Development works are crippled in Vijayawada Municipal Corporation lim as funds have not been released by the state government as per the norms of Finance Commission.

Besides, the central government is also delaying release of JNNURM funds. As per the Finance Comm-ission recommendations, the VMC has to get Rs.1,276 crore from the state government from 2005-2006 to 2010-11. The government is not releasing these funds. Prof-essional tax dues are Rs.65.40 crore from 2005-2006 to 2010-11 and Motor Vehicle Tax dues are Rs.80.40 crore for the same period. Development works like underground drainage, laying of new roads, construction of bridges, water reservoirs, sewage water treatment plants, etc are going at a snail’s pace. The VMC had started JNNURM 20 projects five years ago with an estimated cost of Rs.1,422 crore. Though the share of the Union government is Rs.989 crore, it released only Rs.571 crore till now. The JNNURM term will conclude in March 2012. The Union government bears 50 per cent share, the state 20 per cent and the remaining 30 per cent by the VMC. The CPM city former floor leader Mr Ch. Babu Rao has said that the VMC has to bear an additional burden of Rs.421 crore as funds were not released and escalation of projects cost.

When this newspaper asked the central MLA Mr Malladi Vishnu about the pending funds, he said he along with the west MLA Mr Velampalli Srinivas are going to Hyderabad to meet the Chief Minister, Mr N. Kiran Kumar Reddy, to request for the release of funds. The VMC spent Rs.60 crore additionally for housing. Municipal commissioner, Mr G. Ravi Babu, said representations have been made for the release of pending funds.