The 74th constitutional amendment act which came into effect in 1993 can be explained as its provisions as below.
1. The state government can conduct the elections.
2. It ensures a firm relation between state government and urban local bodies with regards to taxation powers and revenue sharing.
3. It provides adequate reservation facilities to SG, ST, Backward class and women.
4. The state government has power to legislate about reservation in urban local bodies.
5. The members should elect directly by the residents who are living in urban area.
6. The tenure of the urban local bodies in 5 years.
7. Elections shall be held within 6 months from the date of dissolution.
8. Members of parliament and assembly are the ex-officio members of urban local bodies.
9. The state government can nominate 5 members to the urban local bodies.
10. The state government has power to prepare plan for economic and social development.
11. State finance commission has been established to review the finances of urban local bodies.