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Minutes of evidence taken before the Royal Commission upon Decentralization in Bengal of witnesses serving directly under the Government of India, volume 10 — [London?]: [House of Commons?], 1908

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https://doi.org/10.11588/diglit.68026#0106
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MINUTES OF EVIDENCE :

Mr. L. M.
Jacob.
4 Apr., 1908.

44477*. The Madras Government desire power to
deal with capital expenditure on works for which
no capital and revenue accounts are kept. What
is the nature of the restrictions now imposed, and
can they be relaxed 1—The rule in paragraph 2207,
Public Works Department Code, Volume II., re-
quires that, if for any reason an irrigation project
classed under 43, “ Minor Works -and Navigation,”
of which the estimated capital outlay is over
Rs. 50,000, is considered to be of insufficient im-
portance to justify the maintenance of a capital
account, or if any difficulty be anticipated in
ascertaining the correct revenue, it may, with the
approval of the Government of India, be classed
as a work for which only revenue accounts are
kept, or as a work for which neither capital nor
revenue accounts are kept, as the case may be.
This rule was introduced in November, 1892.
Prior to that date the rule required that capital
and revenue accounts should be maintained only
for important works. The relative ideas of the
term “ important" being so divergent, it was con-
sidered desirable to define what were important
projects for which capital and revenue accounts
should ordinarily (be maintained. For example,
under the old rule Madras maintained capital and
revenue accounts only for works costing more
than Rs. 30,000 ; in Bombay it was found that
there were instances of works costing less than
Rs. 10,000, for which such accounts were main-
tained ; and in Burma the Local Government sub-
mitted a proposal to treat a project costing over
4 lakhs of rupees and the ultimate return on
which was estimated at 10 per cent, on the capital
outlay, as a work for which neither capital nor
revenue accounts need be kept. The money limit

of Rs. 50,000 was therefore introduced merely in
order to define what may be considered to be an
important project. I think, however, there would
be no objection to leaving it entirely to Local
Governments to decide the classification of works
coming under the head “43,” provided the expen-
diture is entirely provincial.
44478*. Would it be desirable to increase the
spending power of the provincial Governments and
the Government of India on individual works
executed out of revenue?—Under existing rules!
Local Governments have power to sanction works
debitable to provincial revenues up to a limit of
10 lakhs or 12J lakhs, including establishment
and tools and plant charges for each individual
project. Projects exceeding this limit require
the approval of the Government of India and the
sanction of the Secretary of State. This limit of
10 lakhs was fixed when the £ was equal to
Rs. 10. Now that the £ equals Rs. 15 it does not
seem unreasonable to suggest that the powers of
the Government of India and the Local Govern-
ments might be raised to 15 lakhs}:, exclusive of
establishment and tools and plant charges, for
Imperial and provincial works, respectively.
44478a*. Might other provincial Governments
have the same power as Madras and Bombay now
possess in regard to the sanctioning of Imperial
works which have been administratively approved 1
■—As regards Imperial works, the powers of the
Government of India and of the Local Govern-
ments are shown in the table below. The powers
of the major Local Governments and of the Chief
Commissioner, Central Provinces, might be raised
as shown in columns 4 and 5 : —

Existing powers.

Proposed powers.

Government of India .
Madras and Bombay
Bengal, Eastern Bengal and Assam, United
Provinces, Punjab, Burma.
Central Provinces .
Coorg, Hyderabad, Rajputana and Central
India.
Director-General of Military Works.
Superintendent, Port Blair .
Works.
Establishment and
Tools and Plant.
Works.
Establishment and
Tools and Plant.
10,00,000
2,00.000
50,000
20,000
20,000
50,000
5,000
12,50,000
2,50,000
62,500
25,000
25,000
62,500
6,250
2,00,000
1,20,000
■>May remain a
2,50,000
1,50,000
s at present.

As regards Coorg, Hyderabad, Rajputana and
Central India, the engineering establishments in
these provinces being very small no increase of
powers seems desirable. No increase in the
powers of the Director-General, Military Works,
appears to be necessary. As to the Superinten-
dent, Port Blair, the Andamans are under the
direct administration of the Home Department,
and any proposal with regard to raising the
Superintendent’s powers would have to be referred
to that Department. There is, however, only an
Executive Engineer to advise the Superintendent,
and the powers seem sufficient.
44479*. Are there cases in which the Provincial
Governments have to send up estimates for the
approval of the Government of India in regard to
works which they can sanction financially? If
so, can such restrictions be removed or dimin-
ished?—Yes; *in the case of expenditure on
Government Houses beyond Rs. 15,000, and in the
case of Circuit Houses beyond Rs. 30,000. The
Government of India have also restricted the
powers of the Chief Commissioner, North-West
Frontier Province, in the matter of sanctioning
expenditure on the metalling of roads, even
though the amount may be within his powers of
sanction, by prohibiting him from sanctioning the
metalling o-f any road, except Where it is over a
bridge, without the previous approval of the
Government of India. The reasons for this
restriction are special, I believe, and apply only
to this province.
44480*. Has the sanction of the Government of
India to be obtained for leave to enter into con-
* Vide Questions 44482.

tracts for the execution of works as apart from
the sanction of estimates ? If so, is this neces-
sary?-—Yes, as under the rule in paragraph 900 of
the Public Works Department Code, as amended
by Standing Order No. 255, dated the 27th Sep-
tember, 1907, a Chief Engineer personally, or a
Secretary to a Local Government on behalf of a
Local Government, can accept tenders for the
execution of any sanctioned work only up to the
limits within which the Local Government can
sanction estimates for works. I do not think
there is any objection to permitting Local Govern-
ments and Administrations to accept tenders for
works up to any amount, provided the estimate
sanctioned for the work by competent authority is
not exceeded.
44481*. -Could the present restrictions on pro-
vincial Governments in respect of the construction
of houses for Government officers be relaxed?—
Under existing rules the sanction of the Govern-
ment of India is required-
(i.) In the case of Imperial buildings-
(a) If the cost exceeds Rs. 2,500 and if
the 8 per cent, limit of salary is ex-
ceeded, the Local Government being
competent to sanction buildings cost-
ing less than Rs. 2,500 irrespective of
limit of salary.
(&) If the cost exceeds Rs. 10,000 in any
case.

+ The Government of India have similar powers in
respect of Imperial works.
} The Government of Burma recommends this.
 
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