The 73^rd Amendment Act made the Panchayat Raj a Constitutional system. 

It brought a 3-tier system by having Village-Block- District level Panchayats in all the States.

The block-level can be avoided if the State has less than 20 lakh population. The Grama Sabha Concept is also included in the Amendment, The Chairmen of the Block Panchayat and Zila Parishad will be elected by the concerned Panchayat members. The local MLAs and MPs will be ex-officio members of the Block Panchayat.

The Chairman of the Grama Sabha will be elected as per the law approved by the State Government. Based on the population of the place, in all the 3 levels there will be proportionate representation for SC’s and ST’s.

One-third of the seats are reserved for ladies. Proportionate to the population, some Chairmen should be SCs and STs.

One-third of the chairmen will be ladies. Reservations are by rotation.

The duration for all Panchayat Raj Institutions is 5 years. After dissolution, elections must be done within 6 months and new committees are to be formed. The Act makes provision for the appointment of an independent State Election Commission.

It is the Governor who appoints the State Election Commission. The Act also makes provision for the appointment of a Financial Commission once in 5 years to look into the financial status of the Panchayats and give the Government suggestions.