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Phd Thesis 16 June 2017

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Phd Thesis 16 June 2017 1 CHAPTER – I INTRODUCTION 1.1 Title of the Research Study: “A Study of Municipal Taxes & Charges Levied by PMC on Slum Dwellers in Pune City.” 1.2 Background of the Research Study: According to Census of India Pune is the 8 th largest city and 8 th largest metropolis in India, and the 2 nd largest in the state of Maharashtra after Mumbai. As per 2001 Census, population of Pune is 25,38,473 out of that 40 % population is slum dwellers. Pune Municipal Corporation is well known as Pune Mahanagar Palika Serving Citizens from last six decades. Pune is one of the historical cities of India which has been known as Oxford of East. Pune is the administrative capital of district . The city of Pune is managed by the Pune Municipal Corporation (PMC) . It was established on 15 th February 1950. It is governed by The Bombay Provisional Municipal Corporation Act 1949. The Corporation consists of directly elected councilors w ho are led by the Mayor of Pune. Mayor is a titular position mainly acting as an ambassador and representative of the city. Actual executive power is vested in the Municipal Commissioner, an officer of the Indian Administrative Service. Municipal Commissioner is appointed by the Government of Maharashtra. Source: Pune Municipal Corporation –City Development Plan 2006 -2012 2 Apart from the Pune Municipal Corporation, four other administrative bodies are active within the Pune Metropolitan Area: Khadki Cantonment Board (KCB), responsible for Khadki, Pune - 3. Pune Cantonment Board (PCB), responsible for Pune Cantonment Pune -1. Dehu Road Cantonment Board, responsible for the Dehu Road area. Pimpri-Chinchwad Municipal Corporation (PCMC) for Pimpri-Chinchwad and its surroundings. The Ministry of Statistics & Program Implementation (MoSPI) released the data for the 69 th round survey of the National Sample Survey Organization (NSSO) on urban slums in India. According to this data there has been a 25 % rise in slum population from 2001 to 2011. 70 % of slum population lives in 6 states with Maharashtra contributing 18% of the total slum population followed by Andhra Pradesh, West Bengal, Uttar Pradesh, Tamil Nadu & Madhya Pradesh. It means the slum population in the country has been increased from 5.23 crore in 2001 to 6.59 crore in 2011. According to this data in 2011 a total of 33,510 slums were estimated to be present in the urban areas of India. About 41 % of these were Notified and 59 % Non-Notified. According to census India 2011, Pune Municipal Corporation has population of 3,124.458. Pune is second largest in state of Maharashtra after Mumbai. As per the secondary data collected by Pune Municipal Corporation, there are 564 slums in Pune City, out of that 353 are notified slums and 211 are non-notified slums. With growing economic activity in Pune, the slum population has been increasing at a tremendous rate. It is observed that during 1961 the annual growth in slum population was about 9.6 % against the total growth in population at 2.19 %. During 1971 the annual growth in slum population was about 10 % against the total growth in population at 3.5 %. This trend continued further but at a lower pace and picked up again in 2001. In terms of proportion of the population living in the slums, it has also increased from 15 % in 1961 to 40 % in 2001. It shows tremendous growth in slum population. This increased slum population has created pressure on the infrastructure services. According to UN-Habitat Report 2006, almost one billion people are living in urban slums around the world. Recent estimates reveal that there will be 1.4 billion slum dwellers in the world by 2020. With rapidly growing slum population, Questions of slum maintenance & Questions of funds generation for the same, has been arising before world. Due to constant and rapid growth in slum population there is urgent and serious need to focus on this topic. 3 Due to tremendous growth in Pune’s slum population and pressure on the existing basic services to slums which is provided by Pune Municipal Corporation and continuous financial burden for maintenance of slums, there is need to study the annual slum service charges collection, municipal taxes, which is source of fund for PMC. Therefore the researcher wants to study the municipal taxes and charges levied by PMC on slum dwellers in Pune city which is the need of an hour. 1.3 Rationale of the Research Study: The Researchers family stays in Private road Slum Area Pune from last 75 years. While benefiting the slum improvement schemes by Pune Municipal Corporations such as “NAGAR VASATI VIKAS YOZANA”, “BSUP-Basic Services to Urban Poor”, Government Redevelopment scheme for sanitation blocks, The Walmiki-Ambedkar Awas Yozna, PHOTO PASS Schemes, Slum Rehabilitation Schemes etc. Researcher used to discuss with its officers, the contribution of slum dwellers in sources of finance of