TN: Govt puts limits on funds to be sanctioned by the local bodies

CHENNAI, Tamil Nadu: The Government of Tamil Nadu has set monetary limits for the authorities of the local bodies in sanctioning capital works under the state and central government funds, state and central finance commission, and external aided funds with or without contribution from the corporations.

The Greater Chennai Corporation has the authority to accord sanction if the estimated value for capital and development works is ₹5 crore and if the funds exceed more than that, the government will be the competent authority.

The local bodies have also been classified into different grades for an effective administration based solely on the population of a municipal corporation- Special grade (exceeding ₹10 lakh), Selection grade (exceeding ₹5 lakh but not exceeding ₹10 lakh), First grade (exceeding ₹3 lakh but not exceeding ₹5 five lakh) and Second grade (not exceeding ₹3 lakh).

Similarly, the municipalities will be classified based on the annual income for the last three years. It will be divided into Special grade (exceeding ₹15 crore), Selection (exceeding ₹9 crore but less than ₹15 crore), First (exceeding ₹6 crore but not exceeding ₹9 crore), and Second grade (not exceeding ₹6 crore).  

The town panchayats will be classified into Special grade (exceeding ₹2 crore), Selection (exceeding ₹1 crore but not exceeding ₹2 crore), First (exceeding ₹50 lakh but not exceeding ₹1 crore), and Second grade (not exceeding ₹50 lakh). 

The number of councilors for each corporation, municipality, and town panchayat will be fixed based on the recommendation of the Delimitation Commission and accepted by the government.