City Corporate & Business Plan - Municipal

SEPTEMBER 2 0 0 9 

S S T A G E ññ IV 

C L U S S T T E E R R ññ VV 

Submitted by: 

Tamil Nadu Urban Infrastructure 

Financial Services Limited (TNUIFSL) 

Final Report 

for 

City Corporate cum Business Plan 

for 

Ambur Town 

(Vellore District) 

Voyants Solutions Pvt. Ltd 

Level ñ 4, ìDiamond Duneî 

323, P.H. Road, Chennai ñ 600 029 

Tele: 044 4269 8584 Fax: 044 2668 1180 

E-mail: vsplchennai@voyants.in

Final Report City Corporate Cum Business Plan 

EXECUTIVE SUMMARY ñ AMBUR MUNICIPALITY 

1. CITY CORPORATE CUM BUSINESS PLAN ñ CONTEXT and CONTENT 

The Tamil Nadu Urban Infrastructure Financial Services (TNUIFSL) aims to assist 

municipality in strengthening and improving its financial position for effective capital 

investment management and urban service delivery. The CMA and TNUIFSL have 

initiated the process of preparing the CCCBP for the municipality to enhance the vision 

of stakeholders in the growth of the town. The objective of this study is 

1. To assess the present status of infrastructure facilities available in the ULB and to 

suggest a comprehensive infrastructure plan with capital investment plan to meet 

the future needs. 

2. To outline issues in revenue realization in the ULB and suggest measures for 

revenue enhancement & financial improvement in the ULB 

3. In consultations with Stake holders and Council, suggest Action Plan and FOP to 

implement the infrastructure plan. 

2. SWOT and VISION 

Ambur, is a Selection Grade municipality, located on the Chennai-Bengaluru National 

Highway in Vellore district at a distance of 200 km from Chennai. The town is situated on 

the banks of Palar River. The population of Ambur Municipality is 99,624(Census 2001) 

and the area is 17.97 sq.km. Ambur municipality is geographically located at 

12 48'0"N Latitude 78 43'11"E longitude. The town is at an average elevation of 316 m 

(1036 ft) above MSL. 

Copious Palar water and policy decisions of the Govt. have made Ambur a leading 

exporter of finished and unfinished leather products in India. It is known as the ìLeather 

City of Tamil Nadu." 

A town level SWOT analysis, with reference to its regional context has been done based 

on feedback from stakeholder workshops and analysis of the status of various sectors of 

the city.

SWOT Analysis for Ambur Municipality 

Strength Weakness 

Leather city - Major industrial center and 

marketing center for leather products 

Well established society for sustainable industrial 

development- AEDOL , AMBURTEC etc 

Discharge of untreated effluents into the 

agriculture fields ,nearby areas and river Palar 

due to non-compliance / intermittent usage of 

CETPs 

Frequent oppositions form Welfare societies and 

consumer forums highlighting pollution due to 

tanneries. 

Traffic congestion due to encroachments on 

road and Absence of traffic management 

measures 

Establishment and maintenance of ETPS with the 

co-operation of business houses. 

Continuous monitoring & advice from premier 

institutes like Central Leather Research Institute 

(CLRI), National Environment Engineering Non - availability of green and affordable 

Research Institute (NEERI) and UNIDO. 

technology, with minimized usage of water. 

Availability of skilled and semi-skilled man power Inadequate financial strength of Municipality to 

in the town and hinterland 

take up major infrastructure projects. 

Famous cuisine influenced by the Nawab of High maintenance methodologies for existing 

Arcots ñ a marketable opportunity for the region . CETPs. 

Opportunities Threat 

Employment opportunities due to the presence of 

mills and small scale industrial establishments 

Most tanneries covered under the network of 

CETPs . 

Development of export and marketing centers 

and Establishment of Leather SEZs in the region 

TWIC- AEDOL ñ Pioneering initiatives in waste 

water recycle and reuse for tanneries 

Central Government subsidises and grants for the 

establishment of CETPs and allied facilities. 

Availability of land for future development 

Source: Feedback from stakeholders meeting and analysis. 

Degradation of environment - Palar River & 

agricultural lands upto 1500 ha due to 

discharge of untreated effluents 

Threats from Judicial authorities such as Green 

Bench for non-compliance of Environmental 

regulations 

Use of highly toxic and indisposable chemicals 

such as hexavalent chromium, trivalent 

chromium, etc in tanning processes 

Inadequate service delivery in the slums and 

poor living conditions. 

Inter-Regional Competitions for Economic 

Space 

The vision for the Ambur town is proposed as î A vibrant regional industrial hub on the 

Corridor of Excellence providing good infrastructure facilities to its citizens to promote an 

inclusive and sustainable developmentî. 

Supporting this vision is a set of development objectives, defined along various sectors of 

infrastructure. It covers the current status, issues in the sector, likely future demand, 

strategies for improvement and identified projects to meet these objectives. The sectors 

covered in the report for Ambur include water supply, sewerage and sanitation, solid 

waste management, storm water drains, street lights, slum improvement and other 

remunerative and social projects.

3. CITY INVESTMENT PLAN 

The summary of sector-wise investment requirements and prioritisation is given in the 

following table. The total investment required would be over Rs. 22167.00 lakhs. 

Capital Investment Needs forAmbur 

S.N Projects 

Estimated cost in 

lakhs 

1 Water supply 13667.00 

Mettur CWSS 11436.00 

Water supply improvement scheme 2231.00 

2 Sewerage 3950.00 

3 Storm water drain 684.00 

4 Solid Waste Management 847.00 

5 Traffic and transportation 268.00 

Road improvement 256.00 

Bus stand Improvement 12.00 

6 Street light 111.00 

7 Slum 2272.00 

8 Education 25.70 

9 Medicare 54.30 

10 Parks and open spaces 11.00 

11 Market 3.00 

12 Shopping Complex 100.00 

Shopping complex at V.A.Kareem OHT 36.80 

Shopping Complex at ESI hospital 63.20 

13 Slaughter House 36.00 

14 Burial ground 73.00 

15 E-Governance 18.00 

16 GIS Mapping for Comprehensive Property Database 37.00 

17 Mobile tax collection vehicle 10.00 

Total 22167.00 

4. FINANCIAL PERFORMANCE OF AMBUR MUNICIPALITY 

The summary of the financial status of Ambur municipality is as follows: 

It is observed that the Municipality has shown deficit in 4 out of the last 6 years. 

Prior to depreciation also the Municipality has shown deficit in 4 out of last 6 years. 

The Municipality needs to undertake lot of fiscal reforms and full leverage of its 

assets over the next few years to improve its financial strength. 

The average current collection efficiency of the municipality is very poor, with 50% 

efficiency in property tax, 75% efficiency in profession tax and 10% efficiency in 

water charges. The arrears collection performance is also poor. 

The broad financial analysis of the Ambur Municipality finances reveal that the 

Municipality has further scope for increasing its own sources of income and 

collection efficiency for servicing the additional borrowings in the future. 

The municipality also has very high borrowings at Rs. 331 lacs and is fully 

leveraged. The municipality can resort to further borrowings for new project 

identified only based on the additional income to be generated.

To summarise, the overall income pattern of the Ambur Municipality indicates more 

negative features than positive features. The positive trends are on the income side, 

where the Municipality has higher growth rate in income than growth in expenditure. 

5. PROPOSED REFORMS 

The proposed mandatory municipal reforms are broadly classified under the heads of: 

a. Reforms in resource mobilization 

i. Reforms in Taxation 

Property mapping - Onetime assessment of all unassessed and under assessed 

properties. 

Regular and periodic increment of property tax at the rate of 15% every 5 

years 

ii. Improving revenue from user charges 

The Municipal council may assume charge of increase in water charges, to 

recover full O&M Cost of water supply and UGSS. 

Increase in the connections to at least 85% of total assessments. 

Pre-mobilization of deposits for the proposed WS or UGSS project 

Implementation of Conservancy fee for SWM for hotels, marriage halls, 

industries and other commercial establishments 

Revenue Generation from sale of compost and scrap. 

iii. Reforms in Energy and Resource efficiency 

Conducting energy audits, leak detection studies, Enforce regulations on 

illegal tapping of water, Fixing flow control valves and meters. 

Provision of energy saving lights and equipments, Privatizing the maintenance 

of street lights to ESCO companies. 

iv. Formation of new sustainable revenue sources 

The remunerative proposals idenfied are 

Construction of shopping complex at V.A.Kareem OHT (14 shops) 

Construction of shopping complex at ESI Hospital (40 shops) 

Construction of new slaughter house with waste treatment facilities. 

v. Reforms in Audit and Accounting 

Timely auditing of accounts - August 30 th of next fiscal year 

Appointing a private Chartered Accountant as consultant 

Publishing audited statement in municipal website - September 30 th of next 

fiscal year 

vi. Regular and mandatory capacity buildings sessions for elected representatives 

& municipal officials

6. BORROWING AND INVESTMENT CAPACITY 

The borrowing and investment capacities of the town are arrived considering the 

revenue income and expenditure under the sustainable scenario, after implementation 

of the mandatory reforms proposed in this report. 

The investment capacity for the sustainable scenario assuming entire capital and O&M 

of Mettur CWSS is as grant, the following is summed up as below: 

Description 

Summary of Borrowing and Investment Capacity 

Base case 

Scenario 1 

Sustainable 

Scenario 2 

Sustainable 

Scenario 3 

No project With Mettur Without Mettur 

Borrowing Capacity Rs.1024.76 lacs -ve Rs. 46.61 lacs 

Investment Capacity Rs.4099.05 lacs -ve Rs. 1165.16 lacs 

Investment Requirement - Rs. 22167.00 lacs Rs. 22167.00 lacs 

Sustainable Investment 

Capacity % - IC / IR 

- -ve -ve 

The investment capacity of Ambur Municipality on ëAs is Where Basisí works out to 

Rs. 4099 lacs. 

The investment capacity of Ambur Municipality works to Nil in case of Scenario II 

(With Mettur CWSS project) and Nil in case of Scenario III (Without Mettur CWSS 

project). 

Thus it can be inferred that Ambur Municipalityís financial position is weak and is 

not in a position to undertake major projects like water supply improvements and 

underground Sewerage system by way of borrowings on account of high 

operation & maintenance expenses and interest cost. 

Based on the above, it can be concluded that the Municipality based on its 

financial position can undertake only smaller projects identified in the CCP as 

given below : 

Projects Identified for Implementation based on financial position 

S.N. Particulars Total Priority 

Means of 

Finance 

A Physical Infrastructure Facilities L : G : O 

I Water Supply 

a) 

Improvements to Water Supply & Water 

Treatment 1591.00 A 60:30:10 

V Roads 

a) BT & CC Roads - Improvements 136.00 A&B 60:30:10 

b) BT & CC Roads - New Roads 120.00 C 60:30:10 

VI Bus Stand 

a) Bus stand Improvement 12.00 B 0:50:50 

VII Street Lights 

a) Proposed new lights 91.00 B 100% ULB 

Yr 1 Yr 2 Yr 3 Yr 4 Yr 5

Retrofitting existing lights & energy 

b) saving devices 20.00 A ESCO 

VIII Market 

a) Improvements to Weekly market 3.00 A 100% ULB 

IX Shopping Complex 

a) Shopping Complex at V A Kareem OHT 36.80 A 90:00:10 

b) Shopping Complex at ESI Hospital 63.20 A 90:00:10 

B Social Infrastructure Facilities 

II Education 

a) Improvements to Schools 25.70 A 100% ULB 

III Parks & Playgrounds 

a) Improvement of parks 11.00 B 100% ULB 

IV Burial Ground / Crematorium 

a) Burial Ground with Gasifier (at Kapsa) 59.00 A 0:50:50 

b) 

Burial Ground improvement at 

Sanrorkuppam 14.00 B 0:90:10 

V Maternity Centre 

a) Improvement to maternity centre 54.30 A 0:50:50 

VI Slaughter House 

a) 

Improvement of Slaughter House 

(Treatment Plant) 8.00 B 0:50:50 

b) New Beef Slaughter House 28.00 C 0:50:50 

C Other Projects 

I Vehicles 

a) Mobile tax collection van 10.00 A 100% ULB 

II E-Governance 

a) E-Governance 18.00 C 100% Grant 

III 

GIS Mapping for Comprehensive 

Property Database 

a) Property Mapping 7.00 A 0:90:10 

b) GIS database 30.00 C 0:90:10 

Total 2338.00 

As regards major projects like underground sewerage scheme, storm water drains, 

solid waste management, roads, improvement to slums etc., the Municipality can 

undertake these projects with minimum or Nil borrowings and more support from 

the Government towards capital cost. 

Metur CWSS project can be taken up by the Municipality only if both capital cost 

and operation & maintenance expenses is supported by the Government. 

Since the town does not have the borrowing capacity to take up the proposed 

UGSS and Mettur CWSS, it is suggested that remunerative projects and PPP 

projects be taken up initially. The state Government needs to extend support to 

Ambur Municipality to take up the proposed UGSS and WS schemes. After the 

implementation of the proposed mandatory reforms and improving the 

Municipalityí s own revenue sources, the other projects could be taken up.

TTAABBLLEE OFF CCONTTEENTTSS 

Final Report: Ambur Municipality 

11 

1.1. 

BBAACCKKGRROUND AAND MEETTHODOLLOGIICCAALL FFRRAAMEEWORRK OFF TTHEE SSTTUDYY .. . .. ... .. ... .. .. ... .. ... .. .. 1111 

BACKGROUND ............................................................................................................................... 11 

1.2. OBJECTIVES .................................................................................................................................... 11 

1.3. SCOPE OF WORK ............................................................................................................................ 11 

1.4. STAGE III: DRAFT FINAL STAGE ................................................................................................ 13 

1.5. PRESENTATION AND DISCUSSION WITH REVIEW COMMITTEE ....................................... 13 

1.6. DISCUSSION WITH STAKEHOLDERS ........................................................................................ 15 

22 

2.1 

TTOWN PPRROFFIILLEE .. . ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 1166 

AMBUR . . . TOWN PROFILE .......................................................................................................... 16 

2.2 REGIONAL CONNECTIVITY .......................................................................................................... 16 

2.3 HISTORY OF THE MUNICIPALITY .................................................................................................. 16 

2.4 POPULATION CHARACTERISTICS ............................................................................................... 17 

2.4.1 POPULATION DISTRIBUTION .................................................................................................................. 17 

2.4.2 POPULATION GROWTH ........................................................................................................................ 18 

2.4.3 POPULATION PROJECTIONS ................................................................................................................. 18 

2.4.4 POPULATION DENSITY .......................................................................................................................... 18 

2.4.5 SEX RATIO ........................................................................................................................................... 19 

2.4.6 LITERACY ............................................................................................................................................. 19 

33 

3.1 

EECCONOMIICC DEEVVEELLOOPPMEENTT AAND PPHYYSSIICCAALL PPLLAANNIING ... . .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 2200 

URBAN ECONOMIC DEVELOPMENT ......................................................................................... 20 

3.1.1 OCCUPATIONAL PATTERN ................................................................................................................... 20 

3.2 PHYSICAL PLANNING .................................................................................................................... 21 

3.2.1 PHYSICAL GROWTH TREND .................................................................................................................. 21 

3.2.2 LAND USE ANALYSIS ............................................................................................................................ 22 

3.2.3 LAND RATES ......................................................................................................................................... 23 

3.3 GROWTH MANAGEMENT ISSUES ............................................................................................... 23 

44 

4.1 

SSTTAAKEEHOLLDEERRSS CCONSSULLTTAATTIIONSS ... . .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 2244 

CITY OPINION SURVEY .................................................................................................................. 24 

4.2 KEY ISSUES HIGHLIGHTED IN THE CONSULTATION MEETING ................................................ 24 

4.2.1 SECTOR PRIORITISATION ...................................................................................................................... 25 

A. PHYSICAL INFRASTRUCTURE PRIORITY ................................................................................................... 25 

B. SOCIAL INFRASTRUCTURE PRIORITY: ...................................................................................................... 26 

C. ENVIRONMENTAL ISSUES ...................................................................................................................... 27 

55 

5.1 

VVIISSI IOON AAND SSTTRRAATTEEGIICC PPLLAAN .. . .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 2288 

TOWN LEVEL SWOT........................................................................................................................ 28 

5.2 VISION FORMULATION ................................................................................................................. 29 

5.3 STRATEGY OPTION FOR ECONOMIC DEVELOPMENT ........................................................... 30 

5.4 ROTECTION OF PALAR RIVER BASIN ......................................................................................... 33 

66 HOUSSIING AAND SSLLUMSS .. . .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 3366 

6.1 EXISTING HOUSING SCENARIO ................................................................................................... 36 

6.1.1 HOUSING CONDITION ......................................................................................................................... 36 

6.1.2 HOUSING STOCK ................................................................................................................................. 36 

6.1.3 EXISTING HOUSING DEMAND- SUPPLY GAP ........................................................................................ 37 

6.2 EXISTING SLUM SCENARIO ........................................................................................................... 37 

6.2.1 SLUM POPULATION .............................................................................................................................. 37 

6.2.2 SLUM IMPROVEMENT PROGRAMMES ................................................................................................... 40 

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6.3 ISSUES ................................................................................................................................................ 40 

6.4 PROPOSAL ...................................................................................................................................... 40 

6.5 SWOT ANALYSIS ............................................................................................................................. 40 

6.6 CONCLUSION ................................................................................................................................. 41 

77 IINSSTTIITTUTTIIONAALL FFRRAAMEEWORRK .. . .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 4422 

7.1 ELECTED COUNCIL ........................................................................................................................ 42 

7.2 EXECUTIVE WING ........................................................................................................................... 43 

7.2.1 GENERAL ADMINISTRATION ................................................................................................................. 43 

7.2.2 HEALTH SECTION ................................................................................................................................. 44 

7.2.3 ENGINEERING SECTION ....................................................................................................................... 44 

7.2.4 TOWN PLANNING SECTION.................................................................................................................. 44 

7.2.5 ACCOUNTS SECTION ........................................................................................................................... 44 

7.3 CITIZENíS CHARTER ........................................................................................................................ 45 

7.4 INFORMATION CENTRE ................................................................................................................ 45 

7.5 STAFF STRENGTH POSITION AND VACANCY POSITION ........................................................ 45 

7.6 ADDITIONAL STAFF REQUIREMENT: ............................................................................................ 46 

7.7 INSTITUTIONAL FRAMEWORK FOR SERVICE DELIVERY ........................................................... 47 

7.8 ORGANIZATION MANAGEMENT ................................................................................................ 48 

88 

8.1 

URRBBAAN IINFFRRAASSTTRRUCCTTURREE AAND SSEERRVVIICCEESS .. . ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 4499 

WATER SUPPLY ................................................................................................................................ 49 

8.1.1 EXISTING SCENARIO FOR WATER SUPPLY ............................................................................................. 49 

8.1.2 SOURCES ............................................................................................................................................. 50 

8.1.3 STORAGE AND DISTRIBUTION NETWORK ............................................................................................... 53 

8.1.4 DEMAND SUPPLY SCENARIO ............................................................................................................... 55 

8.1.5 PERFORMANCE INDICATORS ............................................................................................................... 56 

8.1.6 ISSUES IN WATER SUPPLY SECTOR ......................................................................................................... 56 

8.1.7 PROPOSALS ......................................................................................................................................... 57 

8.2 SEWERAGE AND SANITATION ..................................................................................................... 57 

8.2.1 EXISTING SEWERAGE ............................................................................................................................ 57 

8.2.2 SANITATION ......................................................................................................................................... 57 

8.2.3 ISSUES IN SANITATION SECTOR.............................................................................................................. 58 

8.2.4 PROPOSALS BY THE MUNICIPALITY / TWAD BOARD ............................................................................ 58 

8.3 STORM WATER DRAINAGE .......................................................................................................... 59 

8.3.1 EXISTING CONDITION OF STORM WATER DRAINAGE ........................................................................... 59 

8.3.2 HOUSEHOLD CONNECTIVITY TO DRAINAGE ......................................................................................... 60 


8.3.4 ISSUES IN DRAINAGE SECTOR ............................................................................................................... 61 

8.3.5 PROPOSALS ......................................................................................................................................... 61 

8.4 SOLID WASTE MANAGEMENT ..................................................................................................... 61 

8.4.1 GENERATION OF SOLID WASTE ............................................................................................................ 61 

8.4.2 COLLECTION OF SOLID WASTE ............................................................................................................ 62 

8.4.3 TRANSPORTATION FACILITIES ................................................................................................................ 63 

8.4.4 DISPOSAL OF SOLID WASTE ................................................................................................................. 64 


8.4.6 ISSUES IN SOLID WASTE MANAGEMENT SECTOR................................................................................... 65 

8.4.7 PROPOSAL ........................................................................................................................................... 65 

8.5 STREET LIGHTING ............................................................................................................................ 65 


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8.5.1 STATUS OF STREET LIGHTING ................................................................................................................. 65 


8.5.3 ISSUES .................................................................................................................................................. 67 

8.5.4 PROPOSALS ......................................................................................................................................... 67 

8.6 TRAFFIC AND TRANSPORTATION ............................................................................................... 68 

8.6.1 REGIONAL LINKAGES- ROADS, RAILWAYS AND AIRWAYS .................................................................... 68 

8.6.2 TOWN LEVEL ROAD NETWORK AND HIERARCHY .................................................................................. 68 

