Chandigarh directs all departments to spend 50% budget by September 30
Reprimanding all UT departments for under-utilisation of funds, the finance department has shot off letters, directing them to spend at least 50% of the budgetary funds allotted to them by September 30.
“The departments should spend 50% of their budget by September 30. But, it was discovered that many of the departments were lagging behind in making the stipulated expenditure. After a meeting of finance department officials with different heads of departments, the letter was issued,” said a senior finance department official who didn’t want to be named.
“In September, the administration sends revised estimates and fresh financial demands to the centre. If the departments fail to spend 50% of their budgetary allocations by September-end, the prospects of getting revised estimates or additional funds become negligible,” said the
Taking a note that pending bills is one of the reasons that led the departments to under-utilise the funds, the finance department has suggested that all departments should clear their bills by the said date. For different departments, the government e-marketplace (GeM) portal is also showing outstanding amounts for different works for more than 10 days.
The UT engineering department has been particularly highlighted in the letter for failing to spend the allocated budget in the stipulated time.
The department has been directed to speed up the completion of various works initiated by it and thereafter, make the final bill payments and ensure that the processes are completed by September 30.
A senior official of the engineering department who didn’t want to be named, said, “Projects worth Rs 100 crore could not be implemented because of a high court case pending. These projects include the sports injury centre in GMCH-32, hostel in PEC, police housing project in Dhanas, and hostel block in government college, Sector 46. One of the contractor has approached the HC against some of the tender conditions.”
But, the engineering department officials are confident of spending 50% of the budgetary allocation by September 30.
“The department will successfully spend 50% of the budgetary allocation by September 30 as many other projects are nearing completion and bills are being cleared,” he said.