I think you may be right. But the news item is not clear whether Assam
(or the other states) actually put up the 25% and then could not
utilize the funds or whether they couldn't get the funds because they
could not meet the 25% stipilation.

But again, its not just in this particular case. For a state, so
strapped for funds, we continuously hear of funds being returned to
the Center for non-utilization. It seems many a time, the funds just
sit there and promptly returned at the end of the fiscal year, every
year.

>I wonder if there is one official in Assam government  who has the
responsibility >of an overview of all such grants and challenge 
funds.

There probably isn't, and if there were one, the person is not 'being
able' to do hir/her job right.


On 5/13/05, Dilip/Dil Deka <[EMAIL PROTECTED]> wrote:
> I think the root of the problem is in, " According to the existing norm,
> schemes are implemented with the states contributing 25 per cent of the
> total expenditure. But the northeastern states have been demanding a change
> in the funding pattern to 90:10."
> Most probably the states cannot put up the 25 per cent, so they do not get
> the other 75 per cent. I wonder if there is one official in Assam government
> who has the responsibility of an overview of all such grants and challenge
> funds. If there is not, there needs to be one, and he should be closely
> attached to the chief minister. That is the only way money from the center
> can be used to the last paisa according to the rules and stipulations.
> Dilip
> 
> Ram Sarangapani <[EMAIL PROTECTED]> wrote:
> Here it is again - non utilization of Central funds. Can someone
> explain why these states have not been able to utilize nearly 600
> crores? At the same time they are asking for more.
> 
> Again Assam is the leader among NE states : 
> 
> "Giving estimates of individual states for the last year, the minister
> revealed that Assam had the worst performance with around Rs 218 crore
> remaining unutilised."
> 
> Is it solvable or do Assam's rural areas just have to live with it. If
> this is not an example of abject failure of the GOA in direction, what
> is?
> 
> --Ram
> 
> 
> States fail to utilise rural funds 
> OUR CORRESPONDENT 
> New Delhi, May 12: Almost all the northeastern states have failed to
> utilise the funds allotted to them by the Centre for rural
> development.
> 
> During the last financial year (2005-05), nearly Rs 600 crore could
> not be spent as the states were unable to follow the established
> procedures laid down by the ministry for rural development.
> 
> Concerned over the development, minister of rural development
> Raghunvansh Prasad Singh held a meeting with Northeast MPs yesterday
> to discuss ways to increase utilisation of funds sanctioned to the
> region.
> 
> The minister will shortly visit Assam and Tripura to review the status
> of ongoing projects and give teeth to the monitoring mechanism.
> 
> The MPs were given estimates of funds sanctioned by the ministry
> during the previous fiscal to each of the states, except Mizoram.
> 
> The meeting, which lasted for more than two hours, was held at the
> India International Centre.
> 
> "Funds that could not be spent last year would be adjusted in the
> current year's budget of the ministry for the Northeast. This means
> that less funds would be available to the region from the current
> year's budget," said an MP.
> 
> Giving estimates of individual states for the last year, the minister
> revealed that Assam had the worst performance with around Rs 218 crore
> remaining unutilised.
> 
> Most MPs from the region demanded an increase in the allocation of
> funds on programmes like the Indira Awaas Yojana.
> 
> According to the existing norm, schemes are implemented with the
> states contributing 25 per cent of the total expenditure. But the
> northeastern states have been demanding a change in the funding
> pattern to 90:10.
> 
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