8.6.3 NATIONAL AND STATE HIGHWAY ......................................................................................................... 68 

8.6.4 MUNICIPAL ROADS ............................................................................................................................. 68 

8.6.5 PARKING ............................................................................................................................................. 69 

8.6.6 PUBLIC TRANSPORT SYSTEM ................................................................................................................. 69 

8.6.7 ISSUES IN TRAFFIC AND TRANSPORTATION SECTOR ............................................................................... 69 

8.6.8 PROPOSAL FOR ROAD ........................................................................................................................ 70 

8.7 SOCIAL INFRASTRUCTURE FACILITIES ........................................................................................ 70 

8.8 EDUCATIONAL FACILITIES ............................................................................................................ 70 

8.8.1 EXISTING SCENARIO IN EDUCATIONAL FACILITIES ................................................................................. 71 

8.8.2 ISSUES IN EDUCATIONAL SECTOR ......................................................................................................... 71 

8.8.3 PROPOSAL .......................................................................................................................................... 72 

8.9 HEALTH FACILITIES .......................................................................................................................... 72 

8.9.1 ISSUES .................................................................................................................................................. 72 

8.9.2 PROPOSAL ...................................................................................................................................... 73 

8.10 PARKS ............................................................................................................................................... 73 

8.10.1 ISSUES ................................................................................................................................................ 73 

8.10.2 PROPOSAL ...................................................................................................................................... 73 

8.11 MARKETS .......................................................................................................................................... 73 

8.11.1 ISSUES ................................................................................................................................................ 73 

8.12 SLAUGHTER HOUSE........................................................................................................................ 73 

8.12.1 ISSUES ................................................................................................................................................ 73 

8.13 BURIAL GROUND ........................................................................................................................... 73 

8.13.1 ISSUES ................................................................................................................................................ 74 

99 

9.1 

MUNI ICCIIPPAALL FFIINAANCCEE ... . .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 7755 

INTRODUCTION TO URBAN LOCAL BODY FINANCIALS: ...................................................... 75 

9.2 GENERAL DETAILS .......................................................................................................................... 75 

9.3 RECEIPTS .......................................................................................................................................... 75 

9.3.1 PROPERTY TAX ..................................................................................................................................... 75 

9.3.2 PROFESSION TAX ................................................................................................................................. 77 

9.3.3 ASSIGNED REVENUES ........................................................................................................................... 78 

9.3.4 REVENUE DEVOLUTION FUNDS IN AID OF REVENUE EXPENDITURE .......................................................... 78 

9.3.5 WATER CHARGES ............................................................................................................................... 79 

9.3.6 DRAINAGE CHARGES.......................................................................................................................... 80 

9.3.7 SERVICE CHARGES & FEES .................................................................................................................. 81 

9.3.8 INCOME FROM PROPERTIES & OTHER INCOME .................................................................................... 81 

9.4 EXPENDITURE ................................................................................................................................... 82 

9.4.1 ESTABLISHMENT EXPENSES .................................................................................................................... 82 

9.4.2 O&M EXPENSES ñ WATER SUPPLY ...................................................................................................... 82 

9.4.3 O&M EXPENSES ñ STREET LIGHTS & OTHERS ....................................................................................... 83 

9.4.4 ADMINISTRATION & OTHER EXPENSES .................................................................................................. 84 


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9.5 SUMMARY OF FINANCES ............................................................................................................. 84 

9.6 KEY FINANCIAL INDICATORS .................................................................................................... 88 

9.6.1 RESOURCE MOBILISATION INDICATORS ................................................................................................ 88 

9.6.2 FUND APPLICATION INDICATORS ......................................................................................................... 88 

9.6.3 LIABILITY MANAGEMENT INDICATORS .................................................................................................. 89 

9.6.4 OVERALL FINANCIAL PERFORMANCE INDICATORS .............................................................................. 89 

9.6.5 EFFICIENCY INDICATORS ...................................................................................................................... 90 

9.7 MEASURES TO BE TAKEN FOR IMPROVING COLLECTION EFFICIENCY ............................. 90 

1100 CCAAPPIITTAALL IINVVEESSTTMEENTT NEEEEDDSS FFORR IIDEENTTIIFFIIEED PPRROJJEECCTTSS ... . .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. 9933 

10.1 PHYSICAL INFRASTRUCTURE - IMPROVEMENT NEEDS ........................................................... 94 

10.1.1 WATER SUPPLY: ................................................................................................................................... 94 

10.1.2 SEWERAGE SYSTEM .............................................................................................................................. 98 

10.1.3 DRAINAGE .......................................................................................................................................... 98 

10.1.4 SOLID WASTE MANAGEMENT .............................................................................................................. 99 

10.1.5 STREET LIGHT...................................................................................................................................... 101 

10.1.6 ROADS AND TRANSPORTATION .......................................................................................................... 102 

10.1.7 EDUCATIONAL INSTITUTIONS ............................................................................................................... 102 

10.1.8 HEALTH FACILITIES.............................................................................................................................. 103 

10.1.9 PARKS AND PLAY GROUND .............................................................................................................. 103 

10.1.10 MARKET DEVELOPMENT .................................................................................................................... 104 

10.1.11 SLAUGHTER HOUSE DEVELOPMENT .................................................................................................... 105 

10.1.12 BURIAL GROUND DEVELOPMENT ....................................................................................................... 105 

10.1.13 SLUM IMPROVEMENT ......................................................................................................................... 106 

10.1.14 SYSTEM IMPROVEMENT AND E-GOVERNANCE ................................................................................... 107 

10.2 OTHER DEPARTMENTAL WORKS ....................................................................................................... 108 

1111 

11.1 

RRIISSKK AAND MIITTIIGAATTIION MEEAASSURREESS .. . ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... . 111100 

PROJECT RISKS AND MITIGATE MEASURES ............................................................................ 110 

1122 

12.1 

RREEFFORRMSS AAND AACCTTIION PPLLAAN .. . ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... . 111144 

PRESENT SCENARIO IN URBAN REFORMS .............................................................................. 114 

12.2 PROPOSED INTERVENTIONS AT STATE LEVEL ......................................................................... 115 

12.3 PROPOSED INTERVENTION AT MUNICIPAL LEVEL ................................................................ 118 

12.4 STRATEGIES FOR ENVIRONMENTAL IMPROVEMENT ............................................................ 118 

12.5 REFORMS IN RESOURCE MOBILISATION ................................................................................. 119 

12.6 ACTION PLAN: IMPROVING REVENUE FROM OWN SOURCES ........................................ 119 

12.2 ROAD MAP - IMPROVING REVENUE FROM OWN SOURCES ................................................................ 121 

12.7 ACTION PLAN : IMPROVING REVENUE FROM USER CHARGES ....................................... 121 

12.8 ACTION PLAN: FORMATION OF NEW SUSTAINABLE REVENUE BASES ............................. 122 

12.9 ACTION PLAN: PRIVATISATION INITIATIVES ............................................................................ 124 

12.10 ACTION PLAN: ENERGY & RESOURCE EFFICIENCY ............................................................. 125 

12.11 ACTION PLAN: COMPUTERIZATION AND E-GOVERNANCE ................................................................. 127 

12.12 ACTION PLAN: ACCOUNTS AND AUDITING ......................................................................... 128 

12.13 ACTION PLAN: INSTITUTIONAL MANAGEMENT ..................................................................... 128 

12.14 CAPACITY BUILDING FOR ELECTED REPRESENTATIVES AND COMMITTEE MEMBERS .. 128 

12.15 CAPACITY BUILDING FOR ULB STAFF ...................................................................................... 129 

12.16 FORMS IN MUNICIPAL SERVICE DELIVERY ............................................................................. 132 

1133 AASSSSEETT MAANAAGEEMEENTT PPLLAAN .. . ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... . 113333 

13.1 ACTIVITIES OF ASSET MANAGEMENT PLAN (AMP) .............................................................. 133 


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13.2 INFRASTRUCTURE ASSETS ............................................................................................................ 134 

13.2.1 MOVABLE AND IMMOVABLE ASSETS................................................................................................... 134 

13.3 PRIORITY ASSET MANAGEMENT OPTIONS .............................................................................. 136 

13.4 PROPOSED NEW ASSETS ............................................................................................................ 137 

1144 FFIINAANCCIIAALL AAND OPPEERRAATTIING PPLLAAN .. . ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... . 113399 

14.1 CAPITAL INVESTMENT PLAN ...................................................................................................... 139 

14.2 OTHER PROJECTS AND ON GOING PROJECTS .................................................................... 141 

14.3 MEANS OF FINANCE ................................................................................................................... 142 

14.4 FINANCIAL SUSTAINABILITY ........................................................................................................ 148 

14.5 BASIC ASSUMPTIONS FOR PROJECTIONS : ............................................................................ 149 

14.5.1 PROPERTY TAX ................................................................................................................................... 149 

14.5.2 PROFESSION TAX ............................................................................................................................... 150 

14.5.3 ASSIGNED REVENUE ........................................................................................................................... 150 

14.5.4 DEVOLUTION FUND ........................................................................................................................... 150 

14.5.5 SERVICE CHARGES AND FEES ............................................................................................................. 150 

14.5.6 GRANT AND CONTRIBUTION .............................................................................................................. 151 

14.5.7 SALES AND HIRE CHARGES ................................................................................................................ 151 

14.5.8 OTHER INCOME ................................................................................................................................. 151 

14.5.9 WATER SUPPLY CHARGES ................................................................................................................. 151 

14.5.10 DRAINAGE CHARGES........................................................................................................................ 152 

14.5.11 SOLID WASTE MANAGEMENT ............................................................................................................. 153 

14.5.12 BUS STAND ........................................................................................................................................ 153 

14.5.13 MARKETS ........................................................................................................................................... 153 

14.5.14 REMUNERATIVE PROJECTS ................................................................................................................. 154 

14.5.15 SLAUGHTER HOUSE & GASIFIER CREMATORIUM ................................................................................ 154 

14.5.16 ADVERTISEMENTS ............................................................................................................................... 154 

14.5.17 PARKING FEES ................................................................................................................................... 155 

14.5.18 EXPENDITURE ..................................................................................................................................... 155 

14.5.19 OPERATION AND MAINTENANCE ...................................................................................................... 155 

14.5.20 POWER CHARGES ............................................................................................................................. 156 

14.5.21 INTEREST ............................................................................................................................................ 156 

14.5.22 DEPRECIATION .................................................................................................................................. 156 

14.5.23 PROVISION OF DOUBTFUL DEBTS ......................................................................................................... 156 

14.5.24 COLLECTIONS ................................................................................................................................... 156 

14.5.25 ANNUITY FACTOR .............................................................................................................................. 157 

14.6 PROJECT CASH FLOWS AND FOP RESULTS : ......................................................................... 158 

14.7 IMPACT OF POTENTIAL IMPROVEMENTS ................................................................................ 165 

14.8 SCENARIO I - ESTIMATION OF INVESTMENT CAPACITY ON AS IS WHERE BASIS............ 166 

14.9 SCENARIO II ñ ESTIMATION OF BORROWING AND INVESTMENT CAPACITY WITH 

METUR CWSS. ................................................................................................................................ 166 

14.10 SCENARIO III ñ ESTIMATION OF BORROWING AND INVESTMENT CAPACITY WITHOUT 

METUR CWSS. ................................................................................................................................ 167 

14.11 KEY INDICATOR OF SCENARIO II (FULL PROJECT SCENARIO WITH METUR CWSS). ..... 167 

14.12 INFERENCE. ................................................................................................................................... 168 

AANNEEXXURREE .. . ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... .. .. ... .. ... . 117711 


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LIST OF FIGURES 

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Figure 2-1: Regional Setting of Ambur Municipality ............................................................ 17 

Figure 3-1: Town map ñ Ambur Municipality ........................................................................ 22 

Figure 4-1: Priorities for Physical Infrastructure ...................................................................... 25 

Figure 4-2: Priorities for Social Infrastructure .......................................................................... 26 

Figure 4-3: Priorities for Environment Issues ............................................................................ 27 

Figure 5-1: Chennai-Bengaluru Industrial corridor of excellence .................................... 31 

Figure 5-2: Key Environmental Issues ñPalar River Basin ..................................................... 35 

Figure 6-1: Break- Up of Housing Condition .......................................................................... 36 

Figure 6-2: Ambur Municipality ................................................................................................ 39 

Figure 7-1: Organisational structure of Ambur Municipality .............................................. 43 

Figure 8-1: Break up of Water Supply Connections ........................................................... 49 

Figure 8-2: Schematic water supply flow diagram for Ambur Municipality .................. 54 

Figure 8-3: Status of Toilet Facility in Ambur Town ............................................................... 58 

Figure 10-1: Mettur Combined Water Supply Scheme ...................................................... 95 

Figure 10-2 : Site Identification for Landfill ...........................................................................100 


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LIST OF TABLES 

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Table 2-1: Urban Population Share in the Town and the Region ..................................... 17 

Table 2-2: Population Growth in Ambur Municipality ......................................................... 18 

Table 2-3: Population projection ............................................................................................. 18 

Table 2-4: Comparative Population Density ........................................................................ 19 

Table 2-5: Comparative Sex Ratio .......................................................................................... 19 

Table 2-6: Comparative Literacy Rate .................................................................................. 19 

Table 3-1: Work Force Participation Ratio in Ambur Town ................................................ 20 

Table 3-2: Occupational classification of Main Workers in Ambur Town ....................... 21 

Table 3-3: Land Use Allocation- Ambur-1984 ....................................................................... 22 

Table 5-1 Town level SWOT ....................................................................................................... 28 

Table 6-1: Housing Condition ................................................................................................... 36 

Table 6-2: Existing Housing Stock ............................................................................................. 37 

Table 6-3: Existing Demand- Supply Gap .............................................................................. 37 

Table 6-4: Existing Slum Population ......................................................................................... 37 

Table 6-5: Details of infrastructure available in slums ......................................................... 38 

Table 6-6: Proposal for Integrated Housing and Slum Development Programme 

(IHSDP) .......................................................................................................................................... 40 

Table 7-1: Existing Staff Strength .............................................................................................. 45 

Table 7-2: Additional Staff Requirement ............................................................................... 47 

Table 7-3: Institutional Framework for Urban Service Delivery .......................................... 47 

Table 8-1: Break up of Water Supply Connections ............................................................. 49 

Table 8-2: Classification of Sources of Water by type in Ambur ...................................... 50 

Table 8-3: Details of Scheme and Head works .................................................................... 50 

Table 8-4: Location of Reservoirs and Sumps ....................................................................... 53 

Table 8-5: Water Supply Distribution Details in Ambur Town ............................................. 55 

Table 8-6: Supply gap Analysis ................................................................................................ 55 

Table 8-7: Sanitation Facilities .................................................................................................. 57 

Table 8-8: Classification of modes of sanitary waste disposal by type ........................... 58 

Table 8-9-Zone wise demand Estimation for Provision Sewerage Facilities ................... 59 

Table 8-10-Under Ground Drainage system ñSalient Features ......................................... 59 

Table 8-11: Storm Water Drainage Coverage ..................................................................... 60 

Table 8-12: Existing Drainage Scenario .................................................................................. 60 

Table 8-13: Sources of Waste Generated from Ambur Municipality ............................... 62 

Table 8-14: Zone-Wise Collection............................................................................................ 62 

Table 8-15: Solid Waste Practices in Ambur Town ............................................................... 62 

Table 8-16: Number and Type of dustbins for waste collection ....................................... 63 

Table 8-17: Detail of Vehicles for Solid Waste Management in Ambur Municipality .. 63 

Table 8-18: Number and Type of vehicles used for Transportation ................................. 64 

Table 8-19: Number of Street Lights in Ambur Municipality ............................................... 66 

Table 8-20: Length of National Highways Passing through Ambur .................................. 68 


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Table 8-21: Types of Roads in Ambur Municipality .............................................................. 69 

Table 8-22: Roads by Hierarchy .............................................................................................. 69 

Table 8-23: Details of Education Facilities ............................................................................. 70 

Table 8-24: Existing Educational facilities in Ambur ............................................................. 71 

Table 8-25: Existing Health facilities in Ambur Town ............................................................ 72 

Table 9-1- Property Tax Components .................................................................................... 76 

Table 9-2- Property Tax Assessments ...................................................................................... 76 

Table 9-3- Property Tax ñ Growth during last 6 years .......................................................... 76 

Table 9-4 - Property Tax ñ Demand Collection % ................................................................ 76 

Table 9-5- Profession Tax ñ Growth during last 6 years ....................................................... 77 

Table 9-6- Profession Tax ñ Demand Collection % .............................................................. 77 

Table 9-7- Assigned Revenue ñ Growth & % of Total Income........................................... 78 

Table 9-8 - Devolution Fund ñ Growth & % of Total Income (Rs. In Lacs) ...................... 79 

Table 9-9 -Water Tariff & Deposit............................................................................................. 79 

Table 9-10- No. of House Service Connections.................................................................... 79 

Table 9-11 - Water Charges ñ Growth & % of Total Income (Rs. in Lacs) ..................... 79 

Table 9-12 - Water Connection Charges ñ Growth & % of Total Income (Rs.in Lacs) 

....................................................................................................................................................... 80 

Table 9-13 - Water Charges ñ Demand Collection % (Rs. in Lacs) ................................ 80 

Table 9-14 - Service Charges & Fees ñ Growth & % of Total Income (Rs. in Lacs) ...... 81 

Table 9-15 - Income from Properties & Other Income ñ Growth & % of Total Income 81 

Table 9-16 - Non Tax Income ñ Demand Collection % (Rs. in Lacs) ............................... 82 

Table 9-17 - Establishment Expenses ñ Growth & % of Total Expenditure (Rs. in Lacs) . 82 

Table 9-18 - O&M Expenses (Water Supply) ñ Growth & % of Total Expenditure (Rs. in 

Lacs).............................................................................................................................................. 83 

Table 9-19 - O&M Expenses (Street Lights & Others) ñ Growth & % of Total Expt (Rs. in 

Lacs).............................................................................................................................................. 83 

Table 9-20 - Administration Expenses ñ Growth & % of Total Expenditure- (Rs. in 

Lacs).............................................................................................................................................. 84 

Table 9-21- Summary of Finances for last 6 years (Rs. in Lacs) ......................................... 84 

Table 9-22 - Head-wise Income & Expenditure for last 6 years (Rs. in Lacs) ................. 85 

Table 9-23 - Borrowings of the Municipality (Rs. in Lacs) .................................................... 86 

Table 9-24 - Status of Contributions & Grants ....................................................................... 86 

Table 9-25 - Resource Mobilisation Indicators ...................................................................... 88 

Table 9-26- Fund Application Indicators ............................................................................... 89 

Table 9-27- Liability Management Indicators ....................................................................... 89 

Table 9-28 - Financial Performance Indicators .................................................................... 90 

Table 9-29 - Efficiency Indicators ............................................................................................ 90 

Table 10-1: Summery of Capital Investments under CCCBP ............................................ 93 

Table 10-2- : Water source to meet intermediate and Ultimate Demand .................... 96 

Table 10-3: Investment requirement in water supply sector for Ambur Municipality .. 97 

Table 10-4: Capital Investment Needs for the Sewerage System.................................... 98 


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Table 10-5: Capital Investment Needs for the Storm Water Drainage System ............. 99 

Table 10-6: Capital Investment Needs for the Solid Waste Management ..................101 

Table 10-7: Capital Investment Needs for the Street Light ..............................................102 

Table 10-8: Capital Investment Needs for the Roads and Transportation ...................102 

Table 10-9: Capital Investment Needs for the Educational Institutions ........................103 

Table 10-10: Capital Investment Needs for the Health Facilities ....................................103 

Table 10-11: Capital Investment Needs for the Parks and Play Grounds .....................104 

Table 10-12: Capital Investment Needs for the Market Development .........................105 

Table 10-13: Capital Investment Needs for the Slaughter House Development ........105 

Table 10-14: Capital Investment Needs for the Burial Ground .......................................106 

Table 10-15: Capital Investment Needs for the Slum Improvement..............................106 

Table 10-16: Capital Investment Needs for the e-Governance .....................................107 

Table 10-17: Projects to be taken by other departments ................................................109 

Table 11-1: As per the Guidelines on Environmental & Social Concerns of CCCBP 

projects ñ Ambur ......................................................................................................................110 

Table 12-1: Road Map ñ Environmental improvement ....................................................119 

Table 12-2: Road Map Improving revenue from user charges ......................................122 

Table 12-3: Road Map for Formation of new sustainable revenue bases ...................123 

Table 12-4: Road Map for Privatization initiatives ..............................................................125 

Table 12-5: Road Map for Energy and Resource efficiency ...........................................126 

Table 12-6: Road map for Computerization and E-Governance ..................................127 

Table 12-7: Technical Assistance for Elected representatives ........................................128 

Table 12-8: Technical Assistance for ULB staff ....................................................................129 

Table 12-9: Road map for Accounts & auditing and Institutional Management ......130 

Table 12-10: Road map for implementation of all projects ............................................131 

Table 12-11: Road map Reform Agenda Municipal Service Delivery ..........................132 

Table 13-1: Land Assets ñ Proposed use ..............................................................................136 

Table 13-2: Income Details from Remunerative Assets ....................................................136 

Table 13-3: Income from Proposed new Projects..............................................................137 

Table 13-4: New Assets for the year -2009-10 to 2013 -14 ................................................138 

Table 14-1: Projects to be executed by the Municipality ................................................139 

Table 14-2: Projects under Implementation by the Municipality ...................................142 

Table 14-3: Multi Year Investment Plan and Means of Finance .....................................142 

Table 14-4: Consolidated Means of Finance .....................................................................148 

Table 14-5: Ratio of Property tax ...........................................................................................150 

Table 14-6: Water supply Charges ñ Existing ......................................................................151 

Table 14-7: House Service Connections - Percentage ....................................................152 

Table 14-8: Sewage Charges ................................................................................................152 

Table 14-9: Assumptions - Increase in Expenditure ...........................................................155 

Table 14-10: Assumptions ñ O&M ..........................................................................................155 

Table 14-11: Assumptions ñ Provision of doubtful debts ...................................................156 

Table 14-12: Assumptions ñ Property tax collection ..........................................................156 


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Table 14-13: Assumptions ñ Profession tax ...........................................................................157 

Table 14-14: Assumptions ñ Other Non Tax Income ..........................................................157 

Table 14-15: Assumptions ñ Water Charges ........................................................................157 

Table 14-16: Assumptions ñ Drainage Charges .................................................................157 

Table 14-17: Terms of Loan Funding for Proposed Investments ......................................158 

Table 14-18: Consolidated Income & Expenditure for next 20 years (up to FY 2028-29) 

.....................................................................................................................................................159 

Table 14-19: Consolidated Balance Sheet for next 20 years (up to FY 2028 ñ 29)......161 

Table 14-20: Key Indicators ....................................................................................................168 


Chapter - 1 Final Report: Ambur Municipality 

1 BACKGROUND AND METHODOLOGIICAL 

FRAMEWORK OF THE STUDY 

1.1. BACKGROUND 

The Tamil Nadu Urban Infrastructure Financial Services Limited (TNUIFSL) aims to assist 

Ambur Municipality in strengthening and improving its financial position for effective 

capital investment management and urban service delivery. The municipality has 

good potential for immediate implementation of financial reforms for which it is 

essential to formulate a City Corporate Cum Business Plan (CCCBP). 

