Section 127A(4)(a) in The U.P. Municipalities Act, 1916
(a)have regard to -(i)matters of common interest between the Panchayats and the Municipal Corporations, Municipal Councils and Nagar Panchayats including spatial planning, sharing of water and other physical and natural resources, the integrated development of infrastructure and environmental conservations;(ii)the extent and type of available resources whether financial or otherwise;