six months

subject to the constitutional exception where the remaining period is less than six months.

Objective

Prevent:

Indefinite Suspension of Elected Urban Government


18. State Election Commission

The constitutional framework provides for:

State Election Commission

for elections to:

  • Panchayats
  • Municipalities

Article

Article 243ZA

deals specifically with:

Municipal Elections

Important

The State Election Commission is distinct from:

Election Commission of India


19. State Election Commission vs ECI

Election Commission of India

Article 324

Conducts elections to:

  • Lok Sabha
  • Rajya Sabha
  • State Legislative Assemblies
  • State Legislative Councils
  • President
  • Vice-President

State Election Commission

Conducts elections to:

  • Panchayats
  • Municipalities

Memory

ECI → Constitutional Elections

SEC → Local Government Elections


20. State Finance Commission

The constitutional framework provides for:

State Finance Commission

Article

Article 243Y

applies the relevant State Finance Commission framework to:

Municipalities

Function

It reviews the financial position of:

  • Panchayats
  • Municipalities

and recommends principles relating to:

  • Tax distribution
  • Assignment of revenues
  • Grants-in-aid
  • Financial strengthening

Memory

SFC → Local Government Finances


21. Finance Commission vs State Finance Commission

Finance Commission

Article 280

Deals primarily with:

Union-State Fiscal Relations


State Finance Commission

Article 243-I + Article 243Y

Deals with:

State-Local Fiscal Relations

Memory

280 → Union-State

243-I/243Y → Local Bodies


22. Powers and Responsibilities

Article 243W

State Legislatures may endow Municipalities with:

Powers and Authority

necessary to function as:

Institutions of Self-Government

Areas

These may include:

  • Economic development
  • Social justice
  • Twelfth Schedule functions

Important

The Constitution provides the:

Framework

while States determine the:

Actual Extent of Devolution


23. Twelfth Schedule — 18 Functions

The Twelfth Schedule includes:

  1. Urban planning including town planning
  2. Regulation of land use and construction of buildings
  3. Planning for economic and social development
  4. Roads and bridges
  5. Water supply
  6. Public health and sanitation
  7. Fire services
  8. Urban forestry and environmental protection
  9. Safeguarding weaker sections
  10. Slum improvement and upgradation
  11. Urban poverty alleviation
  12. Provision of urban amenities such as parks and playgrounds
  13. Promotion of cultural, educational and aesthetic aspects
  14. Burials and burial grounds; cremations and cremation grounds
  15. Cattle pounds and prevention of cruelty to animals
  16. Vital statistics including registration of births and deaths
  17. Public amenities including street lighting, parking lots, bus stops and public conveniences
  18. Regulation of slaughterhouses and tanneries

UPSC Memory

Twelfth Schedule → 18 Urban Functions


24. District Planning Committee

The:

District Planning Committee

is provided under:

Article 243ZD

Function

It consolidates plans prepared by:

  • Panchayats
  • Municipalities

at the:

District Level

Objective

Prepare a:

Draft Development Plan for the District


25. Composition of DPC

The Constitution provides that:

Not less than four-fifths

of the total number of members of the District Planning Committee shall be elected by, and from among, the elected members of:

  • Panchayats
  • Municipalities

in the district.

Important

The precise composition is subject to:

State Law

within the constitutional framework.


26. Metropolitan Planning Committee

The:

Metropolitan Planning Committee

is provided under:

Article 243ZE

Function

It prepares a:

Draft Development Plan

for the:

Metropolitan Area

Objective

Coordinate:

  • Spatial planning
  • Infrastructure
  • Environmental concerns
  • Resource sharing
  • Urban development

27. Composition of MPC

The Constitution provides that:

Not less than two-thirds

of the total number of members of the Metropolitan Planning Committee shall be elected by, and from among, the elected members of:

  • Municipalities
  • Chairpersons of Panchayats

in the metropolitan area.

Important

The precise composition is subject to:

State Law

within the constitutional framework.