The CMA and TNUIFSL have initiated the process of preparing CCCBP for the 

municipality with the vision of stakeholdersí growth of the town. 

1.2. OBJECTIVES 

The objective of this exercise is to visualise the town in the next 25 -30 years and 

1. Define the growth direction and service up-gradations in relation to the 

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activity mix / growth; 

2. Assess the demand for the projects specified by the ULB, and come out with 

gap in services with respect to the vision; 

3. Broadly outline the infrastructure needs; 

4. Define specific rehabilitation of infrastructure and capital improvement needs 

with regard to provision of infrastructure in slums and other areas; 

5. Indicate the priority of projects 

6. Define revenue enhancement and revenue management improvements 

required to sustain the rehabilitation proposed; 

7. Suggest reforms required in local administration and service delivery including 

public private partnership in infrastructure development 

8. Suggest Measures to address common growth and infrastructure issues and to 

promote integrated development 

1.3. SCOPE OF WORK 

The scope of work covers the following: 

1. To assess the demand for the Projects listed out by these municipalities. 

2. Financial Assessment of the ULBS- an assessment of the ULB finances for the past 

5 years, in terms of sources and uses of funds, base and basis of levy, revision 

history and impacts, state assignment and transfer-base and basis of transfer 

and its predictability; use of funds outstanding liabilities (loans, power dues, 

pension etc) and a review of revenue and service management arrangements. 

- 11 - 



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Levels of service and quality of municipal services in both poor and non-poor 

localities. Staffing and management arrangements in delivery of services. 

3. Outline issues in revenue realisation, quality of existing assets in relation to service 

levels and coverage and institutional constraints. Develop quick indicators of 

performance, based on the following: 

Current coverage and additional population during medium term (10 years) 

Unit cost indicates city level investment requirements for Up-gradation of 

city wide infrastructures. 

To improve service coverage and asset quality 

Define priority assets and indicative costs of rehabilitation 

Conduct fiscal impact analysis of investments: life-cycle of O&M costs, 

revenues from project and costs/impacts on finances and of not doing the 

project. 

Explore funding options for rehabilitation facilities. 

4. Prepare a financial and operating plan (FOP). The FOP in the medium time frame 

works for the ULBs and shall present the following. 

A. Areas of reduction in expenditure 

Energy audit resulting in savings energy. 

Leak detection resulting either in connection or in the tariff (or) 

Privatizing the MSW collection and identifying a BOT operator for eliminating, 

composting etc, items of revenue can be identified. 

Laying of cement concrete road /Fly ash and savings on a maintenance cost 

resulting in increasing operating surplus. 

Water recycling /refuse 

Rejuvenation of tanks and reduction of cost/liters of water produced 

Privatization & options for raising revenue 

B. Options for increasing the revenues through non traditional methods 

Land development for raising revenues 

Suggestions for improvement of revenues. 

5 Prepare a draft Memorandum of Association (MoA) between ULB and TNUIFSL. 

The MoA will act as the base line (based on the situation Analysis) and the 

Performance Benchmarks to be monitored along with other financial targets 

and outputs from the financial and operating plan. 

6 Initiate consultations with council and local stakeholders on the priorities 

redefine priorities. 

7 Finalize Action plan for the city, with a resolution from the council on the 

priorities and commitment to implement revenue and management 

improvement measures. 

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1.4. STAGE III: DRAFT FINAL STAGE 

Under this stage of City Corporate cum Business Plan has two tasks. 

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In the First Task, Financial and Operating Plan (FOP) will be prepared outlining 

the revenue enhancement measures required to sustain proposed investments 

after accounting for O&M and debt servicing requirements. Suggest suitable 

actions for project sizing and/or project implementation and action plan to 

sustain investments based on capital investment needs listed above. It will also 

suggest suitable actions for project sizing and/or project implementation and 

action plans to sustain investments based on the capital investment needs. 

In the 2 nd Task Draft MoA between ULB and TNUIFSL will be prepared. 

The final stage would incorporate the Municipal Council resolution passed by the 

Municipal Council to effectively implement the proposed urban reforms in the 

CCCBP . 

1.5. PRESENTATION AND DISCUSSION WITH REVIEW COMMITTEE 

The review meeting on Revised Draft Final Report was held on 24th June 2009 at the 

office of TNUIFSL. The minutes of the meeting and the consultants reply are given 

below: 

COMMON POINTS 

1. To correct the grade of the ULBs as revised by the Government. 

The grades of the Municipalities have been updated as per the latest revisions. 

2. To highlight the requirement of capital / revenue grant to implement and 

operate all the new schemes. 

The actual requirement of capital / revenue grant for each town along with the 

funding pattern has been clearly indicated in section 14.1& 14.3 of chapter14. 

3. To indicate following in the executive summary of the report 

a) List of projects under the sustainable scenario along with the year wise 

phasing of the projects identified. 

b) The assumption made on the means of finance. 

The list of projects, year wise phasing and the assumptions made on the means of 

finance have been added in the executive summary under the table ë Projects 

Identified for implementation based on financial positioní in the executive 

summaries. 

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TOWN SPECIFIC COMMENTS 

Ranipet 

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Address the requirement of staff quarters and indicate the same as a project 

in CIP in consultation with the ULB. 

The staff quarters (24 units) at a proposed cost of Rs.150.00 lakhs has been 

added to the CIP in consultation with the ULB. 

Update the details on the Bus Stand project at Muthukadai adjoining Pinji Lake 

in consultation with the ULB. 

As bus stand cannot be proposed on ëland under water bodies ë, an alternate 

site for the proposed bus stand needs to be identified by the Municipality. The 

details are given in section 10.1.6 chapter -10 

Highlight the impact on discharge of polluted water in to Palar river. 

The impact of effluent discharge into River Palar has been highlighted in 

section 5.3 of chapter 5 based on various reports prepared by NEERI, TNPCB , 

CPCB and Palar River Basin Management and Development Board. 

Thiruvathipuram 

The consultants were requested to 

Update the details on the assets in consultation with the ULB. 

The details of assets have been updated under section 13.2.1 of chapter 13. 

Revise the Bus Stand improvement project in consultation with the ULB. 

The cost for proposed shopping complex and lodge inside the bus stand is 

revised in consulting with ULB and revised cost is mentioned in section 10.1.6 

chapter ñ 10. 

Madhavaram 

The consultants were requested to revise the assumptions on means of 

finance in accordance with JNNURM norms and revise the FOP 

accordingly. 

The means of Finance for Madhavaram have been revised as per JnNURM 

scheme. The assumptions are give in the table ëProjects Identified for 

implementation based on financial positioní in the executive summary. 

The minutes of meeting for review committee held during this period of study is 

given in Annexure I d. 

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1.6. DISCUSSION WITH STAKEHOLDERS 

The Stakeholder meeting was arranged with Municipal chairman, Vice Chairman, 

commissioner, Councillors and NGOís of the project town. A base plan was prepared 

for the visit to the project towns during the month of October ë08. The objective of the 

stake holder meeting was to discuss about the needs of CCCBP and to highlight the 

basic issues on infrastructure such as water supply, sewerage, drainage, roads, social 

infra structures, etc. 

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Stakeholderís Meeting 

Further, in order to collect ward wise issues, proformae were distributed during the 

meetings and the councillors and NGOís were requested to mention the issues on 

physical and social infrastructure. Based on the issues mentioned in the proformae 

and discussion with the Municipal Chairman, Vice Chairman, Commissioner, 

Councillors, NGOís and Engineers, infrastructure requirements for the present and 

future were arrived. Accordingly proposals have been formulated which is given in 

the following chapters. 

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2 TOWN PROFIILE 

2.1 AMBUR . . . TOWN PROFILE 

Ambur, is a Selection grade municipality, located on the Chennai-Bengaluru National 

Highway in Vellore district. The town is situated on the banks of Palar River. The 

population of Ambur Municipality is 99,624(Census 2001) and the area is 17.97 sq.km. 

Ambur municipality is geographically located at 12 48'0"N Latitude 78 43'11"E 

longitude. The town is at an average elevation of 316 m (1036 ft) above MSL. 

Copious Palar water and policy decisions of the Govt. have made Ambur a leading 

exporter of finished and unfinished leather products in India. It is known as the 

ìLeather City of Tamil Nadu." 

2.2 REGIONAL CONNECTIVITY 

Road and rail: 

Ambur municipality lies on the Chennai- Bangalore National Highway. The town is at a 

distance of 200 km from Chennai, 180 km from Bengaluru and 50 km from Vellore. The 

town is well connected by road and rail with the nearby urban centers. 

Air 

The closest airport is in Chennai at a distance of 200 km which serves both domestic 

and International passengers. 

2.3 HISTORY OF THE MUNICIPALITY 

Ambur was constituted as a Grade III Municipality in 1948 and as Grade II Municipality 

in 1973. Ambur Municipality was upgraded as Grade I Municipality during 1998 as per 

G.O. No. 85 of R.D. & L.A. Department and further upgraded to the present status of 

selection grade municipality. 

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AMBUR 

Figure 2-1: Regional Setting of Ambur Municipality 

2.4 POPULATION CHARACTERISTICS 

2.4.1 Population Distribution 

The table 2.1 shows the distribution of population in Tamil Nadu and Vellore District 

Table 2-1: Urban Population Share in the Town and the Region 

NAME Total Population % Distribution of Urban 

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Population wrt District 

Tamil Nadu Urban 27483,998 - 

Vellore District 3477317 100 

Vellore District Urban 1307998 37.62 

Ambur (M) 99624 2.86 

Source: Primary Census Abstract of Tamil Nadu, Census of India ñ 2001 



2.4.2 Population Growth 

The townís population growth rate has been consistent between 1.5% to 3.7% during 

the past decades from 1971-2001. The population growth during 1991-2001 was 3.12 % 

lower than the State figure for urban population growth. The decadal population 

growth rate of Ambur Municipality is given in the table below. 

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Table 2-2: Population Growth in Ambur Municipality 

Census Year Population Variation Growth rate in % 

1971 54001 14546 3.69 

1981 66042 12041 2.23 

1991 75,911 9,869 1.49 

2001 99,624 23,713 3.12 

Source: Primary Census Abstract of Tamil Nadu, Census of India - 2001 

2.4.3 Population Projections 

Based on the growth rate for the past few decades, the future population of the town 

has been projected and given in the table below: 

Source: Estimated 

Table 2-3: Population projection 

Year Population Growth Rate in % 

1951 39992 - 

1961 39455 -0.13 

1971 54001 3.69 

1981 66042 2.23 

1991 75,911 1.49 

2001 99,624 3.12 

2007 102782 0.53 

2009 103985 0.59 

2011 105538 0.75 

2016 112948 1.40 

2020 115678 0.60 

2025 123089 1.28 

2030 134578 1.87 

2035 155021 3.04 

2.4.4 Population Density 

The population density in Ambur municipality in 1991 was 79 persons per ha which has 

increased to 87 persons per ha in 2001. The population density in state, district, and 

town is given in the table below 

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Attributes 

Table 2-4: Comparative Population Density 

Area 

(Sq. Km) 

Total 

Population 

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Density (Persons per 

Sq. Km) 

Density 

(Persons per Ha.) 

India 3,287,590 1,028,610,328 313 - 

Tamil Nadu 1,30,058 6,24,05,679 480 - 

Vellore District 4,314 34,77,317 806 - 

Ambur Municipality 

Area 

(Sq. Km) 

Total 

Population 

Density (Persons per 

Sq. Km) 

Density 

(Persons per Ha.) 

1961 17.97 39,455 2,196 22 

1971 17.97 54,011 3,006 30 

1981 17.97 66,042 3,675 37 

1991 17.97 75,911 4,224 42 

2001 17.97 99,624 5,544 55 

Source: Compiled from Ambur Municipal Records. 

2.4.5 Sex Ratio 

Sex ratio in Ambur municipality is 1021 females per 1000 males. Sex ratio of the district 

urban and Ambur municipality indicates that the sex ratio is higher than the state 

average. The sex ratio of the municipality is given in the table below: 

Table 2-5: Comparative Sex Ratio 

NAME Sex Ratio Sex Ratio 0-6 

Tamil Nadu 987 942 

Tamil Nadu Urban 982 955 

Vellore District 997 943 

Vellore District Urban 1003 960 

Ambur (M) 1021 1005 

Source: Compiled from Primary Census Abstract, Census of India-1991, 2001 

2.4.6 Literacy 

Literacy is one of the important social indicators for development. The literacy rate in 

Ambur town is 79.5% (2001 census). There are more male literates (85.87%) than female 

literates (73.29%). The literacy rate is compared with the state, district and town and 

given in the table below. 

Area 

Table 2-6: Comparative Literacy Rate 

Literacy Rate 

Person Male Female 

Tamil Nadu 73.45 82.42 64.43 

Tamil Nadu Urban 82.53 88.97 75.99 

Vellore District 72.36 81.99 62.79 

Vellore District Urban 80.46 87.77 73.22 

Ambur (M) 79.51 85.87 73.29 




3 ECONOMIIC DEVELOPMENT AND PHYSIICAL 

PLANNIING 

3.1 URBAN ECONOMIC DEVELOPMENT 

Ambur, ëThe Leather Cityí is an important town in Vaniyampadi Taluk in Vellore 

District. The Vellore district has a dominant presence in the leather and leather 

based industries. Vellore District accounts for more than 37% of the countryís export 

of leather and leather related products such as finished leathers, shoe uppers, 

shoes, garments, gloves and so on. 

Ambur is the leading cluster for export of finished leather, shoe uppers and full shoes. 

Factories in Ambur, manufacture shoes for worldís leading footwear brand names 

like Florshiem, Lumberjack, Gabor, Clarks, Fretz Men, Coll Hann, Hi-Line, Hugo Boss, 

Marc, and many more. 10% of leather exports and 25% of shoe exports of the 

country originate from Ambur. The first factory was established in 1972. The foreign 

buyers were highly impressed with the quality of shoe uppers made in Ambur and in 

a short time Ambur footwear industry emerged as the leader in manufacture and 

export of full shoes also. 

The leather production is decentralized by organizing production operations in the 

formal factory (large and medium scale units) and other operations through 

subcontracting to small firms, tiny units and network of home-based workers. These 

companies provide a major employment to the local people. The history and 

performance of the industries in Ambur leather cluster is given in Annexure - III 

3.1.1 Occupational Pattern 

According to 2001 census, the work force participation rate (WFPR) in Ambur is 31%. 

In comparison to the district urban and state urban work force participation rate 

Ambur WFPR is lower. The marginal and main workers account for 5% and 95% 

respectively. Table 3.1. Shows the work force participation rate and occupation 

pattern of Ambur municipality. 

do 

Table 3-1: Work Force Participation Ratio in Ambur Town 

NAME Total 

Population 

Total Workers WFPR % Main 

- 20 - 

Workers 

% Marginal 

Workers 

Tamil Nadu 62405679 27878282 44.67 85.22 14.78 

Tamil Nadu Urban 27483998 10318514 37.54 91.75 8.25 

Vellore District 3477317 1427180 41.04 82.17 17.83 

Vellore District 

Urban 

1307998 444958 34.02 91.91 8.09 

Ambur (M) 99624 31069 31.19 95.13 4.87 




Out of the main workforce, about 1.4% of main workers are cultivators, 3.4% is 

agricultural labourers and 5% of workers are engaged in household industries. The 

remaining 90% workers are included in ëother workersí category. 

do 

Table 3-2: Occupational classification of Main Workers in Ambur Town 

NAME Main 

Workers 

Cultivators Agricultural 

- 21 - 

Laborers 

Workers in 

Household 

Industry 

Other 

Workers 

Tamil Nadu 23757783 19.95 25.52 5.31 49.23 

Tamil Nadu 

Urban 

9467240 3.41 9.11 6.05 81.43 

Vellore District 1172645 19.86 19.85 11.64 48.66 

Vellore District 

Urban 

408969 2.17 4.47 13.69 79.67 

Ambur (M) 29555 1.38 3.43 4.98 90.20 

Source: Compiled from Primary Census Abstract, Census of India 2001(All the figures from column 3 are in percentage) 

3.2 PHYSICAL PLANNING 

3.2.1 Physical Growth Trend 

As the town is situated on the banks of Palar River, the river forms the natural 

boundary to the town in west, northwest and southwest directions. The Chennai- 

Bengaluru National Highway passes through the town linking it with the surrounding 

urban centers. The Broad Gauge Railway line passes parallel to the Chennai- 

Bengaluru NH in the town. The major road arterials in the town are Chennai ñ 

Bengaluru NH and Thuthipet road. The Byepass road connects with the NH in the 

south. 

The physical features determining the growth direction of the town are the Palar 

River in the west, and the agricultural lands in the south west. 

The growth of the town is along the Chennai ñ Bengaluru National Highway towards 

south. The commercial activities are developed mainly along the major roads and 

sporadically distributed in the residential areas. New residential, commercial and 

industrial establishments are developing in the East and Western side of the town. 



3.2.2 Land Use Analysis 

do 

Figure 3-1: Town map ñ Ambur Municipality 

According to the existing land use 1984, the developed land at the town 

constituted 21 % of the total population of the town. The land under agriculture 

accounted for 88 % & 9% water bodies. Within the developed land, the residential 

area constituted 14% commercial area accounted for 2.5 %, water bodies 9%, and 

Public & semi-public accounts for about 2% . 

Table 3-3: Land Use Allocation- Ambur-1984 

S.No Land use Area (In Ha) Developed 

Area % 

Developed Area 

- 22 - 

% to Total Area 

1 Residential 265.00 67.51 14.75 

2 Commercial 9.70 2.47 0.54 

3 Industrial 60.00 15.28 3.34 

4 Educational/ Institutional 24.35 6.20 1.36 

5 Public & Semi Public 33.50 8.53 1.86 



do 

Total 392.55 100.00 21.84 

Non Developed Area 

1 Agricultural 1248.28 88.88 69.46 

2 Water Bodies 156.17 11.12 8.69 

Total 1404.45 100.00 78.16 

Grand Total 1797.00 100 100.00 

There is an immediate need to update the Master Plan considering the rate of 

growth in urbanisation and industrialisation. 

3.2.3 Land rates 

As per the Guideline values of the Registration Department, the land value in Ambur 

varies from Rs.10,550 to Rs.6500 per sq.mt in commercial areas . In predominantly 

residential areas like Saanankuppan and Mel Krishnapuram the land rate vary from 

Rs.6000 to Rs. 2300 per sq.mt. 

3.3 GROWTH MANAGEMENT ISSUES 

Ambur Municipality is an industrially forward town and directly linked to 

Vellore Corporation by NH. The proposed ëDevelopment of Chennai ñ 

Ranipet- Bengaluru industrial corridor of excellenceí is expected to stimulate 

the industrial growth which will further improve the socio economic condition 

of the town. Therefore, for the guided growth and development of the town, 

updation of Master plan (1984) is essential. 

Necessary basic infrastructure facilities including housing, health, education 

and recreational facilities need to be provided to achieve better standard of 

living. 

The Palar River which forms the eastern boundary for Ambur is completely 

polluted due to the tannery effluents. The water bodies serves as the 

recharge system for underground aquifers and flood accommodators during 

monsoon. River Conservation plan for Palar River is necessary. As an apex 

body, the Palar River Basin Management and Development Board (PRBMDB) 

endeavour the primary role in sustainable water resources planning and 

management in an integrated manner covering the activities of all 

departments concerned. 

