Taxes basic services are expected to go up and no new major projects are likely to be taken up in the BMC budget for 2012-13,which is due to be presented on Tuesday,civic sources said. Presenting his last budget before the end of his term in May this year,municipal commissioner Subodh Kumar is believed to have drafted a budget mainly aimed at boosting revenues,offcials said,adding that water and sewage tax is expected to rise 25-30 per cent in the next financial year. This means residential buildings might have to pay Rs 4.40 to almost Rs 5 for 1,000 litres of water. Commercial units might see a rise of 60-100 per cent increase from the current Rs 25-38 for water charges. Water tax for slumdwellers will see a hike of 20-25 per cent,say officials. Currently,slums pay Rs 2.25 for 1000 litres of water as tax. Yet another hike is expected in property tax rates from next year. The civic administration is planning to shift to the new capital value based property tax next year. BMC officials say octroi collection will see a rise,with the tax slabs for it coming down. Last year,the civic body had estimated octroi collection at Rs 5,700 crore. Officials said the target for next year might be increased to Rs 6,800 crore. The collections were around Rs 6,000 crore till last month. The civic body is also set to explore fresh sources of earnings while exercising control over its revenue as well as capital expenditure. It is expecting money in its kitty under the Development Charges,wherein it will earn premiums from FSI and Transfer of Development Rights (TDR). The civic body will also generate money under the proposed market redevelopment policy wherein it expects to collect charges from developers. Charges to grant Occupation Certificate (OC) to developers are also likely to increase from next year. With no major projects likely in the pipeline,civic administration is expected to focus on beautification projects,said officials. A senior civic official said,Beautification of Flora fountain and other old buildings is in the pipeline. Budgetary allocation for it will be increased. The civic administration is also likely to allocate funds for repair and rehabilitation of its cessed and dilapidated buildings. Another important allocation is likely to be in the water department with large sum being set aside for research and technology. According to officials,the civic body will be spending on research to resolve the contamination woes in the city. While major projects such as Middle Vaitarna dam to augment the water supply for the city are scheduled to be completed this year,civic body is likely to allocate funds for consultants and feasibility report for Damanganga-Pinjal Link a water sharing project between Maharashtra and Gujarat and Gargai dam. While last years budget was labelled as a realistic with an outlay of Rs 21,096.56 crore,up from Rs 20,417 crore in 2010,this year it is expected to touch Rs 23,000 crore,officials said.
