RCB okays budget amid financial woes

Delays in payments of employee salaries, pensions persist


Jamil Mirza May 10, 2024
PHOTO: FILE

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RAWALPINDI:

Amid a severe financial crisis, the Rawalpindi Cantonment Board has finalised a ‘balanced’ budget amounting to Rs6.60 billion for the fiscal year 2024/25. The budget awaits final approval from the Military Lands and Cantonments regional director.

During the budget meeting, a resolution put forth by Member Cantonment Board Haji Zafar Iqbal to condemn the tragedy of May 9 was also endorsed.

Statistics indicate that the income projections include Rs3,220 million from rates and taxes realisation and special acts, Rs22 million from property tax, Rs1,806.71 million from miscellaneous sources of income, and Rs1,065 million from grants and other contributions.

The budget allocation includes Rs3 billion for annual salaries, pensions, and pension contributions, while Rs3 billion is earmarked for development, including Rs250 million for original development, Rs500 million for maintenance and repairs (M&R), and Rs240 million for POL and other expenses.

The budget is being promulgated at a time when the board is facing financial difficulties arising from what officials described as ‘inadequate collection of taxes and arrears’.

The situation has resulted in delayed payments of employee salaries, pensions, and other expenses.

Despite the regular practice of disbursing these funds on the 1st of every month, the payments were not made by May 9, leaving employees and pensioners uncertain about their financial security.

The RCB requires Rs180 million to fulfil its monthly commitments, but the delay in payments has raised concerns about future financial burdens. Cantonment Executive Officer (CEO) Ali Irfan Rizvi has instructed tax sectors to expedite recovery and collect past arrears under a strict zero-tolerance policy.

Daily reports on current demand and recovery in arrears are now required from each revenue recovery sector.

Assistant Secretary Saqib Rasheed assured that salaries and pensions will be distributed within the next three to four days.

According to sources, two to three more pre-budget discussions were held before the budget was presented at a board meeting for approval. The approved budget was then forwarded to the Director of the Military Land and Cantonments Board (ML&C) in the Rawalpindi Region for final approval.

Officials said the financial challenges faced by the RCB highlight the need for efficient revenue collection and management to ensure timely payments to employees and pensioners. The board's efforts to address these issues and finalise the budget are crucial for the well-being of its staff and the community it serves, they said.

Earlier, elected representatives from Rawalpindi and Chaklala Cantonment Boards jointly voiced their apprehensions regarding the unresolved issues citizens face during meetings aimed at directly addressing public concerns.

The representatives have urged competent authorities to institute reforms, citing several pressing issues including water distribution disparities, delayed maintenance of tube wells, inadequate graveyard facilities, tax policies, cleanliness standards, and commercialisation notices.

Published in The Express Tribune May 10th, 2024.

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