Mandatory reforms

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• Adopting modern accrual-based double entry accounting system with e-governance features such as GIS and MIS

• Reform of property tax with GIS

• Levy of reasonable user charges to recover full operation and maintenance costs

• Internal earmarking within local bodies' budgets for basic services to the urban poor, including security of tenure

• Implementation of decentralisation measures as envisaged in 74th Constitutional Amendment Act

• Repeal of Urban Land Ceiling and Regulation Act*

• Reform of rent control laws*

• Rationalisation of stamp duty

• Enactment of the public disclosure law

• Enactment of the community participation law and introduce the concept of the "area sabha '

• Assigning or associating elected ULBs with "city planning functions'

*Not mandatory for water supply and sanitation schemes