The local bodies continued to languish with no funds even three-and-a-half years after the formation of Telangana and are unable to execute basic development works, said members cutting across party lines in the Legislative Council here on Tuesday.
The issue raised during the Question Hour by members K. Damodar Reddy of Congress and V. Bhupal Reddy of TRS found resonance with several members.
Enough focus was not given to local bodies though the government did well to improve irrigation, education facilities.
ADVERTISEMENT
The gram panchayats, mandal and zilla parishads were not able to discharge their duties with no access to adequate funds, said Mr. Bhupal Reddy.
Central funds
Panchayat Raj Minister Jupally Krishna Rao’s response reeling statistics that the release of funds in the last three years was much better than than of previous years and that ₹534 crore was released to local bodies so far this year did not satisfy the members.
ADVERTISEMENT
“The Minister should attend three or four zilla parishad meetings to understand the situation,” Mr. Bhupal Reddy said.
The Minister explained that after the 14th Finance Commission changed norms, funds were being directly released to gram panchayats.
Earlier the Centre used to release funds to all the three tiers, gram panchayats, mandal and zilla parishads in a fixed ratio.
New law
Even for gram panchayat, Centre was yet to release ₹584 crore due to them. The State would enact the new legislation to strengthen Panchayat Raj bodies soon and State would release funds to the mandal and zilla parishads.
Opposition leaders Md. Ali Shabbir and Ponguleti Sudhakar Reddy said that the sarpanches and ZPTC members were reduced to nominal figureheads and the local bodies were facing enormous financial problems.
The State was deducting power bills from the funds meant for the local bodies, they said but the Minister denied it.
Mr. Syed Jafri of the MIM said just as Centre was devolving funds to the States, State should devolve funds due to the local bodies. The State Finance Commission to monitor release of funds to local bodies was not constituted yet.
Royalties
Mr. Bhanu Prasad of TRS said that even mineral cess share was not being shared with panchayats though the State was earning substantial revenue on granite quarrying.
Mr. Bhupathi Reddy of TRS said that while municipalities were sanctioned ₹50 crore and municipal corporations, ₹100 crore no funds were allotted to the Zilla Parishad. The seignorage and other rates fixed decades ago should be revised in relation to inflation.