Pune: Administrative Rule Brings Financial Gains to PCMC: Rs. 5.62 Crore Saved Over Two Years

Varad Bhatkhande

Pimpri, 8th March 2024: The Pimpri-Chinchwad Municipal Corporation (PCMC) has been under administrative rule for two years since March 13, 2022, leading to significant financial savings. The delay in local body elections in Maharashtra, attributed to party formation confusion, political reservation adjustments for the OBC community, and changes in state leadership, has resulted in the absence of elected corporators for this period.

With 133 corporators in PCMC, including 128 elected by the public and 5 appointed, a monthly remuneration of Rs. 15,000 is provided to each corporator. The lack of elected representatives over the two years has resulted in savings of Rs. 4 crore 80 lakhs in corporators’ remuneration alone. Additionally, expenses related to the Mayor, Deputy Mayor, Standing Committee Chairman, Leader of the ruling party, Leader of the Opposition, and various committee chairpersons, such as Education, Sports, Law, City Reform, Women and Child Welfare, Biodiversity, and Tree Authority, have also been curtailed.

The overall savings, including salary, allowances, vehicle fuel, tea, and water expenses for these officials and leaders, amount to approximately five and a half crore rupees. Moreover, the absence of elected corporators has made staff from the officers’ hall available for deployment in other departments. The administrative rule has inadvertently resulted in substantial financial benefits for the PCMC during this period.

PCMC has achieved substantial savings over the past two years due to the absence of elected corporators and the resulting administrative rule.

Fuel allowances for subject committee chairmen and mayors using their vehicles were among the areas of cost reduction. The allowances were as follows:
– Mayor: Rs. 5 lakhs
– Deputy Mayor: Rs. 3.5 lakhs
– Chairman of the Standing Committee: Rs. 4 lakhs
– Leader of the House and Leader of the Opposition: Rs. 3.5 lakhs each
– Chairpersons of other committees: Rs. 3 lakhs each

These savings in fuel allowances amounted to Rs. 55 lakhs 80 thousand over the two years.

Additionally, an allowance of Rs. 100 was provided for each Maha Sabha in PCMC, and each of the 133 corporators received Rs. 13,300 per month for attending general assemblies. The total savings in this category reached Rs. 3 lakh 19 thousand 200 over the two years. In total, PCMC saved Rs. 5 crore 62 lakhs during this period.

Furthermore, the closure of separate halls for office bearers, including the mayor, resulted in savings on personnel costs. Personal assistants, typists, and staff were appointed for these halls, but with the absence of corporators, these halls have been closed, and the staff redeployed to other departments. This has led to significant manpower savings, with officials now utilizing the officers’ halls.