Lok Sabha Question No. 392 (UNSTARRED), answered on 2018-07-19
Subject: Fund Allocation for Local Bodies in Tamil Nadu
Ministry: PANCHAYATI RAJ
Asked by: PR. SENTHILNATHAN

## GOVERNMENT OF INDIA MINISTRY OF PANCHAYATI RAJ

## LOK SABHA UNSTARRED QUESTION NO.392 TO BE ANSWERED ON 19.07.2018

## Fund Allocation for Local Bodies in Tamil Nadu

## 392. SHRI PR. SENTHIL NATHAN:

Will the Minister of PANCHAYATI RAJ be pleased to state :

(a) whether the Government has withheld the funds allocated for local bodies in Tamil Nadu for implementing various rural projects;

- (b) if so, the details thereof;

(c) the total funds allocated for the implementation of rural projects and schemes during the last three years in the State;

(d) whether the Government has fixed any specific norms and rules for the direct funding to the village and Town Panchayats;

- (e) if so, the details thereof; and

(f) the measures taken by the Union Government in this regard?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF PANCHAYATI RAJ (SHRI PARSHOTTAM RUPALA)

(a) to  (c)  There are many rural schemes and projects under which funds are allocated to different States including Tamil Nadu for local bodies. These schemes and projects including Mahatma  Gandhi  National  Rural  Employment  Guarantee  Act  (MGNREGA),  Deendayal Antyodaya  Yojana  -  National  Rural  Livelihood  Mission  (DAY-NRLM),  Deen  Dayal Upadhyay  -  Gramin  Kaushalya  Yojana  (DDU-GKY),  Pradhan  Mantri  Awaas  Yojana  Gramin  (PMAY-G),  Pradhan  Mantri  Gram  Sadak  Yojana  (PMGSY),  National  Social Assistance Programme (NSAP), 14 th Finance Commission (FFC) Grants etc. are implemented to bring about improvement in overall quality of life of the people in rural areas including Tamil  Nadu  through  employment  generation,  strengthening  of  livelihood  opportunities, promoting self employment, skilling of rural  youths, provision of social assistance,  basic amenities etc.  The details of funds allocated to the State of Tamil Nadu during last three years under different programmes are given at Annexure .

14 th Finance  Commission recommended Grants are released to Local bodies by the Department of Expenditure on the recommendations from the line ministries and subject to fulfilment of stipulated conditions as recommended by the Commission and guidelines has been prepared for the release of the  Grants.  As per the guidelines, State should have duly constituted  Gram  Panchayats  for  getting  14 th Finance  Commission  Grant.    The  second instalment of Basic Grant and Performance Grant of the 14 th Finance Commission for the year 2017-18 could not be released to Tamil Nadu because the due election of the Panchayats was not held in the State.

(d)  to  (f)    In  accordance  with  the  recommendation  of  14 th Finance  Commission grants  are provided to the Gram Panchayats and urban local bodies.  The grants are two types viz. Basic Grants and Performance Grants.  Basic Grants are disbursed through the State among the Gram Panchayats on the basis of the latest State Finance Commission formula or in its absence by the FFC formula.  For release of Performance Grant for the years 2017-18 to 2019-20 to Gram Panchayats,  a  Scheme  for  determining  eligibility  and  distribution  of  these  grants  has  been formulated with four mandatory conditions-submission of Audited Accounts, increase in Own Source Revenue (OSR), completion/uploading of Gram Panchayat Development Plan (GPDP) and uploading of sector-wise FFC expenditure details in the Dashboard application developed by the Ministry of Panchayati Raj. The scoring system for distribution of Performance Grant includes achievement in collection of own source of revenue, Open Defecation Free (ODF) status and Child Immunization in the Gram Panchayats.

*****

Annexure referred in reply to part (a) to (c) of Lok Sabha Unstarred  Question No. 392 for answer on 19.7.2018 regarding Fund Allocation for Local Bodies in Tamil Nadu.

(Rs. in crore)

| Details of funds allocated for the implementation of rural projects and schemes in Tamil Nadu during the last three years.   | Details of funds allocated for the implementation of rural projects and schemes in Tamil Nadu during the last three years.   | Details of funds allocated for the implementation of rural projects and schemes in Tamil Nadu during the last three years.   | Details of funds allocated for the implementation of rural projects and schemes in Tamil Nadu during the last three years.   | Details of funds allocated for the implementation of rural projects and schemes in Tamil Nadu during the last three years.   |
|------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------|
| Sl.No                                                                                                                        | Grant/Scheme                                                                                                                 | 2015-16                                                                                                                      | 2016-17                                                                                                                      | 2017-18                                                                                                                      |
| 1                                                                                                                            | Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) #                                                           | 5470.37                                                                                                                      | 4552.78                                                                                                                      | 5856.44                                                                                                                      |
| 2                                                                                                                            | Pradhan Mantri Awas Yojna-Gramin(PMAY-G)                                                                                     | 230.69                                                                                                                       | 1320.41                                                                                                                      | 975.04                                                                                                                       |
| 3                                                                                                                            | Pradhan Mantri Gram Sadak Yojna (PMGSY)                                                                                      | 205.00                                                                                                                       | 309.58                                                                                                                       | 591.07                                                                                                                       |
| 4                                                                                                                            | Deendayal Antyodaya Yojana-National Rural Livelihood Mission (NAY- NRLM)                                                     | 20.50                                                                                                                        | 17.97                                                                                                                        | 94.20                                                                                                                        |
| 5                                                                                                                            | National Social Assistance Programme (NSAP)                                                                                  | 730.18                                                                                                                       | 486.73                                                                                                                       | 632.19                                                                                                                       |
| 6                                                                                                                            | Fourteenth Finance Commission (FFC) Grant                                                                                    | 947.65                                                                                                                       | 1484.31                                                                                                                      | 1710.90*                                                                                                                     |
| 7                                                                                                                            | Rajiv Gandhi Panchayat Sashaktikaran Abhiyan/Capacity Building-Panchayat Sashktikaran Abhiyan) (RGPSA/CB-PSA)#               | 8.96                                                                                                                         | 27.32                                                                                                                        | 36.83                                                                                                                        |
| Total                                                                                                                        | Total                                                                                                                        | 7613.35                                                                                                                      | 8199.10                                                                                                                      | 9896.67                                                                                                                      |

Source Ministry of Rural Development for figures at Sr.No.1-5

#  Releases  under  MGREGA,  RGPSA  &CB-PSA  are  included  in  the  above  figures  in  the absence of allocation under these programmes.

*Rs.758.06 crore has been released as first instalment of Basic Grant for FY 2017-18