Kerala government kicks off austerity steps to tide over financial crisis – TOI Mobile #ford


#kerala finance department

#

Kerala government kicks off austerity steps to tide over financial crisis

Oct 13, 2013, 05.03AM IST TNN

THIRUVANANTHAPURAM: The state government has issued an order detailing the austerity measures to be strictly followed by government departments and public sector units to tide over the financial crunch in government coffers.

The order issued by additional chief secretary (finance) V Somasundaran has put curbs on creation of new posts, introduced restrictions on deputation of officers to field departments, announced a strict review to decide on fate of over 30,500 temporary posts pending regularisation and given directions to all government departments/organisations to cut down expenditure and increase the revenue augmentation.

The state cabinet had on Thursday reviewed the financial condition of the state. Though chief minister Oommen Chandy and finance minister K M Mani ruled out any severe financial crisis, they said the government would introduce certain measures — including restrictions on foreign trips — to cut down expenditure and increase revenue realization.

“An intensive drive for collecting revenue arrears will be taken up immediately. All unconditional stay orders passed by the government in respect of tax and non-tax revenue items are vacated with effect from 11/10/2013. In future, no unconditional stay order will be passed. Installment facilities will be granted only on payment of a minimum 30% of the arrears on demand, the maximum number of installments will not exceed 10. Urgent action will be taken in consultation with the advocate general and others concerned for moving the courts for vacation of stay orders ordered by court in respect of tax and non-tax revenue items. Directions will be issued by heads of departments to departmental appellate authorities to dispose of within three months all cases in which stay orders have been passed by such authorities,” the order issued by additional chief secretary (finance) has said.

According to the order, a committee chaired by the chief secretary and comprising additional chief secretary (finance), secretary (taxes), secretary ( finance expenditure), secretary (revenue) and additional chief secretary (forest) will examine all pending proposals for augmenting tax and non-tax revenue and furnish recommendations to the cabinet in two weeks.

“No additional posts should be created without the concurrence of finance department till 31/3/2014. In future, deputations will be allowed only if the department concerned can spare the service of the employee. If an officer or employee is deputed to another department/organisation, the resultant vacancy will not be filled up. As a policy, deputation of officers from government departments to PSUs and autonomous bodies to handle administrative, financial and legal functions will be discontinued. Such organisations will be allowed to fill up these posts with candidates eligible for the posts,” said the order.

According to the order, a committee chaired by finance secretary would review the need for continuance of 30,500 temporary posts and the committee report would be placed in the cabinet in a month. Foreign travels will be restricted to those connected with approved projects and prior commitments. Department working groups will not be allowed to sanction foreign travel, said the order.

As far as possible, hired vehicles will be used in place of department vehicles and for all new establishments only hired vehicles will be sanctioned. Similarly, additional authorisation and demands for supplementary grant will be allowed only with the concurrence of financial department. All departments should take effective steps for the timely implementation of plan schemes to avoid bunching of expense in the last quarter of financial year, the order has said.Thiruvananthapuram: State government has issued an order detailing the austerity measures to be strictly followed by government departments and Public Sector Units to tide over the financial crunch in government coffer.

The order issued by additional chief secretary (finance) V Somasundaran put curbs on creation of new posts, introduced restrictions in deputation of offices to field departments, announced a strict review to decide on fate of over 30500 temporary posts pending regularisation and gave directions to all government departments/organisation to cut down expenditure and increase the revenue augmentation.

The state cabinet on Thursday reviewed the financial condition of the state. Though Chief Minister Oommen Chandy and Finance Minister K M Mani ruled out any severe financial crisis, they said the government would introduce certain measures, including restrictions on foreign trips, to cut down expenditure and increase revenue realisation.

An intensive drive for collection of revenue arrears will be taken up immediately. All unconditional stay orders passed by the government in respect of tax and non-tax revenue items are vacated with effect with from 11/10/2013. In future, no unconditional stay order will be passed. Instalment facilities will be granted only on payment of a minimum 30 per cent of the arrears on demand, the maximum number of instalments will not exceed 10. Urgent action will be taken in consultation with the Advocate General and others concerned for moving the courts for vacation of stay orders ordered by court in respect of tax and non-tax revenue items. Directions will be issued by heads of departments to departmental appellate authorities to dispose-off within three months all cases in which stay orders have been passed by such authorities”, the order issued by additional chief secretary (finance) said.

According to the order, a committee chaired by the Chief Secretary and comprising additional chief secretary (finance), secretary (taxes), secretary ( finance expenditure) ,secretary (revenue) and additional chief secretary (forest) will examine all pending proposals for augmenting tax and non-tax revenue and furnish recommendations to the cabinet in two weeks.

No additional posts should be created without the concurrence of finance department till 31/3/2014. In future, deputations will be allowed only if the department concerned can spare the service of the employee. If an officer or employee is deputed to another department/organisation, the resultant vacancy will not be filled up. As a policy, deputation of offices from government departments to PSU’s and autonomous bodies to handle administrative, financial and legal functions will be discontinued. Such organisations will be allowed to fill up these posts with candidates eligible for the posts’, said the order.

According to the order, a committee chaired by Finance Secretary would review the need for continuance of 30500 temporary posts and the committee report would be placed in the cabinet in a month. Foreign travels will be restricted to those connected with approved projects and prior commitments. Department working groups will not be allowed to sanction foreign travel, said the order.

As far as possible, hired vehicles will be used in place of department vehicles and for all new establishments only hired vehicles will be sanctioned. Similarly, additional authorisation and demands for supplementary grant will be allowed only with the concurrence of financial department. All department should take effective steps for the timely implementation of plan schemes to avoid bunching of expense in the last quarter of financial year, the order said.


Leave a Comment

Your email address will not be published. Required fields are marked *