Trichy corpn plans revenue boost after second consecutive deficit

Trichy: Days after tabling a deficit budget for the second consecutive year — with a shortfall of over ₹100 crore — the Trichy Corporation council on Tuesday reviewed key budget announcements and financial statements, and resolved to strengthen its independent revenue sources.Property tax, the civic body's principal own revenue stream, accounts for just 29% of its independent income. Of the ₹614.3 crore generated internally, property tax from around 2.1 lakh properties contributed ₹176.6 crore. Subsidies and grants formed the largest share at 30%.
Mayor Mu Anbalagan said the corporation had taken a strategic decision in securing a 25.6% stake in the upcoming Tidel Park Trichy project at Panjapur, estimated at ₹462 crore. Instead of selling 14.1 acres, the corporation opted for equity holdings valued at ₹23.7 crore in lieu of lease rights."We were spending a sizeable sum from the general fund, contributing to a deficit condition. Revenue generation is a parameter that will be worked on sincerely," the Mayor said.He added that the corporation would survey property tax assessments, particularly commercial establishments, to check whether taxes were levied appropriately. "We will survey the assessments, especially the commercial ones, to check whether the property taxes were levied appropriately. The annual property tax revision by 6% is on hold too," he said.To widen revenue sources, the civic body plans to commission sewage treatment plants (STPs) at Panjapur and Kalkandarkottai and provide over one lakh underground drainage (UGD) connections, generating around ₹10,000 per connection through security deposits.Underutilised properties are proposed to be redeveloped as commercial spaces for rent."Implementation of solar power parks and rooftop solar plants minimised the electricity bills of the corporation by up to ₹7 crore in the last four years. More such projects can curtail expenditure," K Suresh, CPI councillor, said.A section of councillors, including Congress's V Jawagar from Ward 2, argued that the deficit budget should not be seen as a setback."Expected revenue was not fetched from newly built commercial complexes and markets. Revenue generation is important and must be emphasised. Completed infrastructure projects like Panjapur KKBT should generate more revenue for the city," LIC Sankar, councillor from Ward 20, said.Get the latest lifestyle updates on Times of India, along with Holi wishes, messages and quotes !