The proposal has been prepared by the Women and Child Development Department (WCD) and sent to Planning Department, which is suppose to earmark funds for the body and clear it for submission before the State Cabinet.
The Planning Department has told the WCD Ministry that since formation of "Transgender Welfare Board" is a policy decision, an official figure of the third gender in the state is required before such a body is put in place.
The WCD department has sought a sum of Rs 5.54 crore for the board, which according to it, will undertake a survey, run welfare schemes and explore jobs for the community.
Mumbai District AIDS Control Society (MDACS) has informed the Government that figures available with them are of the people affected by HIV and those active in sex trade.
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"About 40,000 third gender members are included in them (those in sex trade and HIV+). There is no separate figure of the third gender," MDACS said.
Officials in WCD department told PTI that Tamil Nadu is the only state to have a welfare board for transgenders.
Chief Minister Prithviraj Chavan announced formation of such a board at a meeting with the community members last year. On the occasion, Chavan had expressed his Government's commitment for welfare and a policy for the neglected section of society, who often face discrimination and harassment.
Meanwhile, the WCD Ministry has informed the Planning department that the exact number of the transgender community members can only be known in the 2021 census.
The objectives of the board, which would be headed by the WCD Minister, will be to give legal and social protection to the transgenders, prepare programmes and policies for them. Transgenders will have to register themselves with the board to get benefit of these schemes.