Demand for Grant
|
Capital & Other
Works Expenditure |
16 |
Assets - Acquisition, Construction
and Replacement |
PROCEDURE FOR COMPILATION OF DETAILED DEMANDS FOR GRANTS
1. The Demand for Grants are presented to Parliament at two levels. The Main Demands for Grants are presented to Parliament by the Ministry of Finance along with the Annual Financial Statement while the Detailed Demands for Grants are laid on the Table of the Lok Sabha by the concerned Ministries a few days in advance of the discussion of the respective Ministries Demands in that House. Both the Main Demands for Grants as also the Detailed Demands for Grants comprise three parts each, viz.- Part - I shows the Service for which the Demand (or Appropriation) is intended and the estimates of the gross amount, separately for Voted and Charged Expenditure, under Revenue and Capital (including Loan) sections required in the ensuing year in respect of that Service. Part - II shows break up of the estimates separately. In the Main Demands for Grants, the break up is exhibited up to the level of Major Heads of Account which correspond to functions of the Government. In the Detailed Demands for Grants the break up in respect of activities/schemes/organization up to the object head level is given. The Detailed Demands for Grants also exhibit actuals of the previous year in Part - II. Both in the Main Demands for Grants as well as in the Detailed Demands for Grants, the details of recoveries taken in reduction of expenditure provided for in the Demand or Appropriation are also depicted.
2. All Detailed Demands for Grants of a Ministry / Department are consolidated in a single volume and presented to Lok Sabha by the concerned Ministry / Department. The Detailed Demands show ‘actual expenditure’ as per accounts in the previous year, Budget and Revised Estimates for the current years and Budget Estimates for the ensuing year. (i) The process of compilation should start in July / August with the preparation of a manuscript skeleton. Manuscript skeletons of Detailed Demands for the ensuing year should be prepared by using the printed Detailed Demands for the current year by making necessary alterations therein. New sub-heads sanctioned by the Ministry of Finance, if any, and those expected to be required should also be added in the manuscript at appropriate places. The manuscript should then be sent to the designated press for a proof. Where necessary, a second proof may be obtained. The printed skeletons should be available with the Ministries/ Departments preferably by the 15th October each year. (ii) Two copies of the Demand skeleton may then be sent to the Principal Accounts Officer, as the case may be, for filling the ‘Actuals’ column for the previous year and to return one copy duly filled in. (iii) In the master copy of the Demand, the Ministry / Department will then post (1) the figures of actuals as reported by the Principal Accounts Officer / Accountant-General; (2) Revised Estimates for the current year and the Budget Estimates for the ensuing year from the office copy of the SBEs /Demands for Grants sent to Ministry of Finance. While posting these entries, care should be taken to ensure that – (a) “Charged” items are shown in italics and are not mixed up with “Voted” provisions; (b) posting is done accurately against the proper item / head of account including “recoveries”, if any, taken as reduction of expenditure; (c) new items are inserted at the proper place under the relevant minor head; (d) totals of sub-heads, minor heads, major heads, etc., are correctly worked out and posted; that totals of Revenue section and Capital section as well as the grand totals are correct and show “Charged” and “Voted” figures distinctly; and (e) new sub-head (opened through Supplementary Demands) or otherwise or any change in the numbering and nomenclature sanctioned by the Budget Division since the proof of the skeleton should also be incorporated in the Master Copy NOTE :–A sub-head should appear in the Demand only when there is provision thereunder, either in the current year(Budget or Revised) or the ensuing year. Wherever only actuals of the previous year pertaining to a sub-head are to be exhibited, this should be done by inserting suitable footnote on the relevant page. (iv) The process of compilation and printing of the Demands should be undertaken in stages.
3. The first proof of individual Demands may be obtained after posting actuals of previous year and other than Scheme estimates (by 15th December). The second proof may be similarly obtained (by 15th January) after ”Scheme” Revised estimates are posted in the first proof. As soon as “Scheme ”provisions for the ensuing year are finalized and communicated by the Ministry of Finance, they should be posted in the second proof. Before obtaining the third proof, the following material may also be added.
(A) Main Demands for Grants : (i) Notes on the Demands for Grants highlighting the following :- (a) The objectives of the concerned Ministry / Department, how the programmes undertaken or contemplated contribute towards attainment of such objectives and the agencies entrusted with the execution of such programmes; (b) Details of important provisions included in Demands for Grants with particular emphasis on Scheme provisions and new items of expenditure; (c) Cogent reasons for significant variations between the Budget Estimates and Revised Estimates for the current year and between the Revised Estimates, for the current year and the Budget Estimates for the ensuing year; (d) Provisions for subsidy in lieu of interest on loans by the Government or token provisions for concessional rate of interest along with number of likely cases involved and financial implications, if determinable; and (e) Complete details of the estimated cost of a project together with its economics and financial implications (whenever these estimates are revised and the cost of escalation exceeds 20 per cent of the sanctioned cost or Rs. 3 crores, whichever is more, full reasons therefor and the effect thereof on the economics of the projects should also be included in the Notes on Demands). (ii) A statement giving details of provisions in the Budget which attract limitations of “New Service”/”New Instrument of Service”.
(B) Detailed Demands for Grants : The Detailed Demands for Grants will be accompanied by the following schedules/ statements:- (i) Schedule showing the estimated strength of establishment and provision therefor. (ii) Statement showing project-wise provision for expenditure on externally aided projects in the Central Schemes. (iii) Schedule showing provision for payment of grants in aid to non-Government bodies. (iv) Statement showing details of individual works and projects costing Rs. 5 crore or above. (v) Statement showing revised cost estimates of projects of public sector enterprises and departmental undertakings. (vi) Statement showing transfer or gift of Government properties of value exceeding Rs. 5 lakhs to nonGovernment bodies. (vii) Statement showing contributions to International bodies. This statement will include only items of contribution, membership fees to international bodies, which constitute revenue expenditure. Subscriptions to international bodies, which represent investments and are accounted for in the Capital section, are to be excluded from it.
viii)Statement showing guarantees given by the Central Government and outstanding as on 31st March of the preceding year. (ix) Statement showing grants-in-aid exceeding Rs. 5 lakhs (recurring ) or Rs. 10 lakhs (non-recurring) actually sanctioned to private institutions/organizations/ individuals.
4. In addition the Detailed Demands for Grants will also include where necessary, “Notes on Important Projects and Schemes”, e.g., where the Ministry / Department do not bring out performance Budgets.
5. The third proof on receipt from the press should be thoroughly checked for accuracy of all estimates and other data, as these must necessarily conform with the main Demands for Grants. Therefore for obtaining page proof, all pages should be serially numbered and table of contents prepared. The page proof received from the Press should be fully scrutinized.
6. A sample printed copy of the Demands should be scrutinized on receipt from Press and where necessary an errata may be prepared, got printed and pasted by the Press in individual copies of the Printed Demands.
7. The Demands of smaller Departments like Lok Sabha, Rajya Sabha, Department of Parliamentary Affairs, Staff, Household and Allowances of the President, Secretariat of the Vice-President and Union Public Service Commission which are clubbed in a single volume are to be prepared and presented by the Ministry of Finance.
