Developmental works have come to a standstill in Urban Local Bodies (ULBs) across the State as they are unable to withdraw money from their accounts. This is the situation even after the new government took office and the model code of conduct in force during the elections has been lifted.
The Andhra Pradesh government, which introduced Comprehensive Financial Management System (CFMS) to bring in efficiency in financial transactions, has not released funds to the ULBs for the last two months. In some ULBs, the salaries of employees are being delayed with the government still in a bind over release of funds.
For instance, in Guntur where underground drainage and sewerage works have been taken up on a massive scale at a cost of ₹906 crore, restoration of roads dug for UGD works has not been completed. With the government not releasing money to clear the pending bills, the contractors are shying away from executing works.
A senior official of the Guntur Municipal Corporation said that bills which have been approved in GMC and pending with the State government have crossed ₹20 crore. Road restoration works on Ponnur Road have not been completed with the R&B contractor refusing to budge until pending bills are cleared.
With the south west monsoon setting in, the GMC is facing public wrath for not being able to complete restoration of roads. The situation has also caused a serious concern in political circles, as the YSR Congress Party is bracing for municipal elections.
Officials say that the delay might continue till the budget session of the Assembly.