UP govt departments asked to seek approvals for lump sum allocations

The Uttar Pradesh government has asked administrative departments to seek approval from the appropriate levels if they were proposing any amendment to the work plan submitted for a lump sum allocation for 2021-22

  The Uttar Pradesh government has asked administrative departments to seek approval from the appropriate levels if they were proposing any amendment to the work plan submitted for a lump sum allocation for 2021-22. The departments have also been asked to explain the propriety of such changes.

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A lump sum provision is made with regard to certain administrative departments for anticipated expenditures without a specific mention of further details.

“Lump sum provisions are made for construction of roads or school buildings etc without giving further details,” said those aware of government budgeting.

“I have been directed to say that the administrative departments should seek approval from the appropriate level while explaining propriety if any amendment is felt necessary in the interest of work,” said additional chief secretary (finance) S Radha Chauhan in an order dated May 28, 2021.

Chauhan, in her order sent to all the additional chief secretaries, principal secretaries and the secretaries, had quoted directives of state finance department dated March 10, 2021 for finalisation of annual work plan.

“Lump sum is an amount that the executive gets from legislature in anticipation of some expenditure which cannot be explained at the time of making provisions in the state budget,” said former finance secretary Arvind Narain Mishra.

The state finance department’s order dated March 10, 2021 had asked departments to finalise their annual work plans for lump sum by April 15, 2021. It said proposals for lump sum with estimated expenditure up to ₹10 crore needed to be approved by the department’s minister. For proposal of ₹10 to ₹25 crore, the approval of the finance minister will be required while proposal for ₹25 crore and above approval of the finance minister and the chief minister will be needed. The state finance department will not consider any proposal without necessary approvals.