City Development Plan - Municipal

municipality.tn.gov.in

City Development Plan - Municipal

SEPTEMBER 2009

S S T A G E ññ IV

C L U S S T T E E R R ññ VV

Submitted by:

Tamil Nadu Urban Infrastructure

Financial Services Limited (TNUIFSL)

Final Report

for

City Corporate cum Business Plan

for

Thiruvathipuram Town

(Thiruvannamalai District)

Voyants Solutions Pvt. Ltd

Level ñ 4, ìDiamond Duneî

323, P.H. Road, Chennai ñ 600 029

Tele: 044 4269 8584 Fax: 044 2668 1180

E-mail: vsplchennai@voyants.in


Final Report City Corporate Cum Business Plan

EXECUTIVE SUMMARY ñ THIRUVATHIPURAM MUNICIPALITY

1. CITY CORPORATE CUM BUSINESS PLAN ñ CONTEXT and CONTENT

The Tamil Nadu Urban Infrastructure Financial Services (TNUIFSL) aims to assist

municipality in strengthening and improving its financial position for effective capital

investment management and urban service delivery. The CMA and TNUIFSL have

initiated the process of preparing the CCCBP for the municipality to enhance the vision

of stakeholders in the growth of the town. The objective of this study is

1. To assess the present status of infrastructure facilities available in the ULB and to

suggest a comprehensive infrastructure plan with capital investment plan to meet

the future needs.

2. To outline issues in revenue realization in the ULB and suggest measures for

revenue enhancement & financial improvement in the ULB

3. In consultations with Stake holders and Council, suggest Action Plan and FOP to

implement the infrastructure plan.

2. SWOT and VISION

Thiruvathipuram, a Grade II Municipality located on the bank of the Cheyyar River in

Tiruvannamalai district at 96 km northeast of Chennai. The area of the town is 10.76 sq.

km and the population is 35201as per census 2001. The latitude and longitude of this

town are 79 35í east and 12 4í north respectively.

Thiruvathipuram is now fast emerging as an industrial hub with SIPCOT industrial estate

and other Special Economic Zones attracting huge investments and employment

opportunities. Next to Sriperumpudur and Oragadam, Thiruvathipuram is one of the

preferred investment destinations.

The predominant occupation of the people in Thiruvathipuram is Agriculture, Agro

based industries, weaving and dyeing. The Co-operative sugar mill in Thiruvathipuram is

the largest sugar mill in the country.

A town level SWOT analysis, with reference to its regional context has been done based

on feedback from stakeholder workshops and analysis of the status of various sectors of

the city.


SWOT Analysis for Thiruvathipuram Municipality

Strength Weakness

Strategic location on Arcot -Vandavasi State Pollution due to the dying effluents disposed

Highway

into the Cheyyar River

Good connectivity by road with the nearby Absence of recreational facilities like park and

urban centers

play ground.

Traffic congestion due to encroachments on

Town located on the bank of River Cheyyar roads

Presence of one of the largest sugar mills in Poor road surfaces leading to dusty / unsafe

India

conditions.

Strong Industrial Base - SIPCOT Industrial

Complex and SEZ Need for good quality affordable housing

Preferred investment destination next to

Sriperumpudur and Oragadam

Tremendous employment to hinter land

Rapid and sporadic development due to

unguided development

Oppurtunities Threat

Availability of cheap, unskilled and semi skilled

labours.

Loss of Agricultural land due to Industrial

Establishments

Availability of land for future development Rapid population growth due to immigration

Threat to natural water bodies - sand

Opportunity to develop Hand loom Industries quarrying, pollution.

Opportunity to develop a milk based product Town requires significant investments in basic

units and Vetinery health centers

Source : Feedback from stakeholders meeting and analysis.

infrastructure

The town of Thiruvathipuram is visualized as ëAn economically sustainable town, providing

better quality of life and safe environment to all sectors of the society í.

Supporting this vision is a set of development objectives, defined along various sectors of

infrastructure. It covers the current status, issues in the sector, likely future demand,

strategies for improvement and identified projects to meet these objectives. The sectors

covered in the report for Thiruvathipuram include water supply, sewerage and

sanitation, solid waste management, storm water drains, street lights, slum improvement

and other remunerative and social projects.

3. CITY INVESTMENT PLAN

The summary of sector-wise investment requirements and prioritisation is given in the

following table. The total investment required would be over Rs. 6884.31 lakhs.

Capital Investment Needs for Thiruvathipuram

Sl.No Description

Estimated Cost

(Rs.in Lakhs)

1 Water supply 501.00

2 Sewerage 2436.01

3 Stormwater drain 849.00

4 Solid Waste Management 413.50

5 Roads 1540.00

6 Bus Stand ñ construction of shops 50.00

7 Street light 50.80


8 Slum 270.00

9 School 68.00

10 Medicare 20.00

11 Park Improvements 25.00

12 Market reconstruction with parking 235.00

13 Public Convenience 36.00

14 Burial ground 130.00

15 Shopping complex 135.00

16 E-Governance 15.00

17

GIS Mapping for Comprehensive

Property Database 22.00

18 Mobile tax collection vehicle 10.00

Construction of New municipal office

78.00

19 building

Total 6884.31

4. FINANCIAL PERFORMANCE OF THIRUVATHIPURAM MUNICIPALITY

The summary of the financial status of Thiruvathipuram municipality is as follows:

It is observed that the Municipality has shown deficit in all the years except 2003-

04. The surplus in 2003-04 is because of higher contribution in the form of Grants

and Devolution Funds. Prior to depreciation, the Municipality has shown surplus in

all the years. Thus the deficit incurred is mainly on account of depreciation which

is around Rs. 40-50 lacs per annum. But the Municipality needs to undertake lot of

fiscal reforms and full leverage of its assets over the next few years to improve its

financial strength and thereby undertake new projects.

The average current collection efficiency of the municipality is low in case of

property tax and water charges @ 60% and 68% respectively and good in case of

profession tax and non tax revenue @ 90% and 95% respectively. The arrears

collection performance is also poor.

The broad financial analysis of the Thiruvathipuram Municipality finances reveal

that the Municipality has to necessarily increase its own sources of income and

collection efficiency for servicing the additional borrowings in the future.

Though the Municipality borrowings are around Rs. 167 lacs, it is quite high

considering other factors. The municipality can resort to further borrowings for new

project identified only based on the additional income to be generated.

To summarise, the overall income pattern of the Thiruvathipuram Municipality indicates

both positive and negative features. The positive trends are on the income side, where

the Municipality has higher growth rate in income than growth in expenditure. Besides

the municipality has shown surplus prior to depreciation in all the years.


5. PROPOSED REFORMS

The proposed mandatory municipal reforms are broadly classified under the heads of:

a. Reforms in resource mobilization

i. Reforms in Taxation

Property mapping - Onetime assessment of all unassessed and under assessed

properties.

Regular and periodic increment of property tax at the rate of 15% every 5

years

ii. Improving revenue from user charges

The Municipal council may assume charge of increase in water charges, to

recover full O&M Cost of water supply and UGSS.

Increase in the connections to at least 85% of total assessments.

Pre-mobilization of deposits for the proposed WS or UGSS project

Implementation of Conservancy fee for SWM for hotels, marriage halls,

industries and other commercial establishments

Revenue Generation from sale of compost and scrap.

Reforms in Energy and Resource efficiency

Conducting energy audits, leak detection studies, Enforce regulations on

illegal tapping of water, Fixing flow control valves and meters.

Provision of energy saving lights and equipments, Privatizing the maintenance

of street lights to ESCO companies.

iii. Formation of new sustainable revenue sources

The remunerative proposals idenfied are

o Bus stand Improvement

Office buildings at the First floor of the main building (bank or office)

o Reconstruction of market with shops at Ground floor and first floor

o Parking area at market

o Construction of Shopping complex in front of the daily market

o Construction of shopping complex in front of the municipal office

iv. Reforms in Audit and Accounting

Timely auditing of accounts - August 30th of next fiscal year

Appointing a private Chartered Accountant as consultant

Publishing audited statement in municipal website - September 30th of next

fiscal year

v. Regular and mandatory capacity buildings sessions for elected representatives

& municipal officials


6. BORROWING AND INVESTMENT CAPACITY

The borrowing and investment capacities of the town are arrived considering the

revenue income and expenditure under the sustainable scenario, after implementation

of the mandatory reforms proposed in this report.

The investment capacity for the sustainable scenario can be summed up as below:

Summary of Borrowing and Investment Capacity

Description Base case Scenario 1 Sustainable Scenario 2

Borrowing Capacity Rs. 1322.39 lacs -

Investment Capacity (BC/0.04) Rs. 5289.57 lacs -

Investment Requirement - Rs. 6884.31 lacs

Sustainable Investment Capacity % - IC / IR - -ve

The investment capacity of Thiruvathipuram Municipality on ëAs is Where Basisí works

out to Rs. 5290 lacs.

The investment capacity of Thiruvathipuram Municipality works to Nil in case of

Scenario II with all projects identified in CCP taken in to consideration.

Thus it can be inferred that the Municipalityís financials are very weak in the long run

to undertake new projects.

The investment capacity has got reduced from Rs. 5290 lacs in Scenario I (As is Where

Basis) to Rs. Nil in Scenario II (with all projects), mainly on account of high operation &

maintenance in case of certain projects.

The operation and maintenance expenses of the following new projects are very

high:

Project O&M per annum (Rs. in lacs)

Underground Sewerage 121.80

Roads 77.00

Strom Water Drains 42.45

Total 241.25

The high operation & maintenance expenses of the above three projects is resulting

in negative cashflows for the Municipality as a whole and thereby affecting its

investment capacity.

Based on the above, it can be inferred that the Municipality can take up all the

smaller projects identified in the CCP if the above three projects are not taken in to

consideration and as given below :


Projects Identified for Implementation based on financial position

S.N. Particulars Total Priority

Means of

Finance

A Physical Infrastructure Facilities L : G : M

I Water Supply

a) Improvements to Water Supply 501.00 A 60:30:10

II Solid Waste Management

a) Cost of land fill site & compost yard 95.50 A 100% Grant

b) Land fill site & compost yard development 245.00 A&B 0:50:50

c) Vehicles & Equipments for collection 73.00 A 0:50:50

III Bus Stand

a) Office Building in First Floor 50.00 A 70:00:30

IV Street Lights

a) High Mast Lights 27.00 A 100% Grant

b) Proposed New Lights 10.00 A 100% ULB

c) Retrofitting & energy saving lights 13.80 A ESCO

B Social Infrastructure Facilities

I Slum Improvement

a) Improvements to Slums 270.00 B 0:90:10

II Education

a) Improvements to Schools 68.00 B 100% ULB

III Parks & Playgrounds

a) Improvement of parks 25.00 B 0:50:50

IV Burial Ground / Crematorium

a)

Improvement to Burial Ground with Gasifier

- Kamaraj Nagar 70.00 A 0:50:50

b) Burial Ground improvements 60.00 B 0:90:10

V Market

a) Ground Floor Shops 100.00 A 90:0:10

b) First Floor and Second Floor 130.00 A 90:0:10

c) Parking Area 5.00 A BOOT

VI Shopping Complex

a) Shopping Complex in front of Daily Market 55.00 A 90:0:10

b)

Shopping Complex in front of Municipal

Office 80.00 A 90:0:10

VII Medicare

a) Medicare 20.00 A 0:50:50

VIII Public Convenience

Public Convenience 36.00 B 0:50:50

C Other Projects

I Buildings

a)

Construction of New Municipal Office

Building 78.00 A 90:00:10

II Vehicles

a) Mobile Tax Collection Vehicle 10.00 A 100% ULB

III E-Governance

a) E-Governance 15.00 C 100% Grant

III Updation of Database on GIS platform

a) Property mapping 5.00 A 0:90:10

b) GIS data base 17.00 C 0:90:10

Total 2059.30

Yr 1 Yr 2 Yr 3 Yr 4 Yr 5


TABLE OF CONTTENTSS

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Final Report: Thiruvathipuram Municipality

11 BBAACCKGRROUND AAND MEETTHODOLLOGIICCAALL FFRRAAMEEWORRK OFF TTHEE SSTTUDYY ............... 10

1.1 BACKGROUND ............................................................................................................................. 10

1.2 OBJECTIVES .................................................................................................................................. 10

1.3 SCOPE OF WORK: ......................................................................................................................... 10

1.4 STAGE III: DRAFT FINAL STAGE ........................................................................................................ 12

1.5 PRESENTATION AND DISCUSSION WITH REVIEW COMMITTEE ........................................... 12

1.6 DISCUSSION WITH STAKEHOLDERS ................................................................................................... 14

22 TTOWN PPRROFFIILLEE ................................................................................................................ 15

2.1 THIRUVATHIPURAM. . . TOWN PROFILE ........................................................................................ 15

2.2 REGIONAL CONNECTIVITY ..................................................................................................... 15

2.3 HISTORY OF THE MUNICIPALITY .............................................................................................. 15

2.4 POPULATION CHARACTERISTICS ..................................................................................................... 16

2.4.1 POPULATION DISTRIBUTION ............................................................................................................ 16

2.4.2 POPULATION GROWTH .................................................................................................................. 17

2.4.3 POPULATION PROJECTIONS ........................................................................................................... 17

2.4.4 POPULATION DENSITY .................................................................................................................... 18

2.4.5 SLUM POPULATION ........................................................................................................................ 18

2.4.6 SEX RATIO .................................................................................................................................... 18

2.4.7 LITERACY ...................................................................................................................................... 18

33 EECCONOMIICC DEEVVEELLOPPMEENTT AAND PPHYYSSIICCAALL PPLLAANNIING.......................................... 19

3.1 URBAN ECONOMIC DEVELOPMENT ..................................................................................... 19

3.1.1 OCCUPATIONAL PATTERN ............................................................................................................. 19

3.2 PHYSICAL PLANNING .............................................................................................................. 20

3.2.1 PHYSICAL GROWTH TREND ............................................................................................................ 20

3.2.2 LAND USE ANALYSIS ...................................................................................................................... 20

3.2.3 LAND RATES .................................................................................................................................. 23

3.3 GROWTH MANAGEMENT ISSUES ........................................................................................... 23

44 SSTTAAKEEHOLLDEERRSS CCONSSULLTTAATTIIONSS .............................................................................. 24

4.1 CITY OPINION SURVEY ................................................................................................................... 24

4.2 KEY ISSUES HIGHLIGHTED IN THE CONSULTATION MEETING ............................................................... 24

4.3 SECTOR PRIORITISATION ................................................................................................................. 24

4.3.1 PHYSICAL INFRASTRUCTURE PRIORITY .............................................................................................. 25

4.3.2 SOCIAL INFRASTRUCTURE PRIORITY: ................................................................................................. 25

4.3.3 ENVIRONMENTAL ISSUES ................................................................................................................ 26

55 VVIISSIION AAND SSTTRRAATTEEGIICC PPLLAAN ...................................................................................... 27

5.1 TOWN LEVEL SWOT .................................................................................................................. 27

5.2 VISION FORMULATION ............................................................................................................ 28

5.3 STRATEGY OPTION FOR ECONOMIC DEVELOPMENT ........................................................ 28

66 HOUSSIING AAND SSLLUMSS .................................................................................................... 31

6.1 EXISTING HOUSING SCENARIO ........................................................................................................ 31

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Final Report: Thiruvathipuram Municipality

6.1.1 HOUSING CONDITION ................................................................................................................... 31

6.1.2 HOUSING STOCK .......................................................................................................................... 31

6.1.3 EXISTING HOUSING DEMAND- SUPPLY GAP .................................................................................... 32

6.2 EXISTING SLUM SCENARIO ............................................................................................................. 32

6.2.1 SLUM POPULATION ........................................................................................................................ 33

6.2.2 SLUM PROFILE ............................................................................................................................... 34

6.2.3 SLUM IMPROVEMENT PROGRAMMES .............................................................................................. 34

6.2.4 ISSUES ........................................................................................................................................... 34

6.3 CONCLUSION ............................................................................................................................... 35

77 IINSSTTI ITTUTTIIONAALL FFRRAAMEEWORRK ...................................................................................... 36

7.1 ELECTED COUNCIL .................................................................................................................. 36

7.2 EXECUTIVE WING ..................................................................................................................... 37

7.2.1 GENERAL ADMINISTRATION ........................................................................................................... 37

7.2.2 HEALTH SECTION ........................................................................................................................... 37

7.2.3 ENGINEERING SECTION ................................................................................................................. 38

7.2.4 TOWN PLANNING SECTION ............................................................................................................ 38

7.2.5 ACCOUNTS SECTION ..................................................................................................................... 38

7.3 CITIZENíS CHARTER ....................................................................................................................... 38

7.4 INFORMATION CENTRE .................................................................................................................. 38

7.5 STAFF STRENGTH POSITION AND VACANCY POSITION ....................................................................... 39

7.6 ADDITIONAL STAFF REQUIREMENT: .................................................................................................. 40

7.7 INSTITUTIONAL FRAMEWORK FOR SERVICE DELIVERY ........................................................ 40

7.8 ORGANIZATION MANAGEMENT ..................................................................................................... 41

88 URRBBAAN IINFFRRAASSTTRRUCCTTURREE AAND SSEERRVVIICCEESS ................................................................ 42

8.1.1 WATER SUPPLY.............................................................................................................................. 42

8.1.2 EXISTING SCENARIO FOR WATER SUPPLY IN THIRUVATHIPURAM ......................................................... 42

8.1.3 SOURCES AND TREATMENT ............................................................................................................. 43

8.1.4 STORAGE AND DISTRIBUTION NETWORK .......................................................................................... 43

8.1.5 DEMAND SUPPLY SCENARIO .......................................................................................................... 44

8.1.6 ISSUES IN WATER SUPPLY SECTOR ................................................................................................... 45

8.2 SEWERAGE AND SANITATION...................................................................................................... 46

8.2.1 SEWERAGE ................................................................................................................................... 46

8.2.2 SANITATION .................................................................................................................................. 46

8.2.2.1 ISSUES IN SEWERAGE AND SANITATION PROVISION .......................................................................... 47

8.2.3 STORM WATER DRAINAGE ............................................................................................................. 47

8.2.3.1 EXISTING CONDITION OF STORM WATER DRAINAGE ....................................................................... 47

8.2.3.2 DRAINAGE CONNECTIVITY ............................................................................................................ 48

8.2.3.3 ISSUES IN STORM WATER AND HOUSEHOLD DRAINAGE PROVISIONS ................................................. 48

8.2.4 SOLID WASTE MANAGEMENT ........................................................................................................ 48

8.2.4.1 EXISTING STATUS: ........................................................................................................................... 48

8.2.4.2 COLLECTION OF SOLID WASTE ...................................................................................................... 49

8.2.4.3 TRANSPORTATION FACILITIES .......................................................................................................... 50

8.2.4.4 DISPOSAL OF SOLID WASTE ........................................................................................................... 51

8.2.4.5 ISSUES IN SOLID WASTE MANAGEMENT ........................................................................................... 51

8.2.5 STREET LIGHTING ........................................................................................................................... 51

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Final Report: Thiruvathipuram Municipality

8.2.5.1 STATUS OF STREET LIGHTING ........................................................................................................... 51

8.2.5.2 ISSUES IN STREET LIGHTENING PROVISIONS ....................................................................................... 52

8.2.6 TRAFFIC AND TRANSPORTATION ..................................................................................................... 52

8.2.6.1 REGIONAL LINKAGES- ROADS........................................................................................................ 52

8.2.6.2 TOWN LEVEL ROAD NETWORK AND HIERARCHY ............................................................................. 53

8.2.6.3 PARKING ...................................................................................................................................... 53

8.2.6.4 PEDESTRIAN PATHS ........................................................................................................................ 53

8.2.6.5 PUBLIC TRANSPORT SYSTEM ............................................................................................................ 53

8.2.6.6 ISSUES IN TRAFFIC AND TRANSPORTATION SECTOR ........................................................................... 54

8.2.7 SOCIAL INFRASTRUCTURE FACILITIES ................................................................................................ 54

8.2.8 EDUCATIONAL FACILITIES ............................................................................................................... 54

8.2.8.1 ISSUES IN EDUCATIONAL INSTITUTIONS .............................................................................................. 55

8.2.9 EXISTING STATUS OF HEALTH FACILITIES ........................................................................................... 55

8.2.9.1 ISSUES IN HEALTH SERVICE PROVISIONS ........................................................................................... 55

8.2.9.2 PROPOSED PROJECTS COST FOR MATERNITY CENTER. ...................................................................... 55

8.2.10 PARKS AND PLAY FIELDS ................................................................................................................. 56

8.2.11 MARKETS ...................................................................................................................................... 56

8.2.12 SLAUGHTER HOUSE ....................................................................................................................... 56

8.2.12.1 ISSUES: .......................................................................................................................................... 56

8.2.13 BURIAL GROUND .......................................................................................................................... 56

8.2.13.1 ISSUES: .......................................................................................................................................... 56

99 MUNIICCIIPPAALL FFIINAANCCEE ..................................................................................................... 57

9.1 OVERVIEW ................................................................................................................................ 57

9.2 GENERAL DETAILS .................................................................................................................... 57

9.3 RECEIPTS .................................................................................................................................... 57

9.3.1 PROPERTY TAX .............................................................................................................................. 57

9.3.2 PROFESSION TAX ........................................................................................................................... 58

9.3.3 ASSIGNED REVENUES..................................................................................................................... 59

9.3.4 REVENUE DEVOLUTION FUNDS IN AID OF REVENUE EXPENDITURE ....................................................... 60

9.3.5 WATER CHARGES ......................................................................................................................... 60

9.3.6 DRAINAGE CHARGES ................................................................................................................... 62

9.3.7 SERVICE CHARGES & FEES ............................................................................................................ 62

9.3.8 INCOME FROM PROPERTIES & OTHER INCOME ............................................................................... 62

9.4 EXPENDITURE ............................................................................................................................ 63

9.4.1 ESTABLISHMENT EXPENSES .............................................................................................................. 63

9.4.2 O&M EXPENSES ñ WATER SUPPLY ................................................................................................. 63

9.4.3 O&M EXPENSES ñ STREET LIGHTS & OTHERS ................................................................................... 64

9.4.4 ADMINISTRATION & OTHER EXPENSES ............................................................................................. 64

9.5 SUMMARY OF FINANCES ........................................................................................................ 64

9.6 KEY FINANCIAL INDICATORS .................................................................................................. 68

9.6.1 RESOURCE MOBILISATION INDICATORS ........................................................................................... 68

9.6.2 FUND APPLICATION INDICATORS .................................................................................................... 68

9.6.3 LIABILITY MANAGEMENT INDICATORS ............................................................................................. 69

9.6.4 OVERALL FINANCIAL PERFORMANCE INDICATORS .......................................................................... 69

9.6.5 EFFICIENCY INDICATORS ................................................................................................................ 70

9.6.6 MEASURES TO BE TAKEN FOR IMPROVING COLLECTION EFFICIENCY ................................................ 70

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Final Report: Thiruvathipuram Municipality

1100 CCAAPPI ITTAALL IINVVEESSTTMEENTT NEEEEDSS FFORR IIDEENTTIIFFIIEED PPRROJJEECCTTSS .................................. 72

10.1 PHYSICAL INFRASTRUCTURE - IMPROVEMENT NEEDS ........................................................................ 73

10.1.1 WATER SUPPLY: ............................................................................................................................ 73

10.1.2 SEWERAGE SYSTEM........................................................................................................................ 74

10.1.3 DRAINAGE ................................................................................................................................... 74

10.1.4 SOLID WASTE MANAGEMENT ........................................................................................................ 74

10.1.5 STREET LIGHT ................................................................................................................................. 76

10.1.6 ROADS AND TRANSPORTATION....................................................................................................... 77

10.1.7 EDUCATIONAL INSTITUTIONS ........................................................................................................... 77

10.1.8 HEALTH FACILITIES ......................................................................................................................... 78

10.1.9 PARKS AND PLAY GROUND ........................................................................................................... 78

10.1.10 MARKET DEVELOPMENT ................................................................................................................. 79

10.1.11 BURIAL GROUND DEVELOPMENT ................................................................................................... 79

10.1.12 SLUM IMPROVEMENT ..................................................................................................................... 79

10.1.13 SYSTEM IMPROVEMENT AND E-GOVERNANCE ................................................................................ 80

10.2 OTHER DEPARTMENT PROJECTS ...................................................................................................... 80

1111 RRIISSK AAND MIITTIIGAATTIION MEEAASSURREESS .............................................................................. 83

11.1 PROJECT RISK AND MITIGATION MEASURES ..................................................................................... 83

1122 RREEFFOORRMSS AAND AACCTTIION PPLLAAN........................................................................................ 87

12.1 PRESENT SCENARIO IN URBAN REFORMS .......................................................................................... 87

12.2 PROPOSED INTERVENTIONS AT STATE LEVEL ...................................................................................... 88

12.3 PROPOSED INTERVENTION AT MUNICIPAL LEVEL .............................................................................. 91

12.4 REFORMS IN RESOURCE MOBILISATION ........................................................................................... 91

12.4.1 ACTION PLAN: IMPROVING REVENUE FROM OWN SOURCES ............................................................ 91

12.4.2 ACTION PLAN: IMPROVING REVENUE FROM USER CHARGES ............................................................ 93

12.4.3 ACTION PLAN: FORMATION OF NEW SUSTAINABLE REVENUE BASES ................................................... 94

12.4.4 ACTION PLAN: PRIVATISATION INITIATIVES ....................................................................................... 95

12.4.5 ACTION PLAN: ENERGY & RESOURCE EFFICIENCY ........................................................................... 97

12.4.6 ACTION PLAN: COMPUTERIZATION AND E-GOVERNANCE ............................................................... 98

12.4.7 ACTION PLAN: ACCOUNTS AND AUDITING .................................................................................... 99

12.4.8 ACTION PLAN: INSTITUTIONAL MANAGEMENT ............................................................................... 100

12.4.8.1 CAPACITY BUILDING FOR ELECTED REPRESENTATIVES AND COMMITTEE MEMBERS ............................ 100

12.4.8.2 CAPACITY BUILDING FOR ULB STAFF ............................................................................................ 101

12.5 REFORMS IN MUNICIPAL SERVICE DELIVERY .................................................................................. 104

1133 AASSSSEETT MAANAAGEEMEENTT PPLLAAN ........................................................................................ 105

13.1 ACTIVITIES OF ASSET MANAGEMENT PLAN (AMP) ............................................................ 105

13.2 INFRASTRUCTURE ASSETS ...................................................................................................... 106

13.3 MOVABLE AND IMMOVABLE ASSETS ............................................................................................. 106

13.4 PRIORITY ASSET MANAGEMENT OPTIONS .......................................................................... 107

13.5 PROPOSED NEW ASSETS ....................................................................................................... 109

1144 FFI INAANCCIIAALL AAND OPPEERRAATTIING PPLLAAN ........................................................................... 111

14.1 CAPITAL INVESTMENT PLAN.......................................................................................................... 111

14.2 OTHER PROJECTS AND ON GOING PROJECTS ............................................................................. 113

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Final Report: Thiruvathipuram Municipality

14.3 MEANS OF FINANCE ................................................................................................................... 114

14.4 FINANCIAL SUSTAINABILITY ........................................................................................................... 119

14.5 BASIC ASSUMPTIONS FOR PROJECTIONS: ...................................................................................... 120

14.5.1 INCOME ..................................................................................................................................... 120

14.5.2 EXPENDITURE .............................................................................................................................. 125

14.5.3 COLLECTIONS ............................................................................................................................. 127

14.5.4 ANNUITY FACTOR ....................................................................................................................... 127

14.6 PROJECT CASH FLOWS AND FOP RESULTS : ................................................................................. 128

14.7 IMPACT OF POTENTIAL IMPROVEMENTS ......................................................................................... 135

14.8 SCENARIO - I ESTIMATION OF INVESTMENT CAPACITY ON AS IS WHERE BASIS .................................... 136

14.9 SCENARIO - II ESTIMATION OF BORROWING AND INVESTMENT CAPACITY WITH PROJECTS ................. 136

14.10 KEY INDICATORS OF SCENARIO II .................................................................................................. 137

14.11 INFERENCE .................................................................................................................................. 137

AANNEEXXURREE .............................................................................................................................. 140

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LLIISSTT OFF FFIIGURREESS

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Final Report: Thiruvathipuram Municipality

Figure 2-1: Location Map of Thiruvathipuram Municipality ................................................ 16

Figure 2-2: Decadal trend of population growth ................................................................. 17

Figure 3-1: land use pattern ñ Tiruvathipuram municipality ............................................... 21

Figure 3-2: Town map ñ Thiruvathipuram Municipality ........................................................ 22

Figure 4-1: Priorities for Social Infrastructure ........................................................................... 25

Figure 4-2: Priorities for Environmental Protection ................................................................ 26

Figure 6-1: Housing Condition ................................................................................................... 31

Figure 6-2: Existing Llum Area .................................................................................................... 32

Figure 6-3: Location of slums in Thiruvathipuram .................................................................. 33

Figure 7-1: Organisational structure of Thiruvathipuram Municipality .............................. 37

Figure 8-1: Break up of Water Supply Connections ............................................................ 42

Figure 8-2: Status of Toilet Facility in Thiruvathipuram Town ............................................... 47

Figure 10.1: Location of sanitiary landfill site for Thiruvathipuram at Kadalmangalam

Village ............................................................................................................................................ 75

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Final Report: Thiruvathipuram Municipality

Table 2-1: Urban Population Share in the Town and the Region ...................................... 16

Table 2-2: Population Growth in Thiruvathipuram Municipality ......................................... 17

Table 2-3: Population projection .............................................................................................. 17

Table 2-4: Comparative Sex Ratio ........................................................................................... 18

Table 2-5: Comparative Literacy ............................................................................................. 18

Table 3-1: Work Force Participation Ratio- Thiruvathipuram municipality ...................... 19

Table 3-2: Occupational classification of main workers ..................................................... 20

Table 3-3: Land Use Allocation- Thiruvathipuram-1993 ....................................................... 21

Table 3-4: Land Values as per category of the area in the Thiruvathipuram ................ 23

Table 5-1: Town level SWOT ....................................................................................................... 27

Table 6-1: Existing Housing Stock .............................................................................................. 31

Table 6-2: Existing Demand- Supply Gap ............................................................................... 32

Table 6-3: Slums in Thiruvathipuram ......................................................................................... 33

Table 7-1: Existing Staff Strength ............................................................................................... 39

Table 7-2: Additional Staff Requirement ................................................................................ 40

Table 7-3: Institutional Framework for Urban Service Delivery ........................................... 40

Table 8-1: Source of Water Supply .......................................................................................... 42

Table 8-2: Break up of Water Supply Connections .............................................................. 42

Table 8-3: Classification of Sources of Water by type in Thiruvathipuram ...................... 43

Table 8-4: Location of Over Head Tank in Thiruvathipuram Town .................................... 43

Table 8-5: Water Supply Distribution Details in Thiruvathipuram Town ............................. 44

Table 8-6: Demand and supply in the town .......................................................................... 44

Table 8-7: Classification of modes of sanitary waste disposal by type ............................ 47

Table 8-8: Existing Drainage Scenario ..................................................................................... 48

Table 8-9: Type of Waste Generated from Thiruvathipuram Municipality ...................... 49

Table 8-10: Source of Waste Generation ............................................................................... 49

Table 8-11: Solid Waste Practice in Thiruvathipuram Town ................................................ 49

Table 8-12: Number and Type of dustbins for waste collection ........................................ 50

Table 8-13: Detail of Vehicles for Solid Waste Management in Thiruvathipuram

Municipality .................................................................................................................................. 50

Table 8-14: Number and Type of vehicles used for Transportation .................................. 51

Table 8-15: Number of Street Lights in Thiruvathipuram Municipality ............................... 52

Table 8-16: Types of Roads in Thiruvathipuram Municipality .............................................. 53

Table 8-17: Details of Education Facilities .............................................................................. 54

Table 9-1: Property Tax Components ...................................................................................... 57

Table 9-2: Property Tax Assessments ....................................................................................... 58

Table 9-3: Property Tax ñ Growth during last 5 years ........................................................... 58

Table 9-4: Property Tax ñ Demand Collection % (Rs. in lacs) ............................................ 58

Table 9-5: Profession Tax ñ Growth during last 5 years ........................................................ 59

Table 9-6: Profession Tax ñ Demand Collection % (Rs. in lacs) ......................................... 59

Table 9-7: Assigned Revenue ñ Growth & % of Total Income (Rs. in lacs) ...................... 60

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Final Report: Thiruvathipuram Municipality

Table 9-8: Devolution Fund ñ Growth & % of Total Income (Rs. in lacs) .......................... 60

Table 9-9: Water Tariff & Deposit .............................................................................................. 60

Table 9-10: No. of House Service Connections ..................................................................... 61

Table 9-11: Water Charges ñ Growth & % of Total Income (Rs. in lacs) .......................... 61

Table 9-12: Water Connection Charges ñ Growth & % of Total Income (Rs. in lacs) ... 61

Table 9-13: Water Charges ñ Demand Collection % (Rs. in lacs) ...................................... 61

Table 9-14: Service Charges & Fees ñ Growth & % of Total Income (Rs. in lacs) ........... 62

Table 9-15: Income from Properties & Other Income ñ Growth & % of Total Income

(Rs. in lacs) .................................................................................................................................... 62

Table 9-16: Non Tax Income ñ Demand Collection % (Rs. in lacs).................................... 62

Table 9-17: Establishment Expenses ñ Growth & % of Total Expenditure (Rs. in lacs) .... 63

Table 9-18: O&M Expenses (Water Supply) ñ Growth & % of Total Expenditure (Rs. in

lacs)................................................................................................................................................ 63

Table 9-19: O&M Expenses (Street Lights & Others) ñ Growth & % of Total Expt (Rs. in

lacs)................................................................................................................................................ 64

Table 9-20: Administration Expenses ñ Growth & % of Total Expenditure (Rs. in lacs) ... 64

Table 9-21: Summary of Finances for last 6 years ................................................................. 64

Table 9-22: Head-wise Income & Expenditure for last 6 years ........................................... 65

Table 9-23: Borrowings of the Municipality (Rs. in lacs) ....................................................... 66

Table 9-24: Status of Contributions & Grants ......................................................................... 66

Table 9-25: Resource Mobilisation Indicators ........................................................................ 68

Table 9-26: Fund Application Indicators................................................................................. 68

Table 9-27: Liability Management Indicators ........................................................................ 69

Table 9-28: Financial Performance Indicators ...................................................................... 69

Table 9-29: Efficiency Indicators .............................................................................................. 70

Table 10-1: Summary of Capital Investments under CCCBP ............................................. 72

Table 11-1: As per the Guidelines on Environmental & Social Concerns of CCCBP

projects ñ Thiruvathipuram ........................................................................................................ 83

Table 12-1: Road Map - Improving revenue from own sources ........................................ 92

Table 12-2: Road Map Improving revenue from user charges ......................................... 94

Table 12-3: Road Map for Formation of new sustainable revenue bases ...................... 95

Table 12-4: Road Map for Privatization initiatives ................................................................. 97

Table 12-5: Road Map for Energy and Resource efficiency .............................................. 98

Table 12-6: Road map for Computerization and E-Governance ..................................... 99

Table 12-7: Technical Assistance for Elected representatives ......................................... 100

Table 12-8: Technical Assistance for ULB staff ..................................................................... 101

Table 12-9: Road map for Accounts & auditing and Institutional Management ....... 102

Table 12-10: Road map for implementation of all projects ............................................. 103

Table 12-11: Reform Agenda Municipal Service Delivery ................................................ 104

Table 13-1: Land Assets ñ Proposed use ............................................................................... 108

Table 13-2: Income Details from Remunerative Assets (Rs.in lacs) ................................. 108

Table 13-3: Income from Proposed new Projects............................................................... 108

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Table 13-4: New Assets for the year -2009-10 to 2013 -14 ................................................. 109

Table 14-1: Projects to be executed by the Municipality ................................................. 111

Table 14-2: Projects to be executed by Other Agencies ................................................. 113

Table 14-3: Projects under Implementation by the Municipality .................................... 114

Table 14-4: Multi Year Investment Plan and Means of Finance ...................................... 114

Table 14-5: Consolidated Means of Finance ...................................................................... 119

Table 14-6: Ratio of Property tax ............................................................................................ 121

Table 14-7: Water supply Charges - Existing ........................................................................ 121

Table 14-8: House Service Connections - Percentage ..................................................... 122

Table 14-9: Sewage Charges ................................................................................................. 123

Table 14-10: Market - Assumptions ........................................................................................ 124

Table 14-11: Shopping complex ñ Assumptions .................................................................. 124

Table 14-12: Assumptions - Increase in Expenditure .......................................................... 125

Table 14-13: Assumptions ñ O&M ........................................................................................... 125

Table 14-14: Assumptions ñ Provision of doubtful debts .................................................... 126

Table 14-15: Assumptions ñ Property tax collection ........................................................... 127

Table 14-16: Assumptions ñ Profession tax ............................................................................ 127

Table 14-17: Assumptions ñ Other Non Tax Income ........................................................... 127

Table 14-18: Assumptions ñ Water Charges ......................................................................... 127

Table 14-19: Assumptions ñ Drainage Charges .................................................................. 127

Table 14-20: Terms of Loan Funding for Proposed Investments ....................................... 127

Table 14-21: Consolidated Income & Expenditure for next 20 years (up to FY 2028-29)

...................................................................................................................................................... 129

Table 14-22: Consolidated Balance Sheet for next 20 years (up to FY 2028 ñ 29)....... 131

Table 14-23: Key Indicators ..................................................................................................... 137

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Chapter ñ 1 Final Report: Thiruvathipuram Municipality

1 BACKGROUND AND METHODOLOGIICAL

FRAMEWORK OF THE STUDY

1.1 BACKGROUND

The Tamil Nadu Urban Infrastructure Financial Services Limited (TNUIFSL) aims to assist

Thiruvathipuram Municipality in strengthening and improving its financial position for

effective capital investment management and urban service delivery. The

municipality has good potential for immediate implementation of financial reforms

for which it is essential to formulate a City Corporate Cum Business Plan (CCCBP).

The CMA and TNUIFSL have initiated the process of preparing CCCBP for the

municipality with the vision of stakeholders growth of the town.

1.2 OBJECTIVES

The objective of this exercise is to visualise the town in the next 25 -30 years and

1. Define the growth direction and service up-gradations in relation to the

activity mix / growth;

2. Assess the demand for the projects specified by the ULB, and come out with

gap in services with respect to the vision;

3. Broadly outline the infrastructure needs;

4. Define specific rehabilitation of infrastructure and capital improvement needs

with regard to provision of infrastructure in slums and other areas;

5. Indicate the priority of projects

6. Define revenue enhancement and revenue management improvements

required to sustain the rehabilitation proposed;

7. Suggest reforms required in local administration and service delivery including

public private partnership in infrastructure development

8. Suggest Measures to address common growth and infrastructure issues and to

promote integrated development

1.3 SCOPE OF WORK:

The scope of work covers the following:

1. To assess the demand for the Projects listed out by these municipalities.

2. Financial Assessment of the ULBS- an assessment of the ULB finances for the past

5 years, in terms of sources and uses of funds, base and basis of levy, revision

history and impacts, state assignment and transfer-base and basis of transfer

and its predictability; use of funds outstanding liabilities (loans, power dues,

pension etc) and a review of revenue and service management arrangements.

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Chapter ñ 1 Final Report: Thiruvathipuram Municipality

Levels of service and quality of municipal services in both poor and non-poor

localities. Staffing and management arrangements in delivery of services.

3. Outline issues in revenue realisation, quality of existing assets in relation to

service levels and coverage and institutional constraints. Develop quick

indicators of performance, based on the following:

Current coverage and additional population during medium term (10 years)

Unit cost indicates city level investment requirements for Up-gradation of

city wide infrastructures.

To improve service coverage and asset quality

Define priority assets and indicative costs of rehabilitation

Conduct fiscal impact analysis of investments: life-cycle of O&M costs,

revenues from project and costs/impacts on finances and of not doing the

project.

