Governor to take final call on budget or VoA on Jan 30

Sanjeev Pargal

JAMMU, Jan 28:  Governor NN Vohra could opt for three months Vote-on-Account (VoA) to avert financial crisis if the delay persisted in formation of new Government in the State. A final call on the issue was expected to be taken by him on January 30.
Official sources told the Excelsior that following imposition of Governor’s Rule in Jammu and Kashmir on January 8, presentation of the budget, which was scheduled for January 22 by former Finance Minister Dr Haseeb Drabu was deferred but by then preparations for the budget had been completed.
Sources said apart from preparation of budgetary estimates for 2016-17, the revised estimated for 2015-16 had become more important to carry on with the ongoing developmental works and ensure that they didn’t suffer.
“In view of this, there was a possibility that the Governor might opt for Vote-on-Account for three months and leave presentation of full budget to the new Government if it was formed by then. Otherwise, the Governor had the powers to pass budget for full year and get it approved by the Parliament,’’ sources said.
Pointing out that if the Governor was satisfied that no Government can be formed in the current year or no elections can be held, he has Legislature powers to adopt full year’s budget. However, in present case, the two possibilities were remote and the Vote-on-Account for first three months of upcoming financial year of 2016-17 and revised estimates for current financial year of 2015-16 seems to be the only possibility.
The Governor, as reported, was scheduled to take thorough review of the budget preparations, which were in the final stages, at a high level meeting on January 30 in which a decision could be taken on budget or Vote-on-Account or wait for another month for formation of the new Government.
According to sources, as soon as the Governor’s Rule was imposed in the State on January 8 and the Assembly was kept under suspended animation, all powers of the Legislature were shifted to the Governor, who can adopt full budget or take Vote-on-Account for first three or six months of the financial year to run affairs of the Government for 2016-17 and revise the estimates for current financial year of 2015-16.
Confirming that the Governor has directed Chief Secretary BR Sharma and Finance Secretary Navin Choudhary to go ahead with preparations for the budget, sources said the administration had done most of the ground work for presentation of full budget including holding department wise meetings to ascertain their priorities and meet trade and industrial bodies, though some of such meetings were yet to be held before the previous PDP-BJP Government ceased to exist on January 7 with the death of Chief Minister Mufti Mohammad Sayeed.
The Cabinet had to approve the Governor’s Address that was scheduled for January 18 and the budget, which was due to be presented on January 22 but the meetings couldn’t take place as Mufti Sayeed fell ill and then passed away.
According to sources, if the Governor takes Vote-on-Account, the new Government, if formed, can present the full budget before lapse of the time for which the Vote-on-Account had been taken. The Vote-on-Account can be taken for a maximum period of six months and within that time period either the new Government or the Governor had to present the full budget.
The administration, sources said, was fully geared-up for both options—presentation of full budget or taking Vote-on-Account for three or six months anytime now. They added that it would now be the sole prerogative of the Governor whether he opts for the budget or Vote-on-Account and a final decision will be taken by him at a high level meeting with top brass of the administration on January 30.