Question : Amendments in Municipal Laws

Will the Minister of HOUSING AND URBAN POVERTY ALLEVIATION be pleased to state:

(a) whether the Government has directed all the municipalities to earmark minimum 25% of their funds for ensuring basic services such as affordable housing, water supply, sewerage and drainage for the poor living within their jurisdiction;

(b) if so, the details thereof along with the response of the State Governments thereto;

(c) whether the Ministry has asked State Governments to amend municipal laws to ensure allocation of minimum 25% of their municipal budget for rendering services to the poor and setting up of basic services to the urban poor;

(d) if so, the names of States which have so far implemented the directive along with the progress made so far in this regard;

(e) whether it has been made clear that this fund should not be used for running establishment, including payment of salaries and wages; and

(f) if so, the details thereof?

THE MINISTER OF STATE IN THE MINISTRY OF HOUSING & URBAN POVERTY ALLEVIATION
(SHRI BABUL SUPRIYO)

(a) & (b): For taking central assistance under BSUP component of Jawaharlal Nehru National Urban Renewal Mission (JNNURM) and Rajiv Awas Yojana (RAY) States/UTs were required to undertake mandatory reforms as pre-requisite.As per the guidelines of the BSUP component of Jawaharlal Nehru National Urban Renewal Mission (JNNURM), State/ULBs are required to implement 3 mandatory pro poor reforms which includes internal earmarking within ULB budgets for basic services to the urban poor and basic services to the urban poor including security of tenure at affordable prices, improved housing, water supply, sanitation and ensuring delivery etc.Under Rajiv Awas Yojna (RAY) 04 mandatory reforms to be achieved either through Executive Order/Notification/Legislation include providing ‘a non-lapsable earmarking of 25% of the budget of the municipality to provide basic services to the urban poor’

(c) & (d): In case of projects sanctioned under JNNURM, this Ministry releases final instalment of ACA on receipt of UCs and certificates indicating achievement of these reforms by the concerned States/UT Governments. The list of the States/UT including ULBs who have furnished these certificates under JNNURM is annexed.

(e) & (f): The State/UTs/ULBs are supposed to adhere to guidelines of the schemes and furnish reform certificates in the prescribed format. This Ministry has neither issued any direction nor is aware of utilization of the specified fund for incurring establishment expenses by State/UT Governments.

****