Explore funding options for rehabilitation facilities.

4. Prepare a financial and operating plan (FOP). The FOP in the medium time frame

work for the ULBs and shall present the following.

A. Areas of reduction in expenditure

Energy audit resulting in savings energy.

Leak detection resulting either in connection or in the tariff (or)

Privatizing the MSW collection and identifying a BoT operator for eliminating,

composting etc, items of revenue can be identified.

Laying of cement concrete road /Fly ash and savings on a maintenance cost

resulting in increasing operating surplus.

Water recycling /refuse

Rejuvenation of tanks and reduction of cost/liters of water produced

Privatization & options for raising revenue

B. Options for increasing the revenues through non traditional methods

Land development for raising revenues

Suggestions for improvement of revenues.

5 Prepare a draft Memorandum of Association (MoA) between ULB and TNUIFSL.

The MoA will act as the base line (based on the situation Analysis) and the

Performance Benchmarks to be monitored along with other financial targets

and outputs from the financial and operating plan.

5. Initiate consultations with council and local stakeholders on the priorities

redefine priorities.

6. Finalize Action plan for the city, with a resolution from the council on the

priorities and commitment to implement revenue and management

improvement measures.

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Chapter ñ 1 Final Report: Thiruvathipuram Municipality

1.4 STAGE III: DRAFT FINAL STAGE

Under this stage of City Corporate cum Business Plan has two tasks.

In the First Task, Financial and Operating Plan (FOP) will be prepared outlining

the revenue enhancement measures required to sustain proposed

investments after accounting for O&M and debt servicing requirements.

Suggest suitable actions for project sizing and/or project implementation and

action plan to sustain investments based on capital investment needs listed

above. It will also suggest suitable actions for project sizing and/or project

implementation and action plans to sustain investments based on the capital

investment needs.

In the 2 nd Task Draft MoA between ULB and TNUIFSL will be prepared.

The final stage would incorporate the Municipal Council resolution passed by the

Municipal Council to effectively implement the proposed urban reforms in the

CCCBP.

1.5 PRESENTATION AND DISCUSSION WITH REVIEW COMMITTEE

The review meeting for the Revised Draft Final Report was held on 24 th February 2009

at the office of TNUIFSL. The minutes of the meeting and the consultants reply are

given below:

COMMON POINTS

1. To correct the grade of the ULBs as revised by the Government.

The grades of the Municipalities have been updated as per the latest revisions.

2. To highlight the requirement of capital / revenue grant to implement and

operate all the new schemes.

The actual requirement of capital / revenue grant for each town along with the

funding pattern has been clearly indicated in section 14.1& 14.3 of chapter14.

3. To indicate following in the executive summary of the report

a) List of projects under the sustainable scenario along with the year wise

phasing of the projects identified.

b) The assumption made on the means of finance.

The list of projects, year wise phasing and the assumptions made on the means of

finance have been added in the executive summary under the table ë Projects

Identified for implementation based on financial positioní in the executive

summaries.

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Chapter ñ 1 Final Report: Thiruvathipuram Municipality

TOWN SPECIFIC COMMENTS

Ranipet

Address the requirement of staff quarters and indicate the same as a project

in CIP in consultation with the ULB.

The staff quarters (24 units) at a proposed cost of Rs.150.00 lakhs has been

added to the CIP in consultation with the ULB.

Update the details on the Bus Stand project at Muthukadai adjoining Pinji

Lake in consultation with the ULB.

As bus stand cannot be proposed on ëland under water bodies ë, an alternate

site for the proposed bus stand needs to be identified by the Municipality. The

details are given in section 10.1.6 chapter -10

Highlight the impact on discharge of polluted water in to Palar river.

The impact of effluent discharge into River Palar has been highlighted in

section 5.3 of chapter 5 based on various reports prepared by NEERI, TNPCB ,

CPCB and Palar River Basin Management and Development Board.

Thiruvathipuram

The consultants were requested to

Update the details on the assets in consultation with the ULB.

The details of assets have been updated under section 13.2.1 of chapter 13.

Revise the Bus Stand improvement project in consultation with the ULB.

The cost for proposed shopping complex and lodge inside the bus stand is

revised in consulting with ULB and revised cost is mentioned in section 10.1.6

chapter ñ 10.

Madhavaram

The consultants were requested to revise the assumptions on means of

finance in accordance with JNNURM norms and revise the FOP

accordingly.

The means of Finance for Madhavaram have been revised as per JnNURM

scheme. The assumptions are give in the table ëProjects Identified for

implementation based on financial positioní in the executive summary.

The minutes of meeting for review committee held during this period of study is given

in Annexure I d.

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Chapter ñ 1 Final Report: Thiruvathipuram Municipality

1.6 DISCUSSION WITH STAKEHOLDERS

The Stakeholder meeting was arranged with Municipal chairman, Vice Chairman,

commissioner, Councillors and NGOís of the project town. A base plan was

prepared for the visit to the project towns during the month of October ë08. The

objective of the stack holder meeting was to discuss about the needs of CCCBP and

to highlight the basic issues on infrastructure such as water supply, sewerage,

drainage, roads, social infra structures, etc.

Stakeholderís Meeting

Further, in order to collect ward wise issues, proformae were distributed during the

meetings and the councillors and NGOís were requested to mention the issues on

physical and social infrastructure. Based on the issues mentioned in the proformae

and discussion with the Municipal Chairman, Vice Chairman, Commissioner,

Councillors, NGOís and Engineers, infrastructure requirements for the present and

future were arrived. Accordingly proposals have been formulated which is given in

the following chapters.

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Chapter ñ 2 Final Report: Thiruvathipuram Municipality

2 TOWN PROFIILE

2.1 THIRUVATHIPURAM. . . TOWN PROFILE

Thiruvathipuram is a Grade II municipal town, situated on the bank of the Cheyyar

River in Tiruvannamalai district. The town is situated at a distance of 96 km northeast

of Chennai. River Cheyyar, originating from the Javvadhu Hills flows in the southern

side of the town. As Lord Vedapureeshwarar is believed to have imparted spiritual

guidance to the celestials about the Vedas at this place, it came to be known as

Thiruvothur. The other names of this town are Thiruvathipuram, Cheyyar,

Tiruvettipuram and Tiruvattiyur. The town spreads over an area of 10.76 km with a

population of 35201. The town is geographically located at 79 35í eastern longitude

and 12 4í northern latitude.

2.2 REGIONAL CONNECTIVITY

The town lies on the Arcot- Vandavasi Road. The distance from district headquarter

Tiruvannamalai is 45 km and Bangalore is at a distance of 182 km. The town has

good connectivity by roads which provide access to the surroundings important

towns like Arcot, Vellore, Arani and Vandavasi.

The nearest rail heads are is at Melmaruvathur about 28 km and Tindivanam about

35 km from the town. The nearest Airport is at Chennai (Meenampakkam) about 100

Km away from the town.

2.3 HISTORY OF THE MUNICIPALITY

Thiruvathipuram was constituted as a minor union and was constituted as a

Municipality in 1978 with the inclusion of Koda Nagar, Baruthipuram and Thiruvathur

villages. Thiruvathipuram is at present a grade II municipal town. The town is divided

into 27 wards with a total area of 10.76 sq. km with a total population of 35,201.

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Chapter ñ 2 Final Report: Thiruvathipuram Municipality

Figure 2-1: Location Map of Thiruvathipuram Municipality

2.4 POPULATION CHARACTERISTICS

2.4.1 POPULATION DISTRIBUTION

The Table 2.1 shows the distribution of population in Tamil Nadu and Tiruvannamalai

District.

Table 2-1: Urban Population Share in the Town and the Region

Particulars Total Population % of Urban Population wrt District

Tamil Nadu Urban 27,483,998 -

Tiruvannamalai District 2,186,125 100

Tiruvannamalai District Urban 400,761 18.33

Tiruvathipuram (M) 35,201 1.61

Source: Primary Census Abstract of Tamil Nadu, Census of India - 2001

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Thiruvathipuram

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Chapter ñ 2 Final Report: Thiruvathipuram Municipality

2.4.2 POPULATION GROWTH

The growth of population in the town has been consistent between 1% to 3%. The

growth rate during 1991 to 2001 was 1.2%. The growth rate for the past few decades

is given in the table below.

Table 2-2: Population Growth in Thiruvathipuram Municipality

Census Year Population Variation Growth rate(%)

1951 14411 - -

1961 15386 975 0.68

1971 19274 3888 2.53

1981 25067 5793 3.01

1991 31210 6143 2.45

2001 35201 3991 1.28

Source: Compiled from Master Plan, Thiruvathipuram, 1990

Growth Rate

5

4

3

2

1

0

1941 - 1951 1951 - 1961 1961 - 1971 1971 - 1981 1981 - 1991 1991 - 2001

Thiruvathipuram Tamil Nadu Urban

Figure 2-2: Decadal trend of population growth

Source: Compiled from Master Plan, Thiruvathipuram Town, 1990

2.4.3 POPULATION PROJECTIONS

Based on the growth rate for the past few decades, the future population of the

town has been projected and given in the table below

Source: Estimated

Table 2-3: Population projection

Year Population Growth Rate in %

1991 31,210 1.27

2001 35,201 1.89

2007 39208 7.13

2009 44800 4.42

2011 48765 2.51

2016 54890 1.09

2020 57300 2.26

2025 63800 1.59

2030 68890 1.68

2035 74702 0.04

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Chapter ñ 2 Final Report: Thiruvathipuram Municipality

2.4.4 POPULATION DENSITY

The population density during 1991 was 29 persons per ha and 32 persons per ha in

2001, which is considerably low as compared to Tamil Nadu urban.

2.4.5 SLUM POPULATION

Thiruvathipuram municipality has 9 slums and the total population living in these

slums is 7794 i.e. 22.55% of total population. The ratio of slum population to the total

ward population is highest in Kanniyam Nagar, Kamaraj Nagar, Ambedkar Nagar.

2.4.6 SEX RATIO

Sex ratio in Thiruvathipuram municipality is 1012 females per 1000 males. The sex ratio

in Thiruvathipuram is higher than the state urban and district urban sex ratio. The sex

ratio of the state, district and the town is given in the table below

Table 2-4: Comparative Sex Ratio

Particulars Sex Ratio Sex Ratio 0-6 Sex Ratio SC Sex Ratio ST

Tamil Nadu Urban 982 955 1001 997

Tiruvannamalai District 995 948 1002 970

Tiruvannamalai District Urban 1003 964 1033 980

Thiruvathipuram (M) 1012 1020 1057 1000

Source: Compiled from Primary Census Abstract, Census of India-1991, 2001

2.4.7 LITERACY

Literacy is one of the important social indicators for development. There are 25712

literates in the Thiruvathipuram municipality. The literacy rate is 81.95%, as per 2001

census. The literacy rates of State, District and the town is given in the table below

Table 2-5: Comparative Literacy

Particulars

Person

Literacy Rate

Male Female

Tamil Nadu 73.45 82.42 64.43

Tamil Nadu Urban 82.53 88.97 75.99

Tiruvannamalai District 67.39 79.17 55.63

Tiruvannamalai District Urban 79.52 88.14 70.97

Thiruvathipuram (M) 81.95

Source: Compiled from Primary Census Abstract, Census of India-1991, 2001

90.43 73.56

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Chapter ñ 3 Final Report: Thiruvathipuram Municipality

3 ECONOMIIC DEVELOPMENT AND PHYSIICAL

PLANNIING

3.1 URBAN ECONOMIC DEVELOPMENT

The predominant occupation of the people in Thiruvathipuram is Agriculture, Agro

based industries, weaving and dyeing. The agricultural products of the town and the

hinterland include rice, pulses, sugarcane and other dry agricultural crops. Few of

the earliest industrial activities of the Thiruvathipuram were setting up of textile

industries and rice mills. The Co-operative sugar mill in Thiruvathipuram is the largest

sugar mill in the country.

After the establishment of SIPCOT Complex at Thiruvathipuram in the year 2006,

there was a spurt in industrial growth. Thiruvathipuram is now fast emerging as an

industrial hub with SIPCOT industrial estate and other Special Economic Zones

attracting huge investments and employment opportunities. Next to Sriperumpudur

and Oragadam, Thiruvathipuram is one of the preferred investment destinations.

3.1.1 Occupational Pattern

According to 2001 census, the total work force participation rate in the town

accounts to 34.52%. There are 12150 workers, out of which 10142 are main workers

and 2008 are marginal workers. The %age of main workers and marginal workers

accounts for 83.47% and 16.53% of the total workforce. Table 3.1 and 3.2 shows the

work force participation rate and Occupation pattern in the town.

Table 3-1: Work Force Participation Ratio- Thiruvathipuram municipality

Particulars

Total

Population

. - 19 -

Total

Workers

WFPR

% Main

Workers

% Marginal

Workers

Tamil Nadu 62405679 27878282 44.67 85.22 14.78

Tamil Nadu Urban 27483998 10318514 37.54 91.75 8.25

Tiruvannamalai District 2186125 1064783 48.71 77.94 22.06

Tiruvannamalai

Urban

District 400761 140013 34.94 87.96 12.04

Thiruvathipuram (M) 35201 12150 34.52 83.47 16.53

Source: Compiled from Primary Census Abstract, Census of India-1991, 2001

Out of the main workforce about 2.99% of population are cultivators, 1.69% is

agricultural labourers and 14.18% of workers are engaged in household industries.

The remaining 81.15% workers are included in ëother workersí category.

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Chapter ñ 3 Final Report: Thiruvathipuram Municipality

Particulars

Table 3-2: Occupational classification of main workers

Main

Workers

. - 20 -

Cultivators

%

Agricultural

Laborers %

Workers in

Household

Industry %

Other

Workers

%

Tamil Nadu 23757783 19.95 25.52 5.31 49.23

Tamil Nadu Urban 9467240 3.41 9.11 6.05 81.43

Tiruvannamalai District 829944 39.04 29.70 5.29 25.97

Tiruvannamalai

Urban

District

123158 6.10 9.78 8.39 75.73

Thiruvathipuram (M) 10142 2.99 1.69 14.18 81.15

Source: Compiled from Primary Census Abstract, Census of India 2001(All the figures in %age)

3.2 PHYSICAL PLANNING

3.2.1 PHYSICAL GROWTH TREND

Thiruvathipuram municipality lies on the Arcot- Vandavasi State Highway. Cheyyar,

the perennial river forms the southern boundary of this town. River Cheyyar has its

origin at Javvadhu Hills, flows through the southern side of the town in the eastern

direction. The major roads in the town connecting to the nearby urban centers are

Gandhi road, Arcot road and Arani road.

Thiruvathipuram is a fast emerging industrial hub with the, establishing SIPCOT

industrial estate and other Special Economic Zones attracting huge investments and

employment opportunities. This pull factor attracts in-migration resulting in rapid

development of residential and commercial establishments.

The physical features determining the growth direction of the town is the Cheyyar

River in the south of the town. The future growth direction of the town is towards

Arcot in the northwest, Kanchipuram in the north east and towards Arani in the west.

3.2.2 LAND USE ANALYSIS

Existing Land Use 1993

The master plan of the Thiruvathipuram town was approved in 1993. Under

Thiruvathipuram Municipal limits only 200 ha is developed area and 876 ha of land is

under agricultural land. The residential use covers about 115 Ha i.e. about 58 % of

the total developed area. Educational area of the town covers 9 ha , nearly 5% of

the total developed area. Area under commercial use covers 5% of the total

developed area. The area under undeveloped land is mainly agricultural which

accounts for 81% of total area under the municipal limits.

As Thiruvathipuram is an upcoming investment destination, there is a rapid

transformation of agriculture land to other use.

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Chapter ñ 3 Final Report: Thiruvathipuram Municipality

Land Use

Table 3-3: Land Use Allocation- Thiruvathipuram-1993

Area (Sq.

Km)

Area (Ha)

. - 21 -

% to Developed

Area

% to Total Area

Developed Area

Residential 1.15 115 57.5 10.69

Commercial 0.1 10 5 0.93

Industrial 0.08 8 4 0.74

Education 0.09 9 4.5 0.84

Public & Semi Pub. 0.26 26 13 2.42

Traffic

Transportation

&

0.32 32 16 2.97

TOTAL

Undeveloped

2 200 100

Agricultural 8.76 876 81.41

TOTAL 8.76 876

GRAND TOTAL 10.76 1076 100.00

Source: Thiruvathipuram Municipality

Public & Semi

Pub.

13%

Education

5%

Industrial

4%

Traffic &

Transpotation

16%

Commercial

5%

Residential

57%

Figure 3-1: land use pattern ñ Tiruvathipuram municipality

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Chapter ñ 3 Final Report: Thiruvathipuram Municipality

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Figure 3-2: Town map ñ Thiruvathipuram Municipality

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Chapter ñ 3 Final Report: Thiruvathipuram Municipality

3.2.3 LAND RATES

The Registration Department, Government of Tamil Nadu, has divided the town into

various classes for the purpose of assigning guideline values for urban land, The

highest land values in the town is for commercial area at Rs. 4685.00 Sq. Mt. and the

land rates for residential area ranging from Rs. 10120.00/ Sq. Ft. to Rs. 650.00/ Sq. Mt.

Table 3-4: Land Values as per category of the area in the Thiruvathipuram

Category Guideline Value (Rs./SqMt)

Commercial Area - Class I 4685.00

Commercial Area - Class II 2415.00

Residential Area - special type of land class-II 10120.00

Residential Area - special type of land class-III 11090.00

Residential Area - Class I 1940.00

Residential Area - Class II 1425.00

Residential Area - Class III 650.00

Residential Area - Class IA 1640.00

Residential Area - Class IIA 3555.00

Residential Area - Class IIIA 4955.00

Residential Area - Most Backward area 865.00

Source Guideline Values from 1-8-2007, Registration Department, Government of Tamil Nadu,

3.3 GROWTH MANAGEMENT ISSUES

The upcoming and proposed industrial developments, will lead to the rapid

increase in migrated population. The existing master plan need to be

updated of Master plan (1993) to regulate the growth and to sustain the

future industrial growth and immigration in the town. Thus regular monitoring

of approved developments and discouraging unapproved developments

need to be done for sustained economic growth and safe environment to live

in.

Necessary basic infrastructure facilities including housing, health, education

facilities need to be provided to achieve better standard of living.

Improvement of the link roads is needed for capitalising on the economic

development of the region.

The open spaces will act as lung space for a town. Considering the

residential, industrial growth and future demand, actions need to be taken to

develop open spaces into parks and other recreational areas.

The Cheyyar River which forms the southern boundary for the municipality

needs to be conserved as it serves as drinking water source for the region. The

water bodies serves as the recharge system for underground aquifers and

flood accommodators during monsoon. River Conservation plan for Cheyyar

River is necessary. The DPR for Linking Penniayar and Cheyyar has been

completed. Implementation of river linking project need to done through

Water resources department.

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Chapter ñ 4 Final Report: Thiruvathipuram Municipality

4 STAKEHOLDERS CONSULTATIIONS

The purpose of stakeholder consultation is to provide an opportunity for stakeholders

to involve in the development plan for the city. The planning process need to be a

consultative one, with stakeholders representing a wide spectrum of interests taking

part in the discussions and dialogue leading to the formulation of a vision and

development objectives, identification of priority sectors and projects.

4.1 CITY OPINION SURVEY

The CCCBP consultants conducted city opinion surveys in 2 phases, first in the

inception stage and second in the interim stage to get the views of the stakeholders

of the Municipality. The rationale behind conducting surveys in two stages was to

evolve a broad vision for the municipality considering the problems, prospects,

aspirations and vision of different sections of the society. The initial finding of the

surveys conducted was included in the inception report. The analysis and findings of

stake holderís consultations are detailed below:

4.2 KEY ISSUES HIGHLIGHTED IN THE CONSULTATION MEETING

The key issues highlighted in the stakeholders meeting are highlighted below

1. Frequency of water supply in the town is once in 3 days

2. Effluents from dying industries are disposed in water bodies

3. The existing bus stand need to be upgraded

4. New land for compost yard need to be identified by the municipality

5. Widening of the narrow town roads is required

6. The water bodies need to be conserved

7. Need for Gasifier crematorium in burial ground

8. Water stagnation on main roads during monsoon

9. Need for Under Ground Sewerage System in the town

10. Absence of recreational facilities

11. The existing laughter house need to be revamped

12. Drains in the town need to be cleaned regularly

4.3 SECTOR PRIORITISATION

Projects identified in the City Development Plan cannot be taken up in one step for

implementation due to constraints like finance, institutional capabilities etc. Thus,

phasing of the projects based on the stakeholderís priority could be a viable option

for implementing projects. During City Opinion Surveys, Stakeholders have been

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Chapter ñ 4 Final Report: Thiruvathipuram Municipality

asked to prioritise the sectors pertaining to Physical infrastructure, Social Infrastructure

and Environment and is presented in a scale of 0-100* scores.

4.3.1 PHYSICAL INFRASTRUCTURE PRIORITY

Based on City Opinion Survey findings, Stakeholders have given priority to the sectors

related to Physical infrastructure on the following order:

1. Road Network

2. Under Ground Drainage

3. Street Lighting

4. Drinking Water

5. Solid Waste Disposal

6. Public Convenience

7. Storm Water Drainage

8. Parking Facilities

4.3.2 SOCIAL INFRASTRUCTURE PRIORITY:

Based on the meetings and Opinion Survey findings, Stakeholders have given priority

to the sectors related to Social infrastructure on the following order:

1. Health Facilities

2. Public Transport

3. Parks and recreation

4. Market

5. Schools and Colleges

6. Public Toilet

7. Community Hall

Schools and

Colleges

14%

Public Transport

17%

Health Facilities

22%

Figure 4-1: Priorities for Social Infrastructure

Source: From Stake Holderís Survey

Since the town lacks basic infrastructure facilities like adequate treated water,

sewerage and sanitation, Solid Waste treatment plant, etc. citizens are susceptible

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Market

14%

Community Hall

8%

Public Toilet

10%

Parks and

Recreation

15%

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Chapter ñ 4 Final Report: Thiruvathipuram Municipality

to various health hazards. Hence, they have insisted Health facilities as one of their

high priority sector.

4.3.3 ENVIRONMENTAL ISSUES

Based on the City Opinion Survey findings, Stakeholders have given priority to the

Environmental Issues on the following order:

1. River/Lake

2. Water Pollution

3. Open drain

4. Land Pollution

5. Air pollution

6. Noise Pollution

Source: From Stake Holderís Survey

River / lake

35%

Air Pollution

4%

Figure 4-2: Priorities for Environmental Protection

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Open Drain

23%

Water Pollution

29%

Noise Pollution

0%

Land Pollution

9%

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Chapter ñ 5 Final Report: Thiruvathipuram Municipality

5 VIISIION AND STRATEGIIC PLAN

A vision statement is a primary step to where a town wishes to be in the next 25-30

years as its preferred future. It is a realistic and reliable statement, reflects the

competitive advantages, preferences & values of city dwellers, physical

characteristics, historic and cultural characteristics and relation to regional and local

economies. Vision gives a sense of direction and purpose to the plan, focus on and

encourage creative solutions in an open manner building in interest and

commitment.

One of the key steps involved in the formulation of vision is the SWOT analysis, which

is based on stakeholder feedback and analysis of the town.

5.1 TOWN LEVEL SWOT

The town specific SWOT for Thiruvathipuram Municipality with reference to its

regional context is given in the table below:

Table 5-1: Town level SWOT

Strength Weakness

Strategic location on Arcot -Vandavasi State

Highways

Good connectivity by road with the nearby

urban centers

Town located on the bank of River Cheyyar

Presence of one of the largest sugar mills in

India

Strong Industrial Base - SIPCOT Industrial

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Pollution due to the dying effluents disposed

into the Cheyyar River

Absence of recreational facilities like park

and play ground.

Traffic congestion due to encroachments on

roads

Poor road surfaces leading to dusty / unsafe

conditions.

Complex and SEZ Need for good quality affordable housing

Preferred investment destination next to

Sriperumpudur and Oragadam

Tremendous employment to hinter land

Rapid and sporadic development due to

unguided development

Oppurtunities Threat

Availability of cheap, unskilled and semi

skilled labours.

Loss of Agricultural land due to Industrial

Establishments

Availability of land for future development Rapid population growth due to immigration

Opportunity to develop Hand loom Industries

Opportunity to develop a milk based

product units and Vetinery health centers

Threat to natural water bodies - sand

quarrying, pollution.

Town requires significant investments in basic

infrastructure

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5.2 VISION FORMULATION

Using the results of the analysis combined with consultations with key stakeholders

and civil societies, vision formulation is meant to develop a perspective for

development ñ a collective vision of the future direction expressed in terms of

expectations and goals.

The vision for the town is proposed as ëAn economically sustainable town, providing

better quality of life and safe environment to all sectors of the society í

However to achieve this vision and to translate it into Strategies and Projects, the

mission statements are evolved.

Mission 1:

To achieve a Sustainable Environment by 2015 so as to prepare Thiruvathipuram as

competing City for induced investments

5.3 STRATEGY OPTION FOR ECONOMIC DEVELOPMENT

1. Benefit from proximity to nearby urban centers ñ Kanchipuram and

Tiruvannamalai.

The town, located on the State Highways provides better accessibility to the

surrounding urban centers and district headquarters Kanchipuram and

Tiruvannamalai. The emerging industries in the region acts as the centripetal

force attracting skilled and semi skilled workforce to the town, also provides

immense opportunities for investment in land, in and around the town. Providing

better accessibility to higher order facilities available in nearby urban nodes by

establishment and strengthening of regional linkages, and improving the service

sector such as local body services, health, education and recreational facilities

would improve standard of living.

2. Development of Support Network for industrial and social development

The town has SIPCOT Industrial Complex, cotton lungies and saree products

industry, rice mills and sugar mills which provides employment to the people of

Tiruvathipuram. Number of unskilled and semi-skilled workers is bound to rapidly

increase due to migration from rural areas and saturation in agriculture sector.

Implementing various welfare schemes on Insurance coverage, may further

encourage the production and marketing. Therefore providing technology

upgradation, skill upgradation and vocational training through technical

institutions, Govt organisations, NGOs and Industries may help the unskilled and

semi skilled labours in increasing the productivity and betterment in living.

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Chapter ñ 5 Final Report: Thiruvathipuram Municipality

3. Build on the industrial base to create further scope for development.

To strengthen the economic base of the region, promotion of industries is an

indispensable requirement. Therefore, the following efforts may be initiated to

stimulate industrial development.

Proactive physical and social infrastructure provisioning.

Development of SEZs and expansion of Industrial complexes/parks

Improving the regional linkages - The transportation network connecting

the towns and industrial clusters will act as development catalysts for

surrounding rural areas

Improve mobility within the town and the surrounding

Sustainable communities encompassing places of work, stay and

assembly.

Regional study need to be conducted to identify potential and thrust

areas for new industrial cluster development in the region.

4. Strengthening the economic base through new industrial developments

The footwear SEZ is expected to create employment for 5,000 people in

the initial 1-2 years, with total employment expected to touch 15,000 over

the next three years. The SEZ will give a fillip to the economy of the

industrially backward Cheyyar taluk, and is expected to have women

comprising at least 80 per cent of its workforce.

The Hi-tech SEZ for automotive components and the Electronics Hardware

Park proposed- in this region will generate more ëblue collarí jobs in line

with the potential assessed for the area.

The Co-operative Sugars is one of the largest sugar mills in India.

Technology Upgradation, management through computerization will

improve the factory operations and technology transfer to farmers.

The well established industrial base and upcoming industrial developments in the

region will stimulate the regional economic growth. Inclusive Industrial

development with proper guidance and supportive infrastructure facilities for

attracting the industrial investments will ensure livelihood opportunities and

employment generation.

5. Establishment of marketing centers for Dairy products

The milk production in and around the town has an opportunity to develop Milk

trading centre. Development of milk base production centers such as milk

powder unit, dairy units in that region will also increase the employment

opportunities for the people involved in milk trade. Establishment of Marketing

centers for dairy products and small scale food processing industries will improve

the local economy.

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Chapter ñ 5 Final Report: Thiruvathipuram Municipality

6. Livelihood enhancement for weavers through schemes and programmes

Vandavasi and Cheyyar Taluks have the handloom weaving villages. The

cotton/art silk saris and mixed fabrics are the famous handloom products in

cheyyar. For the livelihood enhancement of weavers the Department of

handloom has identified schemes and programmes to give continuous

employment to the hand loom weavers.

Implementing schemes such as Handloom Development Centre, Project

Package Scheme, Help Package Scheme, Weavers Welfare scheme on

Insurance coverage, Housing scheme for weavers may further encourage the

production and marketing.

The training programs like orientation programme for designers, Dyeing and

printing training, motivation of weavers, design developments, weavers skill

upgradation, technology upgradation and marketing will also support for the

development of weavers.

7. Need for Water Bodies Restoration and Management - Cheyyar river

Natural resources form the basis of all our scientific advances, technological

progress, genetic engineering, agriculture and industries. It is the basis of human

survival itself. Natural resources, which are vital for food, livelihood and

environmental security, are under intense pressure today. The challenges of

their conservation and sustainable use remain enormous.

Towards achieving sustainable environment the activities need to be taken up

for conservation of Cheyyar River is

Interception and diversion works to capture the raw sewage flowing into

the river through open drains and divert them for treatment.

Setting up Sewage Treatment Plants for treating the diverted sewage.

Construction of Low Cost sanitation toilets to prevent open defecation on

river banks.

Ensure proper cremation of bodies brought to the burning ghats.

River Front Development works such as improvement of bathing ghats.

Encourage participatory approach with involvement of all relevant

stakeholders

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Chapter ñ6 Final Report: Thiruvathipuram Municipality

6 HOUSIING AND SLUMS

6.1 EXISTING HOUSING SCENARIO

6.1.1 HOUSING CONDITION

Existing Housing Condition

The Town has 6,954 residential units of which 12% residential units are semi-

permanent structures. 74% of the residential units are permanent while 14% accounts

for Temporary structures.

Semipermanent

12%

Temporary

14%

Figure 6-1: Housing Condition

Source: Compiled from Housing and Household amenities census, Census of India, 2001

6.1.2 HOUSING STOCK

. - 31 -

Permanent

74%

As mentioned earlier, there are total 6,954 residential units in the town

accommodating 11839 households. The Household size of Thiruvathipuram Town is

4.54, which is less than district Urban i.e. 4.70 in the year 2001.

Table 6-1: Existing Housing Stock

Particulars Population No. of Households Average HH Size

Tamil Nadu Urban 27483998 6381600 4.31

Tiruvannamalai District 2186125 489055 4.47

Tiruvannamalai District Urban 400761 85261 4.70

Thiruvathipuram (M) 35201 7762 4.54

Source: Compiled from Primary Census Abstract, Census of India, 2001

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6.1.3 EXISTING HOUSING DEMAND- SUPPLY GAP

Housing shortage is estimated on the basis of availability of 'minimum standard

house' that excludes dilapidated dwelling units and houses in slum areas. In

Thiruvathipuram town provision for 6,954 residential units exist for a total of 7,762

households that indicates a clear demand supply gap of 808 DUs. In addition, out of

the total residential units, 916 dwelling units (i.e. 12% of the total available Dwelling

Units) exist in slum areas which, again, as per the criteria accounts for housing

shortage.

Total Census

Houses

Total Occupied

Residential Units 1

Table 6-2: Existing Demand- Supply Gap

No. of

Households

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Demand Supply

Gap (No. of HHS)

9194 6954 7762 808 916

Number of

dwelling units in

Source: Compiled from Housing and Household amenities census & Compiled from Primary Census Abstract, Census of India, 2001

There are few wards in the core (ward no. 9, 10 and 11)that have a higher number

of household size then the average size and less no. of households indicating

shortage in that area.

6.2 EXISTING SLUM SCENARIO

Figure 6-2: Existing Llum Area

There are 9 slums in the town of Thiruvathipuram with a total population of 7794 with

a total of 916 households.

slum

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6.2.1 SLUM POPULATION

12% of the total population of Thiruvathipuram lives in slums which accounts for 7,794

people and 916 households. The locations and names of existing slums are shown in

figure4-2

Table 6-3: Slums in Thiruvathipuram

S.No Name of Slum No. of Households Population

1 Kaniyam Nagar 117 1885

2 Thiruvalluvar Nagar 32 349

3 Arignar Anna Nagar 22 579

4 Dr. Ambedkar Nagar 220 1080

5 Kanugapuram 110 1072

6 Kamban Nagar 12 248

7 T.M. Adikesavan 95 732

8 Kamaraj Nagar 229 1169

9 East Mada Street 79 680

Total 916 7794

Source: Thiruvathipuram Municipality

Figure 6-3: Location of slums in Thiruvathipuram

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Chapter ñ6 Final Report: Thiruvathipuram Municipality

6.2.2 SLUM PROFILE

Thirupathipuram Town has 9 slum settlements and total population living in these

slums is 7,794 i.e. 22.55% (Refer Annexure-II.g) of total population of Thirupathipuram

town lives in slum areas. The ratio of slum population to the total ward population is

highest in Kanniyam Nagar, Kamaraj Nagar, Ambedkar Nagar which are 100%. The

poverty is not a major problem in these slums as most of the people are the workers.

Most of the slum dwellers are migrants from hinterland of the town and from the

neighbouring districts and more than half of them are staying for more then 10 years

in the town.

6.2.3 SLUM IMPROVEMENT PROGRAMMES

In the town only Integrated Housing and Slum Development Program (IHSDP) is in

operation for slum improvement. This programme is taken up by Thiruvathipuram

Municipality and now under operation.

6.2.4 ISSUES

The problems and issues relating to housing and slums have been identified on the

basis of secondary data collected and synthesis of stakeholder discussions. The issues

mainly focus on basic urban services, supply of affordable services land for housing,

development guidelines and awareness amongst slum dwellers.

Due to improper monitoring and implementation of development regulation

more than one-third of the town population lives in slums

Most of the slum population is dependant on the informal trade and granite

industries for livelihood.

Lack of access to services in wards where dominance of slum prevails and on

the land developed for housing by private developers.

Lack of basic services leads to open defecation and garbage disposal within

the municipal limits

Lack of awareness among slum dwellers regarding health and hygiene.

Lack of planned interventions in the past

Dominance of sub-standard urban basic services

Increasing informal settlements on public lands by low income in-migrants due

to unaffordable land supply within municipal limits

Increasing inadequate serviced land for housing within municipal limits.

Lack of awareness regarding health and hygiene

Unregulated physical development

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Chapter ñ6 Final Report: Thiruvathipuram Municipality

Table 6-4 Proposed Project cost for Slum development in Thiruvathipuram

S.No Description Cost

1 Provision of low cost housing 30

2 Rehabilitation of existing houses

3 Drainage Upgradation of Existing roads,

4 Provision of street lighting,

5 water supply lines, installation of public stand

Totally 9 slums 270

6.3 CONCLUSION

It is evident from the above analysis that the housing shortage is not very significant

in the town. But, supply of housing for economically weaker section is an important

concern as it is giving rise to slum population in the town. Provision of urban services

is an issue of major concern in the housing scenario of the town. It is essential to give

attention to housing facilities for all sections of the society to improve livability of the

town on the whole.

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Chapter ñ7 Final Report: Thiruvathipuram Municipality

7 IINSTIITUTIIONAL FRAMEWORK

In order to give effect to the provisions of 74th CAA, the municipal structure was

revised to include elected council to the already existing administrative setup. For

this purpose elections were held in every municipality under the new act once in

every 5 year. The organizational structure of the Thiruvathipuram Municipality

generally consists of Elected Council and Executive wing.

7.1 ELECTED COUNCIL

The Elected Council, the political wing consists of 27 elected councilors. Each

Councilor represents one electoral ward. The Councilors in turn elect the Chairperson

as head of the Municipal Council. The chairman is the head of the municipal council

and he is assisted by vice chairman.

To assist the council in its functioning, the following 4 administrative committees have

been constituted namely:

Appointment committee

Agreement/Contract Committee

Taxation Appeal Committee

Local Planning Authority

The committees consist of the Chairman, the Municipal Commissioner and elected

Councilors as members. Appointment Committee is a statutory committee, and the

Chairman of the Municipality is also the Chairman of the committee. The Committee

is responsible for making appointments for posts which fall under the purview of the

Appointing Committee. Contract Committee is another statutory committee and

quotation of works is finalized by the Contract Committee. The Taxation Appeal

Committee is responsible for hearing of appeals of the tax items. The Council is the

decision making as well as policy making body.

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Chapter ñ7 Final Report: Thiruvathipuram Municipality

GENERAL: Financial

Administration

and Budget & Accounts

7.2 EXECUTIVE WING

Figure 7-1: Organisational structure of Thiruvathipuram Municipality

The executive wing is responsible for the Municipal operations and maintenance.

The Commissioner is the administrative head of the executive wing and is supported

mainly by 5 department heads in the Municipal operation and maintenance. The

organization structure of the Municipality comprises of 5 functional departments

namely,

Executive Body

Commissioner

PUBLIC HEALTH: Sanitation,

Drainage Public Health,

Birth & death registration

TOWN PLANNING: Planning,

Designing and Approval

1. General Administration

2. Engineering and Water Supply section

3. Accounts Section

4. Public Health Section and

5. Town Planning Section

7.2.1 GENERAL ADMINISTRATION

The municipal commissioner is the executive head of the ULB. He is supported by

department head like, Municipal Engineer, Town Planning Officer and Manager.

Manager is the head of the General Administration next to Commissioner and he is

responsible for general supervision and Administration of Office. The Administrative

wing looks after general administration of the Municipality including establishment

matters such as appointments, pay and allowances etc., correspondence with

Government and other departments, public relations, redressing of public

grievances, legal matters and lawsuits and all matters related to office

administration. All establishment matters are dealt with in the General Administration.

7.2.2 HEALTH SECTION

THIRUVATHIPURAM

MUNICIPALITY

ENGINEERING: Water

Supply, Road laying

And Street lights

REVENUE: Tax

& Non Tax Collection

The Municipal Sanitary officer is the overall in-charge of the Health Section. He looks

after the prevention of Food Adulteration, conservatory work including sweeping of

. - 37 -

Elected Body

Chairman

Vice Chairman

Ward Councilor

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Chapter ñ7 Final Report: Thiruvathipuram Municipality

Streets maintenance of Drainage, controlling of epidemic diseases, ensuring of

license to D&O trades, Birth and Death Registration, issuing birth and death

certificate and also responsible for removing of dead animals and stray animals. The

Sanitary Supervisor and Sanitary Workers are assisting the Municipal Health Officer.

The Municipal Health Officer is also responsible for solid waste management.

7.2.3 ENGINEERING SECTION

The Municipal Engineer is the over-all in-charge of Engineering Section. Municipal

Engineer will control the Assistant Engineer, Technical Assistant, Road Mazdoor,

Electrical Superintendent, Wireman, Helper and Fitter working in the section. The

Municipal Engineer looks after the maintenance of Street lights, Road laying,

construction of building, drainage, maintenance of parks, head works and municipal

vehicles. The other subordinate officers are assisting the Engineer to look after the

above work.

7.2.4 TOWN PLANNING SECTION

In Tiruvathipuram Municipality, the Town Planning Officer is the over all in-charge of

the section. He looks after the work of preparation of Master Plan, maintaining the

land use as per the approved master plan, Licensing of plan building, booking of

unauthorized construction, approval of lay out in the town limit, controlling and

removing the encroachment in the town. The Town Planning Inspector will assist the

Town Planning Officer in the planning of future development of the town and allied

works.

7.2.5 ACCOUNTS SECTION

The Accounts section is included in General Section. The Accountant is the Head of

the wing and controlling financial matters. It involves into preparation of Budget

discipline and Actual based Accounting System.

The Revenue section is headed by the Revenue Inspector and the inspector is

supported by Bill Collectors with the task collection of taxes and Non-taxes and is

held responsible for the entire collection of Revenue.

