The neo-liberal paradigm of developmental planning, multi-level planning is expected to make operations cost-effective and remove many implementation blockages.Implementation of the 73rd and 74th Amendments to the Constitution requires multi-level planning in a multi-layered federation. Besides making operations cost-effective and removing implementation blockages, it will lead to realising the constitutional mandate of decentralised governance. How?1) Plans for economic development and social justice based on area planning prepared by panchayats.2) Less volume of centrally sponsored schemes (CSSs) means less pressure on the Centre.3) Devolution of multi-level public finance since fiscal federalism itself cuts cost.4) With it, it is easier to achieve the goals of Special Area Programmes like a) Hill Areas Development Programme (HADP), b) Western Ghats Development Programme (WGDP) and c) Border Area Development Programme (BADP).5) No neglecting of District Planning Committee (DPC) preparation of a draft development plan for the district as a whole with a focus on resource utilisation, environmental conservation, infrastructural development and spatial planning.The neo-liberal paradigm of developmental planning involves a policy model taking account of political, social and economic dynamics. Transferring control of economic factors from the public sector to the private sector is its foundational tenet, though public funds are channelized for welfare activities. In absence of private and public funds, multi-level planning would not deliver the desire results, the combination of two is prerequisite to experience ‘welfare-maximizing’ outcome. Development planning refers to the strategic measurable goals planned to be achieved timely. With the Kollam model and the mission mode approach, such goals can be achieved making everyone a stakeholder inefficient delivery of public goods and services.