ABSTRACT

XII Central  Finance  Commission  Grants  to  Urban  Local  Bodies – Release of I instalment to Municipal Corporations / Municipalities / Grade-III Municipalities  for 2006-2007 – Orders – Issued.

MUNICIPAL ADMINISTRATION AND WATER SUPPLY (MA.II) DEPARTMENT

G.O.(D.)NO.514
DATED:19.12.2006

READ:

From the Commissioner of Municipal Administration, Letter Roc.No.66830/ 2006/P2, dated 21.11.2006.

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ORDER:

 In the letter   read above,  the Commissioner of Municipal Administration  has requested to the Government release the grants as per the recommendations of the XII Central Finance Commission and prescribe the guidelines to be followed for utilisation of the grants by the  Urban Local Bodies in Tamil Nadu.

2. Based on the release of I instalment of  XII Central Finance Commission grants for 2006-2007 from Government of India,, sanction is accorded for Rs.41.1487 crores (Rupees forty one crores fourteen lakhs and eighty seven thousands only) as release of I instalment for the Utilisation towards the objectives specified in the guidelines issued by Government of India  as detailed below:-

3. The distribution among various municipalities shall be made by way of giving  75% weightage  on population (2001 census) and 25% weightage on fiscal collection basis.

4. The amount sanctioned in para 1 above shall be utilised as below:-

(a)  50% for the scheme of Solid Waste Management through Public Private Partnership.  The Municipalities should concentrate on Collection, Segregation and transportation of Solid Waste.  The cost of these activities whether carried out in house or outsourced    could be met from the grants.

(b)  25% for maintenance of roads and storm water drains; and

(c)  25% for miscellaneous works such as creation of data base, payment of electricity etc.,

 5. The Commissioner of Municipal Administration is requested to ensure that the 50% of the grants sanctioned in para 2 above are utilised only for the schemes of Solid Waste Management and the balance 50% shall be utilised for.

I.  maintenance of roads and storm water drainage and

II.  Miscellaneous works such as creation of data base, payment of Electricity bill etc., in the ratio of 25% each respectively.

6.    The Commissioner of Municipal Administration is authorised to draw and disburse the amount sanctioned in para 2 above to the Corporations / Municipalities / IIIrd Grade Municipalities.

7. The Commissioner of Municipal Administration  is also requested to send the Utilisation Certificates for the utilisation of the amount sanctioned in para 2  in the format prescribed by the Government so as to forward the same to the Government of India as well as for the release of the next instalment.

8. The expenditure sanctioned in para 2 above shall be debited to the following heads of account:-

For Municipalities: (Rs.19.4480 crores) (Rupees nineteen crores forty four lakhs and eighty thousand only.)

3604.00  Compensation and Assignments to local bodies and Panchayat Raj Institutions – 192-Assistance to Municipalities – II - State  Plan – JB Grants to Municipalities as per the recommendations of 12^th Finance Commission – controlled by Commissioner of Municipal Administration 09 Grants in aid 01. Grants for Current Expenditure (DPC3604 00 192 JB 0919.)

For Municipal Corporations: (Rs.17.7320 crores) (Rupees seventeen crores, seventy three lakhs and twenty thousand only.)

3604 00 Compensation and Assignments to local bodies and Panchayat Raj Institutions – 191 – Assistance to Municipal Corporations – II - State  Plan – JB Grants to Municipal Corporations as per the recommendations of 12^th Finance Commission – Controlled by Commissioner of Municipal Administration 09 grants in aid 01. Grants for Current Expenditure (DPC 3604  00  191  JB 0911).

For Grade-III Municipalities: (Rs.3.9687 crores) (Rupees three crores and ninety six lakhs and eighty seven thousands only.)

3604.00  Compensation and Assignments to local bodies and Panchayat Raj Institutions – 192-Assistance to Municipalities – II - State  Plan – JC Grants to Third Grade Municipalities as per the recommendations of 12^th Finance Commission – Controlled by Commissioner of Municipal Administration 09 Grants in aid 01 Grants for Current Expenditure (DPC 3604 00 192 JC 0917.).

9. This order issues with the concurrence of Finance Department vide its U.O.No.78102 / Fin(MAWS) / 2006, dated 12.12.2006.

(BY ORDER OF THE GOVERNOR)

K. DEENABANDU,
SECRETARY TO GOVERNMENT.

To

The Commissioner of Municipal Administration,Chennai-5.

The Pay and Accounts Officer (East), Chennai-5. (2 copies)

The Pay and Accounts Officer (North), Chennai-1. (2 copies)

The Accountant General, Chennai-18.

The Accountant General,Chennai-18.(By name)

Copy to:

The Finance (MAWS/FC.IV) Department, Chennai-9.

The Municipal Administration and Water Supply (OPII) Department, Chennai-9.

-/Forwarded by Order/-

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SECTION OFFICER