<p>The government’s indecision on figuring out the way forward for gram panchayats could lock up a whopping Rs 2,734 crore of development grants meant for rural Karnataka under the 15th Finance Commission. </p>.<p>By the end of this month, the term of nearly 3,000 gram panchayats will end. By August, this number will increase to 5,800. Karnataka has 6,025 gram panchayats. </p>.<p>In a political move, the government has deferred gram panchayat elections, and no decision has been taken on how they will be run. Now, the government has asked gram panchayats whose term is set to end not to take any financial decisions until further orders. </p>.<p>“The government has to quickly make a decision,” a senior Rural Development & Panchayat Raj (RDPR) official said. The moratorium on holding meetings and taking financial decisions is applicable on all funds given to gram panchayats, even the 15th Finance Commission devolutions. </p>.<p>In the 2020-21 financial year, Karnataka has an allocation of Rs 3,217 crore under the 15th Finance Commission for rural development. Of this, the state government will provide 85% to gram panchayats, 10% to taluk panchayats and 5% to zilla panchayats. This works out to Rs 2,734.45 crore for gram panchayats. </p>.<p>The funds are meant to be used for cleanliness initiatives, water supply, rainwater harvesting and other development activities. “Half of the funds are tied to water and sanitation, while the other half is untied,” the official pointed out. </p>.<p>It was on May 14 that the Cabinet decided to ask the State Election Commission (SEC) to postpone the gram panchayat polls. On May 28, the SEC announced the postponement citing Covid-19 as the reason. This has led to a political furore with the Congress accusing the ruling BJP of trying to take control of gram panchayats without facing an election. </p>.<p>Apparently, the government is toying with the idea of appointing party workers or pro-BJP people as members of the administrative committees to run the gram panchayats. However, sources said the government is rethinking this move, fearing political backlash. The government might consider appointing administrators instead. </p>.<p>Until then, the gram panchayats whose term will or has ended cannot make any decisions on expenditure. </p>
<p>The government’s indecision on figuring out the way forward for gram panchayats could lock up a whopping Rs 2,734 crore of development grants meant for rural Karnataka under the 15th Finance Commission. </p>.<p>By the end of this month, the term of nearly 3,000 gram panchayats will end. By August, this number will increase to 5,800. Karnataka has 6,025 gram panchayats. </p>.<p>In a political move, the government has deferred gram panchayat elections, and no decision has been taken on how they will be run. Now, the government has asked gram panchayats whose term is set to end not to take any financial decisions until further orders. </p>.<p>“The government has to quickly make a decision,” a senior Rural Development & Panchayat Raj (RDPR) official said. The moratorium on holding meetings and taking financial decisions is applicable on all funds given to gram panchayats, even the 15th Finance Commission devolutions. </p>.<p>In the 2020-21 financial year, Karnataka has an allocation of Rs 3,217 crore under the 15th Finance Commission for rural development. Of this, the state government will provide 85% to gram panchayats, 10% to taluk panchayats and 5% to zilla panchayats. This works out to Rs 2,734.45 crore for gram panchayats. </p>.<p>The funds are meant to be used for cleanliness initiatives, water supply, rainwater harvesting and other development activities. “Half of the funds are tied to water and sanitation, while the other half is untied,” the official pointed out. </p>.<p>It was on May 14 that the Cabinet decided to ask the State Election Commission (SEC) to postpone the gram panchayat polls. On May 28, the SEC announced the postponement citing Covid-19 as the reason. This has led to a political furore with the Congress accusing the ruling BJP of trying to take control of gram panchayats without facing an election. </p>.<p>Apparently, the government is toying with the idea of appointing party workers or pro-BJP people as members of the administrative committees to run the gram panchayats. However, sources said the government is rethinking this move, fearing political backlash. The government might consider appointing administrators instead. </p>.<p>Until then, the gram panchayats whose term will or has ended cannot make any decisions on expenditure. </p>
