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Mr. Chairman, I Am Presenting to the Standing Committee, the Estimates

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Mr. Chairman, I Am Presenting to the Standing Committee, the Estimates BUDGET ESTIMATES A,B& G 2013-14 Mr. Chairman, I am presenting to the Standing Committee, the estimates of receipt and income and expenditure pertaining to the Budgets ‘A’ (Fund code 11, 12, 60, 70), ‘B’ (Fund Code 21, 22, 23) and ‘E’ (Fund Code 40) for the financial year 2013-14 in pursuance of Sections 125 and 126E of the MMC Act, 1888. I have been closely associated with the MCGM as Jt. Municipal Commissioner and as an Additional Municipal Commissioner during my earlier tenure from June 2000 to May 2005. I have taken over as Municipal Commissioner of this august organization and I, therefore, deem it my privilege and honour to present the Budget Estimates of Brihanmumbai Mahanagarpalika as the Municipal Commissioner. Budget Estimates 2013-14 The size of the Budget Estimates and the abstracts of the revenue account and the capital account under ‘A’ (Fund code 11, 12, 60, 70), ‘B’ (Fund code 21, 22, 23), ‘E’ (Fund code 30), ‘G’ (Fund code 40) and ‘Tree Authority’ (Fund code 50) are MUNICIPAL CORPORATION OF GREATER MUMBAI 1 BUDGET ESTIMATES A,B& G 2013-14 given below and the details thereof are given in the Annexures I to IV on pages 102-105 The total size of Budget Estimates for 2013-2014 is `27578.67 crore, which is 23.27% more than Revised Estimates 2012-13. The Estimates of the Revenue Income is `20472.61crore vis-à-vis the Estimates for the Revenue Expenditure is `18123.16 crore for 2013-14. The Revised Estimates of Capital Expenditure for the year 2012-13 i.e. `6521.02 crore as against Budget Estimates 2012-13 is `9359.76 crore. In the Budget Estimates 2013-14, the Capital Expenditure is estimated at `9369.41 crore which is slightly higher than the current year Capital Budget Estimates. After budgetary reforms from 2007, we have now provided, for the first time, previous 3 years actuals with current year Budget Estimates and Budget Estimates for the year 2013-14. This will help the councilors and citizens to compare income and expenditure of past period on similar line items, at a glance. MUNICIPAL CORPORATION OF GREATER MUMBAI 2 BUDGET ESTIMATES A,B& G 2013-14 SIZE OF BUDGET ESTIMATES – ‘A’ (Fund code 11, 12, 60, 70) ‘B’(Fund code 21, 22, 23), ‘E’ (Fund code 30), ‘G’ (Fund code 40) and TREE AUTHORITY (Fund code 50) (` in crore) Budget Estimates Revised Estimates Budget Estimates Details 2012-13 2012-13 2013-14 Income/ Expenditure Income / Expenditure Income/ Expenditure Receipts Receipts Receipts Revenue Income 19662.87 18800.08 20472.61 Revenue Expenditure 17127.75 15731.91 18123.16 Capital Receipts 6918.07 3571.79 7106.06 Capital Expenditure 9359.76 6521.02 9369.41 Total 26580.94 26487.51 22371.87 22252.93 27578.67 27492.57 Excess of income over 93.43 118.94 86.10 expenditure Size of Budget 26580.94 26580.94 22371.87 22371.87 27578.67 27578.67 Estimates MUNICIPAL CORPORATION OF GREATER MUMBAI 3 BUDGET ESTIMATES A,B& G 2013-14 REVENUE ACCOUNT – BUDGET ESTIMATES A, B, E, G &TREE AUTHORITY (` in crore) Budget Fund Code Particulars Estimates 2013-14 REVENUE INCOME 11 General Budget 15657.40 12 Health Budget 173.47 21 Improvement Schemes 32.81 22 Slum Clearance 2.61 23 Slum Improvement 19.73 30 Education Budget 530.28 40 Water Supply and Sewerage 4034.53 50 Tree Authority 21.78 60 Provident Fund … 70 Pension Fund … Net Income 20472.61 REVENUE EXPENDITURE 11 General Budget 8187.47 12 Health Budget 1885.02 21 Improvement Schemes 178.44 22 Slum Clearance 4.18 23 Slum Improvement 151.88 30 Education Budget 1471.39 40 Water Supply and Sewerage 2736.41 50 Tree Authority 39.88 60 Provident Fund 7.59 70 Pension Fund 3460.90 Net Expenditure 18123.16 Revenue Surplus during the year 2349.45 Surplus transfer to Capital Account 2333.67 Surplus 15.78 Net of transfer to other budgets. MUNICIPAL CORPORATION OF GREATER MUMBAI 4 BUDGET ESTIMATES A,B& G 2013-14 CAPITAL ACCOUNT – BUDGET ESTIMATES A, B, E, G & TREE AUTHORITY (` in crore) Budget Fund Code Particulars Estimates 2013-14 Capital Receipts 11 General Budget 4162.53 21 Improvement Schemes 161.17 23 Slum Improvement 15.88 30 Education Budget 357.07 40 Water Supply and Sewerage 2409.41 Total 7106.06 Transfer from Revenue Account 2333.67 Total fund available for Capital 9439.73 Capital Expenditure Expenditure 11 General Budget 5056.04 12 Health Budget 623.60 21 Improvement Schemes 107.02 23 Slum Improvement … 30 Education Budget 356.98 40 Water Supply and Sewerage 3224.90 50 Tree Authority 0.87 Total 9369.41 Surplus 70.32 MUNICIPAL