MC should think out of the box, check urge to splurge : The Tribune India

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Open House response: Burden of taxes

MC should think out of the box, check urge to splurge

Reckless wastage of potable water by way of watering lawns, washing cars and overflowing overhead tanks shows that residents do not care for this precious commodity.

MC should think out of the box, check urge to splurge

Increasing taxes on the basic amentities will be futile if the MC fails to use its own resources wisely. Tribune photo



Reckless wastage of potable water by way of watering lawns, washing cars and overflowing overhead tanks shows that residents do not care for this precious commodity. One way to make them realise its worth is to enhance water tariff. However, the financial crisis faced by the MC cannot be solved by introducing new taxes indiscriminately. The MC should cut down its own wasteful expenditure and evolve methods to generate more revenue without penalising residents. Meanwhile, round-the-clock water supply should not be provided as it will lead to more wastage.

DPS Bajwa, Chandigarh


Plan, spend wisely

The proposal of the Chandigarh MC to double water tariff and levy 20 new taxes is very unfortunate. The financial crisis faced by the MC is the result of initiating works by disregarding the availability of funds. Those works that are not urgent in nature can be postponed. Water wastage due to leakage should be reduced. The infrastructure at parks and markets should be provided after proper study.

 TS Madan, Chandigarh


City residents should            act responsibly 

Water is a basic necessity and to double tariff on it will not only burn a hole in people’s pocket but also add to their suffering. Instead of levying new taxes, the MC should cut down its wasteful expenditure. Water wastage should be stopped. Fountains in city parks may be shut for the time being.  Broken water pipes should be repaired at the earliest. Car washing with plenty of water be penalised.  Rainwater harvesting can be a good option to save water. Residents can reuse the drained off AC water to water the plants or washing items.

Rashi Srivastava, Chandigarh


Act against defaulters

Right now, the pertinent question is as to how to come out of the fiscal deficit? Doubling water charges will hit the poor. Instead, property tax for all kinds of property should be raised. The MC should get hold of big defaulters. The auction of new parking lots is another alternative. Unoccupied shops should be auctioned. More options should be tapped to raise revenue. 

Harish Kapur, Chandigarh


Locals should protest

The proposal of the Chandigarh civic body to impose 20 new taxes and enhance user charges for various services is highly deplorable. The councillors are acting as mute spectators to the proposals moved by civic body officials. It is unfortunate that instead of providing various services to residents at affordable rates, the MC is planning a hike in existing taxes. It is a wake-up call for resident welfare associations. Residents should come out on streets to oppose the MC move.

Renu Rajinder Pal Singh, Chandigarh


Check spending 

The proposal of the Chandigarh Municipal Corporation to levy 20 new taxes besides increasing some of the existing taxes is unwarranted and a rude shock for the city residents. Most taxes and user charges proposed by the MC in the draft paper are utterly unreasonable. Burdening the residents by imposing hefty and unjustified taxes is no way to come out of the financial crisis. Instead of going on the tax spree to generate revenue, the MC should set its own house in order by cutting wasteful expenditure.

RPS Chopra, Mani Majra


Taxing people no solution

Taxing people is definitely not the only way to bring the MC out of the  financial crisis. The MC as well as the government should unquestionably curtail their wasteful expenses and use that money for the benefit of people.

Priya Darsh Growar, Mohali


Councillors misused funds, created mess

Elected representatives are interested only in misusing public funds in the guise of fruitless study tours or purchase of useless dustbins. Recovering the money lost due to their dubious deals from taxpayers by increasing water tariff or leving 20 more taxes is not at all justified. The MC should give up such foolish ideas and devise ways to protect people from the menace of stray cattle, snatchings, robberies and murders instead.

RK Kapoor, Chandigarh


Take back proposal

The dispensation has found no other way than imposing taxes on people without taking them into confidence, adding to residents’ woes. Why the residents must pay for follies of others? The dispensation should roll back the decision and increase revenue by exercising restraint on foreign education tours of councillors. It must not splurge money on public celebrations and must look get aid from the centre. 

Ramesh K Dhiman, Chandigarh


MC did nothing for city

The MC has done nothing for the city. It should cut down wasteful spending. There is a mess everywhere, be cleanliness, condition of roads, waterlogging, parking or waste collection.  If things are not set right, the City Beautiful tag will soon be in danger. There are several options to increase revenue, if they think and act. 

Opinder Sekhon, Chandigarh


Promote city among tourists for revenue 

Burdening residents with taxes is not the only way for the MC to come out of the financial mess. It should cut down its wasteful expenditure. Revenue can be generated by promoting the city as a tourist destination. The city can also be promoted on the Bollywood circuit for films. 

Rajeev Kumar, Chandigarh


Go for third party audit 

Instead of resorting to frequent hikes in taxes to generate revenue to meet the ever-increasing cost of governance, the MC should focus on controlling wasteful expenditure, increase contribution per employee, identify ghost employees and control corruption to spare sufficient funds to meet all routine expenses. Third party audit should be conducted to identify loopholes in the working of the Municipal Corporation.  

