Lokmat News Network
Chhatrapati Sambhajinagar, Apr:
The state government has dissolved the Board of Directors (BoD) of the Smart City Mission and ordered the immediate transfer of all projects to the municipal corporation through an ordinance issued on April 21. It has also directed that all officers and employees be relieved of their duties by April 30, leaving nearly 50 personnel in a state of uncertainty.
Mayor Sameer Rajurkar said a decision on the way forward would be taken within the next one to two days after discussions with municipal commissioner Amol Yedge.
Projects near completion
Between 2016 and 2026, the mission implemented over 40 projects. Of these, the zoological park at Mitmita and the Sant Tukaram Natyagruh in Cidco are in their final stages. On June 10, 2025, the central government indicated that no further funding would be provided under the Smart City Mission and advised cities to strengthen their own revenue sources.
Revenue streams in place
Over the past few years, the mission has developed multiple revenue streams. Sources said operations could continue until December 2026 without financial assistance from the centre, state or municipal corporation. The civic body is also considering allocating 2 per cent of its property tax revenue, estimated at around Rs 4 crore, to support Smart City projects.
Staff in limbo
The mission currently employs 35 personnel, including project heads, deputy heads, clerks and accounts officers. An additional 15 staff members are engaged under the Special Purpose Vehicle (SPV) for the city bus service. The sudden directive to relieve all employees has raised concerns among contractual staff about job security.
Powers with commissioner
A company was set up in 2015 under the Special Purpose Vehicle (SPV) framework to implement Smart City projects. As per the government order, the SPV will continue to function, but the BoD will be dissolved. All powers of the board will now vest with the municipal commissioner.
Decision likely soon
Officials indicated that if continuing the mission does not impose an additional financial burden on the municipal corporation, a favourable decision may be taken. A final call is expected within the next one to two days after detailed discussions.
Eight Smart City BoDs dissolved
The Urban Development Department (UDD) has dissolved the BoDs of eight Smart Cities, Chhatrapati Sambhajinagar, Nashik, Nagpur, Pune, Pimpri Chinchwad, Thane, Kalyan-Dombivli and Solapur. All assets created under the mission are to be transferred to the respective municipal corporations by April 30. However, the abrupt termination of contractual staff has emerged as a major concern, sources said.