28. DPC vs MPC

FeatureDPCMPC
Article243ZD243ZE
AreaDistrictMetropolitan Area
Main purposeDistrict planningMetropolitan planning
IncludesPanchayats + MunicipalitiesMunicipalities + Panchayats in metropolitan area
Minimum elected local representatives4/52/3

Memory

DPC → District → 4/5

MPC → Metro → 2/3


29. Metropolitan Area

A:

Metropolitan Area

is constitutionally defined as an area having a population of:

10 lakh or more

comprising:

  • One or more districts
  • Two or more Municipalities/Panchayats or other contiguous areas

as specified under the constitutional framework.

UPSC Trap

Every city with population above 10 lakh automatically has a Metropolitan Planning Committee in the same form.

❌ Avoid such oversimplification.

The constitutional definition involves additional conditions and State-level notification.


30. Audit of Municipal Accounts

The constitutional framework provides for:

Maintenance and Audit of Municipal Accounts

Article

243Z

Importance

Promotes:

Financial Accountability

State Legislature may make provisions concerning:

  • Maintenance of accounts
  • Audit procedures

31. Disqualification

Article 243V

provides for:

Disqualification for Membership

of Municipalities.

The framework is subject to:

Constitutional + State-Law Provisions


32. Bar to Court Interference

Article 243ZG

restricts court interference in municipal elections in the specified manner.

Principle

Election disputes must generally be raised through:

Election Petition / Prescribed Legal Mechanism

UPSC Point

Ordinary judicial intervention is constitutionally restricted during the:

Election Process


33. Exceptions

Article 243ZC

provides for:

Non-application to certain areas

of Part IX-A.

Certain special areas may be excluded or treated differently according to the constitutional framework.

UPSC Point

Part IX-A is not applied identically to every geographical area.


34. Union Territories

Article 243ZB

provides for:

Application to Union Territories

with constitutional modifications as specified.

Important

The constitutional framework can apply to:

Union Territories

subject to the provisions specified by law.


35. Existing Laws

Article 243ZF

deals with:

Continuance of Existing Laws and Municipalities

Existing municipal laws could continue for the constitutionally specified period, subject to their conformity with the Constitution.


36. 74th Amendment — Major Features

The Amendment provides:

1. Constitutional Status

Municipalities became:

Constitutionally Recognised


2. Three Types of Municipalities

  • Nagar Panchayat
  • Municipal Council
  • Municipal Corporation

3. Five-Year Tenure

Normal term:

5 Years


4. Regular Elections

Local elections through:

State Election Commission


5. Reservation

For:

  • SCs
  • STs
  • Women

6. State Finance Commission

Provides a framework for:

Local Fiscal Review


7. Ward Committees

For specified municipalities:

3 Lakh+ Population


8. Planning Committees

  • District Planning Committee
  • Metropolitan Planning Committee

9. Twelfth Schedule

18 Urban Functions


37. Importance of the 74th Amendment

1. Urban Democracy

Strengthened:

Democratic Participation

in urban areas.


2. Constitutional Stability

Provided:

Continuity + Regular Elections


3. Urban Planning

Created a constitutional framework for:

Integrated Urban Planning


4. Social Justice

Reservation promotes:

Inclusive Representation


5. Accountability

Elected Municipal Governments become:

Locally Accountable


6. Participatory Governance

Ward Committees and local participation mechanisms strengthen:

Citizen Engagement


7. Urban Development

Municipalities can address:

  • Infrastructure
  • Water
  • Sanitation
  • Public health
  • Urban planning

38. Challenges After the 74th Amendment

1. Incomplete Devolution

Many States have not fully transferred:

3Fs


2. Weak Municipal Finances

Common problems:

  • Weak property-tax collection
  • Low user-charge recovery
  • Dependence on transfers
  • Limited own-source revenue

3. Fragmented Urban Governance

Multiple agencies may handle:

  • Water
  • Transport
  • Housing
  • Development
  • Infrastructure

Result

Fragmented Accountability


4. Limited Technical Capacity

Municipalities may lack:

  • Urban planners
  • Engineers
  • Financial experts
  • Data specialists
  • Environmental professionals

5. Rapid Urbanisation

Fast urban growth creates pressure on:

