Goa State Commission proposes Climate Change Fund for ULBs

PANAJI, Goa: The third state finance commission recommended the involvement of the local bodies in managing climate change, GST impact, and financial assistance to handle solid waste management in the state.
The commission submitted its final report to the Chief Minister of Goa Pramod Sawant.

“Goa government is committed to act on these recommendations in order to strengthen the rural and urban local bodies for effective delivery of services to the people of Goa,” Sawant stated.

The state cabinet accepted major proposals of the interim report, including the introduction of professional tax by local bodies, and the development of customised accounting software for the real-time monitoring of accounts and expenditures of local bodies.

The commission also recommended that the government make amendments to the Code of Comunidades for the lease of land to urban and rural local bodies.

It further recommended the devolution of funds in both revenue and capital- approximately 10 per cent of Goa’s tax revenue, as well as the continuation of the existing devolution during the period from 2024-25 to 2028-29.

The commission has suggested an additional budget provision of Rs 50 crore per year, with an annual increase of 10 per cent to compensate local bodies in lieu of revenue forgone due to the implementation of GST. It also recommended a climate change fund of Rs 10 crore per year for the local bodies.