AAP government has put forward a hike of 250 per cent in MLA Local Area Development (LAD) funds. Currently, the existing funds are Rs 4 crore but the AAP government has demanded for Rs 14 crore.
The suggestion to increase the funds is to make sure that shortage of money does not affect the work being carried out via MLA LAD funds in the areas of the national capital. A senior government official said that the AAP government has sent a proposal to the centre to seek its prior approval.
One crore rupees, out of 4 crore from the MLA LAD funds, is assigned for executing works concerning to Delhi Jal Board every year as per the rule. Rest of the funds are fixed for some other works which MLAs do not have more fund left to carry out development work in their constituencies.
“In view of this, government has proposed to provide one-time additional allocation of Rs 10 crore for each MLA in the current financial year,” the official said.
The official also said that if Centre agrees to it then the AAP government will issue 700 crore to all the 70 lawmakers.
According to officials, Rs 280 crore meant for MLA Local Area Development (LAD) funds has been already disbursed by the AAP Government and this Rs 700 crore would be in addition to that. If the government increases Rs 10 crore for each MLA, it would be perhaps the highest in the country.
The officer said that all three MCDs have “failed” in doing development works for the want of sufficient funds. Earlier in 2011, Sheila Dixit government had increased the MLA LAD funds from 2 crore to 4 crores but Kejriwal is proposing to increase the funds to 14 crores.