24/11/2000
No. 43(1)PF.I/2000
Government of India
Ministry of Finance
Department of
Expenditure
Plan Finance-I Division
New Delhi, the 24th
November 2000
To
The Chief
Secretary
Government of
Sub: “Scheme for constitution and
Administration of the Calamity Relief Fund and Investments therefrom” based on
the recommendations of the Eleventh Finance Commission in its Report relating
to calamity relief for 2000-05.
Sir,
I am
directed to state that the Schemes for Constitution and Administration of the
Calamity Relief Fund and Investments therefrom circulated vide this Ministry’s
letter No. 4391)PF.I/95 dated 27th July 1995 was valid for the period 1995-2000. The
Eleventh Finance Commissioner (EFC) was required to review this scheme of
Calamity Relief Fund (CRF) and to make appropriate recommendations thereon. The
EFC accordingly, reviewed the existing scheme of CRF keeping in view the
suggestions made by the State Government, Ministry of Agriculture and this
Ministry and has recommended for the continuation of the scheme of CRF with
certain modifications. The recommendations of the EFC in this regard were
accepted by the Government of India.
2. In accordance with the recommendations
of the EFC and after consultation with the State Governments, Reserve Bank of
India, Controller General of Accounts, Comptroller and Auditor General of India
and Ministry of Agriculture, a revised “Scheme for Constitution and
Administration of the Calamity Relief Fund and Investments therefrom” has been
prepared. A copy of the same is enclosed for necessary action. The Scheme is
deemed to have come into force w.e.f. 1st April 2000.
3. The balance of Center’s share of CRF
for the current year (2000-01) will be released to the State Government only
after fulfillment of the conditions laid down in para 6 of the Scheme. You are,
therefore, requested to kindly take necessary action in the matter immediately
so that release of Centre’s share of CRF could be considered by this Ministry.
4. A copy of the Hindi version of the
scheme is also enclosed.
1.
The
receipt of this letter may kindly be acknowledged.
Sd/-R.Bannerji
Jt
Secy to Govt of India
Scheme for Constitution
and Administration of the Calamity Relief Fund and Investments therefrom.
1. Title of the scheme- The scheme
shall be called “Calamity Relief Fund Scheme.
2. Period of Operation- It shall come into
force with effect from the financial year 2000-01 and will be operative till
the end of the financial year 2004-05.
3. Calamities covered under the Scheme-
The CRF should be used for meeting the expenditure for providing immediate
relief to the victims of cyclone, drought, earthquake, fire, flood and
hailstorm.
4. Constitution of Calamity Relief Fund
– A “Calamity Relief Fund” (hereinafter referred to as ‘the fund’) for the
purpose of financing natural calamity relief assistance. The fund would be constituted
in the Public Account and classified under the head “8235-General and Other
Reserve Funds-111 Calamity Relief Fund” in the accounts of the Government
concerned. However, if for some reason it is not possible to invest the fund in
a manner prescribed in para 9 of the scheme, it should be classified under the
head “8121-General and Other Reserve Funds” in the interest bearing section of
the Public Account, under a distinct minor head.
5.1 Contributions to the Fund- The
amount of annual contribution to the Calamity Relief Fund of each State for
each of the financial years 2000-01 to 2004-05 would be as indicated in
Annexure-I to this scheme. Of the total contribution indicated, Government of
India will contribute 75% of the total yearly allocation in the form of a non
plan grant and the balance amount will be contributed by the State Government
concerned. The yearly share of the Govt of India and the State Govt are shown
in the Annexures-II and III respectively. In respect of successor States of Bihar,
Jharkhand, Madhya Pradesh, Chhattisgarh,
Uttar Pradesh, and Uttaranchal and information is as shown in
Annexure-IV.
5.2 The share of the Government of India to
the Fund shall be paid to the State Govt as Grants-in-aid and accounted in the
Govt of India accounts under the head ‘3601-Grants-in-aid to State
Government-01 Non Plan grants-109 Grants towards contribution to Calamity
Relief Fund’. The State Govt shall take these as receipts in their budget and
account under the head ‘1601-Grants-in-aid from Central Government-01 Non Plan
Grant-109 Grants towards contribution to Calamity Relief Fund’.