- 23 - 



4 STAKEHOLDERS CONSULTATIIONS 

The purpose of stakeholder consultation is to provide an opportunity for stakeholders 

to involve in the development plan for the city. The planning process need to be a 

consultative one, with stakeholders representing a wide spectrum of interests taking 

part in the discussions and dialogue leading to the formulation of a vision and 

development objectives, identification of priority sectors and projects. 

4.1 CITY OPINION SURVEY 

The CCCBP consultants conducted city opinion surveys in 2 phases, first in the 

inception stage and second in the interim stage to get the views of the stakeholders 

of the Municipality. The rationale behind conducting surveys in two stages was to 

evolve a broad vision for the municipality considering the problems, prospects, 

aspirations and vision of different sections of the society. The initial finding of the 

surveys conducted was included in the inception report. The analysis and findings of 

stake holderís consultations are detailed below: 

4.2 KEY ISSUES HIGHLIGHTED IN THE CONSULTATION MEETING 

The issues highlighted by the elected representatives and the municipal staff are 

summarized as follows: 

do 

1. Water pollution due to industrial establishments. Law enforcement for 

pollution control is needed. 

2. Lack of proper disposal pints for Storm water drains 

3. Need for a check dam in Anai Madugu Area 

4. Encroachments on Palar river bed need to be removed 

5. Facilities in the Government Hospital need to be improved 

6. Need for Railway Over bridge 

7. Illegal Quarrying on Palar River bed need to be prevented 

8. Reassessment of properties need to be done for improving the municipal 

revenue base 

9. Improving the facilities in Burial ground 

10. The Housing Board Park need to be improved with necessary basic facilities 

11. Market complex need to be [provided in the town 

12. Strengthening of River bunds by planting trees 

13. Increasing tax base for industries will improve the municipal revenue. 

14. Need for a Industrial Training Institute in the town 

- 24 - 



4.2.1 Sector Prioritisation 

Projects identified in the CCCBP cannot be taken at one step for implementation 

due to constraints like finance, institutional capabilities etc. Thus, phasing of the 

projects based on stakeholderís priority would be a viable option for implementing 

projects. During City Opinion Surveys, Stakeholders were asked to prioritise the 

sectors pertaining to Physical infrastructure, Social Infrastructure and Environment 

and is presented in a scale of 0-100* scores. 

a. Physical Infrastructure Priority 

Based on City Opinion Survey findings, stakeholders have given priority to the sectors 

related to Physical infrastructure in the following order: 

do 

1. Under Ground Drainage 

2. Drinking Water Supply 

3. Road Network 

4. Storm Water Drainage 

5. Parking 

6. Solid Waste Disposal 

7. Street lighting 

8. Transport 

120 

100 

80 

60 

40 

20 

0 

50 

60 

Transport Street 

Lighting 

70 

Parking 

Facilities 

Figure 4-1: Priorities for Physical Infrastructure 

- 25 - 

60 

Solid waste 

Disposal 

80 

Strom 

Water 

Drainage 

100 

90 

UGD Drinking 

Water 

80 

Road 



b. Social Infrastructure priority: 

Based on City Opinion Survey findings, Stakeholders have given priority to the 

sectors related to Social infrastructure on the following order: 

1. Schools and Colleges 

2. Health facilities 

3. Parks, Playfields 

4. Public transport 

5. Market 

6. Public Toilet 

7. Community hall Recreation 

do 

100 

90 

80 

70 

60 

50 

40 

30 

20 

10 

0 

60 

40 

80 

Market Public Toilet Parks and 

Recreation 

- 26 - 

40 

Com m untiy 

Hall 

90 90 

Health 

Facilities 

Figure 4-2: Priorities for Social Infrastructure 

Schools and 

Colleges 

75 

Public 

Transport 

Since the town lacks basic infrastructure facilities like adequate treated water, 

sewerage and sanitation, Solid Waste treatment plant, etc. citizens are susceptible 

to various health hazards. Hence, they have insisted Health facilities as one of their 

high priority sector. 



c. Environmental Issues 

Based on City Opinion Survey findings, stakeholders have given priority to the 

Environmental Issues in the following order: 

1. River 

2. Water Pollution 

3. Open Drainage 

4. Land Pollution 

5. Air Pollution 

6. Noise Pollution 

do 

120 

100 

80 

60 

40 

20 

0 

65 

Open Drain Noise 

Pollution 

0 

25 

Land 

Pollution 

- 27 - 

80 

Water 

Pollution 

Figure 4-3: Priorities for Environment Issues 

10 

100 

Air Pollution River 



5 VIISIION AND STRATEGIIC PLAN 

A vision statement is a primary step to where a town wishes to be in the next 25-30 

years as its preferred future. It is a realistic and reliable statement, reflects the 

competitive advantages, preferences & values of city dwellers, physical 

characteristics, historic and cultural characteristics and relation to regional and 

local economies. Vision gives a sense of direction and purpose to the plan, focus on 

and encourage creative solutions in an open manner building in interest and 

commitment. 

One of the key steps involved in the formulation of vision is the SWOT analysis, which 

is based on stakeholder feedback and analysis of the town. 

5.1 TOWN LEVEL SWOT 

SWOT analysis is made for the town in its regional context. The SWOT for Ambur 

Municipality with reference to its regional context is given in the table below: 

do 

Table 5-1 Town level SWOT 

Regional positives Regional negatives 

Strategic location on the NH-46 connecting 

Chennai and Bengaluru. 

Availability of Palar river water for industries to 

grow and thrive. But check dams in the 

upstream areas and over exploitation by the 

tanning industries have dwindled the sources . 

Golden Quadrilateral has provided better 

accessibility to nearby urban centres, ports 

and airbases. 

Vellore District is the major exporter 

accounting for 37 % of countries leather and 

finished products. 

Proposed improvements to Allapuram Air base 

- 28 - 

Crippling environmental pollution affecting 

land, water and air. 

Low awareness levels regarding importance 

of treating industrial effluents, protection of 

agricultural lands and water bodies. 

Increased incidence of skin and intestinal 

disorders due to presence of heavy metals in 

source 

Palar River carries Highly toxic effluents to 

downstream side towns causing health 

disorders 

would facilitate international connectivity. Drastic reduction in agricultural activities due 

Established rail connectivity to major urban 

centres in South India. 

to land pollution and lucrative industrial jobs. 

Town level Town level 

Strength Weakness 

Leather city - Major industrial center and 

marketing center for leather products 

Well established society for sustainable 

industrial development- AEDOL , AMBURTEC 

Discharge of untreated effluents into the 

agriculture fields, nearby areas and river 

Palar due to non-compliance / intermittent 

usage of CETPs 

Frequent oppositions form Welfare societies 

and consumer forums highlighting pollution 



do 

etc due to tanneries. 

Establishment and maintenance of ETPS with 

the co-operation of business houses. 

Continuous monitoring & advice from premier 

institutes like Central Leather Research Institute 

(CLRI), National Environment Engineering 

Research Institute (NEERI) and UNIDO. 

Availability of skilled and semi-skilled man 

power in the town and hinterland 

Famous cuisine influenced by the Nawab of 

Arcots ñ a marketable opportunity for the 

region . 

- 29 - 

Traffic congestion due to encroachments on 

road and Absence of traffic management 

measures 

Non - availability of green and affordable 

technology, with minimized usage of water. 

Inadequate financial strength of Municipality 

to take up major infrastructure projects. 

High maintenance methodologies for 

existing CETPs. 

Opportunities Threat 

Employment opportunities due to the 

presence of mills and small scale industrial 

establishments 

Most tanneries covered under the network of 

CETPs. 

Development of export and marketing centers 

and Establishment of Leather SEZs in the region 

TWIC- AEDOL ñ Pioneering initiatives in waste 

water recycle and reuse for tanneries 

Central Government subsidies and grants for 

the establishment of CETPs and allied facilities. 

Availability of land for future development 

5.2 VISION FORMULATION 

Degradation of environment- 

Palar river and agricultural lands uptom1500 

ha due to discharge of untreated effluents 

Threats from Judicial authorities such as 

Green Bench for non-compliance of 

Environmental regulations 

Use of highly toxic and in-disposable 

chemicals such as hexavalent chromium, 

trivalent chromium, etc in tanning processes 

Inadequate service delivery in the slums and 

poor living conditions. 

Inter-Regional Competitions for Economic 

Space 

Using the results of the analysis combined with consultations with key stakeholders 

and civic societies, vision formulation is meant to develop a perspective for 

development of the town. 

The vision for the town is proposed as î A vibrant regional industrial hub on the 

Corridor of Excellence providing good infrastructure facilities to its citizens to 

promote an inclusive and sustainable developmentî. 

However to achieve this vision and to translate it into Strategies and Projects, the 

mission statements are evolved. 



Mission 1 : 

To achieve a Sustainable Environment by the year 2015 in the town and prepare 

Ambur as competing City for induced investments 

Mission 2: 

To develop identified areas both in as well as outside the town limit, the following 

action areas are required to achieve the above mentioned mission. 

Industrial Pollution remediation measures 

Improved level of urban service delivery 

Regulating Physical Growth 

Strengthening Municipal finance 

Improving Urban environment 

Strengthening the Ulb and Improving Urban governance practices. 

Improved Transport Infrastructure 

5.3 STRATEGY OPTION FOR ECONOMIC DEVELOPMENT 

Some of the interesting features of Ambur Cluster are 

do 

5 among the top 20 exporters of leather and leather products are from 

Ambur. 

The top ranking shoes exporter and 8 out of 20 top 

exporters of leather footwear are from Ambur. 

The top ranking footwear components exporter 

and 5 out of 20 top exporters of footwear 

components are from Ambur. 

4 out of 20 top exporters of finished leather are 

from Ambur. 

About 10% of finished leather exports originate 

from Ambur. 

Ambur accounts for 25% of footwear exports. 

2 CETPs and 24 ETPs function efficiently for effluent treatment. 

Many leading international brands source their supplies from Ambur. 

[Source: Website of Ambur economic development Organization ltd (AEDOL)] 

1. Benefit from the Chennai ñ Bengaluru Industrial corridor of Excellence 

The industrial corridor is being developed in two phases. The first phase will run from 

Chennai to Sriperumbudur and then to Ranipet. The second phase starts from 

Ranipet to reach Bengaluru through Hosur. Industrial parks, Special Economic Zones, 

information technology parks and integrated townships are expected to come 

along the corridor. 

The objective was to provide ìglobally competitive infrastructure and promote 

inclusive and sustainable industrial development.î 

The industrial towns located in the Chennai Bangalore Industrial Corridor such as 

Sriperumbudur, Ranipet, Walajapet, Ambur, Vaniyambadi, Hosur, would tap the 

- 30 - 



potential of the two States to attract investment and help creation of skilled 

workforce. The establishment of such an intra-state corridor would ensure inclusive, 

sustainable and balanced regional growth. 

Thus improving the service sector such as local body services, health, education 

and recreational facilities, establishment of regional linkages would improve the 

employment opportunities and standards of living in this suburb. 

do 

Figure 5-1: Chennai-Bengaluru Industrial corridor of excellence 

2. Promote green and clean technological processes for a sustainable 

economic development 

Environment & Development are like 2 sides of a coin. One cannot sustain at the 

cost of the other. But, these two terms are often considered as conflicting elements; 

Environmental protection viewed as restricting economic development and 

Development viewed as being done to the detriment of the environment. 

Based on the studies and proposals put forward by the various agencies the CDP 

proposes the following direction for environmental up-gradation and in turn a 

sustained economic development: 

Regular monitoring and stringent enforcement of Pollution control 

regulations on the industries utilising the existing CETPs. 

Explore Alternative and affordable green technological processes for 

treatment of leather with the aid of Developed nations Involvement. 

To enlist the participation of stakeholders involved viz industrialists, 

agriculturists, local population, NGOs, Technical agencies, Voluntary 

agencies, Environmental agencies and TWIC, AEDOL, VANITEC etc for 

regular maintenance and compliance of environmental regulations. 

- 31 - 



do 

The technology and infrastructure involved may be decentralised or 

centralised based on stakeholder feedbacks and fund availability. 

Launch intensive water recharge activities to surface water bodies 

including open wells, rivers and eris, to improve water quality in this 

region. 

Need to enforce directive of Tamil Nadu Pollution Control Board, that 

the tanneries need to move to zero liquid discharge immediately. 

The TWIC ñ IL & FS Pilot project for modern water recycling facility that will aid reuse 

of water from the common effluent treatment plants (CETP) is a welcome initiative in 

this regard. The project is a part of the Rs 70-crore cluster development programme, 

which is being funded through a 75-per-cent grant from the Centre and a 25-per- 

cent contribution from the tanneries. The project involves setting up a network of 

advanced waste-water recycling plants and other effluent treatment infrastructure 

to help the leather units in the area achieve zero discharge and sludge disposal 

facilities. 

3. Create conducive environment for marketing the products and 

explore scope for further growth of export markets 

Productivity and competitiveness have become the ruling factors in judging the 

performance of the sector. To promote sustained growth of industries with 

employment generation, the strategies identified are 

Priority to upgradation of infrastructure in existing and new industrial 

areas 

Take up technology upgradation for Survival and growth of SSI sector 

Provide marketing assistance to SSI sector and promote local 

entrepreneurship 

Extending various incentives and concessions relating to tax 

Constitution of district export promotion committee 

Provide institutional framework for developing pool of human resource 

talent 

Create facilities and services of high quality to enable the industry to 

fine-tune itself to meet the challenges ahead. 

If infrastructure deficiencies are removed and business facilitation facilities are 

developed the cluster can become vibrant. 

4. Development of technical resource centers and schemes for industrial 

and social development 

Already, AEDOL has Engaged Central Leather Research Institute, Chennai to 

conduct a techno economic study for the establishment of Testing Laboratory and 

Technical Services Centre in Ambur. Also it has engaged Technical Experts to 

- 32 - 



conduct energy conservation studies in small tanneries to identify areas where there 

was scope for energy conservation. 

5. Exploiting inherent talents possessed by the local population 

Inflenced by the reign of Nawabs of Arcot, Ambur has a 

distinct and delicious cuisine. It is famous for Biriyanis, 

varieties of chicken dishes, desserts like mutanjan, gulab 

jamun, gajar ka halwa etc. A food processing unit and 

packaging unit, with or without a cold chain facility 

could be initiated as a pilot project catering to the 

regional, national and international markets. 

6. Organize Skill up-gradation training programmes 

Organising programmes and schemes such as Entrepreneurial Development 

Programmes, Management Development Programmes for existing entrepreneurs to 

improve their working, Skill Development Programmes, Energy Conservation 

Programmes, Waste minimization Programmes, Packaging for exports and Pollution 

Control Programmes, Marketing Development Assistance Scheme will support for 

the industrial development. 

5.4 ROTECTION OF PALAR RIVER BASIN 

Regular monitoring of water quality is required to maintain and restore the 

wholesomeness of water under Water Prevention and Control of Pollution Act, 1974. 

The inland water quality is monitored under two major programmes namely 

do 

1. Monitoring of Indian National Aquatic Resources (MINARS), 

2. Global Environmental Monitoring System (GEMS), 

which are funded by Central Pollution Control Board, New Delhi. Under the above 

two programmes the rivers Thamiraparani, Palar, Vaigai and lakes such as 

Udhagamandalam lake, Kodaikanal lake and Yercaud lake are being monitored. 

The Department of Environment has been implementing programmes/ projects 

under National River Action Plan: 

Palar River Conservation at Ambur, Ranipet and Walajapet 

A novel project, the first of its kind in the state has been prepared for Ambur 

Municipality for diluting the treated industrial effluent containing high Total Dissolved 

Solids (TDS) with treated domestic wastewater at an estimated cost of Rs.25.00 

crores and sent to Government of India for approval. Now a similar project has 

been prepared for Ranipet and Wallajah Municipalities at a cost of Rs.25.00 crores 

and sent to Government of India for approval. This project will be beneficial to the 

people of Ambur, Ranipet and Wallajah by providing underground sewerage 

system and minimise pollution of the River Palar besides bringing down the TDS of 

- 33 - 



the treated industrial effluent. The project will be undertaken with the 70% financial 

assistance of the Ministry of Environment and Forests and the rest from the 

contribution of the Municipality (25%) and industries (5%). 

Vision statement for Palar River Basin 

The Palar River Basin Management and Development Board (PRBMDB) is an 

apex body, which endeavours the primary role in sustainable water 

resources planning and management in an integrated manner covering the 

activities of all departments concerned. 

The Palar River Basin Management and Development Board (PRBMDB) seek to 

improve, safeguard and monitor the water and land resources programs of its 

member organizations. 

do 

To promote, advice, direct and coordinate sustainable management and 

development of water, land and forest resources including the 

environmental aspects in the basin. 

To increase awareness, participation and commitment of people and to 

protect and enhance their wellbeing. 

To follow a participatory, transparent and objective approach and become 

a model for other river basins in India. 

- 34 - 



do 

Fig 5.2 Key Environmental Issues ñPalar River Basin 

Figure 5-2: Key Environmental Issues ñPalar River Basin 

- 35 - 


Chapter ñ 6 Final Report: Ambur Municipality 

6 HOUSIING AND SLUMS 

6.1 EXISTING HOUSING SCENARIO 

6.1.1 Housing Condition 

This section presents the existing housing condition in the city. It is important to 

review the condition of housing in the city in order to understand the quality of life of 

people and also to examine existing housing stock and correctly estimate the 

demand in the near future. 

There are 17,017 houses for Residential purpose. These houses are further classified 

into permanent, semi-Permanent and temporary units where 70% of the residential 

units are permanent structures while 18.52% accounts for Semi Permanent and the 

remaining 11.78% as Temporary residential units. 

Town Residential Houses Permanent 

do 

Table 6-1: Housing Condition 

- 36 - 

Semi- 

Permanent 

Temporary unclassified 

Ambur 17017 11,859 3,151 2,004 3 

Source: Source: Housing and Household amenities census, Census of India, 2001 

18.52% 

Figure 6-1: Break- Up of Housing Condition 

Source: Compiled from Housing and Household amenities census, Census of India, 2001 

6.1.2 Housing Stock 

11.78% 

0.02% 

Permanent Semi- Permanent Temporary Unclassified 

69.69% 

There are 21,140 Census houses out of which 17,017 households are used for 

residential purpose. The average size of the household for the town is 5 which is quite 

comparable to the national level urban household size. The average household size 

is on a higher side when compared to state and district household sizes. 



do 

Table 6-2: Existing Housing Stock 

Population No. of Households Average HH Size 

Tamil Nadu Urban 27483998 6381600 4.31 

Vellore District 3477317 756365 4.60 

Vellore District Urban 1307998 272982 4.79 

Ambur (M) 99624 18095 5.12 

Source: Compiled from Primary Census Abstract, Census of India, 2001 

6.1.3 Existing Housing Demand- Supply Gap 

Housing shortage is estimated on the basis of availability of 'minimum standard 

house' that excludes dilapidated dwelling units and houses in slum areas. 

The total number of Residential Units accounts for 17,017 and total number of 

households are 18,095 thus the total demand supply-gap is 1,078 Residential Units. 

Out of 17,017 total residential units, 3,018 households are in the slums thus accounts 

to 17% of total housing units are in the slums which also adds up to the housing gap 

(Vide Table 6-3). 

Total 

Census 

Houses 

Total Occupied 

Residential 

Units 

Table 6-3: Existing Demand- Supply Gap 

HHS/Resi. Unit 

- 37 - 

Demand Supply 

Gap (No. of 

HHS) 

Number of 

dwelling 

units in 

slum 

21140 17017 16.78 1078 3018 4096 

Source: Compiled from Housing and Household amenities census & Compiled from Primary Census Abstract, Census of India, 2001 

6.2 EXISTING SLUM SCENARIO 

6.2.1 Slum Population 

There are total 11 slums in the town and 15.15% of the total population (15,089 

persons) lives in slums (Vide Table 6-4). Total 6,914 households live in slums at present 

have average household size of 3. The location of slums are shown in figure 6.2 

Table 6-4: Existing Slum Population 

S.no Name of Slum Ward No Population No.of House Hold 

1 

Sandhorar Kuppam 

Colony 

33 1035 695 

2 Ahzapuri 35 1820 827 

3 Samiyarmadam 36 1978 642 

4 Kaspa ñB 12,13 2013 815 

5 Sivarajapuram 6 1007 370 

6 Maligai Thopu 1 2645 1325 

7 Panner Selvam Nagar 8 957 622 

8 Anna Nagr,Amathkar 10 964 460 

Voyants Solutions Private Limited 

Gap


do 

S.no Name of Slum Ward No Population No.of House Hold 

Nagar,Salavudin Nagar 

9 Sami Nagar 10 548 100 

10 Kattai Medu 27 1186 488 

11 Kambi Kollai 20 936 570 

Slum Profile 

Total 15,089 6914 

Slums have developed in the wards 1,6,10,12,13,20,27,33,35 and 36 resulting into 

unhealthy living conditions. 

Most of the slum dwellers are migrants from hinterland of the town and from the 

neighboring districts and more than half of them are staying for more then 10 years 

in the town. 