KC Rana, Chandigarh


MC failed on all fronts

The MC has no justification in increasing the tax burden on city residents. The MC has miserably failed to provide adequate services. We pay to private operators to collect our garbage, gardeners to keep our surroundings clean and green and invest in costly inverters as the electric supply is erratic. We also pay for water tankers, if the water supply is inadequate. The roads and parks have not been maintained, stray dogs wreak a havoc and the city is dotted with garbage heaps. 

Bubby Soin


Recover pending dues

The cash-strapped MC has proposed to increase water tariff and wants to levy new taxes. No doubt, taxing people is one of the ways to generate revenue but it is not the only way. The MC constantly failed to enhance its financial resources. The MC has contended that the hike is required to cover the gap between expenditure and revenue. The failure to collect pending dues is one of the major factors behind the fund crunch. This is not first time that the MC repeated the past mistake. The MC should make efforts to generate more revenue. It should ask for a share in road and entertainment taxes.

Vidya Sagar Garg, Panchkula


Make officials pay 

I fail to understand how this situation has come to exist. While spending, the authorities should take care of their resources. Before imposing new taxes on the public, an inquiry should be conducted and those responsible for the fiscal mess should be punished. Why should the public suffer for their sins?

Tarlok Singh, Mani Majra


Don’t take up new projects in city

The MC proposals will only dent people’s pocket. The worst-ever crises is their own creation. Wasteful expenditures should be curtailed. The MC should not undertake the projects, which need huge funds. Instead, the focus should be on maintaining the existing infrastructure. Dues from defaulters should be recovered. Properties lying vacant should be rented out to increase revenue. Community centres and public buildings should be wisely utilised to generate funds.

Bharat Bhushan Sharma


Ban study tours

It is an injustice with the public if the MC imposes new taxes. All type of study tours and visits to other states should be banned. Renovation of offices should be banned for at least a year. All employees of the MC should do their duty with honesty.

Sumesh Kumar Badhwar, Mohali


Shifting pressure to public unwarranted 

The MC is right in increasing taxes in some areas but at what extent is the major question. The MC is facing the fund crunch but shifting the pressure to the public is not right. It should try to find as to why the manpower is not being used property? Why vendors are being allowed to do business without paying any tax? Why not a huge amount is being spent on inauguration ceremonies?

Vinod Shetty


Dissolve MC House

Dissolve the Municipal Corporation House for a year. Let MC officials make details of the annual revenue and expenditure public. Ask for suggestions from the public. Get  inputs from residents’ associations regarding the works and projects to be taken up on priority. Cut down wasteful expenditure. 

Tejinder Singh Kalra, Mohali


Thoughtless to press MC   

Not ensuring the due share in revenue from the Centre and  directing the cash-strapped  MC to manage its own affairs is sheer thoughtlessness of  the Administration. The UT Administration wants the MC to raise tariff on water as the first step to fill its coffers. This insensitivity towards the electorate is highly deplorable and the residents will be left in the lurch.

SC Luthra, Chandigarh


No need of MC

Despite having squeezed citizens through taxes, why the MC is still facing the fund crunch? The city was well-managed in pre-MC days. Why are we tolerating the inefficient MC at such a high cost? Instead of burdening people with taxes, the MC should be winded up. 

MPS Chadha, Mohali  


MC failed to perform

People are ready to pay more if the quality of services is good but in case of the Chandigarh Municipal Corporation, the quality of services being provided to people is deteriorating day by day. Responsibility of officials has not been fixed. Meanwhile, the wasteful expenditure has gone up. The councillors spent lakhs of rupees on study tours but their reports are lying in the dustbin. The city has been facing the problem of stray animals for long. In the given situation, there was no need to impose more taxes. Water is hardly reaching upper floors of buildings but the MC is considering a hike in tariff besides several new taxes. The Chandigarh MC has failed to perform its function while people are being burdened.

Harmohan Dhawan, former Union Minister


Need to assess situation first 

The Municipal Corporation should  try to recover  arrears  from water bill defaulters, stop the leakage and  reduce the  wastage  of the precious resource. Only then it will be able to assess as to how much the Municipal  Corporation requires  to reduce the gap  in its spending and earnings. People  should  also understand  their  responsibility and pay the water bill on time. As far as the proposal prepared by the MC to increase water tariff is concerned, I am yet to see it. 

Kirron Kher, Chandigarh MP


Will reduce water wastage

The rationalisation of water charges has been proposed after studying the measures taken by other states. The hike has been proposed to discourage the wastage of water. The decision will not harm those using water judiciously. Those who are using water in excess must be discouraged. We have to understand that water is a precious resource. The MC will soon provide round-the-clock water supply to city residents.

KK Yadav, MC Commissioner


Fund crunch of MC’s own making

The severe financial crisis the Chandigarh MC is facing today is essentially of its own making. The Union Government has also denied the city its due share in the Budget. The MC has miserably failed to function efficiently because of intense infighting in the local BJP. Water leakage in the absence of proper maintenance is astonishingly at 26 per cent against the national average of 15 per cent. Yet there is no control on wasteful expenditure. Money is being splurged on unnecessary projects while residents are being burdened with taxes. This is not good governance.

