The Brihanmumbai Municipal Corporation (BMC) House, during its general body meeting on Friday, formally sanctioned a Rs 250 crore mayor's development fund, marking the highest allocation in the civic body's history. Previously, the fund ranged between Rs 100 crore and Rs 200 crore.
Distribution and Source of Funds
The fund will be distributed to corporators based on the mayor's recommendations. Officials stated that the increase in the mayor's discretionary fund was achieved by reallocating funds from key departments, including solid waste management, road concreting, and bridges departments.
With the capital expenditure also approved at Friday's meeting, budget provisions are expected to be rolled out for civic works across Mumbai, encompassing infrastructure upgrades, sanitation projects, and ward-level development initiatives.
Background of Controversy
The revenue expenditure was cleared last month. However, the standing committee's earlier approval of an Rs 800 crore development fund had sparked a political controversy over alleged uneven distribution among corporators. Initially, all corporators were allotted around Rs 2.25 crore each, but certain wards reportedly received significantly higher allocations ranging between Rs 5 crore and Rs 20 crore, leading to protests from opposition members and internal dissent within the ruling alliance.
Standing committee chairman Prabhakar Shinde and BMC House leader Ganesh Khankar, both from the Bharatiya Janata Party (BJP), had been allocated over Rs 20 crore for their respective wards. Corporators from BJP MLA Ameet Satam's constituency were reportedly allotted Rs 6 crore each, further fueling debate over preferential distribution.
Revised Allocations
Following the row, the allocations were revised, with Rs 54 crore being cut from the standing committee's development fund and redirected to civic welfare schemes, including the sanitation workers' housing and welfare initiative. Officials said Rs 15 crore each was reduced from Shinde's and Khankar's allocations as part of the restructuring exercise.
Further, after Satam reportedly wrote to the standing committee seeking rationalization of the allocations, additional funds for corporators from his assembly constituency were trimmed by nearly Rs 3.75 crore per corporator, bringing them in line with the standard allocation of Rs 2.25 crore per ward.
The revised fund allocation aims to ensure equitable distribution and address concerns over preferential treatment. The BMC's move is expected to facilitate development projects across all wards in Mumbai.
