Question : Funds for Local Bodies in Tamil Nadu

(a) whether the Government has allocated funds for the local bodies in Tamil Nadu for implementing various rural projects;
(b) if so, the details thereof;
(c) the funds allocated under each head for the implementation of rural projects and schemes in the State during the last three years;
(d) whether the Government has fixed any specific norms and rules for the direct funding to the village and town panchayats; and
(e) if so, the details thereof?

Answer given by the minister

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

(a) to (c): Yes. Rs.1710.90 crore has been allocated to Gram Panchayats in Tamil Nadu under Fourteenth Finance Commission (FFC ) grants for the current year 2017-18. Details of allocation and release of funds for implementation of rural projects and schemes in the State of Tamil Nadu during the last three years is given at Annexure.

(d) & (e) : The FFC funds are released by the Government of India to duly constituted local bodies i.e. where elections have been held and an elected body is in place as provided in Part IX and IX A of the Constitution. Subsequent instalment of grants is subject to receipt of Utilization Certificate in the prescribed format for the previous instalment drawn. The FFC funds are released only to Gram Panchayats among rural local bodies. Besides, for release of Performance Grant for the years 2017-18 to 2019-20 to Rural Local Bodies, 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. The marking system for distribution of Performance Grant now includes achievement in collection of own source of revenue, Open Defecation Free (ODF) status and Child Immunization in the Gram Panchayats. There is also similar norm for providing basic grant and performance grant to urban local bodies.

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