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City Corporate cum Business Plan for Kotagiri Town Panchayat Final Report

Nilgiris District, Tamil Nadu -1-

1
PROJECT OVERVIEW
1.1 ASSIGNMENT BACKGROUND
The World Bank has been a partner in urban reform program of Government of Tamil Nadu
(GoTN) with engagement through Tamil Nadu Urban Development Project (TNUDP) -
TNUDP-I, TNUDP-II and TNUDP-III (in progress). Towards taking forward the urban reform
agenda, the GoTN is now implementing the TNUDP-III with focus on furthering the reforms
initiated under TNUDP-II.

The Tamil Nadu Urban Infrastructure Financial Services Limited (TNUIFSL), as a financial
intermediary, intends to assist the Commissionerate of Town Panchayats (CTP) in
strengthening and improving the financial position of its Town Panchayats for effective
capital investment management and urban service delivery. These towns possess a good
potential for implementation of such financial reforms for which it is essential to formulate a
City Corporate Cum Business Plan. The CTP has started the process of capacity building in
Town Panchayats through this process to enhance the vision of the ULBs in growth of their
towns.

1.1.1 CITY CORPORATE PLAN

A City Corporate Plan (CCP) is the ULB’s corporate strategy that presents both a vision of a
desired future perspective for the city and the ULB’s organization, and mission statements
on how the ULB, together with other stakeholders, intends to work towards achieving their
long-term vision in the next ten years. A CCP translates mission into actions and actions into
outcomes. When a CCP is developed in close consultation with, and endorsed by all
relevant local stakeholders, a ULB and others who commit themselves to action can be held
accountable for their mission statements, actions and expected outcomes. The CCP will
make economic development and improved quality of life the long-term objective for all of
the actions defined in the plan. The full set of proposed regulations, tax policies,
infrastructure and other local government program expenditures will be framed with long-
term economic development and improved quality of life, especially for the poor, firmly in
mind.

City Corporate Plan

A City Corporate Plan (CCP) helps a city take stock of its opportunities and endowments,
gauge its place in relation to its hopes for the future, and to link these objectives to choices
for improving its competitive position, for instance in producing tradable, identifying critical
investments, mobilizing private sector partnerships, and to reduce poverty. A CCP is
visualized as a document that would provide a perspective and a vision for the future
development of a city. It should present the current status of city’s development; set out the
directions of change; identify the thrust areas; and suggest alternative routes, strategies and
interventions for bringing about the change. It should establish a logical and consistent
framework for evaluation of investment decisions. A CCP will specifically comprise of the
following:
 Situation analysis, with regard to the context i.e., demographic and economic trends, city
governance, service provision & delivery including systems & structures, financial status
of the city government and agencies concerned with service provision including an
analysis of their creditworthiness; and effectiveness and efficiency of the institutional
frameworks;

Community Consulting India Private Limited


City Corporate cum Business Plan for Kotagiri Town Panchayat Final Report
Nilgiris District, Tamil Nadu -2-

 Perspective and a vision for the city;


 Strategy identifying key strategic issues, risks and opportunities facing the city, with
focus on reform and reform priorities; and
 City Investment Plan, referring to order of investment needed to implement the
perspective and alternative financing strategies.

A CCP clearly defines how a ULB will a) serve its customers (businesses and citizens), e.g.
how it intends to guarantee basic level of urban services to all citizens, make urban planning
responsive to emerging needs, become responsive to the needs of, and improve its
services, to local businesses; b) run its business, e.g. how it intends to manage public
finance in a modern and transparent way, execute urban planning and governance in line
with an established framework, become more responsive, cost and time efficient through
integrating technology in their governance and service delivery processes; and c) manage its
resources, e.g. how it intends to increase revenues and expand its tax base to allow for self -
sustaining urban service delivery, improve its creditworthiness, but also how it intends to
recruit and retain a skilled workforce.

Context of a City Corporate Plan

Past efforts to produce this kind of broad, integrated approach have been fraught with
coordination problems and multiple implementation agencies, which have lead to confusion
and wasted resources. Moreover, past planning, like city master plans, have been
excessively technical and unresponsive to citizen input and demand. The CCP is different
from master planning as cities are now more open to outside influences in a globalized
economy, and more able to act on opportunities for growth. At the same time,
decentralization is giving cities more scope for action, and democratization is opening the
planning and political process to much greater participation and accountability. A CCP is
geared to respond to these new circumstances.

1.1.2 OBJECTIVES OF THE ASSIGNMENT

The aim of the assignment was to prepare consensus-based city corporate plan for a period
of 10 years (2007-2017 with 5 yearly updates and if desired, the annual plans) indicating
policies, programmes, strategies and funding mechanisms to meet the development
requirements. The corporate plan was formed as shared vision for the city involving various
stakeholders with a long-term development perspective. The coverage of the CCP should
focus on the following:
 What does the analysis of town’s profile show? Where are the opportunities and where
are the key constraints?
 Given the opportunities and constraints, where does the town wishes to move in a
medium-term perspective? While the vision is forward-looking, it is also a realistic vision,
achievable with a given time frame.
 What strategic options are available to achieve the vision? What are the costs and
benefits of alternative strategic options? Which of the strategies will help the town
achieve the vision at least cost or maximum impact?
 What would be the aggregate investment needed to implement the vision? What are the
options for mobilizing resources for implementing the City Corporate Plan (CCP)?
 What reforms other than those embodied in the JNNURM, UIDSSMT & IHSDP are
necessary for effectively implementing the City Corporate Plan (CCP)?
The specific objective of this exercise is to visualize the town in the next 10 years and to–
 Define the growth directions and service up-gradations in relation to the activity mix /
growth;
 Look at the demand for the projects specified by the ULBs, and come out with gap in
services with respect to the vision;
 Broadly outline the infrastructure needs;

Community Consulting India Private Limited


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