(1) All works undertaken under this Act shall be originated from the Viksit Gram Panchayat Plans prepared under sub-section (3), and consolidated at the Block, District and State levels and further aggregated into the Viksit Bharat National Rural Infrastructure Stack, which shall comprise a comprehensive listing of works aligned with National development priorities.
(2) The Viksit Bharat National Rural Infrastructure Stack shall encompass four thematic focus domains, namely:---
(a) water security through water-related works;
(b) core rural infrastructure;
(c) livelihood-related infrastructure; and
(d) works for the mitigation of extreme weather events.
(3) Rural works planning under this Act shall be undertaken through Viksit Gram Panchayat Plans, prepared by the Gram Panchayats and integrated with the PM Gati Shakti National Master Plan, so as to enable spatially optimised infrastructure development and strengthened inter-departmental convergence in accordance with the provisions specified in Schedule I.
(4) For the purposes of sub-section (3), Gram Panchayats shall be categorised into Category A, Category B and Category C, in accordance with the provisions specified in Schedule I.
(5) The Central Government shall determine the State-wise normative allocation for each financial year, based on objective parameters as may be prescribed by the Central Government.
(6) Any expenditure incurred by a State in excess of its normative allocation shall be borne by the State Government in such manner and by such procedure as may be prescribed by the Central Government.