5.3 In order to enable transfer of the total
amount of contribution, to the Fund (including the state’s share of
contribution), the State Governments would make suitable Budget provision on
the expenditure side of their budget under the head “2245-Relief on Account of
Natural Calamities-05 Calamity Relief Fund-101 Transfer to Reserve Fund and
Deposit Accounts- Calamity Relief Fund”.
5.4 The share of the Central Government shall
be remitted to the State Government in two instalments on Ist May and Ist
November in each Financial year. Likewise, the State govt shall also transfer
the total contribution (including State’s share) to the Fund in two instalments
in May and November of the same year. The arrears of first instalment for the
financial year 2000-01 will be paid / transferred by the Governments concerned
immediately. Wherever the contribution has already been released / transferred
by the Central / State Government, suitable accounting adjustments may be
carried out in accordance with the provisions of this scheme.
6. Release of Central Contribution to
the fund- The share of the Government of India to the Fund due in a year
shall be released to the State Governments subject to the following conditions
:
(i)
A
‘Calamity Relief Fund’ has been duly constituted by the State Government in the
manner prescribed in para 4 above. The
creation of the fund duly certified by the Accountant General (A&E) of the
State be furnished by the State Government to the Ministry of Finance.
(ii)
Before
an instalment is released, the State Government shall furnish a certificate to
the Ministry of Finance indicating that the amount received earlier has been
credited to the Fund along with the State’s share of contribution, accompanied
by a statement giving the upto date expenditure and the balance amount
available in the CRF. This statement itself shall be treated as utilisation
certificate.
(iii)
Centre’s
contribution due on Ist November shall
be released only after the ‘Annual Report on Natural Calamities’ as indicated
in para 11.2 of the scheme is received by the Ministry of Agriculture who in
turn will communicate the same to Ministry of Finance.
(iv)
The
release of both the instalments shall be made by Ministry of Finance subject to
the above conditions being satisfied unless advised by Ministry of Agriculture
for withholding of release to any State.
(v)
The
State shall be able to draw 25% of the funds due to the State in the following
year from the Centre to be adjusted against the dues of the subsequent year.
7. Relationship of Fund with General
Revenues/Public Account- The periodic contributions to the Fund as well as the other
income of the Fund shall be kept outside the Public Accounts of the States and
invested in the manner prescribed in the scheme. However, if for some reason it
is not possible to invest in the manner prescribed in the scheme, it should be
kept in the Public Account on which the State Government should pay interest to
the Fund at one and half times the rate applicable to overdrafts under
Overdraft Regulation Scheme of the RBI. The interest will be credited on a half
yearly basis.
8.1 State Level Committee- A State
Level Committee (hereinafter referred to as ‘the Committee’) shall be
constituted by the State Government to administer the Fund, by issue of a
suitable notification in this behalf.
8.2 Composition of State Level Committees-
The Chief Secretary of the State shall be the ex-officio Chairman of the Committee.
The Committee would consist of officials who are normally connected with relief
work and experts in various fields in the State affected by natural calamities.
The Committee will be nominated by the State Government.
8.3 Sub Committee- The State Governments and/or the State level
Committees may constitute sub committees as may be considered necessary by them
in connection with the work of the Committee.
8.4 Functions of the State Level
Committee- The Committee will decide on all matters connected with the
financing of the relief expenditure.
8.5 The Committee will arrange to obtain the
contributions from the concerned Governments, administer the Fund and invest
the accretions to the Fund as per the norms approved by the Government of India
from time to time. The norms of investment are indicated in para 9.3.
8.6 The Committee shall also be responsible
to ensure that the money drawn from the calamity Relief Fund is applied for the
purposes for which the Fund has been set up and only on items of expenditure
and as per norms contained in the guidelines issued by Ministry of Agriculture.
8.7 The accretions to the Fund together with
the income earned on the investments of the Fund will be used by the Committee
to meet items of expenditure covered by the norms contained in the guidelines
issued by the Ministry of Agriculture. No further financial assistance (beyond
the Central Government’s yearly contribution to the Fund) will ordinarily be
available for the purpose.
