Abstract:
Existing stallJing of local govcnmlent strucll.lTe follows the recommendation of the
Local Government Commission of J 996, which cOllsist~ of a four-tier system but,
before the coml11enccmcnt of the commission report, local government has gone
through a process of chronological change. Among the tiers. the Union Parishad is
still a permanent catalyst of the local government.
A unit of local government must posse,>s substantive autonomy particularly as
reJlcctcd in the right to prepare a budget and raise the revenUe necessary to meet it.
But, the Union Parishad has been facing ~normou~ problem regarding its fund. Day
by day, UP is loosing its power to collect tax from its internal resources that makes
weak governing sy,tem.
This research focuses on Union Parishad: how it works, its souree8 of funding and
expenditures, exploring possible neW source~ of funding and how it can be used for
strengthening UP ,lS a mcall~ of good governance. Here, it h,15been tricd to ~eareh
the reasons for deficit of fund, problem or Jiltld collection, discrepancy between
income and expenditure, priority program needed ill the arca and finally some
reeommcndJtion~ have been provided considering ~(J~ial, politi~al and economic
point of view.
