Contrary to the perception that a Constitution amendment bill is required for Telangana's creation, the bill to be adopted by Lok Sabha and Rajya Sabha does not need a two-thirds majority as is the case when a Constitution amendment is required to be adopted.
At a Union Cabinet meeting, which is expected to be held tomorrow, an in-principle approval is likely to be given for creation of a Group of Ministers (GoM) comprising Ministers of Home, Finance, HRD, Health, Irrigation, Power, Environment and Forests, Railways and Deputy Chairman Planning Commission to go into the economic issues on creation of the new state of Telangana.
The Home Ministry will submit a note to the Union Cabinet for creation of Telangana on the basis of the proposal received from the state government. The entire process will take at least 40 days.
The Union Home Ministry will prepare another note for the Union Cabinet with re-organisation bill on the basis of the recommendations and suggestions of the GoM requesting the Union Cabinet to approve the state re-organisation bill and to recommend to the President to refer the bill to the legislature of the state.
Andhra Pradesh State Legislature will also have to pass a resolution that a separate state of Telangana be formed.
Meanwhile, the Ministry of Finance will appoint an expert committee to recommend measures for smooth transition in terms of financial management and viability of the reorganised state.
In view of the normative economic factors that would operate in the remaining state of Andhra Pradesh consequent upon formation of Telangana state, a dedicated unit will be set up in the Planning Commission to deal exclusively with the re-oranised state under the direct charge of the Deputy Chairman, Planning Commission.
The unit will ensure that, with the help of better financial management and adequate devolution of funds from the Centre, multifaceted development of the region takes place, especially with respect to core infrastructure.
After the second Cabinet meeting, the Prime Minister Manmohan Singh would recommend to the President that the draft Bill be referred under Article 3 of the Constitution to the State Legislature for their views to be given within 30 days.
President would then refer the Bill to the State Legislature and Andhra Pradesh Legislative Assembly as well as the Legislative Council will then consider the Bill and give their views within 30 days.
The recommendations of the State Legislature will be incorporated into the draft re-organisation bill and vetted by the Law Ministry.
A third note will be prepared with draft re-organisation bill vetted by the Law Ministry and sent to the Union Cabinet for approval for introduction in Parliament.
Soon, a notice will be given for introduction of the Reorganisation Bill in Lok Sabha and Rajya Sabha. After introduction in both Houses of Parliament, the Bill has to be passed by a simple majority.
After being passed by both the Houses of Parliament, the Bill will be sent to President for his assent and the new state Telangana will come into existence.