Corporator-office bearer fund to be cut


Nashik : Taking into account liability, statistics of revenue earned through various taxes and confusion over grant from government through GST, financial condition of Nashik Municipal Corporation is likely to be critical. Considering this, corporator fund will be cut again in current financial year. Keeping aside proposal passed by standing committee and General Body Meeting regarding corporator fund, administration is prepared to give around Rs. 40-45 lakh as corporator fund.

Considering that revenue sources and Local Body Tax will be stopped from July 1, the Municipal Commissioner had tabled a realistic budget of Rs. 1,410 cr for the year 2017-18. While tabling this budget, hike in water tax, property tax and other taxes was proposed. After the budget was tabled before the standing committee, it was hiked by Rs. 389 crore. Considering opposition by members while approving this budget, the chairperson had approved tax hike proposal partially. As the General Body Meeting added Rs. 374 crore to it, the budget reached Rs. 2,167.36 crore.

Taking into account all current revenue sources of NMC, total revenue is around Rs. 1100-1200 crore. The Local Body Tax which has highest share in it will be stopped from July 1 and central government will enforce Goods and Services Tax in its place. It is still unclear how and what grant NMC will receive from the state and central government in the form of GST. NMC has to raise huge amount every year for its liability, smart city, Mukne dam, JNRU and Amrut Yojna. The standing committee and General Body Meeting had refused total tax hike. There was no assurance by state government about any grant other than GST.

On the backdrop of this, the financial condition of NMC will become more critical. It is impossible to implement the budget which has been inflated to Rs. 2100 crore, administration is stating. First, the standing committee had increased corporator fund to Rs. 50 lakh and approved it. Thereafter the General Body Meeting had approved corporator fund of Rs. 75 lakh.

Considering reality, the administration cut the corporator fund and corporators will get fund of Rs. 40 lakh like previous year. In addition, fund of the Mayor and other office bearers are likely to be cut.

Corporators will get fund of Rs. 40 lakh only: Municipal Commn

“As per budget of this year, I instructed the administration to give fund of Rs. 40 lakh to corporators. This decision was taken considering current situation,” informed Municipal Commissioner Abhishek Krishna.

Informing that standing committee chairperson Shivaji Gangurde and other members met him to give the corporator fund immediately, the Municipal Commissioner stated that if financial condition of NMC becomes good in future, decision regarding increasing the fund will be taken.

Total Rs. 1.60 crore fund will be provided for a single prabhag. This fund will be spent on basic works like roads, water, sewage, cleanliness and garbage bin as per instruction by corporators. Corporators in the prabhag should decide whether this fund will be spend on single work or various small works, the Municipal Commissioner made it clear.