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Former Prime Minister Manmohan Singh on Saturday, 14 September, said the government should have factored in the chief ministers' views before changing the terms of reference of the 15th Finance Commission, adding that unilateralism is not good for federal policy and cooperative federalism.
Speaking at an event here, Singh said any change in the panel's terms of reference at the fag-end of its term should have been done in consultation with the states.
"The best course would have been for the Central government that if it wants to tailor the terms of reference, it should be backed by Chief Ministers' Conference, which is now under the auspices of NITI Aayog, otherwise there would be strong feeling that the (Central) government is trying to rob the states of due resource allotment.
"I think that it is not good for the federal polity of our country and cooperative federalism we all swear by these days," Singh said while addressing the 'National Seminar on Additional Terms of Reference of the 15th Finance Commission: Implication for the States'.
The commission's report goes to the finance ministry and then it goes to the Cabinet and therefore government of the day can take a view that whatever the mandate of the Parliament, the government would abide by that rather than imposing its view unilaterally on the reluctant state commissions," he added.
The commission, which has been mandated to use 2011 census data rather than the one of 1971 for resource allocation, was to submit its report by 30 October, 2019. The deadline was later extended till 30 November, 2019.
"I am told once upon a time, the 9th Finance Commission took the view that it will be guided by the Constitutional mandate and will do the fair distribution of taxes, though I don't know that whether this (15th) commission is going to adopt that line of thought. But, internal security as well as defence are subjects which are of great national importance," Singh added.
He was of the view that cooperative federalism demands give and take and therefore it is very important that the Center should take the initiative to consult states as often as necessary to carry them along.
It's rather odd for the government to come up with additional terms of reference. Most of the states have already gone to the commission with their requirement and now you impose another terms of reference on the commission, which would complicate its work. That is certainly not good for the federal polity and cooperative federalism that we desire should flourish in the country," he added.
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