Bailout package to ADCs not a blank cheque: Govt  

ADCs have to implement reform measures to avail financial package  

Shillong, Aug 28: The state government has made it clear that the bailout package offered to autonomous district councils (ADCs) is not a “blank cheque” but a conditional support that requires the ADCs to implement certain reforms.

Informing this United Democratic Party (UDP) leader and cabinet minister Paul Lyngdoh on Thursday said, “It is very important to distinguish between voluntary funding and something that it is mandatory. In this case, what the government has offered is a reform-based bailout plan because at least a couple of these ADCs are about to crumble financially.”

The state government has formed three sub-committees to engage with GHADC, KHADC and JHADC – on its proposal to bring financial reforms that include payment of salaries to their employees – and submit a report within 45 days.

Explaining further on the government’s expectation from the ADCs in return, he said, “If they carry on with the current style of functioning and revenue collection and over staffing they will collapse within three to four years. So before we reach that point, this is an offer that you reform. For this reform we are supporting you this much financially.”

He said the government has proposed to support the ADCs financially in exchange for rationalizing their staffing patterns, augmenting revenue collection, and implementing other necessary reforms.

Lyngdoh also informed that some ADCs are overstaffed, with one council having a staff strength of 1500, which is unsustainable.

He emphasised that the government’s support is conditional on the ADCs taking the right steps to reform their functioning and revenue collection.

“I reiterate that it is a very positive move on the part of the state government because as you know what a lot of ADCs do also depend on the support that the state government gives them the revenue shares from the mineral for instance. We are interdependent and in this case wherever we find that the ADCs are about to reach a point of collapse, we would like to offer them a lifeline and this is the lifeline that the government is offering,” Lyngdoh stated.

The minister noted that the government’s intention is to rationalize the staffing pattern and ensure that the ADCs are financially sustainable.

The UDP leader described the government’s move as positive and appreciated the reformist agenda.

“There are councils, if the whole staff attends office there will not be enough space for the staff to sit in the offices. So what do you do then? Government cannot just sit idle and be a mute spectator and when the council collapsed then you will say what did the government do?” he said.

According to Lyngdoh, the government cannot sit idle and watch the ADCs collapse, and that the proposed bailout plan is a necessary step to prevent such an outcome.

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