BBMP's financial condition is so poor that they are looking at the state government for monetary help.
BBMP's financial condition is so poor that they are looking at the state government for monetary help
The BJP ruledu00a0 Bruhat Bengaluru Mahanagara Palikeu00a0(BBMP) council is not in a position to present its maiden budget as the exchequer is near empty and the mayor said it would not be possible without the chief minister's help.
While Mayor SK Nataraj said the amount BBMP had received as revenue receipts in the form of tax and other income was Rs 775 crore for the current fiscal year, insiders revealed the funds available with the municipality were just over Rs 220 crore.
Admitting the fact, H Siddiah, BBMP commissioner, said, "The situation is not a comfortable one, and so we are expecting the state government to help. I hope that happens."
Please help!
Nataraj virtually washed off his hands saying he has appealed to the CM for a sanction of at least Rs 1,600 crore in the form of grant-in-aids, so that BBMP's finance and tax committee could prepare the budget for the fiscal year, and it could be presented toward the end of this month.
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"We have put the facts in front of the government and it is up to the CM take the call," he added.
"With such a high debt burden and the revenue gap so wide, I can't understand why the mayor is asking for just Rs 1,600 crore," said PR Ramesh, former mayor and a Congress leader. "The amount asked for is not even 25 per cent of the requirement."
Kill bill
Nataraj said the BBMP had expected fair amount of revenue from property tax, but the collection was hampered because the Sakrama bill (on property tax) was stuck in Rajbhavan.
"Had the governor given his assent to the bill, the act would have helped us in mobilising the resources. The delay in promulgating the act is creating confusion among the taxpayers because of which we could not meet the revenue target," he said.
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| Former Mayor PR Ramesh attributed the bankruptcy to corruption that prevailed for three years before the elected council was formed in last March. |
However, Ramesh attributed the bankruptcy to corruption that prevailed for three years before the elected council was formed in last March.
"The government did not hold elections for the council for three years and it was near-anarchy in the BBMP, giving rise to rampant corruption and the present situation is a result of that," he said.
Rs 4,600 cr
Debt burden of the municipality
Rs 4,008 cr
Balance payment for the public works undertaken
Facts and figures
While the total budget for last year was Rs 4,247 crore, Nataraj had announced his ambitious plan to increase it to Rs 7,500 crore soon after he became the mayor in April. However, the BBMP missed the revenue target fixed at Rs 1,100 crore, while total receipts were just pegged at Rs 775 crore.
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