Pawan Kumar Bansal, former Union Minister


MC should be given its share 

Not only the Chandigarh MC but all institutions, be it the PGI or universities, are facing a financial crisis because a major chunk of their  budget goes in paying salaries to their employees. The Chandigarh MC has a unique position. Chandigarh is a revenue  surplus state but after the formation of the  Municipal Corporation in 1994, major functions of the UT Administration were  transferred to the  MC. Therefore, the Administration should release sufficient  funds to the MC to enable it to perform its functions. The third Finance Commission recommended that 17.5 

per cent of the revenue should be shared with the  MC. The Fourth Pay Commission enhanced share from 17 per cent to 30 per cent. However, the MC is yet to receive its share. If the amount is released, the financial problem of the MC can be resolved.

Satya Pal Jain, former Chandigarh MP


Financial mishandling to blame

The financial crisis by the MC is the result of financial mishandling in the past. The MC spent more than it earned, which led to this condition. No organisation can survive without a sound financial system. To tide over the financial problem, there is need to ponder over all options wisely. Besides recovering the running cost of the services provided by the MC, there is a need to seek grant-in-aid from the Centre and MC’s share in revenue besides the imposition of limited tax. In most cases, services are being provided at subsidised rates.

Sanjay Tandon, city BJP president


There was no fund crunch during Cong rule 

The MC never faced any financial crisis during the Congress rule at the Centre. There was no shortage of  funds for development. The  Congress never  imposed  any tax on  the people but  the  current  BJP-led MC  not only exhausted the  funds but also  failed to get any financial  help from the Union Government. The city MP should use her influence to get additional budget for the MC. Besides, the MC should get its due share of revenue collected from the people of the city.  Chandigarh is a revenue-surplus city.

Pardeep Chhabra, Chandigarh Congress president


Denotes BJP’s failure

The fund crunch highlights the complete failure of the BJP-led Municipal Corporation. It is unfortunate that the BJP Mayor and city MP failed get additional funds for the MC. To hide their failure, the MC has decided to pass the burden on to the residents. In contrast, the Congress ruled the MC for over 15 years and did not impose even a single tax. There was no shortage of funds during the Congress rule.

Devinder Singh Babla, Leader of Opposition in MC


COMMENT
Austerity, recovery of dues way forward 
Nitin Jain

Against the unavoidable committed expenditure of at least Rs 500 crore, the Chandigarh Municipal Corporation (MC) hopes to earn Rs 439 crore from own sources of income as well as grant-in-aid from the UT Administration during the current fiscal. This leaves it with a shortfall of at least Rs 61 crore and the MC is left with only Rs 75 crore in its kitty.

The figures make loud and clear the acute financial crisis the civic body is beset with, the worst-ever since its inception over two decades ago. The answer to the obvious question how and why it happened is very simple. In the past four years, the civic body spent almost Rs 427 crore more than its total income and grant-in-aid.

Not left with sufficient funds to pay salaries, pensions and meet other committed and unavoidable liabilities, the MC has already put a stop to all development and maintenance works in city, leaving the residents to fend for themselves.

While the proposal to double water tariff has been, for the time being, turned down by the MC Finance and Contract Committee, several fresh levies, hike in user charges on almost all public delivery services being provided either free of cost or at subsidised rates, steep hike in sewerage cess, new sewerage connections, pet dog registration and commercial property tax have been imposed on the inhabitants.

Instead of cutting down excess and unmindful expenditure, it has been indulging in for many years, and rationalising own sources of income, the MC authorities are now emerging from their deep slumber to tide over the financial crisis.

There is a need for the rationalisation of staff to curtail expenditure. Presently, the MC foots the bill of Rs 45 crore on account of salary and pension of the employees, one of its major committed liabilities.

Adopting austerity measures by putting a complete stop to avoidable expenditure, acting tough against the defaulters of property tax, realising water tariff arrears running into crores (Rs 16 crore is water tariff arrear alone) and ensuring  total collection, selling and renting out vacant properties, bringing down expenditure on fuel, power, telephone and maintenance/ renovation of offices and official residences of MC officers, and no more study or other excursion tours at MC’s cost, are some of the many options the civic authorities would do well to consider.

Owning moral responsibility, the elected and nominated councillors may also offer not to take the handsome honorariums they are otherwise entitled to.

Last but not the least, fixing the responsibility of all such MC officials who made unmindful expenditure to sink the civic body and recovering the wasted money from them will also be in the larger public interest.

Officers and councillors should also realise that the MC is not only meant for paying salaries and pensions but its primary duty is to serve the residents by providing basic civic amenities and bringing about an overall development of the city. If it is not capable of doing any good to the public, there is no need for the MC as bureaucracy-laden UT Administration is already taking care of Chandigarh.  


QUESTION

The Chandigarh Traffic Police have recently put up warning boards, announcing that unnecessary honking can attract a fine of Rs 1,000. Is it justified to challan for honking? Will it help or what else should be done to check the menace? Send your suggestions in not more than 70 words at [email protected] 

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