  • Housing
  • Transport
  • Water
  • Sanitation
  • Waste management
  • Infrastructure

39. 3F Challenge

Effective municipal self-government requires:

Functions

Clear Responsibilities

Funds

Adequate Revenue

Functionaries

Qualified Personnel

Formula

3Fs = Effective Urban Governance


40. Municipal Financial Challenges

Municipalities need:

Own-Source Revenue + Transfers + Grants

Important Sources

  • Property tax
  • User charges
  • Fees
  • Assigned revenues
  • Government grants

Major Problem

Weak own-source revenue can create:

Financial Dependence


41. Property Tax

Property tax is one of the major potential:

Own-Source Revenues

for urban local bodies.

Challenges

  • Outdated property records
  • Weak assessment
  • Low collection efficiency
  • Political resistance
  • Informal development

Way Forward

Digital Property Records + Better Assessment + Strong Collection


42. Urban Planning Challenge

Urban planning often involves:

  • Municipalities
  • Development authorities
  • State departments
  • Transport agencies
  • Water authorities

Problem

Multiple Agencies → Coordination Gap

Solution

Strengthen:

Integrated Urban Planning


43. Ward Committees and Participation

Ward Committees can improve:

  • Local consultation
  • Service monitoring
  • Citizen participation
  • Identification of local problems
  • Accountability

Principle

Urban Democracy → Beyond Elections


44. 74th Amendment and Federalism

The Amendment adds a:

Local Dimension

to India's federal governance.

Traditional

Union ↔ State

Expanded

Union ↔ State ↔ Local

Important

Municipalities remain substantially dependent on:

State Legislation and Administration

for their actual powers.


45. 74th Amendment and Sustainable Development

Urban Local Bodies are central to:

  • Waste management
  • Water management
  • Sanitation
  • Public health
  • Urban forestry
  • Climate resilience
  • Sustainable transport
  • Pollution control

Principle

Sustainable Cities Require Strong Municipal Institutions


46. 74th Amendment and Inclusive Urbanisation

Municipal governance must address:

  • Slums
  • Urban poverty
  • Affordable housing
  • Public spaces
  • Basic services
  • Vulnerable groups

Objective

Inclusive + Sustainable Urban Development


47. 73rd vs 74th Amendment

Feature73rd Amendment74th Amendment
AreaRuralUrban
InstitutionPanchayatsMunicipalities
PartIXIX-A
Articles243–243O243P–243ZG
ScheduleEleventhTwelfth
Items29 subjects18 functions
Grassroots institutionGram SabhaWard Committees/urban participation
Amendment19921992
Effective date24 April 19931 June 1993

Memory

73 → Rural

74 → Urban


48. Important Articles — Quick Revision

ArticleSubject
243PDefinitions
243QConstitution of Municipalities
243RComposition
243SWard Committees
243TReservation
243UDuration
243VDisqualification
243WPowers and Responsibilities
243XMunicipal Taxation
243YState Finance Commission
243ZAudit
243ZAMunicipal Elections
243ZBUnion Territories
243ZCExceptions
243ZDDistrict Planning Committee
243ZEMetropolitan Planning Committee
243ZFExisting Laws
243ZGBar to Court Interference

