The Housing and Urban Development department has slammed at least 30 urban local bodies for non-submission of utilisation certificates (UCs) and cautioned them against tardy progress, which will cost them funds for operation.
At least 11 municipalities and 19 NACs have been found to be lagging in submission of UCs over a four- year period. From 2008-09 to 2011-12, their submission is less than 75 per cent.
Principal Secretary Injeti Srinivas shot off a letter to executive officers of these ULBs stating that below 75 per cent submission is categorised as under-average as per the rating scale. In the face of the pending utilisation certificates, the release of funds will not be possible on the part of the department, the letter said.
The department has been time and again asking the ULBs for undertaking a special drive for utilisation of funds and submission of the UCs under various plan and non-plan schemes, excluding the compensation in lieu of abolition of octroi tax.
As a result of their poor performance, the 30 ULBs may face possible curtailment of funds as the department said it will not be possible to release funds till the minimum threshold limit of 75 per cent. “If you are unable to reach the benchmark by mid-July, your entitlement will be reduced by 50 per cent and the same shall be diverted to the ULBs that have performed well,” Srinivas’ letter said.