S.No Ward 

No 

Table 6-5: Details of infrastructure available in slums 

Water Supply in 

Nos 

HSC PF Power 

Pump 

Sanitation 

in Nos 

- 38 - 

SWD 

in 

meters 

Road 

in 

meters 

Street 

Light in 

Nos 

T.L SVL 

School 

Building 

1 33 97 12 2 1 760 830 - 5 - 

2 35 54 10 1 1 680 800 15 5 1 

3 36 - 3 1 1 275 300 - 3 - 

4 12 

&13 

in Nos 

182 15 1 2 1950 2200 80 10 1 

5 6 4 4 - - 320 400 5 2 - 

6 1 62 10 1 1 530 600 10 3 - 

7 8 64 10 1 1 575 650 8 2 1 

8 10 6 7 3 - 280 300 20 6 - 

9 10 - 2 1 - 430 550 12 - - 

10 27 5 4 1 1 - 240 4 1 - 

11 28 - 50 1 - 180 2000 15 5 - 

Total 11 474 127 13 9 5980 8870 169 42 3 



Figure 6-2: Ambur Municipality 

. - 39 - 



6.2.2 Slum Improvement Programmes 

Currently only Integrated Housing and Slum Development Program (IHSDP) is in 

operation for slum improvement in Ambur town. This programme is taken up by 

Ambur Municipality and is now under operation. 

6.3 ISSUES 

Due to improper monitoring and implementation of development regulation more than 

one-third of the town population lives in slums (15.15% of the total population lives in 

slums) 

Lack of access to services in wards where dominance of slum prevails and on the land 

developed for housing by private developers 

Lack of basic services leads to open defecation and garbage disposal within the municipal 

limits 

Dominance of sub-standard urban basic services 

Increasing informal settlements on public lands by low income in-migrants due to 

unaffordable land supply within municipal limits 

Increasing inadequate serviced land for housing within municipal limits 

Lack of awareness regarding health and hygiene 

Unregulated physical development 

6.4 PROPOSAL 

Proposal has been prepared for ISHDP scheme at an outlay of Rs.2,272.00 Lakhs for 

improvement and up-gradation of shelter as well as other amentias in 11 slum areas. The 

nature of work is to be taken under this scheme as follows. 

Table 6-6: Proposal for Integrated Housing and Slum Development Programme (IHSDP) 

S.No Name of Work Nos Length of the Road in 

km 

1 Dwelling Units 2376 - 1900.00 

2 .B.T.Roads 10 8.620 183.50 

3 C.C Roads 6 3.800 57.00 

4 Street Lights 60 - 4.50 

5 Strom Water Drain 14 11.650 126.20 

Total 2466 24.070 2272.00 

6.5 SWOT ANALYSIS 

- 40 - 

Amount in Lakhs 

This section identifies the Strengths, Weakness, Opportunities and Threats for this 

sector based on the analysis, stakeholderís consultation and observation. 



Status 

Though Only 7 Percentage of 

households have a House 

Service Connections and the 

remaining get water from 

Public fountains 

Unavailability of organized 

housing schemes 

Majority of the households live 

in their owner occupied, onestoried 

dwellings units and 

having 1 or 2 rooms. 

6.6 CONCLUSION 

Strength / 

opportunities 

7 Percentage of 

the population 

have access to safe 

drinking water 

Satisfactory 

housing conditions 

with the scope of 

better 

maintenance & 

control and 

better quality of 

life 

- 41 - 

Weaknesses/ threats 

The Slum Population has not been 

provided with safe water supply and 

still depends on unhygienic sources of 

water. 

To provide minimal level of community 

services, the private developers use to 

develop small chunks of land of limited 

size. And by introducing these small 

chunks of land a vast area remains 

blank with necessary community 

facilities over a time. 

It is evident from the above analysis that the housing shortage is not very significant 

in the town. But, supply of housing for economically weaker section is an important 

concern as it is gives rise to slum population in the town. Lack of urban services is a 

major concern in the housing scenario of the town. It is essential to give attention to 

housing facilities for all sections of the society to improve livability of the town on the 

whole. 



7 IINSTIITUTIIONAL FRAMEWORK 

In order to give effect to the provisions of 74th CAA, the municipal structure was 

revised to include elected council to the already existing administrative setup. For 

this purpose elections were held in every municipality under the new act once in 

every 5 year. The organizational structure of the Ambur Municipality generally 

consists of Elected Council and Executive wing. 

7.1 ELECTED COUNCIL 

The Elected Council, the political wing consists of 36 elected councilors. Each 

Councilor represents one electoral ward. The Councilors in turn elect the 

Chairperson as head of the Municipal Council. The chairman is the head of the 

municipal council and he is assisted by vice chairman. 

To assist the council in its functioning, the following 4 administrative committees 

have been constituted namely: 

Appointment committee 

Agreement/Contract Committee 

Taxation Appeal Committee 

Local Planning Authority 

The committees consist of the Chairman, the Municipal Commissioner and elected 

Councilors as members. Appointment Committee is a statutory committee, and the 

Chairman of the Municipality is also the Chairman of the committee. The 

Committee is responsible for making appointments for posts which fall under the 

purview of the Appointing Committee. Contract Committee is another statutory 

committee and quotation of works is finalized by the Contract Committee. The 

Taxation Appeal Committee is responsible for hearing of appeals of the tax items. 

The Council is the decision making as well as policy making body. 

- 42 - 



7.2 EXECUTIVE WING 

Figure 7-1: Organisational structure of Ambur Municipality 

The executive wing is responsible for the Municipal operations and maintenance. 

The Commissioner is the administrative head of the executive wing and is supported 

mainly by 5 department heads in the Municipal operation and maintenance. The 

organization structure of the Municipality comprises of 5 functional departments 

namely, 

GENERAL: Financial 

Administration 

and Budget & Accounts 

1. General Administration 

2. Engineering and Water Supply section 

3. Accounts Section 

Executive Body 

Commissioner 

PUBLIC HEALTH: Sanitation, 

Drainage Public Health, 

Birth & death registration 

TOWN PLANNING: Planning, 

Designing and Approval 

4. Public Health Section and 

5. Town Planning Section 

7.2.1 General Administration 

AMBUR 

MUNICIPALITY 

ENGINEERING: Water 

Supply, Road laying 

and Street lights 

REVENUE: Tax 

& Non Tax 

Collection 

The municipal commissioner is the executive head of the ULB. He is supported by 

department head like, Municipal Engineer, Town Planning Officer and Manager. 

Manager is the head of the General Administration next to Commissioner and he is 

responsible for general supervision and Administration of Office. The Administrative 

wing looks after general administration of the Municipality including establishment 

matters such as appointments, pay and allowances etc., correspondence with 

Government and other departments, public relations, redressing of public 

- 43 - 

Elected Body 

Chairman 

Vice Chairman 

Ward Councilor 



grievances, legal matters and lawsuits and all matters related to office 

administration. All establishment matters are dealt with in the General 

Administration. 

7.2.2 Health Section 

The Municipal Sanitary officer is the overall in-charge of the Health Section. He looks 

after the prevention of Food Adulteration, conservatory work including sweeping of 

Streets maintenance of Drainage, controlling of epidemic diseases, ensuring of 

license to D&O trades, Birth and Death Registration, issuing birth and death 

certificate and also responsible for removing of dead animals and stray animals. The 

Sanitary Supervisor and Sanitary Workers are assisting the Municipal Health Officer. 

The Municipal Health Officer is also responsible for solid waste management. 

7.2.3 Engineering Section 

The Municipal Engineer is the over-all in-charge of Engineering Section. Municipal 

Engineer will control the Assistant Engineer, Technical Assistant, Road Mazdoor, 

Electrical Superintendent, Wireman, Helper and Fitter working in the section. The 

Municipal Engineer looks after the maintenance of Street lights, Road laying, 

construction of building, drainage, maintenance of parks, head works and 

municipal vehicles. The other subordinate officers are assisting the Engineer to look 

after the above work. 

7.2.4 Town Planning Section 

The Town Planning Officer is the over all in-charge of the section. He looks after the 

work of preparation of Master Plan, maintaining the land use as per the approved 

master plan, Licensing of plan building, booking of unauthorized construction, 

approval of lay out in the town limit, controlling and removing the encroachment in 

the town. The Town Planning Inspector will assist the Town Planning Officer in the 

planning of future development of the town and allied works. 

7.2.5 Accounts Section 

The Accounts section is included in General Section. The Accountant is the Head of 

the wing and controlling financial matters. It involves into preparation of Budget 

discipline and the Actual based Accounting System. 

The Revenue section is headed by the Revenue Inspector and the inspector is 

supported by Bill Collectors with the task collection of taxes and Non-taxes and is 

responsible for the entire collection of Revenue. 

- 44 - 



7.3 CITIZENíS CHARTER 

As per the directions of the Government of Tamil Nadu, the Municipality has 

published its ëCitizens Charterí during 1998 to bring ULBs functioning closer to the 

people. The main focus of this charter is to introduce transparency, responsibility and 

user friendliness in its service provision and maintenance. The objectives of this 

chapter are to: 

Provide fast and quality services to citizens 

Inform the public about time limits to address the problems 

To provide transparency in administration 

7.4 INFORMATION CENTRE 

In order to provide all the relevant information to the town citizens, the Municipal 

Office has a reception cum information centre which also supplies various forms 

required by public to submit applications to the ULB. This reduces the time required 

on the part of the public and also provides information needed by the people on 

the spot. 

7.5 STAFF STRENGTH POSITION AND VACANCY POSITION 

As of now, there are 213 personnels are working in various sections of the 

municipality against the sanctioned strength of 355 post. There are 142 vacancies in 

the proposed staff strength norms. The details are given in the table below: 

Table 7-1: Existing Staff Strength 

Sl. No Name of the Post (Service wise) Sanctioned strength 

General Service 

- 45 - 

Present staff 

strength 

1 Manager 1 1 

2 Accountant 1 1 

3 Assistants 2 2 

4 Junior Assistant 9 9 

5 Typist 2 1 

6 Record Clerk 1 2 

7 Revenue Inspector 1 2 

8 Revenue Assistant 8 8 

9 Data Entry Operator 1 1 

10 Office Assistant 6 6 

Engineering Service 

Total 32 33 



Sl. No Name of the Post (Service wise) Sanctioned strength 

1 

2 

Assistant Executive Engineer 

(Municipal Engineer Grade-II) 

Assistant Engineer / Junior Engineer 

(Public Works / Water Supply) 

- 46 - 

Present staff 

strength 

1 1 

2 1 

3 Public Works Inspector/Overseer 1 1 

4 Draughtsman 0 0 

5 Work Inspector 1 0 

6 Tap Inspector 2 0 

7 Electrician Grade - II 3 2 

8 Pipe Line Fitter Gr-I / Gr-II 2 1 

9 Tube Well Mechanic Gr-II 2 1 

10 Wire Man 4 2 

11 Helper 4 2 

12 Turncock 1 4 

13 Helper (W/S) 2 0 

14 Fountain Cleaner 4 2 

Public Health Service 

total 29 17 

1 Sanitary Office 1 1 

2 Sanitary Inspector 5 2 

3 Maternity Assistant 5 3 

4 Field Assistant 1 0 

5 Maternity Ayah 5 3 

6 Sanitary Supervisor 12 10 

7 Public Health Peon 1 0 

8 Driver 8 7 

9 Sanitary Worker 251 133 

Town Planning Service 

Total 289 159 

2 Town Planning Officer Grade 1 1 0 

4 Town Planning Inspector 2 2 

5 Chainman 2 2 

7.6 ADDITIONAL STAFF REQUIREMENT: 

Total 5 4 

Total 355 213 

The responsibility for good governance and management is vested with the 

Municipality. Although, the municipality is responsible for overall development of 

the town including provision and maintenance of services, there are other agencies 



responsible for planning, development and provision of specific services. Such key 

stakeholders include: 

Table 7-2: Additional Staff Requirement 

Sl No Name of the Post Section No. of Personnel 

1 Accountant for Infrastructure project General 1 

2 Revenue Inspector General 2 

3 Assistant Engineer/ Junior Engineer 

(WS, UGSS, UIDSSMT & IHSDP Projects) 

- 47 - 

Engineering 2 

4 Overseers (UIDSSMT & IHSDP Projects) Engineering 2 

5 Town Planning officer Town planning 1 

Total 8 

Source: Analysis and discussions with Municipal officials 

7.7 INSTITUTIONAL FRAMEWORK FOR SERVICE DELIVERY 

The responsibility for good governance and management is vested with the 

Municipality. Although, the municipality is responsible for overall development of 

the town including provision and maintenance of services, there are other agencies 

responsible for planning, development and provision of specific services. Such key 

stakeholders include: 

Table 7-3: Institutional Framework for Urban Service Delivery 

S.No Services Planning and design Implementing 

1 Master plan preparation and 

Updation 

agency 

DTCP Municipality 

2 Water Supply TWAD TWAD 

3 Sewerage TWAD TWAD 

4 Drainage ULB ULB 

5 Solid waste Management ULB/CMA/TNUIFSL ULB 

6 Roads and Highways Highways dept / 

Municipality 

Highways dept / 


7 Bridges and water bodies Municipality / CMA/PWD Municipality / PWD 

8 Street Lighting Municipality/TNUIFSL Municipality 

9 Parks and playfields Municipality Municipality 

10 Health and Education GoTN / Municipality GoTN / Municipality 

11 Slum Development Municipality/ TNSCB Municipality 

12 Environmental protection TNPCB 



7.8 ORGANIZATION MANAGEMENT 

As been seen from various sections of the report particularly relating to service 

deliveries, there are gaps of various sizes which result in a shortage in the delivery 

system. This could be overcome by certain specific options: 

In most of the service sections of the Municipality, there are vacancies which 

could be filled up. This alone may not ensure a totally satisfactory delivery of 

the services as it requires an efficient personnel management. 

The organization and delivery mechanism in some of the important personnel 

intensive service sectors has to be modernized. To mention the important few 

particulars relate to Solid Waste Management, where large no. of workers 

and staff are involved, could be modernized resorting to localized and more 

efficient composting and Landfill system. This could be assigned to NGOs, 

voluntary organizations or even the respective resident associations in the 

various colonies. This is a remunerative venture as is proved in many places. 

This process not only will significantly reduce the burden of the Municipality in 

engaging workers and staff but also will improve its resource position either 

through substantial reduction in a cost of solid waste management and / or 

could improve in the resource position as a remunerative venture. 

Tamil Nadu Urban Infrastructure and Financial Services initiated action to 

identify Landfill site through GIS in combination with 2 or more municipality as 

a centralized disposal of solid waste. This will reduce the cost of solid waste 

management for each municipality. 

Privatizing the operation and maintenance of water supply system, 

collection of taxes and fees and maintenance of public assets particularly 

sanitary and public health units is a well known option. This could be taken 

up under joint venture between urban local body and private sector. 

- 48 - 



8 URBAN IINFRASTRUCTURE AND SERVIICES 

8.1 WATER SUPPLY 

8.1.1 Existing Scenario for Water Supply 

As per 2001 census data, population of the Ambur Municipality is 99,624. For the 

population of 99,264, the per capita water supply on an average was maintained at 

90 lpcd. The present requirement of the town is 89.9 lakh litres per day. The major 

sources of water comes from the following 

Pachakuppam Head Works 

Anaimadugu Source 

Nariyampattu Source 

The above are the regular sources of water; other local sources include open wells, 

bore wells, supplies by municipal Lorries and private contractors. There are about 

178 hand pumps and 24 mini power pumps in the municipality. The actual Per 

capita supply is 67.1 lpcd. 

The tanneries situated around Ambur Town discharges effluent directly into the Palar 

River and due to this, water from river Palar has become non potable. 

The water supply distribution line coverage is 63% of total municipal roads that is 105 

Km. 

Table 8-1: Break up of Water Supply Connections 

S. No. Type No. of Connections Percentage of Total 

1. Domestic 6977 96.00 

2. Non-Domestic 247 4.00 

Total 7224 100.00 

Non- 

Domestic 

4% 

- 49 - 

Domestic 

96% 

Figure 8-1: Break up of Water Supply Connections 



Table 8-2: Classification of Sources of Water by type in Ambur 

Location Total no. of 

house holds 

- 50 - 

Sources of drinking water 

Protected Unprotected 

Tap Hand 

pump 

Tube 

well 

Well Any other 

Within Premises 9,450 6,488 102 520 2,297 43 

Near Premises 5,049 3,217 447 661 544 180 

Away 3,596 1,060 690 239 552 1,055 

Total 18,095 10,765 1,239 1,420 3,393 1,278 

% of House Hold 59.49 6.85 7.85 18.75 7.06 

Source: compiled from Housing and Household Amenities, Census of India 2001 

From the above table, we can easily assess that the most common form of 

obtaining water is through taps which accounts for 59.49% of the total households. 

Out of all the sources of drinking water, 66.34% accounts for protected sources of 

drinking water while unprotected sources account for 33.66%. 

8.1.2 Sources 

The major sources of water are from the Anaimadugu Source, the Pachakuppam 

Head Works and the Nariyampattu Source. Given below are the major regular 

sources. Apart from these there is distribution of water by Municipal Lorries and 

Private contractors. 

S. 

No. Source 

1 

2 

3 

4 

Palar 

River 

Malata 

r River 

Open 

Well & 

Bore 

Well 

Open 

Well & 

Name of 

Scheme 

PachaKuppam 

* 

Table 8-3: Details of Scheme and Head works 

Collecti 

on Well 

Sarangal 1 

Infiltratio 

n Well 

(Nos) 

Sump 

capacity 

& Motor 

Details 

1 2 Nil 

5 Open 

Wells 

2.00 LL 

20 HP 

3250 

LPM 

18 m 

Head 

Nariyampattu 1 Nil Nil 

Vannandurai 

Nil 

Anaimadugu Nil 

2 Open 

wells & 2 

Bore 

Wells 

2 Open 

wells & 2 

0.30 LL 

5 HP 

520 LPM 

22 m 

Head 

0.30 LL 

7.5 HP 

Motors Details 

120 H.P 

7500 LPM 

50 m Head 

7.5 HP -3 Wells 

750 LPM 

20 M Head 

3 HP -2 Wells 

500 LPM 

16 m Head 

15 HP 

750LPM 

53 m Head 

3 HP 

260 LPM 

5 M Head 

10 HP 

500 LPM 


Quantity 

Pumped 

70.00LL 

D 

43 LLD 

9 LLD 

4 LLD 

4.2 LLD


S. 

No. Source 

5 

6 

Bore 

Well 

Open 

Well & 

Bore 

Well 

Open 

Well & 

Bore 

Well 

Name of 

Scheme 

Nadeeseelapu 

ram 

Sanikanavaim 

edu 

Collecti 

on Well 

Nil 

Nil 

Infiltratio 

n Well 

(Nos) 

Bore 

Wells 

1 open 

well & 1 

Bore Well 

1 open 

well & 1 

Bore Well 

* Not finctional due to more salt content in that source 

Anaimadugu Source 

- 51 - 

Sump 

capacity 

& Motor 

Details 

625 LPM 

30 m 

Head 

Motors Details 

5 m Head 


Quantity 

Pumped 

Nil 7.5 HP 1.00LLD 

Nil 7.5HP 2.0 LLD 

As the source of the original scheme has been polluted and has become non 

potable, the Municipality has purchased 2 open wells in Anaimadugu to supply 

potable drinking water which is totally pollution free. A total of about 1.00 Lakh litres 

per day is pumped from these two wells to the system mostly of 50mm pipe laid in 

the town and supplied directly through 475 public fountains. This source is the only 

potable supply to the town. 

Nariyampattu Source 

Anaimadugu Collection Well 

To augment the existing potable water supply to Ambur Municipality, an immediate 

augmentation of WSS to Ambur Municipality has been sanctioned for Rs. 60.00 Lakhs 

vide B.P. Ms.no.361/dt.22.08.97. This scheme envisages supply of 9 Lakh litres of 

potable water daily to Ambur. As per the proposal, an infiltration well of 3.5m dia


has been sunk in the River Malatar and water from this well is pumped to the town 

by 15HP submersible pump set of 150mm dia AC pipes to a length of 8 Km . By 

letting of tannery ñ effluents in River Malatar near Mathenapalli, this source has also 

been polluted. The people are using this water for washing purposes only. 

Nariyampattu Collection well 

New Sarangal Water Supply Scheme 

A new water supply scheme namely new Sarangal Water supply scheme was 

executed by TWAD Board. This scheme has been designed to supply 53 Lakh Litres 

of potable water from the sources of Malattar River and Sarangal River. This scheme 

has 3 Nos of infiltration wells of 4.5 m diameter at Malattar River and 2 wells of 

infiltration each of 3.5 m Diameter at Sarangal River and 2 open wells each of 8m 

diameter at Vannanthurai being sources. From the Sarangal ñ Malattar infiltration 

wells water has been pumped to the sump to the 10 Lakhs liters capacity service 

Reservoir located at Azhagapuri and 3 Lakh Liters capacity service reservoir at 

Kaspa B and 60,000 Liters capacity service reservoir at Nathiseelapuram. From this 

scheme 42.00 Lakhs Liters potable water is supplied. 

Saranagal Head Works 

- 52 - 


S. 

No. 


V.K Puram OHT 

8.1.3 Storage and Distribution Network 

There are six elevated service reservoir and two sumps in use. The total storage 

capacity of elevated service reservoirs is 19.20 Lakh Litres. The total length of 

distribution is 66.65 Km. 

