CAG finds ₹89.47 crore in central funds for Odisha PRI capacity building unspent

Who it concerns: Government of Odisha, specifically Panchayati Raj Institutions (PRIs) and Urban Local Bodies (ULBs).

What the auditor found

• 8 out of 29 subjects in the 11th Schedule of the Constitution had not been devolved to PRIs.
• Asset transfer orders were issued only in 2020, 27 years after the enactment of the 73rd CAA.
• Panchayat Samitis and Zilla Parishads lacked legal provisions to levy or collect taxes, making them fully dependent on government grants.
• Central share of ₹89.47 crore was not received by the State Institute for Rural Development due to short utilization of funds and non-release by the State Government.
• ₹43.30 lakh spent on nine solar-based water supply projects in Bargarh and Dhenkanal districts, which were found non-functional for periods ranging from three months to three years.
• 25 assets (market complexes and Kalyan Mandaps) constructed at a cost of ₹2.59 crore were under unauthorized occupation without follow-up action.
• CAG recommended the State Government devolve the remaining eight subjects, empower PRIs to levy taxes, and transfer functionaries to PRIs.

Also in the document

• CAG found that asset transfer orders were issued 27 years after the relevant constitutional amendment was enacted.
• CAG reported that ₹89.47 crore in central funds for capacity building of PRI members was not received due to state-level administrative lapses.
• CAG noted that solar water supply projects costing ₹43.30 lakh were non-functional for up to three years, depriving 28,820 people of drinking water.