Sources and Mechanisms of Funding for Slum Improvement Schemes at the Urban Local Body (ULB) Level in India

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1. Government Budgetary Allocations

  • Central Government Funding:
    • Schemes like PMAY-Urban (Pradhan Mantri Awas Yojana – Urban) provide direct funding to ULBs for slum redevelopment and affordable housing.
    • Atal Mission for Rejuvenation and Urban Transformation (AMRUT) includes provisions for basic services to slums.
    • Funds are often transferred through State Urban Development Departments to ULBs based on project proposals.
  • State Government Support:
    • States have their own housing boards and urban development policies. For example, Maharashtraโ€™s Slum Rehabilitation Authority (SRA) model.
    • States often co-finance central schemes (e.g., PMAY-Urban follows a 60:40 Centre:State funding ratio for most states, 90:10 for NE and special category states).
  • ULB Own Revenues:
    • Property tax
    • User charges (for water, sanitation, etc.)
    • Development charges and betterment levies
    • Land monetization (leasing or selling municipal land)

2. Grants and Transfers

  • Finance Commission Grants:
    • The 15th Finance Commission allocates grants directly to urban local bodies, including a part for improving urban services (indirectly benefiting slums).
  • State Finance Commission Recommendations:
    • State governments allocate funds to ULBs based on their Finance Commission reports.

3. Loans and Credit Mechanisms

  • HUDCO (Housing and Urban Development Corporation Ltd):
    • Provides long-term, low-interest loans to ULBs for slum housing and basic services.
  • World Bank, ADB, and Multilateral Agencies:
    • Fund large urban development programs (e.g., Tamil Nadu Urban Development Fund).
    • ULBs can access these funds indirectly through state governments.
  • Pooled Finance Development Fund (PFDF):
    • Helps smaller ULBs access bond markets through pooled municipal bonds for infrastructure projects, including slum improvement.

4. Public-Private Partnerships (PPP)

  • Slum redevelopment projects are increasingly being implemented through PPP models, where:
    • Developers get rights to commercially exploit parts of land in exchange for rehabilitating slum dwellers.
    • Example: Mumbai’s SRA projects.
  • Viability Gap Funding (VGF):
    • Central government provides VGF to make projects commercially viable for private developers.

5. Community Participation and Beneficiary Contributions

  • Sweat Equity:
    • In situ slum redevelopment often uses community labor as a contribution to project costs.
  • Beneficiary Payments:
    • Minimal contributions are taken from slum dwellers in housing schemes (e.g., under PMAY-Urban, a nominal beneficiary share is required).
  • Self-Help Groups (SHGs) and Microfinance:
    • Used for incremental housing improvements and basic infrastructure upgradation.

6. Corporate Social Responsibility (CSR) Funds

  • Companies are mandated (under the Companies Act, 2013) to invest 2% of their profits into CSR activities.
  • Some CSR initiatives fund housing, sanitation, and education projects in slums.

7. Innovative Financing Mechanisms

  • Land Value Capture (LVC):
    • ULBs capture a share of the increase in land value resulting from infrastructure improvements.
    • Tools include betterment charges, transfer of development rights (TDR), impact fees.
  • Municipal Bonds:
    • Cities like Pune have raised funds through municipal bonds for water supply and sanitation, indirectly impacting slum areas.

In short, funding at ULB level for slum improvement is a mix of public funding (both Union and State), ULB internal resources, loans, PPPs, community contributions, and innovative financing models like municipal bonds and land value capture.

Navigating the Future of Education: Insights from Transformative Leadership

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By Shashikant Nishant Sharma

The landscape of education is perpetually evolving, driven by changes in technology, society, and global challenges. In this dynamic environment, the role of educational leadership has become more critical than ever. The theories and practices that define effective leadership in education are continuously being refined and reimagined. Two pivotal works in the recent scholarly discourse on this topic are by Sharma, S. N., and colleaguesโ€”providing profound insights into the transformational strategies and planning required in modern educational contexts.