Most Important

243Q → Municipalities

243S → Ward Committees

243T → Reservation

243U → 5 Years

243W → Powers

243Y → Finance

243ZA → Elections

243ZD → DPC

243ZE → MPC


49. Prelims Facts

  • The 74th Constitutional Amendment Act was enacted in 1992.
  • It came into force on 1 June 1993.
  • It deals with Urban Local Bodies.
  • It inserted Part IX-A.
  • Part IX-A covers Articles 243P to 243ZG.
  • It added the Twelfth Schedule.
  • The Twelfth Schedule contains 18 functions.
  • It provides for three types of Municipalities.
  • Nagar Panchayat is for a transitional area.
  • Municipal Council is for a smaller urban area.
  • Municipal Corporation is for a larger urban area.
  • Municipalities normally have a five-year term.
  • State Election Commission conducts municipal elections.
  • Article 243ZA deals with municipal elections.
  • Article 243S deals with Ward Committees.
  • Ward Committees are constitutionally provided for municipalities with population of 3 lakh or more.
  • Article 243W concerns municipal powers and responsibilities.
  • Article 243Y relates to the State Finance Commission.
  • Article 243ZD provides for District Planning Committees.
  • Article 243ZE provides for Metropolitan Planning Committees.
  • DPC consolidates plans prepared by Panchayats and Municipalities.
  • MPC prepares a draft development plan for the metropolitan area.
  • The Twelfth Schedule does not automatically transfer all 18 functions to Municipalities.
  • Actual devolution depends substantially on State legislation.
  • The Amendment provides reservation for SCs, STs and women.
  • Municipalities normally have a five-year tenure.
  • Article 243ZG restricts court interference in municipal elections in the specified manner.

50. UPSC Prelims Traps

Trap 1

74th Amendment deals with Panchayats.

❌ Incorrect.

74th → Municipalities


Trap 2

73rd Amendment deals with Municipalities.

❌ Incorrect.

73rd → Panchayats


Trap 3

74th Amendment inserted Part IX.

❌ Incorrect.

74th → Part IX-A


Trap 4

Twelfth Schedule contains 29 functions.

❌ Incorrect.

18 Functions


Trap 5

Eleventh Schedule relates to Municipalities.

❌ Incorrect.

Eleventh → Panchayats

Twelfth → Municipalities


Trap 6

Every Municipality must be a Municipal Corporation.

❌ Incorrect.

There are three constitutional categories.


Trap 7

Nagar Panchayat is for a larger urban area.

❌ Incorrect.

Transitional Area


Trap 8

Municipal Council is for a transitional area.

❌ Incorrect.

Smaller Urban Area


Trap 9

Municipal Corporation is for a smaller urban area.

❌ Incorrect.

Larger Urban Area


Trap 10

Ward Committees are mandatory in every Municipality.

❌ Incorrect.

Constitutionally provided for Municipalities with:

3 lakh+ population


Trap 11

Election Commission of India conducts Municipal elections.

❌ Incorrect.

State Election Commission


Trap 12

State Finance Commission deals only with Panchayats.

❌ Incorrect.

Its framework covers:

Panchayats + Municipalities


Trap 13

All 18 Twelfth Schedule functions are automatically transferred to Municipalities.

❌ Incorrect.

Actual devolution depends on:

State Legislation


Trap 14

DPC deals only with urban planning.

❌ Incorrect.

It consolidates plans of:

Panchayats + Municipalities


Trap 15

MPC is the same as DPC.

❌ Incorrect.

DPC → District

MPC → Metropolitan Area


51. Statement-Based UPSC Practice

Statement 1

The 74th Constitutional Amendment gave constitutional status to Municipalities.

✅ Correct


Statement 2

The 74th Amendment inserted Part IX-A.

✅ Correct


Statement 3

Part IX-A covers Articles 243P to 243ZG.

✅ Correct


Statement 4

The Twelfth Schedule contains 18 functions.

✅ Correct


Statement 5

A Nagar Panchayat is meant for a transitional area.

✅ Correct


Statement 6

A Municipal Council is meant for a smaller urban area.

✅ Correct


Statement 7

A Municipal Corporation is meant for a larger urban area.

✅ Correct


Statement 8

Ward Committees are constitutionally provided for municipalities having a population of 3 lakh or more.

✅ Correct


Statement 9

The State Election Commission conducts Municipal elections.

✅ Correct


Statement 10

Article 243ZA deals with Municipal elections.

✅ Correct


Statement 11

Article 243W concerns powers and responsibilities of Municipalities.

✅ Correct


Statement 12

The Twelfth Schedule automatically transfers all 18 functions to Municipalities.

❌ Incorrect


Statement 13

DPC consolidates plans prepared by Panchayats and Municipalities.

✅ Correct


Statement 14

MPC prepares a draft development plan for the metropolitan area.

✅ Correct


Statement 15

Municipalities are completely independent of State Governments after the 74th Amendment.

