This landmark act institutionalized rural local bodies, adding Part IX (Articles 243 to 243-O) and the 11th Schedule.
- Article 243B - Three-Tier System: Mandates a three-tier system of Panchayats at the village, intermediate, and district levels for all states having a population exceeding 20 lakhs.
- Article 243C - Composition: All seats in a Panchayat shall be filled by persons chosen by direct election from territorial constituencies in the Panchayat area.
- Article 243D - Reservation of Seats: Reservation of seats for SCs and STs in proportion to their population. Not less than one-third of total seats reserved for women, applicable to offices of chairpersons as well.
- Article 243E - Duration of Panchayats: Every Panchayat continues for 5 years from the date appointed for its first meeting. Elections must be held before the expiry of the 5-year term or within 6 months of dissolution.
- Eleventh Schedule Subjects: Contains 21 functional items placed within the purview of Panchayats, ranging from agriculture and land improvement to drinking water and rural electrification.
| Feature | Panchayats (73rd Amendment) | Municipalities (74th Amendment) |
|---|---|---|
| Constitutional Part | Part IX (Articles 243 - 243-O) | Part IX-A (Articles 243-P - 243-ZG) |
| Associated Schedule | Eleventh Schedule | Twelfth Schedule |
| Number of Items | 21 Functional Items | 18 Functional Items |
| Types of Bodies | Village, Intermediate, District | Nagar Panchayat, Municipal Council, Municipal Corporation |