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Transformative Leadership: A Path to Educational Excellence

In their 2024 work, New Perspectives on Transformative Leadership in Education, Sharma, S. N., and Adeoye, M. A. delve into the concept of transformative leadership in educational settings. This book serves as a seminal text, illustrating how transformative leaders can influence educational institutions to adapt and thrive amid changing educational demands and societal expectations. The authors argue that transformative leadership is not just about incremental improvements but about rethinking and reshaping educational paradigms to foster environments that enhance learning, equity, and the personal development of both students and teachers.

Transformative leaders are depicted as visionaries who dare to challenge the status quo and inspire a collective commitment to goals that elevate the educational experience. They prioritize critical thinking, creativity, and adaptabilityโ€”skills essential for students to succeed in a rapidly changing world. Moreover, the book discusses the importance of a culturally responsive pedagogy, which acknowledges and utilizes the cultural knowledge, frames of reference, and performance styles of ethnically diverse students to make learning more relevant and effective.

Strategic Planning in Educational Leadership

Further exploring the dimensions of effective educational leadership, Sharma, S. N., and Dehalwar, K.’s 2023 article in the Journal of Planning Education and Research focuses on the strategic planning aspects of educational leadership. The article, titled Council of Planning for Promoting Planning Education and Planning Professionals, emphasizes the need for meticulous strategic planning in educational leadership to cultivate environments that not only promote learning but also professional development in education and planning sectors.

The authors discuss how strategic planning in education involves a systematic process of envisioning a desired future and translating this vision into broadly defined goals or objectives and a sequence of steps to achieve them. By fostering a robust planning culture, educational leaders can better prepare planning professionals to meet future challenges, ensuring that educational institutions remain resilient and responsive to external pressures and internal needs.

Impact and Implementation

Both works underscore the importance of leadership that is adaptive and forward-thinking. Educational leaders are encouraged to embrace innovative approaches and technologies that support interactive and inclusive learning environments. For instance, integrating digital tools and fostering a digital mindset can significantly enhance the accessibility and quality of education, preparing students for the digital economy.

Additionally, these leadership styles and strategies emphasize the importance of continuous learning and development for educators themselves, advocating for professional development programs that equip educators with the latest pedagogical skills and knowledge.

Conclusion

The insights provided by Sharma, S. N., and colleagues highlight the transformative potential of leadership in education. As we navigate the complexities of 21st-century education, the principles of transformative leadership and strategic planning become indispensable. These leaders do not merely manage resources but catalyze change, inspire innovation, and pave the way for future generations to succeed in an interconnected and ever-evolving world. Through such leadership, education can transcend traditional boundaries and become a powerful tool for societal transformation and personal development.

References

Bush, T. (2007). Educational leadership and management: Theory, policy and practice.ย South African journal of education,ย 27(3), 391-406.

Dehalwar, K. Institute of Town Planners India is Dedicated to Planning Education and Development in India.

Dehalwar, K. Religion as Social Work: Understanding its Significance in Planning.

Grogan, M., & Shakeshaft, C. (2010).ย Women and educational leadership. John Wiley & Sons.

Firestone, W. A., & Riehl, C. (Eds.). (2005).ย A new agenda for research in educational leadership. Teachers College Press.

Leithwood, K. (2005). Educational Leadership. A Review of the Research.ย Laboratory for Student Success (LSS), The Mid-Atlantic Regional Educational Laboratory.

Sharma, S. N., & Adeoye, M. A. (2024). New Perspectives on Transformative Leadership in Education (pp. 1โ€“176). EduPub. https://doi.org/10.5281/zenodo.10970922

Sharma, S. N., & Dehalwar, K. (2023). Council of Planning for Promoting Planning Education and Planning Professionals.ย Journal of Planning Education and Research,ย 43(4), 748-749.

Spillane, J. P. (2004). Educational leadership.ย Educational evaluation and policy analysis,ย 26(2), 169-172.