Grant for PRIs under State Finance Commission-II

Allocation:

• The grants amounting to Rs. 491.88 crore made available to PRIs during the period 2000-01 to 2004-05.  

• As per State Finance Commission-IInd recommendation the allocation of 85% of grants made to Gram Panchayat, 12% to Panchayat Samities and 3% to Zila Parishads from the total grants for Panchayati Raj Institutions.

• The district allocation made on the basis of 80% on 1991 population, 10% on the area, 5% on the literacy and 5% on the basis of the number of BPL families. In the district at different tiers i.e. Gram Panchayat & Panchayat Samiti, the allocation made on the basis of their population.

Objective:

• To finance the creation, improvement, strengthening, augmentation, up gradation, extension and maintenance of civic services in rural area. For maintenance of school buildings and other community buildings to promote the elementary education of Girls and construction of public facilities like Bus Stand, Sanitation.
• To complete the works which are left incomplete due to closure of schemes and non-availability of funds for incomplete works. .
• For Execution, Supervision and Monitoring of different rural development schemes prevailing in the jurisdiction of Zila Parishads/ Panchayat Samities.

Incentive Scheme

• State Finance Commission-IInd recommended starting incentive scheme in order to encourage Gram Panchayats to generate their own income.
• In this incentive scheme if any Gram Panchayat increase own income as per provision made in Rajasthan Panchayati Raj Act/ Rules then incentive grants is allotted equivalent to collected additional revenue.
• The grants amounting to Rs. 11.21 crore made available as an incentive to Gram Panchayats.