CORPORATION OF GREATER MUMBAI 5 BUDGET ESTIMATES A,B& G 2013-14 Now, I enumerate details of provisions under Budget Estimates A, B & E. The Budget Estimates for the year 2013-14 alongwith Budget Estimates and Revised Estimates for the year 2012-13 (Budgets A,B & E) on Revenue Account are given in the following Table :- Table-1 Revenue Account Budget A, B, E (` in crore) Budget Revised Budget Particulars Estimates Estimates Estimates 2012-13 2012-13 2013-14 Revenue Income 15213.15 15067.61 16452.30 Revenue Expenditure 14199.66 13065.64 14932.91 1013.49 2001.97 1519.39 Surplus during the year (Surplus) (Surplus) (Surplus) Transfer to Capital 1012.50 2000.00 1518.00 Account Surplus 0.99 1.97 1.39 The above table shows that the Revised Estimates of revenue income have decreased by `145.54 crore as compared to the Budget Estimates of 2012-13. This is mainly due to the slightly lesser than anticipated realization of revenue income from the new source of premium against fungible FSI. The gross income from Octroi estimated at `7000 crore in the MUNICIPAL CORPORATION OF GREATER MUMBAI 6 BUDGET ESTIMATES A,B& G 2013-14 Budget Estimates 2012-13 has been revised to `7125 crore based on the improved collections of Octroi. Various amendments in Development Control Regulations & MRTP Act made by the State Government have resulted into a sizable increase in the municipal revenue. The new source of premium against fungible FSI has fetched `943 crore upto 24th January, 2013. This is expected to cross `1150 crore by the end of current financial year. Further, the premium charges received against additional 0.33 FSI in suburban area have shown an increase of `45.15crore as against the revenue collection for year 2011-12 of `229.85 crore from this source. Similarly, the new modifications introduced in Public Parking Lot Scheme under DCR 33(24) has netted `90.55 crore till 24th January, 2013. I am pleased to inform the transition of property tax system from Rateable Value System to Capital Value Based System, which holds the promise of transparency, buoyancy and equity. Fresh bills under Capital Value Based System for year 2010-11 to 2012-13 have been served to the property owners. The property tax bills for the year 2012-13 is aggregating `3657.09 crore. MUNICIPAL CORPORATION OF GREATER MUMBAI 7 BUDGET ESTIMATES A,B& G 2013-14 In the year 2012-13, the Revised Estimate of Revenue Expenditure is `13065.64 crore as against Budget Estimates of `14199.66 crore resulting into saving of `1134.02 crore. Likewise, revised capital expenditure is estimated at `3844.51crore as against Budget Estimates of `6000 crore. The revision in capital expenditure coupled with saving in revenue expenditure being available for capital works, there is no need to raise internal loan of `2000 crore this year as envisaged in the Budget Estimates 2012-13. Estimated revenue for 2013-14 at `16452.30 crore exceeds the estimated expenditure by `1519.39 crore, out of which funds of `1518 crore are proposed to be transferred to the capital account. For estimation details of various sources of income vis-a-vis Budget Estimates of revenue income under Revised Estimates for 2012-13 and the Budget Estimates for 2013-14, I refer to Table 2 which gives the details of various sources of income with comparative position of Budget Estimates for 2011-12. MUNICIPAL CORPORATION OF GREATER MUMBAI 8 BUDGET ESTIMATES A,B& G 2013-14 Table-2 - Details of Revenue Income Budget A, B, E (` in crore) Sr. Particulars B.E. R.E. B.E. R.E. B.E. No. 2011-12 2011-12 2012-13 2012-13 2013-14 1. Octroi (Net) 5700.00 6000.00 6900.00 7025.00 7740.00 2. Property Tax 2000.00 2000.00 2200.00 2156.82 2259.66 3. Receipts from 1639.28 1798.02 3435.49 3240.43 3362.41 Development Plan 4. Interest 521.52 1005.13 1030.84 1036.89 1034.74 5. Grant-in-Aid 271.99 317.93 304.04 274.07 322.94 from Government 6. Receipts from 112.59 153.95 116.97 253.81 307.17 Roads & Bridges 7. Supervision 250.00 200.00 250.00 170.00 250.00 Charges 8. Solid Waste 90.52 92.47 99.99 102.43 109.64 Management 9. Receipts from 93.61 108.57 110.45 114.87 122.33 Hospitals & Medical Colleges 10. Receipts from 118.04 123.28 143.82 136.23 149.41 License Deptt. 11. Receipts from 63.84 60.34 70.45 39.69 126.45 Markets &Deonar Abattoir 12. Other Receipts 640.49 393.93 551.10 517.37 667.55 Total 11501.88 12253.62 15213.15 15067.61 16452.30 The main increase in revenue estimates of 2013-14 is expected from Octroi, Property Tax & Receipts from Development Plan Department and the proposed modification in MUNICIPAL CORPORATION OF GREATER MUMBAI 9 BUDGET ESTIMATES A,B& G 2013-14 Market Redevelopment Policy.
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