Chandigarh, March 12– Haryana Chief Minister, Mr Manohar Lal said that State government is considering a proposal to bring a policy for performance-indexing of the municipalities at Municipal Corporation as well as Municipal Council and Committee level so as to create a positive atmosphere of healthy competition among these bodies.

The Chief Minister, who also holds the Finance portfolio, disclosed this while presenting the State Budget for the year 2021-22 during the ongoing budget session of the Haryana Vidhan Sabha today.

He said that state government would award the incentive to such municipalities that achieve the performance level fixed in the Municipal Performance Index. To augment the financial resources of ULBs, it has been decided that 2% stamp duty earned on registration of the immovable properties in the municipal areas which would earlier flow to the State Government and then to the ULBs would be directly deposited in equal ratio in the bank accounts of respective municipality and the Urban Local Bodies Department. This will ensure a regular flow of funds to the local bodies.

 To encourage monetization of locked up assets, he said that a policy would be formulated for sale of already leased out shops and other assets which are in possession of lessees for 20 years or more. This will go a long way in boosting the finances of ULBs and at the same time providing ownership to thousands of such small shopkeepers and other lessees. 

On the Administrative front, posts of District Municipal Commissioners have also been created to ensure better functioning and quick decision making. Financial powers have also been delegated at local level for granting administrative approval of small-scale projects to ensure faster implementation.

He said that efforts are being made to make PRIs self sufficient by devolving funds to be disbursed among Zila Parishads, Panchayat Samitis and Gram Panchayats in the ratio of 10:15:75. This step will ensure an adequate amount of resources at their disposal, he added. He said that there are plans to promote PRIs to enhance their own sources of revenue by giving them various powers of taxation such as two per cent cess on electricity consumption bills. In the coming elections of Panchayati Raj Institutions election 50% of elected representative will be women, he added.