7.3 CITIZENíS CHARTER

As per the directions of the Government of Tamil Nadu, the Municipality has

published its ëCitizens Charterí during 1998 to bring ULBs functioning closer to the

people. The main focus of this charter is to introduce transparency, responsibility and

user friendliness in its service provision and maintenance. The objectives of this

chapter are to:

Provide fast and quality services to citizens

Inform the public about time limits to address the problems

To provide transparency in administration

7.4 INFORMATION CENTRE

In order to provide all the relevant information to the town citizens, the Municipal

Office has a reception cum information centre which also supplies various forms

required by public to submit applications to the ULB. This reduces the time required

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Chapter ñ7 Final Report: Thiruvathipuram Municipality

on the part of the public and also provides information needed by the people on

the spot.

7.5 STAFF STRENGTH POSITION AND VACANCY POSITION

As of now, there are 108 personnels are working in various sections of the

municipality against the sanctioned strength of 230 post. There are 122 vacancies in

the proposed staff strength norms. The details are given in the table below:

Table 7-1: Existing Staff Strength

S. No Name of the Post (Service wise)

. - 39 -

Sanctioned Staff

Strength

Present staff

strength

General Services

1 Manager 1 1

2 Accountant 1 1

3 Assistant 1 1

4 Typist 2 1

5 Jr.Assistant 6 5

6 Record Clerk 1 1

7 Office Asst. 2 2

8 Revenue Asst. 5 5

9 Store Keeper 1 -

10 Asst. Programmer 1 1

11 Date Entry Operator 1 -

Total 22 18

Engineering Services

1 Municipal Engineer 1 1

2 Jr. Engineer 1 -

3 Overseer 1 1

4 Work Inspector 1 -

5 Wireman 3 2

6 Helper 3 2

1 Electrician Gr-II 2 2

2 Pipeline Fitter 3 1

3 Turncock 2 1

4 Fountain cleaner - 2

5 Reservoir watchman - 1

6 Tiller Driver - 2

7 Contingent Staff - 3

8 Pump House cleaner - 1

9 Over Head Tank watchman 4 -

Total 21 19

Health Service

1 Sanitary Officer 1 1

2 Sanitary Inspector 2 1

1 Maternity Assistant 1 1

2 Maternity Ayah 1 1

3 Field Asst. 1 1

4 Sanitary Supervisor 3 3

5 Drivers 7 4

6 Sanitary Workers 168 58

Total 184 70

Town Planning Services

1 Town Planning Officer 1 -

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S. No Name of the Post (Service wise)

Sanctioned

Strength

Staff Present staff

strength

2 Town Planning Inspector 1 1

3 Office Assistant (Chainman) 1 -

Total 3 1

Total 230 108

7.6 ADDITIONAL STAFF REQUIREMENT:

Taking into consideration of the implementation of the proposed projects under the

City Corporate cum Business Plan, the vacant posts in Engineering Section, Public

Health Section, and Town Planning Section need to be filled up expediously.

In view of appointing Project Management Consultant for the proposed water

supply and UGSS projects, Privatization of Solid Waste Management and

Maintenance of street lights through ESCO/ Private agency, the various sections of

the municipality need to be strengthened with the following personnel:

Table 7-2: Additional Staff Requirement

Sl No Name of the Post Section No. of Personnel

1 Accountant for Infrastructure project General 1

3

Assistant Engineer/ Junior Engineer

(WS, UGSS, UIDSSMT & IHSDP Projects)

Engineering 1

4 Overseers (UIDSSMT & IHSDP Projects) Engineering 2

5 Town planning officer Town planning 1

Total 5

Source: Analysis and discussions with Municipal officials

7.7 INSTITUTIONAL FRAMEWORK FOR SERVICE DELIVERY

The responsibility for good governance and management is vested with the urban

local body. Although, the ULB is responsible for overall development of the

municipality including provision and maintenance of services, there are other

agencies responsible for planning, development and provision of specific services.

Such key stakeholders include:

Table 7-3: Institutional Framework for Urban Service Delivery

S.No Services Planning and design

1

Master plan preparation and

Updation

. - 40 -

Implementing

agency

DTCP Municipality

2 Water Supply TWAD TWAD

3 Sewerage TWAD TWAD

4 Drainage ULB ULB

5 Solid waste Management ULB/CMA/TNUIFSL ULB

6 Roads and Highways

7 Bridges and water bodies

Highways dept /

Municipality

Municipality /

CMA/PWD

Highways dept /

Municipality

Municipality / PWD

8 Street Lighting Municipality/TNUIFSL Municipality

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9 Parks and playfields Municipality Municipality

10 Health and Education GoTN / Municipality GoTN / Municipality

11 Slum Development Municipality/ TNSCB Municipality

12 Environmental protection TNPCB

7.8 ORGANIZATION MANAGEMENT

As been seen from various sections of the report particularly relating to service

deliveries, there are gaps of various sizes which result in a shortage in the delivery

system. This could be overcome by certain specific options:

In most of the service sections of the Municipality, there are vacancies which

could be filled up. This alone may not ensure a totally satisfactory system

delivery of the services as it requires an efficient personnel management

especially assigning the right work to the right person in a time frame.

The organization and delivery mechanism in some of the important personnel

intensive service sectors have to be modernized. To mention the important

few relate to solid waste management, where large no. of workers and staff

are involved, could be decentralized resorting to localized and more efficient

composting and Landfill system. This could be assigned to NGOs, voluntary

organizations or even the respective resident associations in the various

colonies. This is a remunerative venture as is proved in many places. This

process not only will significantly reduce the burden of the Municipality in

engaging workers and staff but also will improve its resource position either

through substantial reduction in a cost of solid waste management and / or

could improve in the resource position as a remunerative venture.

Tamil Nadu Urban Development department has identified Landfill site

through GIS in combination with 2 or more municipality as a centralized

disposal of solid waste. This seems to reduce the cost of solid waste

management for each municipality.

Privatizing the operation and maintenance of water supply, collection of

taxes and fees and maintenance of public assets particularly sanitary and

public health units is a well known option. This also could be taken up as joint

venture between urban local body and private sector.

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Chapter ñ8 Final Report: Thiruvathipuram Municipality

8 URBAN IINFRASTRUCTURE AND SERVIICES

8.1.1 WATER SUPPLY

8.1.2 EXISTING SCENARIO FOR WATER SUPPLY IN THIRUVATHIPURAM

In Thiruvathipuram Town, nearly 91% of population is

dependent on protected Water Supply while the rest are

dependent on unprotected sources of water supply. The

principal source of water supply to Thiruvathipuram Town

is sub-surface water pumped from the Cheyyar River.

Table 8-1: Source of Water Supply

S. No. Source Well Nos Capacity

1 Cheyyar river

5

Infiltration well of 4.5 m dia and 8-12

m depth

2 Collection Well 1 6m dia and 3.5m depth

Source: Compiled from data provided by Municipality, Thiruvathipuram

At present the Thiruvathipuram Municipality has provided 4,440 as on 01 June 2009

house service connections of which 95% connections are domestic, 3% are non-

domestic and 2% connections are commercial. Also the Municipality has provided

220 public stand posts to serve the public. Details in the existing water supply

connection are presented in the Table 8.2

Table 8-2: Break up of Water Supply Connections

S. No. Type No. of Connections Percentage of Total

1 Domestic 4241 95.00

2 Non-Domestic 128 3.00

3 Commercial 71 2.00

Total 4440 100.00

Source: Compiled from data provided by Municipality, Thiruvathipuram

Non-

Domestic

3

Figure 8-1: Break up of Water Supply Connections

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Commeci

al

2

Domestic

95

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Table 8-3: Classification of Sources of Water by type in Thiruvathipuram

Location

Total no.

of house

holds

Sources of drinking water

Protected Unprotected

Hand

Tap

Tube well Open Well

pump

Others

Within Premises 4,570 4,180 64 71 237 18

Near Premises 2,768 2,492 94 8 92 82

Away

premises

from

373 254 14 16 50 39

Total 7,711 6,926 172 95 379 139

% of House Hold 89.00 3.00 1.00 5.00 2.00

Source: compiled from Housing and Household Amenities, Census of India 2001

8.1.3 SOURCES AND TREATMENT

Pump House Infilltration well at Cheyyar

The Main source of water supply to Thiruvathipuram Town is from the Cheyyar River.

The people of Thiruvathipuram have to resort ground water or other alternate

sources of supply for the domestic needs.

8.1.4 STORAGE AND DISTRIBUTION NETWORK

The existing distribution system comprises of distribution network from the service

reservoirs to the individual house service connections and commercial

establishments which covers 81% of the total road length in the town (50.36 Km).

The existing network system was laid out to cover high dense area with 1.5 hr in the

different parts of the town. At present, the water is distributed for duration of 2 hour

once in 3 days to cover different wards in the town. Table 8.4 shows the water supply

connection details in the town.

Table 8-4: Location of Over Head Tank in Thiruvathipuram Town

S.No Location Capacity L.L

1 Municipal Office Premises 10.00

2 Daily Market 8.00

3 Arani Cut Road 2.00

4 Rajaji Park 1.35

5 East Mada Street 2.00

Source: Compiled from data provided by Municipality, Thiruvathipuram

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Table 8-5: Water Supply Distribution Details in Thiruvathipuram Town

Distribution system Details

Network length 34.396 km

Storage capacity 23.35 LL

Storage reservoirs 5 Nos.

Source: Compiled from data provided by Municipality, Thiruvathipuram

8.1.5 DEMAND SUPPLY SCENARIO

Over head tank

. - 44 -

At present, the municipality is supplying

32 LL water to its residents. The

Municipality is considering that people

are getting 91 lpcd water and can be

considered shortage of supplies in order

to meet the current level of demand.

Because of insufficienct quantity of

water supplied by the municipality,

people use the unprotected water for

their other domestic needs. However, the

other sources of water are tagged as

ëUnprotected

Sourcesí owing to the dense presence of Septic Tanks in the Town, which pose a

high vulnerability of ground water contamination. With the increasing of population,

demand for water supply will increase, further the municipality has planned a

underground drainage system which will increase the demand of water. As per the

CPHEEO standard for a town which has a sewerage system, it is required to supply

water @ 135 lpcd. So, to calculate the demand for water supply, the water supply

@135 lpcd have to be adopted. Table 8-6 summarises the demand supply scenario

in the town.

Table 8-6: Demand and supply in the town

Year 2007-08 2009 2024 2039

Population 37400 38200 43800 49400

Per Capita(LPCD) 91 135 135 135

Demand@135 LPCD 50.5 51.6 59.2 66.7

Supply of Water(LLD) 34 34 34 34

Gap(LLD) 16.5 17.6 25.2 32.7

Source: Compiled from data provided by Thiruvathipuram Municipality

It may be inferred from the table 8.6, there is a large gap between current demand

and supply of water. The Present supply as per the municipal officials is 91 lpcd.

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8.1.6 ISSUES IN WATER SUPPLY SECTOR

The piping mains and distribution lines were laid in 1952 are now out lived and

cannot sustain the pressure.

Water supply is inadequate so the people are forced to use un protected and

polluted source of water.

Large number of household depends on piped water supply which is

inadequate and people are forced to use alternative water sources, which

may be infected by microbial pollution.

Amdebkar nagar area is getting low pressure flow.

All the 200 mm dia distribution pipes are AC pipes only.

Location of new infiltration wells to be indentified.

The system is running to its full capacity, yet not able to meet the current

demand and there is a need to industry new water sources and

comprehensive improvement of the water supply system.

Increasing economic activities in the town, increases the need of water

supply.

The old water supply scheme can not sustainably fulfill the demand of the

town. And the in future it will not be able to withstand pressure for additional

demand.

250 mm and 300 mm dia pumping mainís material of construction is AC only.

Hence it is not able to sustain the pressure.

Due to the absence of generators at the pumping station, water can not be

pumped during power failure and EB shut down.

The proposal to meet the demand is given in chapter 10.

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Chapter ñ8 Final Report: Thiruvathipuram Municipality

8.2 SEWERAGE AND SANITATION

8.2.1 SEWERAGE

At present, Thirupathipuram town does not have a sewerage network. Under the

predominant system of open drainage, disposal of the untreated sewage usually

over flows to pollute the residential and other industrial area of the town.

The Government of Tamil Nadu has decided to provide Under Ground Drainage to

the all the municipal towns. The Proposal for projecting the under ground scheme is

estimated at Rs 24.36 Crores.

The project components and the estimate cost is given in the table 8.7

Existing sewerage collection system

The proposal for the sewerage scheme is given in chapter 10.

8.2.2 SANITATION

Existing Toilets

Septic tank is the most common mode for disposal of sanitary waste adopted in

Thiruvathipuram town. The other modes of disposal and household distribution are

shown in Table 8-7. At per the municipal records nearly 3,628 houses have water

closet and the remaining houses do not have a safe sanitation facility.

It is evident that about 53.00% of households have access to safe mode of sanitary

disposal i.e. by the means of Septic tanks and Pit latrines. However, about 47.00% of

households do not have an access to safe mode of sanitation. .

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Table 8-7: Classification of modes of sanitary waste disposal by type

Particulars Facility by Type Households Percentage Mode

Safe mode

disposal

of Pit latrine

Water closet

217

3628

2.98

49.88

52.86

Unsafe mode of

disposal

Other latrine

No latrine

474

2955

6.52

40.62

47.14

Total Households 5852 100 100

Source: compiled from Household and Housing Amenities Census, Census of India 2001

Unsafe

Mode

Figure 8-2: Status of Toilet Facility in Thiruvathipuram Town

8.2.2.1 ISSUES IN SEWERAGE AND SANITATION PROVISION

Septic tank is the major mode of disposal and pollutes the ground water with

microbial pollution.

Public conveniences are not adequate in the town

47% of population do not have an access to sanitary facilities, and thus follow

open defecation

Lack of sewerage system and inadequate safe mode of sanitation facilities

To improve the present situation, the projects are proposed in chapter 10.

8.2.3 STORM WATER DRAINAGE

<

8.2.3.1 EXISTING CONDITION OF STORM WATER DRAINAGE

discharged in to the Cheyyar River.

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Safe

Mode

The town is has 42 km of drains (including storm

water and household drains) of which, 36.50

Km pucca drains and 5.50 Km of kutcha.The

waste water in the town is carried through

open drains. The storm water drain carries

sullage and sewage, which ultimately

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This poses a health and environmental hazard to the natural water system which

need to be addressed through a proper treatment facility for the sewage water

discharged into the Cheyyar River. No comprehensive drainage plan has been

made till date in the town. Existing surface drainage network is quite inadequate to

cater to the present day needs.

8.2.3.2 DRAINAGE CONNECTIVITY

Water stagnation is increasing in the katcha drains rather than the pucca drains in

the town. And 49% of the households either have a kutcha drain or no drainage

facility which needs a comprehensive planning. Table 8-7 shows that there are 22%

of the houses which are not connected with any type of drainage system, while 42%

of the houses are connected by open drainage i.e. earthen drainage. In the town

36% of the houses are covered with pucca drains. Apart from the absence of a

complete drainage system, the town does not have a treatment plant and the storm

water and sewage is finally discharged into the Cheyyar River.

Table 8-8: Existing Drainage Scenario

S. No. Type of Drainage No. of Houses Percentage

1. Closed drainage 2,606 35.83

2. Open drainage 3,036 41.74

3. No drainage 1,632 22.44

Source: Housing & Household Amenities Census, 2001

The proposal will be to provide closed drains to cover all the roads and streets

(30km) in a pleased manner.

8.2.3.3 ISSUES IN STORM WATER AND HOUSEHOLD DRAINAGE PROVISIONS

Water stagnation is increasing due to dumping of garbage and solid waste into the

drains and due to increasing urbanisation.

All the brick work storm water drains are get eroded.

For most of the newly developed areas there is no storm water drainage system.

Majorly, solid wastes are thrown in the storm water drain in the areas like ambedkar

nagar, weekly sandy area, near bustand etc.

Proposal to solve the issues were given in chapter 10.

8.2.4 SOLID WASTE MANAGEMENT

Solid waste management is one of the important obligatory functions of any urban

local body.

8.2.4.1 EXISTING STATUS:

The daily average generation of garbage in the Town is 20 Metric Tonne (Mt). As Per

the Capita rate Solid Waste generation is 398 grams.

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Out of the total waste generated, 85.00% of the waste is collected. There are 27

wards in the town, out which only 18 wards are covered under solid waste

management.

Table 8-9: Type of Waste Generated from Thiruvathipuram Municipality

Description of Services Status

Total Solid Waste generation/day (in MT) 20

Total Solid Waste collection/day (in MT) 16

Frequency of collection Daily

No. of dustbins provided in the town 25

Masonry Containers --

Per Capita Waste Generation (Grams) 398

Per Capita Waste Collection (Grams) 341

Source: Thiruvathipuram Municipality, 2007

Out of the total waste collected, 22% of the waster is generated from house hold,

petty shops and establishments. A negligible quantity of waste is generated from

hospitals and clinics which accounts for 0.23 MT per day. The remaining waste is

generated from markets, construction, slaughter houses etc. The details are given

with Table-below.

Table 8-10: Source of Waste Generation

Waste Composition Quantity (MT) % Generation

Households, Petty Shops and establishments 13.75 22

Vegetable, Fruit, Flower Market -- --

Meat, Fish and Slaughter House -- --

Construction -- --

General Hospital Waste 0.23 Negligible

Total 14.00

Source: Thiruvathipuram Municipality, 2007

8.2.4.2 COLLECTION OF SOLID WASTE

The collection of solid waste in Thiruvathipuram Town is through tricycles, Push carts

and storage in community bins, Collection of waste is done through door to door

mode. Out of the total 27 wards, collection and solid waste management is done in

18 of the wards. Secondary collection is done with the help of tipper and Mini

tempos, where the waste is collected transported and disposed off into the compost

site.

Type of Practices

Table 8-11: Solid Waste Practice in Thiruvathipuram Town

House-to-house waste collection

Central collection

Street sweeping and collection of

sweeping wastes

Secondary Segregation

Secondary waste collection

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Availability Practice Duration

Yes No Daily Half Weekly Weekly

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Transportation of wastes

Disposal of wastes

Source: Public Health Department, Thiruvathipuram Municipality, 2006-07

Regarding source of segregation each and every house hold is instructed by the

municipality to maintain separate basket for segregation of waste as degradable

and non-degradable. The residents are using separate baskets for segregation of the

waste and keep the baskets in front of their houses for easy handling by the

conservancy worker. The present mechanism of Solid waste management exhibits

that the waste is segregated in to degradable (other than plastics) and non-

degradable (plastics) waste. Due to construction works in the site, there is no

production of manure which takes place at the compost yard site. The municipality

already privatized wards for solid waste collection system and composting activities

in the town.

Table 8-12: Number and Type of dustbins for waste collection

Vehicle Nos. Requirement

Community Bins 120 6

Collection boxes Nil

Source: Public Health Department, Thiruvathipuram Municipality

8.2.4.3 TRANSPORTATION FACILITIES

The waste collected from the various sources are transported through and taken

outside the town and dumped in the available open land. The existing compost yard

is not provided with adequate infrastructure facilities such as Weigh Bridge, Waste

segregation platform; mechanical sewer and

security. The fleet of vehicles for transporting waste is

not adequate. And lack of waste collection system

to achieve segregation at source leads to non-

retrievable collection of the probable reusable

waste resources. The details of vechile used in the

municipality is given in the table 8.13

Table 8-13: Detail of Vehicles for Solid Waste Management in Thiruvathipuram Municipality

S.No. Using Section

Registration

Number

. - 50 -

Year of

purchase

Type of

vehicle

Make

1 Public Health TAI - 633 1988 Lorry Ashok Leyland

2 Public Health TN.25 - Z-8515 1997 Lorry TATA

3 Public Health TN.25 - Y-1221 1997 Lorry Ashok Leyland

4 Public Health TN.25 - Y-3990 1998 Lorry Swaraj Mazda

Source: Public Health Section, Thiruvathipuram Municipality, 2007-08

Nearly 16 tonnes of waste per day is collected for disposal. But only 10.75 tonnes is

disposed in the secondary segregated format in the dumping ground. The rest of the

material like building material is dumped in low lying area and the recyclable

material used to send for recycling.

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Table 8-14: Number and Type of vehicles used for Transportation

S.No. Vehicle Nos.

1 Lorry 1

2 Tipper Lorry 1

3 Mini Lorry 2

4 Tricycles 2

5 Community Bins 120

Push Carts 22

Source: Public Health Department, Thiruvathipuram Municipality

8.2.4.4 DISPOSAL OF SOLID WASTE

At present, there is no full-fledged compost yard, facility is not available for solid

waste dumping and however the waste is generally deposited in the open land

away from the town centre. The existing compost yard is not provided with

adequate infrastructure facilities such as Weigh Bridge, Waste segregation platform,

mechanical sewer and security.

8.2.4.5 ISSUES IN SOLID WASTE MANAGEMENT

Un-scientific solid waste management strategy

Improper management of waste at storage points

Hazardous domestic wastes (like aerosol cans, used batteries, cosmetic items,

broken light bulbs, paints, etc.) re dumped together with other waste.

Lack of Safety suits - Injurious to the health of the sanitation workers and

reduces the productivity of the manpower

Bio-medical wastes are also disposed off unscientifically which may pose

serious future health hazard

Transportation of the waste material is by open tractor trolleys

All the waste is open dumped out from the periphery of the Nagar Palika

boundary and it is neither spread nor covered.

The proposal for the solid management is given in chapter 10.

8.2.5 STREET LIGHTING

[[[

8.2.5.1 STATUS OF STREET LIGHTING

There are a total of 1515 light fixtures within the town of Thiruvathipuram. The kinds of

lightings used are Tube lights, S.V. Lights and M.V Lights. Tube lights account for the

highest number followed by S.V. Lights and 30 M.V Lights are being used in the town

as detailed below.

The streets in the residential areas are provided with tube lights. The average

distance between the poles is 30 meter. However, the distance between the street

light poles on all the roads varies from 20 meter, 30 meter to 40 meter. On the other

roads, an average distance of 30 meter is maintained but the height of the street

lights is very low in comparison with the standards.

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Table 8-15: Number of Street Lights in Thiruvathipuram Municipality

Street Lights Total Number % to total Lightings

Tube Lights 1266 83.50

S.V. Lights 197 13.00

M.V. Lights 30 2.00

Energy saving light 20 1.00

High mast light 2 0.5

Total 1515 100.00

Source: Engineering Department, Thiruvathipuram Municipality

The major problem with these street lights that there are no specialised poles for

street lighting and as a result lights are implanted on electricity poles which are

relatively shorter in height and restricts the spread of light to a limited area. Street

lights should be removed from electricity poles and separate poles should be raised

to maintain its height.

8.2.5.2 ISSUES IN STREET LIGHTENING PROVISIONS

No criteria and standards were taken in to consideration when providing

street lights

Electric poles are used for provision of street lights so height of these lights is

very low results in low spread of lights.

New lights have to be provided in the ambedkar nagar, velsomasundaram

nagar, Anna nagar, gidangu street, etc

Narrow paths where these poles become hindrance to traffic

The placing of street lights is very near and this results in more spending on

infrastructure and more electricity bills.

The proposals for the street lights are given in chapter 10.

8.2.6 TRAFFIC AND TRANSPORTATION

Four major roads, namely to Arni-Thiruvannamalai, Arcot-Vellore, Kancheepuram-

Chennai and Vandavasi-Tindivanam pass through Thiruvathipuram Town. All these

roads carry heavy traffic, leading to intensive use of the road.

8.2.6.1 REGIONAL LINKAGES- ROADS

This town is having good transport facilities for all directions through National

Highways and Major District Roads. These roads are giving access to surroundings

important towns like Arcot, Thirupathipuram, Vellore, Arani and Katpadi. It also

connects metro cities namely Chennai and Bangalore.

The town is not well connected with rail as the railway line on its west passing though

Kahnamangalam, Polur, Turinjapuram and Tiruvannamalai.

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8.2.6.2 TOWN LEVEL ROAD NETWORK AND HIERARCHY

The roads/ streets in the town are looked after by the municipality. Nearly all the

roads in the town are metalled. The municipality is maintaining 50.366 Km roads with

in the town. The category of the roads maintained by the municipality is given in

table below:

Table 8-16: Types of Roads in Thiruvathipuram Municipality

S. No. Type of Roads Length in Km

1 B.T. Road 35.682

2 C.C Road 6.84

3 Earthen Road 7.844

Total 50.366

8.2.6.3 PARKING

Congestion on the road

8.2.6.4 PEDESTRIAN PATHS

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There is no authorised parking area in the

town. Hence, private vehicles as well as auto-

rickshaws are generally parked on road

intersection or along the road.

There is no provision of pedestrian along the major and minor roads and people

face problem in walking on the main roads also this creates problem for the fast

moving traffic. The both sides of the main roads are encroached by shop owners on

the existing carriage way up to 1 meter and it acts as a hindrance for free flow of

traffic.

8.2.6.5 PUBLIC TRANSPORT SYSTEM

There is no public transportation system within the town. However para-transit modes

like auto rickshaws are available for intra town movement. There are approximately

150 auto rickshaws in the town. There are no authorised parking spaces for auto

rickshaws. Bus transport provides connectivity to nearby areas as well as to other

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Chapter ñ8 Final Report: Thiruvathipuram Municipality

major towns. These buses are being run by State Government Transport Department

as well as by private operators.

8.2.6.6 ISSUES IN TRAFFIC AND TRANSPORTATION SECTOR

The road junctions at ghandhi road and Tindivanam road are with poor

geometrics.

Majority of town roads like vathiyar street, east mada street, china street etc.,

are narrow and there is no scope of widening

There is no provision of signage provided at road and Tindivanam road

junction etc.

Absence of foot paths and people walk on the roads, where fast moving

traffic takes place.

There are no proper authorised parking plots or demarcated parking areas

with all infrastructures.

Haphazard parking all along the main roads increases congestion.

The proposals for the traffic and transportation is given in chapter 10.

8.2.7 SOCIAL INFRASTRUCTURE FACILITIES

8.2.8 EDUCATIONAL FACILITIES

Schools

There are 7 Primary Schools, 3 middle schools, 5 High Schools and 2 Higher

Secondary schools. The population served by each primary school is about 8000,

which is more than UDPFI standard, but the student strength is less than prescribed of

500. Similarly, the total population served by each and middle school, matriculation

school and secondary school is about 14737, which is more than standards

recommended by the UDPFI standards.

The details of education facilities is given in the below table.

Table 8-17: Details of Education Facilities

Ward No. School / College Name LOCATION & ADDRESS

1 R.C.M. School Hanumanthapet, Arcot Road, Cheyyar

2 Saint Paulsí High School Hanumanthapet, Arcot Road,Cheyyar

3 Baritipuram East Kasikara Street, Cheyyar

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Ward No. School / College Name LOCATION & ADDRESS

4 Govt. Girls Hr. Sec., School Bungalow Street, Cheyyar

5 Govt. Boys Hr. Sec., School Hanumanthanpet, Arcot Road, Cheyyar

6 Muslium School New Mosque Street, Cheyyar

7 Koda Nagar Municipal School Koda Nagar, Cheyyar

8 Barithipuram West Gandhi Road, Nearby Market, Cheyyar

9 Giritharanpet Middle School Old Hospital Road, Cheyyar

10 Vazhurpet Othavadai Street, Cheyyar

11 Municipal School Venkatrayanpet Sait Nagar, Cheyyar

12

Dr.Ambedkar

School

Nagar Municipal

Dr.Ambedkar Nagar, Cheyyar

13 Thiruvathur Middle School Kumaran Street, Cheyyar

14 Govt. High School, Thiruvothur Thiruvothur, Cheyyar

15 Atrangarai Municipal School Atrangarai Street, Cheyyar

Source: Thiruvathipuram Municipality

Annganvadi

8.2.8.1 ISSUES IN EDUCATIONAL INSTITUTIONS

The infrastructure facilities in the school are to be improved.

No awareness on computer education.

Lagging in furniture facilities

The proposals for the educational institutions are given in chapter 10.

8.2.9 EXISTING STATUS OF HEALTH FACILITIES

In the town there are 25 hospitals and clinics for patients.

8.2.9.1 ISSUES IN HEALTH SERVICE PROVISIONS

Higher health facilities are not available in the Government Hospital as well as in the

Private nursing homes so people go to Vellore to avail them.

8.2.9.2 PROPOSED PROJECTS COST FOR MATERNITY CENTER.

For the maternity centre already Rs.10 lac is funded from the part II scheme.

A new maternity centre in south side to be provided.

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8.2.10 PARKS AND PLAY FIELDS

The town having many municipal parks and undeveloped parks in the municipality

limit. No. of municipal parks is 10 numbers and No. of Undeveloped parks is 10

numbers The proposal for the open spaces are given in chapter 10.

8.2.11 MARKETS

In the Thiruvathipuram municipality market is located at kamaraj nagar. In the

market 75 shops and 32 stalls presently exist. The existing market is in bad condition.

No availability of parking places to the vehicles. The proposal for the market are

given in chapter 10.

8.2.12 SLAUGHTER HOUSE

The existing municipal slaughter house at kamaraj nagar is in bad condition with

poor infrastructure facilities.

8.2.12.1 ISSUES:

Improper or inadequate upkeep of the slaughter house

Inadequate water supply in the slaughter house

Inadequate lighting arrangements

Old structures and no safe mode of disposal of waste

The proposal for the slaughter house are given in chapter 10.

8.2.13 BURIAL GROUND

There are 4 number of burial grounds located in Kamaraj nagar, Ambedkar nagar,

Koda nagar and Thiruvathur. The basic infrastructure facilities to be available to be

improved.

8.2.13.1 ISSUES:

In the Thiruvathur and kamaraj nagar burial ground having inadequate water

supply system.

In the Thiruvathur and kamaraj nagar burial ground only one light is provided

in the entrance lighting arrangements in Burial ground

The proposal for the Burial ground is given in chapter 10.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

9 MUNIICIIPAL FIINANCE

9.1 OVERVIEW

Thiruvathipuram Municipality maintains a municipal fund for managing the finances

of the Municipality. The accounts of the municipal fund were maintained on cash

based single entry system till the year 1999-2000. From 1.4.2000 onwards, accrual

based double entry book keeping system was implemented. The Municipality

maintains accounts separately for General Fund, Water Supply and Sewerage Fund

and Education Fund.

This Section contains a description of the municipal finances, the sources and uses of

funds, and an assessment of municipal finances based on important financial

indicators.

9.2 GENERAL DETAILS

Thiruvathipuram is located at Vellore District and the total population as per 2001

census is 35201 Nos. Out of the same the total urban poor is 4126 Nos., comprising

11.72% of the total population. The total number of slums is 9 Nos. with total slum

population of 8946 Nos, which aggregates to 25.41% of total population.

It is a Grade II municipality.

9.3 RECEIPTS

Receipts under the Revenue Account include taxes and fees, grants, water &

sewerage charges, income from properties, service charges charges & fees and

other income.

9.3.1 PROPERTY TAX

Property Tax is the single largest tax revenue source and accounts for around 22% of

the total revenue. This tax is levied on residential, commercial, industrial and vacant

lands. The property tax is levied on the basis of Annual Rental Value of the property.

The property tax is levied on the annual value of the property, which is determined

on the basis of gross rent at which the property can be reasonably expected to be

let out.

The Municipality currently charges property tax @ 30% per annum on the basis of

Annual Rental Value. The components of property tax are as below :

Table 9-1: Property Tax Components

S.No Particulars % (Per Annum)

1 General 21%

2 Scavenging Lighting and Scavenging are included

3 Lighting In the General Purpose Tax

4 Water Tax & Sewerage Tax 4%

5 Education 5%

Total 30%

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The total number of property tax assessments is 6894 Nos. the breakup of which is as

below

Table 9-2: Property Tax Assessments

S.No Particulars Nos.

1 Domestic 5372

2 Commercial 1562

3 Industrial -

4 State Government Properties 49

5 Public Sector Undertakings 13

Total 6996

The last revision of Property Tax was carried out on 01.10.1998.

The total property tax collections during the last 5 years ended 2005-06 is as below :

Table 9-3: Property Tax ñ Growth during last 5 years

S.No Year Rs. in lacs % Growth Rate

1 2001-02 33.40 -

2 2002-03 35.29 5.66%

3 2003-04 36.15 2.44%

4 2004-05 38.04 5.23%

5 2005-06 39.94 4.99%

It may be observed from the above that the average property tax collection is

around Rs. 40 lacs per annum and average growth over the years is around 5%.

The demand and collection of property tax over the last 5 years is as below :

Table 9-4: Property Tax ñ Demand Collection % (Rs. in lacs)

S.No Property Tax 2001-02 2002-03 2003-04 2004-05 2005-06

1 Demand

- Current 36.11 37.79 38.47 40.24 39.00

- Arrears 29.40 30.66 31.11 35.60 43.91

Total 65.51 68.45 69.58 75.84 82.91

2 Collection

- Current 23.99 25.56 25.03 27.30 24.38

- Arrears 12.35 11.84 9.17 11.91 14.04

Total 36.34 37.40 34.20 39.21 38.42

3 Collection %

- Current 66% 68% 65% 68% 63%

- Arrears 42% 49% 29% 33% 32%

Total 55% 55% 49% 52% 46%

The current collection performance of property tax is very poor at around 68% and

the arrears collection performance is around 30%.

9.3.2 PROFESSION TAX

Profession Tax is another source of revenue to ULB. Profession tax is a tax deducted

from the salaries of the employees falling with in the Municipality and is collected

from all registered organizations, companies or firms, public or private, individuals

and State & Central Government Departments. Currently profession tax is deducted

on a slab basis.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The total number of profession tax assessments is 1490 Nos., out of which state /

central / quasi Govt. employees comprise 1004 Nos., private employers / companies

is Nil and traders / self employed professionals 486 Nos. Profession Tax was last revised

in 2003.

During the last 6 years, it has increased from Rs. 6 lacs to Rs. 8 lacs. It accounts for

around 3.5% of the total revenue. The profession tax for the last 5 years is as below:

Table 9-5: Profession Tax ñ Growth during last 5 years

S.No Year Rs. in lacs % Growth

1 2001-02 5.83 -

2 2002-03 6.48 11.15%

3 2003-04 7.00 8.02%

4 2004-05 8.23 17.57%

5 2005-06 5.58 (32.20%)

The demand and collection of profession tax over the last 5 years is as below :

Table 9-6: Profession Tax ñ Demand Collection % (Rs. in lacs)

S.No Profession Tax 2001-02 2002-03 2003-04 2004-05 2005-06

1 Demand

- Current 5.81 5.85 7.36 7.50 7.76

- Arrears 8.10 8.30 7.38 7.47 5.60

Total 13.91 14.15 14.74 14.97 13.36

2 Collection

- Current 4.94 5.00 6.51 6.75 7.53

- Arrears 0.66 0.43 0.38 0.47 1.04

Total 5.60 5.43 6.89 7.22 8.57

3 Collection %

- Current 85% 85% 88% 90% 97%

- Arrears 8% 5% 5% 6% 19%

Total 40% 38% 47% 48% 64%

The Municipality has average current collection performance of 90% and the arrears

collection performance is low at around 10%.

9.3.3 ASSIGNED REVENUES

This item head comprises of income from Government of Tamil Nadu (GoTN) / State

transfers of municipal income collected by the state line department. Transfers are in

the form of municipalityís share of taxes levied and collected by GoTN from

establishments / operations within municipal limits.

Surcharge on transfer of immovable properties and entertainment tax are the major

items on which these revenues are realized by municipality.

This income varies from year to year. The items under this category accounted for

nearly 12% of the total municipal revenue. The assigned revenue for the last 5 years is

as below:

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

Table 9-7: Assigned Revenue ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Assigned Revenue

Duty on transfer of property 10.07 29.80 34.75 13.54 0.30

Entertainment Tax 5.54 2.76 1.02 6.15 0.68

Total 15.61 32.56 35.77 19.69 0.98

2 % of Total Income 10.01% 15.81% 15.87% 10.19% 0.57%

3 % Growth - 108.58% 9.86% (44.95%) (95.02%)

It may be observed that Assigned Revenue has increased from Rs. 15 lacs to Rs. 19

lacs over the years. In case of entertainment tax, the Commercial Department

collects entertainment tax from cinema halls functioning within municipal limit. The

CT Department transfers 90% of total tax collection to municipality and retains 10%

towards management charges. The Thiruvathipuram Municipality has 3 theatres and

the income from entertainment tax has reduced over the years.

9.3.4 REVENUE DEVOLUTION FUNDS IN AID OF REVENUE EXPENDITURE

Grants in aid of revenue expenditure got boosted up following the 74th CAA and

the same is reflected in the Municipality Revenue. The item mainly comprises

revenue grants and compensations from State Government under various heads.

The regular grants include the SFC grants and others include aid grants, grants for

services like roads, buildings, maternity and child welfare, public health, contributions

for elementary and secondary schools and etc. Grants which are for specific

purposes are adhoc in nature.

This income varies from year to year. The items under this category accounted for

nearly 30% of the total municipal revenue. The assigned revenue for the last 5 years is

as below:

Table 9-8: Devolution Fund ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Devolution Fund 42.24 58.88 83.18 51.75 63.97

Total 42.24 58.88 83.18 51.75 63.97

2 % of Total Income 27.09% 28.60% 36.90% 26.78% 37.48%

3 % Growth - 39.39% 41.27% (37.79%) 23.61%

As per SFC recommendation, 12% of state revenue under Pool B is transferred to

each local body based on formula recommended by SFC. The fluctuation in SFC

grant is due to delay and deduction at source.

9.3.5 WATER CHARGES

The water charges and deposits collected by the Municipality are as below :

Table 9-9: Water Tariff & Deposit

S.No Category Tariff Deposits

1 Domestic Rs. 40/- per month Rs. 4000/-

2 Commercial Rs. 80/- per month Rs. 8000/-

3 Industrial Rs. 120/- per month Rs. 12000/-

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The last revision of tariff was in 2002. The total number of house service connections

(HSC) is 4282 Nos., the breakup of which is as below :

Table 9-10: No. of House Service Connections

S.No Particulars Nos.

1 Domestic 3699

2 Commercial 124

3 Industrial 70

Total 3893

The percentage of water supply connections to property tax assessments is 56%,

which is less than norms. It could be further stepped to around 85%.

The water charges for the past 5 years is as below :

Table 9-11: Water Charges ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Water Charges 16.67 17.93 18.94 19.65 20.28

Total 16.67 17.93 18.94 19.65 20.28

2 % of Total Income 10.69% 8.71% 8.40% 10.17% 11.88%

3 % Growth - 7.56% 5.63% 3.75% 3.21%

It may be observed that water charges account for around 10% of total income.

There has been growth of 6% over the last 5 years.

The water connection charges for the past 5 years is as below :

Table 9-12: Water Connection Charges ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Water Connection Charges 15.19 9.73 7.13 5.70 2.04

Total 15.19 9.73 7.13 5.70 2.04

2 % of Total Income 9.74% 4.73% 3.16% 2.95% 1.20%

3 % Growth - (35.94%) (26.72%) (20.06%) (64.21%)

It may be observed that water connection charges accounts for about 3% of the

total income. The income from water connection charges has decreased by 35%

over the years.

The last date of revision of water charges was in 2002. The demand collection

balance statement of water charges for the last 5 years is as below :

Table 9-13: Water Charges ñ Demand Collection % (Rs. in lacs)

S.No Water Charges 2001-02 2002-03 2003-04 2004-05 2005-06

1 Demand

- Current 16.67 17.67 18.85 19.39 20.28

- Arrears 6.56 9.89 9.87 13.43 39.79

Total 23.23 27.56 28.72 32.82 60.07

2 Collection

- Current 10.75 12.49 12.15 10.13 11.39

- Arrears 2.62 5.17 3.13 4.25 7.93

Total 13.37 17.66 15.28 14.38 19.32

3 Collection %

- Current 64% 71% 64% 52% 56%

- Arrears 40% 52% 32% 32% 20%

Total 58% 64% 53% 44% 32%

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The municipality has extremely poor collection performance, with current collection

charges at around 60%. The arrears collection % is around 40%.

