PMC stares at Rs 1.5K cr deficit

ST CORRESPONDENT
Thursday, 17 January 2019

Lack of revenue collection hits pending projects

Pune: In the absence of revenue collection, Pune Municipal Corporation (PMC) Commissioner Saurabh Rao will have to present a realistic budget for 2019-20 on Thursday. The administration is anticipating more than Rs 1,500 crore deficit in revenue collection target set for 2018-19 budget. This deficit has affected several development projects of the PMC.

Last year, the PMC administration presented a draft budget of Rs 5,397 crore for the year 2018-19, while the Standing Committee increased it to Rs 5,870 crore, which was also approved. However, the administration failed to achieve the target set for revenue for different departments. Therefore, development projects are affected.

A civic official said, “Till date, we have collected Rs 2,800 crore revenue. We are expecting another Rs 1,000 crore till March 2019. We cannot achieve the set target of  Rs 5,397 crore. There will be shortfall of more than Rs 1,500 crore of 2018-19 budget which was drafted by Municipal Commissioner Kunal Kumar last year.”

The PMC had estimated revenue of Rs 5,397 crore  from property tax, government aid, GST share, AMRUT, and Smart City aid from Central and State Government, development charges and building permission, water taxes, sky and sign charges. However, there is shortfall in property tax collection and development charges, the major sources of revenue for the PMC.
 
Based on the municipal commissioner’s budget, the Bharatiya Janata Party (BJP) corporator and then Standing Committee chairman Murli Mohol had tabled Rs 5,870 crore budget of 2018-19 which was finally approved by the General Body. In this budget, Mohol introduced development projects. However, some of the projects have not take off due to lack of revenue and some projects’ funds have been diverted to other development works. 

Mohol said, “I admit that some projects have not started yet. But, some projects have started, such as Pandit Deendayal Upadhyay Accident Insurance, Dr Shyamaprasad Mukherjee Senior Citizens Free Health Checkup among others. Karve Road has two-deck flyover. Other projects are in the line.”

Projects yet to take off
Atal Bihari Vajpayee Medical College, Savitribai Phule Nursing College, Balgandharva Rangmandir redevelopment, Mula-Mutha river beautification, Sinhagad Road flyover, bicycle scheme, parking policy, Shiv Srushti, Kudlik-Varasgaon water project, Yoga Centre, Marathi Medium Model School, Marine Biodiversity Centre, Senior Citizens’ Centre, e-Learning school and Traffic Education Park.

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