Delhi govt to provide Rs 1,800 cr assistance to MCD
New Delhi: The Delhi government is all set to provide Rs 1,800 crore as financial assistance to the three newly-created municipal corporations, which are likely to start functioning by later this week.
The Delhi Cabinet will discuss the available financial resources of the trifurcated MCD tomorrow and is likely to approve the financial package, a top official said.
The package includes Rs 600 crore for repaying debts owed to various institutions by MCD.
The government has also decided to create a separate fund of Rs 100 crore for making fresh recruitments as well as to help the new bodies set up offices.
"The Cabinet will discuss all financial issues relating to the three municipal bodies," said the official.
Elections to the North, East and South Delhi municipalities were held on April 15, the results of which were announced on Tuesday. BJP won the North and East Corporations and is set to rule South corporation as well with the help of Independents.
The Delhi government has already recommended to Lt Governor Tejendra Khanna names of three senior officers for the post of commissioners for the three municipalities.
According to officials, the Lt Governor will decide on the dates to call the first sessions of the three municipalities.
The top priority of all the three municipalities will be to finalise their budgets so that they have enough resources to operate smoothly, they said.
The Directorate of Local Bodies, which will coordinate functioning among all the three municipalities, has already finished framing administrative rules and other necessary ground work for constitution of the three bodies.
Director of Local Bodies RK Srivastava said the process for division of financial resources, staff and properties of the MCD into three parts has been completed as per established administrative practices.
The Delhi government last month had directed the MCD to split its annual budget for 2011-12 into three parts to ensure distribution of its resources as per strength of the new municipalities.
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