Name of local 

reservoir 

Table 8-4: Location of Reservoirs and Sumps 

Capacity 

in lakhs 

liters 

Zone 

Noís Wards Covered by Respective Reservoir 

1 Azhapuri 10.00 1 1,2,3,14,15,16,17,18,19,20,21,22,23,24,25,26,27,35,36(40%) 

2 Kaspa ñB 3.00 2 4,5,6,10,,13,22,23,24,25,26,27,28(40%) 

3 Bethalegam 2.00 3 29,30,,31 

4 

Sandrorkuppam 

Mandakarai 

2.00 4 

32,33,36(60%) 

5 

Nethiseelapuram 

Mosque 

0.60 6 

8,9 

6 

Sanikanavai 

medu 

0.60 5 

28(60 %) 

7 

V.A.Kareem 

Road Sump 

0.60 7 

20,23,24,25,26 

8 Kapsa B Sump 0.40 8 7 

Total 19.20 8 36 

Source: Compiled from data provided by Municipality, Ambur 

- 53 - 



Figure 8-2: Schematic water supply flow diagram for Ambur Municipality 

- 54 - 



The current practice of water transmission and distribution indicates that the water is 

drawn both through pumping and gravity methods from the sources and 

transmitted to the Ground level service Reservoirs located at various zones. Then the 

water is distributed for the local supply through individual service connections and 

public stand posts located at the various locations. 

The existing distribution system comprises of distribution network from the service 

reservoirs to the individual house service connections and public fountains/stand 

posts, which covers 63% of the total municipal road length (105 Km) in the town. The 

existing network system is laid out to cover dense population located in the different 

parts of the town. 

Table 8-5: Water Supply Distribution Details in Ambur Town 

Source: Compiled from data provided by Municipality, Ambur 

8.1.4 Demand Supply Scenario 

Distribution system Details 

Network length 66.55 km 

Storage capacity 19.2 Lakhs Liter 

Storage reservoirs 8 Nos 

At present, the per capita supply of water is 67.1 lpcd which is supplied for the 

duration of two hours at alternative day to all household connections and public 

fountains. The current water requirement is 89.90 Lakh litres per day. As per CPHEEO 

standard for a town which has a sewerage system, required to supply water @ 135 

lpcd. So the demand of water supply is calculated @ 135 lpcd. Table 8.6 summarises 

the demand supply scenario in the town. 

Year 

Table 8-6: Supply gap Analysis 

2007-08 

(Current Year) 

2009 

(Base year) 

- 55 - 

2024 

(Intermediate 

year) 

Population 108000 114200 146500 185000 

Per Capita(LPCD) 67.1 135 135 135 

Demand @135 LPCD 

(LLD) 

145.80 154.17 197.77 249.75 

Supply of Water(LLD) 67.50 67.50 67.50 67.50 

Gap(LLD) 78.30 86.67 130.27 182.25 

Source: Compiled from data provided by Ambur Municipality 

2039 

(Ultimate Year) 

It can be inferred from the table 8.6, there is a large gap between current demand 

and supply of water. 



8.1.5 Performance Indicators 

Attributes Components Indicator Formula Value unit 

Service 

Level 

Service 

Coverage 

Service 

Delivery 

Treatment 

plant capacity 

Storage 

capacity 

Service 

coverage in 

Slums 

Population 

coverage 

Physical 

coverage 

Water supply 

per day 

Average hours 

of supply per 

day 

Average 

number supply 

days in a week 

Treatment 

plant capacity 

as percentage 

of surface water 

supply 

Storage 

capacity 

adequacy 

Ratio of slum 

population to 

Public Stand 

Posts 

Percentage of 

Households 

covered by 

water 

connections 

Percentage of 

water supply 

pipe Length to 

Total Road 

Length 

8.1.6 Issues in Water Supply Sector 

Total supply to the 

city per day / total 

population of the city 

Hours of supply on 

supply day / number 

of days between two 

supply day 

(Capacity of 

treatment plant 

/water supplied from 

ground water 

resources)* 100 

(Total storage 

capacity(ML)/Total 

water supplied 

(MLD)* 100 

Slum population not 

covered by piped 

network /Total Public 

Stand Posts 

(Number of water 

connection/Total 

number of 

Households)* 100 

(Length of water 

supply 

pipelines/Total Road 

length)* 100 

- 56 - 

62.50 Liters per 

capita per 

day 

2 Hours 

2-3 Day 

NA Percent 

52.74 Percent 

NA Percent 

40 Percent 

63 Percent 

The Tanneries situated around Ambur town discharges their effluent directly into Palar 

River and due to this condition of Palar River from Ambur downwards has been polluted 

The head works at Pachakkupam is completely polluted. At present no pumping has 

been made from this head works. 

From Pachakkupam head works earlier supplied 7 mld of water was drawn, but as of 

now no water is supplied from this head works. This is due to increased salt content of 

water. 



Pachakkupam Head works ñ Tannery Effluent Disposal to Palar River 

The transmission main from the Pachakuppam head works crossed its design period. 

Sarangal and Vanandurai water supply scheme can not sustainably fulfill the demand of 

the town. And the in future it will not be able to withstand pressure for additional 

demand. 

8.1.7 Proposals 

The detailed proposal and costing from our side are discussed in the chapter 10. 

8.2 SEWERAGE AND SANITATION 

8.2.1 Existing Sewerage 

There is no under ground drainage system in Ambur. Disposal of Night Soil is normally 

by way of individual facilities and liquid waste (Sullage and Kitchen Waste) is 

through the open drains. 

8.2.2 Sanitation 

The main mode of individual disposal in the town is through septic tanks, low cost 

Sanitation units and through public conveniences. The number of each form of 

sanitation facilities have been depicted in the table below. 

Table 8-7: Sanitation Facilities 

Description Detail 

Septic Tanks 14318 

Low Cost Sanitation 177 

Dry Latrines NIL 

Total HHs with Sanitation 14318 

- 57 - 



HHs without Sanitation 5766 

Community Facilities Available in all slum 

Public Conveniences 12 

Total Number of Seats 166 

Source: Ambur Municipality 

Safe mode of 

disposal 

Unsafe mode of 

disposal 

Table 8-8: Classification of modes of sanitary waste disposal by type 

Facility by Type Households Percentage Mode 

Pit latrine 2077 11.48 

Water closet 10,154 56.11 

Other latrine 1,186 6.55 

No latrine 4,678 25.85 

- 58 - 


67.59 

32.41 

Total Households 18,095 100 100 

Source: compiled from Household and Housing Amenities Census, Census of India 2001 

Other latrine 

7% 

No latrine 

26% 

Pit latrine 

11% 

Water closet 

56% 

Figure 8-3: Status of Toilet Facility in Ambur Town 

Apart from this, municipality is maintaining 14 public toilets in different areas of the 

town. However, considering the floating population, there arise a need for provision 

of public toilets and Pay and Use toilets especially in the commercial localities and 

other public places like bus stand, Auto stand etc. 

8.2.3 Issues in Sanitation Sector 

Lack of sewerage system and sewage treatment plant. 

At present, open storm water drain used for sewerage system and finally itís is disposed 

to palar river, without treatment. 

Septic tank is the major mode of disposal which may pollute the ground water with 

microbial pollution. 

Public conveniences are not adequate in the town. At the same time, there has no place 

to build the additional public convenience in the municipality limit. 

8.2.4 Proposals by the Municipality / TWAD Board 

The TWAD board proposed the sewerage scheme at an estimate cost of Rs 3950 

Lacs. The detailed proposal and costing from our side are discussed in the chapter 

10. 

Unsafe 

Mode 

Safe 

Mode


Zone 

Details 

Zone ñI 

Table 8-9-Zone wise demand Estimation for Provision Sewerage Facilities 

Description Base Year- 

2009 

- 59 - 

Intermediate - 

2024 

Ultimate -2039 

Population 114200 146500 185000 

Sewage Quantity(MLD) 11.42 14.65 18.58 

Table 8-10-Under Ground Drainage system ñSalient Features 

s.no Description Size 

1 Collection System 

Sewer Length (m) 81727 

2 Main Pumping Station 

3 Pumping Station 

4 Pumping Main 

Screen Well 7m dia X 7.50 m depth 

Grit Well 8.60 m dia X 7.21 m depth 

Collection Well 8.20 m dia X 8.51m depth 

Detention Period 10 Min 

70 HP -2 Nos -10174 lpm X 15 m 8 m X 6 m -1 No 

140 HP -1 No -20348 lpm X15 m 10 m X 6 M- 1 No 

Main Pumping Station to STP 800 mm DI pipe ñ 2.00 Km length 

Grit Well 2.00 m dia X 2.90 m depth 

6 Sewage Treatment Plant 14 MLD 

7 Technology of treatment Waste Stabilization Pond(WSP) 

8.3 STORM WATER DRAINAGE 

8.3.1 Existing Condition of Storm Water Drainage 

The drainage system is divided into the natural drains/nullah and storm water 

drainage system. The storm water is diverted into these drains which are connected 

to the Palar River. The storm water drains also carries the sullage and sewage water. 

The Palar River in the down steams area and mix with the Palar River. This poses a 

health hazard and the natural water system needs to be addressed through a 

proper treatment facility for the Palar River. This aspect requires immediate attention 

as the river water is used for drinking purpose. Altogether the existing storm water 

drains characterized by the low carrying capacity due to encroachments in the 

urban area, which reduces the regular flow and add constraint to the existing 

drainage system. About 65% of the roads are provided with storm water drainage, 



which are drained through available natural terrain condition. The observation 

relating to storm water drainage facility indicates inadequate designing, as majority 

of the drains are provided in bits and pieces without any integration between the 

drains; this is due to the presence of scattered development and undulating terrain 

condition in Ambur town. 

Strom Water Drainage ñ Under Construction - Kaspa B 

Table 8-11: Storm Water Drainage Coverage 

Drain Type Length (K.m.) Percentage Coverage (%) 

Total Drains(Km) 68.00 65 

No Drainage facilities 37.00 35 

Total Road length (Km) 105.00 100 


8.3.2 Household Connectivity to Drainage 

The table 8-12 shows that there are 23% of the houses are not connected with any 

type of drainage system while 39% of the houses are connected by open drainage 

i.e. earthern drainage. In the town 38% of the houses are connected with pucca 

drains. Apart from absence of comprehensive drainage system, the town is also 

lacking a treatment plan and the drainage directly flows in to the Palar River. 

Table 8-12: Existing Drainage Scenario 

S. No. Type of Drainage Percentage coverage of houses 

1. Closed drainage 38 

2. Open drainage 39 

3. No drainage 23 

Source: Housing & Household Amenities Census, 2001 

- 60 - 




Attributes Components Indicator Value unit 

Service level Strom water drains 

8.3.4 Issues in Drainage Sector 

percentage of road length having 

storm water drains 

- 61 - 

65 percentage 

Water stagnation is increasing in the katcha drains rather than the pucca drains in the 

town. About 23% of the households neither have a kutcha drain or drainage facility 

which needs a comprehensive planning. 

Kaspa ñB ñ Earthern drain 

Water stagnation is increasing due to dumping of garbage in the open storm water drain 

The mixed sewage and storm water were disposed in the Palar River without any 

treatment. 

The following main area are the most predominant water stagnation area : Ambur town 

police station to P.M.S Kollai , Kannadiyar Street to Kannar, Nethaji Road to Bazaar 

Junction, Bethalegam 1 to 11 Street, E.B office to bridge , Asananmbut 

Road,Kambikollai 


At present, municipality has temporary solutions like providing street storm water 

drain. For horizon year, the needs of the storm water drains are discussed in the 

Chapter10. 

8.4 SOLID WASTE MANAGEMENT 

8.4.1 Generation of Solid Waste 

Ambur town generates 40 MT of Solid Waste per day which is about 400gms per 

capita per day. The Solid Waste collected is transported and disposed daily. The 



efficiency of the present mechanism can be able to collect 80% of the total waste 

generated in the town. The Urban Local Body also carries out weekly mass waste 

cleaning programme to clear the left out wastes by utilizing extra vehicles trips in the 

town. 

Table 8-13: Sources of Waste Generated from Ambur Municipality 

Waste Composition Quantity(in MT) % Generated 

Residential 21.20 53% 

Street Sweeping 4.80 12% 

Commercial Establishment 10.40 26% 

Institutional 2.00 05% 

Hospitals & Nursing Home 1.60 04% 

Total 40.00 100% 


Out of the total waste generated, the major portion comes from the residential or 

domestic waste which accounts for 21.20 MT or 53% of the total waste generated. 

The next highest producer of waste is from commercial establishments which 

accounts for 26% of total waste generated. Compared to the other sources, 

Medical waste comprised the minimum waste that is generated in the town. 

8.4.2 Collection of Solid Waste 

The Solid Waste collection mechanism is extended in 5 Zones, which covers the 

entire Ambur town. In total 9 wards the garbage is collected from door to door 

method other than in the 4 Zones. The total collection altogether can able to 

achieve 80% of coverage in the waste generated in the town which accounts for 32 

MT of waste. 

Table 8-14: Zone-Wise Collection 

Sanitary Division Wards Covered Total wards 

1 17,18,19,27,32,33,34,35,36, 9 

2 4,5,6,12,13,14,21,22 8 

3 1,2,3,15,16-1 5 

4 7,10,11,20,23,24,25,26 8 

5 8,9,28,29,30,31 6 


Table 8-15: Solid Waste Practices in Ambur Town 

- 62 - 

Total 36 

Type of Practices Availability Practice Duration 

Yes No Daily Half Weekly Weekly 

House-to-house waste collection 

Central collection 

Street sweeping and collection of 

sweeping wastes 



Secondary Segregation 

Desilting of storm water drains 

Desilting of sewer lines 

Desilting of service drains 

Secondary waste collection 

Transportation of wastes 

Disposal of wastes 

Source: Public Health Department, Ambur Municipality 

Table 8-16: Number and Type of dustbins for waste collection 


8.4.3 Transportation Facilities 

Vehicle Nos. 

Transfer Stations 0 

Collection Bins 139 

Collection boxes Nil 

Waste collection is mainly done by Tractor, Mini lorry, Cycle rickshaw, and push- 

carts. In this Municipality door to door garbage collected using cycle rickshaw and 

push-carts in 26 wards. 

Secondary Collection ñ Ahmedi Nagar 

Table 8-17: Detail of Vehicles for Solid Waste Management in Ambur Municipality 

S. No. Using Section Type of Vehicle Registration 

Number 

- 63 - 

Make 

1 Public Health Mini Lorry TN 23 W 4528 Tata 

2 Public Health Lorry TAI 2453 Ashok Leyland 

3 Public Health Tractor TN 23 Y 9886 HMT 

4 Public Health Tractor TN 23 Y 8707 HMT 



5 Public Health Tipper Lorry T.N. 23AY 7158 Tata 

6 Public Health Tipper Lorry T.N. 23A 7245 Tata 

Source: Public Health Section, Ambur Municipality 

Table 8-18: Number and Type of vehicles used for Transportation 

Vehicle Nos. 

Tractor 2 

Tipper Lorry 2 

Tricycle/ Rickshaw 25 

Mini Lorry 1 

Rubbish Cart 8 

Push Cart 25 


8.4.4 Disposal of Solid Waste 

The land fill is only an open site where there is no systematic dumping (or) Scientific 

method of waste disposal. Moreover the existing dumping yard is situated very close 

to residential area, polluting the air and ground water in the surrounding residential 

environment. A new site has purchased at Tharvazhi II for Compost yard having 8.77 

acres. 


Attributes Components Indicator Value Unit 

Service level 

and coverage 

Service cost 

and efficiency 

Waste 

collection 

Capacity of 

bins 

Coverage 

Financial 

management 

Percentage of waste collection 80 Percentage 

Percentage of capacity of waste 

collection bins 

Average road length covered per 

- 64 - 

sweeper 

Cost per tone of waste collection 1502.60 

21.84 Percentage 


3 

Km per 

sweeper 

Rs per 

M. 

Staff efficiency Manpower per tone 4 Person


8.4.6 Issues in Solid Waste Management Sector 

The land fill is only an open site where there is no systematic dumping or Scientific 

method of waste disposal. 

Compost Yard ñ Bethalegam( Not operating) 

There has no scope for transfer station due to non ñ availability of open land. 

Lack of Safety suits - Injurious to the health of the sanitation workers and reduces the 

productivity of the manpower. 

Un-authorised solid wastes are dumped in the open storm water drain and palar river. 

8.4.7 Proposal 

At present, municipality has temporary solutions or proposals like buying vehicles, 

extend the compost yard area. For horizon year, the needs of the solid waste 

management proposal are discuss in the Chapter10. 

8.5 STREET LIGHTING 

8.5.1 Status of Street Lighting 

The Municipality is expected to provide lighting facilities in all the streets and other 

public places like parks, public tanks, markets, bus stands, etc., situated within the 

Municipal area. To provide this facility the Municipality has got a lighting account 

ear - marked for provision and maintenance of street lights. 

There are a total of 2,090 lights that light up the town. Out of which , there are 1,785 

Tube Lights of 40 W, 50 Sodium Vapour Lamps of 70 Watts, 175 Sodium Vapour 

Lamps of 150 Watts and 80 Sodium Vapour Lamps of 250 Watts. 

- 65 - 



The tube light is the most common form of lighting with the least consumer of 

electricity which is at 40 Watts. The least used are the 70 Watt Sodium Vapour 

Lamps. 

Ward No. 

Bethalegam - Streets Lights 

Table 8-19: Number of Street Lights in Ambur Municipality 

40W Tube 

light 

70 W Sodium 

Vapour Lamp 

150 W Sodium 

Vapour Lamp 

- 66 - 

250 W Sodium 

Vapour Lamp 


Total 

1 65 --- 6 5 76 

2 68 2 2 --- 72 

3 40 --- 2 1 43 

4 86 4 3 2 95 

5 52 --- 2 1 55 

6 27 --- --- 27 

7 45 --- 2 2 49 

8 40 --- 6 4 50 

9 46 8 2 --- 56 

10 46 --- 11 9 66 

11 14 --- 6 5 25 

12 37 2 2 --- 41 

13 33 1 2 --- 36 

14 54 --- 3 1 58 

15 51 --- 9 6 66 

16 52 5 6 5 68 

17 39 12 2 1 54 

18 44 5 2 --- 51 

19 62 --- 2 2 66 

20 48 --- 5 4 57


Ward No. 

40W Tube 

light 

70 W Sodium 

Vapour Lamp 

150 W Sodium 

Vapour Lamp 

- 67 - 

250 W Sodium 

Vapour Lamp 


Total 

21 47 --- 2 2 51 

22 60 --- 3 3 66 

23 30 --- 18 4 52 

24 42 --- 2 2 46 

25 37 --- 1 --- 38 

26 38 --- 3 2 43 

27 36 --- 23 10 69 

28 56 1 --- --- 57 

29 72 1 3 3 79 

30 65 --- 2 --- 67 

31 42 2 3 --- 47 

32 38 1 32 2 73 

33 53 --- 2 --- 55 

34 59 2 2 --- 63 

35 88 4 2 2 96 

36 73 --- 2 2 77 

Total 1785 50 175 80 2090 



Components Indicator Formula Value 

Street light 

coverage 

Number of street light 

per km of road length 

Staff efficiency Staff per 1000 street 

lights 

8.5.3 Issues 

Number of street lights /total road 

length in kms 

Total number of staff /total 

number of street lights *1000 

56 

NA (services 

outsourced) 

The major problem with these street lights is there placing as there are no specialised 

poles for these and as a result lights are implanted on electricity poles which are relatively 

shorter in height and restricts the spread of light to a limited area. Street lights should be 

removed from electricity poles and separate poles should be raised to maintain its height. 

Electric poles are used for provision of street light. so height of these lights is very low 

results in low spread of lights. 


At present, municipality has attended the temporary problems, when problems or 

repairs arise in streetlights. For horizon year, the needs for Streetlight proposals are 

discuss in the Chapter 10.


8.6 TRAFFIC AND TRANSPORTATION 

Transport infrastructure forms a backbone of any economy and plays an important 

role in the development of a region. It is also one of the most important 

infrastructure facilities of any city. The objective of studying the transport sector is to 

analyse and understand the role of transport in the present scenario of the city and 

the surrounding. The study is to understand the existing potentials, strengths 

weaknesses and constraints of the Transport sector and consequently arrive at 

strategies and projects which will form an integral part of the City Development. 

8.6.1 Regional Linkages- Roads, Railways and Airways 

The transport linkage for the district is well connected in terms of road, rail and 

airways. The town is connected with the National Highway 46 which connects 

Chennai to Bengaluru. The district is well connected with National Highways, District 

Roads and Municipal Roads that traverse the length and breadth of the district of 

Vellore. 

8.6.2 Town Level Road Network and Hierarchy 

The town is well connected with the National Highways, District Roads and Municipal 

Road that crisscross Ambur Town. The municipal roads collect Traffic from Collector 

roads and joins with arterial roads. 

