Budget estimates remain beyond Ludhiana civic body’s reach

Budget estimates remain beyond Ludhiana civic body’s reach

Budget estimates remain beyond Ludhiana civic body’s reach

Ludhiana  : As the first half of the current financial year (2021-22) is approaching fast, the Municipal Corporation has found itself way behind in achieving the Budget target of around 50 per cent of the Rs 1,000 annual Budget. It was learnt that recovery from local taxes, user charges and other sources of income was at present hovering between 25 and 30 per cent or even less and making up the deficit in next three weeks seemed to be a herculean task.

Concerned over deficient recovery and its adverse affect on development and infrastructure projects in the city, MC Commissioner Pradeep Kumar Sabharwal is said to have given a dressing down to all departmental heads for poor recovery. At the same time, officials and field staff have been given targets with explicit instructions that failure to meet the targets would be taken seriously and erring persons would have to face action.

Highly placed sources indicated that building branch (composition fee), advertisement branch, rent and tehbazari, operations and maintenance (O&M) branch (from water and sewerage charges) and sale of property and development charges (from CLU and OTS) were the main laggards. The sole exception was income from house tax and property tax where recovery was almost close to the estimated income.

It was also learnt that all four Zonal Commissioners as well as heads of the O&M branch were specifically told to ensure that the house/property tax branch and the O&M branches made recovery of at least Rs 20 crore and Rs 11 crore, respectively, by the end of this month so that the estimated Budget targets could be achieved.

Officials of the O&M branch said the recovery from user charges (water and sewerage bills) was showing an upward trend with the introduction of one-time settlement (OTS) scheme for regularisation of illegal water and sewerage connections which was notified by the state government on August 16, 2021.

The scheme also provided for one-time waiver of interest and penalty on payment of arrears of water and sewerage bills for the payment of principal amount in lump sum during the three-month window of the OTS scheme.

Building, O&M branches among laggards

Highly placed sources indicated that building branch (composition fee), advertisement branch, rent and tehbazari, operations and maintenance (O&M) branch (from water and sewerage charges) and sale of property and development charges (from CLU and OTS) were the main laggards. The sole exception was income from house tax and property tax where recovery was almost close to the estimated income.