Nagpur: The Nagpur Municipal Corporation (NMC) earns a mere 20% of its Rs1,924 crore revenue, with the rest coming from state and central government grants.
NMC accounts and finance department data says the civic body garnered Rs487.3 crore from its different sources of income, including Rs241 crore from property tax and Rs156 crore from water works, till March 31. Town planning department contributed Rs40 crore, while NMC earned Rs42 crore from levying various charges on property owners in Gunthewari layouts, whereas the market department contributed Rs8.3 crore.
However, the grant it received from the state and central governments for various development works is much higher than NMC’s own revenue. It received Rs1437.89 crore. Together, NMC has received Rs1,924 crore revenue including both, government grants and its own sources. Sources pointed out that NMC will yet again miss the revised budget target for the last financial year.
NMC’s financial woes increased further after the state government once again reduced the GST grant. In March, the civic body received half of the GST grant – it used to receive Rs100.50 crore which was slashed to Rs50.25 crore.
This means, NMC will miss all three targets of the last fiscal – draft budget of then municipal commissioner Tukaram Mundhe, who had projected Rs2,547 crore income, which was later revised to Rs 2,731 crore by then standing committee chairman Vijay Zalke. A fortnight ago, municipal commissioner Radhakrishnan B had brought down Zalke’s target to Rs2,433 crore.
The one-time settlement and amnesty schemes to improve recovery from property and water tax defaulters too evoked a poor response thanks to the callous attitude of the civic staff, sources said.
Standing committee chairman Prakash Bhoyar will present the budget for the current fiscal some time this month.