8.6.3 National and State Highway 

Following NH, SH pass through the town: 

Table 8-20: Length of National Highways Passing through Ambur 

S. No. Name of the Road Length (In Km) 

1 National Highways 6 

2 Stat Highway 5 

Total 11 

Source: Engineering Department, Ambur Municipality 

8.6.4 Municipal Roads 

The municipality is maintaining a total length of 105 Km of roads within the town. The 

category of the roads maintained by the municipality are given in the table below: 

- 68 - 



Table 8-21: Types of Roads in Ambur Municipality 

S. No. Type of Roads Length in Kms In Percentage 

1 B.T Roads 46 44 

2 Cement concrete 43 41 

3 WBM 2 2 

4 Earthern Roads 14 13 

Total 105 100 

Source: Engineering Department, Ambur Municipality 

Ambur Municipality maintain 105 Km of roads and streets. Nearly 44% of the roads 

are surfaced with Block Topped roads and Cement Concrete roads account for 

41%. 13% of the roads are earthen roads while 2 % is WBM roads. Out of the total 105 

km of road 6 km is maintained by the National Highways and 5 km are maintained 

by the State Highways. 

The analysis of road network inventory data is shown in the table 8-22: 

Table 8-22: Roads by Hierarchy 

ROADS in km. 

National Highways 6 

State Highways 5 

Town Roads 105 

Source: compiled from data collected from Ambur Municipality 

8.6.5 Parking 

There is no authorised parking area in the town. There is no area reserved for Lorries, 

hence, private vehicles and Lorries as well as auto-rickshaws are generally parked 

on road intersection or along the road. Due to road side parking, the heavy vehicles 

traffic flow is affected. 

8.6.6 Public Transport System 

The bus is the major form of public transport in the town, there is a bus stand in 

Ambur abutting the National Highway which is maintained by the municipality and 

has an area of 0.49 Ha. However, the existing bus stand is not provided with proper 

base and facilities as a result most of the buses are parked on the main road itself. 

8.6.7 Issues in Traffic and Transportation Sector 

Khadherpettai Junction, A.Kaspa to Madhakari, Sanrorkuppam to Madhakari, 

Krishnapuram society, S.K Road junction ,Betahaleagm, M.G.R statue ,Jalal Road junction 

B Kaspa Junction, Umoor School junction ,town Police station Junction , Bazaar Road 

Junctions are poor geometrics and most of the listed above places are accident zones also. 

Majority of municipality roads are narrow and there is no scope of widening. Even these 

roads have been encroached on both sides by shop owners. 

There are no authorised parking plots in the Bazaar Road. 

- 69 - 



The heavy vehicles are parked in the Bangalore Express high way road side. It affects the 

stream line of the express highway. 

The exiting bus stand located along the side of the express highway. But, there has 

inadequate space for buses. 

No seating arrangements and there has no basic infrastructure facilities. 

There has no scope for further extension of existing bus stand. As well as there has no 

space for new bus stand in the municipality limit. 

8.6.8 Proposal for Road 

At present, municipality has done small patch works on street roads under part II 

scheme. After UGD scheme implementation, the exiting roads (including Cement 

Concrete Roads) are to be improved. For horizon year, the proposal for roads 

improvement and Bus stand improvements are discussed in the Chapter 10. 

8.7 SOCIAL INFRASTRUCTURE FACILITIES 

8.8 EDUCATIONAL FACILITIES 

There are 12 Elementary Schools, 1 Primary School, 5 Higher Secondary, 3 

Matriculate School, 2 Colleges and 4 Technical Institutes. About 80 % of the schools 

are private schools. 

Table 8-23: Details of Education Facilities 

No. Name of the School Type of School Address 

1 

Hindu Higher Secondary 

School 

- 70 - 


Govt. / 

Pvt. 

Higher Secondary M.C. Road Private 

2 Sri Vivekananda Vidyalaya Matriculation School Jangachari St. Private 

3 

4 

5 

6 

Anaikar Oriental Arabic 

School 

Government Girls High 

School 

Mazharul uloom Higher 

secondary school 

Kayithe Millath Primary 

School 


High school ëAí Kaspa Govt. 


Primary school Jalal Road Private 

7 Shakespeare Ideal school Convent Khaderpet Private 

8 

Cancardia Higher 

Secondary school 

Higher secondary Nethaji Road Private 

9 Bethel Matriculation school Matriculation M.C. Road Private 

10 

TAW Matric Higher 

Secondary school 

Source: Ambur Mnicipality 

Matriculation Jalal Road Private


Table 8-24: Existing Educational facilities in Ambur 

Types of Institutions No. of Institutions 

Elementary 12 

Primary School 1 

Matriculate 3 

Higher Secondary 5 

College 2 

Technical Institutes 4 


8.8.1 Existing Scenario in Educational Facilities 

There are 12 elementary schools, two colleges and 4 technical institutions in the 

town. For graduate & post graduate courses the students prefer to go outside the 

town. 

8.8.2 Issues in Educational Sector 

1.Kaspa ñA middle school 

The first floor of the main building roof made by A.C material, it was discomfort 

for the students during summer as well as rainy season. 

The staircase was damaged condition and there has a space for further increasing the 

building on the ground floor. 

2. Near V.A .Kareem Road School 

The roof of the building made by the Mangalore tiles, it was also discomfort to the 

students during summer season. 

The meal centre of the school was damaged condition. 

3. Kaspa ñB Municipal Elementary 

The existing staircase of the building was damaged 

- 71 - 



The fist floor of the main hall building was damaged, thatís why they are no use that 

class room. 

During rainy season, the storm water enters the school area. 

4. Govindapuram Elementary school 

The adjacent building of the school building was built on 1974, now it was completely 

damaged and demolishing condition. 

8.8.3 Proposal 

The proposals for rehabilitation work for exiting schools with cost are proposed in the 

chapter 10. 

8.9 HEALTH FACILITIES 

One of the most important forms of social infrastructure is Health Facilities. It is 

important that there are sufficient clinics or hospitals available for people to get 

treated. There are 9 hospitals in the town of Ambur that provides medical 

assistance. There are 4 private clinics and 4 ambulance providing services. There are 

832 hospital beds are available in Ambur Municipality. The municipality maintaining 

the 3 maternity centers, located in Valayalkara Street, Bethalegam and K.M.Nagar. 

S. No 

1 

Name of the 

Hospitals 

Government 

Hospital 

Table 8-25: Existing Health facilities in Ambur Town 

Location No. of Beds Specialist 

- 72 - 

Operation 

Theatre 

Nethaji Road 375 General Yes 

2 K.M. Hospital M.C. Road 15 General Yes 

3 

4 

5 

Rafeeque 

Hospital 

Lakshmi 

Hospital 

Bethesda 

Hospital 

Ommer Road 50 General Yes 

Newmen street 25 General Yes 

Bethelagem 300 General Yes 

6 Dinesh Hospital Bye Pass Road 25 General Yes 

7 

Jamiya 

Tharuslam 

Hospital 

Omerabad 25 General Yes 

8 T.G.P. Hospital ëAí Kaspa Road 25 General No 

9 Sekar Hospital 

Mohamed pura 

Mosque opp st. 

10 General& ENT No 

10 Private Clinic 4 Private Clinics 


8.9.1 Issues 

At present, existing maternity centres were lack of lights and consultation room 

There has no place and scope for further improvement of building. 



Inadequate furniture for Bethalegam Maternity centre. 

8.9.2 PROPOSAL 

The proposals for the exiting maternity centers were discussed in the chapter 10. 

8.10 PARKS 

The municipality has two parks, namely Kampikollai Park and Housing Board park. 

8.10.1 ISSUES 

Kampikollai park ñ inadequate lighting facilities. 

Inadequate seating arrangements for both Kampikollai park and Housing board park. 

8.10.2 PROPOSAL 

The proposal for the exiting maternity centers is discussed in the chapter 10. 

8.11 MARKETS 

The existing market is in bad condition. No availability of parking places to the 

vehicles. 

The open space is available at V.A Kareem OHT and near E.S.I hospital for new 

shopping complexs. 

8.11.1 ISSUES 

Road side open weekly market is maintained by the municipality, so there has no scope for 

further improvement on weekly market. 

The existing daily market lack of separate water supply facilities and vehicle parking 

stand. 

8.12 SLAUGHTER HOUSE 

The existing slaughterhouse for goat is renovated recently at an estimated cost of 

Rs.20 Lacs under part II scheme. 

8.12.1 ISSUES 

Lack of treatment system in the present slaughterhouse. 

8.13 BURIAL GROUND 

The Ambur Municipality is having 6 burial ground from which 2 is approved by the 

municipality. One of the Burial grounds was located in Kaspa A, which has no 

compound wall and a main road is passing through the burial ground. 

- 73 - 



Another one is located at Sanrorkuppam area without basic facilities. ULB is 

requesting Gasifier Crematorium at Kaspa A burial ground. 

8.13.1 ISSUES 

1. In Kaspa ñA burial ground 

Inadequate lighting facility. 

One village road was crossing thorough the burial ground. There has no 

compound wall. 

- 74 - 



9 MUNIICIIPAL FIINANCE 

9.1 INTRODUCTION TO URBAN LOCAL BODY FINANCIALS: 

Ambur Municipality maintains a municipal fund for managing the finances of the 

Municipality. The accounts of the municipal fund were maintained on cash based 

single entry system till the year 1999-2000. From 1.4.2000 onwards, accrual based 

double entry book keeping system was implemented. The Municipality maintains 

accounts separately for General Fund, Water Supply and Sewerage Fund and 

Education Fund. 

This Section contains a description of the municipal finances, the sources and uses 

of funds, and an assessment of municipal finances based on important financial 

indicators. 

9.2 GENERAL DETAILS 

Ambur is located at Vellore District and the total population as per 2001 census is 

99624 Nos. Out of the same the total urban poor is 6410 Nos., comprising 6.43% of 

the total population. The total number of slums is 11 Nos. with total slum population 

of 15089 Nos, which aggregates to 15% of total population. 

It is a Grade I municipality. 

9.3 RECEIPTS 

Receipts under the Revenue Account include taxes and fees, grants, water & 

sewerage charges, income from properties, service charges charges & fees and 

other income. 

9.3.1 Property Tax 

Property Tax is the single largest tax revenue source and accounts for around 28% of 

the total revenue. This tax is levied on residential, commercial, industrial and vacant 

lands. The property tax is levied on the basis of Annual Rental Value of the property. 

The property tax is levied on the annual value of the property, which is determined 

on the basis of gross rent at which the property can be reasonably expected to be 

let out. 

The Municipality currently charges property tax @ 34% per annum on the basis of 

Annual Rental Value. The components of property tax are as below : 

- 75 - 



Table 9-1- Property Tax Components 

S.No Particulars % (Per Annum) 

1 General 8% 

2 Scavenging 2% 

3 Lighting 6% 

4 Water Tax 12% 

5 Sewerage Tax 1% 

6 Education 5% 

Total 34% 

The total number of property tax assessments is 13605 Nos. the breakup of which is 

as below : 

Table 9-2- Property Tax Assessments 

S.No Particulars Nos. 

1 Domestic 11140 

2 Commercial 2380 

3 Industrial 68 

4 State Government Properties 17 

5 Public Sector Undertakings - 

Total 13605 

The last revision of Property Tax was carried out on 01.10.1998.The total property tax 

collections during the last 6 years ended 2006-07 is as below : 

Table 9-3- Property Tax ñ Growth during last 6 years 

S.No Year Rs. in lacs % Growth Rate 

1 2001-02 102.96 - 

2 2002-03 106.06 3.01% 

3 2003-04 110.61 4.29% 

4 2004-05 116.74 5.54% 

5 2005-06 114.94 (1.54%) 

6 2006-07 97.80 (14.91%) 

It may be observed from the above that the average property tax collection is 

around Rs. 115 lacs per annum and average growth over the years is around 3%.The 

demand and collection of property tax over the last 6 years is as below : 

Table 9-4 - Property Tax ñ Demand Collection % 

S.No Property Tax 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Demand 

2 Collection 

- Current 110.09 112.98 118.64 124.43 124.59 124.40 

- Arrears 157.15 168.61 164.56 186.55 198.46 190.19 

Total 267.24 281.59 283.20 310.98 323.05 314.59 

- Current 50.64 58.69 60.67 62.21 63.85 69.83 

- Arrears 47.99 57.08 38.32 40.74 45.76 57.35 

Total 98.63 115.77 98.99 102.95 109.61 127.18 

3 Collection % 

- Current 46% 52% 51% 50% 51% 56% 

- 76 - 



- Arrears 13% 34% 23% 22% 23% 30% 

Total 37% 41% 35% 33% 34% 40% 

The current collection performance of property tax is very poor at around 50-55% 

and the arrears collection performance is around 25%. 

9.3.2 Profession Tax 

Profession Tax is another source of revenue to ULB. Profession tax is a tax deducted 

from the salaries of the employees falling with in the Municipality and is collected 

from all registered organizations, companies or firms, public or private, individuals 

and State & Central Government Departments. Currently profession tax is deducted 

on a slab basis. 

The total number of profession tax assessments is 2766 Nos., out of which state / 

central / quasi Govt. employees comprise 904 Nos., private employers / companies 

is 13 Nos. and traders / self employed professionals 1862 Nos. 

During the last 6 years, it has increased from Rs. 10 lacs to Rs. 15 lacs. It accounts for 

around 3.5% of the total revenue. The profession tax for the last 6 years is as below: 

Table 9-5- Profession Tax ñ Growth during last 6 years 

S.No Year Rs. in lacs % Growth 

1 2001-02 10.13 - 

2 2002-03 10.66 5.23% 

3 2003-04 12.45 16.79% 

4 2004-05 14.50 16.74% 

5 2005-06 15.89 9.59% 

6 2006-07 15.09 (5.03%) 

The demand and collection of profession tax over the last 6 years is as below: 

Table 9-6- Profession Tax ñ Demand Collection % 

S.No Profession Tax 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Demand 

- Current 10.09 10.64 12.45 14.50 15.89 - 

- Arrears 17.15 19.04 19.84 22.10 18.32 - 

Total 27.24 29.68 32.29 36.60 34.21 - 

2 Collection 

- Current 7.26 7.89 9.18 10.81 10.52 - 

- Arrears 1.05 2.05 1.23 1.53 1.81 - 

Total 8.31 9.94 10.41 12.34 12.33 - 


- Current 72% 74% 74% 75% 66% - 

- Arrears 6% 11% 6% 7% 10% - 

Total 31% 33% 32% 34% 36% - 

The Municipality has average current collection performance of 75% and the arrears 

collection performance is low at around 8%. 

- 77 - 



9.3.3 Assigned Revenues 

This item head comprises of income from Government of Tamil Nadu (GoTN) / State 

transfers of municipal income collected by the state line department. Transfers are 

in the form of municipalityís share of taxes levied and collected by GoTN from 

establishments / operations within municipal limits. 

Surcharge on transfer of immovable properties and entertainment tax are the major 

items on which these revenues are realized by municipality. 

This income varies from year to year. The items under this category accounted for 

nearly 15% of the total municipal revenue. The assigned revenue for the last 6 years 

is as below: 

Table 9-7- Assigned Revenue ñ Growth & % of Total Income 

S.No Particulars 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Assigned 

Revenue 

Duty on 29.20 101.51 43.44 46.64 43.90 31.52 

transfer 

property 

of 

Entertainme 

nt Tax 

5.37 15.64 11.54 8.93 2.45 0.95 

Total 34.57 117.15 54.98 55.57 46.35 32.47 

2 % of Total 12.21% 24.60% 11.05% 13.09% 15.48% 8.25% 

3 

Income 

% Growth - 238.88% (53.07%) 1.07% (16.59%) (29.95%) 

It may be observed that Assigned Revenue has increased @ 10% p.a. over the years, 

though it has fallen down in 2006-07. In case of entertainment tax, the Commercial 

Department collects entertainment tax from cinema halls functioning within 

municipal limit. The CT Department transfers 90% of total tax collection to 

municipality and retains 10% towards management charges. The Ambur 

Municipality has 7 theatres, but the income from entertainment tax has reduced 

over the years. 

9.3.4 Revenue Devolution Funds in aid of revenue expenditure 

Grants in aid of revenue expenditure got boosted up following the 74th CAA and 

the same is reflected in the Municipality Revenue. The item mainly comprises 

revenue grants and compensations from State Government under various heads. 

The regular grants include the SFC grants and others include aid grants, grants for 

services like roads, buildings, maternity and child welfare, public health, 

contributions for elementary and secondary schools and etc. Grants which are for 

specific purposes are adhoc in nature. 

- 78 - 



This income varies from year to year. The items under this category accounted for 

nearly 35% of the total municipal revenue. The assigned revenue for the last 6 years 

is as below: 

Table 9-8 - Devolution Fund ñ Growth & % of Total Income (Rs. In Lacs) 


1 Devolution 

Fund 

69.56 162.75 196.64 144.67 66.77 164.39 

Total 69.56 162.75 196.64 144.67 66.77 164.39 

2 % of Total 

Income 

24.58% 34.17% 39.53% 34.09% 22.30% 41.76% 

3 % Growth - 133.97% 20.82% (26.43%) (53.85%) 146.20% 

As per SFC recommendation, 12% of state revenue under Pool B is transferred to 

each local body based on formula recommended by SFC. The fluctuation in SFC 

grant is due to delay and deduction at source. 

9.3.5 Water Charges 

The water charges and deposits collected by the Municipality are as below : 

Table 9-9 -Water Tariff & Deposit 

S.No Category Tariff Deposits 

1 Domestic Rs. 21/- per month Rs. 2000/- 

2 Commercial Rs. 61/- per month Rs. 4000/- 

3 Industrial Rs. 41/- per month Rs. 6000/- 

The total number of house service connections (HSC) is 7224 Nos., the breakup of 

which is as below : 

Table 9-10- No. of House Service Connections 

S.No Particulars Nos. 

1 Domestic 6977 

2 Commercial 232 

3 Industrial 15 

Total 7224 

The percentage of water supply connections to property tax assessments is 53%, 

which is less than norms. It could be further stepped to around 85%. 

The water charges for the past 6 years is as below : 

Table 9-11 - Water Charges ñ Growth & % of Total Income (Rs. in Lacs) 


1 Water Charges 18.53 18.67 18.57 17.36 16.43 23.00 

Total 18.53 18.67 18.57 17.36 16.43 23.00 

2 % of Total 6.55% 3.92% 3.73% 4.09% 5.49% 5.84% 

3 

Income 

% Growth - 0.76% (0.54%) (6.52%) (5.36%) 40% 

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It may be observed that water charges account for around 5% of total income. 

There has not been any growth in water charges over the last 6 years. 

The water connection charges for the past 6 years is as below : 

Table 9-12 - Water Connection Charges ñ Growth & % of Total Income (Rs.in Lacs) 


Water 

Connection 

Charges 

1.37 1.18 0.05 0.08 0.09 1.63 

Total 1.37 1.18 0.05 0.08 0.09 1.63 

2 % of Total 0.48% 0.25% 0.01% 0.02% 0.03% 0.41% 

3 

Income 

% Growth - (13.87%) (95.76%) 60% 12.50% 1711% 

It may be observed that water connection charges accounts for negligible portion 

of total income @ less than 0.50%. The income from water connection charges has 

reduced over the last 6 years. 

The last date of revision of water charges was in 1992. The demand collection 

balance statement of water charges for the last 6 years is as below : 

Table 9-13 - Water Charges ñ Demand Collection % (Rs. in Lacs) 

S.No Water Charges 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Demand 

- Current 18.01 18.66 18.57 17.36 16.43 - 

- Arrears 42.29 54.68 60.46 74.71 85.10 - 

Total 67.82 73.34 79.03 92.07 101.53 - 

2 Collection 

- Current 4.67 3.82 1.44 1.53 1.42 - 

- Arrears 8.47 9.06 2.88 5.44 3.33 - 

Total 13.14 12.88 4.32 6.97 12.33 - 


- Current 25% 20% 8% 9% 9% - 

- Arrears 17% 17% 5% 7% 4% - 

Total 19% 18% 5% 8% 5% - 

The municipality has extremely poor collection performance, with current collection 

charges at around 10%. The arrears collection % is around 12%. 

9.3.6 Drainage Charges 

The Municipality does not have a under ground drainage system and the number of 

households with septic tank is 14318 Nos. and number of houses with low cost 

sanitation toilets is 179 Nos. 

- 80 - 



9.3.7 Service Charges & Fees 

The Municipality receives service charges and fees in the form of trade licence fees, 

building licence fees, fees for bays in bus etc. The income in the form of service 

charges and fees received during the last 6 years is as below : 

Table 9-14 - Service Charges & Fees ñ Growth & % of Total Income (Rs. in Lacs) 


1 Service 

& Fees 

Charges 12.21 17.97 17.99 19.69 20.90 21.71 

Total 12.21 17.97 17.99 19.69 20.90 21.71 

2 % of Total Income 4.31% 3.77% 3.62% 4.64% 6.98% 5.51% 

3 % Growth - 47.17% 0.11% 9.45% 6.15% 3.88% 

It may be observed that service charges & fees accounts for around 5% of the total 

income. There has been growth of around 15% over the last 6 years. 

9.3.8 Income from Properties & Other Income 

The Municipality receives income by way of market fees ñ daily market, lease of 

land, rent on shopping complex & buildings, rent on bunk stalls, fees on pay & use 

toilets etc. 

Other income comprises interest from bank & investments, deposits lapsed, income 

from cable TV operations, project overhead expenses and interest apportioned, 

misc. recoveries and other income. 

