The Second Administrative Reforms Commission (ARC), constituted in 2005, was tasked with preparing a detailed blueprint for revamping the public administration system in India. Across its various reports, the ARC consistently made a strong case for the principle of subsidiarity, advocating for governance to be brought closer to the people. The principle of subsidiarity dictates that decisions should be taken at the lowest possible level of authority closest to the people affected, unless a higher level can achieve the objective more effectively.

Here's how the ARC elaborated on and championed this principle:

1. Strengthening Local Governance: A cornerstone of ARC's recommendations was the empowerment and strengthening of Panchayati Raj Institutions (PRIs) and Urban Local Bodies (ULBs). The Commission recognized that local governments, being closest to the citizens, are best positioned to understand and address local needs and aspirations. It advocated for genuine devolution of '3 Fs' – Funds, Functions, and Functionaries – to these bodies, moving beyond mere decentralization of implementation to actual decentralization of decision-making power.

2. Enhancing Citizen Participation: By advocating for stronger local governance, the ARC aimed to increase citizen participation in the planning, implementation, and monitoring of development programs. This direct involvement aligns with subsidiarity, as it ensures that decisions reflect local priorities and that citizens have a direct stake in their governance. Reports like 'Local Governance – An End-to-End Perspective' specifically highlighted the need for greater citizen engagement at the grassroots level.

3. Improving Service Delivery: The ARC argued that services are delivered most effectively when managed by the authority closest to the beneficiaries. Local bodies, with their proximity and understanding of local conditions, can tailor services to specific community needs, leading to more efficient and responsive service delivery. This reduces the 'one-size-fits-all' approach often associated with centralized administration.

4. Reducing Burden on Higher Levels of Government: By devolving responsibilities to local levels, the ARC envisioned that state and central governments could focus on their core functions of policy formulation, strategic planning, resource allocation, and overall oversight, rather than getting bogged down in micro-management. This division of labor, inherent in subsidiarity, leads to greater efficiency across all tiers of government.

5. Promoting Accountability: When decisions are made locally, accountability becomes more direct and immediate. Citizens can more easily hold their local representatives accountable for performance and resource utilization. The ARC emphasized that decentralization, coupled with transparency mechanisms, would foster greater accountability in governance.

6. Fostering Local Leadership and Capacity Building: The principle of subsidiarity, as espoused by ARC, also implies building the capacity of local institutions and leaders. By entrusting them with greater responsibilities, it encourages the development of local expertise and leadership, which is crucial for sustainable local development.

7. Specific Recommendations: While not explicitly using the term 'subsidiarity' in every instance, the spirit of the principle permeated many of ARC's recommendations, particularly those related to administrative reforms at the district and sub-district levels, e-governance initiatives aimed at empowering citizens, and measures to make public services more citizen-centric.

In essence, the Second ARC's strong advocacy for decentralization, empowerment of local bodies, and enhanced citizen participation was a direct application of the principle of subsidiarity. It sought to create a more responsive, efficient, and democratic administrative system by ensuring that governance functions are performed at the most appropriate and lowest possible level, thereby bringing administration closer to the people it serves.