Why is BBMP broke - where is the money?

ಮೇಲೆ
842 users have liked.
Urban DevelopmentGovernance

We are told that BBMP is broke, they have no money. How many of us know the reaon why. A growing city, with so much commerce (IT, BT and all) going on, how exactly would it be broke? No english is required to explain things, numbers always tell their story. One look at summary of receipts in BBMP 2010-2011 budget may tell us something, (pdf available on BBMP website, also see embedded below for convenience), so here are the items where 2009-2010 budgeted and revised estimates have the biggest gap, orderd the way BBMP listed in their budget, only items bigger than 20 crores, leaving out shortages on JNNURM grants.

Table below:

Receipt Item

2009-10 budget (lakhs)

2009-10 revised (lakhs)

Grant - Metro (BMRCL)

7000

1.96

Grant – IDD

3500

1650

Grants from MLA - Development works

4200

200

Grants - state finance commission grants

50000

39895

Beggary Cess

3300

1988

Health Cess

16500

9941.91

Library Cess

6600

3976.76

Improvement Charges

9250

52.31

Khata Transfer charges

3500

1203

Infrastructure User charges

2000

0

Service charge – central govt buildings

2000

0

Service charges on cess collected on behalf of govt

2640

0

Service charges on tax expemt properties

2500

0

Property tax

110000

79500

Rents from shops &  commercial complexes

5000

1107

License fees – hoardings on BBMP land

2800

0

User charges - Solid Waste Management

4000

1.52

Building deviation regularization

5000

0

Building license fees

4864

2505

Borrowing towards other works

57811

155000

Attaching/embedding below for reference - Receipts details from BBMP, from their website. BBMP 2010-11 Budget Receipts

AttachmentSize
Municipal Finance in India, RBI, Dec 2007.pdf1.01 MB
India Municipal Finance Study - ADB, 2009.pdf89.93 KB