The fourth State Finance Commission today recommended further grants for Haryana urban and rural local bodies through the mechanism of global sharing of state tax revenues.
The Commission recommended financial devolution of Rs 442.21 crore for Panchayati Raj Institutions and Rs 238.11 crore for Urban Local Bodies for the 2013-14 fiscal.
The suggested devolution is over and above the funds already earmarked for these bodies through state excise, stamp duty, surcharge on VAT, grants of 13th Finance Commission and other budgetary transfers.
The proposal was made by Commission chairman LSM Salins during presentation of its interim report for 2013-14 fiscal to Haryana Governor Jagannath Pahadia here.
The fourth State Finance Commission had been constituted by the Haryana government to recommend sharing of state revenues with rural and urban local bodies, Salins said.
The Commission had also been mandated to suggest measures of augmentation of their internal resources, Salins said adding, the Commission explained that resource base of local bodies was quite poor when compared with its extensive duties and noted that they needed more funds for providing minimum civic amenities.
Since the state government had asked the Commission to recommend strategies to enable substantial funding of ongoing schemes of local bodies, it had decided to submit an interim report, he said.