Municipal Corporation and role of Municipal Corporation in development of slum areas. During these discussion one thing which always came up was that, there are constant growth in slum population, and pressure on existing basic services to slums which are provided by Municipal Corporation. Expenditure on these slum services are higher than collection of Municipal Taxes from slum dwellers. All financial burdens for slum maintenance & improvement are sharing by Pune Municipal Corporation (PMC), Government of Maharashtra (GoM), Government of India (GoI). To improve the housing stock and civic infrastructure facilities for slum dwellers, a number of schemes are being implemented with support of PMC/GoM/GoI. The Researcher also observed that many slum dwellers in Pune Municipal Corporation pay their Municipal taxes and charges at the time of taking Electricity connections and Water Connections, or at the time of Rehabilitation schemes. Slums are the vote banks so nobody make them aware or imposed rule of tax payments. Due to this reason whenever question comes about slum dwellers financial contribution and participation in slum improvement and up gradation, it bec ome s issue of political interference. It is also observed that, there is lack of mechanism which can prevent the formation of new slums. The best solution for the problem is local long-term strategies for improving the lives of slum dwellers. Local governments should develop strategies to prevent the formation of new slums with the help of Inhabitant/ slum Dwellers. 4 On this background the Researcher started thinking more and more about exploring the topic further. The experience and interest in Slum area motivated the researcher to study the Municipal Taxes and charges levied by Pune Municipal Corporations on slum dwellers. Researcher observed that various slum improvement activities are not rightly focused on revenue generation by PMC. As making ‘Slum Free City’ is a long term process but slum free city through sustainable slum development and sustainable slum development through slum dwellers participation can be possible. And small but regular financial contribution and slum dwellers participation in slum policy making can play vital role in development process. From last five decades this subject remains unfocused. Slum free city is one of the indicator of national development, for that purpose the role of urbane local bodies and the role of Slum dwellers are equally important. Urbane local bodies should have effective mechanism and flexible taxes & charges collection systems which will reach till each and every slum dwellers who are aware about their duty to pay tax. The Researcher has observed that there is a change in the structure after rehabilitations of slums. 1.4 Statement of the Problem: In this study Researcher has focused on municipal taxes & charges levied by Pune Municipal Corporation on slum dwellers. Tax in India is levied by the Central Government and the State Government. Some minor Taxes are also levied by the local authorities such as Municipal Corporation, Municipalities, and City Councils or Local Councils etc. The revenue collection of PMC has grown up to Rs.2320 crore in 2008-09 from 361.29 crore in year 1998-99. The population has increased from 15 lackhs in 1991to 40 lacks in 2011 and projected to cross 60 lakhs in 2020. The growth of population, revenue and the rate of infrastructure development are not commensurate with each other. Therefore there are serious problems of development of city. PMC is major civic body. In terms of population pun is rapidly increasing city with influx of people from different places. It is having long history of six decades of 5 development. As per 2001 Census, population of Pune is more than twenty five lacks, out of that 40% populations are slum dwellers. The expenditure on slums maintenance is higher than income from slums. The expenditure on slums is lesser than requirements. The facilities & services provided by PMC are much lesser than requirements. However with increase in population and slum population, increase in expenditure on basic services to society & enlarged avenue of activities, the corporation becoming complex structure. It needs to develop more systematic, programmatic and financial approach towards slum improvement activities. From this point of view study of Municipal taxes & charges levied by PMC on slum dwellers becomes very important. Slum Improvement activities are not rightly focused by PMC for revenue generation. Due to absence of proper mechanism of collection from slum, the share of Municipal taxes & charges from slum dwellers are very less in total revenue. Hence income from slums is less than expenditure on slums but right focused on revenue generation activities can be possible with development of proper mechanism of regular collection and further which can play vital role in total income from slums in PMC. Hence the present study has its own importance.
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