❌ Incorrect


52. DPC vs MPC — Prelims Revision

DISTRICT PLANNING COMMITTEE
           ↓
       ARTICLE 243ZD
           ↓
        DISTRICT
           ↓
PANCHAYATS + MUNICIPALITIES
           ↓
   DISTRICT DEVELOPMENT PLAN


METROPOLITAN PLANNING COMMITTEE
           ↓
       ARTICLE 243ZE
           ↓
    METROPOLITAN AREA
           ↓
PANCHAYATS + MUNICIPALITIES
           ↓
METROPOLITAN DEVELOPMENT PLAN

Memory

DPC → District

MPC → Metro


53. One-Page Revision

74th Constitutional Amendment
             ↓
           1992
             ↓
       1 June 1993
             ↓
        MUNICIPALITIES
             ↓
         PART IX-A
             ↓
      Articles 243P–243ZG
             ↓
       TWELFTH SCHEDULE
             ↓
         18 FUNCTIONS
             ↓
 ┌───────────┼────────────┐
 ↓           ↓            ↓
NAGAR     MUNICIPAL     MUNICIPAL
PANCHAYAT COUNCIL       CORPORATION
 ↓           ↓            ↓
TRANSITION  SMALLER      LARGER
URBAN       URBAN        URBAN
             ↓
      COMMON FEATURES
             ↓
        5-Year Term
             ↓
         Reservation
             ↓
  State Election Commission
             ↓
   State Finance Commission
             ↓
       Ward Committees
             ↓
    DPC + MPC Planning
             ↓
            3Fs
             ↓
Functions + Funds + Functionaries

54. Mains Answer Framework

Introduction

Mention:

74th Amendment → Constitutionalisation of Urban Local Government


Constitutional Provisions

Discuss:

  • Part IX-A
  • Articles 243P–243ZG
  • Twelfth Schedule
  • Three types of Municipalities
  • Ward Committees

Major Features

Discuss:

  • Five-year tenure
  • Regular elections
  • Reservation
  • State Election Commission
  • State Finance Commission
  • Municipal powers
  • DPC
  • MPC

Significance

Connect to:

  • Urban democracy
  • Decentralisation
  • Inclusive governance
  • Urban planning
  • Service delivery
  • Sustainable development

Challenges

Use:

3F + Finance + Fragmentation + Capacity

  • Functions
  • Funds
  • Functionaries
  • Weak finances
  • Multiple agencies
  • Technical capacity
  • Rapid urbanisation

Way Forward

Focus on:

  • Complete 3F devolution
  • Strengthen municipal finances
  • Improve property-tax collection
  • Strengthen DPC/MPC
  • Build technical capacity
  • Improve citizen participation
  • Use digital governance

55. Ready-to-Use Mains Introduction

"The 74th Constitutional Amendment Act, 1992 marked a watershed in India's urban governance by granting constitutional status to Municipalities. By inserting Part IX-A and the Twelfth Schedule, it sought to transform urban local bodies from State-dependent administrative institutions into constitutionally recognised institutions of democratic self-government."


56. Ready-to-Use Mains Conclusion

"The 74th Amendment created the constitutional architecture for democratic urban governance, but its success depends on genuine devolution rather than formal constitutional recognition. Empowering Municipalities with functions, funds and functionaries, strengthening integrated planning and improving institutional capacity are essential for building inclusive, accountable and sustainable cities."


57. Final Exam Formula

Amendment

74th → 1992

Effective Date

1 June 1993

Institution

Municipalities

Part

IX-A

Articles

243P–243ZG

Schedule

Twelfth Schedule

Functions

18

Types

Nagar Panchayat

Municipal Council

Municipal Corporation

Ward Committees

3 Lakh+

Planning

DPC → District

MPC → Metropolitan

Election

State Election Commission

Finance

State Finance Commission

Reservation

SC + ST + Women

Tenure

5 Years

Core Principle

Democratic Urban Decentralisation

Core Challenge

Incomplete 3Fs

Golden UPSC Concept

74th Amendment provides the constitutional framework; State legislation determines much of the actual powers, functions and finances of Municipalities.