Date:26/04/2007 URL: http://www.thehindu.com/2007/04/26/stories/2007042616530100.htm

Front Page

Waiver of dues a fillip to civic works: Mayor

Special Correspondent

Loan waiver will help execute more development works: Mayor

TIRUCHI: The Government's decision to write off outstanding credit that are due from urban local bodies would result in the waiver of about Rs.45 crore owed by the Tiruchi Corporation.

Conveying this at an urgent meeting of the Corporation Council on Wednesday, the Mayor, Sarubala R. Tondaiman, said that the urban body could take up more development works now that it had been relieved of a huge credit burden.

The Local Administration Minister M.K. Stalin had also announced in the Assembly that the corporations' share of government revenue would be increased from eight to nine per cent. Similarly, the decision to streamline and regulate the lease of Corporation shops by allowing the legal heirs/existing leasees to continue was a welcome move.

The restructuring of the vacant site tax was another noteworthy feature of the announcements.

The floor leader of the AIADMK, Mariam Pitchai, however, wondered whether the Corporation had made any survey of the number of advertisement hoardings in the city. Though the rental revenue of hoardings would now go to the respective local bodies, the move was only intended to compensate the losses suffered by the civic bodies on account of abolition of entertainment tax.

He also wondered whether the decision on the extension of the lease of Corporation shops would be implemented as many Government orders on the matters had remained only on paper.

Later, the Council adopted a resolution seeking administrative sanction from the Government for executing a Rs.94.70-crore drinking water supply augmentation scheme. The Corporation has sought permission for executing the scheme through a competent agency instead of the Tamil Nadu Water Supply and Drainage Board.

Replying to queries from councillors, the Mayor and Commissioner B. Balachandran clarified that the financial operational plan for the scheme had not yet been finalised.

Efforts were being made to get subsidy from the Union Government under the Urban Infrastructure Development Scheme for Small and Medium Towns, they said.