8.8 Expenditure of Committee- All administrative and miscellaneous expenses
of the Committee shall be borne by the State Government under its normal
budgetary provisions and not from the CRF.
9.1 Administration of the Fund –As
stated in paragraph 8.1 above, the responsibility for the administration of the
Fund will rest with the Committee.
9.2 On receipt of the amounts of
contributions from the Government, the Committee would take action for
investment of the funds as per the prescribed norms. The investment of the
funds shall be carried out by the branch of the Reserve Bank of India (having Banking Department) at
headquarters of the State. In the case of States in which there is no such
branch of the Reserve Bank of India at the State Headquarter, the investments
shall be carried out by the bank designated by RBI. In the case of Government
of Jammu & Kashmir and Sikkim these functions shall be carried out by their
bankers.
9.3 Pattern of Investment from the Fund- The
accretions to the Fund together with the income earned on the investment of the
Fund shall, till contrary instructions are issued by Government of India under
para 8.5, be invested in one or more of the following instruments :
(a) Central
Government dated Securities;
(b)
Auctioned
Treasury Bills
(c)
Interest
earning deposits and certificates of deposits with Scheduled Commercial Banks;
(d)
Interest
earning deposits in Co-operative Banks;
9.4 Account of Investment Transactions – The
committee will, from time to time, issue instructions to the concerned local
bankers indicated in para 9.2 above to invest specified amount(s) from the Fund
in the securities specified in clauses (a) to (d) under paragraph 9.3. Such
instructions will be issued by the Chairman and any one of the members of the
Committee. The banks will immediately arrange to make the necessary investment
locally or through their branches/correspondent banks / RBI at Bombay or other
metropolitan centres. The banks would scroll to the Government the debit on
account of the investment and other incidental charges like brokerage,
commission etc. in the usual course. However, in order to ensure that the
investment transactions of the Fund do not get mixed up with other transactions
these may be indicated distinctly in separate scrolls.
On receipt of the scrolls the investment transactions
would be accounted for under the head “8235-General and Other Reserve Fund-112
Calamity Relief Fund Investment Account.” However, the incidental charges like
brokerage, commission etc. shall be accounted for as a charge on the Fund.
9.5 As far as practicable, the investment in
the dated securities of the Central Government should be made in their new
issues, that is to say, at the time when they are offered for subscription to
the public.
9.6 The bank will arrange to collect interest
on these securities /bonds and credit
the same to the account of the Government on the due date. These receipts shall
form a part of the receipts of the Fund and would be accounted for as such.
Further, these would require to be invested by the Committee as in the case of
the contributions by the Government i.e. in accordance with the investment
norms prescribed in para 9.3 above. On maturity of the securities, the proceeds
will be collected and credited to the account of the Government or reinvested
on the basis of instructions received from the Committee. As in the case of the
debit scrolls the banks shall use separate scrolls for the receipts.
9.7 On receipt of instructions from the
Committee, the concerned bank will arrange to sell the securities at the ruling
price through its branches/ correspondent banks/RBI at Bombay or any other
metropolitan Centre and credit the amount realised, less incidental charges, to
the account of the Government.
9.8 The receipts on account of maturity or
sale of the securities would be taken to the account of the “Calamity Relief
Fund Investment Account”. The incidental charges on sale would be charged on
the Fund.
9.9
The
auctioned Treasury Bills may be purchased by the bank either at the Treasury
Bill auctions on the basis of a non competitive bid or in the market.
9.10 The Committee will assess the requirements
of assistance from the Fund for financing relief expenditure. The provision for
expenditure on relief will be made in the budget of the State Government under
the relevant heads. The extent of relief expenditure to be financed from the
Fund as decided/ authorised shall be withdrawn from the Fund by the Committee
after disposal of the investment holdings in the manner prescribed in para 9.11
and credited to the CRF Investment Account. However, only the actual amount of
relief expenditure shall be brought to account under the head “2245-Relief on
account of Natural Calamities-05 Calamity Relief Fund-901 Deduct amount met
from Calamity Relief Fund”, which will appear as a recovery below the line in
the Demands for Grants of the State Government.
