Govt's proposal to hike MlA funds faces l-G hurdle

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The Arvind Kejriwal Government's proposal to provide one-time additional allocation of Rs 10 crore to each of the city's 70 legislators under the MlA local Development Fund to improve condition of roads and streetlights and carry out construction of community halls, underpasses, subways and footpaths in their constituencies has hit a roadblock with lieutenant-Governor Najeeb Jung raising several questions over it.

According to sources, Jung has asked the Delhi Government's Urban Development Department to provide details of the MlA lAD (local Area Development) funds and financial powers which are being provided to lawmakers in other States.

Not only this, the l-G has also sought details on how the legislators had utilised their MlA funds so far. Each MlA gets Rs4 crore to carry out developmental works in their areas. Of the Rs4 crore fund, Rs1crore is to be paid to the Delhi Jal Board.

Each MlA can spend a maximum of Rs two crore for any project under this scheme.

Sources said the Urban Development department will be writing to all the States to provide details about the MlA funds and other financial assistance which is provided to their legislators. "Once the about these funds is received by the urban development department, the same will be passed on to Raj Niwas, which will then be able to take a final call on the matter."  Officials of Urban Development Department said that lt Governor's move will delay the proposal at large.

The l-G has also sought details of MlA funds spent by MlAs. Interesting, city legislators have spent their entire MlA funds but they have yet to submit utilisation certificates to the Urban Development department. "When the proposal was made, the department has asked all MlAs to provide utilisation certificates but none of them submitted," said officials.

Currently, the MlA funds are being spent through newly created District Urban Development Authority (DUDA) in Delhi. The MlA fund scheme was started in 1994-95 when the fund under the scheme was Rs1 crore per MlA per year. The Delhi Government had revised the scheme and increased the fund to Rs1.40 crore per MlA per year in 1999-2000. From the financial year 2000-01,  the limit of Rs1.40 crore had been raised to Rs1.90 crore per MlA. And from 2004-05, the limit was further increased to Rs2 crore  and the same was doubled in 2011-12.

It may be noted that the Delhi Cabinet had proposed a 250 per cent hike in MlA lAD funds for the current financial year, enhancing it to Rs14 crore from the existing Rs4 crore. The existing Rs280 crore for this year under MlA fund has already been disbursed by the AAP Government.

The Government had decided to enhance one-time MlA funds as the expenditure on plan head was less than 17 per cent till July end this year. "Once the new proposal is cleared by the l-G, each MlA can spend an additional amount of Rs10 crore on other developmental activities in their respective Assembly constituency. And once projects are executed, the MlAs will have to submit the fund utilisation certificates issued by the agencies concerned to the UD department," a source told this newspaper.

The new proposal was drafted after Deputy Chief Minister Manish  Sisodia in a note to the Urban Development Minister on August 31 had observed that the condition of civil works in Delhi colonies was very pathetic. He had stated that the people of these colonies were looking towards  the elected Government for carrying out  construction/maintenance works related to streets, parks, footpaths, streetlights as early as possible.

The Deputy Chief Minister had also ensured that the Finance Department could make necessary arrangement of funds and the same could be approved in the revised Budget estimate by the Government. Sisodia had also observed that public needed the area MlA for carrying out different development works.

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