Centre agrees to release ULB grants for J&K with rider

Sanjeev Pargal
JAMMU, Jan 29: In a major decision that would go a long way in the development of urban areas, the Central Government has exempted Jammu and Kashmir from imposing cut on the grants given to the State Government for Urban Local Bodies on the ground that this was first year of newly elected State Government followed by the Governor’s Rule but with a rider that the grants for next financial year of 2016-17 would be released only after holding of the ULB and Panchayat elections.
Official sources told the Excelsior that the Central Government had blocked allocation of Rs 125.3 crores during current financial year of 2015-16 so far in the absence of duly elected Municipalities, which had ceased to exist in 2010 but it has now agreed to release the grants following commitment shown by the State Government for holding the Municipal elections in April this year.
“The Centre has taken a lenient view for Jammu and Kashmir’s grants meant for the Urban Local Bodies on the ground that this was first year of newly formed PDP-BJP coalition Government in the State followed by the Governor Rule from January 8 onwards and the Government might have faced problems in holding elections to the Municipalities,’’ sources said, adding the State has been categorically told that though they would get the grants meant for Municipalities for current financial year of 2015-16, the grants for next fiscal year of 2016-17 would strictly depend on the holding of ULB elections.
With the assurance, the Jammu and Kashmir Municipalities were set to get Rs 125.3 crores anytime now in the remaining period of about two months of the current financial year, sources said, adding the Centre would release similar grants to the ULBs only if there were elected Municipalities in 2016-17.
Sources said the 14th Finance Commission Award had given Rs 3463.73 crore and Rs 1305.64 crore for Panchayats and Municipalities respectively. In addition, there was a provision of Rs 346.73 crore and Rs. 261.13 crore for Panchayats and ULBs respectively as Performance Grants
During last couple of years, the State had lost Rs 169.29 crores provided to the State for Urban Local Bodies under the 13th Finance Commission award and similar was going to be the fate of Rs 125.3 crores for the State if the Government and administration wouldn’t have acted on time and taken up the matter with the Centre, which has now conveyed to the State that they would get the grants meant for the ULBs this financial year as a special case but for future grants, they would have to hold elections to the Municipalities.
However, the State would get the grants for Panchayats, which were duly elected.
“A decision on Performance Grants would be taken in the next few days based on the report of performance of the Panchayats,’’ sources said.
The Panchayats were completing their five years term in June-July this year and the Government was fully geared to hold elections to them on time to ensure that the grants being received for Panchayats for carrying out developmental works in the rural areas weren’t stopped.
Only yesterday, Governor NN Vohra had reviewed holding of elections to Municipalities and Panchayats with Chief Secretary BR Sharma and Chief Electoral Officer (CEO) Shantmanu.
While the elections to Municipalities had become due in January 2010, they will become due to Panchayats in June-July this year. The Government proposed to hold Municipal elections in April followed by the Panchayat polls.
The ULB elections were last held in January 2005 after a gap of 26 years. The elected Municipalities had completed their term in March 2010 but the previous Governments didn’t hold elections to them. However, it was previous NC-Congress Government, which had held elections to Panchayats in June-July 2016 after nearly 37 years but three tier system remained elusive as elections were not held to the Block Development Councils (BDCs) and District Planning and Development Boards (DPDBs).