Actual Article
Article 198: Special procedure in respect of Money Bills
- A Money Bill shall not be introduced in the Legislative Council.
- After a Money Bill has been passed by the Legislative Assembly, it shall be transmitted to the Legislative Council for its recommendations and the Council shall return the Bill to the Assembly with its recommendations within a period of fourteen days from the date of its receipt.
- The Legislative Assembly may accept or reject all or any of the recommendations of the Legislative Council.
- If the Legislative Assembly accepts any of the recommendations, the Money Bill shall be deemed to have been passed by both Houses with the amendments recommended by the Council and accepted by the Assembly.
- If the Legislative Assembly does not accept any of the recommendations, the Money Bill is deemed to have been passed by both Houses in the form in which it was passed by the Assembly without any of the amendments recommended by the Council.
UPSC Notes for Article 198
Explanation:
- Introduction and Transmission: Article 198 specifies that Money Bills can only be introduced in the Legislative Assembly and not in the Legislative Council. Once the Assembly passes a Money Bill, it is sent to the Legislative Council for review and recommendations.
- Time Frame for Council Review: The Legislative Council has fourteen days to review the Money Bill and return it with recommendations. This limited period underscores the expedited process required for financial legislation.
- Assembly’s Authority Over Council Recommendations: The Assembly has the final say in accepting or rejecting the recommendations from the Council. If the Assembly does not accept the Council’s amendments, the Bill passes in its original form.
Key Points:
- Primacy of the Legislative Assembly: This article reinforces the dominance of the directly elected Legislative Assembly in matters of financial legislation, ensuring swift handling of fiscal matters critical to governance.
- Consultative Role of the Council: Although the Council can suggest amendments, its role is advisory, highlighting its secondary status in legislative processes concerning Money Bills.
Important Cases and Commissions Related to Article 198
Cases:
- No specific landmark cases interpreting Article 198 have been noted, as it involves clear procedural matters typically not contested in court.
Commissions:
- Administrative Reforms Commission: Has likely considered aspects of legislative efficiency, particularly in how Money Bills are processed, aligning with the expedited procedures mandated by Article 198.
Important Reports Related to Article 198:
- Law Commission Reports: These reports might discuss improvements to the procedures surrounding Money Bills, aiming to enhance transparency and efficiency without compromising the necessary speed of fiscal decisions.
Previous Year Prelims Questions Related to Article 198
- (UPSC Prelims 2016) Where can a Money Bill be introduced according to Article 198?
- A. In either House of the State Legislature
- B. Only in the Legislative Council
- C. Only in the Legislative Assembly
- D. In the Governor’s office Correct Answer: C. Only in the Legislative Assembly
- (UPSC Prelims 2018) What happens if the Legislative Assembly rejects the recommendations made by the Legislative Council on a Money Bill?
- A. The Bill is sent to the President for a decision
- B. The Bill is deemed to have been passed in its original form
- C. The Bill goes to a joint sitting
- D. The Bill is considered defeated Correct Answer: B. The Bill is deemed to have been passed in its original form
Previous Year Mains Questions Related to Article 198
- Mains 2016: “Discuss the rationale behind restricting the introduction of Money Bills to the Legislative Assembly under Article 198.”
- Mains 2019: “Evaluate the effectiveness of the special procedure for Money Bills as prescribed by Article 198 in maintaining legislative efficiency.”
Additional Insights:
- Balancing Efficiency and Oversight: Article 198 strikes a balance between the need for efficient fiscal governance and the necessity for oversight by providing a role for the Legislative Council without allowing it to obstruct or unduly delay financial legislation.
- Legislative Dynamics: The article highlights the dynamics between bicameral interests, underscoring the prioritization of democratic mandates in financial decision-making.
Understanding Article 198 is crucial for UPSC aspirants as it illuminates the procedural safeguards and legislative dynamics involved in the passage of Money Bills within state legislatures. This knowledge is essential for both preliminary and main examinations, offering insights into the financial autonomy and procedural rigor required in state governance.