Open House: What steps should the MC take to increase its revenue and reduce expenses?
MC must cut foreign, domestic trips
It is sad that the MC is facing financial crunch for the past many years. Any organisation can be revived by increasing incomes and reducing expenses. The MC has come out with various ways to increase its incomes by way of increasing water, power tariff charges, garbage collection charges, auction of vehicle registration numbers etc. Further it is suggested to increase incomes by increasing tariffs on entertainment and sale of wine. The MC can certainly reduce expenses by reducing staff strength in the long run and putting a stoppage of foreign and inland tours of the councillors.
NPS Sohal, Chandigarh
Question for next week
With the onset of the festive season illegal vendors encroach on pavements and parking areas in Chandigarh, causing inconvenience to visitors. What steps should the Municipal Corporation take to check illegal vending and remove encroachments?
Suggestions in not more than 70 words can be sent to openhouse@tribunemail.com
Improving revenue need of hour
The MC can generate more income by improving tax collection. The reducing expenditure is another way to generate income for that, there must be a regular audit of the expenditure and wasteful expenditure must be stopped.
Capt Amar Jeet, Kharar
Boost tourism in Chandigarh
Chandigarh Administration can significantly enhance its revenue by promoting tourism and creating a vibrant ecosystem for tourists. By revitalizing the Rose Garden, Sector 10 Museum, and adding new attractions to the Rock Garden and Bird Park, Chandigarh, can become a major tourist destination. Water sports and boating at Sukhna Lake, along with leisure huts in the surrounding areas, would attract both residents and international visitors. Additionally, renting open spaces to businesses for beautification and advertising can generate funds. With modern amenities, Chandigarh can aspire to be the next Singapore or Dubai in tourism development.
Vijay Katyal, Panchkula
INCREASE PROPERTY TAX COLLECTIONS
The major revenue of the MC comes from property tax and water supply which can be increased. This can be done by reducing statutory rebates from 20 per cent for residential properties and 10 per cent for commercial properties to 15 per cent and 5 per cent respectively. The Mahila Bhawan in Sector 38 should be rented out to Sahitya Kala Academy, Sangeet Kala Academy and Natya Kala Academy. The MC should cancel the licences of street vendors who haven’t paid their fees. The Centre should be pursued to implement the 4th Delhi Finance Commission’s recommendations. This will confer upon the MC an additional grant of approximately Rs 1,200 crores and mitigate its fiscal quandary to a large extent.
BRIGADIER ADVITYA MADAN, CHANDIGARH
Implement digital property tax
To boost revenue, the MC should implement digital property tax collections, incentivise timely payments, and introduce tiered parking fees in commercial zones. Encouraging public-private partnerships for waste management and energy-efficient street lighting can reduce operational costs. Streamlining services with technology can enhance efficiency, while promoting eco-tourism and leveraging heritage assets can attract more visitors, generating additional income. These strategies can stabilise finances and improve civic services.
Gaganpreet Singh, Mohali
Eliminate unnecessary expenditures
The Municipal Corporation’s financial crisis requires strategic measures to boost revenue and cut expenses. To increase revenue, the MC can renegotiate vendor contracts to secure better pricing and terms. Additionally, consolidating suppliers can lead to volume discounts and streamlined processes. Implementing e-procurement software can automate purchasing, reduce maverick spending, and provide spend visibility. To reduce expenses, the MC can optimise resource allocation, eliminating unnecessary expenditures and reallocating resources effectively. Streamlining operations through process automation and efficiency improvements can also help. Finally, cost analysis and regular financial audits can identify areas for cost reduction, ensuring long-term financial stability.
Amanjot Kaur, Mohali
Outsourcing non-core functions can help
The MC should explore new revenue streams like increasing advertisement fees for billboards, optimising rental income from public spaces and introducing user fees for premium civic amenities. Cost-saving measures like transitioning to solar power for government buildings, automating public services, and outsourcing non-core functions can cut expenses. Additionally, launching awareness campaigns for better tax compliance will further boost collections.
Gurdev Singh, Mohali
Optimise energy consumption
The MC could explore innovative revenue streams such as implementing a green tax on industries and vehicles, promoting sustainable practices, and encouraging public-private partnerships for infrastructure development. To reduce expenses, they should optimise energy consumption through energy-efficient technologies, streamline administrative processes, and negotiate better deals with suppliers. Additionally, they could consider monetising unused municipal assets and exploring alternative funding sources such as grants and loans.
Gurpreet Kaur, Mohali
Seek assistance from government
The MC could explore innovative revenue streams like partnering with private companies for city beautification projects, establishing a city-wide parking management system and implementing a property tax reassessment. The MC could seek financial assistance from the state government or explore grants and loans from development banks.
Sahibpreet Singh, Mohali
MC must stop giving rebate
It has been noticed that MC members avoid or skip tax collection and remain dependent on funds from the government. This mindset should change. The MC should not give rebates for encouraging tax collection rather it should penalise non-taxpayers. Multi-storey underground parking in Sector 17 has not been properly used for last right years. It has become white elephant for the MC. It should be auctioned to provide similar parking space and construct shopping complex over it.
Ashok Kumar Goel, Panchkula
Digital property tax collection system
To boost revenue, the MC should implement a digital property tax collection system, incentivize timely payments with discounts, and lease unused municipal properties for commercial use. To cut costs, prioritise energy-efficient infrastructure, reduce non-essential expenditures, and promote public-private partnerships for maintenance projects. Engaging local businesses in sponsorships for public amenities can also provide additional funds. These measures can help stabilise the financial health of the civic body.
