New Delhi, Feb 13 The Union government has announced the release of more than Rs 3,324 crore to strengthen rural local bodies in Bihar, Uttar Pradesh, Haryana, Himachal Pradesh and West Bengal as part of the second instalment of the 15th Finance Commission's untied grants for financial year 2025–26, government officials said.
Under this tranche, Bihar has received Rs 802.40 crore benefiting all 38 district panchayats, 533 block panchayats and 8,053 gram panchayats, along with an additional release of Rs 1.39 crore from the withheld portion of the first instalment that has since become eligible, officials on Thursday added.
Similarly, Uttar Pradesh has received Rs 1,559.40 crore for all 75 district panchayats, 826 block panchayats and 57,694 gram panchayats, in addition to Rs 11.016 crore released from the withheld portion that also become eligible.
West Bengal has also been allocated Rs 680.86 crore for eligible 21 district panchayats, 335 block panchayats and 3,225 gram panchayats under the same instalment.
Haryana has been provided Rs 197.627 crore for various panchayats with a further Rs 2.5 crore released to additionally eligible local bodies from the earlier withheld amount.
For Himachal Pradesh, the allocation stands at Rs 68.30 crore supplemented by Rs 0.35 crore released to 26 newly eligible gram panchayats, officials said.
The Union government through the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation) recommends release of 15th Finance Commission grants to states for Panchayati Raj institutions, which are then released by the Ministry of Finance.
The allocated grants are recommended and released in two instalments in a financial year, officials added.
Untied grants may be utilised by Panchayati Raj institutions and rural local bodies to meet location-specific needs under the 29 subjects listed in the Eleventh Schedule, excluding salaries and establishment costs.
Tied grants can be used for the basic services of sanitation and maintenance of ODF (open defecation-free) status, and this should include management and treatment of household waste, and human excreta and faecal sludge management in particular.
These grants can also be used for the supply of drinking water, rainwater harvesting and water recycling.
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