Current plans and visions in Urban development

ACCCRN – City Vulnerability Assessment Report 12 Box 3: Integrated Housing Slum Development Programme - Objectives and coverage Integrated Housing Slum Development Programme aims at combining the existing schemes of VAMBAY Valmiki Ambedkar Awas Yojana is a Center-State partnership scheme to provide homes and improve the living conditions of the slum households and NSDP National Slum Development Programme under the new IHSDP Scheme for having an integrated approach in ameliorating the conditions of the urban slum dwellers who do not possess adequate shelter and reside in dilapidated conditions. The scheme is applicable to all cities and towns as per 2001 Census except citiestowns covered under Jawaharlal Nehru National Urban Renewal Mission JNNURM The scheme seeks to enhance public and private investments in housing and infrastructural development in urban areas. The basic objective of the Scheme is to strive for holistic slum development with a healthy and enabling urban environment by providing adequate shelter and basic infrastructure facilities to the slum dwellers of the identified urban areas. The scheme coverage includes: 1. The scheme will apply to all citiestowns, excepting citiestowns covered under JNNURM. The target group under the scheme is slum dwellers from all sections of the community through a cluster approach. 2. Allocation of funds among States will be on the basis of the States’ urban slum population to total urban slum population in the country. 3. States may allocate funds to townscities basing on similar formula. However, funds would be provided to only those towns and cities where elections to local bodies have been held and elected bodies are in position. 4. The State Governments may prioritize towns and cities on the basis of their felt-need. While prioritizing towns, States would take into account existing infrastructure, economically and socially disadvantaged sections of the slum population and difficult areas. Source: MoHUPA, 2009.

2.9 Current plans and visions in Urban development

It is estimated that the share of urban population may increase to about 40 per cent of the total population by 2020-21 MOF, 2008. Such projections of urban population surge in the coming decade and the inability of the existing infrastructure of the selected cities to support the influx of the migration in the cities necessitate allocation of more funds for the infrastructure development and capacity building of the smaller cities, small and medium towns. Traditionally, the urban infrastructure in India has been financed through mix of the following Vaidya, et.al, 2008: Budgetary allocations from Municipality’s own revenues Grants from state government Borrowing from insurance companies and specialised national level institutions like HUDCO and state level financial institutions Limited borrowings from banksFIs Limited investments by the ULBs themselves through their internal resources. Since public funds for these services are inadequate, ULBs have to look for alternative sources for financing their infrastructure costs. Several ULBs and utility organizations have issued bonds and have so far mobilized over Rs.12,000 million through taxable bonds and the figure continues to grow Vaidya et al., 2008. With an aim to encourage cities to initiate steps to bring about improvement in the existing civic services levels in a sustainable manner, Jawaharlal Nehru National Urban Renewal Mission JNNURM was launched in 2005-06 by the Ministry of Urban Development ACCCRN – City Vulnerability Assessment Report 13 MoUD. The scheme is categorized into two broad segments viz., the sub-mission on Urban Infrastructure Governance UIG and the sub-mission on Basic Services to the Urban Poor BSUP, covering 63 cities comprising mega, metro, capital and cities of heritage and historical significance. A provision of Rs. 500 billion has been made as Central assistance for the entire JNNURM for a period of seven years beginning from 2005-06. While the Central Government has gone about allotting the functions and management of the schemes as envisaged in JNNURM, it has also set forth two sets of mandatory reforms. Core reforms at the ULBparastatal level aim at process reengineering through use of appropriate technology to enable more efficient, reliable and timely services in a transparent way. The other set of reforms pertains to the State level. The ULBs’ reform covers, among others, adoption of modern, accrual-based double entry system of accounting in urban local bodiespara-statals, introduction of system of e- governance using information technology, reform of property tax with GIS so that it becomes a key source of revenue for ULBs and arrangements for its efficacious implementation so that collection efficiency reaches 85 per cent within next seven years and levy of reasonable user charges by ULBs with the remit to cover full cost of operation and maintenance or recurring cost is collected in seven years.

2.10 JNNURM progress in Surat Indore: