Salient Features of 73rd Amendment: The 73rd amendment to the Constitution enacted in 1992 made statutory provisions for the establishment, empowerment and functioning of Panchayati Raj institutions. Some provisions of this amendment are binding on the States while others have been left to be decided by respective State Legislatures at their discretion. The salient features of this amendment are as follows:
I. Some of the compulsory requirements of the new law are:
(i) Organisation of Gram Sabhas.
(ii) creation of a three-tier Panchayati Raj Structure at the Zila, Block and Village levels.
(iii) almost all posts, at all levels to be filled by direct elections.
(iv) minimum age for contesting elections to the Panchayati Raj institutions be twenty-one years.
(v) the post of Chairman at the Zila and Block levels should be filled by indirect election.
(vi) there should be reservation of seats for Scheduled Castes/Scheduled Tribes in Panchayats, in proportion to their population, and for women in Panchayats up to one-third seats.
(vii) State Election Commission to be set up in each State to conduct elections to Panchayati Raj institutions.
(viii) The tenure of Panchayati Raj institutions is five years, if dissolved earlier, fresh elections to be held within six months. and
(ix) A State Finance Commission is set up in each State at every fifth year.
II. Some of the provisions which are not binding on the States, but only guidelines are:
(i) Giving voting rights to members of the Central and State legislatures in these bodies.
(ii) providing reservation for backward classes. and
(iii) the Panchayati Raj institutions should be given financial powers in relation to taxes, levy fees, etc. and efforts shall be made to make Panchayats autonomous bodies.