Keeping in mind the municipal body election due early next year, the BJP-ruled Municipal Corporation of Delhi (MCD) on Thursday enhanced allocation of funds for several heads promising all-round development of the city, welfare of every section and its own employees in its budget estimate for year 2011-12.

Though the body kept cribbing during 2010 about scarcity of funds alleging that appropriate funds were not released by the Delhi Government, Standing Committee chairman Yogender Chandolia also proposed 100 per cent hike in “discretionary expenses” of chairman and Delhi Mayor.

Chandolia reasoned that the allocation of funds under this head have been augmented due to the inflation. Earlier, the Standing Committee chairman and the Delhi Mayor would get Rs 5 crores and Rs 5.5 crores respectively, which have been made Rs 10 crores and Rs 11 crores for this fiscal (2011-12).

While presenting the marginal deficit budget of Rs 7.8 crores, the Standing Committee chairman also created three new heads targeting improvement of roads, sanitation services, maintenance works and streetlights under which each councillor will get Rs 1.55 crore more for their respective wards.

As per the provision, each corporator has been given Rs 50 lakh for development work in his ward every year.

A special budgetary allocation of Rs 50 crores for providing civic amenities in unauthorised colonies has also been made. But elected members have been continuously complaining that the amount given to them is not sufficient. The provision including funds for unauthorised colonies will put extra burden of Rs 471.60 crores on the civic agency.

“Considering their demand, we have introduced three new heads. According to demand of the public, improvement of roads, sanitation and streetlights will be carried out therefore we will give Rs 50 lakhs for roads, Rs 25 lakhs for sanitation, Rs 75 for maintenance and Rs 5 lakh for streetlights to each councillor this year,” said Chandolia.

As declared by the BJP leader on December 8, 2010 when MCD commissioner KS Mehra presented budget estimate, he turned down the commissioner’s proposal for 5 per cent hike in property tax rate. In his finalised budget, he announced the opening balance of the body will be Rs 308.23 crores and the MCD is expecting to have Rs 6635.83 crores as income. The expenditure will be Rs 6943.63 crores therefore the closing balance will be Rs 43.75 crores.

Chandolia said the deficit will be balanced by recovery of arrears of property tax.

He said the MCD is still to recover Rs 712 crores from 4,816 properties. “They have been issued notices to them and their names have also been put on the MCD’s website as debtors. Soon, their name will also be made public in the newspapers. The body will make every possible effort to recover its dues and under old policy (up to March 2004), the arrears are of Rs 1,346 crores,” he said.

The municipal commissioner has expected to receive Rs 154 crores but in his budget estimate Chandolia increased it by Rs 121 crores and said the total recovery of property tax arrears will be Rs 275 crores.