9.3.6 DRAINAGE CHARGES

The Municipality does not have a under ground drainage system and the number of

households with septic tank facility is 4326 Nos.

9.3.7 SERVICE CHARGES & FEES

The Municipality receives service charges and fees in the form of trade license fees,

building license fees, fees for bays in bus etc. The income in the form of service

charges and fees received during the last 5 years is as below :

Table 9-14: Service Charges & Fees ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Service Charges & Fees 3.88 6.15 7.67 7.85 9.21

Total 3.88 6.15 7.67 7.85 9.21

2 % of Total Income 2.49% 2.99% 3.40% 4.06% 5.40%

3 % Growth - 58.51% 24.72% 2.35% 17.32%

It may be observed that service charges & fees accounts for around 5% of the total

income. There has been growth of around 25% over the last 5 years.

9.3.8 INCOME FROM PROPERTIES & OTHER INCOME

The Municipality receives income by way of market fees ñ daily market, lease of

land, rent on shopping complex & buildings, rent on bunk stalls, fees on pay & use

toilets etc.

Other income comprises interest from bank & investments, deposits lapsed, income

from cable TV operations, project overhead expenses and interest apportioned

misc. recoveries and other income.

The income from properties and other income received during the last 5 years is as

below :

Table 9-15: Income from Properties & Other Income ñ Growth & % of Total Income (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1

Income from

other income

Properties and

21.25 38.78 29.60 42.33 28.12

Total 21.25 38.78 29.60 42.33 28.12

2 % of Total Income 13.63% 18.84% 13.13% 21.91% 16.48%

3 % Growth - 82.49% 23.67% 43.01% 33.57%

It may be observed that income from properties and other income together

accounts for around 18% of total income and the same has shown growth rate of

17% over the last 5 years.

The demand collection balance statement of income from properties and other

income for the last 5 years is as below :

Table 9-16: Non Tax Income ñ Demand Collection % (Rs. in lacs)

S.No Other Income 2001-02 2002-03 2003-04 2004-05 2005-06

1 Demand

- Current - - 40.20 26.86 46.55

- Arrears - - 10.02 2.60 25.45

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

Total - - 50.22 29.46 72.00

2 Collection

- Current - - 38.60 25.97 37.12

- Arrears - - 9.02 2.47 24.86

Total - - 47.92 28.44 61.98

3 Collection %

- Current - - 96% 97% 80%

- Arrears - - 90% 95% 98%

Total - - 95% 97% 86%

On the average, the total current collection performance of other income is high @

95% and the arrears collection performance is also around 95%.

9.4 EXPENDITURE

The revenue expenses mainly comprises of establishment charges, power charges

for street lighting, water supply, repairs & maintenance and other revenue expenses

on account of maintenance of roads, public health etc.

9.4.1 ESTABLISHMENT EXPENSES

The major revenue expenditure incurred by the Municipality is establishment

expenses comprising personnel cost and terminal benefits. The details of

establishment expenses for the last 6 years is as below :

Table 9-17: Establishment Expenses ñ Growth & % of Total Expenditure (Rs. in lacs)

S.No Estb Expenses 2001-02 2002-03 2003-04 2004-05 2005-06

1 Personnel ñ Salaries 78.42 80.55 78.63 72.54 71.29

2 Terminal & Retirement Benefits 1.90 8.93 8.90 8.79 1.26

Total 80.32 89.48 87.53 81.33 72.55

3 % of Total Expt 43.97% 42.35% 43.21% 36.45% 37.71%

4 % Growth - 11.40% (2.18%) (7.08%) (10.80%)

The establishment expenses constitute around Rs.75 lacs per annum and accounts

for around 40% of the total expenditure.

9.4.2 O&M EXPENSES ñ WATER SUPPLY

The next major share of expenditure goes for water supply and drainage works. The

same accounts for around 18% of the total expenditure.

O&M expenses on account of water supply comprises power charges of head

works, pumping stations and booster stations, maintenance expenses for water

supply works, vehicle maintenance etc. The O&M expenses on account of water

supply for the last 6 years is as below :

Table 9-18: O&M Expenses (Water Supply) ñ Growth & % of Total Expenditure (Rs. in lacs)

S.No O&M - Water Supply 2001-02 2002-03 2003-04 2004-05 2005-06

1 Power Charges 4.54 12.26 10.49 10.07 10.39

2 Maintenance Exps 2.11 3.69 1.00 4.34 1.25

3 Vehicle Maint. 0.21 0.40 0.42 0.45 0.59

4 Others 1.08 0.87 1.47 1.56 0.88

Total 7.94 17.22 13.38 16.42 13.11

% of Total Expt 4.35% 8.15% 6.60% 7.36% 6.81%

% Growth - 116.88% (22.30%) 22.72% (20.16%)

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The O&M Expenses ñ water supply constitutes around Rs. 15 lacs per annum and the

main component of the same is power charges. The O&M water supply has grown

on an average by 25% over the years.

9.4.3 O&M EXPENSES ñ STREET LIGHTS & OTHERS

The O&M expenses on account of street lights and others comprises power &

maintenance charges on street lights & buildings, sanitary & conservancy expenses,

vehicle maintenance, repairs & maintenance ñ buildings, roads and others. The

expenses on account of street lights & others for the last 6 years is as below :

Table 9-19: O&M Expenses (Street Lights & Others) ñ Growth & % of Total Expt (Rs. in lacs)

S.No O&M ñ Street Lights & Others 2001-02 2002-03 2003-04 2004-05 2005-06

1 Operative Expenses 14.83 16.14 18.07 15.67 16.52

2 Repairs & Maintenance 4.04 4.21 6.37 5.66 11.25

Total 18.87 20.35 24.44 21.33 27.77

3 % of Total Expt 10.33% 9.63% 12.06% 9.56% 14.43%

4 % Growth - 7.84% 20.10% (12.73%) 30.19%

The O&M expenses ñ street lights and others constitute around Rs. 25 lacs per annum

and accounts for 12% of total expenditure. The same has been growing @ 11% p.a.

9.4.4 ADMINISTRATION & OTHER EXPENSES

Besides establishment and O&M expenses, administration expenses form the major

part of revenue expenditure. The summary of administration expenditure over the

last 6 years is given below :

Table 9-20: Administration Expenses ñ Growth & % of Total Expenditure (Rs. in lacs)

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06

1 Administration Expenses 4.60 12.43 9.06 31.38 11.24

Total 4.60 12.43 9.06 31.38 11.24

2 % of Total Expt 2.52% 5.88% 4.47% 14.06% 5.84%

3 % Growth - 170.22% (27.11%) 246.36% (64.18%)

The administration expenses comprise around 5-6% of the total expenditure and on

an average constitute Rs. 10-12 lacs per annum.

9.5 SUMMARY OF FINANCES

We summarise below the finances of Thiruvathipuram Municipality for the last 6 years

Table 9-21: Summary of Finances for last 6 years

S.No Particulars

Audited (Rs. in lacs)

2001-02 2002-03 2003-04 2004-05 2005-06

1 Income 155.93 205.89 225.45 193.24 170.66

2 Expenditure 112.44 141.70 134.67 150.84 124.70

3 Surplus before Int & Depreciation 43.49 64.19 90.78 42.40 45.96

4 Finance Charges 25.62 32.87 30.74 33.76 9.08

5

Surplus /

Depreciation

(Deficit) before

17.87 31.32 60.04 8.64 36.88

6 Depreciation 44.60 36.71 37.18 38.51 58.63

7 Net Surplus / (Deficit) -26.73 (5.39) 22.86 (29.87) (21.75)

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

Note :

The real autonomy of any organisation depends on its financial autonomy. Weak tax

base, inadequate tariff level and poor collection performance have continued to

be the salient features of local bodies in India.

In the case of Thiruvathipuram Municipality, it is observed that the Municipality

has shown deficit in all the years except 2003-04. The surplus in 2003-04 is because

of higher contribution in the form of Grants and Devolution Funds.

Prior to depreciation, the Municipality has shown surplus in all the years. Thus the

deficit incurred is mainly on account of depreciation which is around Rs. 40-50

lacs per annum. But the Municipality needs to undertake lot of fiscal reforms and

full leverage of its assets over the next few years to improve its financial strength

and thereby undertake new projects.

The summary of finances of the Municipality under the broad heads of income

and expenditure for the last 6 years is as below :

Table 9-22: Head-wise Income & Expenditure for last 6 years

S.No Particulars

Audited (Rs. in lacs)

2001-02 2002-03 2003-04 2004-05 2005-06

1 Income

Property Tax 33.40 35.29 36.15 38.04 39.94

Profession Tax 5.83 6.48 7.00 8.23 5.58

Water & Drainage 31.78 27.66 26.08 25.35 22.32

Assigned Revenue 15.61 32.56 35.77 19.69 0.98

Devolution Fund 42.24 58.88 83.18 51.75 63.97

Serv. Chgs & Fees 35.75 33.81 33.75 33.20 31.53

Grants & Cont. 1.85 0.00 0.00 0.00 0.00

Sale & Hire Chgs 0.00 0.09 0.00 0.00 0.54

Other Income 21.25 38.78 29.60 42.33 28.12

Total Income 155.93 205.89 225.45 193.24 170.66

2 Expenditure

Personnel Cost 78.42 80.55 78.63 72.54 71.29

Terminal Benefits 1.90 8.93 8.90 8.79 1.26

O&MñStreet Lights 14.83 16.14 18.07 15.67 16.52

O&M ñ Water 5.00 12.83 10.78 10.75 10.69

Repairs & Maint. 7.44 10.81 9.23 11.43 13.70

Programme Exps 0.25 0.01 0.00 0.28 0.00

Administrative Exp 4.60 12.43 9.06 31.38 11.24

Finance Expenses 25.62 32.87 30.74 33.76 9.08

Depreciation 44.60 36.71 37.18 38.51 58.63

Total Expenditure 182.66 211.28 202.59 223.11 192.41

Surplus / (Deficit) -26.73 (5.39) 22.86 (29.87) (21.75)

It may be observed that the Municipality has shown deficit in all the years except

2003-04. The surplus in 2003-04 is due to increase in Devolution Funds income in

that year.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The assigned revenue of the municipality has increased by around 10% p.a. over

the last 5 years and accounts for 12% of total income. Devolution Fund, which

accounts for 30% of the total revenue has increased by 15% over the last 5 years.

The municipalityís own resources has also shown increase of only around 7% over

the last 5 years. The municipalityís own revenue comprises property tax,

profession tax, water charges and income from properties have all shown growth

of around 7% over the last 5 years.

The total accumulated surplus of the Municipality as on 31st March 2006 stands at

Rs. 1179.93 lacs. As against the same, the total fixed assets comprising land,

buildings, plant & machinery, vehicles etc. stands at Rs. 1670.08 lacs. Out of the

total fixed assets, the value of land is Rs. 1192.92 lacs.

The total loans of the Municipality as on 31st March 2006 stands as below :

Table 9-23: Borrowings of the Municipality (Rs. in lacs)

S.No Loan from Purpose Rate of Interest O/s as on 31.3.06

1 Government Loan - 1.56

2 TUFIDCO Loan

Various purpose

& water supply

9.75% 116.26

3 TNUDF Loan Special Roads 50.00

Total 167.82

As against the same, the contribution by Municipality, contribution by

Government and Grants from Government as on 31st March 2006 stands as

below :

Table 9-24: Status of Contributions & Grants

S.No Particulars Rs. in lacs

1 Contribution by Municipality 72.11

2 Contribution by Government 95.85

3 Contribution by Private Parties 1.50

4 Grants from Government 115.40

Total 284.86

It is observed from the above that around 60% of the fixed assets excluding Land

have been funded by means of Contribution and Grants from Government over

the years and the balance 40% from Loans.

The average current collection efficiency of the municipality is low in case of

property tax and water charges @ 60% and 68% respectively and good in case of

profession tax and non tax revenue @ 90% and 95% respectively. The arrears

collection performance is also poor.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

The broad financial analysis of the Thiruvathipuram Municipality finances reveal

that the Municipality has to necessarily increase its own sources of income and

collection efficiency for servicing the additional borrowings in the future.

To summarise, the overall income pattern of the Thiruvathirpuram Municipality

indicates both positive and negative features. The positive trends are on the

income side, where the Municipality has higher growth rate in income than

growth in expenditure. Besides the municipality has shown surplus prior to

depreciation in all the years.

But the growth in income is higher mainly on account of growth in Grants income

comprising Devolution Fund and Assigned Revenue. The growth in Own Income is

only 7% p.a. as against growth in Grants Income of around 25% p.a.

Though the Municipality borrowings are around Rs. 167 lacs, it is quite high

considering other factors. The municipality can resort to further borrowings for

new project identified only based on the additional income to be generated.

Around 56% of the property tax assesses have water connections, but it can be

further improved up to 85%. The population per residential assessment is high at

6.55 persons, which indicates low coverage.

On the negative side, the municipality has a very poor collection performance in

respect of property tax and water charges. The non tax income needs to be

further increased and the Municipality should look in to ways and means for

increasing non tax income. Therefore the municipality has to look at various

mechanisms to improve its scope of own income to service the additional

borrowings in the coming years.

With more effective management of resources, there is scope for further

enhancing credit worthiness and revenues of the Municipality.

On our review of the past 5 years financials of Thiruvathipuram Municipality, we find

the following major variations in the various heads of income and expenditure

resulting in disparities in financial results :

The accounts for the year 2005-06 are unaudited and the accounts for 2006-07 are

not fully available. The major variations in income and expenditure for the year 2005-

06 are as below :

Income

Assigned Revenue comprising Duty on Transfer of Property has not been accounted

for the year 2005-06. The same works out to around Rs. 15-20 lacs per annum. The

Municipality should obtain these figures and incorporate the same in Accounts.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

Expenditure

Interest and Finance Charges have not been provided for the year 2005-06. The

same works out to around Rs. 25 lacs per annum.

Terminal and Retirement Benefits have not been provided for the year 2005-06.

The same works out to around Rs. 8-10 lacs per annum.

9.6 KEY FINANCIAL INDICATORS

A set of key financial indicators has been derived using the financial data procured

from the Municipality for the assessment period. These indicators are used to assess

the municipal performance with regards to resource mobilization, fund utilization,

financial performance and collection efficiencies.

9.6.1 RESOURCE MOBILISATION INDICATORS

These indicators summarise the performance of the Municipality with regards sources

of funds. Thiruvathipuram Municipality derives about 62 percent of its revenue

income from own sources, while grants account for just about 38 percent of the

revenue income.

Table 9-25: Resource Mobilisation Indicators

S.No Indicators Value

1 Per Capital Income Rs. 439/- p.a.

2 Share of Own Sources in Total Revenue Income 62%

3 Share of Property Tax in Total Revenue Income 23%

4 Share of Revenue Grants & Subsidies in Total Revenue Income 38%

5 Growth in Revenue Income 2.36% p.a.

6 Growth of Own Sources of Revenue Income 2.46% p.a.

7 Per Capital Own Income Rs. 272/- p.a.

9.6.2 FUND APPLICATION INDICATORS

These indicators are a measure to ascertain the utilization from the municipal fund.

Around 38% of the revenue expenditure is spent on establishment heads, around

21% for municipal assets and services, leaving mere 31% for debt servicing and

administration expenses. Establishment expenditure accounts for about 41% of the

total revenue generated by the municipality.

Table 9-26: Fund Application Indicators

S.No Indicators Value

1 Per Capita Expenditure Rs. 495/- p.a.

2 Share of Establishment Expenses in Total Revenue Expenditure 38%

3 Share of O&M Expenditure in Total Revenue Expenditure 21%

4 Share of Establishment Expenditure to Total Revenue Income 41%

5 Growth in Establishment Expenditure (2.42%) p.a.

6 Growth in O&M Expenditure 12.5% p.a.

7 Growth in Total Revenue Expenditure 1.33% p.a.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

9.6.3 LIABILITY MANAGEMENT INDICATORS

These indicators are a measure to ascertain the utilization from the municipal fund

regarding debt servicing. The ratio of debt servicing to revenue income is at 19.31%

during the assessment period. The per capita average debt outstanding is high at Rs.

432/- and the per capita outstanding debt to property tax demand is around 420%

of the property tax demand for the current year.

Table 9-27: Liability Management Indicators

S.No Indicators Value

1 Per Capita Liability

- Outstanding Debt per Capita Rs. 432/-

- Outstanding Non Debt Liability per Capita -

- Total Outstanding Liability per Capita Rs. 432/-

2 As a proportion of Property Tax Current Demand

- Outstanding Debt as % of Property Tax Demand 420%

- Outstanding Non Debt Liability as % of Property Tax Demand -

- Total Outstanding Liability as % of Property Tax Demand 420%

3 As a proportion of Property Tax Own Revenue Income

- Outstanding Debt as % of Own Revenue Sources 159%

- Outstanding Non Debt Liability as % of Own Revenue Sources -

- Total Outstanding Liability as % of Own Revenue Sources 159%

4 Non Debt Liability as % of Total Liability -

5 Debt Servicing Ratio 19.31%

9.6.4 OVERALL FINANCIAL PERFORMANCE INDICATORS

These indicators are a measure to assess the overall financial performance of the

Municipality with regards operational performance and effective growth in revenue

income and expenditure.

The average operating ratio during the assessment period is high at 78%. The

indicators of growth in per capita income and expenditure item heads indicate the

effective growth, giving a performance measure relative to the growing population.

Thiruvathipuram Municipality has demonstrated (0.21%) negative annual growth in

per capita revenue income during the assessment period, while the per capita

revenue expenditure has grown at a negative CAGR of (1.14%) during the

corresponding period, which indicates that as population increases revenue fund

will be surplus.

Table 9-28: Financial Performance Indicators

S.No Indicators Value

1 Operating Ratio 78%

2 Growth in Per Capita Own Revenue (0.12%) p.a.

3 Growth in Per Capita Grant (0.36%) p.a.

4 Growth in Per Capita Total Revenue Income (0.21%) p.a.

5 Growth in Per Capital Establishment Expenditure (4.54%) p.a.

6 Growth in Per Capita O&M Expenditure 8.98% p.a.

7 Growth in Per Capita Revenue Expenditure (1.14%) p.a.

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Chapter ñ9 Final Report: Thiruvathipuram Municipality

9.6.5 EFFICIENCY INDICATORS

These indicators are essentially a measure to assess municipal efficiency with regards

revenue base coverage and utilization. Thiruvathipuram Municipality has low

collection performance both with regards property tax and water charges (65% and

60% respectively). The average population per residential assessment at 6.55 persons

indicates that the property tax base has low coverage.

Table 9-29: Efficiency Indicators

S.No Indicators Value

1 Tax Collection Performance (Current)

- Property Tax 68%

- Profession Tax 90%

- Water Charges 60%

- Non Tax Income 95%

2 No. of Property Tax Assessments per Tax Collection Staff 1166 Nos.

3 Property Tax Demand per Assessment Rs. 538/- p.a.

4 No. of Municipal Staff per 1000 Population 3.64 Nos.

5 Annual Revenue (Own Source) per Municipal Staff

Rs. 0.75 lakh

p.a.

6

Note :

Population per Residential Property Tax Assessment 6.55 persons

The detailed financials of Thiruvathipuram Municipality comprising Income &

Expenditure Statement, Balance Sheet, Demand Collection Balance Statement,

Growth in Income and Key Indicators for the last 6 years are given as Annexure.

9.6.6 MEASURES TO BE TAKEN FOR IMPROVING COLLECTION EFFICIENCY

The average collection efficiencies under the various heads of revenue works out as

below :

Particulars Current Arrears

Property Tax 65.90% 35.11%

Profession Tax 89.20% 8.67%

Water Charges 61.61% 35.10%

Other Fees 90.82% 94.23%

The Municipality has very good collection efficiency with respect to Profession Tax

and Other Fees and average collection efficiency with respect to Property Tax and

Water Charges and needs to be improved.

Implement door-to-door collection mechanism, whereby property tax and water

charges are collected from every household by the municipality staff. A separate

collection team to be formed for this purpose, which will visit all the households

and collect tax. A mobile collection van has been provided for this purpose in

the FOP, which will help the staff in collection mechanism.

Launch a focused drive on existing arrears.

Conduct one time settlement scheme for old arrears and incentives payments

through marginal rebates for arrears > 5 years.

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Implement payment due date along with a 90 day grace period during which

payments would involve a nominal interest payment.

Payments beyond the grace period should include a steep penal charge to

encourage payments on time.

Work with GoTN to moot creation of a special tribunal for speedy disposal of

properties under litigation.

In case of disputed property tax, the assessee should first pay the tax under

protest as in the case of excise or customs and then take necessary legal course.

The Act should be modified in such a way that no legal recourse should be

available to the assessee without paying the tax under protest.

The billing mechanism, accounts and DCB Register should be fully computerized.

This will help the Municipality in providing ready information on defaults and help

in speedy recovery process.

With regard to improvement in collection efficiency of water charges, the

Municipality should first improve the service levels. The Municipality should

conduct a survey on the present service levels and identify places where service

levels are good. The Municipality should then do a focused drive on these blocks

with good service levels and implement various collection measures given

above.

The Municipality may also consider implementation of late payment fines and in

case of extreme overdue situations, disconnecting supply.

As regards blocks with low service levels, the Municipality should improve the

service levels and effect various measures to improve the service levels. Only with

improvement in service levels, the collection efficiencies can be improved.

As regards Other Fees, which basically comprises rent / lease from various assets

of the Municipality, the Municipality should send eviction notices to the

defaultees. Unlike property tax and water charges, the Municipality can enforce

eviction of defaultees.

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

10 CAPIITAL IINVESTMENT NEEDS FOR IIDENTIIFIIED

PROJECTS

All the projects relating to urban infrastructure, urban growth and development

have been identified through a conscious participatory process. The projects are in

the form of improvements and, extension of the existing services and facilities such

that the present inadequacies as per the norms and standards are made up and, in

addition meet the requirements of the projected population of the town during the

perspective period of plan. Each project component, as identified has been verified

in the field of their suitability and feasibility in terms of location, coverage and

adequacy and finalized with as intensive consultation with the office of the

municipality and as suggested and recommended in the review meetings of the

previous stage of this exercise in the office of TNUIFSL. The projects thus finalized and

firmed up are detailed thus finalized and firmed up are detailed out in their present

status, gaps, projected requirements, cost estimates, capital needs, funding pattern

etc in the following section. In all the identified projects constituting physical and

social infrastructure facilities and other projects including bus stand, remunerating

projects are including cost about Rs. 68.84 crore to be implemented starting from the

current financial year. These projects have been prioritized as warranted in their

importance over the implementation time frame. The projects, breakup of the

investment and implementation schedule are given in the following tables:

Table 10-1: Summary of Capital Investments under CCCBP

S. No. Project Items Amount Rs in Lacs

1 Water Supply 501

2 Sewerage & Sanitation 2472.01

3 Solid Waste Management 413.50

4 Strom water drain 849

5 Roads 1540

6 Bus Stand 50

7 Streetlight 50.8

8 Park 25

9 School 68

10 Maternity center 20

11 Market (including shops) 235

12 Shopping Complex 135

13 Burial ground 130

14 E ñGovernance 47

15 Slum development 270

16 Construction of new municipal office building 78

Total 6884.31

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

10.1 PHYSICAL INFRASTRUCTURE - IMPROVEMENT NEEDS

In chapter -6 we had identified the problems and issues of the Physical Infrastructure

sector and mentioned about the projects identified the municipality for curative

measures in this sector. Here we will discuss about the shortcomings in the projects

identified by the municipality or by the different agencies i.e. Municipality, TWAD

board etc. and discuss about the improvement needs, future proposals and funding

pattern.

10.1.1 WATER SUPPLY:

1. Improvement Needs:

The frequent bursts and leaks in the main from Cheyyar Head Works is causing

problem. Though the municipality has meted out temporary repairs, a permanent

solution is required for an effective distribution of water supply to the town. The lines

were mostly laid more than 50 years before and they need replacement. So there

should be a comprehensive study for effective solution for water supply provision

and rezoning.

2. Water Supply Proposals

S.No Description Cost Rs in lacs

1 Source Augmentation 39

Infiltration well 39

2 Transmission System Improvement 165

Pumping Main 100

Sump 2

Pump Room 2

Construction of Service Reservoirs /Overhead tanks (Nehru

Nagar, Koda Nagar, Dr. Ambedkar Nagar, Municipality

Office.)

10

Maintenance of Rising Mains 50

Technological upgradation of the Pumping Station 2

3 Improvement of Distribution System 141

Supply and installation of bulk water meters 1

Supply and installation of consumer water meters 30

Supply and installation of vaccum feed chlorinators 10

Coverage of services in new areas/ uncovered areas 100

4 Upgradation of Existing System 155

Replacement of existing distribution and transmission line 150

Water Quality Management Program 5

Total 501

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

10.1.2 SEWERAGE SYSTEM

1. Needs:

At present municipality do not have sewerage system but Government of Tamil

Nadu has proposed to lay new system in every municipality in Tamil Nadu.

Thiruvathipuram Municipality has prepared the DPR for the sewerage system for the

town and it is approved by CMA.

2. Sewerage Proposals

S.No Description Cost

1 New Sewerage System 2400

Comprehensive Sewerage system for entire city 2436.01

Construction of Sewerage Treatment Plant

2 Public Conveniences 36

Upgradation of Existing Public Toilets 36

Total 2472.01

10.1.3 DRAINAGE

1. Needs:

The existing drainage condition of Thiruvathipuram consists of tanks and manmade

drainage system (Storm water open drains). Due to the natural slope of the town, all

the drains discharge water in Cheyyar River. The present condition of Storm Water

Drainage is that it also carried the sludge and sewage water, which ultimately

carried to the cheyyar River. This has created enormous environmental problems.

Also there are certain length of roads which is unlined and needs to convert them in

lined drains to use the Rain Water Harvesting in an effective way.

2. Drainage Proposals

S.No Description Cost

1 Construction of New Drains - Pucca 679

2 Upgradation of Existing Drains 170

Total 849

10.1.4 SOLID WASTE MANAGEMENT

1. Needs:

Domestic waste consists of wastes generated at the household level, primarily

houses. The household waste is dumped at various community collection points

spread over entire town. Though municipality is doing its best to manage the solid

waste yet it is not up to the mark to manage the solid waste from collection to

disposal and lot has to be done for it.

Community Participation: Current level of participation in thiruvathipuram is very low.

There are NGOs operating in the city, especially in health and sanitation sector. Due

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

to semi urban characteristics of the town there are not many residential colonies in

the city. Due to this fact, community level organizations such as residence welfare

associations do not exist in the town. Street plays and ward wise meetings are

conducted to motivate the people.

Community Education: The steps involved in implementing and ensuring community

participation will comprise formulation of neighborhood communities, residential

welfare associations or other community organizations, identification and

mobilization of NGOs and other social welfare groups in the town.

Conduct Sanitation Campaign: Vigorous sanitation campaign across the town could

also be taken up emphasizing the need for storage and segregation, recycling and

reduction and local composting of wastes. In these campaigns, the school children

and NGOs shall also be involved so that the message of the campaign reaches the

community.

Campaigning and Environmental Awareness: Media is another important tool in

environmental education, hence extensive campaigning through electronic media,

print media, mass media and other means on environmental sanitation and solid

waste management could carry out

The land fill site is identified based on study conducted by the Department of

Remote sensing, Anna University. The site is around 20 km from the municipality

Figure 10.1: Location of sanitiary landfill site for Thiruvathipuram at Kadalmangalam Village

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

2. Solid Waste Management Proposals

S.No Description Cost

1 Improvement of Solid Waste Collection System

Purchase and Distribution of household dustbins i.e. Segregated Format 13

2 Improvement of Solid Waste Transportation System

Auto Tippers (20 Nos.) 25

Tricycle (10 Nos.) 2

Push Carts ( 10 Nos.) 1

Dumper Placer (1Nos) 8

Dumper Body Container (3 Nos.) 24

3 Improvement of Solid Waste Disposal System

Land Requirement for Compost Yard 70

4 Purchase of Equipments for compost yard Management

JCB (1 Nos.) 25

Turner(2 nos) 10

Wind Rose Platform 30

Compound Wall 10

Electricity 1

water Supply/ OHT 2

Internal road 5

Watch man Shelter 1

Weigh Bridge 4

5 Land fill

Land cost for Land fill ( 2.55 Acres) 25.50

Land fill Development cost 157

Total 413.50

10.1.5 STREET LIGHT

1. Needs:

In the midst of unplanned growth of the town, there are numerous places with in the

town where street light is essential for security. Almost High mast poles of 16m height

are to be installed at suitable places with in the town. But sodium vapour lights and

tube lights are required in newly formed layout. As the city is under the pressure of

heavy maintenance and electricity bill of street lights it need innovative ideas to

reduce the reoccurring expenditure in this sector.

2. Street Light Proposals

S.No Description Nos Cost

1

High mast Light (16m) @ thiruvathur, near girls high school,

market.

3 27

2 Retrofitting existing lights & energy saving devices 13.8

3 Proposed new lights 10

Total 50.8

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

10.1.6 ROADS AND TRANSPORTATION

1. Needs:

The town has lot of important roads which connect it with the surrounding and most

important is Vellore and Walajapet road. There are city roads which need widening

as well as resurfacing, apart from this these city roads are encroached and without

drainage facility and side walks. So these roads need improvements.

2. Road and Transportation Proposals

S.No Description Cost

1 Road Improvement

Renovation of B.T. Roads and new roads 500

Earthen Roads To CC and renovation of CC roads 900

Proposed new roads 140

2 Bus Stand Improvement

Office building in F. Floor of Main building 50

Total 1590

10.1.7 EDUCATIONAL INSTITUTIONS

1. Needs:

The school needs relate to renovation of exiting old buildings, the A.C roof and

Mangalore tiles are to be convert the R C C roof Structures, sports materials,

computers and separate water supply arrangements.

2. Educational Institutions Proposals

S.No Description Cost

Development of Eduation Institutions

Giridharanpettai Middle school(1 nos) 16

Renovation of existing building

Additional class room for computer facility

Provision of computers/internet facility

Providing additional furnitures

Independent water supply, toilet, urinal facilities

Greenary in the school environment

Sports utilities

Attankarai Street municipal school, Vazavurpettai

municipal school, Venkatrayanpettai municipal school,

Dr.Ambedkar municipal school (4 nos)

Providing additional furnitures

Independent water supply, toilet, urinal facilities

Sports utilities

Renovation of existing building

Tree plantation

Noon Meal Centre and ICDS (Anganvadi)(16 nos) 20

Renovation of existing Noon Meal Centre and ICDS

centre with facilities of store room, kitchen room.

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Improvement of water facilities

Renovation of Toilets and urinals

Improvement of lights

Total 68

10.1.8 HEALTH FACILITIES

1. Needs:

The municipality runs only one maternity centre in the town. Now only it was

modernized by the municipality under part II scheme. Main needs of this maternity

centre, they require specialized doctor.

2. Health Facilities Proposals

S.No Description Cost

1 New Maternity center south side 20

10.1.9 PARKS AND PLAY GROUND

1. Needs:

Restoration of parks with children play facilities, greenery, lawns, tree

plantation etc.

Development of new parks/ play fields

Development of road side gardens through sponsorship

Walkways all-round the parks

Apart from acting as the lung spaces and recreation area to the local population,

these parks could act as a temporary resting and refreshment area for the people.

A look at the parks reveals that they are very poorly maintained and are used for

other than the designated uses. All the parks require proper fencing for

maintenance and right use of the land parcels; Landscaping of the parks is a must

by planting of choice species. Provision of pathways along the periphery of the

parks with shrubs and plantations on both the sides is one of the present

requirements as walkways for all age groups of residents. Maintenance of greenery

comprising shady, ornamental and avenue trees will greatly improve the quality and

usage of parks. Fountains and water supply provisions should be provided in the

parks at appropriate places. The maintenance of the parks may be entrusted to

interested voluntary agencies on private participation/donation. Also some of the

commercial houses may be involved in maintaining the parks providing appropriate

advertising space.

2. Parks and Play Ground Proposals

S.No Description Facilities Cost in Lac

1 Nehru Nagar park ñ I

2 Nehru Nagar park ñ II Fencing, lighting, water supply, childrens

3 Thiruvathur Park

play materials, adequate seating 25.00

4 Koda nagar park

arrangements, all around pathway,

5 Puthu street park

water cascade and fountains.

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

10.1.10 MARKET DEVELOPMENT

1. Needs:

The existing market of municipality needs the basic infrastructure facility, lighting

arrangements and Vehicle Parking. It is also one of the most remunerative project to

the municipality.

2. Market Development Proposals

S.No Description Cost in lac

1 Ground Floor shops 100

2 F.Floor 130

3 Parking area 5

Total 235

10.1.11 BURIAL GROUND DEVELOPMENT

1. Needs:

The existing burial grounds need the compound wall, prayer hall and adequate

lighting facility.

2. Burial Ground Development Proposals

S.No Description Cost in lac

1 Gasifier 40

2 Gasifier building 9

3 Provision of Barbed wire Fencing Alround 3

4 Water Supply Arrangemetns 2

5 Internal Paved Walk ways with Alround 5

6 Adequate Lighting Facility 1.5

7 Prayer Hall (Thidhi) 5

8 Office and security room 2.5

9 Landscaping and planting trees 2

10 Sub Total 70

11 Improving of other 3 cerematoriums 60

Total 130

10.1.12 SLUM IMPROVEMENT

1. Needs:

Nearly, 9 slums are identifies with a population of 16,425 (2737 House holds) which

account for 18 % of the total population in the town. The slums are mainly lack in

physical infrastructure facilities

2. Slum Improvement Proposals

S.No Description Cost in lac

1 Provision of low cost housing 30

2 Rehabilitation of existing houses

3 Drainage Upgradation of Existing roads,

4 Provision of street lighting,

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S.No Description Cost in lac

5 water supplylines, installation of public stand

Totally 9 slums 270

10.1.13 SYSTEM IMPROVEMENT AND E-GOVERNANCE

1. Needs:

Till date there is no entirely dependable and realistic database for the town, in form

of topography, updated base map, assessment of properties in their location, size,

use and intensity, assets ñ lands and structures in their location, status, extent and

quality, topography, land parcels by town survey, numbers and sub divisions and so

on. All these can be updated with cent percent precision using high resolution

satellite imageries supplemented by cent percent primary survey. All these with

spatial and non-spatial data can be had on a GIS format which, on a click at any

features or site on the town map will provide the entire details including the

description of the features / address of the owner including tax paid etc. This is a

one time comprehensive exercise to include the updated town map with town

survey, land parcels, structures, service network, assets with the relevant details and

description on a GIS format.

2. System Improvement and E-Governance Proposals

In this ultra modern age with high-tech interventions this is considered a must for

easy efficient and flawless governance, administration and functional operation

from local body level to the government level. Apart from this GIS is a perfect

solution for upgraded information in terms of grievance redrassal as well as property

tax collection. Also these upgraded solutions will provided to monitor the city growth

for future. Computerization of ULB is required and each person above LDC level

should be trained to operate the computer system. There is a need that the ULB

should upgrade the website on daily basis and there should be uniformity in the

content provided in the website of the ULBs in Tamil Nadu.

S.No e-Governance Cost in Lac

1 E-Governance 15

2 GIS Mapping for Comprehensive Property Database 22

Mobile tax collection vehicle 10

Total 47

10.2 OTHER DEPARTMENT PROJECTS

National Highways

BT road (4 lanes) with strom water drain, Pathyway and hand rails for 3 Km from

Electricity Board office to Govt. Hospital.

2 lane BT road from college to Devi Theater.

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

Tamil Nadu Adi Dravidar Housing and Development Corporation Limited

Renewal of BT Road of Cheyyar Block in Tiruvannamalai District under 12th

Finance commission 2008-09 . Estimated Amount Rs 13.50 lac

Department of Rural Development:

Upgradation of roads under NABARD RIDF XIV in Cheyyar block of

Tiruvannamalai District Estimated Amount Rs 250 lac

Public Works Department Buildings division:

Construction of Additional Two Class room in Aringar Anna Govt. Arts College at

Cheyyar in Thiruvannamalai District. Estimated Amount Rs. 13.8 lac/-

Construction of Additional laboratory Physics Lab building in Arignar Anna Govt.

Arts College at Cheyyar in Thiruvannamalai District. Estimated Amount

Rs 16.1 lac /.

Construction of Sub Registrar Office building at Cheyyar in Thiruvannamalai

District. Estimated Amount Rs 21lac/-

PWD Irrigation

Kuppanatham Reservoir across Cheyyar River Rs. 4350 lac .

Excavation of supply channel from Alathur channel to Haridharimangalam tank

in Tiruvannamalai district. Estimated Amount Rs.26 lac

State Industries Promotion Corporation of Tamil Nadu:

Sipcot allotted around 630 Acres in (First Phase) cheyyar Taluk

Southern Railway

Proposed New BG track between Tindivanam and Nagari Construction of Major

Bridge across Cheyyar River and Kalavai Maduvu River. Estimated Amount Rs

1418 lac /-

S.No Project Description Nodal Agency

Regional Level

. - 81 -

Cost

(Rs.in

lakhs)-

1 Implementation of Linking Cheyyar and pennaiyar River PWD ..

2

3

4

Regional study for identification of thrust areas for new

industrial cluster development TIDCO 3.00

Feasibility study for extension of National highway

linking Thiruvathipuram with Chennai - Bengaluru

Industrial Corridor of excellence NHAI 5.00

Setting up of Resource center for Technology and

Efficiency upgradation of industrial skills

TIDCO /

Technical

Educational

institutions and 10.00

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Chapter ñ10 Final Report: Thiruvathipuram Municipality

5 Milk & Milk products processing technology centre

1

2

3

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industries

Dairy

Development

Department /

Aavin ..

Town Level

Provision of 4 lanes road with strom water drain, side

Pathyway for 3 Km from Electricity Board office to Govt.

Hospital and 2 lane BT road from college to Devi

Theater NHAI 60.00

Construction of Additional Two Class room in Aringar Public works

Anna Govt. Arts College at Cheyyar in Thiruvannamalai department -

District. Estimated Amount

buildings division

Public works

14.00

Construction of Additional laboratory Physics Lab

department -

building in Arignar Anna Govt. Arts College

buildings division 16.00

4 Construction of Sub Registrar Office building at Cheyyar

Construction of Kuppanatham Reservoir across

.. 21.00

5 Cheyyar River

Excavation of supply channel from Alathur channel to

PWD 4350.00

6 Haridharimangalam tank

Proposed New BG track between Tindivanam and

PWD 26.00

7 Nagari Southern Railway

8

9

Construction of Bridge across Cheyyar River and

Kalavai Maduvu River PWD ..

Awareness campaign for NGOs on their roles and

responsibilities in community development Municipality 5.00

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Chapter ñ11 Final Report: Thiruvathipuram Municipality

11 RIISK AND MIITIIGATIION MEASURES

11.1 PROJECT RISK AND MITIGATION MEASURES

Risk is an integral ingredient in any project venture. Projects without risk are not

heard to have met with great success. Particularly the project package such as this

for a Municipal body has multi-various risks as it is mainly with the public of different

attitudes, background, profession and traits. As such the local bodies are facing

problems of complex nature even in carrying out their rightful functions and duties.

The project risks identified are addressed below

1. Environmental risks*

2. Social risks*

3. Site risks

4. Implementation risks

5. O&M risks

6. Financial risks

7. Market risks

8. Risks due to Natural disasters

9. Risks in private participation

Though the projects identified under the CCCBP do not mostly constitute as sensitive

environmental components, but come under various degrees of environmental

concerns. The identified projects are categorized under the environmental concerns

relating to E1, E2, E3 and Based on the Project Affected Area (PAP) and the level of

social impact as S1, S2 and S3.

