Revenue of Town Planning Board sees a steady decline

Struggling hard to overcome the fiscal deficit in the post-GST regime, the state government is worried about the decreasing revenue of the Karnataka State Town Planning Board.

Caught off guard by the trend, Deputy Chief Minister G Parameshwara has rapped the officials and directed them to achieve a target of 10% growth every year.

During the 68th meeting of the board held recently, Parameshwara was taken aback when the officials briefed him about the falling revenue.

According to sources privy to the meeting, the officials failed to provide a valid reason for it when he sought clarification.

In 2016-17, the board had raked in a revenue of Rs 21 crore. However, the revenue decreased to Rs 19 crore in 2017-18. The board put up even more dismal performance in 2018-19 by posting a mere Rs 14 crore revenue suggesting that not all is well within the board.

Clarifying on the falling revenues, Anjum Parvez, secretary, Urban Development Department told DH that the revenue had gone down only in the last two years and attributed it to various dues pending from government
agencies.

Parvez said, “The board provides financial assistance to the urban development authorities at a rate of 6% interest. That is the board’s prime source of income. The prolonged delay in payments has had a drastic effect on the board’s revenue”.

The board officials also said that the projections made for the next year’s revenue were not proper.

Parameshwara, expressing unhappiness during the meeting, told the board members that the income of the board was supposed to increase every year. “I don’t want to see this situation again.”

The board, which is supposed to hold a meeting once every six months,had a meeting after two-and-a-half years. The last meeting was held in 2016.

Parameshwara told the board members to conduct a meeting once every six months. “If the meetings are not held regularly, how can you understand and predict what is happening within the board and across the state? Make sure you conduct meetings every six months once,” he said.

He also asked the officials to appoint a separate auditor for the board. Till now, an auditor from another department audits the board’s accounts.