Budget may trip on spillover works

The BBMP, at its review meeting, has found that the problem of spillover works which had created havoc during the financial year 2010-11, has resurfaced this year.

Despite tightening the noose around the finances of the BBMP last year, projects worth a whopping Rs 1,389 crore are pending across the Palike jurisdiction. The job code scam that hit the headlines in 2010, also seems to have resurfaced, with zonal offices sending 8,343 projects that are still pending and are to be treated as spillover works.

Having reviewed the projects with the engineering department, the Palike Commissioner, Siddaiah is said to have been shocked with the number of projects which were to be considered as spillover works from 2010-11. In the assessment provided by all eight zonal chief engineers and zonal commissioners, 8,343 projects amounting to a staggering       Rs 1,389 crore are said to be spillover works. These include 1,320 projects that are yet to be taken up and another 7,023 projects under review for validity.

Siddaiah felt the enumerated projects will be ‘totally unrealistic’ financially for the BBMP. It may be recalled that after a review of the spillover works in 2010-11, Siddaiah had frozen projects worth Rs 3,258 crore as they were said to be ‘invalid’ and ‘not required’. The projects which were later revalidated were worth Rs 712 crore, of which projects worth Rs 528.72 crore were approved.

Despite the freezing of as many as 3,568 projects till April 4, 2010, the BBMP has still found projects coming from the zonal offices which amount to more than Rs 1,800 crore.  
Asking the officials to treat the spillover works as ‘fresh works,’ the BBMP Commissioner said that the allocations, if made, would throw back the Budget 2011-12 into disarray. “The 2011-12 budget will go haywire. Financial as well as budget discipline are absolutely needed for the finances to come on the track.”

50 contractors in soup

Around 50 contractors, affiliated to the BBMP, are in the soup as their work code was not revalidated during 2009-10, in spite of completing their work, reports DHNS from
Bangalore.

The Palike commissioner, during a review meeting, reiterated that spillover works of 2009-10 will not be entertained anymore and that these works will be frozen. With this, 6,720 projects worth Rs 2,840 crore will be frozen.

Palike sources said, this will mean trouble for many contractors who either had not started the work or left the work incomplete. Around 50 contractors, who had completed the work but failed to get their work code revalidated, are also in the soup. The work code could not be revalidated as it was completed in 2010-11, though it was supposed to be completed by the end of the financial year 2009-10.

“The total worth of the completed works, supposedly frozen, is about Rs 32 crore,” said a BBMP officer.

The BBMP engineers were accused of giving works to contractors exceeding the budgetary provision and issuing fake work codes too.