No new announcements, spending comes down

March 24, 2015 08:17 am | Updated 02:58 pm IST - CHENNAI:

The Chennai Corporation on Monday passed the Budget 2015-2016 without making any new announcements pertaining to civic development and welfare projects. The property tax rates will remain unchanged. The civic body has not changed tax rates since 1998. According to budget estimates, the civic body would have a total revenue of Rs.4,630.98 crore and a total expenditure of Rs. 4,632.18 crore in 2015-2016.

Presenting the budget on Monday, Mayor Saidai Duraisamy said the civic body will focus on the implementation of the 165 welfare and development schemes that have not been executed in the past three years.

“Of the 419 announcements made by the AIADMK-led Corporation so far, 218 have been implemented. We will implement the remaining 165 this year,” said Mr.Duraisamy.

“During the earlier regime in 1996 to 2001, only 37.73 per cent of announcements were implemented. We have implemented 52.03 pe rcent so far at a cost of Rs.18,222 crore. We are determined to complete all the projects,” said Mr.Duraisamy.

Unable to change tax rates owing to political compulsions, the Corporation has started incurring huge debts to finance infrastructure projects. This is also leading to a reduction in capital expenditure, which includes spending on roads, bridges, parks, stormwater drains and streetlights.

According to budget estimates for 2015-2016, Chennai Corporation will receive a loan amount of Rs. 1,020 crore from various funding agencies. The civic body will get Rs. 150 crore from TUFIDCO, Rs. 250 crore from TUFIDCO-MIDF, Rs. 70 crore from TNUDF-KfW, Rs. 50 crore from HUDCO, Rs. 200 crore from the World Bank and Rs. 300 crore from Indian Bank.

The loan component has increased from Rs. 546 crore in 2014-2015 to Rs. 1,020 crore in 2015-2016.

Mr. Duraisamy said the interest payment on loans has increased from Rs. 14 crore in 2014-2015 to Rs. 105 crore in 2015-2016.

As the Corporation Taxation and Finance Committee Chairman S. Santhanam did not participate in the budget meeting on Monday, Mayor Saidai Duraisamy presented the budget. “The Mayor is the ex-officio member of the Taxation and Finance Committee according to Section 38 of CCMC Act,” said an official.

AIADMK general secretary Jayalalithaa had removed Mr. Santhanam from the primary membership of the party on March 4 for reportedly violating the rules of the party.

A total of 103 councillors participated in the debate before the budget was passed. Even as DMK councillors staged a walk-out, Congress councillor Tamil Selvan pointed to the absence of new announcements, forcing the Mayor to explain the reasons. “The city infrastructure will improve if our pending projects are completed. We will work towards that goal instead of making new announcements,” said Mr. Duraisamy.

The budget estimate for capital expenditure in 2015-2016 has been reduced to Rs. 2,130 crore as against the revised estimate of Rs. 2,220 crore for the previous year.

Operation and maintenance charges for 2015-2016 will be Rs. 630 crore because of a large number of road cuts in areas such as Alandur, Madhavaram, Perungudi, Sholinganallur and Adyar. Chennai Corporation will spend Rs. 179 crore on repairing new roads dug up by Metrowater recently. “This is a waste of resources. The government could have saved the money with proper planning and coordination between line agencies,” said S. Mangal Raj, former councillor.

Some residents feel that the budget is a regressive one. Octogenarian Kamakshi Subramaniyan says when no new announcements are made, people are left wondering what the Corporation is planning to do for the citizens.

Sandeep Kumar, resident of Anna Nagar, says, “I am happy that the Corporation is taking initiatives to complete schemes rather than promising new ones that may not see the light of day. I would like to see a low-cost theatre and weekly market to come up in my area.”

Estimated expenditure : Rs. 4632.18 crore

Capital expenditure: Rs. 2,130 crore

Roads:  Rs. 1,232 crore

Stormwater drains: Rs. 350 crore

Bridges: Rs. 42 crore

Streetlights: Rs.150 crore

Buildings (hospitals/shopping complexes): Rs. 122 crore

Multi-level parking and skywalks: Rs. 90 crore

Parks: Rs. 90 crore

Estimated revenue: Rs. 4630.98 crore

Property tax: Rs. 600 crore

Profession tax: Rs. 250 crore in 2015-2016

Key announcements made in the past three years, work for which is likely to be taken up in 2015-2016

Welfare schemes

AMMAA weekly markets, one in each of the 200 wards, on unused Corporation lands and government lands. To provide people with an affordable alternative to purchase more than 1000 products right near their homesAmma theatres to provide entertainment to people at an affordable costTo provide purified drinking water in 20 litres for residents at affordable cost

Buildings for civic use

Convention centre at Pallikaranai, to commemorate Ripon Buildings’ centenaryAmma Corporation Hostels at affordable rates, for people visiting the city

Amma Hostels for Women, to provide a safe environment for both working women and students

Education

Residential schools for poor students to improve the standards of education in the slums

Free computer classes, to increase the employability of students coming out of Corporation-run schools.

Monthly Corporation newsletter, bringing out news relating to Corporation works and employee schemes

Health

Additional 19 primary health centre and two urban community centres in Alandur and Ambattur

Sale of Ayurvedic, Sidda, Unani and Homeopathy medicines at affordable rates in Ripon Buildings

Mosquito control programme without pesticides

Pedestrian and non-motorised facilities

Renovation of footpath on Kamarajar Salai, from All India Radio office to Secretariat with railings and granite pillars

Cycle tracks connecting neighbourhoods of Marina Beach and Anna Salai

Pedestrian plaza in T.Nagar, Chepauk and Mylapore

Flyovers and other projects to ease traffic congestion

Villivakkam flyover

Flyover linking Mahalingapuram with Anna Salai

Flyover at the junction of College Road, Sterling Road and Valluvar Kottam High Road

Flyover at Madhya Kailash junction

Widening of 21 bus routes

Marina Loop Road project at Rs. 47 crores

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