9.11 To moot liability on account of the claims
sanctioned for relief, the Committee will first dispose of its holdings of
auctioned Treasury Bills to the extent required, the oldest lot of bills being
sold first and so on. If the amount obtained by the sale of auctioned Treasury
Bills is not sufficient to meet the liability towards relief sanctioned, the
Committee may encash the deposits with the local branches of the scheduled commercial
banks and the co-operative banks. The Central Government dated securities may
be sold only if the amount realised by the sale of treasury bills and
encashment of the deposits is not adequate.
9.12 The concerned State Government will pay to
the RBI/SBI/other banks a commission at the rate determined by RBI in
consultation with the concerned State Government. These charges shall also be
borne by the fund as in the case of the charges indicated in paras 9.4 and 9.8.
the loss or gain on the sale of securities shall also be taken to the account
of the Fund.
10.1 Items and Norms of Expenditure- The
expenditure on restoration of damaged capital works should ordinarily be met
from the normal budgetary heads, except when it is to be incurred as part of
providing immediate relief such as restoration of drinking water sources or
provision of shelters etc. or restoration of communication links for
facilitating relief operations. A Committee of experts and representatives of
States set up by the Ministry of Agriculture shall review the list of items of
expenditure which alone will be chargeable to the Fund. A State specific list
shall also be finalised in consultation with the representatives of the
concerned State Government after taking into consideration the State specific
needs and practices.
10.2 The norms for the amounts to be incurred on
each approved item of expenditure shall be prescribed by the State Level
Committees. The norms so fixed shall be communicated to the Union Ministry of
Agriculture which may modify them only when they are significantly high. In
case any State Government exceeds the amount prescribed the excess expenditure
should be borne from the normal budget of the State Government and not from
CRF.
10.3 Expenditure on training of the core multidisciplinary
group created in the State as per the guidelines of the Ministry of Agriculture
shall be met from CRF.
11.1 Monitoring by the Ministry of
Agriculture- The Ministry of Agriculture
will be nodal Ministry for overseeing the operation of CRF. They shall monitor
the scheme of CRF and may advise State Level Committee from time to time in
this regard to ensure proper functioning of the scheme. Further, Ministry of
Agriculture shall recommend for adjustment/ withholding of release of any
instalment to the States in the event of any deficiency/ short coming in the
implementation of the scheme by the States.
11.2 The State Governments shall furnish every
year an Annual Report on Natural Calamities in the format prescribed by
Ministry of Agriculture. This report shall be sent by every State Government to
the Ministry of Agriculture positively by 30th September, every
year, even if the report is nil.
11.3 The National Centre for Calamity Management
(NCCM) to be established by the Ministry of Agriculture shall, inter alia,
undertake evaluation of the expenditure incurred out of CRF.
12. Unspent Balance In the Fund- The unspent
Balance in the Fund as at the end of the Financial year 2000-05 will be available to the State Government
for being used as a resource for the next plan.
13. Accounts- The Accounts of the Fund
and the investment shall be maintained by the Accountant General incharge of
accounts of the State in the normal course. The Committee will, however,
maintain subsidiary accounts in such manner & details as may be considered
necessary by the State Government in consultation with the Accountant General.
14. Savings- The Central Government
shall issue instructions relating to the provisions of the scheme as may be
considered from time to time to enable smooth functioning of the scheme. The
Central Government may also alter/modify the scheme if considered necessary
subsequently. In case of any difficulty in the operation of any provision of
this scheme, the central Government, if satisfied, may relax the provisions.
