A resolution adopted at a day-long meeting attended by the party brass including former Prime Minister Manmohan Singh and Vice President Rahul Gandhi, resolved to "resist these attempts forcefully".
The tone for the meeting in which Prime Minister Narendra Modi came under attack from Chief Ministers, especially those from the North-east over not getting appointment from him, was set by Gandhi who said he was allowing his colleagues to create an atmosphere of "fear and foreboding" by fomenting "communal polarisation".
"On the one hand, the Prime Minister wants to project himself as the great champion of good governance and Constitutional values while on the other he allows many of his colleagues to make vile statements and foment communal polarisation," Gandhi said.
The resolution rejected "boastful claims, exaggerations and downright falsehoods" of the central government on its achievements of the past year and its systematic efforts to deny the UPA Government credit for the progress made during its 10-year rule.
On his part, Rahul Gandhi made a veiled attack on Modi saying "our opposition believes in centralising power and ensuring that one or two people run our country".
The Conference expressed grave concern over the Centre "abdicating" its primary responsibility in human and social development and the substantial cuts in the allocations for health, education, women and child development, drinking water and agriculture.
It demanded restoration of allocation to these programmes while the Chief Ministers asserted they will not cut back on these programmes.