Delhi government approves Rs 374 cr for three municipal corporations

NEW DELHI: The Delhi Cabinet has approved a proposal to release Rs 374 crore to the three municipal corporations of Delhi as one time exemption for the financial

NEW DELHI: The Delhi Cabinet has approved a proposal to release Rs 374 crore to the three municipal corporations of Delhi as one time exemption for the financial year 2015-16, so that the employees of these corporations do not face financial hardships.

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The Cabinet approved Rs 145.30 crore for North MCD ,Rs 110.70 crore for East MCD and Rs 118 crore for South MCD.

“The Cabinet accepted the formula worked out by the Urban Development Department (UDD) for allocation of Municipal Reforms Fund (MRF) share to the three corporations. The UDD formula was accepted as two of the MCDs – North and East - don’t qualify to get MRF share strictly on the basis of the recommendations of the Finance Commission,” said a Delhi government spokesperson.

He added ,“The allocation share was decided by giving 50% weightage to population ,25% to area and remaining 25% to Population Density for each of the three corporations.”

The Delhi government has been providing-non-plan-funds— 5% of net proceed so fall taxes and duties collected by the government for education, maintenance of school buildings/re-settlement colonies, to all three MCDs — New Delhi Municipal Council and Delhi Cantonment Board.

MRF was released all three Corporations in 2012-13. Before trifurcation, in 2009-10, Rs 3 crore was released to unified MCD.