Pune plans to implement NURM norms

The Pune Municipal Corporation (PMC) has initiated moves for making structural adjustments so as to qualify for funds under the Union government's National Urban Renewal Mission (NURM).

Speaking to Business Standard, PMC commissioner Nitin Kareer said, "As per the NURM guidelines, we have already undertaken work to prepare a vision document for the city with the help of our local institutional partner Yashwantrao Chavan Academy of Development Administration (YASHADA)."

Through the vision document, PMC will declare its intent about dealing with the city's core problems such as roads, transport, pollution, slum rehabilitation.

"Besides this, to work out the strategy to deal with each problem, core groups have been created comprising civic officials, city fathers, civic activists and representatives of our institutional partner and meetings of six core groups have already begun. Within six months, we will be ready with the vision document," Kareer said.

He further said, "As per the NURM requirements, we have already prepared three specific projects of special concern such as roads, slum rehabilitation and river front development. These can be sent to the central government for approval at any time."

He also said that "As per NURM norms, we have to move towards an approval-based double-entry system of accounting, and as a first step we have moved from single-entry accounting system to double-entry cash accounting system. Further, the initiative is on way to appoint a financial consultant to help PMC to move towards approval-based accounting system."

Kareer said that under the approval-based accounting system, due dates for making and receiving payments are pre-decided and entries are not made as and when payments are received or made as done under the old system. Approval-based system always brings greater transparency.

"To bring more transparency, we have started publishing our quarterly financial results. We have already published our first quarterly results and soon will be publishing the second quarterly results," he pointed out.

"We have already carried out property tax reforms, permissible under the present law by introducing area-based assessment system for new properties, which is loaded on Geographical Informatic System (GIS) platform," said Kareer.

But, in the case of old properties, PMC is empowered to change the tax rates and cannot undertake reassessment of the value of the property, he said.

The NURM eligibility entails repeal of the Urban Land Ceiling Act (ULCA), creation of area sabhas on the lines of gram sabhas in each municipal ward, reduction in stamp duty upto 5 per cent and implementation of the 74 amendment to the Constitution in toto. But this is something beyond PMC's jurisdiction and only the state government is competent to take the decision, Kareer pointed out.

However, experts feel that reducing the stamp duty would be relatively easier, but repealing ULCA, creation of area sabha and implementing the 74 th amendment in totality could be major hurdles before the municipal corporation as this would mean reducing the hold of state government over local civic bodies.