Calamity Relief Fund 2000-05
Punjab : Rs Crores
|
Punjab |
2000-01 |
2001-02 |
2002-03 |
2003-04 |
2004-05 |
Total
2000-05 |
|
Central Share |
92.04 |
96.64 |
101.47 |
106.55 |
111.87 |
508.57 |
|
State Share |
30.68 |
32.21 |
33.82 |
35.52 |
37.29 |
169.52 |
|
Total |
122.72 |
128.85 |
135.30 |
142.06 |
149.17 |
678.10 |
All States :
All
figures in Rs Crores
|
|
State |
2000-01 |
2001-02 |
2002-03 |
2003-04 |
2004-05 |
Total |
||||||||||||
|
SN |
|
Central |
State |
Total |
Central |
State |
Total |
Central |
State |
Total |
Central |
State |
Total |
Central |
State |
Total |
Central |
State |
Total |
|
1 |
Andhra
Pradesh |
148.54 |
49.51 |
198.06 |
155.97 |
51.99 |
207.96 |
163.77 |
54.59 |
218.36 |
171.96 |
57.32 |
229.28 |
180.56 |
60.19 |
240.74 |
820.80 |
273.60 |
1094.40 |
|
2 |
Arunchal
Pradesh |
9.02 |
3.01 |
12.02 |
9.47 |
3.16 |
12.62 |
9.94 |
3.31 |
13.25 |
10.44 |
3.48 |
13.92 |
10.96 |
3.65 |
14.61 |
49.83 |
16.61 |
66.43 |
|
3 |
Assam |
76.12 |
25.37 |
101.49 |
79.92 |
26.64 |
106.57 |
83.92 |
27.97 |
111.89 |
88.12 |
29.37 |
117.49 |
92.52 |
30.84 |
123.36 |
420.60 |
140.20 |
560.81 |
|
4 |
Bihar |
92.74 |
30.91 |
123.66 |
97.38 |
32.48 |
129.84 |
102.25 |
34.08 |
136.33 |
107.36 |
35.79 |
143.15 |
112.73 |
37.58 |
150.30 |
512.46 |
170.82 |
683.28 |
|
5 |
Goa |
0.93 |
0.31 |
1.24 |
0.98 |
0.33 |
1.30 |
1.03 |
0.34 |
1.37 |
1.08 |
0.36 |
1.44 |
1.13 |
0.38 |
1.51 |
5.15 |
1.71 |
6.86 |
|
6 |
Gujarat |
121.05 |
40.35 |
161.40 |
127.10 |
42.37 |
169.47 |
133.46 |
44.49 |
177.94 |
140.13 |
46.71 |
186.84 |
147.14 |
49.05 |
196.18 |
668.88 |
222.96 |
891.84 |
|
7 |
Haryana |
60.96 |
20.33 |
81.30 |
64.03 |
21.34 |
85.37 |
67.23 |
22.41 |
89.64 |
70.59 |
23.53 |
94.12 |
74.12 |
24.71 |
98.83 |
336.95 |
112.31 |
449.26 |
|
8 |
Himachal
Pradesh |
32.61 |
10.87 |
43.49 |
34.24 |
11.41 |
45.66 |
35.96 |
11.99 |
47.94 |
37.75 |
12.58 |
50.34 |
39.64 |
13.21 |
52.86 |
180.20 |
60.07 |
240.29 |
|
9 |
Jammu
& Kashmir |
26.18 |
8.73 |
34.90 |
27.48 |
9.16 |
36.65 |
28.86 |
9.62 |
38.48 |
30.30 |
10.10 |
40.40 |
31.82 |
10.61 |
42.42 |
144.64 |
48.21 |
192.85 |
|
10 |
Karnataka |
55.93 |
18.64 |
74.57 |
58.72 |
19.57 |
78.30 |
61.66 |
20.55 |
82.21 |
64.74 |
21.58 |
86.32 |
67.98 |
22.66 |
90.64 |
309.03 |
103.01 |
412.04 |
|
11 |
Kerala |
50.43 |
16.81 |
67.24 |
52.95 |
17.65 |
70.61 |
55.60 |
18.53 |
74.14 |
58.38 |
19.46 |
77.84 |
61.30 |
20.43 |
81.73 |
278.66 |
92.89 |
371.56 |
|
12 |
Madhya
