NEW DELHI: As the current financial year enters the final lap, Delhi government’s finance department has advised other divisions, in want of additional funds for the works or projects which can’t be postponed, to send their proposals for reappropriation.
The departments, seeking reappropriation, will need to justify their demand by submitting supporting documents and reasons. As per the circular issued by Manju Sahoo, Joint Director (Budget) of the finance department last week, the departments can send their proposals by February 5.
However, the order cautions against requesting for ‘unnecessary’ reappropriation.
“The issues of reappropriations or supplementary grants, after the revised (budget) estimates should not be there except the requirement arisen subsequent to issuance of revised estimates. With regard to the previous financial year(s), the audit has made observations that reappropriations were made unnecessarily as the departments were not able to even utilise fully their existing grants… the department while submitting the proposals for the reappropriations should ensure that the entire funds being proposed will be utilised before the closing of the financial year. The reasons for additional funds should be specific with supporting documents,” says the order.
Another condition to request for additional requirement of funds over the allocation made in revised estimates 2020-21 is that the department will provide the ‘matched savings’.
“For this purpose, the departments will provide the matching savings and further such reappropriation should be in exceptional cases where the expenditure cannot be further postponed,” the circular reads.
Following the order, the departments have asked the heads of sections and subdivisions to send their proposals for reappropriation accordingly.
“The heads of all divisions have been directed to send the proposals to the concerned officers with specific reasons and supporting documents ensuring that the entire funds being proposed will be utilized before the closing of the financial year, which will be forwarded to the finance department. It is obvious the instructions as issued by the finance (department) should be strictly observed and all formalities must be followed while incurring expenditure,” said a government official.
Meanwhile, preparations for the upcoming budget have begun; all departments have started to plan their revised estimates and additional funds they require. Meetings are being convened to review expenditure and budgetary requirements.