2.2. Mains features of the act

The mains features of the Act are

♤ A 3-tier system of Panchayati Raj for all States having population of over 20 lakh. The Panchayats have been established in each state through acts of the respective states.

♤ Panchayat elections regularly every 5 years

♤ Reservation of seats for Scheduled Castes, Scheduled Tribes and women (not less than one- third of seats).

♤ The seats are to be reserved for SCs and STs in proportion to their population at each level. Out of the Reserved Seats, 1/3rd have to be reserved for the women of the SC and ST. Out of the total number of seats to be filled by the direct elections, 1/3rd have to be reserved for women.

♤ Appointment of State Finance Commission to make recommendations as regards the financial powers of the Panchayats

As per the Constitution (73rd Amendment) Act, the Panchayati Raj Institutions have been endowed with such powers and authority as may be necessary to function as institutions of self- government and contains provisions of devolution of powers and responsibilities upon Panchayats at the appropriate level with reference to

(a) the preparation of plans for economic development and social justice

(b) the implementation of such schemes for economic development and social justice as may be entrusted to them.