Pradesh |
67.58 |
22.53 |
90.10 |
70.95 |
23.65 |
94.61 |
74.50 |
24.83 |
99.34 |
78.23 |
26.08 |
104.30 |
82.14 |
27.38 |
109.52 |
373.40 |
124.47 |
497.86 |
|
13 |
Maharashtra |
117.90 |
39.30 |
157.20 |
123.80 |
41.27 |
165.06 |
129.99 |
43.33 |
173.32 |
136.49 |
45.50 |
181.98 |
143.31 |
47.77 |
191.08 |
651.49 |
217.16 |
868.64 |
|
14 |
Manipur |
2.15 |
0.72 |
2.87 |
2.26 |
0.75 |
3.01 |
2.37 |
0.79 |
3.16 |
2.49 |
0.83 |
3.32 |
2.62 |
0.87 |
3.49 |
11.89 |
3.96 |
15.86 |
|
15 |
Meghalaya |
2.95 |
0.98 |
3.94 |
3.10 |
1.03 |
4.14 |
3.26 |
1.09 |
4.34 |
3.42 |
1.14 |
4.56 |
3.59 |
1.20 |
4.79 |
16.32 |
5.44 |
21.77 |
|
16 |
Mizoram |
2.23 |
0.74 |
2.97 |
2.34 |
0.78 |
3.12 |
2.46 |
0.82 |
3.28 |
2.58 |
0.86 |
3.44 |
2.71 |
0.90 |
3.61 |
12.32 |
4.11 |
16.42 |
|
17 |
Nagaland |
1.47 |
0.49 |
1.96 |
1.54 |
0.51 |
2.06 |
1.62 |
0.54 |
2.16 |
1.70 |
0.57 |
2.27 |
1.79 |
0.60 |
2.38 |
8.12 |
2.71 |
10.83 |
|
18 |
Orissa |
82.10 |
27.37 |
109.47 |
86.21 |
28.74 |
114.94 |
90.52 |
30.17 |
120.69 |
95.04 |
31.68 |
126.72 |
99.79 |
33.26 |
133.06 |
453.66 |
151.22 |
604.88 |
|
19 |
Punjab |
92.04 |
30.68 |
122.72 |
96.64 |
32.21 |
128.85 |
101.47 |
33.82 |
135.30 |
106.55 |
35.52 |
142.06 |
111.87 |
37.29 |
149.17 |
508.57 |
169.52 |
678.10 |
|
20 |
Rajasthan |
155.26 |
51.75 |
207.00 |
163.01 |
54.34 |
217.35 |
171.16 |
57.05 |
228.22 |
179.72 |
59.91 |
239.63 |
188.71 |
62.90 |
251.61 |
857.85 |
285.95 |
1143.81 |
|
21 |
Sikkim |
5.18 |
1.73 |
6.91 |
5.44 |
1.81 |
7.25 |
5.71 |
1.90 |
7.62 |
6.00 |
2.00 |
8.00 |
6.30 |
2.10 |
8.40 |
28.63 |
9.54 |
38.17 |
|
22 |
Tamil
Nadu |
76.98 |
25.66 |
102.64 |
80.83 |
26.94 |
107.77 |
84.87 |
28.29 |
113.16 |
89.11 |
29.70 |
118.82 |
93.57 |
31.19 |
124.78 |
425.38 |
142.79 |
567.14 |
|
23 |
Tripura |
3.90 |
1.30 |
5.20 |
4.10 |
1.37 |
5.46 |
4.30 |
1.43 |
5.73 |
4.51 |
1.50 |
6.02 |
4.74 |
1.58 |
6.32 |
21.55 |
7.18 |
28.73 |
|
24 |
Uttar
Pradesh |
133.98 |
44.66 |
178.64 |
140.68 |
46.89 |
187.57 |
147.71 |
49.24 |
196.95 |
155.10 |
51.70 |
206.80 |
162.86 |
54.29 |
217.14 |
740.33 |
246.78 |
987.11 |
|
25 |
West
Bengal |
75.83 |
25.28 |
101.10 |
79.62 |
26.54 |
106.16 |
83.60 |
27.87 |
111.47 |
87.78 |
29.26 |
117.04 |
92.17 |
30.72 |
122.89 |
419.00 |
139.67 |
558.66 |
|
|
Total |
1494.07 |
498.02 |
1992.10 |
1588.76 |
522.93 |
2091.70 |
1647.22 |
549.07 |
2196.29 |
1729.57 |
576.53 |
2306.10 |
1816.07 |
605.35 |
2421.41 |
8255.89 |
2751.99 |
11007.59 |