GHMC approves Rs 4599 Cr tax-free budget

Hyderabad, Feb 24 : The Greater Hyderabad Municipal Corporation (GHMC) on Monday approved the budget for 2014-15 with a total outlay of Rs 4,599 crore. It includes Revenue Expenditure of Rs 1887.11 crore and Capital Expenditure of Rs 2,711.89 crore.

This was the eight budget of the GHMC and the fifth and last presented by current elected body. It was also the third GHMC budget presented by Mayor Mohammad Majid Hussain. “We are raising the total budgetary outlays in 2014-15 to Rs 3,599 crore and much of the increase is meant for introducing new schemes and initiatives after a thorough assessment of the requirements of the citizens,” said Majid Hussain.

The revised budget estimates for the current year is Rs 3,156 crore. “The GHMC Commissioner had proposed the draft budget with total expenditure of Rs 3,850 crore. But the Standing Committee, at its meeting on February 20th, debated the proposals thoroughly and deemed it necessary to go in for higher budgetary outlay,” the Mayor said. He claimed that the GHMC has successfully enhanced its revenues and outlays without putting any fresh tax burden on the citizens. “We have not imposed additional User Charges/Taxes for the third successive year,” he said.

In the financial year 2011-12, the GHMC budgetary expenditure rose to Rs 1,668.28 crore. In 2012-13, it increased to Rs 1,878.30 crore. As per revised estimates, the budgetary expenditure during the current year is expected to be Rs 3,156 crore, including revenue expenditure of Rs 1,518 crore and capital expenditure of Rs 1,637 crore.

The Mayor said, “Under the revenue account, the tax revenues, assigned revenues, fees and user charges receipts, rental income, sale and hire charges, revenue grants and interest and other receipts of GHMC are poised to go up to Rs 3,223.90 crore in 2014-15 due to better realization of Property Tax collections, Trade Licensing fees, Building Permit fees, Building Development charges, Betterment Charges, Impact Fees, Garbage Collection Charges, Advertisement Fees and other user charges and levies.”

Property Tax collections alone are estimated at Rs 1,250 crore, Trade License fees at Rs 100 crore and Advertisement Fees at Rs 90 crore. Of the total budgeted revenue expenditure of Rs 1,887.11 crore, Rs 810.58 crores are earmarked towards Establishment Expenses, Rs 897.84 crore towards Operation and Maintenance and Rs 67 crore towards Administrative Expenses.

The total capital receipts during 2014-15 would be Rs 2,711.89 crore, including Rs 611.50 crore under Hyderabad Metro Rail Project and Rs 300 crore to be raised from issuance of tax-free GHMC Bonds. The total capital expenditure is poised to rise to Rs 2,711.89 crore. The major allocations include Rs 567.13 Cr for Land and Land Improvements; Rs 70.85 Cr for Bridges, Flyovers and Subways; Rs 833.50 Cr for Roads and Pavements; Rs 335.50 Cr for Storm Water Drains; Rs 127 Cr for Water Supply and Sewerage; Rs 69.50 Cr for Street Lighting and Rs 274.47 crore for Housing.

The Mayor announced that the allocations of salaries, allowances and service pensions have been increased while the wages for outsourcing employees too have been enhanced. An additional allocation of Rs 36 crore has been made for mechanical and sweeping charges. Rs 10 crore has been allocated for Uniform House Numbering system in GHMC area.

The GHMC has allocated Rs 50 crore for Community organisation, mobilization and capacity building for introducing three new schemes. An amount of Rs 11 crore will be spent on Food Scheme for poor while Rs 19 crore has been allocated for training programmes for unemployed youth and women. The other major allocations include Rs 11 crore School Approach Improvement; Rs 20 crore for 400 Reverse Osmosis water plants and Rs 10 crore on 18 night shelters.

The GHMC has earmarked Rs 470.24 crore for Poverty Alleviation Programmes; Rs 25 crore to build 1,000 toilets; Rs 55 crore for Green Hyderabad; Rs 55 crore for protection of lakes including Rs 25 crore for beautification of Mir Alam Tank; Rs 50 crore for Sports Promotion; Rs 436 crore for Peripheral Roads Project; Rs 12 crore for new buildings; Rs 8.40 crore for Gateway of Hyderabad Project and Rs 50 crore for Heritage Tourism Corridor.  INN