Table 11-1: As per the Guidelines on Environmental & Social Concerns of CCCBP projects ñ

Thiruvathipuram

No. Project Items

Environmental

Category

Social Category

1 Water Supply E2 & E3 S2

2 Sewerage System E2 S1

3 Storm Water Drains E2 S2

4 Solid Waste Management E1 & E2 S2

5 Roads E2 S3

6 Bus Stand E2 S2

7 Street Lights E3 S3

8 Parks and Playgrounds E3 S2

9 Burial Grounds E2 S2

10 Public Convenience E2 S3

11 Medicare E2 S2

12 Slum improvement E3 S1

13 Market E2 S2

14 GIS database E3 S3

15 E-governance E3 S3

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Chapter ñ11 Final Report: Thiruvathipuram Municipality

Note:

ï E1 projects relate to those where major environmental impacts are foreseen

warranting Environmental Assessment Report (EAR).

ï E2 projects are moderate in environmental concerns.

ï In E3 projects, no environmental issues are foreseen

ï S1 projects will affect 200 people or more.

ï S2 projects are those where no PAP is physically displaced and less than 10% of the

productive assets are lost.

ï In S3 projects, no household will be affected.

The risks involved in the identified projects and the mitigation measures are given in

the table below

Each of the above categories are detailed out in the table below:

Category Mitigate measures

Land interests and land acquisition

Resistance from public

Delay due to statutory approvals

Un-suitable site conditions.

Environmental issues

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Site risks

Providing all land related information to the

contractor

Community consultations to ensure least resistance

from local population

Interfacing with all concerned departments to

ensure land approvals or reduce bottlenecks

Careful site selection after detailed investigation of

site history and characteristics

Addressing all related environmental issues before

the bid process , including impact assessments

Implementation risks

Risks related to design ,construction and commissioning the projects such as:

Design flaws

Non - availability of suitable contractor

due to the simultaneous execution of

similar project in many ULBs near by.

Time and cost over runs

Defaulting in meeting dead lines in

construction and commissioning

Ensuring service delivery

Review of proposed design by Government,

parstatal agencies.

Ensure correction of design and construction

defects before commencing service delivery

Consolidating contract packages and calling

tender at state level or National level.

Short listing of potential contractors at regional level

and Tendering the contract in a planned manner.

Proper specification of project outputs and core

services to be delivered.

Linking contracting services to key performance

indicators and in turn to the payment schedule

Independent commissioning tester to ensure

delivery of the required performance.

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. - 85 -

O&M risk

Increase in predicted operating costs Address future service delivery demands also

Impact of design flaws & defective

construction, deterioration of

performance standards

Technologically outmoded practices

Inherent defects of the system

Defaults from designer, builder and

operators

Funding uncertainties

Cost escalation

Delays in financial closure of the

project

General economic down turn

Changes in Government policies,

Shift in industry focus

Operating guarantees/performance bonds to

ensure service continuity and compensation for

default

Inbuilt options for upgrading technology as the

contract term proceeds

Escrow mechanisms to ensure protected cash flows

and enforce during service/operational default

Financial risks

Termination rights in case of insufficient

delivery/break down in service provision

Ensuring project structure, in-built contractual

provisions and foreseeing risks make the project

bankable, addressing lender related issues.

Mitigate risks arising from inflation, interest rates,

foreign exchange rates etc.

Avoid looking for the lowest cost bid- base selection

upon financially sound structure and business plan

Market risks

Quantify demand, providing demand related

information at the bid stage

Initiate feasibility studies, demand forecasting,

sensitivity analysis.

Change in target-market competition Incentives to stimulate end-users

Floods, Cyclones, Earth quakes,

Tsunami

Insurance coverage

Interruption in Service delivery

Project initiation

Private operator

Lack of service delivery

Risks from Natural disasters

Minimize impacts through appropriate insurances to

transfer risk to insurer

Regularly review insurance policies to ensure

effective and adequate coverage

Appropriate action plans for temporary service

arrangements

Risks in Private sector participation

Specify desired project outcomes, taking into

account Govt. policies

Ensure sound financing pattern or the model on

which the private sector has based its participation

Ensure Government rights to take over some or all of

the sub-contracts of the private party in case of its

failure to perform.

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Inadequate capabilities for legal and

technical issues

Delays due to statutory approvals

Delays due to land acquisition

Unforeseen risks to private operator

Technically out dated mechanisms

. - 86 -

Contingency plans for continuation of core or

ancillary services

Ensure and technical legal ability to contract with

private party

Identify and facilitate Govt. approvals-related to

planning, environment etc

Anticipate ,identify and resolve land tenure issues-

Acquisition , title, encroachments, usage of land

Insurances to cover aspects like ownerís liability,

asset risks, business interruption, some policy risks,

natural disaster.

Incentives to private sector to incorporate latest

technology by making the design consultant,

builder and the operator part of the OWG

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12 REFORMS AND ACTIION PLAN

A City Corporate cum Business Plan (CCCBP) is essentially a road map to achieve a

set of development objectives within a specific period. This CCCBP has identified

gaps in municipal service delivery and institutional management, ascertained by

expert analysis and stakeholder feedback. The proposed interventions for the

Municipality are in the form of reforms, action plans and strategies to achieve the

same.

Strategies and Action Plans are the elements which bridge the gap between the

Proposed Reforms and implementation. The following sections detail out the

strategies and Action Plan plans for the proposed Reforms and interventions in the

areas of revenue enhancement, privatization, computerization initiatives, energy

efficiency and municipal service delivery.

12.1 PRESENT SCENARIO IN URBAN REFORMS

ìReforms and change are critical elements in development process; they become

more significant in urban development in the context of growth of towns and

consequent pressure on infrastructure and services, growth of poverty, etc. This is

compounded by institutional constraints like in capacity, fragmented structures,

functional overlaps and outdated processes and procedures. In addition, there has

been a paradigm shift in governance from the traditional top-down model. As a

result governance reforms have become imperative for efficient delivery of services,

provision and maintenance of infrastructure and to provide efficient and responsive

governance to the people. Recognizing the significance of reforms to provide

efficient and effective governance, the State Govt. has initiated and implementing

several urban sector reforms during the last few years. ì

The following are the key reforms implemented by the GoTN :

1. Devolution of funds: 3.5% of Stateís total tax revenue passed on to urban local

bodies.

2. State Finance Commissions: Three consecutive state finance commissions

were setup for recommendations to Government.

3. Setting up of TNUDF: A successful private-public partnership initiative to tap

the capital market.

4. Accrual Based Accounting System: The new accounting system has been

implemented in all the urban local bodies.

5. Computerization and E-governance of select Municipal functions have been

successfully implemented in all urban local bodies.

6. Urban indicators: Performance assessment of ULBs initiated by CMA

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7. Revision of Property tax : With effect from April 1.2008, subject to a maximum

of 1.25 times the existing tax structure.

8. Debt monitoring cell: It has been established with office of CMA with the

objective of collecting financial information on individual ULBs, assisting them

in making realistic financial projections and facilitating the Urban Local Bodies

to access the Capital Markets by information dissemination from CMA office.

9. GIS for 5 urban local bodies: Consultancy for Preparation of Property

mapping and Utility Mapping for Madurai, Coimbatore and Tiruchirappalli

Corporations and Rajapalayam & Gobichettipalayam Municipalities has

been initiated as a pilot project by the office of CMA.

10. ESCO Studies: TNUIFSL initiative for the Implementation of energy efficiency in

Water pumping and Street lighting systems under performance contract.

11. Right to Information Act, GoI : An Act to provide for setting out the practical

regime of right to information for citizens to secure access to information

under the control of public authorities, in order to promote transparency and

accountability in the working of every public authority.

12. Preparation of Human Development report for 5 Municipal Corporations under

TNUDP-III, Commissionerate of Municipal Administration- to identify the

strengths and weaknesses of each urban local body on the appropriate

parameters. This would enable them to propose and implement schemes to

overcome the shortcomings and improve the quality of life of their residents.

12.2 PROPOSED INTERVENTIONS AT STATE LEVEL

a. Property Tax

Implement a framework law for disputed properties, so that the assessees pay the

tax first and then carry out necessary litigation as in Central Govt. Depts.

b. Community participation law

Enacting the ìCommunity Participation Lawî that will make it mandatory for the

government and its agencies to get the view of citizens, mainly residentsí welfare

associations and other citizensí groups, before starting any project.

c. Initiatives in Private Participation

Frame work law for PPP as in Gujarat, Punjab and Andhra Pradesh ñ An enabling

and regulatory framework for private sector participation. TNUIFSL may initiate

capacity building in public institutions and private sectors for handling PPP projects.

Setting up a PPP cell and creating database at the State level listing projects in

various sectors of developmental activities for PPP participation.

. - 88 -

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

Base source: www.pppinindia.com Organisation chart of PPP Cell

. - 89 -

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

Infrastructural projects:

Water supply project

1. As regards water supply projects, the consultant proposes using available

UGSS project

local sources (surface water) in lieu of capital intensive projects from far off

sources. The enforcement of RWH in all buildings is a commendable initiative,

which has proven successful in improving the quality and quantity of ground

water table according to a recent study. Rejuvenation and protection of

water bodies and recycling, reuse of water is also a major issue to be

addressed in this regard. Participation of SHGS, voluntary organizations,

resident welfare associations need to be sought.

1. Highly engineered and mechanized conventional sewage treatments require

large Capital Investments, demand high maintenance costs and are not

feasible for the developing countries like ours. Capital intensive and highly

technological waste disposal solutions, utilizing indiscriminate collection and

large-scale disposal, do not consider the value of recovering organic waste

resources and do not promote recycling. The land required for the disposal of

treated wastewater in the conventional treatment systems is not readily

available. Alternative treatment systems like Root zone treatment methods

could be used.

2. GoTN may also encourage recycle of water, to meet requisite standards

rather than let them out into streams or sewage farms. This will not only

promote water recycling, but also resource recovery of minerals.

Integrated Water Resources Management Plan (IWRM) ñ The solution.

As a general rule, in the past with smaller populations, less intense economic

activity and with less affluent societies demanding much less water, supply of the

resource was usually much greater than demand for it. In such circumstances

water for agriculture, for industry, for domestic and all other uses could be

managed separately there being sufficient water to accommodate all needs

and there being little competition between uses and between users.

As populations have grown, as food production has increased, as economic

activity has developed and as societies have become more affluent, so demand

for water has burgeoned. The traditional fragmented or purely sectoral

approach is no longer viable and a more holistic approach is essential. This is the

rationale for the Integrated Water Resources Management (IWRM) approach

that has now been accepted internationally as the way forward for efficient and

sustainable development and management of the worldís limited water

resources and for coping with conflicting demands.

. - 90 -

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

ìIWRM is defined as a process that promotes the coordinated development and

management of water, land and related resources, in order to maximize the

resultant economic and social welfare in an equitable manner without

compromising the sustainability of vital ecosystemsî.

Source: Status Report on Integrated Water Resources Management and Water

Efficiency Plans ñ UN water report.

12.3 PROPOSED INTERVENTION AT MUNICIPAL LEVEL

The Proposed Municipal intervention is broadly categorized under the heads of:

1. Reforms in Resource Mobilisation

2. Privatisation Initiatives

3. Energy & resource efficiency

4. Computerization and E-governance

5. Accounts and Auditing

6. Institutional Management

7. Municipal service delivery

12.4 REFORMS IN RESOURCE MOBILISATION

In an environment in which business activity is booming and urban infrastructure

threatens to become a constraint to growth, the municipalities are faced with an

unprecedented need to find substantial resources for development, and an

unprecedented opportunity to raise the same. The various options for enhancement

of Municipal revenue based is discussed below:

1. Improving revenue from own sources

2. Improving revenue from user charges

3. Formation of new sustainable revenue bases

12.4.1 ACTION PLAN: IMPROVING REVENUE FROM OWN SOURCES

Strategy options :

i. Property and Profession tax

1. Expanding Property tax and Profession tax base.

Onetime assessment of all unassessed and under assessed properties. This

would increase the property tax revenue base by 20-30%. The project could

be taken up as a door ñto ñdoor survey of all existing properties, with details

on

1. Size & built up area of the property

2. Present use - residential, commercial, industrial or vacant.

3. Number of households, houses, size of families, etc.

Street naming and property numbering already undertaken by Govt. of Tamil

Nadu needs to be linked to this to streamline the study. At the rate of Rs.30.00

. - 91 -

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

per property, the estimated cost for the project would be about Rs.5.00 lakhs.

Property mapping would form a database for GIS projects (Land use and

Utility Mapping), which is a long term project and in the rationalization of tax

structure. The participation of the SHGs, (youth and women) could be utilized

for the purpose.

Identifying and including omitted Profession tax assesses - This project is to be

linked to the property mapping exercise. An improvement of 20-30% on the

existing tax base could be expected.

2. Rebates on Property tax:

Most of the collections take place during the last quarter of the year. This

results in poor collection efficiency, wherein the ULB ends up collecting much

less taxes than the tax demand raised. The option of providing rebates upto

10% for ëearly birdsí paying the tax during the 1 st and 2 nd quarter could be

explored. This would ensure timely spending on capital and operating

expenditure and efficient tax management systems.

3. Regular and periodic increment of property tax at 15% every 5 years.

4. Mobilizing a ëFast Track Litigation Campaigní to settle disputes on

properties.

5. Levying Vacant Land Tax as per the recommendations of Third State

Finance Commission. Empowering the municipality to convert non-

claimed lands to socially benefiting uses.

ii. Profession Tax Reform

Revising the profession tax based on the Third State Finance Commission

recommendations.

iii Regularization of unapproved construction

Regularization fees for unapproved constructions at the rate of 5 times the

existing building license fee.

Sl.No Reforms

1 Property tax Reform

2

Table 12-1: Road Map - Improving revenue from own sources

. - 92 -

Year of Implementation

i Property Mapping √

ii Rebates on Property tax √

Year 1 Year 2 Year 3 Year 4 Year 5

iii

Regular and periodic

increment of property tax √

iv

Mobilizing a ëFast

Litigation Campaigní

Track


v Levying Vacant Land Tax √

Regularization

construction

of unapproved


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Chapter ñ12 Final Report: Thiruvathipuram Municipality

12.4.2 ACTION PLAN: IMPROVING REVENUE FROM USER CHARGES

Strategy options

i. Water supply and UGSS

Approval of the Municipal council for the proposed tariff and deposit

structure to enhance the public contribution and meet the entire O&M cost.

Increase in the penetration of connections to at least 85% of total

assessments. This backed by higher collection efficiency and enforced

leakage losses (less than 15%) would further improve service delivery.

Levy Reasonable User Charges to recover full O&M Cost of water supply and

UGSS.

Implementation of graded tariff structure (UGSS) for domestic and non-

domestic connections. This needs to be linked to property mapping project

and type of assessment to be ensured.

Mandatory mobilisation of deposits for Capital intensive WS or UGSS projects

during pre-construction stage of the project.

ii. Solid Waste Management

Approval of the Municipal council for the proposed Solid waste conservancy

charges for commercial and industrial establishments during the base year

and after 5 years for domestic assessments.

For implementing collection of conservancy fee for Solid waste Management

.The proposed tariff structure is given below:

Domestic - Rs.5 per month.(medium term plan)

Commercial - Rs.10 per ton.

Industrial - Rs.15 per ton.

Bio-medical - Collected by IMA.

Privatisation of collection, transfer, construction and management of

compost yard and compost production. This would reduce the O&M

expenses of Municipality on SWM by 30 to 40%.

Revenue generation from selling scrap after segregation at secondary

collection point or compost yard at Rs.10 -Rs.15 per kg.

Revenue Generation from sale of compost at the rate of Rs.1000 per tonne as

bulk supply to nearby agricultural areas. Incidentally, the manure generated

from Municipal garbage is found to be richer in NPK values compared to the

one available in the market. This has resulted in producing better yield of

agricultural products both in quantity and quality.

. - 93 -

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

Table 12-2: Road Map Improving revenue from user charges

Sl.No Reforms

1

Water Supply and UGSS

. - 94 -

Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

i Increasing deposit and tariff √

iii Graded tariff for UGSS √

iv Pre mobilization of deposits √

2 Solid Waste Management

ii

iii

Collection of conservancy fee for

Commercial and Industrial

Establishments

Collection of conservancy fee for

Domestic assessments

12.4.3 ACTION PLAN: FORMATION OF NEW SUSTAINABLE REVENUE BASES

Strategy options

i. Remunerative projects

To improve the revenue base of the municipality, following are the remunerative

proposals identified.

o Bus stand Improvement

Office buildings at the First floor of the main building (bank or office)

o Reconstruction of market with shops at Ground floor and first floor

o Parking area at market

o Construction of Shopping complex in front of the daily market

o Construction of shopping complex in front of the municipal office

ii. Parking Regularisation Plan

Enforcing no-parking zones and identification of possible parking areas with the

involvement of stakeholders would be the first step in mitigating congestion in the

central areas of the town. Preparation of inventory for all roadside parking areas.

Initiating time based pay and park facilities for vehicles. Appropriate rent structure

from auto stands, LCV and heavy vehicles parking would also improve income

generation.

The proposed parking fee structure is:

Bicycles - no tax

Two wheelers - Rs.2.00

Light Vehicles - Rs.5.00

Heavy Vehicles - Rs.10.00


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iii Advertisement Regularisation Plan

Identifying strategic locations such as bus shelters, road medians, for hoardings and

poster places in Municipal area and levying advertisement tax at the rate of Rs.25

per sq. ft per annum.

To prepare an inventory of advertisement spaces within their limits with size and type

.Auctioning the entire rights to a single bidder on an annual basis is suggested. The

initiative of GoTN to remove hoardings and encroachments is a welcome step to

regularize the advertisements and hoardings.

iv. Collection of Annual Tract rent

From cable T.V operators - (Rs.3.00 per running metre)

From Telecommunication service providers - (Rs.5.00 per running metre)

The urban local body may be empowered to collect the security deposits at

Rs.10,000 per operator and revise the tract rent every three years. The collection of

tract rent and deposits can be handed over to Youth SHGs.

Table 12-3: Road Map for Formation of new sustainable revenue bases

Sl.No Reforms

1

Formation of new sustainable revenue

bases

i Remunerative Projects

a. Premobilization of deposit for office

building at first floor (bus stand)

b. Premobilization of deposit for the

reconstruction of market

c. Premobilisation of deposit for the

construction of shopping complex in

front of the daily market

d. Premobilisation of deposit for the

construction of shopping complex in

front of the municipal office

ii Parking Regularization √

iii Advertisement Regularization √

iv Collection of Annual tract rent √

12.4.4 ACTION PLAN: PRIVATISATION INITIATIVES

. - 95 -

Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

The present areas of privatization of the functions of the ULB in Tamil Nadu are

i. Solid waste management- all components.

ii. O&M of street lights.

iii. O&M of water supply distribution.

iv. AMC of public and pay & use toilet facilities.

v. Parks and parking lots Maintenance and user charges collection.





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Chapter ñ12 Final Report: Thiruvathipuram Municipality

The GoTN states that this list is indicative and ULBs are free to explore more options.

This would not only save the O&M expenses, but also indirectly in pension and

gratuities. The various strategy options are discussed below:

Strategy options

1. Privatisation of Collection mechanism

Providing a computer fitted mobile van with online access to municipal database

for spot billing and collection of all taxes. Performance based incentives can be

given to the private operators at the rate of 5% of total collection .The support of

the Youth / Women SHGs or fan clubs can be sought for the purpose of collection

with adequate sensitization programmes.

2. Improving community participation by organizing Public awareness campaigns

and Training of Tax Inspectors, to improve the ëwillingness to payí of the users. The

aid of SHGs, fan clubs, media could be utilized for the purpose. The following are

the various avenues of revenue, the collection of which could be privatized.

1. Property tax

2. Profession tax

3. Water - Deposits and tariff

4. UGSS- Deposits and tariff

5. Advertisement spaces /rights as a single contract

6. Parking areas

7. Solid waste conservancy fees(Domestic and non-domestic)

3. Privatisation of Operation and Maintenance of the entire Water Supply and

Distribution System.

4. Privatisation of operation and maintenance of the UGSS.

5. Privatisation of Solid waste management (Discussed indetail under Improving

revenue from user charges)

6. Privatisation of O&M of street lights & pumping machinery(detailed out in Action

plan for energy & resource efficiency)

7. Repair and maintenance of major Municipal roads for 3 years from the period of

laying.

8. Option of BOT, BOOT for parks & play grounds by implementing user charges for

areas more than 5000 sft.

9. Option of converting public toilets to pay & use type and privatization of O&M.

10. Private participation in medical infrastructure like RCHP, maternity homes and

adoption of premium and free facility programme in return for improved medical

facility.

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Chapter ñ12 Final Report: Thiruvathipuram Municipality

Sl.No Reforms

Table 12-4: Road Map for Privatization initiatives

1 Privatization of Operation and Maintenance

2

. - 97 -

Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

i water supply and Distribution system √

ii Sewer network & STP √

iv street lights √

vi

vii

AMC of Public and pay % use toilet

facilities

Parks and parking lots Maintenance

and user charges collections

Privatisation options in Solid Waste

Management

Privatization of Door to door collection of

solid waste

Compost yard management & sale of

compost & scrap

3 Privatization of Collection mechanism

4

5

Spot billing and tax collection using mobile

van

Formation and sensitisation of youth &

women SHGs

Public awareness campaign for improving

tax collection (IEC)

12.4.5 ACTION PLAN: ENERGY & RESOURCE EFFICIENCY

Strategy options

Conducting energy audits for water pumping machinery and street lights.

Conducting leak detection studies, if transmission losses are more than 15%.

All Head works and service reservoirs may be fitted with bulk water meter to

assess the loss due to non revenue water and unaccounted water.

Enforce regulations on illegal tapping of water.

Fixing flow control valves and meters for all water service connections.

Provision of energy saving lights, and equipments like dimmer and timer

switches to reduce energy consumption.

Privatizing the maintenance of street lights to ESCO companies.

Street lights

TNUIFSL has initiated the preparation of Energy Saving Company(ESCO) studies for

energy efficiency in the O&M of street lights and pumping machinery for select

Municipalities throughout Tamil Nadu. ESCOs provide comprehensive services -








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Chapter ñ12 Final Report: Thiruvathipuram Municipality

encompassing audits for energy saving performance, design & implementation of

conservation measures, maintenance, operation and management of the

introduced facilities and procurement of project funds. ESCOs conduct retrofitting

for energy conservation without damaging the environment. The ESCO will

guarantee the savings that would meet or exceed the annual payments to cover

up the entire project costs usually a period of 5 to 10 years. The savings can be

shared proportionately with the institution for which the project is designed and

implemented for.

The salient features of performance contracting for energy savings through ESCO

based business model are as under:

1 'Nil' investment by customer.

2. ESCO to identify Energy Efficient Measures (EEMs) to replace / modify existing

in efficient systems.

3. ESCO supplies, installs and maintains the Energy Efficient Measures (EEMs)

during the contract period.

4. Contract period could be 3-5 years or as mutually agreed upon.

5. Energy saving is shared between ESCO and customer as per agreed terms.

Total project cost is funded by ESCO. The O & M expenses will be met by the

Municipality.

6. Guarantee Energy savings and recover its investment including interest &

other costs out of generated energy savings.

Sl.No Reforms

1 Energy audit

Table 12-5: Road Map for Energy and Resource efficiency

i Leak detection study √

ii Fixing of bulk water meter √

. - 98 -

Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

iii Fixing flow control values and meters √

iv

Implementing energy saving

measures on street lights and

pumping machineries (ESCo)

12.4.6 ACTION PLAN: COMPUTERIZATION AND E-GOVERNANCE

Strategy options

1. Launch data warehousing on a large scale, which would avoid cross-

reference to paper record, which are time consuming and also preservation

of paper media, which occupies space, could be avoided.

2. Computerization of bill payment and facilitation of on line payments

3. Computerisation of registration of land records within Municipal limit


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Chapter ñ12 Final Report: Thiruvathipuram Municipality

4. Digitisation of Birth and death certificates for the past 30 years

5. Property Mapping to be computerised and details on area, year of

construction, type of assessment to be computerized to facilitate calculation

of property tax.

6. Administration and issue of trade licenses to be on line, including payment

and reconciliation of license fee.

7. Computerization of birth and death certificates and on line issue of

certificates.

8. Computerization of public grievances and Redressal mechanism

9. Introduction of asset management system for all available land and building

assets of the Municipality

10. On-line submission of building plans and approval.

11. Track O&M of assets and their replacement

12. E-tendering processes.

The above proposal can be taken up after giving sufficient training to Municipal

staff in hard ware and software.

Table 12-6: Road map for Computerization and E-Governance

Sl.No Reforms

1 Computerization and E-governance

i

Digitizing municipal records (past 30

years)

ii On-line bill payment √

iii Registration of Land records √

iv

v

Digitization

certificates

of old Birth and death

On-line issue of Birth and Death

certificates

vi Property Mapping √

vii on-line Issue of trade license √

viii Online submission of building plans √

ix E-tendering √

12.4.7 ACTION PLAN: ACCOUNTS AND AUDITING

. - 99 -

Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

A Consultant committee of chartered accountants having experience in

municipal accounting should be constituted to provide training to the

Municipal employees.

Timely Auditing should be performed with the use of private Chartered

Accountants for routine audit and local audit to carry out proprietary

audit.



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Chapter ñ12 Final Report: Thiruvathipuram Municipality

Closing all Auditing before September 30 of the next financial year and

publishing the audited statement on the website.

12.4.8 ACTION PLAN: INSTITUTIONAL MANAGEMENT

The constant change in urban sector in the context of reforms results in the need for

continuous upgradation of the skills and knowledge of the ULB staff. TNUDP III has

initiated the process of providing the required training to the staff during the current

planning period. It is essential that the training process becomes a sustainable one

with the introduction of an institutional framework which would ensure that the

training is provided in a continuous manner.

Training programmes need to be evolved depending upon whether they are

Elected Representatives, Senior level officers, Middle level officers and staff in various

sections of the ULBs. Training of public representatives and staff of ULBs will not only

improve their skills but also exposes modern/scientific technological advancement in

engineering, management and inter personal communication.

The categorization of training is based upon the position at various levels focusing

primarily of managerial aspects, technical knowledge, skills and management tasks

and awareness about responsibilities.

Strategy options

12.4.8.1 CAPACITY BUILDING FOR ELECTED REPRESENTATIVES AND COMMITTEE

MEMBERS

The details of the various training requirements for elected representatives and

Committee members are presented below.

Table 12-7: Technical Assistance for Elected representatives

Category Identified Training areas

Elected representatives Visioning, goal setting, Planning

Urban Governance, Management and Planning

Social management and urban poor management

Financial and cost management

Budget preparation

Tender procedure

Training in interpretation of various laws, rules, regulations and

statutes that ULB is bound by

E - Governance

Redressal of public grievances

Environment management

JNNURM, UIDSSMT, IHSDP, IHSDP & BSUP

City Corporate Plan, Urban Development plans (Master plans,

DDPs)

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Solid waste management.

Disaster management

Managerial development and effectiveness

Public relations and Human resource development.

Crisis management and Stress management

Personality development and Motivation skill development

Written and Oral Communication skills

Committee members Tax appeal committee: tax assessment methods; interpretation

12.4.8.2 CAPACITY BUILDING FOR ULB STAFF

of various laws, rules, regulations and statutes

Contracts committee: procurement procedures; interpretation

of various laws, rules, regulations and statutes

Appointment committee: Interviewing skill and techniques

The training areas identified for ULB staff in all position is classified as functional,

managerial & behavior and attitude in short, medium and long term training. The

details of the various training requirements for ULB staff are presented below.

Table 12-8: Technical Assistance for ULB staff

Category Identified Training areas

Senior Management Staff People management skills

Motivation and Interpersonal skills

Leadership and Public relations

Attitudes ñ both personal and organizational

Team Building, Human resource development

Goal setting, Budgeting

Written and Oral Communication skills

Effective use of computers especially for managerial decision

making

Proper interpretation and effective use of MIS reports

Decision support systems

Training in interpretation of various laws, rules, regulations and

statutes

Time management, Stress management

Change management

Effective urban management

Management principles, Managerial development and

effectiveness

Interviewing skills

Social management and urban poor management

Citizen grievance handling

Project appraisal, Project Management and project financing

Contract management, Bid management, Costing

Procurement procedures

Pricing and tariffs/taxation methodologies

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Operations research

Quality control

Public private partnerships and opportunities for ULB in the same

Reforms at the ULB level

Financial and cost management

Environment management

Disaster management

Solid waste management

Systems management (improving citizen service and ULB

efficiency)

Strategic urban planning

Performance management system and key result areas.

Supervisory Staff Motivation and Interpersonal skill development

Training for Operational

staff

Source: CMA Records.

Effective use of computers

Training in interpretation of various laws, rules, regulations and

statutes

Training for development of a positive attitude

Citizen handling and grievance handling

Managing urban poor, education and health services

Implementation skills

Training in developing a Performance Management Systems

(PMS) and key Result Areas (KRA)

Functional skills required in their respective function

- Training in office Procedures

- Training in computers

- Training in team work

Training in general office administration and management

- Training in effective servicing

- Training in communication

- Training in equipment usage

Table 12-9: Road map for Accounts & auditing and Institutional Management

Sl.No Reforms

1 Accounts and Auditing with charted accountant

I

Appointing private charted accountant

consultant


Ii Closing of audit and accounts (Sept 30th) √

iii

Online publication of audited statement

(Oct 30th)


2 Institutional Management

i

Capacity Building

Representatives

for Elected

ii Capacity Building for ULB staffs

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Year of Implementation

Year 1 Year 2 Year 3 Year 4 Year 5

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Table 12-10: Road map for implementation of all projects

S.N Projects Implementing Agency 2009-10 2010-11 2011-12 2012-13 2013-14

I Water supply

Source augmentation

Transmission system Improvement

Improvement of Distribution system

Up-gradation of Existing system

TWAD Board

II Under Ground Drainage system with STP TWAD Board

III Strom water Drain Municipality

IV Solid Waste Management

Vehicles & equipments for Primary & secondary Collection

Purchase of land for Compost yard and land fill site

Municipality

Compost yard Improvements

Land fill site development

Private Operator

V Road

Road Improvement

New roads

Municipality

VI Bus stand Improvement

VII Street light ESCO/ Municipality

VIII Slum Municipality

IX Education

X Medicare

XI Parks

XII Market Improvements

Municipality

XIII Shopping Complex Private Operator

XIV Public Convenience

XV Burial Ground

Burial ground with Gasifier

Improvement of basic amenities

XVI E-Governance

XVII GIS

Property mapping

GIS database

XVIII New municipal office building

XIX Mobile tax collection van

Municipality

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12.5 REFORMS IN MUNICIPAL SERVICE DELIVERY

The reform agenda for municipal service delivery is given in the following table

Sector Particulars

WAETR SUPPLY

SEWERAGE

SYSTEM

SOLID WASTE

MANAGEMENT

ROADS, STORM

WATER DRAIN,

STREET LIGHTS

Table 12-11: Reform Agenda Municipal Service Delivery

Benchmark

considered

Existing

Net Supply per capita 135 lpcd 91 105 120

HSCs - % of assessed properties ≥85% 60 70 85

Frequency of Supply - Hours per

day

24x7 hours

1 hr in 2

days

HSC coverage ≥85% Nil -

Coverage of UGSS network - % of

road length

Availability of Composting facility

100% Nil -

100%

available

Not

Available

Collection efficiency 100% 86%

Surfaced roads- % of total road

length

Storm water drains - % of total

road length

Average spacing between Street

lights

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Target

Year 1 Year 2 Year 3 Year 4 Year 5 After 5 years

Period of

implementation

Period of

implementation

Period of implementation

100% 95% 95 95

130% 99% 99 99

30m 29m

135lpcd 135 lpcd

85% ≥85%

2 hrs daily 24x7

85%

100%

100% available

Period of

implementation

Period of

implementation

100%

100%

≥85%

100%

100%

available

100%

100%

130% 130%

25 - 30m 30m

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Chapter ñ13 Final Report: Thiruvathipuram Municipality

13 ASSET MANAGEMENT PLAN

All the assets developed, operated and maintained by the Municipality are termed

as municipal assets and comprise roads, bridges, culvert, water supply & distribution

system, UGSS network, STPs, drains, and street lights. Municipal Assets also includes

social infrastructure assets such as municipal owned schools, hospitals, parks and

playgrounds, community halls, shopping complexes, stadium, and vacant lands.

Municipal assets are normally classified into movable and immovable assets.

Immovable assets attain importance as indicators for the financial worth which

would help in its borrowing capacity and credit worthiness of Thiruvathipuram

Municipality.

The management of assets in the local bodies is at the initial stage where, only the

assets are listed and status is described. Invariably, in all the cases, the management

component is missing as to the techniques and methods of managing the assets

either in improving their state and value or in sustaining them with a growth motive.

There is hardly any case where a local body has made use of its immovable assets

for raising loans or improving its borrowing capacity. It requires an overall approach

outlining the alternative options of maintaining and managing the assets in a

worthwhile mode.

13.1 ACTIVITIES OF ASSET MANAGEMENT PLAN (AMP)

The Asset Management Plan for Thiruvathipuram Municipality would comprise the

following 5 steps as explained below:

1. Asset identification

All movable and immovable equipments, immovable municipal properties, assets of

Municipality that have been developed, handed over or acquired over time from

various sources and departments have to be identified and traced. This would

include the detection of unrecorded infrastructure facilities and properties; scrutiny of

records, land registers and land surveys, etc.

2. Audit and reconciliation of records

The Municipality should record all movable and immovable municipal properties and

assets and infrastructure facilities. Maps and master plans should be crosschecked

and an infrastructure facilities audit should be prepared or updated (if already

existing). Current asset values should be assigned based on a ëcondition-surveyí of

the infrastructure facilities.

Land and property records should be crosschecked and municipal registers to be

updated to include previously undetected land, properties and development. A

comprehensive list of municipal land, properties and development should be

compiled with approximate assigned.

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3. Assessment of Remunerative potential

Municipality should review the existing revenue earning potential of all its assets. New

projects or initiatives should be taken to maximize the revenue earning potential of

assets including infrastructure facilities. The intangible benefits of social facilities also

need to be considered in the process.

4. Digitisation of asset register

Focus should be placed on designing, testing and installing a database

management system for municipal assets. All data, once complied should be

classified on the basis of sector specific infrastructure facilities, land and properties.

Specific software should be customized to suit local requirements and data should

be translated into specified formats.

5. Training in database management

Training is the most important part of an asset management plan. Training should

emphasize methods of simplified updation of data, and methods of monitoring and

follow-up relating to infrastructure facilities management, land use, litigation,

encroachment, values, expenditure and revenue flows.

13.2 INFRASTRUCTURE ASSETS

Infrastructure Assets will include all movable and immovable equipments and

properties including water supply, drainage, sewerage, solid waste management,

roads, street lighting etc. Unlike other assets of the municipality, these assets undergo

constant use, wear and tear, addition, repair etc. This correspondingly changes their

values and hence a constant value updating is necessary.

13.3 MOVABLE AND IMMOVABLE ASSETS

Water Supply

Public Fountains - 220 Nos

Number of Hand pump - 128 Nos

Number of mini power pump - 5 Nos

H.S.C.s - 4440 Nos

OHTSs - 5 Nos

Distribution line - 34.396 km

Public Convenience

Public Toilet unit - 13 Nos

Storm Water Drains

Pucca Drain - 36.5 km

Cutcha drain - 5.5 km

Solid Waste Management

Pushcarts - 22 Nos

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Mini Lorry - 02 Nos

Lorry - 05 Nos

Tipper - 01 Nos

Collection bins - 120 Nos

Roads

B T Road - 34.682 km

C C Road - 5.50 km

Earthen Road - 2.134 km

Bus Stand

No. of bus stands - 1 ëBí class bus stand

Street Lightings

Tube Lights - 1266 Nos

Sodium Vapour lamps - 197 Nos

Mercury Vapour lamps - 30 Nos

Energy saving light - 20 Nos

High mast light - 2 Nos

Parks

Municipality parks - 5 Nos

Burial Grounds

No. of burial grounds - 4 Nos

Slaughter house

No. of Slaughter house - 1 No

Education

Elementary school - 7 Nos

Middle school - 3 Nos

Maternity

Maternity center - 1 Nos

Markets

Daily Market - 1 No

13.4 PRIORITY ASSET MANAGEMENT OPTIONS

There are remunerative and non-remunerative assets of the municipality on which

the municipality incur considerable expenditure for operation and maintenance. The

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commercial complexes in the town, Shops in the bus stand, Markets, Slaughterhouse,

Pay and Use toilets, etc are all remunerative. Non-remunerative assets of the

municipality are the burial ground, public toilets, compost yard, parks and playfields

etc,. The list of land assets are given in the table below:

Table 13-1: Land Assets ñ Proposed use

S.No Location Present use Proposed use

1 Kadalmangalam Village Vacant land landfill site (proposed)

2 At the center of town Bus stand Bus stand (Improvements

proposed)

3 Nehru Nagar park ñ I, Nehru

Nagar park ñ II, Thiruvathur

Park, Koda nagar park, Puthu

street park

Not efficiently used Parks

4 kamaraj nagar Daily Market Daily market

(Improvements

proposed)

5 In front of daily market and

municipality office

Vacant land Shopping Complex

(proposed)

6 At south side of town Vacant land Maternity centre

(proposed)

7 kamaraj nagar Slaughter house Slaughter house

(Improvement proposed)

8 Kamaraj nagar and Thiruvathur Burial ground Burial ground

(improvement proposed)

Source: Survey, Analysis and discussion with municipal officials

Table 13-2: Income Details from Remunerative Assets (Rs.in lacs)

S.No Particulars Amount

1 Daily Market Fees 18.00

2 Weekly Market Fees 4.50

3 Slaughter House Fees 0.40

4 Car & Taxi Stand Fees 1.00

5 Rent from Shopping Complex 9.50

6 Fees for Bays in Bus 3.60

7 Fees for Pay & Use Toilets 2.25

8 Income from Water Supply 20.00

9 Income from Water Connections 5.00

Table 13-3: Income from Proposed new Projects

S.No Description Income (Rs.in lakhs)

1 New shops at Bus Stand 7.2

2 Lodge in the second floor at bus stand 6

3 Parking bicycle, 2 wheeler, 4 wheeler at bus stand 2.5

4 New shops at Ground Floor of market 14.52

5 New shops at first Floor of market 12.48

6 New shops at second Floor of market 4.8

7 Shopping Complex before daily market 10.8

8 Shopping Complex before municipality 12

9 Slaughter House 1

10 Burial Ground 3

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The suggestions for the improvement of land asset management are listed below:

1. Create land asset register listing all Municipal properties with the following

data:

Survey number

Location

Ownership data

Date of acquisition

Extent in Sq.m

Present status

Rate per sq.m

2. Establishment of GIS inventory for Municipality lands.

3. Removal of encroachments on Municipal lands.

4. Alternatively, levy of rent on Encroached Municipal lands.

5. Use of land assets for borrowing loans from capital market.

6. Identifying the most remunerative activity by Public Private Participation, BOT,

BOLT, BOOT initiatives.

7. Lease or rent out of land parcels for a specific period of time.

8. Asset creation by acquiring lands in peri-urban areas.

13.5 PROPOSED NEW ASSETS

Since every year there is an addition to such assets, an indication of the values is a

must in calculating the present values and also projecting to the future. In the

absence of any trend, the values of the structural assets have become difficult to be

computed. However, the values of the proposed projects in the form of assets both

for structural elements and certain movable items are indicated in the statement.

The assets creation by way of the projects proposed under CCCBP for

implementation in the years to come are indicated with the capital investment

values as in table below:

Table 13-4: New Assets for the year -2009-10 to 2013 -14

S. No. Project Items Amount Rs in Lacs

1 Water Supply 501

2 Sewerage & Sanitation 2472.01

3 Solid Waste Management 413.50

4 Strom water drain 849

5 Roads 1540

6 Bus Stand 50

7 Streetlight 50.80

8 Park 25

9 School 68

10 Matenity center 20

11 Market (including shops) 235

12 Shopping Complex 135

13 Burial ground 130

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S. No. Project Items Amount Rs in Lacs

14 E ñGovernance 47

15 Slum development 270

16 Construction of new municipal office building 78

Total 6884.31

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14 FIINANCIIAL AND OPERATIING PLAN

14.1 CAPITAL INVESTMENT PLAN

The proposed projects for Thiruvathipuram Municipality taking in to account its

resources and the existing shortfall in services are given below. The projects have

been phased out taking in to account the time-span required for implementation of

the project and the availability of the funds (loans, grants and municipalityís own

resources) for the same.

