The Inner Workings of Policy Amendment
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The Inner Workings of Policy Amendment

For a policy professional, the opportunity to amend laws is the stuff of dreams.

I got the privilege to support the Housing and Urban Development Department, Government of Odisha on their endeavour to amend key clauses in two of its state municipal acts- The Odisha Municipal Act, 1950, and the Odisha Municipal Corporation Act, 2003. I helped identify and amend the clauses and prepare supporting documents for the introduction of the amendments bill in the state’s legislative assembly. This amendment aimed to streamline the implementation of one of its flagship schemes.

Policy amendment and scheme implementation are closely intertwined. The success of a scheme can be influenced by the support of corresponding policies, even in the face of changing governments or political conditions. The Mahatma Gandhi National Rural Employment Guarantee scheme is backed by the Mahatma Gandhi National Rural Employment Guarantee Act, 2005, and it legally guarantees 100 days of wage employment in a financial year to adult members of rural households. The passing of the Jammu and Kashmir Reorganisation Act, 2019 and revocation of Article 370 prompted all central government ministries to assess the applicability of their schemes in Jammu and Kashmir, as they were previously excluded from the state.

To facilitate schemes implementation, the Government of Odisha periodically undertakes policy reframing exercises. For instance, they passed the Odisha Land Rights to Slum Dwellers Act, 2017, and incorporated provisions in the Odisha Municipal Corporation Act, 2003 to grant land rights to slum households, supporting the land titling programme- the Jaga Mission and the affordable housing mission- the Pradhan Mantri Awas Yojana (Urban). Furthermore, the government introduced amendments to the Odisha Town Planning and Improvement Trust (Amendment) Act, 1965 through an ordinance in 2021 to launch the Online Building Plan Approval System.

Odisha's cabinet. Image courtesy: Sambadenglish.com
Odisha State Cabinet. Image courtesy: sambadenglish.com


Simplicity plays a vital role in achieving the successful passage of a law, and it is a key consideration for governments. Initially, a large number of clauses for potential amendment were identified after a comprehensive review of numerous policy documents. The amendments I supported focused specifically on contracting and tendering for public works by urban local bodies. So, all relevant clauses in the Acts themselves, as well as related policy documents such as the Orissa Municipal Rules, 1953, the Orissa Municipal Corporation Rules, 2004, the Odisha Public Works Department Code, and the Odisha General Financial Rules were examined.

However, to streamline the amendment process and minimize the need for extensive and frequent revisions, it was decided to concentrate on 2-3 main clauses. Flexible amendments were drafted to accommodate the specific requirements of the scheme. An overarching amendment empowering the state government to notify special cases, often referred to as a grandfathering clause, was proposed in both Acts. This amendment provided the necessary flexibility to incorporate aspects of contracting and tendering followed in the government scheme, which deviated from the provisions mentioned in the municipal acts.

‘Notify’ is the key word here- it lends legitimacy to the scheme-related policies such as government notifications, orders, or guidelines- these documents can be modified and made applicable more frequently with the changing needs. The drafted bill specified the articles, sub-sections, provisos, and the amendments to be made in them.

Justifying a change in the law is crucial during the bill proposal stage. Prior to its introduction in the Legislative Assembly, the bill must receive the green signal from the State Cabinet, led by the Chief Minister and comprising senior ministers responsible for major departments. Odisha’s current cabinet includes 12 ministers heading the departments concerning law, minority affairs, finance, parliamentary affairs, health, all economic activities, rural and urban development, revenue and disaster management, works, water resources, planning, and convergence. The Odisha Cabinet generally meets twice a month to deliberate and decide on various administrative proposals, including legislative approvals, appointments, and major projects. Their approval sets the course for policy amendments.

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A comprehensive amendments docket is prepared for the Cabinet with the following documents:

a. The draft bill

b. A comparison table- A table that contains the original clause, the amended clause, and the reasoning behind the amendment

c. A Statement of Objects and Reasons (SOR) – A 1–2-page summary of the intent, need, and contents of the bill

d. A Cabinet Memorandum- A more detailed SOR with a paragraph dedicated to each amendment- mentioning intent, need, and content changes

e. A Financial Memorandum- A form indicating whether the government shall incur a revenue loss, or additional budgetary expenditures and their quantum, whether any new staffing posts will be created or a new tax or revenue be levied due to this amendment

f. A Synopsis- A condensed SOR- it is a table that mentions the gist of the changes (the clause numbers), expected benefits, and implementation timeframe

g. A Press Brief- A single-page summary of the bill in both the local language and English for the press

The preparation of all of these documents is truly a lesson in the art of summarization and brevity.

The Law Department plays a vital role in all stages of the bill's introduction. They review and concur with these documents, offer legal advice on potential challenges, legislative procedures, and assist with drafting of the bill in accordance with the Cabinet's approved memorandum. There is a back-and-forth process involved in framing these documents, addressing the Law Department’s queries, and incorporating their suggestions.

After the Cabinet approval to the introduction of the bill in the Legislative Assembly is received, the Housing and Urban Development Department helps prepare the Ministers and the Members of Legislative Assembly (MLAs) for the ensuing discussions. This involves anticipating all possible questions and objections on the bill and providing the Ministers with the adequate information to answer them. The responses need to reference the applicable clauses in the law, past amendments, facts and figures, and real-world examples highlighting the need or the challenges to getting the law passed. The responses need to be concise and to the point as well. No long monologues! A sequence of statements is prepared for the Urban Development Minister and a few ruling party MLAs to speak in favour of the bill. Who would have thought legislation could be so intriguing?

With all of these preparations in place, patience becomes paramount. The bill's journey to the Legislative Assembly for discussion and passage can be unpredictable, as pressing issues and political priorities often take precedence, or Assemblies adjourn earlier than scheduled. In case it cannot be taken up in session, there is the possibility of passing an ordinance. The government will possibly release a few more notifications in the meantime, and the scheme shall go on!

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Odisha Legislative Assembly. Photo courtesy: odishabytes.com

If you would like to know more about the policy making process in general (at the Union level), here are two interesting articles-

#publicpolicy #acts #bills #laws #PolicyAmendment #SchemeImplementation #LegislativeProcess #PolicyReforms #urbandevelopment #publicworks #LawMaking #GovernmentLegislation #PolicyChanges #AdministrativeReforms #GovernmentAccountability #policymaking #odisha #municipalities

Sources-

1.?????Government schemes in J&K: Central laws, schemes may need amendment to be applied to J&K

2.?????Government decides to confer land rights to 10 lakh slum dwellers in municipal corporations

3.?????Odisha Town Planning Bill 2021

4.?????Odisha's Cabinet Website

Ashok Rao

Public Finance | Governance | Public Policy | Program Design | Director at MaGC

11 个月
Ashok Rao

Public Finance | Governance | Public Policy | Program Design | Director at MaGC

11 个月

Very nice article Devashree Ragde. Very informative!

回复
Aniket Kendre

Senior Associate- KPMG M&A Consulting- Transport and Logistics Team

1 年

Very interesting!

Anand Mohan Mani

Ship Building Consultant & Crew Training

1 年

Great ?? wish you best ??

Nishant Kharkwal

PHD Scholar at Delhi School of Economics

1 年

Thank you so much for the article Devashree Ragde. Its a well researched and exhaustive work. It will help the other policy professionals especially the budding urban policy professionals to understand the process of what actually goes behind while preparing a policy draft and its journey to become a law.

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