Sargunpreet Kaur, Mohali
Enhancing rates of advts at public places
In order to reduce the financial burden of the Municipal Corporation certain stringent and proactive measures should be taken, including revenue enhancement, expenditure reduction, debt management and technological integration. There should be proper assessment and collection of taxes. More importantly enhancing advertisement rates on public places and increasing user services bill (like water, sewage and waste management) might go a long way in increasing the revenue of the MC.
MALKEET KAUR VIRK, PATIALA
Levy penalties on defaulters
To boost revenue, the MC should ensure timely collection of proper tax and levy penalties for defaulters, user charges for garbage collection, water supply and parking. Public Private Partnerships for public transportation, parking and waste management can reduce financial burden and improve service delivery. Tourist attractions and advertisement spaces be explored to further boost the revenue. Besides, they should encourage solar power, LEDs in public areas, optimise staff and lease out vacant buildings to reduce expenses.
Harinder Singh Bhalla, Chandigarh
Rationalise property tax collection
The Municipal Corporation needs to take effective measures to reduce expenses on advertisements. Property tax collection should be rationalised based on the covered area of residential houses. Property tax on commercial property should also be based on the rental value of property prevailing as per cost inflation index. Last but not the least, the MC should also plan to provide commercial digital advertisements at chowks and in parking lots.
Col TBS Bedi, Mohali
Control absenteeism of employees
The MC authorities should rationalise manpower and assess performance and utility of each employee on a daily-basis. The absenteeism and disappearance of employees after marking attendance must be controlled. The non-productive expenditure be avoided to bring finances back on track. For quick results, third party management experts help be taken to find permanent solution to this chronic problem.
K C Rana, Chandigarh
Slash facilities, study tours of councillors
Electricity, water, property tax arrears, vendor’s fee, should be collected by giving residents a chance to pay in instalments. Horticulture waste can be used to prepare manure and sell it to residents and farmers. Stray dogs can be put for adoption and revenue can be generated. Facilities to councillors and study tours should be curtailed.
Abhilasha Gupta, Mohali
Stop cribbing, curb expenses
The MC should cut down its honeymoon expenses and utilise the energy for the betterment of the city. Chandigarh can get enough funds from the Centre as was the case a few years back. The MC should beat the drum before the Central Government rather than cribbing.
Opinder K Sekhon Chandigarh
Political tussle main reason behind mess
The main reason of the financial crisis in MC is the tussle between the BJP and Congress. Had the Chandigarh parliamentary seat gone to BJP there would have been the smooth running of the MC and no delaying of any projects. For the time being the corporation must cancel all the tours of its councillors to visit any state to know about their functioning and funding. Also all the parking lots should be made paid ones at least during the festival season. Last but not the least, the MC must put a cut on its own expenditures.
Savita Kuthiala
COLLECTIVE EFFORTS CAN TURN THE TABLES
Only the collective efforts of the officials of the MC and UT can really settle the things. The mayor should also be clear that without the help of the public and residents of the city, the MC alone cannot do anything. Therefore, he should try his level best to ensure that people must be involved in this entire exercise of cleanliness and management of the solid waste. With active participation of public, MC can definitely do good job.
SANJAY CHOPRA, MOHALI
Municipal bonds can be floated
The reasons of fiscal distress in the MC are misplaced priorities and uncontrolled wasteful expenditure. Study tours by councillors that produce no results need to be stopped. Video conferencing and IT tools can be used for interaction with people outside the city. Municipal bonds can be floated to generate much needed funds for development works. MC can also tap funds from corporate houses under the CSR head. More collective shows like the Rose festival etc. can be planned throughout the year to generate revenue by the MC.
Dr Rajeev Kumar, Chandigarh
MC itself is to blame for the situation
The MC itself is to blame for its financial position in spite of sufficient sources of revenues available. There are numerous infrastructures where the budget is being spent not on necessities but on ceremonial projects. Old paver blocks are replaced just for the sake of replacement not as per requirement. There was huge amount spent in waste to wonder park in Sector 48, which is not attended for its upkeep. Blatant misuse of tax payers/public money should be avoided at any cost.
Vijay Shukla, Chandigarh
Impose hefty penalty on violators
The administration should take necessary steps immediately.
The mayor plans to convene a special meeting to discuss the civic body’s ailing financial health. Impose hefty penalty on those who violate laws like smoking at public place, pollution, cutting of trees, putting acid into the roots of trees so that they dry up rapidly, playing loud music at night etc. This will increase the MC’s revenue.
Adish Sood, Amloh
Freebies should be minimised
Austerity measures should be adopted in functions and festivities. The MC must keep on hold the inauguration functions. All dues towards water, rent etc. from residents, public institutes and government organisations must be realised strictly. The avoidable expenditure should be earmarked and means should be taken to stop it. Measures should be taken to generate its own income and administration should be approached for more funds. Freebies should be minimised.
Bharat Bhushan Sharma Chandigarh
Demand special package, promote tourism
The MC should demand special package from both the state and Central Government and one-time special package for the development of tourism in city. The government can impose green tax, entry tax and develop more tourist attractions in the city.
Avinash goyal, Chandigarh
Take assistance of city residents
The Mayor and councillors must stop their visits to watch the activities/ working of MCs in other cities and focus on increasing its revenue. Chandigarh is a famous city for well-educated and experienced residents and their advice should be taken timely to improve the standard and status of the city.
Sumesh Kumar Badhwar, Mohali
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