Overview

• Nagar Panchayats can now sanction development projects up to ₹1 crore and municipal councils up to ₹2 crore, a jump from the previous ₹40 lakh limit.
• Financial accountability for substandard construction is split 50/50 between contractors and the responsible engineers or officers, with recoveries overseen by district magistrates.
• Roads wider than 3.75 meters must use FDR technology or be laid as cement concrete or bituminous surfaces, while narrower roads may be paved with interlocking tiles.
• Urban local bodies must maintain ward-wise road directories and complete GIS mapping of all infrastructure to support integrated planning.
• Principal Secretary Amrit Abhijat said the reforms, aligned with the 74th Constitutional Amendment, will strengthen decentralization, transparency and service delivery.