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Option 3 : Municipal Corporation
Municipal Corporation is a local government body that governs larger urban areas with a population of more than one million.
Municipal Council is a local government body for Towns and cities. Nagar Panchayat is a council that helps in the transformation from rural to urban.
The 74th Amendment of the Constitution made laws relating to urban local government. The three-tier structure is a municipal corporation, municipal council, and Nagar panchayat.
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