Table 14-1: Projects to be executed by the Municipality

S.No. Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Total

A Physical Infrastructure Facilities

I Water Supply

a) Improvements to Water Supply 288.00 213.00 - - - 501.00

II Sewerage & Sanitation

New Underground Sewerage

a) Scheme - 951.77 1484.24 - - 2436.01

III Strom Water Drains

Upgradation & Formation of

a) New Drains - - - 350.00 499.00 849.00

IV Solid Waste Management

Cost of land fill site & compost

a) yard 95.50 - - - - 95.50

Land fill site & compost yard

b) development - 110.00 135.00 - - 245.00

Vehicles & Equipments for

c) collection 13.00 30.00 30.00 - - 73.00

V Roads

a) BT & CC Roads Improvement - - - 510.00 890.00 1400.00

b) BT & CC Roads - New Roads - - - - 140.00 140.00

VI Bus Stand

Office Building in First Floor &

a) Shopping Complex - 50.00 - - - 50.00

VII Street Lights

a) High Mast Lights - 27.00 - - - 27.00

b) Proposed New Lights - 10.00 - - - 10.00

Retrofitting & energy saving

c) lights 5.15 4.94 3.71 - - 13.80

B Social Infrastructure Facilities

I Slum Improvement

a) Improvements to Slums - - 150.00 120.00 - 270.00

II Education

a) Improvements to Schools 16.00 32.00 20.00 - - 68.00

III Parks & Playgrounds

Improvement of parks,

a) construction of compound wall - - 25.00 - - 25.00

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for play ground & play

IV

equipments

Burial Ground / Crematorium

Improvement to Burial Ground

a) with Gasifier at Kamaraj Nagar - 70.00 - - - 70.00

b) Burial Ground improvements - - 20.00 20.00 20.00 60.00

V Market

a) Ground Floor Shops 100.00 - - - - 100.00

b) First Floor and Second Floor - 130.00 - - - 130.00

c) Parking Area 5.00 - - - - 5.00

VI Shopping Complex

Shopping Complex in front of

a) Daily Market 55.00 - - - - 55.00

Shopping Complex in front of

b) Municipal Office 80.00 - - - - 80.00

VII Maternity Centre

a) Medicare - - - - 20.00 20.00

VIII Public Convenience

Public Convenience - - 36.00 - - 36.00

C Other Projects

I Buildings

Construction of New Municipal

a) Office Building 78.00 - - - - 78.00

II Vehicles

a) Mobile Tax Collection Vehicle 10.00 - - - - 10.00

III E-Governance

a) E-Governance - - 15.00 - - 15.00

Updation of Database on GIS

b) platform 5.00 - - - 17.00 22.00

Total 750.65 1628.71 1918.95 1000.00 1586.00 6884.31

The initial building blocks of the Corporate Plan are the ëelementsí required to sustain

the townís growth; public utility, urban environment, economic and social

development, land use and transportation, municipal resources, urban governance

and capital facilities. The projects in the plan were developed through a consultative

process carried out between the Local Body Officials, Council Staff and Elected

Officials, Public Interest Groups, Project Stakeholders and the local citizens.

The projects have been prioritized in the following order :

a) Water Supply

b) Sewerage and Sanitation

c) Solid Waste Management

d) Storm Water Drains

e) Urban Service for Poor (Slum Upgradation)

f) Roads, traffic and transportation

g) Street Lighting

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14.2 OTHER PROJECTS AND ON GOING PROJECTS

The details of projects identified to be executed by other departments / agencies

and the ongoing projects that are being executed by the Municipality are given

below :

Table 14-2: Projects to be executed by Other Agencies

S.No Particulars Total Funding By

I Regional Level

a) Implementation of linking Cheyyar and - Water Resources Dept

Pennaiyar River

b) Regional Study for identification of thrust 3.00 TIDCO

areas for new industrial cluster devt.

c) Feasibility Study for extension of National 5.00 NHAI

Highway linking Thiruvathipuram with

Chennai - Bengaluru Industrial Corridor

of Excellence

d) Setting up of Resource Center for 10.00 TIDCO, Tech Educational

Technology and Efficiency Upgradation of Institutions & Industries

industrial skills

e) Milk & milk products processing - Dairy Devt Department

Technology center & Aavin

II Town Level

a) Provision of 4 lanes road with strom water 60.00 NHAI

drain, side pathway for 3 km from

Electricity Board Office to Govt. Hospital

and 2 lane from college to Devi Theatre

b) Construction of additional Two Class room 14.00 Public Works Dept -

in Aringar Anna Govt. Arts College at Buildings Division

Cheyyar in Thiruvannamalai District

c) Construction of additional laboratory 16.00 Public Works Dept -

Physics Lab building in Arignar Anna Govt. Buildings Division

Arts College

d) Construction of Sub Registrar Office 21.00 - Do -

Building at Cheyyar

e) Construction of Kuppanatham Reservoir 4350.00 Water Resources

across Cheyyar River Department

f) Excavation of supply channel from Alathur 26.00 Water Resources

Channel to Haridharimangalam Tank Department

g) Proposed new BG Track between - Southern Railway

Tindivanam and Nagari

h) Construction of bridge across Cheyyar - Water Resources

River and Kalavai Maduvu River Department

i) Awareness Campaign for NGOs on their 5.00 Municipality

roles and responsibilities in community

development

Total 4510.00

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Table 14-3: Projects under Implementation by the Municipality

S.No Particulars Total Cost Loan Grant Mun Cont. Funding By

a) Roads 20.00 - - 20.00 100% Own Funds

b) Drain Works 10.00 - - 10.00 100% Own Funds

c) Water Supply 10.00 - - 10.00 100% Own Funds

d) Street Lighting 5.00 - - 5.00 100% Own Funds

e) Buildings (Toilets) 5.00 - - 5.00 100% Own Funds

f) Bus Stand 2.00 - - 2.00 100% Own Funds

g) Slaughter House 20.00 - 20.00 - 100% Grant

h) Maternity Centre 10.00 - 10.00 - 100% Grant

Total 82.00 0.00 30.00 52.00

14.3 MEANS OF FINANCE

The means of finance for each individual project identified taking in to account

whether the same is remunerative or non-remunerative and the availability of Grants

from various sources is given below:

Table 14-4: Multi Year Investment Plan and Means of Finance

S.No. Particulars

Multi Year Investment Plan

2009-10 2010-11 2011-12 2012-13 2013-14 Total

Physical Infrastructure

A Facilities

1 Water Supply

Total Project Cost 288.00 213.00 - - - 501.00

Add : Price Inflation @ 7% 20.16 30.86 0.00 0.00 0.00 51.02

Total 308.16 243.86 0.00 0.00 0.00 552.02

Means of Finance

Loan 184.90 146.32 0.00 0.00 0.00 331.21

Grant 92.45 73.16 0.00 0.00 0.00 165.61

Municipality Own Funds 30.82 24.39 0.00 0.00 0.00 55.20

Total 308.16 243.86 0.00 0.00 0.00 552.02

2 Sewerage

Total Project Cost - 951.77 1484.24 - - 2436.01

Add : Price Inflation @ 7% 0.00 137.91 334.02 0.00 0.00 471.93

Total 0.00 1089.68 1818.26 0.00 0.00 2907.94

Means of Finance

Loan 0.00 653.81 1090.95 0.00 0.00 1744.76

Grant 0.00 326.90 545.48 0.00 0.00 872.38

Municipality Own Funds 0.00 108.97 181.83 0.00 0.00 290.79

Total 0.00 1089.68 1818.26 0.00 0.00 2907.94

3 Storm Water Drains

Total Project Cost - - - 350.00 499.00 849.00

Add : Price Inflation @ 7% 0.00 0.00 0.00 108.78 200.87 309.65

Total 0.00 0.00 0.00 458.78 699.87 1158.65

Means of Finance

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Loan 0.00 0.00 0.00 275.27 419.92 695.19

Grant 0.00 0.00 0.00 137.63 209.96 347.60

Municipality Own Funds 0.00 0.00 0.00 45.88 69.99 115.87

Total 0.00 0.00 0.00 458.78 699.87 1158.65

4A SWM - Land Fill Site

Total Project Cost 95.50 - - - - 95.50

Add : Price Inflation @ 7% 6.69 0.00 0.00 0.00 0.00 6.69

Total

Means of Finance

102.19 0.00 0.00 0.00 0.00 102.19

Grant 102.19 0.00 0.00 0.00 0.00 102.19

Total 102.19 0.00 0.00 0.00 0.00 102.19

4B

SWM - Land & Compost

Yard Devt

Total Project Cost - 110.00 135.00 - - 245.00

Add : Price Inflation @ 7% 0.00 15.94 30.38 0.00 0.00 46.32

Total

Means of Finance

0.00 125.94 165.38 0.00 0.00 291.32

Grant 0.00 62.97 82.69 0.00 0.00 145.66

Municipality Own Funds 0.00 62.97 82.69 0.00 0.00 145.66

Total 0.00 125.94 165.38 0.00 0.00 291.32

SWM - Vehicles &

4C Equipments

Total Project Cost 13.00 30.00 30.00 - - 73.00

Add : Price Inflation @ 7% 0.91 4.35 6.75 0.00 0.00 12.01

Total

Means of Finance

13.91 34.35 36.75 0.00 0.00 85.01

Grant 6.96 17.17 18.38 0.00 0.00 42.50

Municipality Own Funds 6.96 17.17 18.38 0.00 0.00 42.50

Total 13.91 34.35 36.75 0.00 0.00 85.01

5A Roads - BT & CC Road

Total Project Cost - - - 510.00 890.00 1400.00

Add : Price Inflation @ 7% 0.00 0.00 0.00 158.51 358.27 516.78

Total

Means of Finance

0.00 0.00 0.00 668.51 1248.27 1916.78

Loan 0.00 0.00 0.00 401.10 748.96 1150.07

Grant 0.00 0.00 0.00 200.55 374.48 575.03

Municipality Own Funds 0.00 0.00 0.00 66.85 124.83 191.68

Total 0.00 0.00 0.00 668.51 1248.27 1916.78

5B

Roads - BT & CC Road -

New Roads

Total Project Cost - - - - 140.00 140.00

Add : Price Inflation @ 7% 0.00 0.00 0.00 0.00 56.36 56.36

Total

Means of Finance

0.00 0.00 0.00 0.00 196.36 196.36

Loan 0.00 0.00 0.00 0.00 117.81 117.81

Grant 0.00 0.00 0.00 0.00 58.91 58.91

Municipality Own Funds 0.00 0.00 0.00 0.00 19.64 19.64

Total 0.00 0.00 0.00 0.00 196.36 196.36

6 Bus Stand - Office

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Building & Shopping Com

Total Project Cost - 50.00 - - - 50.00

Add : Price Inflation @ 7% 0.00 7.25 0.00 0.00 0.00 7.25

Total

Means of Finance

0.00 57.25 0.00 0.00 0.00 57.25

Loan 0.00 40.07 0.00 0.00 0.00 40.07

Municipality Own Funds 0.00 17.17 0.00 0.00 0.00 17.17

Total 0.00 57.25 0.00 0.00 0.00 57.25

7A

Street Lights - High Mast

Lights

Total Project Cost - 27.00 - - - 27.00

Add : Price Inflation @ 7% 0.00 3.91 0.00 0.00 0.00 3.91

Total

Means of Finance

0.00 30.91 0.00 0.00 0.00 30.91

Grant 0.00 30.91 0.00 0.00 0.00 30.91

Total 0.00 30.91 0.00 0.00 0.00 30.91

7B Street Lights - New Lights

Total Project Cost - 10.00 - - - 10.00

Add : Price Inflation @ 7% 0.00 1.45 0.00 0.00 0.00 1.45

Total

Means of Finance

0.00 11.45 0.00 0.00 0.00 11.45

Municipality Own Funds 0.00 11.45 0.00 0.00 0.00 11.45

Total 0.00 11.45 0.00 0.00 0.00 11.45

7C

Street Lights - Retrofitting

& Energy Saving

Total Project Cost 5.15 4.94 3.71 - - 13.80

Add : Price Inflation @ 7% 0.36 0.72 0.83 0.00 0.00 1.91

Total

Means of Finance

5.51 5.66 4.54 0.00 0.00 15.71

ESCO 5.51 5.66 4.54 0.00 0.00 15.71

Total 5.51 5.66 4.54 0.00 0.00 15.71

Social Infrastructure

B Facilities

1 Slum Improvement

Total Project Cost - - 150.00 120.00 - 270.00

Add : Price Inflation @ 7% 0.00 0.00 33.76 37.30 0.00 71.05

Total

Means of Finance

0.00 0.00 183.76 157.30 0.00 341.05

Grant 0.00 0.00 165.38 141.57 0.00 306.95

Municipality Own Funds 0.00 0.00 18.38 15.73 0.00 34.11

Total 0.00 0.00 183.76 157.30 0.00 341.05

2 Education

Total Project Cost 16.00 32.00 20.00 - - 68.00

Add : Price Inflation @ 7% 1.12 4.64 4.50 0.00 0.00 10.26

Total

Means of Finance

17.12 36.64 24.50 0.00 0.00 78.26

Municipality Own Funds 17.12 36.64 24.50 0.00 0.00 78.26

Total 17.12 36.64 24.50 0.00 0.00 78.26

3 Parks & Playgrounds

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Total Project Cost - - 25.00 - - 25.00

Add : Price Inflation @ 7% 0.00 0.00 5.63 0.00 0.00 5.63

Total

Means of Finance

0.00 0.00 30.63 0.00 0.00 30.63

Grant 0.00 0.00 15.31 0.00 0.00 15.31

Municipality Own Funds 0.00 0.00 15.31 0.00 0.00 15.31

Total 0.00 0.00 30.63 0.00 0.00 30.63

4A

Burial Ground at Kamaraj

Nagar

Total Project Cost - 70.00 - - - 70.00

Add : Price Inflation @ 7% 0.00 10.14 0.00 0.00 0.00 10.14

Total

Means of Finance

0.00 80.14 0.00 0.00 0.00 80.14

Grant 0.00 40.07 0.00 0.00 0.00 40.07

Municipality Own Funds 0.00 40.07 0.00 0.00 0.00 40.07

Total 0.00 80.14 0.00 0.00 0.00 80.14

Burial Ground

4B Improvements

Total Project Cost - - 20.00 20.00 20.00 60.00

Add : Price Inflation @ 7% 0.00 0.00 4.50 6.22 8.05 18.77

Total

Means of Finance

0.00 0.00 24.50 26.22 28.05 78.77

Grant 0.00 0.00 22.05 23.59 25.25 70.89

Municipality Own Funds 0.00 0.00 2.45 2.62 2.81 7.88

Total 0.00 0.00 24.50 26.22 28.05 78.77

5A

Market - Ground & First

Floor shops

Total Project Cost 100.00 130.00 0.00 0.00 0.00 230.00

Add : Price Inflation @ 7% 7.00 18.84 0.00 0.00 0.00 25.84

Total

Means of Finance

107.00 148.84 0.00 0.00 0.00 255.84

Loan 96.30 133.95 0.00 0.00 0.00 230.25

Municipality Own Funds 10.70 14.88 0.00 0.00 0.00 25.58

Total 107.00 148.84 0.00 0.00 0.00 255.84

5B Market - Parking Area

Total Project Cost 5.00 - - - - 5.00

Add : Price Inflation @ 7% 0.35 0.00 0.00 0.00 0.00 0.35

Total

Means of Finance

5.35 0.00 0.00 0.00 0.00 5.35

BOOT Basis 5.35 0.00 0.00 0.00 0.00 5.35

Total 5.35 0.00 0.00 0.00 0.00 5.35

Shopping Complex in

6A front of Daily Market

Total Project Cost 55.00 - - - - 55.00

Add : Price Inflation @ 7% 3.85 0.00 0.00 0.00 0.00 3.85

Total

Means of Finance

58.85 0.00 0.00 0.00 0.00 58.85

Loan 52.97 0.00 0.00 0.00 0.00 52.97

Municipality Own Funds 5.89 0.00 0.00 0.00 0.00 5.89

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Total 58.85 0.00 0.00 0.00 0.00 58.85

Shopping Complex in

6B front of Municipality

Total Project Cost 80.00 - - - - 80.00

Add : Price Inflation @ 7% 5.60 0.00 0.00 0.00 0.00 5.60

Total

Means of Finance

85.60 0.00 0.00 0.00 0.00 85.60

Loan 77.04 0.00 0.00 0.00 0.00 77.04

Municipality Own Funds 8.56 0.00 0.00 0.00 0.00 8.56

Total 85.60 0.00 0.00 0.00 0.00 85.60

7 Maternity centre

Total project cost - - - - 20.00 20.00

Add : Price inflation @ 7% 0.00 0.00 0.00 0.00 8.05 8.05

Total

Means of Finance

0.00 0.00 0.00 0.00 28.05 28.05

Grants 0.00 0.00 0.00 0.00 14.03 14.03

Municipality Own Funds 0.00 0.00 0.00 0.00 14.03 14.03

Total 0.00 0.00 0.00 0.00 28.05 28.05

8 Public Convenience

Total Project Cost - - 36.00 - - 36.00

Add : Price Inflation @ 7% 0.00 0.00 8.10 0.00 0.00 8.10

Total

Means of Finance

0.00 0.00 44.10 0.00 0.00 44.10

Grants 0.00 0.00 22.05 0.00 0.00 22.05

Municipality Own Funds 0.00 0.00 22.05 0.00 0.00 22.05

Total 0.00 0.00 44.10 0.00 0.00 44.10

C Other Projects

1 Building

New Municipality Building 78.00 - - - - 78.00

Add : Price Inflation @ 7% 5.46 0.00 0.00 0.00 0.00 5.46

Total

Means of Finance

83.46 0.00 0.00 0.00 0.00 83.46

Loan 75.11 0.00 0.00 0.00 0.00 75.11

Municipality Own Funds 8.35 0.00 0.00 0.00 0.00 8.35

Total 83.46 0.00 0.00 0.00 0.00 83.46

2 Vehicles

Mobile Tax Collection

Van 10.00 - - - - 10.00

Add : Price Inflation @ 7% 0.70 0.00 0.00 0.00 0.00 0.70

Total

Means of Finance

10.70 0.00 0.00 0.00 0.00 10.70

Municipality Own Funds 10.70 0.00 0.00 0.00 0.00 10.70

Total 10.70 0.00 0.00 0.00 0.00 10.70

3A E-Governance

Total Project Cost - - 15.00 - - 15.00

Add : Price Inflation @ 7% 0.00 0.00 3.38 0.00 0.00 3.38

Total

Means of Finance

0.00 0.00 18.38 0.00 0.00 18.38

Grant 0.00 0.00 18.38 0.00 0.00 18.38

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3B

Total 0.00 0.00 18.38 0.00 0.00 18.38

Updation of Database in

GIS Platform

Total Project Cost 5.00 - - - 17.00 22.00

Add : Price Inflation @ 7% 0.35 0.00 0.00 0.00 6.84 7.19

Total

Means of Finance

5.35 0.00 0.00 0.00 23.84 29.19

Grant 4.82 0.00 0.00 0.00 21.46 26.27

Municipality Own Funds 0.54 0.00 0.00 0.00 2.38 2.92

Total 5.35 0.00 0.00 0.00 23.84 29.19

The consolidated ëMeans of Financeí for all the projects put-together is summarized

below :

Table 14-5: Consolidated Means of Finance

Multi Year Investment Plan

S.No. Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Total

I Project Cost

Total Project Cost 750.65 1628.71 1918.95 1000.00 1586.00 6884.31

Add : Price Inflation @ 7% 52.55 236.00 431.85 310.80 638.45 1669.63

Total 803.20 1864.71 2350.80 1310.80 2224.45 8553.94

II Means of Finance

Municipality Own Funds 99.62 333.71 365.58 131.08 233.67 1163.66

(including Deposits from

Public)

Grant 206.40 551.19 889.71 503.35 704.08 2854.73

TNUIFSL Loan 486.32 974.15 1090.95 676.37 1286.70 4514.49

BOOT / Private Sector 10.86 5.66 4.54 0.00 0.00 21.06

Total 803.20 1864.71 2350.80 1310.80 2224.45 8553.94

14.4 FINANCIAL SUSTAINABILITY

The sustainability analysis assumes that the Municipality will carry out reforms

indicated as assumptions for financial projections. A Financial and Operating Plan

(FOP) prepared which evaluates the Municipality Fund status for the Full Project

scenario.

The FOP is a cash flow stream of the ULB based on the regular Municipality revenues,

expenditures and applicability of surplus funds to support project sustainability. The

FOP horizon is determined to assess the impact of full debt servicing liability resulting

from the borrowings to meet the identified interventions. The proposed capital

investments are phased over 5 years investment from FY 2009-10 to FY 2013-14.

The full project investment scenario is based on all the proposed investments

identified for Thiruvathipuram Municipality and the requirement for upgrading the

townís infrastructure is estimated and phased based on the construction activity.

Implications of this investment in terms of external borrowings required, resultant debt

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service commitment and additional operation and maintenance expenditure are

worked out to ascertain sub-project cash flows. Revenue surpluses of the existing

operations are applied to the sub-project cash flows emerging from full project

investments ñ the Municipality fund net surpluses indicates the ULBís ability to sustain

full investments.

FY 2009-10 is taken as the base year and FY 2028-29 is assumed as the reference year

(20 years) to determine the net surpluses and whether the Municipality maintains a

debt / revenue surplus ratio as an indication of the ULBís ability to sustain investments.

14.5 BASIC ASSUMPTIONS FOR PROJECTIONS:

The FOP is based on a whole range of assumptions related to income and

expenditure. These are critical to ascertain the investment sustenance and would

also provide a tool to test certain specific policy decisions regarding revenue and

expenditure drivers on the overall Municipality fiscal situation. This section elucidated

the key assumptions adopted for the FOP scenario.

The growth rates for the various heads of income and expenditure have been arrived

based on the past growth rates and the future estimated population growth.

Improvements to the existing current and arrears collection percentages have been

assumed for the various revenues directly collected by the Municipality, which

implies that the Municipality would have to improve its collection mechanism to

sustain full investments.

Given below are the various assumptions forming part of the FOP workings :

14.5.1 Income

a) Property Tax

The population of Thiruvathipuram Municipality is estimated to grow at around 3.25%

p.a. Based on the same Property Tax Revenue are assumed to increase @ 2.5% per

annum. The last revision of Property Tax was carried out on 1-10-98 and it is assumed

that the next revision will be carried out in the current year. It is assumed that there

will be an increase of 25% due to revision in 2008-09 & that revision would be done @

15% every 5 years.

It has also been established as per the Survey in 2002 that around 27% of the

properties are unassessed and further 20-25% of the properties are unassessed.

Considering the above, it is assumed that the same shall be set right and together

these shall contribute to increase in property tax revenue by 15% from next year viz.

2009-10 on account of property mapping.

The Property Tax income is divided between Revenue, Water Supply and Education

Fund in the following ratio:

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Table 14-6: Ratio of Property tax

Per Annum

General 21.000% )

Scavanging - ) Revenue & Capital Fund

Lighting - )

Water Tax 4.000% } Water Supply & Drainage Fund

Drainage - }

Education 5.000% ] Education Fund

Total 30.000%

b) Profession tax

Income from Profession Tax is assumed to increase @ 1% per annum. The Profession

Tax was last revised on 1.10.2003 and the next revision is due in 2008-09. It is assumed

that every revision would contribute to 15% increase

Besides, the profession tax base would be increased by carrying out survey in 2010-

11. It is assumed that the survey would result in increase in profession tax base by 20%

in 2010-11.

c) Assigned revenue

Assigned Revenue comprises Entertainment Tax and Surcharge on Stamp Duty. It is

assumed the same shall increase as under :

Duty on Transfer of Property : 5%

Entertainment Tax : 1%

d) Devolution Fund

Devolution Fund is also assumed to increase by 7.5% per annum

e) Service charges and fees

Service Charges and Fees are assumed to increase @ 7.5% per annum

f) Grant and Contribution

No Grant has been assumed in the financial projections.

g) Sales and Hire charges

Nil income assumed from Sales & Hire Charges.

h) Other Income

Other Income comprising basically fees and other rental income are assumed to

increase @ 5% per annum.

i) Water Supply Charges

The present connection charges/deposit and tariff for water are as below :

Table 14-7: Water supply Charges - Existing

Type of service connections Connection Tariff

Residential Rs. 5000 Rs.50.00 Per month

Commercial Rs. 10000 Rs.100.00 per month

Industrial Rs. 15000 Rs.150.00 per month

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It is assumed that after completion of water supply improvements work, the house

service connections will be equal to 80% of property tax assessments.

The water charges shall be revised as below :

Residential - Rs.60.00 p.m

Commercial ñ Rs.120.00 p.m

Industrial - Rs. 200.00 p.m.

It is also assumed that the water connection charges shall be revised as under :

Residential - Rs.5000

Commercial - Rs.15000

Industrial - Rs.20000

It is assumed that water charges shall be increased as below every 5 years :

Residential - Rs.15.00 p.m

Commercial & industrial ñ Rs.25.00 p.m

It is assumed that water connection charges shall increase every 5 years as below :

Residential - Rs.1000

Commercial & industrial ñ Rs.2000

The house service connection as % of property tax assessments is as below:

Table 14-8: House Service Connections - Percentage

Year 2004-05 Property tax assessments HSCs %

Residential 5372 3699 69%

Commercial 1611 181 11%

Industrial & Govt. 13 13 100%

The improvements in water supply shall result in increase in operation & maintenance

by Rs.25.05 lakhs per annum and the same shall increase @ 5% per annum

j) Drainage Charges

The Municipality does not have Under Ground Sewerage System. A new

underground sewerage system is proposed to be built at a cost of Rs. 2436 lakhs. The

implementation period is 2 years starting from 2010-11 to 2011-12. On completion of

the scheme, it is assumed that around 70% of the property tax assessments would

have sewerage connection. It is assumed that the scheme shall be completed as

below :

2010-11 40%

2011-12 60%

The Deposits and Charges shall be collected accordingly.

It is assumed that the sewerage charges will be collected as below :

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Table 14-9: Sewage Charges

Assessments Deposits (in Rs) Tariff (in Rs)

Residential 5000 100

Commercial 10000 150

Industrial 15000 200

The new connection charges and tariff have been taken on average basis. It is

assumed that the drainage charges shall be increased every 5 years as below :

Residential - Rs.15/-

Commercial & industrial ñ Rs.25/-

It is assumed that the connection charges shall be increased every 5 years as below :

Residential - Rs.1000/-

Commercial ñ Rs.2000/-

Industrial - Rs.3000/-

The O&M charges shall be Rs.121.80 lakhs per annum and the same shall increase @

5% per annum.

k) Solid waste Management

It has been estimated that solid waste generation per day shall be around 14 MTs.

1/3rd out of the same shall comprise Bio-degradable waste and the manure

generation would be 1/3rd of the same. Thus the estimated saleable manure

generation per day would be 2 MTs. The same shall increase @ 5% per annum.

The revenue from solid waste disposal shall be Rs.1000.00 per MT. The same shall

increase by Rs.100.00 every 5 years. The number of assets covered by solid waste

management scheme shall be equal to 70% of property tax assessments. The

conservancy fees collected shall be as below to be collected after 10 years :

Domestic - Rs.10.00 per month

Commercial - Rs.20.00 per month

Industrial/Government - Rs.30.00 per month

The same shall increase as below every 5 years ;

Domestic - Rs.5.00/-

Commercial/ Industrial/Government - Rs.10.00/-

The cost of the scheme is Rs. 413.50 lakhs and the O&M cost shall be equal to around

Rs. 20.68 lacs per annum. The same shall increase @ 5% per annum.

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l) Bus Stand

Improvements / Renovation to Bus Stand by construction of Office Building, Shopping

Complex, Lodge and parking area shall be carried out at a cost of Rs. 50 lacs.

40 Nos. of new shops shall be constructed and the same shall fetch rent of Rs. 1500

per month. Besides deposit of Rs. 50000/- per shop shall be collected. The rent shall

increase @ 15% every 3 years.

The lodge in the second floor shall comprise around 20 rooms and the same shall

fetch average rent of Rs. 2500/- per month. The rent shall increase @ 15% every 3

years.

The O&M charges of Lodge shall be Rs. 1.50 lacs per annum. The same shall increase

@ 5% per month.

The parking area at Ground Floor shall have facilities for parking 100 Bicycles, 200 two

wheelers and 25 four wheelers. The same shall fetch revenue of Rs. 4 lacs per annum.

The parking income shall increase by 10% every 3 years.

m) Market

Improvements to Market shall be carried out at a cost of Rs. 230 lacs.

The number of new shops constructed shall be as below :

Table 14-10: Market - Assumptions

Particulars Nos. Rent

Ground Floor 55 Rs. 2200/- p.m.

First Floor 26 Rs. 4000/- p.m.

Second Floor 4 Rs. 10000/- p.m.

The rental income shall increase @ 15% every 3 years.

The O&M charges on market shall be equal to Rs. 7.05 lacs and the same shall

increase @ 5% per annum.

The parking area at Market shall fetch yearly revenue of Rs. 2 lacs per annum. The

income shall increase @ 5% per annum.

The same shall be carried out on BOOT Basis and the income from parking area shall

be to the account of BOOT operator for the first 5 years and thereafter to the

Municipality.

n) Shopping Complex

A Shopping Complex shall be constructed at a cost of Rs. 135 lacs.

The shopping complex shall comprise as below :

Table 14-11: Shopping complex ñ Assumptions

Description Shops Rent per month Deposit

Before Daily Market 30 3000/- 150000/-

Before Municipality 40 2500/- 150000/-

The rental income shall increase @ 15% every 3 years.

The annual O&M charges shall be equal to Rs. 4.05 lacs per annum. The same shall

increase @ 5% per annum.

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o) Slaughter House & Gasifier Crematorium

The income from Slaughter House shall be Rs. 1 lac per annum. The expenses of

Slaughter House shall be Rs. 0.65 lacs per annum. Both shall increase @ 5% per

annum.

The income from Burial Ground shall be Rs. 3 lacs per annum. The expenses of Burial

Ground shall be Rs. 3.9 lacs per annum. Both shall increase @ 5% per annum.

p) Advertisements

Bill Boards would be put at 20 places through out the Municipality. Rent shall be

earned @ Rs.500.00 per Bill board per month. The rent shall increase @ Rs. 100/- every

3 years.

q) Parking Fees

Parking Lots would be developed and income from parking is estimated at Rs.1.00

lakh per annum. The same would increase @ 3% per annum.

14.5.2 Expenditure

a) Increase in Expenditure

The expenses are assumed to increase as under :

Table 14-12: Assumptions - Increase in Expenditure

Description Increase in %

Personnel Cost ñ Salaries 2.50%

Personnel Cost ñ Others 10.00%

Terminal & Retirement Benefits 2.50%

Operative Expenses 7.50%

Repairs & Maintenance 7.50%

Program Expenses 2.50%

Administrative Expenses 7.50%

b) Operation and Maintenance

The additional operation & maintenance expenses to be incurred are as below:

Table 14-13: Assumptions ñ O&M

Ongoing Projects Rs. in lakhs

Roads 1.00

Drain Works 0.50

Water Supply 0.50

Street Lighting 0.25

Buildings (Toilets) 0.25

Bus Stand 0.10

Slaughter House 0.65

Maternity Center 0.50

New Projects (other than Sewerage & Water supply) Rs. in lakhs

Strom Water Drains 42.45

Solid Waste Management 20.68

Roads 77.00

Bus Stand improvements 1.50

Street Lights 2.64

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Slum Improvement 8.10

Education 2.04

Parks 0.75

Market Reconstruction 7.05

Public Convenience 1.08

Burial Ground / Crematorium 3.90

Shopping Complex 4.05

Maternity Center 0.60

New Municipal Office Building 2.34

Mobile Tax Collection Vehicle 0.50

E-Governance 1.11

Total 179.44

The same shall increase @ 5% per annum.

c) Power charges

There will be a savings of around 40% in power charges due to installation of energy

saving lights. As the same will be installed by private players, the savings in power

charges have been factored in the financial projections after 15 years. It is assumed

that the savings in power charges would be utilised towards returns of the private

player towards capital cost and interest.

d) Interest

Interest on loan have been provided based on the sanction rate for each loan.

Repayment of loans are based on the repayment schedule of each loan.

Sewerage & Water Supply Loan

It is assumed that all new loan shall carry interest rate of 9.5% per annum.

The loan from TNUIFSL shall be repaid over a period of 20 years with 5 years

moratorium.

Other Projects Loan

It is assumed that all new loan shall carry interest rate of 9.5% per annum.

The loan from TNUIFSL shall be repaid over a period of 10 years with 2 years

moratorium.

e) Depreciation

Depreciation is provided based on the rates adopted by the Municipality for

previous years.

f) Provision of doubtful debts

Doubtful debts have been provided as under:

Table 14-14: Assumptions ñ Provision of doubtful debts

Provision for Doubtful Debts is assumed @ 2% on total revenue for Revenue Fund

Provision for Doubtful Debts is assumed @ 1% on total revenue for Water Fund

Provision for Doubtful Debts is assumed @ 0% on total revenue for Education Fund

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14.5.3 Collections

a) Property tax

Table 14-15: Assumptions ñ Property tax collection

The current property tax collection is 66% The same shall improve over next 5 yrs. 90%

The arrears property tax collection is 35% The same shall improve over next 5 yrs. 60%

b) Profession tax

Table 14-16: Assumptions ñ Profession tax

The current profession tax collection 89% The same shall improve over next 5yrs. 95%

The arrears profession tax collection 9% The same shall improve over next 5yrs. 50%

c) Other Non Tax Income

Table 14-17: Assumptions ñ Other Non Tax Income

The current rental / lease collection is 91% The same shall be over next 5 years. 95%

The arrears collection % of rent / lease is 94% The same shall improve over next 5 yrs 95%

d) Water Charges

Table 14-18: Assumptions ñ Water Charges

The current water charges collection is 62% The same shall improve over next 5 yrs 90%

The arrears water charges collection is 35% The same shall improve over next 5 yrs 60%

e) Drainage Charges

Table 14-19: Assumptions ñ Drainage Charges

The current drainage collection is Nil The same shall be over the next 5 yrs. 80%

The arrears drainage collection is Nil The same shall be over the next 5 yrs. 60%

f) Other income

The collection % of all other income is taken at 100%

g) Others

The collection % of all other items of income is taken at 100%

14.5.4 Annuity Factor

The Annuity Factor for the new loans works out as under :

Table 14-20: Terms of Loan Funding for Proposed Investments

Tenor 20 years 10 years

Interest Rate 9.50% 9.50

Repayment Period 15 years 8 years

Moratorium 5 years 2 years

Repayment Factor 0.13 0.18

Conversion Factor Calculation

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a. Rate of Interest 9.5% 9.5%

b. Repayment Period 15 8

c. Loan Amount 24.00 29.00

Conversion Factor 3.07 5.34

Total Conversion Factor 8.40

Note : Water Supply & Sewerage Loan works out to 24% of total project cost

identified. Other Loans works out to 29% of total project cost identified.

14.6 PROJECT CASH FLOWS AND FOP RESULTS :

Detailed cash flows are worked out for each of the sub projects based on the

assumptions with regards investment phasing, financing pattern, additional operation

and maintenance expenditure and additional income out to proposed capital

investments for the full project scenario. The net project cash flows are then loaded

on the existing revenues to test their impact on the overall Municipality fiscal

situation.

a) Income and Expenditure projections

Table 14.21 captures the Income and Expenditure projections for the next 20 years

with potential improvements and borrowings:

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Table 14-21: Consolidated Income & Expenditure for next 20 years (up to FY 2028-29)

S.No Particulars 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18

I Income

a) Property Tax 41.97 52.47 60.34 61.85 63.39 64.98 74.72 76.59 78.51 80.47 82.48

b) Other Taxes 7.58 8.71 8.80 8.89 8.98 9.06 10.42 10.53 10.63 10.74 10.85

c) Assigned Revenue 22.01 23.07 24.18 25.35 26.58 27.86 29.21 30.63 32.12 33.68 35.32

d) Devolution Fund 80.63 86.67 93.17 100.16 107.67 115.75 124.43 133.76 143.79 154.58 166.17

e) Service Charges & Fees 36.37 37.64 38.97 40.35 85.06 173.65 196.52 203.92 209.10 232.46 257.28

f) Grants & Contribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

g) Sale & Hire Charges 0.22 0.23 0.25 0.27 0.29 0.31 0.33 0.36 0.38 0.41 0.44

h) Other Income 49.19 51.65 56.43 90.42 112.87 127.39 138.96 145.30 149.47 160.03 177.54

Total Income 237.97 260.45 282.14 327.28 404.84 519.00 574.61 601.09 624.01 672.36 730.09

II Expenditure

a) Personnel Salaries Cost 74.67 76.54 78.45 80.41 82.42 79.96 81.96 84.01 86.11 88.26 90.47

b) Personnel Cost - Others 1.65 1.82 2.00 2.20 2.42 2.66 2.92 3.22 3.54 3.89 4.28

b) Terminal & Ret Benefits 11.12 11.40 11.68 11.98 12.28 12.58 12.90 13.22 13.55 13.89 14.24

c) Operating Expenses 36.28 40.73 99.57 162.36 250.43 385.90 406.43 428.08 450.91 474.99 500.39

d) Repairs & Maintenance 13.12 14.10 15.16 16.29 17.51 18.83 20.24 21.76 23.39 25.14 27.03

e) Program Expenses 0.25 0.26 0.26 0.27 0.28 0.28 0.29 0.30 0.30 0.31 0.32

f) Administration Expenses 8.22 8.84 9.50 10.22 10.98 11.81 12.69 13.64 14.67 15.77 16.95

g) Finance Expenses 23.82 20.87 65.24 156.45 257.62 317.32 432.76 420.81 395.00 357.21 316.31

h) Depreciation 28.01 31.36 49.87 94.94 156.97 334.35 731.13 853.37 638.18 491.21 388.76

Total Expenditure 197.14 205.91 331.74 535.12 790.91 1163.68 1701.32 1838.40 1625.65 1470.67 1358.74

Surplus / (Deficit) 40.83 54.54 (49.59) (207.84) (386.07) (644.68) (1126.71) (1237.32) (1001.64) (798.31) (628.65)

Profit before Depreciation 68.83 85.90 0.28 -112.90 -229.10 -310.33 -395.58 -383.94 -363.46 -307.10 -239.89

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S.No Particulars 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29

I Income

a) Property Tax 94.85 97.22 99.65 102.15 104.70 120.40 123.41 126.50 129.66 132.90 152.84

b) Other Taxes 12.48 12.60 12.73 12.85 12.98 14.93 15.08 15.23 15.38 15.54 17.87

c) Assigned Revenue 37.04 38.85 40.75 42.74 44.83 47.02 49.33 51.75 54.29 56.95 59.75

d) Devolution Fund 178.63 192.03 206.43 221.92 238.56 256.45 275.69 296.36 318.59 342.48 368.17

e) Service Charges & Fees 263.86 270.64 280.75 308.35 334.59 346.84 355.83 365.12 401.81 432.96 444.32

f) Grants & Contribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

g) Sale & Hire Charges 0.48 0.51 0.55 0.59 0.64 0.68 0.74 0.79 0.85 0.91 0.98

h) Other Income 182.60 195.05 203.77 209.55 228.77 239.03 248.62 262.19 273.98 293.78 309.65

Total Income 769.93 806.91 844.63 898.15 965.08 1025.36 1068.69 1117.93 1194.56 1275.53 1353.57

II Expenditure

a) Personnel Salaries Cost 92.73 95.04 97.42 99.86 102.35 104.91 107.53 110.22 112.98 115.80 118.70

b) Personnel Cost - Others 4.71 5.18 5.70 6.27 6.89 7.58 8.34 9.17 10.09 11.10 12.21

b) Terminal & Ret Benefits 14.59 14.96 15.33 15.71 16.11 16.51 16.92 17.35 17.78 18.22 18.68

c) Operating Expenses 527.18 555.44 585.26 616.73 649.93 684.97 721.96 741.15 780.87 822.78 867.00

d) Repairs & Maintenance 29.06 31.24 33.58 36.10 38.81 41.72 44.84 48.21 51.82 55.71 59.89

e) Program Expenses 0.33 0.34 0.34 0.35 0.36 0.37 0.38 0.39 0.40 0.41 0.42

f) Administration Expenses 18.22 19.59 21.06 22.64 24.33 26.16 28.12 30.23 32.50 34.93 37.55

g) Finance Expenses 275.02 235.50 198.82 163.49 132.45 112.89 100.67 88.58 77.04 65.60 54.04

h) Depreciation 315.83 262.80 223.42 193.58 170.52 152.37 137.84 126.01 116.23 108.03 101.06

Total Expenditure 1277.67 1220.09 1180.93 1154.72 1141.75 1147.48 1166.61 1171.31 1199.71 1232.58 1269.54

Surplus / (Deficit) (507.73) (413.18) (336.31) (256.57) (176.67) (122.11) (97.92) (53.37) (5.15) 42.94 84.03

Profit before Depreciation -191.90 -150.38 -112.88 -62.99 -6.16 30.25 39.92 72.63 111.08 150.97 185.09

It may be observed from the above table that the Municipality has surplus prior to depreciation in all the future 20 years

and the cumulative cash flows are also positive for all the next 20 years.

