<img title="BMC chief Ajoy Mehta has clipped the wings of several departments" src="http://images.mid-day.com/images/2017/mar/29-Ajoy-Mehta.jpg" alt="BMC chief Ajoy Mehta has clipped the wings of several departments" /> BMC chief Ajoy Mehta has clipped the wings of several departments
A leaner, meaner BMC is setting the terms this year. For the second consecutive year, the country's richest municipal corporation has proposed a budget without any new tax or hike in existing taxes. BMC Commissioner Ajoy Mehta yesterday presented a budget of Rs 25,141.51 crore for 2017-18, a massive cut from last year's Rs 37,052 crore outlay.
The unprecedented decrease is expected to have been done with the aim of making the budget more citizen-centric and realistic. The leaner budget has been attributed to a decrease in capital expenditure (funds allocated for big projects). In 2016-17, capital expenditure was estimated at Rs 12,957 crore, but this year, it has been brought down to Rs 8,127 crore.
With this move, the BMC has toed the demands of both the Shiv Sena and the BJP of a realistic budget. Last week, mayor Vishwanath Mahadeshwar had written a letter to Mehta asking for the budget to be made more realistic. Not to be outdone, BJP Mumbai president Ashish Shelar then wrote to the BMC, requesting a more transparent budget.
The civic body also took a step for the first time in uncomplicating its complex budget by proposing a 'transparent, citizen-friendly budget document'.
It, however, paid no heed to the Shiv Sena and the BJP's poll promise of a rebate in property tax for houses measuring over 500 sqft.
Strict monitoring Mehta emphasised on a five-point guideline - principle of conservation (funds to match expenditure), avoid duplication of budget allocations, transparency in financial resources, more accountability of departments, and integration of the budget with the development plan - to allow projects to be completed and maximum utilisation of funds.
The BMC has repeatedly come under fire for failing to use more than 30% of its budgetary provisions each year. The strict monitoring of expenditure will do away with this complaint.
"There have been liabilities of Rs 9,000 crore for many years. For example, in the roads department, works worth R4,000 crore have been pending for years. There are several ongoing projects; instead of completing them, we made new fund allocations for them. This has led to inflated budgets and less utilisation," said Mehta.
Announcing that there would be no new tax or an increase in existing taxes, he said due allocations have been made keeping in mind the revised development plan.
The civic body has slashed funds for all important departments like roads, solid waste management, water supply, health and gardens.
The allocation for the roads department, which is reeling under allegations of irregularities and substandard works, has been slashed for the second year in a row. While R3,200 crore was set aside for it in 2015-16, it got Rs 2,886 crore in 2016-17. This years, it has got only Rs 1,095 crore for repairs and reconstruction of roads.
The BMC has set a target of repair and reconstruction of 241 roads and 69 junctions this year.
Maintaining the same provision as last year, it allotted Rs 1,000 crore for the coastal road project and Rs 130 crore for the Goregaon-Mulund Link Road. Both projects are yet to get some environment clearances and the civic body aims at starting work by this year-end.

The move is expected to improve utilisation of funds and make policy citizen-centric

For first time ever, BMC cuts budget by Rs 12,000 crore

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The move is expected to improve utilisation of funds and make policy citizen-centric

For first time ever, BMC cuts budget by Rs 12,000 crore

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Home / Mumbai / Mumbai News / Article / For first time ever, BMC cuts budget by Rs 12,000 crore

For first time ever, BMC cuts budget by Rs 12,000 crore

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