₹6,903 crore – 13% of Budget – allocated to municipal bodies

New Delhi: In a major boost to the three municipal corporations, the Delhi Budget has allocated Rs 6,903 crore, amounting to 13 per cent of the total Budget and 9.8 per cent higher than the funds given in the Revised Estimates of 2017-2018.

However, the Corporations demanded more funds, in addition to implementation of the Fourth Finance Commission report with immediate effect.

"In view of the poor financial position, the government has decided to provide massive financial support to the local bodies with maximum allocation of money.

"Since North and East Corporations are reeling severely, we have not recovered the principal and interest amount of the outstanding loan liablities during 2016-17 and 2017-18 from the grant being released to them," said Deputy Chief Minister Manish Sisodia, while tabling the Budget.

Sisodia, who also holds the Finance portfolio, informed that the financial support to the local bodies includes Rs 3,460 crore as share in tax collection, Rs 1,805 crore as share in stamps, registration fees and one time parking charges etc, in 2018-19.

Rs 638 crore has been earmarked for all three civic agencies for various schemes and programmes, especially in health and education sectors.

The government, in collaboration with the MCDs, has started 'Operation Buniyad', under which additional classes will be given to students upto class VIII.

The Budget also proposes an additional Rs 1,000 crore for upkeep and maintenance of roads and lanes under the jurisdiction of civic bodies, which would be released once the Lieutenant Governor approves NOCs from the respective civic bodies.

Reacting to the fund allocation, leaders from three the MCDs said the announcement is just the "tip of the iceberg" and the financial issues will be resolved only when the recommendations of the Fourth Finance Commission (FFC) Report will be implemented.

South Delhi Municipal Corporation Mayor Kamaljeet Sehrawat said there are outstanding dues of Rs 750 crore to the Municipal Reform Fund, as well as due to non-implementation of the FFC Report.

She further said as per revised estimates, Rs 49 crores was to be paid to domestic breeding checkers, Malaria workers and for buying chemicals to control dengue, but only Rs 32 crores released.