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b) Balance sheet

Table 14-22: Consolidated Balance Sheet for next 20 years (up to FY 2028 ñ 29)

S.No Particulars 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18

I Liabilities

a) Liabilities

Loans 132.66 114.26 582.18 1537.93 2572.81 3171.35 4380.22 4205.52 3831.17 3387.96 2944.74

Cont from Municipal Fund 16.00 68.00 167.62 501.33 866.91 997.99 1231.66 1231.66 1231.66 1231.66 1231.66

Cont from Government 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02

Cont from Private Parties 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50

Grant 115.40 145.40 351.80 902.99 1792.71 2296.05 3000.13 3000.13 3000.13 3000.13 3000.13

Accumulated Depreciation 288.43 319.79 369.66 464.60 621.57 955.92 1687.04 2540.42 3178.59 3669.80 4058.56

b) Current Liabilities

Prov for Doubtful coll 41.85 46.88 52.31 58.64 66.51 76.66 87.89 99.65 111.85 125.02 139.33

Tender Deposits 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75

Security Deposits 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

Deposits Others 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10

Deposit on Water Conn 5.52 11.18 65.11 129.14 157.16 237.87 303.05 317.80 332.92 351.02 369.57

Deposit on Sewerage 0.00 0.00 0.00 92.52 221.47 253.92 324.98 335.83 346.95 358.35 372.37

Library Cess Payable 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

Accounts Payable 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55

Accounts Payable ñ exp 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50

Adv coll of Property Tax 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25

Interest Payable 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00

Other paybles 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30

Outstandings 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25

Rec from staff bills pay 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00

Diversion of Funds 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40

c) Accumulated Surplus 1245.16 1299.70 1250.10 1042.27 656.20 11.52 -1115.19 -2352.51 -3354.15 -4152.46 -4781.11

Total 2449.63 2609.82 3443.40 5334.03 7559.95 8605.90 10504.41 9983.11 9283.75 8576.09 7939.87

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S.No Particulars 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29

I Liabilities

a) Liabilities

Loans 2501.53 2095.99 1712.21 1328.43 1029.19 890.80 752.40 614.00 475.60 337.20 198.80

Cont from Municipal Fund 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66 1231.66

Cont from Government 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02 165.02

Cont from Private Parties 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50

Grant 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13 3000.13

Accumulated Depreciation 4374.40 4637.20 4860.62 5054.20 5224.72 5377.09 5514.92 5640.93 5757.16 5865.19 5966.24

b) Current Liabilities

Prov for Doubtful coll 154.39 170.19 186.73 204.33 223.26 243.35 264.29 286.20 309.63 334.67 361.20

Tender Deposits 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75

Security Deposits 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

Deposits Others 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10 135.10

Deposit on Water Conn 388.58 408.08 428.05 451.48 475.49 500.10 525.32 551.18 581.01 611.59 642.93

Deposit on Sewerage 386.74 401.47 416.57 432.04 450.55 469.52 488.96 508.89 529.31 553.24 577.77

Library Cess Payable 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

Accounts Payable 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55 2.55

Accounts Payable ñ exp 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50

Adv coll of Property Tax 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25

Interest Payable 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00 50.00

Other paybles 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30 0.30

Outstandings 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25 20.25

Rec from staff bills pay 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00

Diversion of Funds 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40 143.40

c) Accumulated Surplus -5288.84 -5702.02 -6038.33 -6294.89 -6471.57 -6593.68 -6691.60 -6744.97 -6750.12 -6707.18 -6623.15

Total 7353.22 6847.32 6402.27 6012.00 5768.05 5723.57 5690.69 5692.63 5739.00 5831.12 5960.21

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S.No Particulars 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18

II Assets

a) Fixed Assets 1669.99 1751.99 2555.19 4419.90 6770.69 8081.49 10305.94 10305.94 10305.94 10305.94 10305.94

b) Current Assets

Stock 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00

Property Tax - Current 12.59 10.49 6.03 6.18 6.34 6.50 7.47 7.66 7.85 8.05 8.25

Property Tax - Arrears 43.50 34.34 24.23 15.73 12.47 11.33 11.03 11.88 12.41 12.82 13.17

Profession Tax - Current 0.76 0.44 0.44 0.44 0.45 0.45 0.52 0.53 0.53 0.54 0.54

Profession Tax - Arrears 10.35 9.04 6.76 4.50 2.69 1.80 1.35 1.20 1.12 1.09 1.08

Lease Amounts - Current 3.89 2.04 2.14 3.81 4.75 4.88 5.40 5.65 5.77 6.22 6.51

Lease Amounts - Arrears 2.88 4.03 2.24 2.25 3.92 4.95 5.13 5.65 5.93 6.07 6.53

Water Charges -Current 9.47 8.32 5.69 2.91 5.59 6.49 7.15 7.33 7.52 9.50 9.74

Water Charges -Arrears 32.50 28.97 22.81 14.81 8.84 9.13 10.14 11.21 11.82 12.24 14.40

Sewerage Chgs - Current 0.00 0.00 0.00 0.00 0.00 15.77 18.85 19.33 19.81 20.30 24.04

Sewerage Chgs - Arrears 0.00 0.00 0.00 0.00 0.00 0.00 15.77 25.16 29.39 31.57 32.93

Specific Grant Receivable 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00

Deposits Recoverable 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15

Staff Advance Rec 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25

Material cost Recoverable 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20

Other Advances ñ Rec 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00

Funds Transfer 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20

Income from Cable TV 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00

Other Schemes 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00

Outstandings 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00

Interest due on FD 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25

Others 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

c) Cash & Bank Balances 303.66 400.10 457.81 503.44 384.14 103.06 -244.40 -778.47 -1484.40 -2198.30 -2843.32

Total 2449.63 2609.82 3443.40 5334.03 7559.95 8605.90 10504.41 9983.11 9283.75 8576.09 7939.87

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S.No Particulars 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29

II Assets

a) Fixed Assets 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94 10305.94

b) Current Assets

Stock 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00

Property Tax - Current 9.49 9.72 9.97 10.21 10.47 12.04 12.34 12.65 12.97 13.29 15.28

Property Tax - Arrears 13.52 14.89 15.68 16.24 16.71 17.15 18.90 19.90 20.61 21.21 21.77

Profession Tax - Current 0.62 0.63 0.64 0.64 0.65 0.75 0.75 0.76 0.77 0.78 0.89

Profession Tax - Arrears 1.08 1.17 1.21 1.24 1.26 1.28 1.39 1.45 1.49 1.51 1.53

Lease Amounts - Current 6.66 7.18 7.51 7.68 8.14 8.53 8.86 9.39 9.84 10.22 10.84

Lease Amounts - Arrears 6.84 7.00 7.53 7.89 8.07 8.55 8.95 9.31 9.86 10.33 10.73

Water Charges -Current 9.99 10.24 10.49 12.79 13.11 13.44 13.77 14.12 16.78 17.20 17.63

Water Charges -Arrears 15.50 16.19 16.71 17.18 19.66 20.97 21.83 22.51 23.12 26.02 27.61

Sewerage Chgs - Current 24.64 25.26 25.89 26.54 30.85 31.62 32.41 33.22 34.05 39.04 40.01

Sewerage Chgs - Arrears 37.21 39.53 41.07 42.31 43.46 48.23 50.92 52.78 54.33 55.79 61.35

Specific Grant Receivable 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00 18.00

Deposits Recoverable 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15 130.15

Staff Advance Recoverable 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25 1.25

Material cost Recoverable 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20 0.20

Other Advances ñ Rec 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00 140.00

Funds Transfer 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20 9.20

Income from Cable Op 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00 17.00

Other Schemes 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00

Outstandings 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00 22.00

Interest due on FD 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25 0.25

Others 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00 15.00

c) Cash & Bank Balances -3438.32 -3950.46 -4400.41 -4796.71 -5050.32 -5104.98 -5145.42 -5149.45 -5110.80 -5030.25 -4913.43

Total 7353.22 6847.32 6402.27 6012.00 5768.05 5723.57 5690.69 5692.63 5739.00 5831.12 5960.21

The full projects investment scenario indicates that Thiruvathipuram Municipality would end up with a cumulative cash

deficit of Rs. 4913 lacs by the end of FY 2028-29 (after 20 years)

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14.7 IMPACT OF POTENTIAL IMPROVEMENTS

Thiruvathipuramís ability to improve on its financial performance hinges primarily on

its ability to sustain and improve on the revenue growth noticeable in recent years.

Specific interventions with respect to revenue realization and cost management are

detailed in chapter 12 of the report. On ëFull Project Investment Scenarioí basis,

Thiruvathipuramís own revenues (comprising taxes, user charges and other income)

could grow from Rs. 135 lacs in FY 2006-07 to Rs. 925 lacs by FY 2028-29, implying an

absolute growth of 29%. Thiruvathipuram has vast potential for increasing its own

income given the growth achieved in the last few years. Areas for revenue

enhancement in own revenue include :

Property Tax ñ through an enhanced revision in ARV, widening assessee base

and closer scrutiny. Besides periodic increase (every 5 years) in property tax

rates.

Professional Tax ñ sustaining a higher assessment growth.

User Charges ñ periodic increases in user charges for water connections and

sewerage connections. The Municipality could generate additional Rs. 375

lacs of income per annum by FY 2028-29 by providing water connections to

80% of property tax assessments and sewerage connections to 70% of

property tax assessments.

Thiruvathipuram also needs to explore scope for private sector participation for

development of remunerative projects and city beautification projects that have

been identified by Thiruvathipuram.

While there is potential for expenditure control in certain areas (as in the case of

energy costs and leakage in water supply), the focus of cost management should be

to shift expenditure from administration to better asset management and service

levels. We have not factored in any cost reduction in the FOP and have assumed

that any savings generated from cost reduction would go into augmenting service

levels and better asset management.

A comprehensive energy audit is required, given that 85% of its operations and

maintenance expenditure is spent on electricity charges. Plugging leakage in the

water supply network and installation of timers and energy savers on the street light

network are important interventions needed in the context of Thiruvathipuramís high

power costs.

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14.8 SCENARIO - I ESTIMATION OF INVESTMENT CAPACITY ON AS IS WHERE

BASIS

We carried out the exercise of arriving at the Investment and Borrowing Capacity on

as is where basis without any financial reforms being carried out and no new projects

taken in to consideration. The borrowing capacity has been arrived by taking the

NPV over the next 20 years on the minimum of the following :

30% of revenue projections

Primary Operating Surplus (Surplus before Interest & Depreciation)

The investment capacity has been arrived @ of 4 times the borrowing

capacity assuming that loans constitute 25% of total investment requirement.

In such a scenario, the Investment and Borrowing Capacity works out as below :

Summary of Borrowing and Investment Capacity

Borrowing Capacity Rs. 1322.39 lacs

Investment Capacity (BC x 4 times) Rs. 5289.57 lacs

14.9 SCENARIO - II ESTIMATION OF BORROWING AND INVESTMENT CAPACITY

WITH PROJECTS

In Scenario II, the financial projections have been worked out for the next 30 years,

by taking in to consideration all the projects identified in CCP. Future income and

expenditure of these individual projects have been worked out and then

consolidated to arrive at the Municipalityís cash flows for the next 30 years. The

financial projections for the next 20 years have been taken to arrive at the Borrowing

and Investment capacity. We have arrived at the borrowing capacity of

Thiruvathipuram Municipality on the minimum of the following :

30% of revenue projections

50% of Primary Operating Surplus less Debt Service

The overall financing mix has been arrived to include 53% Loans, 33% Grants and 14%

own funds. The repayment period of loans has been taken at 5+15 years for

Sewerage and Water Supply Loans and 2+8 years for other project loans. The above

factors have been taken in to account for arriving at the Annuity Factor, which has

been applied on the lowest of the above to arrive at the overall borrowing capacity

and investment capacity.

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Summary of Borrowing and Investment Capacity

Borrowing Capacity -

Investment Capacity (BC/0.53) -

Investment Requirement Rs. 6884.31 lacs

Sustainable Investment Capacity % - IC / IR -ve

At an aggregate level, assuming loans to be equivalent to 53% of investment,

sustainable investment capacity works out to Nil.

Thus it can be concluded that the current and future financials of the Municipality

are not good enough to undertake any of the projects identified in the CCP.

14.10 KEY INDICATORS OF SCENARIO II

The key Indictors of the Municipality based on the financial projections works out as

below :

Existing (2001-02 to 2006-07)

Table 14-23: Key Indicators

Minimum Maximum Average

Operating Ratio 0.73 0.96 0.82

Debt Service Ratio 2% 14% 10%

Category 1

Short Term (2009-10 to 2013-14)

Operating Ratio 1.00 1.69 1.44

Debt Service Ratio 27% 87% 63%

Category 3

Long Term (2009-10 to 2028-29)

Operating Ratio 0.86 1.69 1.22

Debt Service Ratio 12% 122% 60%

Category 3

Note : 1 ñ Financially Sound; 2 ñ Financially Fragile; 3 ñ Financially Insolvent

It may be observed that the Municipality financials are fragile in the long run with

Operating Ratio > 1% at 1.22% and Debt Service Ratio > 30% at 60%.

14.11 INFERENCE

The investment capacity of Thiruvathipuram Municipality on ëAs is Where Basisí

works out to Rs. 5290 lacs.

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The investment capacity of Thiruvathipuram Municipality works to Nil in case of

Scenario II with all projects identified in CCP taken in to consideration.

Thus it can be inferred that the Municipalityís financials are very weak in the

long run to undertake new projects.

The investment capacity has got reduced from Rs. 5290 lacs in Scenario I (As is

Where Basis) to Rs. Nil in Scenario II (with all projects), mainly on account of

high operation & maintenance in case of certain projects.

The operation and maintenance expenses of the following new projects are

very high:

Project O&M per annum (Rs. in lacs)

Underground Sewerage 121.80

Roads 77.00

Strom Water Drains 42.45

Total 241.25

The high operation & maintenance expenses of the above three projects is

resulting in negative cash flows for the Municipality as a whole and thereby

affecting its investment capacity.

Based on the above, it can be inferred that the Municipality can take up all the

smaller projects identified in the CCP if the above three projects are not taken in

to consideration and as given below :

S.No. Particulars Total Priority Funding By

A Physical Infrastructure Facilities L : G : M

I Water Supply

a) Improvements to Water Supply 501.00 A 60:30:10

II Solid Waste Management

a) Cost of land fill site & compost yard 95.50 A 100% Grant

b) Land fill site & compost yard development 245.00 A&B 0:50:50

c) Vehicles & Equipments for collection 73.00 A 0:50:50

III Bus Stand

a) Office Building in First Floor & Shopping Complex 50.00 A 70:00:30

IV Street Lights

a) High Mast Lights 27.00 A 100% Grant

b) Proposed New Lights 10.00 A 100% ULB

c) Retrofitting & energy saving lights 13.80 A ESCO

B Social Infrastructure Facilities

I Slum Improvement

a) Improvements to Slums 270.00 B 0:90:10

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II Education

a) Improvements to Schools 68.00 B 100% ULB

III Parks & Playgrounds

a) Improvement of parks, construction of compound wall 25.00 B 0:50:50

for play ground & play equipments

IV Burial Ground / Crematorium

a) Improvement to Burial Ground with Gasifier at 70.00 A 0:50:50

Kamaraj Nagar

b) Burial Ground improvements 60.00 B 0:90:10

V Market

a) Ground Floor Shops 100.00 A 90:0:10

b) First Floor and Second Floor 130.00 A 90:0:10

c) Parking Area 5.00 A BOOT

VI Shopping Complex

a) Shopping Complex in front of Daily Market 55.00 A 90:0:10

b) Shopping Complex in front of Municipal Office 80.00 A 90:0:10

VII Maternity Centre

a) Medicare 20.00 A 0:50:50

VIII Public Convenience

Public Convenience 36.00 B 0:50:50

C Other Projects

I Buildings

a) Construction of New Municipal Office Building 78.00 A 90:00:10

II Vehicles

a) Mobile Tax Collection Vehicle 10.00 A 100% ULB

III E-Governance

a) E-Governance 15.00 C 100% Grant

b) Updation of Database on GIS platform 22.00 C 0:90:10

Total 2059.30

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Annexure Final Report: Thiruvathipuram Municipality

ANNEXURE

Annexure I - a : First Minutes of Meeting: Stakeholdersí Workshop ñ Thiruvathipuram

Date of Workshop : February 06, 2008

Time (Opening) : 11:30 AM

Time (Closing) : 01:30 PM

Sl.NO PERSON NAME DESIGNATION

01 Thiru.A.N Sampath B A Chairman

02 Thiru A. Mohanavel Vice Chairman

03 Mr.All phalomin george Commissioner

04 Mr.Kannaya.B Municipal Engineer

05 Thiru.M. P. Venkatesan Councilor

06 Thiru.S. Babu Janarthanan M A Bed Councilor

07 Thiru.P. Kamala Kannan Councilor

08 Thiru.K. Viswanathan B Sc B L Councilor

09 Thiru.L. Anandhan Councilor

10 Tmt . G. Menaga Councilor

11 Tmt.M. Kalaivani , Councilor

12 Thiru P. Loganathan , Councilor

13 Thiru.H. Akbar Basha Councilor

14 Tmt. B. Baby Rani , Councilor

15 Tmt. R. Saroja Councilor

16 Tmt. B.. Devika B.A., Councilor

17 Thiru.B. Nazeer , Councilor

18 Thiru L. V. Natesan , Councilor

19 Tmt. K. Saraswathy Councilor

20 Thiru. E. Rajendiran , Councilor

21 Thiru.M. S. Selvapandiyan B.A., Councilor

22 Tmt. A. Manimegalai Councilor

23 Thiru K. Kumara samy , Councilor

24 Tmt. K. Rani , Councilor

25 Thiru.K. Panchatcharam , Councilor

26 Thiru S. Pachiyappan , Councilor

27 Thiru.S. V. Thandapani Councilor

28 Tmt. K. Kanagalatchumi Councilor

29 Thiru.P. N. Kangatharan , Councilor

The stakeholdersí workshop started at 11:30 AM on Wednesday, February 06, 2008 in

the Conference Hall of the Municipality. The workshop was chaired by Chairman ñ

Thiru A.N Sampath B A. In His opening speech, Thiru A.N Sampath B A briefed the

stakeholders about the objectives of the project and the workshop. The

Commissioner of the Municipality A.N Sampath B A presented his view on the City

Corporate cum Business Plan. Vice ñ Chairman Thiru A. Mohanavel presented the

general view of the town. Mr. Sreepathy presented the brief status, problem and

issues relating to urban basic services an infrastructure in Thiruvathipuram. And after

this presentation, the stakeholders were asked to give their suggestions/ comments in

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three parts. In first part, the consultants invited comments on the contents of the

presentation. In the second part stakeholders were invited to present the problems of

the city which are hindrances to the development. In the last section of the

workshop, stakeholders were asked to suggest the projects required for the

integrated development of Thiruvathipuram.

The Suggestions:

The suggestions given by the various stakeholders are presented below:

Thiru.A.N Sampath B A, Chairman

City is having very less fund for infrastructure development, though industrialists

and business man belong to this want to contribute for improvement

infrastructure of town but that fund also is not sufficient

Grant from Government is very low so they can not initiate the development of

basic infrastructure.

People are ready to pay for provision of infrastructure but it should be quality

infrastructure and nominal for them.

Town roads are encroached by the people so they should be fined and need

widenening for congestion free traffic.

The formula to calculate the Property tax is wrong it should be revised as a person

living in a single floor with small house is paying the same price, what a person

with 3 floor is paying.

Thiru A. Mohanavel, Vice Chairman

People of Thiruvathipuram are very co-operative and want improved

infrastructure in terms of sewerage and sanitation

The approach Road from Vellore to Thiruvathipuram and the connectivity from

Thiruvathipuram need widening for better accessibility of town.

The roads are encroached in town and there is a heavy congestion near the Bus-

Stand so need to regularize the development.

Drainage system is not appropriate and need improvement after the laying of

sewerage system so that water can be treated in an effective way

There is a need to assess the properties of the town and slum needs regularization

and improved infrastructure.

It is necessary that the Govt. should release the fund on time to utilize in better

way.

Mr.All phalomin George, Commissioner

City need additional sources to provide 135 LPCD water and the augmentation

of source need funding from CMA.

Sewerage system is necessary for the town as without that the cleaning of drains

can not be possible in an effective way

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The municipality is putting money for solid waste management but it is not

sufficient and need a detailed plan and additional source of fund for tools and

site development.

Mr.Kannaya.B, Municipal Engineer

Required underground sewerage system

Required more taps in all streets for drinking water.

Road improvement is required.

Required facilities and shops in bus stand.

M. P. Venkatesan, Councilor

Underground drainage is required.

Park with playing facilities is required

Tmt.M. Kalaivani, Councilor

Present water supply is not sufficient, so required more.

Due to heavy traffic at santhappetai bazaar, required bye pass road.

Required park with children playing instruments.

Compound wall, water facility and burial sheds are required at Burial ground.

Thiru.H. Akbar Basha, Councilor

Quality of water is not sufficient, also quantity is not sufficient so required more.

Parks and playground for children should be maintained well as now they are

used as dumping yard.

Tmt. A. Manimegalai, Councilor

Required more taps in all streets for drinking water.

Road improvement is required.

Required facilities and shops in Markets.

There should be a dedicated place for Auto Rickshaws and Cycle Rickshaws as

they park their vehicles any where

There should be tax imposed on any type of sign board to generate extra income

for municipality

Thiru K. Kumara samy, Councilor

Road cleaning and drain cleaning should be done on daily basis

Thiru.S. V. Thandapani, Councilor

Additional fund is required from the state government for development works in

the municipality

There is a need to increase the incentive of the councilor so that they can

perform their duty in an effective way

There is a need to lay sewerage system in town including slums

Need to develop a good market in town

These are some of the suggestions provided by the key person of the municipality,

the major focus was to develop infrastructure in the town and it should be done is a

systematic way. The basic infrastructure should be provided to every people and the

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nominal charges should be applied on the available so that the people can pay it.

After the discussion Chairman and Commissioner thanked all the councilors and key

people who attended the discussion. The consultant distributed the formats to each

of the person present in the meeting to take individuals view and priority of

infrastructure development and to note down the suggestion and briefed the survey

format and after the stakeholders finished the filling of survey formats Mr. Sreepathy

thanked all the people attended the Stakeholdersí Workshop.

Annexure I - b : Second Minutes of Meeting: Stakeholdersí Workshop ñ Thiruvathipuram

Date of Workshop : November .11 , 2008

Time (Opening) : 11:30 AM

Time (Closing) : 12.30 PM

Sl.NO PERSON NAME DESIGNATION

01 Mr.Sakthivel Municipal Engineer cum Commissioner i/c

02 Mr.D.Raman Municipal Overseer

03 Thiru L. V. Natesan , Councilor

04 Mr.T.K.Arul Mozhi TNEB AE

05 Mr.N. Kanasabai A.H.M Govt High School

06 Mr.Senthil Kumar AE NH

07 Mr.K.Anbarasu Teacher, Govt high School

08 S.K. Babu Secretary, Traders union

09 Mr.K. Thirughanasambantham Exnora

10 Mr.Mohanam Rotary Club, Cheyyar

11 Ln.B.Jayakumar Lions Club Member

12 DRD Rural Development Directorate

13

TAHDCO Tamil Nadu Adi Dravidar Housing and

Development Corporation Limited

14 PWD PWD Buildings Organisation

15 PWD Irrigation PWD Irrigation

16 Mantharai SHG

Mr.Sakthivel Municipal Engineer cum Commissioner i/c

CC Road required from college to GH

Public facilities and shops in bus stand need to added.

New pipelines to be provided.

Rehabilitation of existing pipe mains.

Mr.D.Raman Municipal Overseer

New Roads to be laid in newly developed areas and layouts.

Storm water drains to be de silted regularly.

New appointment required for desilting purposes.

New appointment required in solid waste collections.

Thiru L. V. Natesan , Ward Member

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Parks and playground for children should be maintained well as now they are

used as dumping yard.

There is a need to increase the incentive of the councilor so that they can

perform their duty in an effective way

The roads are encroached in town and there is a heavy congestion near the Bus-

Stand so need to regularize the development.

Mr.T.K.Arul Mozhi TNEB AE

Enough Light fittings are required for immediate rectification.

Time switches in transformers have to be provided to save power.

Mr.N. Kanasabai A.H.M Govt High School and Mr.K.Anbarasu Teacher, Govt high School

Stray dogs in the school campus to be caught out

In around school compound greens to be developed to avoid urination.

Along the school side storm water drains to be cleaned daily and bleaching

powder to be applied for odour control.

School structures to be renovated.

S.K. Babu Secretary, Traders union

Market to be renovated.

Compound wall to be constructed to avoid entry of stray animals in to the

market.

New shops to be constructed

Solid waste to be collected regularly.

New shopping complex to be constructed in the sandhai medu and in front of

the municipal office premises.

Scattered vegetables stall all over the municipality such that all the citizens buy at

market rate.

Mr.K. Thirughanasambantham Exnora member

Organic waste to be converted in to manure.

Provision for private participation to encouraged for solid waste management.

Compost yard in the municipal office premises is to used for manure generation.

Mr.Senthil Kumar AE National Highway

Laying of pipe lines should be at least 1.5 m below the ground level and away or

along the service corridor of the road.

Since, minor changes in the roads will affect the pipe line if it is laid just below the

ground level.

Pucca drains to be constructed along the road sides to avoid flooding on the

roads.

Mr.Mohanam Rotary Club, Cheyyar

There is a need to increase the incentive of the councilor so that they can

perform their duty in an effective way

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The roads are encroached in town and there is a heavy congestion near the Bus-

Stand so need to regularize the development

Ln.B.Jayakumar Lions Club Member

Sewerage system to be implemented soon.

Sand quarrying should be stopped apart from the authorized locations.

Internal roads to be maintained and strengthened.

For future need of water supply new source to be indentified.

Mantharai SHG:

More opportunities to be created.

Loans should be available with lower rate of interest.

Other Departmental Projects

National Highways

BT road (4 lanes) with storm water drain, Pathyway and hand rails for 3 Km from

Electricity Board office to Govt. Hospital.

2 lane BT road from college to Devi Theater.

Tamil Nadu Adi Dravidar Housing and Development Corporation Limited

Renewal of BT Road of Cheyyar Block in Tiruvannamalai District under 12th

Finance commission 2008-09 . Estimated Amount Rs 13.48/-lac

Department of Rural Development:

Upgradation of roads under NABARD RIDF XIV in Cheyyar block of Tiruvannamalai

District Estimated Amount Rs 244.50/-lac

Public Works Department Buildings division:

Construction of Additional Two Class room in Aringar Anna Govt. Arts College at

Cheyyar in Thiruvannamalai District. Estimated Amount Rs. 13.8/-lac

Construction of Additional laboratory Physics Lab building in Arignar Anna Govt.

Arts College at Cheyyar in Thiruvannamalai District. Estimated Amount Rs 16.10

lac/.

Construction of Sub Registrar Office building at Cheyyar in Thiruvannamalai

District. Estimated Amount Rs 21 lac /-

PWD Irrigation

Kuppanatham Reservoir across Cheyyar River Rs. 4350 lac . Excavation of supply

channel from Alathur channel to Haridharimangalam tank in Tiruvannamalai

district. Estimated Amount Rs.26 lac

State Industries Promotion Corporation of Tamil Nadu:

Sipcot allotted around 630 Acres in (First Phase) cheyyar Taluk

Southern Railway

Proposed New BG track between Tindivanam and Nagari Construction of Major

Bridge across Cheyyar River and Kalavai Maduvu River. Estimated Amount Rs

1418 lac

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Annexure I ñ c: Draft Memorandum of Agreement

This Agreement is made on this ___________________ day of ____________ (Month), 2009

(year) between Tamil Nadu Urban Infrastructure Financial Services Limited (referred

to as TNUIFSL) and the Thiruvathipuram Municipality (referred to as ULB)

1. This agreement follows the completion of the City Corporate Plan cum Business

Plan (CCP-BP) prepared for the ULB with assistance from Grant Fund managed by

TNUIFSL. A Vision Plan exercise was conducted by the ULB to identify specific projects

required to be developed, and certain projects were identified in the Vision Plan

have been taken through the next steps in terms of preparation of detailed project

reports and implementation, there was a felt need among stakeholders to draw a

comprehensive CCP-BP, taking into account a holistic perspective of the city/townís

current status and gaps. It was to address this need that the CCP-BP exercise was

conducted. The objectives of the CCP-BP exercise were to:

Define the growth directions and service up-gradations in relation to the activity mix /

growth

Assess demand for projects specified by the ULBs and gap in services

Outline the infrastructure needs;

Define specific rehabilitation and capital improvement needs with regard to priority

city infrastructure in slums and other areas

Identify measures for revenue enhancement and cost reduction required to sustain

the proposed investments

Identify reforms required in local administration and service delivery and policy

interventions

List out changes required at the local level to improve O&M and better asset

management

2. The study will be completed in June 2009 and the municipal council passed a

resolution adopting the report for implementation on-------------- (Date).

3. This agreement is being entered into between TNUIFSL and the ULB for TNUIFSLís

assistance in:

(a) Developing and financing projects identified as part of the Capital Investment

Program (CIP) of the CCP and

b) Monitoring the implementation of a reform agenda required to improve municipal

management and to carryout implementation of projects identified in a sustainable

manner.

4. The guide lines of this MOA are listed below:

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i. The Thiruvathipuram municipal council agrees to implement the reform agenda as

per the targets recommended in the CCP-BP report. A summary of the reform

agenda in terms of existing status and norms/targets is enclosed in Annexure III. The

reform agenda outlined focuses on those reforms are to be carried out at the ULB

level.

ii. The Thiruvathipuram municipal council will provide a half-yearly update report to

TNUIFSL on the status of the implementation of the reform agenda. TNUIFSL shall

provide a standardised format for reporting this information.

iii. In case there is any delay in the implementation of the reforms agenda by ULB due

to circumstances beyond its control, the decision on the matter of extension of time

for the achievement of targets shall be fixed based on consultations between

TNUIFSL and the ULB

iv. TNUIFSL shall also assist the ULB in preparing DPRs for a set of projects jointly

identified by TNUIFSL and the ULB, based on the Capital Investment Plan (CIP),

prepared as part of the CCP-BP report.

vi. TNUIFSL would subsequently assist in structuring and financing projects identified

earlier through combination of Loan and Grants along with ULB own funds. The

sanction and disbursement of loans and grants from TNUIFSL shall be in conformance

with the lending policies and guidelines of Loan and Grant Funds under its

management and due appraisal of the ULB and the projects by TNUIFSL

5. The council agrees to the following points:

i. Issues presented in the project report and to agree to follow all directions of

CMA/GOTN/TNUIFSL towards execution of the project.

ii. Draw the loan part for the execution of the works and repay the loan with the

applicable interest

iii. Open a joint account with the Concerned Authority and agree to deposit the

ULBís share every quarter (-- % of the cost of the tendered works), failing which to

abide by action of CMA/GOTN/ TNUIFSL

iv. Conform to the subsequent change, if any, in the loan-grant composition made

by GoTN

6. Undertake the following reforms during the financial year 2009-10 and to improve

during the loan period to achieve the target set for every year:

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i. Listing of assets of the ULB and maximizing efficient use of the same,

revenue generation from municipal properties through improved collection of land

revenue /lease to at least of 90 per cent of demand.

ii. Listing of all trade activities and improving collection of trade license fee to

at least 90 per cent of demand.

iii. Revising water tariff as per the G.O------, identification/ regularization of un-

authorized water connections, improved collection of at least 80 per cent of water

tariff.

iv. Imposing solid waste management cess /fees

v. Increasing coverage with respect to property tax collection i.e. bringing at

least 90 per cent properties into the tax net, increasing collection efficiency and

ensuring arrear collection of at least 90 per cent of current demand for property tax.

vi. Computerizing municipal systems and procedures

vii. Undertake public awareness through ward-level consultation meetings, with NGO

involvement, improving the image of the ULB and generating confidence among

citizens regarding the ability of the ULB to deliver quality services

ix. Acquire land, free from all encumbrances / encroachments, required for all

identified projects before project loan effectiveness

x. Solve all problems (like agitation) during construction activity and to ensure timely

completion of the work as per schedule

xi. Offer necessary co-operation/coordination with consultants, NGOs and various

other agencies involved in implementation of the project

xii. Undertake full responsibility, in respect of civil works, for quality assurance and joint

measurement of completed works and to assure full co-operation and co-ordination

and to agree to all pre-qualification requirements and bidding procedures of World

Bank and to impose penalty, if any, from the first bill itself;

xiii. Undertake that no variation order without citing reasons for variation as well as

working out the time and financial implications, will be issued subsequent to

tendering without prior approval of TNUIFSL

xiv. Carryout the all the directions of CMA/GoTN/TNUIFSL.

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Finally, the Council agrees to bind itself to these terms, which would form part of

future agreement with GoTN/TNUIFSL, and further resolve to authorize the

Commissioner/Chief Executive Officer to take necessary action to get the above

mentioned infrastructure facilities to this town. The Council further agrees to authorize

the Commissioner and Chairman to sign the loan agreement with TNUIFSL.

SIGNATORIES:

Place:

Date:

Managing Director and CEO, TNUIFSL

Chairman, ULB Council

Commissioner, ULB

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Annexure I ñ d: Minutes of Meeting

Minutes of Meeting on Revised Draft Final Report submitted by M/s Voyants Solution

Pvt. Ltd. for City Corporate Plan cum Business Plan study for Cluster V covering Arcot,

Gudiyatham, Ranipet, Tirupattur, Vaniyambadi and Walajapet, Municipalities held on

23.6.2009 and for Ambur, Arakonam Arani, Thiruvathipuram and Madhavaram

Municipalities held on 24.06.2009 at the office of TNUIFSL.

Members Present ñ List enclosed

The consultants were requested to address the following:

1. To correct the grade of the ULBs as revised by the Government.

2. To highlight the requirement of capital / revenue grant to implement and

operate all the new schemes.

3. To indicate following in the executive summary of the report

c) List of projects under the sustainable scenario along with the year wise

phasing of the projects identified.

d) The assumption made on the means of finance.

Town specific comments

Ranipet

The consultants were requested to

Address the requirement of staff quarters and indicate the same as a project

in CIP in consultation with the ULB.

Update the details on the Bus Stand project at Muthukadai adjoining Pinji Lake

in consultation with the ULB.

Highlight the impact on discharge of polluted water in to Palar river.

Thiruvathipuram

The consultants were requested to

Update the details on the assets in consultation with the ULB.

Revise the Bus Stand improvement project in consultation with the ULB

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Madhavaram

The consultants were requested to revise the assumptions on means of

finance in accordance with JNNURM norms and revise the FOP

accordingly.

The consultants were requested to address the above points and include in final

report. The revised draft final reports for CCCBP are approved.

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Annexure IX - a: Revenue and Capital Fund ñ Income (Rs. in lacs.)

S.No. Particulars

2001-02 2002-03

Audited

2003-04 2004-05 2005-06

I Income

a) Property Tax

Property Tax for General Purpose 23.33 24.63 25.29 26.46 27.30

Excess Remittance - Revenue

Items

0.05 0.08 - 0.14 0.94

b) Other Taxes

Profession Tax 5.83 6.48 7.00 8.23 5.58

c) Assigned Revenue

Duty on Transfer of Property 10.07 29.80 34.75 13.54 0.30

Entertainment Tax 5.54 2.76 1.02 6.15 0.68

d) Devolution Fund 42.24 58.88 83.18 49.67 63.97

e) Service Charges & Fees

Trade Licence Fees 0.77 0.73 0.73 0.51 0.04

Licence Fees Under PFA Act 0.06 0.10 0.10 0.05 0.03

Building Licence Fees 1.08 1.52 1.17 0.95 2.47

Fees for bays in Bus 0.52 1.65 3.13 3.66 3.63

Fees for pay & use toilets 1.19 1.83 2.20 2.30 2.42

Survey Fees - - - 0.07 0.12

Copy Application Fees 0.17 0.17 0.13 0.15 0.12

Other Fees 0.09 0.15 0.21 0.16 0.38

f) Grants & Contribution

Grants for Schemes

Implementation

1.85 - - - -

g) Sale & Hire Charges

Sale of Scrap & Others - 0.09 - - 0.35

h) Other Income

Market Fees - Daily ( Annual Lease

)

- - - - 19.31

Market Fees - Weekly ( Annual

Lease )

1.91 3.21 4.25 5.03 1.76

Slaughter House Fees ( Annual ) 0.28 0.41 0.27 0.73 0.02

Car & Taxi Stand Fees etc. - - - 1.40 0.96

Development Charges 8.00 11.50 3.14 4.76 2.48

Rent on Shopping Complex 7.52 8.81 9.52 9.95 0.98

Other Income 0.88 1.96 1.04 1.25 1.34

Miscellaneous Recoveries - 0.46 0.03 - 0.06

Project Overhead Appr - Expenses 0.74 4.97 2.73 7.30 -

Interest from Banks & Investments 0.17 0.11 1.06 2.66 1.13

Cable TV Operator - 5.79 5.79 2.54 -

Others 0.29 0.06 - 0.03 0.08

Total Income 112.58 166.15 186.74 147.69 136.45

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Annexure IX - b: Revenue and Capital Fund ñ Expenditure

S.No. Particulars

Audited

2001-02 2002-03 2003-04 2004-05 2005-06

II Expenditure

a) Personnel Cost - Salaries

Basic Pay 45.97 45.95 43.28 37.06 37.04

D.A 19.54 20.85 21.77 21.29 19.33

H.R.A 2.00 1.88 1.72 1.76 1.73

Conveyance Allowance 0.17 0.23 0.21 0.21 0.05

Medical Allowance 0.63 0.62 0.62 0.48 0.37

Other Allowance 0.39 0.54 0.37 0.33 1.27

b) Personnel Cost - Others

Travel Allowance 0.48 0.63 0.83 0.75 1.06

Supply of Uniform 0.17 1.05 0.34 0.62 0.37

c) Terminal & Retirement Benefits

Pension - - 2.31 5.43 -

Commutation of Pension 1.25 2.91 2.34 0.56 -

DCR Gratuity 0.30 2.39 2.24 2.07 -

SPF & Gratituity 0.21 0.58 1.27 - -

GIS Management contribution 0.05 0.65 0.65 0.65 -

Pension contribution

Mpl.Employees

to

- 2.31 - 0.08 1.26

d) Operating Expenses

Wages 0.98 - 0.48 - 0.56

Power Charges for Street lights 7.44 11.51 13.19 12.02 12.94

Maintenance - Street Lights 5.63 3.11 1.28 1.88 0.97

Sanitary expenses & materials 0.36 1.16 2.50 1.43 0.32

Others 0.42 0.36 0.62 0.34 1.73

e) Repairs & Maintenance

Light Vehicle Maintenance 3.57 4.10 4.60 4.78 3.80

Heavy Vehilce Maintenance 0.31 - 0.40 0.53 3.23

Water supply

Maintenance

& Sewarage

- - 1.28 0.26 1.20

Repairs

Buildings

& Maintenance -

- 0.04 - - 0.08

Repairs & Maintenance - Roads - - 0.05 - 2.85

Repairs & Maintenance - Others 0.16 0.07 0.04 0.09 0.09

f) Programme Expenses

Election & Training Expenses 0.25 0.01 - 0.28 -

g) Administration Expenses

Telephone Charges 0.89 0.65 1.04 0.80 0.76

Legal Expenses 0.10 0.46 0.15 0.23 0.15

Stationery & Printing 0.99 0.70 1.19 3.66 1.90

Computer Operating Expenses 0.22 0.17 - 0.07 0.14

Postage & Telegram 0.06 0.06 0.06 0.08 0.08

Advertisement 0.31 0.47 1.31 0.65 0.99

Electricity - Office Building 0.22 0.09 - 0.67 -

MPL.Contribution to Other funds - 7.76 4.04 10.40 5.19

Contributions 0.04 0.74 0.06 0.56 0.04

Sitting Fees for Councillors 1.07 0.92 1.01 0.59 1.07

Others 0.68 0.36 0.06 10.08 0.79

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h) Finance Expenses

Provision for Doubtfull collection 1.09 2.65 2.73 3.98 4.12

Interest on Loans / Ways Means

Adv / OD

17.93 24.50 17.04 15.05 1.21

Audit Fees 0.37 0.29 0.39 0.45 1.64

Bank Charges 0.11 0.04 0.04 0.10 0.12

I) Depreciation 39.59 32.12 31.33 32.10 58.63

Total Expenses 153.95 172.93 162.84 172.37 167.08

Surplus / (Deficit) for the year (41.37) (6.78) 23.90 (24.68) (30.63)

Annexure IX - c: Water Supply and Drainage Fund (Rs. in lacs.)

S.No. Particulars

2001-02 2002-03

Audited

2003-04 2004-05 2005-06

I Income

a) Property Tax

Water Supply & Drainage Tax 4.44 4.69 4.82 5.04 5.20

Excess Remittance 0.01 0.010 0.02 0.08 -

b) Devolution Fund - - - 2.08 -

c) Service Charges & Fees

Initial amount for WSNSC 12.96 7.80 5.57 4.52 1.72

Income for giving new water

connections

2.23 1.93 1.56 1.18 0.32

Metered / Tap Rate charges 16.67 17.93 18.94 19.65 20.28

Charges for water supply

through Lorries

0.01 - 0.01 - -

d) Other Income

Other Income - 0.04 - 4.74 -

Project Overhead Appr -

Expenses

0.57 0.65 1.03 0.75 -

Interest from Banks &

Investment

0.44 0.28 0.44 0.68 -

Total Income 37.33 33.33 32.39 38.72 27.52

II Expenditure

a) Personnel Salaries Cost

Basic Pay 6.09 5.70 5.99 6.06 6.19

D.A. 2.54 2.66 3.05 3.52 3.48

H.R.A. 0.28 0.27 0.28 0.28 0.25

Conveyance Allowance 0.04 0.03 0.03 0.04 0.03

Medical Allowance 0.08 0.08 0.09 0.08 0.07

Other Allowance 0.04 0.04 0.05 0.06 0.05

b) Personnel Cost - Others

Staff welfare expenses - 0.02 - - -

c) Terminal & Retirement Benefits

GIS Management

Contribution

0.09 0.09 0.09 - -

d) Operating Expenses

Wages - 0.56 - 0.58 0.30

Power Charges - Head Water

Works

4.54 12.26 10.49 10.07 10.39

Sanitary expenses & materials - - 0.29 - -

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Annexure Final Report: Thiruvathipuram Municipality

e) Repairs & Maintenance

Light Vehicle Maintenance 0.21 0.40 0.42 0.45 0.59

Maintenance exps for water

supply works

2.11 3.69 1.00 4.34 1.25

Repair & Maintenance Others 1.08 - 0.87 - 0.58

Water cess - 0.31 0.31 0.980 -

f) Administration Expenses

Advertisement Charges - - - 0.05 0.02

Printing & Stationery - - - 0.15 0.02

Other Expenses 0.02 - 0.02 0.18 -

g) Finance Expenses

Provision for doubtful

collection

6.01 5.28 7.41 9.84 -

Interest on Loan - - 2.94 3.95 1.99

Bank charges - 0.01 0.01 - -

h) Depreciation 2.11 2.10 3.22 4.07 -

Total Expenses 25.24 33.50 36.56 44.70 25.21

Surplus / (Deficit) for the year 12.09 (0.17) (4.17) (5.98) 2.31

Annexure IX - d: Education Fund (Rs. in lacs.)

S.No. Particulars

2001-02 2002-03

Audited

2003-04 2004-05 2005-06

I Income

a) Property Tax

Education Tax 5.56 5.86 6.02 6.30 6.50

Excess Collection 0.01 0.02 - 0.02 -

b) Sales & Hire Charges - - - - 0.19

c) Other Income

Interest from Bank & Investment 0.06 0.18 0.04 0.17 -

Project Overhead Appr -

Expenses

0.39 0.35 0.26 0.34 -

Total Income 6.02 6.41 6.32 6.83 6.69

II Expenditure

a) Operating Expenses

C.C. Charges - - - 0.10 -

Rent of Building 0.46 0.01 - - -

b) Repairs & Maintenance

Maintenance of School Building - 2.00 - - 0.03

Others - 0.20 0.26 - -

c) Administration Expenses

Contribution to Other schemes - - - 3.21 -

Electricity consumption charges - 0.05 0.12 - 0.09

d) Finance Expenses

Provision for doubtful collection 0.11 0.10 0.18 0.39 -

e) Depreciation 2.90 2.49 2.63 2.34 -

Total Expenses 3.47 4.85 3.19 6.04 0.12

Surplus / (Deficit) for the year 2.55 1.56 3.13 0.79 6.57

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Annexure Final Report: Thiruvathipuram Municipality

S.No Particulars

Annexure IX - e: Summary of Income and Expenditure Accounts (Rs. in lacs.)

2001-02 2002-03

Audited

2003-04 2004-05 2005-06

Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total

Capital Supply

Educatio

n

Capita

l

Supply

Educatio

n

Capita

l

I Income

a) Property Tax 23.38 4.45 5.57 33.40 24.71 4.70 5.88 35.29 25.29 4.84 6.02 36.15 26.60 5.12 6.32 38.04 28.24 5.20 6.50 39.94

b) Other Taxes 5.83 - - 5.83 6.48 - - 6.48 7.00 - - 7.00 8.23 - - 8.23 5.58 - - 5.58

c)

Assigned

Revenue

15.61 - - 15.61 32.56 - - 32.56 35.77 - - 35.77 19.69 - - 19.69 0.98 - - 0.98

d)

Devolution

Fund

42.24 0.00 - 42.24 58.88 0.00 - 58.88 83.18 0.00 - 83.18 49.67 2.08 - 51.75 63.97 0.00 - 63.97

e)

Service

Charges & Fees

3.88 31.87 - 35.75 6.15 27.66 - 33.81 7.67 26.08 - 33.75 7.85 25.35 - 33.20 9.21 22.32 - 31.53

f)

Grants &

Contribution

1.85 - - 1.85 0.00 - - 0.00 0.00 - - 0.00 0.00 - - 0.00 0.00 - - 0.00

g)

Sale & Hire

Charges

0.00 - 0.00 0.00 0.09 - 0.00 0.09 0.00 - 0.00 0.00 0.00 - 0.00 0.00 0.35 - 0.19 0.54

h) Other Income 19.79 1.01 0.45 21.25 37.28 0.97 0.53 38.78 27.83 1.47 0.30 29.60 35.65 6.17 0.51 42.33 28.12 0.00 0.00 28.12

Total Income 112.58 37.33 6.02 155.93 166.15 33.33 6.41 205.89 186.74 32.39 6.32 225.45 147.69 38.72 6.83 193.24 136.45 27.52 6.69 170.66

II Expenditure

a)

Personnel Cost

- Salaries

68.70 9.07 - 77.77 70.07 8.78 - 78.85 67.97 9.49 - 77.46 61.13 10.04 - 71.17 59.79 10.07 - 69.86

b)

Personnel Cost

- Others

Terminal &

0.65 0.00 - 0.65 1.68 0.02 - 1.70 1.17 0.00 - 1.17 1.37 0.00 - 1.37 1.43 0.00 - 1.43

c) Retirement

Benefits

1.81 0.09 - 1.90 8.84 0.09 - 8.93 8.81 0.09 - 8.90 8.79 0.00 - 8.79 1.26 0.00 - 1.26

d)

Operative

Expenses

14.83 4.54 0.46 19.83 16.14 12.82 0.01 28.97 18.07 10.78 0.00 28.85 15.67 10.65 0.10 26.42 16.52 10.69 0.00 27.21

e)

Repairs &

Maintenance

4.04 3.40 0.00 7.44 4.21 4.40 2.20 10.81 6.37 2.60 0.26 9.23 5.66 5.77 0.00 11.43 11.25 2.42 0.03 13.70

f)

Programme

Expenses

0.25 - - 0.25 0.01 - - 0.01 0.00 - - 0.00 0.28 - - 0.28 0.00 - - 0.00

g)

Admnistrative

Expenses

4.58 0.02 0.00 4.60 12.38 0.00 0.05 12.43 8.92 0.02 0.12 9.06 27.79 0.38 3.21 31.38 11.11 0.04 0.09 11.24

h)

Finance

Expenses

19.50 6.01 0.11 25.62 27.48 5.29 0.10 32.87 20.20 10.36 0.18 30.74 19.58 13.79 0.39 33.76 7.09 1.99 0.00 9.08

I) Depreciation 39.59 2.11 2.90 44.60 32.12 2.10 2.49 36.71 31.33 3.22 2.63 37.18 32.10 4.07 2.34 38.51 58.63 0.00 0.00 58.63

Total

Expenditure

153.95 25.24 3.47 182.66 172.93 33.50 4.85 211.28 162.84 36.56 3.19 202.59 172.37 44.70 6.04 223.11 167.08 25.21 0.12 192.41

Surplus /

(Deficit)

- 156 -

Supply

(41.37) 12.09 2.55 -26.73 (6.78) (0.17) 1.56 (5.39) 23.90 (4.17) 3.13 22.86 (24.68) (5.98) 0.79 (29.87) (30.63) 2.31 6.57

Educatio

n

Capita

l

Supply

Educatio

n

Capita

l

Supply

Educatio

n

Voyants Solutions Private Limited

(21.75

)


Annexure Final Report: Thiruvathipuram Municipality

S.N

o

I

Particulars

Income (% of Total

Income)

Annexure IX - f: Summary of Income and Expenditure Accounts in Percentage (Rs. in lacs.)

- 157 -

Audited

2001-02 2002-03 2003-04 2004-05 2005-06

Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total

Capita

l

Supply

Educatio

n

Capita

l

Supply

Educatio

n

Capita

a) Property Tax 21% 12% 93% 21% 15% 14% 92% 17% 14% 15% 95% 16% 18% 13% 93% 20% 21% 19% 97% 23%

b) Other Taxes 5% - - 4% 4% - - 3% 4% - - 3% 6% - - 4% 4% - - 3%

c) Assigned Revenue 14% - - 10% 20% - - 16% 19% - - 16% 13% - - 10% 1% - - 1%

d) Devolution Fund 38% 0% - 27% 35% 0% - 29% 45% 0% - 37% 34% 5% - 27% 47% 0% - 37%

e) Service Charges & Fees 3% 85% - 23% 4% 83% - 16% 4% 81% - 15% 5% 65% - 17% 7% 81% - 18%

f) Grants & Contribution 2% - - 1% 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0%

g) Sale & Hire Charges 0% - 0% 0% 0% - 0% 0% 0% - 0% 0% 0% - 0% 0% 0% - 3% 0%

h) Other Income 18% 3% 7% 14% 22% 3% 8% 19% 15% 5% 5% 13% 24% 16% 7% 22% 21% 0% 0% 16%

II

l

Total Income 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Expenditure (% of Total

Expt)

a) Personnel Cost - Salaries 45% 36% - 43% 41% 26% - 37% 42% 26% - 38% 35% 22% - 32% 36% 40% - 36%

b) Personnel Cost - Others 0% 0% - 0% 1% 0% - 1% 1% 0% - 1% 1% 0% - 1% 1% 0% - 1%

c)

Terminal & Retirement

Benefits

Supply

Educatio

1% 0% - 1% 5% 0% - 4% 5% 0% - 4% 5% 0% - 4% 1% 0% - 1%

d) Operative Expenses 10% 18% 13% 11% 9% 38% 0% 14% 11% 29% 0% 14% 9% 24% 2% 12% 10% 42% 0% 14%

e) Repairs & Maintenance 3% 13% 0% 4% 2% 13% 45% 5% 4% 7% 8% 5% 3% 13% 0% 5% 7% 10% 25% 7%

f) Programme Expenses 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0%

g) Admnistrative Expenses 3% 0% 0% 3% 7% 0% 1% 6% 5% 0% 4% 4% 16% 1% 53% 14% 7% 0% 75% 6%

h) Finance Expenses 13% 24% 3% 14% 16% 16% 2% 16% 12% 28% 6% 15% 11% 31% 6% 15% 4% 8% 0% 5%

I) Depreciation 26% 8% 84% 24% 19% 6% 51% 17% 19% 9% 82% 18% 19% 9% 39% 17% 35% 0% 0% 30%

Total Expenditure 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Surplus / (Deficit) (% of

Total Income)

-37% 32% 42% -17% -4% -1% 24% -3% 13% -13% 50% 10% -17% -15% 12% -15% -22% 8% 98% -13%

n

Capita

l

Supply

Educatio

n

Capita

l

Supply

Educatio

Voyants Solutions Private Limited

n

100

%

100

%


Annexure Final Report: Thiruvathipuram Municipality

Annexure IX - g: Growth in Revenue and Cost for Last 5 Years (Rs. in lacs)

S.No Particulars 2002-03 2003-04 2004-05 2005-06 Simple Comp.

Average Average

I Income

a) Property Tax 5.66% 2.44% 5.23% 4.99% 4.58% 4.90%

b) Other Taxes 11.15% 8.02% 17.57% -32.20% 1.14% -1.07%

c) Assigned Revenue

- Duty on Transfer of

Property

195.93% 16.61% -61.04% -97.78% 13.43% -24.26%

- Entertainment Tax -50.18% -63.04% 502.94% -88.94% 75.19% -21.93%

d) Devolution Fund 39.39% 41.27% -37.79% 23.61% 16.62% 12.86%

e) Service Charges & Fees

- Water Charges 7.56% 5.63% 3.75% 3.21% 5.04% 5.41%

- Water Connection

Charges

-35.94% -26.72% -20.06% -64.21% -36.73% -21.64%

- Others 58.51% 24.72% 2.35% 17.32% 25.72% 34.34%

f) Grants & Contribution -100.00% - - - -25.00% -25.00%

g) Sale & Hire Charges - -100.00% - - -25.00% -

h) Other Income 82.49% -23.67% 43.01% -33.57% 17.06% 8.08%

II Expenditure

a)

Personnel Cost -

Salaries

1.39% -1.76% -8.12% -1.84% -2.58% -2.54%

b) Personnel Cost - Others 161.54% -31.18% 17.09% 4.38% 37.96% 30.00%

c)

Terminal & Retirement

Benefits

370.00% -0.34% -1.24% -85.67% 70.69% -8.42%

d) Operative Expenses 46.09% -0.41% -8.42% 2.99% 10.06% 9.30%

e) Repairs & Maintenance 45.30% -14.62% 23.84% 19.86% 18.59% 21.03%

f) Program Expenses -96.00% -100.00% - -100.00% -74.00% -25.00%

g) Administrative Expenses 170.22% -27.11% 246.36% -64.18% 81.32% 36.09%

h) Finance Expenses 28.30% -6.48% 9.82% -73.10% -10.37% -16.14%

I) Depreciation -17.69% 1.28% 3.58% 52.25% 9.85% 7.86%

Annexure IX - h: Revenue and Capital Fund Balance Sheet (Rs. in lacs)

S.No Particulars Audited

2001-02 2002-03 2003-04 2004-05 2005-06

I Liabilities

a) Liabilities

Loans

Government

from 9.92 - - -9.59 1.56

Loan from TUFIDCO 82.23 79.98 72.39 68.06 75.51

Loan from TNUDF 50.00 50.00 50.00 49.11 50.00

Contribution

Municipal Fund

from 4.55 12.31 14.08 35.06 13.06

Contribution

Government

from 32.96 63.74 113.44 151.69 69.17

Contribution

Private Parties

from - 1.50 1.50 3.25 1.50

Grant

Government

from 0.16 16.04 14.90 58.21 107.90

Accumulated 94.97 127.09 158.43 190.53 202.41

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Annexure Final Report: Thiruvathipuram Municipality

b)

Depreciation

Current Liabilities

Provision for Doubtful

collection

4.91 11.59 14.17 17.86 10.31

Water & Drainage Tax -

Current

1.01 1.80 1.50 0.99 -

Water & Drainage Tax -

Arrear

0.57 - - 0.68 -

Education Tax - Current - 0.22 0.21 0.30 -

Education Tax - Arrear - - - 0.13 -

Tender Deposits ( 0.19 0.15 0.14 0.70 8.67

Contractors

Suppliers)

&

Security Deposits 5.63 14.59 15.79 19.12 13.72

Deposits Others 116.82 118.49 115.76 117.20 126.19

Library Cess Payable 8.07 8.09 2.28 0.96 11.41

Accounts Payable 0.16 0.16 0.16 0.16 1.26

Accounts

expenses

Payable - 0.21 - - - 0.46

Advance collection of

Property Tax

0.04 0.04 0.04 0.04 0.13

Interest Payable 29.36 41.05 46.84 46.84 41.10

Other paybles - - - 7.80 -

Outstandings 12.77 8.67 8.9 4.01 16.25

Recoveries from staff

bills payable

17.15 21.78 21.45 8.60 33.48

Diversion of Funds 2.36 12.56 8.12 8.23 131.40

c) Accumulated Surplus 1104.34 1126.26 1158.65 1133.97 930.34

Total 1578.38 1716.11 1818.75 1913.91 1845.83

Annexure IX - i: Water Supply and Drainage Fund Balance Sheet

S.No Particulars

2001-02

Audited (Rs. in lacs)

2002-03 2003-04 2004-05 2005-06

I Liabilities

a) Liabilities

Contribution from Government 9.43 90.33 98.66 105.27 90.33

Loan from TUFIDCO - 34.67 34.67 42.38 40.75

Grants From Govt - - - - 7.50

Accumulated Depreciation 3.58 5.69 8.90 12.96 14.03

b) Current Liabilities

Reserve for Doubtful Collof

Rev.items

10.14 10.12 14.49 19.65 14.160

Tender Deposit - - 0.02 0.03 0.18

Deposits - Others - - 0.04 0.05 0.03

Accounts Payable - - - - 0.05

Other Payables/Receivables - 0.03 - 1.70 -

Outstandings 0.12 1.06 2.42 0.08 4.00

Advance collection of Property Tax - 0.02 - - 0.04

Recovery from staff bills payable 2.70 3.04 3.15 3.17 3.29

TNPC Board ( water cess ) - 3.09 3.40 4.38 -

Diversions of funds 1.06 1.14 2.29 3.99 11.52

c) Accumulated Surplus/Deficit 184.85 184.68 184.63 178.57 210.67

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Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

Total 211.88 333.87 352.67 372.23 396.55

II Assets

a) Fixed Assets

Plant & Machinery 2.48 2.48 2.48 2.71 2.48

Water Supply Head works,OHT etc 35.16 36.27 38.44 39.05 40.50

Project in Progress - 109.64 109.64 109.64 109.64

Ground Water & Bore well - 12.17 19.64 24.66 13.16

Public Fountains 1.32 1.32 1.32 1.32 1.43

Hand Pump 12.28 5.58 6.35 7.99 9.93

b) Current Assets

Stock on Hand - 1.76 1.40 1.43 1.39

WSD Tax Receivable - Current 1.45 1.55 1.64 2.06 5.08

WSD Tax Receivable - Arrears 2.06 2.33 2.78 3.12 9.02

Water Charges Recoverable -

Current

5.92 5.20 7.26 9.53 19.86

Water Charges Recoverable -

Arrears

3.98 4.66 6.84 9.47 36.63

Recoverable - Staff Advances - (0.22) - -0.31 0.02

Others advance Recoverable 4.41 8.66 8.66 9.06 8.66

Interest due on Fixed Deposit 0.11 - - 0.15 0.10

Deposit Recoverable 126.77 126.65 126.31 125.92 124.55

Transfer of Funds - 4.73 - - 0.33

Advance to TWAD Board - - - 7.71 -

Outstanding - - - - 0.01

c) Cash & Bank Balances

Cash on Hand 0.39 0.16 0.57 0.24 0.84

WSD Fund - Bank Accounts 6.44 7.57 15.73 14.73 9.31

Fixed Deposit 9.11 3.36 3.61 3.75 3.61

Total 211.88 333.87 352.67 372.23 396.55

S.No Particulars

Annexure IX - j: Education Fund Balance sheet (Rs. in lacs.)

I Liabilities

a) Liabilities

- 160 -

Audited

2001-02 2002-03 2003-04 2004-05 2005-06

Contribution by Municipality 0.74 2.94 2.94 6.16 2.94

Contribution from Government 4.52 5.52 5.52 5.52 5.52

Accumulated Depreciation 5.98 8.46 11.09 13.43 12.24

b) Current Liabilities

Provision for dobtfuldebts 0.35 0.37 0.54 0.86 0.92

Tender Deposit & Other

Deposits

Advance collection of

Property Tax

Accounts Payable -

Contractor

- 0.02 0.11 0.33 0.35

0.01 0.01 0.01 0.01 0.03

- - - - 0.43

Other Payables 0.29 0.29 0.29 0.29 0.29

Outstandings - 0.11 0.22 0.30 0.22

c) Accumulated Surplus/(Deficit) 22.16 23.93 26.91 27.84 38.92

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

II Assets

a) Fixed Assets

b) Current Assets

Total 34.05 41.65 47.63 54.74 61.86

Buildings 21.06 24.61 27.23 30.80 30.85

Project in Progress - - - - 5.57

Education Tax Rec - Current 1.84 1.95 2.05 2.58 6.36

Education Tax Rec - Arrears 2.58 2.91 3.49 3.90 6.22

d) Cash & Bank Balances

Inter Fund Transfer 2.36 9.47 9.47 9.69 8.85

Cash on Hand 0.10 - 0.31 0.05 -

Bank A/cs 6.11 2.71 5.08 7.72 0.01

Fixed Deposit - - - - 4.00

Total 34.05 41.65 47.63 54.74 61.86

- 161 -

Voyants Solutions Private Limited


Annexure ` Final Report: Thiruvathipuram Municipality

S.No Particulars

I Liabilities

a)

b)

c)

Grants /

Contribution

Accumulate

d

Depreciation

Current

Liabilities

Rev & Water

Capital Supply

Annexure IX - k: Summary of Balance sheet (Rs. in lacs.)

- 162 -

Audited

2001-02 2002-03 2003-04 2004-05 2005-06

Elem'tar

y

Educati

on

Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water

Elem'tar

Capital Supply Education Capital Supply Education Capital Supply Educati

on

y

Total Rev & Water Elem'tary Total

Capital Supply Education

179.82 9.43 5.26 194.51 223.57 125.00 8.46 357.03 266.31 133.33 8.46 408.10 355.79 147.65 11.68 515.12 318.70 138.58 8.46 465.74

94.97 3.58 5.98 104.53 127.09 5.69 8.46 141.24 158.43 8.90 11.09 178.42 190.53 12.96 13.43 216.92 202.41 14.03 12.24 228.68

199.25 14.02 0.65 213.92 239.19 18.50 0.80 258.49 235.36 25.81 1.17 262.34 233.62 33.05 1.79 268.46 394.38 33.27 2.24 429.89

d) Net Surplus 1104.34 184.85 22.16 1311.35 1126.26 184.68 23.93 1334.87 1158.65 184.63 26.91 1370.19 1133.97 178.57 27.84

Total

Liabilities

II Assets

1578.38 211.88 34.05 1824.31 1716.1

1

333.87 41.65 2091.63 1818.7

5

352.67 47.63 2219.05 1913.9

1

372.23 54.74

a) Fixed Assets 1425.50 51.24 21.06 1497.80 1479.83 167.46 24.61 1671.90 1528.09 177.87 27.23 1733.19 1587.58 185.37 30.80

b)

c)

Current

Assets

Cash & Bank

Balances

1340.3

8

2340.8

8

1803.7

5

930.34 210.67 38.92

1845.8

3

396.55 61.86

1456.52 177.14 36.42

140.16 144.70 6.78 291.64 211.39 155.32 14.33 381.04 233.20 154.89 15.01 403.10 235.94 168.14 16.17 420.25 327.32 205.65 21.43 554.40

12.72 15.94 6.21 34.87 24.89 11.09 2.71 38.69 57.46 19.91 5.39 82.76 90.39 18.72 7.77 116.88 61.99 13.76 4.01 79.76

Total Assets 1578.38 211.88 34.05 1824.31 1716.1

1

333.87 41.65 2091.64 1818.7

5

352.67 47.63 2219.05 1913.9

1

372.23 54.74

2340.8

8

1845.8

3

396.55 61.86

Voyants Solutions Private Limited

1179.9

3

2304.2

4

1670.0

8

2304.2

4


Annexure Final Report: Thiruvathipuram Municipality

S.No

.

Particular

s

A 2005-06

Tax

I

Income

Property

a)

Tax

Professio

b)

n Tax

Total Tax

Income

Non Tax

II

Income

Water

a)

Charges

Other

b)

Fees

Total Non

Tax

Income

Total Tax

& Non

III

Tax

Income

S.No

.

Particular

s

B 2004-05

Tax

I

Income

Property

a)

Tax

Professio

b)

n Tax

Total Tax

Income

Non Tax

II

Income

Water

a)

Charges

Other

b)

Fees

Total Non

Tax

Income

Total Tax

III

& Non

Annexure IX - l: Demand Collection Balance Statement (Rs.in lacs)

Arrear

s

Demand Collection Collection %

Curren

t

Total

- 163 -

Arrear

s

Curren

t

Total

Arrear

s

Curren

t

Tota

l

43.91 39.00 82.91 14.04 24.38 38.42 32% 63% 46%

5.60 7.76 13.36 1.04 7.53 8.57 19% 97% 64%

49.51 46.76 96.27 15.08 31.91 46.99 30% 68% 49%

39.79 20.28 60.07 7.93 11.39 19.32 20% 56% 32%

25.45 46.55 72.00 24.86 37.12 61.98 98% 80% 86%

65.24 66.83

132.0

7

114.75 113.59 228.3

4

Arrear

s

32.79 48.51 81.30 50% 73% 62%

47.87 80.42

128.2

9

42% 71% 56%

Demand Collection Collection %

Curren

t

Total

Arrear

s

Curren

t

35.60 40.24 75.84 11.91 27.30

Total Arrear

s

39.2

1

Curren

t

Tota

l

33% 68% 52%

7.47 7.50 14.97 0.47 6.75 7.22 6% 90% 48%

43.07 47.74 90.81 12.38 34.05

13.43 19.39 32.82 4.25 10.13

2.60 26.86 29.46 2.47 25.97

16.03 46.25 62.28 6.72 36.10

59.10 93.99

153.0

9

19.10 70.15

46.4

3

14.3

8

28.4

4

42.8

2

89.2

5

29% 71% 51%

32% 52% 44%

95% 97% 97%

42% 78% 69%

32% 75% 58%

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

S.No

.

Tax

Income

Particular

s

C 2003-04

Tax

I

Income

Property

a)

Tax

Professio

b)

n Tax

Total Tax

Income

Non Tax

II

Income

Water

a)

Charges

Other

b)

Fees

Total Non

Tax

Income

Total Tax

& Non

III

Tax

Income

S.No

.

Particular

s

Arrear

s

Demand Collection Collection %

Curren

t

Total

- 164 -

Arrear

s

Curren

t

Total

Arrear

s

Curren

t

Tota

l

31.11 38.47 69.58 9.17 25.03 34.20 29% 65% 49%

7.38 7.36 14.74 0.38 6.51 6.89 5% 88% 47%

38.49 45.83 84.32 9.55 31.54 41.09 25% 69% 49%

9.87 18.85 28.72 3.13 12.15 15.28 32% 64% 53%

10.02 40.20 50.22 9.02 38.60 47.62 90% 96% 95%

19.89 59.05 78.94 12.15 50.75 62.90 61% 86% 80%

58.38 104.88 163.2

6

Arrear

s

21.70 82.29

103.9

9

37% 78% 64%

Demand Collection Collection %

Curren

t

Total

Arrear

s

Curren

t

Total Arrear

s

Curren

t

D 2002-03

I

Tax

Income

a)

Property

Tax

30.66 37.79 68.45 11.84 25.56

37.4

0

39% 68% 55%

b)

Professio

n Tax

8.30 5.85 14.15 0.43 5.00 5.43 5% 85% 38%

Total Tax

Income

38.96 43.64 82.60 12.27 30.56

42.8

3

31% 70% 52%

II

Non Tax

Income

a)

Water

Charges

9.89 17.67 27.56 5.17 12.49

17.6

6

52% 71% 64%

b) Other 0.00 0.00 0.00 0.00 0.00 0.00 - - -

Tota

l

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

III

S.No

.

Fees

Total Non

Tax

Income

Total Tax

& Non

Tax

Income

Particular

s

E 2001-02

Tax

I

Income

Property

a)

Tax

Professio

b)

n Tax

Total Tax

Income

Non Tax

II

Income

Water

a)

Charges

Other

b)

Fees

Total Non

Tax

Income

Total Tax

& Non

III

Tax

Income

9.89 17.67 27.56 5.17 12.49

48.85 61.31

Arrear

s

110.1

6

- 165 -

17.44 43.05

17.6

6

60.4

9

52% 71% 64%

36% 70% 55%

Demand Collection Collection %

Curren

t

Total

Arrear

s

Curren

t

29.40 36.11 65.51 12.35 23.99

Total Arrear

s

36.3

4

Curren

t

Tota

l

42% 66% 55%

8.10 5.81 13.91 0.66 4.94 5.60 8% 85% 40%

37.50 41.92 79.42 13.01 28.93

6.56 16.67 23.23 2.62 10.75

41.9

4

13.3

7

35% 69% 53%

40% 64% 58%

0.00 0.00 0.00 0.00 0.00 0.00 - - -

6.56 16.67 23.23 2.62 10.75

44.06 58.59

A Resource Mobilization

102.6

5

15.63 39.68

13.3

7

55.3

1

Annexure IX - m: Key Financial Indicators

40% 64% 58%

35% 68% 54%

Indicators Value Unit

1 Per Capita Income 439 Rs. p.a

2 Sources of Funds

3

a)

b)

c)

Growth in Revenue

Income

Share of Own Sources in Total

Revenue Income (RI)

Share of Property Tax in Total

Revenue Income

Share of Revenue Grants &

Subsidies in Total RI

62 %

23 %

38 %

2.36 % p.a.

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

4

Growth in Own Sources of

Revenue Income

- 166 -

2.46 %

5 Per Capita Own Income 272 Rs. p.a

B Fund Application

1 Per Capita Expenditure 495 Rs. p.a

2 Uses of Funds

3

4

5

a)

b)

c)

Growth in Establishment

Expenditure

Growth in O&M

Expenditure

Growth in Total Revenue

Expenditure

C Liability Management

1 Per Capita Liability

2

3

4

Share of Establishment Expenditure

in Total RE

Share of O&M Expenditure in Total

Revenue Expenditure

Share of Establishment Expenditure

to Total RI

38 %

21 %

41 %

(2.42) %

12.5 %

1.33 % p.a.

a) Outstanding debt per Capita 432 Rs.

b)

c)

As a Proportion of

Property Tax Current

Demand

a)

b)

c)

As a Proportion of

Property Tax Own

Revenue Income

a)

b)

c)

Non-Debt Liability as % of

Total Liability

Outstanding Non-Debt Liability per

Capita

Total Outstanding Liability Per

Capita

Outstanding Debt as % of P.T

Demand

Outstanding Non-Debt Liability as %

of P.T Demand

Total Outstanding Liability as % of

P.T Demand

Outstanding Debt as % of Own

Revenue Sources

O/s Non-Debt Liability as % of Own

Revenue Sources

Total Outstanding Liability as %

Own Revenue Sources

-

432 Rs.

420 %

-

420 %

159 %

-

159 %

5 Debt Servicing Ratio (D/S 19.31 %

-

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

Revenue Income)

D Performance Indicators

1 Operating Ratio 78.00 %

2

3

4

5

6

7

Growth in Per Capita

Own Income

Growth in Per Capita

Grant

Growth in Per Capita

Total Revenue Income

Growth in Per Capita

Establishment Expenditure

Growth in Per Capita

O&M Expenditure

Growth in Per Capita

Revenue Expenditure

E Efficiency Indicators

1

2

3

4

5

6

Tax Collection

Performance (Current)

No of P.T Assessment per

Tax Collection Staff

Property Tax Demand per

Assessment

No. of Municipal Staff per

1000 Population

Annual Revenue (Own

Source) per Municipal

Staff

Population per Residential

P.T Assessment

- 167 -

-0.12 %

-0.36 %

-0.21 %

-4.54 %

8.98 %

-1.14 %

a) Property Tax 68 %

b) Water Charges 90 %

c) Sewer Charge 60 %

d) Profession Tax 95 %

1166 Nos.

538 Rs. p.a.

3.64 Nos.

0.75

Annexure IX - n: Status of Loans as on 31.03.2008 (Rs.in lacs)

Rs.lakh

p.a.

6.55 persons

S.No Particulars Loan Amount repaid so far Loan O/s as

Amount Principal Interest on 31-3-2008

1 DTCP(IUDP) 20.50 4.08 - 16.42

2 IDSMT (TUFIDCO) 44.25 39.17 - 5.08

3 TUFIDCO Own Fund 26.74 20.81 - 5.93

4 Special Roads 45.35 - 3.91 45.35

5 Water Supply 42.38 1.65 - 40.73

6 Roads Project 40.00 1.90 0.36 38.10

Total 219.22 67.61 4.27 151.61

Voyants Solutions Private Limited


Annexure Final Report: Thiruvathipuram Municipality

ANNEXURE XII: Institutes in Tamil Nadu Providing Training Programs

The list of local training institutes (Other than the in ñhouse institutes) is as follows;

S.N

1

2

3

4

Name of

Institute

Dr. Ambedkar

Institute of

Productivity

(Training

Institute of

National

Productivity

Council)

Environmental

Training

Institute

Institution of

Road

Transport

Institution of

Labor Studies

Contact Details Courses offered

6, SIDCO Industrial Estate,

Ambattur, Chennai ñ 600 098

Ph: 044-2625 3144

Fax:044-2625 3122

Email: npc-chennai@eth.net

76, Anna Salai, Guindy

Chennai ñ 600 032

Ph : 044-2235 3134/3159

Email:

tnpceti@gias.md01.vsnl.net.in

100 feet road, Taramani

Chennai ñ 600 113

Ph:044-22541730/1761

Fax:044-2254 1761

Email : irt.taramani@vsnl.net

Web: www.tn.nic.in/transport

3, Kamarajar Salai,

Chennai ñ 600 005

Ph: 044 -2844 0102/5778

Fax: 044-28440966

- 168 -

Human Resource related (e.g

Problem Solving Techniques,

Leadership & Team Building, Human

Resource Management, etc)

Engineering Courses (e.g. Total

Productive maintenance, Municipal

Solid Waste Management etc)

Environmental related courses (e.g.

Environmental impact assessment, Air

Pollution Management, etc)

Other courses e.g. Managing

Information Resources, ISO courses,

etc.

Hazardous waste characterization

and disposal

Natural Disaster Management

Environmental Management,

Hazard Prevention methods

Avoidance of Pollution and

maintenance of good environment

Traffic Congestion Control

Traffic Control and Best Practices

Labor Laws

Various national and state acts

Personnel and Industrial Acts

Personnel and Industrial

Management

5 Institute of Taramani, Chennai ñ 600 113 Water Supply maintenance and

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Annexure Final Report: Thiruvathipuram Municipality

S.N

6

Name

Institute

of

Contact Details Courses offered

Water Studies Ph: 044-22541580

management

Fax:044-2254 2360

Computerized design of water

supply

Water and Waste Water treatment

Public Health Reforms

Preventive measures to maintain

Public Health

Institute of

Public Health

Poonamallee,

Chennai ñ 600 056

Ph: 044 2627 2062

Fax: 044-24335075

Reproductive and Child Health

Induction Training to medical

Practitioners

Municipal Health Administration

Public Health Act

Malaria Control, Mosquito control

Prevention of Epidemics and

Endemics

ANNEXURE XIII - a: Details of Depreciation Statement for Assets as on 31.03.2007 ñ Revenue (Rs

in lac)

S.No. Item Gross Block Depreciation Net Block

1 Land 1120.00 - 1120.00

2 Buildings 144.30 32.31 111.99

3 Storm Water Drain-Open Drain Culveert 74.22 49.51 24.71

4 Heavy Vehicles 1.33 2.49 -1.16

5 Light Vehicles 3.88 6.51 -2.63

6 Furniture 0.21 0.40 -0.19

7 Electrical Installation 0.22 1.95 -1.73

8 Electrical Installation Others 0.62 0.18 0.44

9 Plant & machinery 1.64 0.41 1.23

10 Road and Pavements-CC Roads 23.85 19.82 4.03

11 Road and Pavements-BT Roads 32.97 78.05 -45.08

12 Tools and Plant 1.44 1.80 -0.36

13 Project in Progress 16.43 - 16.43

14 Project in Progress - Grants 22.88 - 22.88

15 Drains Sewerage pipes 1.78 0.06 1.72

16 Ground water well bore well 6.42 7.00 -0.58

17 Head Works OHT water supply mains 4.44 1.91 2.53

Total 1456.64 202.41 1254.23

ANNEXURE XIII - b: Details of Depreciation Statement for Assets as on 31.03.2007 ñ Water

supply (Rs in lac)

S.No. Item Gross Block Depreciation Net Block

1 Heavy Vehicles 2.00 - 2.00

2 Plant & Machinery 2.48 1.33 1.15

3 Public Fountains 1.45 0.41 1.04

- 169 -

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Annexure Final Report: Thiruvathipuram Municipality

4 Water Supply Head works, OHT etc. 40.50 5.39 43.90

5 Deep Bore Wells / Ground Water Well 13.20 1.57 11.63

6 Hand Pumps - India Mark II 10.00 5.33 4.67

7 Project in Progress 109.72 - 109.72

Total 179.35 14.03 174.11

ANNEXURE XIII - c: Details of Depreciation Statement for Assets as on 31.03.2007 ñ Eucation

fund (Rs in lac)

S.No Item Gross Block Depreciation Net Block

1 Land 7.00 - 7.00

2 Buildings 30.85 12.24 18.61

3 Furnitures, Fixtures & Office Equipments 273.47 68.00 205.47

Total 311.32 80.24 231.08

- 170 -

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