The income from properties and other income received during the last 6 years is as 

below : 

Table 9-15 - Income from Properties & Other Income ñ Growth & % of Total Income 

- 81 - 

(Rs. in Lacs) 

S.No Particulars 2001-02 2002- 2003- 2004-05 2005-06 2006-07 

03 04 

1 Income from 

Properties and 

other income 

33.64 35.22 44.73 28.78 17.97 37.08 

Total 33.64 35.22 44.73 28.78 17.97 37.08 

2 % of Total 11.88% 7.40% 8.99% 6.78% 6.00% 9.42% 

3 

Income 

% Growth - 4.70% 27% (35.66%) (37.56%) 106.34% 

It may be observed that income from properties and other income together 

accounts for around 7-8% of total income and the same has shown growth rate of 

3% over the last 6 years. 

The demand collection balance statement of income from properties and other 

income for the last 6 years is as below : 



Table 9-16 - Non Tax Income ñ Demand Collection % (Rs. in Lacs) 

S.No Other Income 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Demand 

- Current 18.01 24.85 28.03 22.83 28.56 47.04 

- Arrears 13.87 15.29 12.27 12.93 12.80 15.22 

Total 31.88 40.14 40.30 35.76 41.36 62.26 

2 Collection 

- Current 14.14 22.38 25.00 19.34 25.56 44.04 

- Arrears 2.45 5.00 2.07 2.31 2.89 6.03 

Total 16.59 27.38 27.07 21.65 28.45 50.07 


- Current 79% 90% 89% 85% 89% 94% 

- Arrears 18% 33% 17% 18% 23% 40% 

Total 52% 68% 67% 61% 69% 80% 

On the average, the total current collection performance of other income is good 

@ 90% and the arrears collection performance is around 20%. The arrears collection 

performance needs to be improved. 

9.4 EXPENDITURE 

The revenue expenses mainly comprises of establishment charges, power charges 

for street lighting, water supply, repairs & maintenance and other revenue expenses 

on account of maintenance of roads, public health etc. 

9.4.1 Establishment Expenses 

The major revenue expenditure incurred by the Municipality is establishment 

expenses comprising personnel cost and terminal benefits. The details of 

establishment expenses for the last 6 years is as below : 

Table 9-17 - Establishment Expenses ñ Growth & % of Total Expenditure (Rs. in Lacs) 

S.No Estb Expenses 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Personnel ñ 

Salaries 

Terminal & 

Retirement 

Benefits 

133.01 131.38 132.26 137.02 135.99 179.33 

28.23 34.87 34.87 16.39 24.05 32.33 

Total 161.24 166.25 155.60 153.41 160.04 211.66 

2 % of Total Expt 44.38% 37.80% 25.80% 29.87% 37.56% 56.53% 

3 % Growth - 3.11% (6.41%) (1.41%) 4.32% 32.25% 

The establishment expenses constitute around Rs. 135 lacs per annum and accounts 

for around 35-40% of the total expenditure. 

9.4.2 O&M Expenses ñ Water Supply 

The next major share of expenditure goes for water supply and drainage works. The 

same accounts for around 18% of the total expenditure. 

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O&M expenses on account of water supply comprises power charges of head 

works, pumping stations and booster stations, maintenance expenses for water 

supply works, vehicle maintenance etc. The O&M expenses on account of water 

supply for the last 6 years is as below : 

Table 9-18 - O&M Expenses (Water Supply) ñ Growth & % of Total Expenditure (Rs. in Lacs) 

S.No O&M - Water 

Supply 

2001- 

02 

2002-03 2003-04 2004-05 2005-06 2006-07 

1 Wages 6.59 6.17 7.15 7.53 7.90 2.45 

2 Power Charges 16.97 23.58 12.16 10.60 8.97 18.62 

3 Hire Charges 5.37 21.34 123.88 118.70 138.41 22.41 

4 Maintenance 

Exps 

1.78 2.07 0.88 0.65 1.21 6.45 

5 Vehicle Maint. 1.87 2.78 4.56 5.60 6.92 8.67 

6 Others - - 0.41 - 0.41 0.02 

Total 32.58 55.94 149.04 143.08 163.82 58.62 

% of Total Expt 8.97% 12.72% 24.71% 27.86% 38.45% 15.66% 

% Growth - 71.70% 166.43% (4.00%) 14.50% (64.22%) 

The O&M Expenses ñ water supply constitutes around Rs. 150 lacs per annum and 

the main component of the same is hire charges. The O&M water supply has grown 

on an average by 75%, though it has reduced it has reduced in 2006-07. 

9.4.3 O&M Expenses ñ Street Lights & Others 

The O&M expenses on account of street lights and others comprises power & 

maintenance charges on street lights & buildings, sanitary & conservancy expenses, 

vehicle maintenance, repairs & maintenance ñ buildings, roads and others. The 

expenses on account of street lights & others for the last 6 years is as below : 

Table 9-19 - O&M Expenses (Street Lights & Others) ñ Growth & % of Total Expt (Rs. in Lacs) 

S.No O&M ñ Street 

Lights & Others 

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Operative 

Expenses 

17.48 27.77 60.98 60.06 56.23 66.19 

2 Repairs & 

Maintenance 

2.69 10.11 8.01 9.37 11.97 10.66 

3 Total 20.17 37.88 68.99 69.43 68.20 76.85 

% of Total Expt 5.55% 8.61% 11.44% 13.52% 16.01% 20.53% 

% Growth - 87.80% 82.13% 0.14% (1.77%) 12.68% 

The O&M expenses ñ street lights and others constitute around Rs. 65-70 lacs per 

annum and accounts for 15%of total expenditure. The same has been growing @ 

50% p.a. 

- 83 - 



9.4.4 Administration & Other Expenses 

Besides establishment and O&M expenses, administration expenses form the major 

part of revenue expenditure. The summary of administration expenditure over the 

last 6 years is given below : 

Table 9-20 - Administration Expenses ñ Growth & % of Total Expenditure- (Rs. in Lacs) 

S.No Particulars 

2001- 

02 

2002-03 2003-04 2004-05 2005-06 2006- 

07 

1 Administration 

Expenses 

23.15 40.17 72.99 23.69 17.45 18.78 

Total 23.15 40.17 72.99 23.69 17.45 18.78 

2 % of Total Expt 6.37% 9.13% 12.10% 4.61% 4.10% 5.02% 

3 % Growth - 73.52% 81.70% (67.54%) (26.34%) 7.62% 

The administration expenses comprise around 7% of the total expenditure and on an 

average constitute Rs. 20-25 lacs per annum. 

9.5 SUMMARY OF FINANCES 

We summarise below the finances of Ambur Municipality for the last 6 years : 


Table 9-21- Summary of Finances for last 6 years (Rs. in Lacs) 

Audited Un-audited 

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Income 283.05 476.25 497.43 424.43 299.43 393.69 

2 Expenditure 240.99 301.09 452.22 392.21 425.88 372.03 

3 Surplus before 

Int & 

Depreciation 

42.06 175.16 45.21 32.22 (126.45) 21.66 

4 Finance 

Charges 47.97 61.80 65.54 47.77 0.19 2.39 

5 Surplus / 

(Deficit) before 

Depreciation 

(5.91) 113.36 (20.33) (15.55) (126.64) 19.27 

6 Depreciation 74.38 76.92 85.30 73.55 0.00 0.00 

7 Net Surplus / 

(Deficit) (80.29) 36.44 (105.63) (89.10) (126.64) 19.27 

Note : 

The real autonomy of any organisation depends on its financial autonomy. Weak 

tax base, inadequate tariff level and poor collection performance have continued 

to be the salient features of local bodies in India. 

In the case of Ambur Municipality, it is observed that the Municipality has 

shown deficit in 4 out of the last 6 years. Prior to depreciation also the 

Municipality has shown deficit in 4 out of last 6 years. The Municipality needs 

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to undertake lot of fiscal reforms and full leverage of its assets over the next 

few years to improve its financial strength. 

The summary of finances of the Municipality under the broad heads of 

income and expenditure for the last 6 years is as below : 

Table 9-22 - Head-wise Income & Expenditure for last 6 years (Rs. in Lacs) 

S.No Particulars Audited Un-audited 

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

1 Income 

Property Tax 102.96 106.06 110.61 116.74 114.94 97.80 

Profession Tax 10.13 10.66 12.45 14.50 15.89 15.09 

Water 

Drainage 

Assigned 

& 19.94 19.92 18.70 17.48 16.53 25.15 

Revenue 

Devolution 

34.57 117.15 54.98 55.57 46.35 32.47 

Fund 69.56 162.75 231.67 170.23 66.77 164.39 

Serv. 

Fees 

Chgs & 12.21 17.97 17.99 19.69 20.90 21.71 

Grants & Cont. 0.00 6.50 6.00 0.01 0.00 0.00 

Sale & Hire 

Chgs 0.04 0.02 0.30 1.43 0.04 0.00 

Other Income 33.64 35.22 44.73 28.78 17.97 37.08 

Total Income 283.05 476.25 497.43 424.43 299.43 393.69 

2 Expenditure 

Personnel Cost 

Terminal 

133.01 131.38 132.26 137.02 135.99 179.33 

Benefits 28.23 34.87 23.34 16.39 24.05 32.33 

O&MñStreet 

Lights 

20.17 37.88 68.99 69.43 68.20 76.85 

O&M ñ Water 32.58 55.94 149.04 143.08 163.82 58.62 

Repairs & 

Maint. 

Programme 

6.49 15.37 13.86 15.70 20.51 26.33 

Exps 

Administrative 

3.58 0.20 5.20 2.10 15.95 5.17 

Exp 

Finance 

23.15 40.17 72.99 23.69 17.45 18.78 

Expenses 47.97 61.80 65.54 47.77 0.19 2.39 

Depreciation 74.38 76.92 85.30 73.55 0.00 0.00 

3 Total 

Expenditure 363.34 439.81 603.06 513.53 426.07 374.42 

4 Surplus / 

(Deficit) -80.29 36.44 -105.63 (89.10) (126.64) 19.27 

It may be observed that the deficit over the years is due to fall in income and 

increase in expenses over the years. The fall in income is mainly due to 

reduction in Grants revenue over the years. 

- 85 - 



The assigned revenue of the municipality has increased by around 10% p.a. 

over the last 6 years. Devolution Fund, which accounts for 35% of the total 

revenue has reduced during the last 3 years. 

The municipalityís own resources has also shown increase of only around 2% 

over the last 6 years. The municipalityís own revenue comprises property tax, 

profession tax, water charges and income from properties have all shown 

growth of around 2% over the last 6 years. 

The total accumulated surplus of the Municipality as on 31st March 2007 

stands at Rs. 596 lacs. As against the same, the total fixed assets comprising 

land, buildings, plant & machinery, vehicles etc. stands at Rs. 1980 lacs. Out 

of the total fixed assets, the value of land is only Rs. 590 lacs. 

The total loans of the Municipality as on 31st March 2007 stands as below : 

Table 9-23 - Borrowings of the Municipality (Rs. in Lacs) 

S.No Loan from Purpose Rate of O/s as on 

Interest 31.3.07 

1 Government Loan Water Supply & 

Construction 

13.50% 115.33 

2 TNUDF Loan Roads 14.00% 43.24 

3 TUFIDCO Loan Water Supply 10.50% 155.07 

4 Bank - 12.00% 17.49 

Total 331.13 

As against the same, the contribution by Municipality, contribution by 

Government and Grants from Government as on 31st March 2007 stands as 

below : 

Table 9-24 - Status of Contributions & Grants 

S.No Particulars Rs. in lacs 

1 Contribution by Municipality 151.44 

2 Contribution by Government 252.64 

3 Grants from Government 307.65 

Total 711.73 

It is observed from the above that around 60% of the fixed assets excluding 

Land have been funded by means of Contribution and Grants from 

Government over the years and the balance 30% from Loans. 

The average current collection efficiency of the municipality is very poor, with 

50% efficiency in property tax, 75% efficiency in profession tax and 10% 

efficiency in water charges. The arrears collection performance is also poor. 

- 86 - 



The broad financial analysis of the Ambur Municipality finances reveal that 

the Municipality has further scope for increasing its own sources of income 

and collection efficiency for servicing the additional borrowings in the future. 

To summarise, the overall income pattern of the Ambur Municipality indicates 

more negative features than positive features. The positive trends are on the 

income side, where the Municipality has higher growth rate in income than 

growth in expenditure. 

But the growth in income is higher mainly on account of growth in Grants 

income comprising Devolution Fund and Assigned Revenue. The growth in 

Own Income is only 2% p.a. 

Besides, the municipality also has very high borrowings at Rs. 331 lacs and is 

fully leveraged. The municipality can resort to further borrowings for new 

project identified only based on the additional income to be generated. 

Around 53% of the property tax assesses have water connections, but it can 

be further improved up to 85%. The population per residential assessment is 

high at 7.50 persons, which indicates low coverage. The municipality has 

therefore enough scope for increasing the property tax assessments. 

On the negative side, the municipality has a very poor collection 

performance in respect of property tax, profession tax and water charges 

and there is enough scope for improvement. The non tax income is also low 

compared to other heads of income and the Municipality should look in to 

ways and means for increasing non tax income. Therefore the municipality 

has to look at various mechanisms to improve its scope of own income to 

service the additional borrowings in the coming years. 

With more effective management of resources, there is scope for further 

enhancing credit worthiness and revenues of the Municipality. 

On our review of the past 5 years financials of Ambur Municipality, we find the 

following major variations in the various heads of income and expenditure resulting 

in disparities in financial results : 

The accounts for the years 2005-06 and 2006-07 are un-audited and hence many of 

the income and expenditure are showing variations for these 2 years as given 

below: 

- 87 - 



Increase in Expenditure 

The Municipality is incurring a huge sum of money towards hire charge for 

supply of water. The hire charges for water works out to Rs. 100-150 lacs per 

annum and the same has been incurred between 2003-04 to 2005-06. 

The Municipality has also privatized its sanitation services and a sum of 

around Rs. 20 lacs is incurred towards the same from 2003-04 onwards. 

Reduction in Expenditure 

Depreciation and Finance Charges have not been provided for the years 

2005-06 & 2006-07. 

No provision for doubtful collection has been made for the years 2005-06 and 

2006-07. Based on past financials, the same works out to around Rs. 30 lacs 

per annum. 

9.6 KEY FINANCIAL INDICATORS 

A set of key financial indicators has been derived using the financial data procured 

from the Municipality for the assessment period. These indicators are used to assess 

the municipal performance with regards to resource mobilization, fund utilization, 

financial performance and collection efficiencies. 

9.6.1 Resource Mobilisation Indicators 

These indicators summarise the performance of the Municipality with regards 

sources of funds. Ambur Municipality derives about 50 percent of its revenue income 

from own sources, while grants account for just about 50 percent of the revenue 

income. 

Table 9-25 - Resource Mobilisation Indicators 

S.No Indicators Value 

1 Per Capital Income Rs. 340/- p.a. 

2 Share of Own Sources in Total Revenue Income 50% 

3 Share of Property Tax in Total Revenue Income 24.84% 

4 Share of Revenue Grants & Subsidies in Total Revenue Income 50% 

5 Growth in Revenue Income 7.82% 

6 Growth of Own Sources of Revenue Income 2.00% 

7 Per Capital Own Income Rs. 179/- p.a 

9.6.2 Fund Application Indicators 

These indicators are a measure to ascertain the utilization from the municipal fund. 

Around 56% of the revenue expenditure is spent on establishment heads, around 

36% for municipal assets and services, leaving mere 8% for debt servicing and 

administration expenses. Establishment expenditure accounts for about 54% of the 

total revenue generated by the municipality. 

- 88 - 



Table 9-26- Fund Application Indicators 


1 Per Capita Expenditure Rs. 340/- p.a. 

2 Share of Establishment Expenses in Total Revenue Expenditure 56.53% 

3 Share of O&M Expenditure in Total Revenue Expenditure 36.44% 

4 Share of Establishment Expenditure to Total Revenue Income 53.76% 

5 Growth in Establishment Expenditure 6.25% 

6 Growth in O&M Expenditure 31.46% 

7 Growth in Total Revenue Expenditure 0.61% 

9.6.3 Liability Management Indicators 

These indicators are a measure to ascertain the utilization from the municipal fund 

regarding debt servicing. The ratio of debt servicing to revenue income is at 8.70% 

during the assessment period. The per capita average debt outstanding is very high 

at Rs. 331/- and the per capita outstanding debt to property tax demand is around 

338% of the property tax demand for the current year. 

Table 9-27- Liability Management Indicators 


1 Per Capita Liability 

- Outstanding Debt per Capita Rs. 331/- 

- Outstanding Non Debt Liability per Capita - 

- Total Outstanding Liability per Capita Rs. 331/- 

2 As a proportion of Property Tax Current Demand 

- Outstanding Debt as % of Property Tax Demand 338% 

- Outstanding Non Debt Liability as % of Property Tax Demand - 

- Total Outstanding Liability as % of Property Tax Demand 338% 

3 As a proportion of Property Tax Own Revenue Income 

- Outstanding Debt as % of Own Revenue Sources 168% 

- Outstanding Non Debt Liability as % of Own Revenue Sources - 

- Total Outstanding Liability as % of Own Revenue Sources 168% 

4 Non Debt Liability as % of Total Liability - 

5 Debt Servicing Ratio 8.70% 

9.6.4 Overall Financial Performance Indicators 

These indicators are a measure to assess the overall financial performance of the 

Municipality with regards operational performance and effective growth in revenue 

income and expenditure. 

The average operating ratio during the assessment period is high at 95%. The 

indicators of growth in per capita income and expenditure item heads indicate the 

effective growth, giving a performance measure relative to the growing population. 

Ambur Municipality has demonstrated 5.20% annual growth in per capita revenue 

income during the assessment period, while the per capita revenue expenditure has 

grown at a negative CAGR of 1.33% during the corresponding period, which 

indicates that as population increases revenue fund will be surplus. 

- 89 - 



Table 9-28 - Financial Performance Indicators 


1 Operating Ratio 95% 

2 Growth in Per Capita Own Revenue (0.07%) 

3 Growth in Per Capita Grant 14.25% 

4 Growth in Per Capita Total Revenue Income 5.20% 

5 Growth in Per Capital Establishment Expenditure 3.78% 

6 Growth in Per Capita O&M Expenditure 26.61% 

7 Growth in Per Capita Revenue Expenditure (1.33%) 

9.6.5 Efficiency Indicators 

These indicators are essentially a measure to assess municipal efficiency with 

regards revenue base coverage and utilization. Ambur Municipality has poor 

collection performance both with regards property tax, profession tax and water 

charges (50%, 75% and 10% respectively). The average population per residential 

assessment at 7.50 persons indicates that the property tax base has a very low 

coverage. 

Table 9-29 - Efficiency Indicators 


1 Tax Collection Performance (Current) 

- Property Tax 50% 

- Profession Tax 75% 

- Water Charges 10% 

- Non Tax Income 90% 

2 No. of Property Tax Assessments per Tax Collection Staff 1700 Nos. 

3 Property Tax Demand per Assessment Rs. 784/- p.a. 

4 No. of Municipal Staff per 1000 Population 621 Nos. 

5 Annual Revenue (Own Source) per Municipal Staff Rs. 1.11 lakh p.a. 

6 Population per Residential Property Tax Assessment 7.50 persons 

Note : 

The detailed financials of Ambur Municipality comprising Income & Expenditure 

Statement, Balance Sheet, Demand Collection Balance Statement, Growth in 

Income and Key Indicators for the last 6 years are given as Annexure. 

9.7 MEASURES TO BE TAKEN FOR IMPROVING COLLECTION EFFICIENCY 

The average collection efficiencies under the various heads works out as below : 

Particulars Current Arrears 

Property Tax 51.08% 27.12% 

Profession Tax 72.12% 7.98% 

Water Charges 14.18% 9.94% 

Other Fees 87.60% 24.55% 

It may be observed from the above that the Municipality has average collection 

efficiency with respect to Profession Tax and Other Income and poor collection 

efficiency for property tax and water charges. 

- 90 - 



The collection efficiency of water charges is extremely poor at 14%. 

The following measures to be taken for strengthening the collection process and 

organization to ensure overall levels of efficiency in order to improve and sustain 

collection efficiencies: 

Implement door-to-door collection mechanism, whereby property tax and 

water charges are collected from every household by the municipality staff. 

A separate collection team to be formed for this purpose, which will visit all 

the households and collect tax. A mobile collection van has been provided 

for this purpose in the FOP, which will help the staff in collection mechanism. 

Launch a focused drive on existing arrears. 

Conduct one time settlement scheme for old arrears and incentives 

payments through marginal rebates for arrears > 5 years. 

Implement payment due date along with a 90 day grace period during 

which payments would involve a nominal interest payment. 

Payments beyond the grace period should include a steep penal charge to 

encourage payments on time. 

Work with GoTN to moot creation of a special tribunal for speedy disposal of 

properties under litigation. 

In case of disputed property tax, the assessee should first pay the tax under 

protest as in the case of excise or customs and then take necessary legal 

course. The Act should be modified in such a way that no legal recourse 

should be available to the assessee without paying the tax under protest. 

The billing mechanism, accounts and DCB Register should be fully 

computerized. This will help the Municipality in providing ready information on 

defaults and help in speedy recovery process. 

With regard to improvement in collection efficiency of water charges, the 

Municipality should first improve the service levels. The Municipality should 

conduct a survey on the present service levels and identify places where 

service levels are good. The Municipality should then do a focused drive on 

these blocks with good service levels and implement various collection 

measures given above. 

- 91 - 



The Municipality may also consider implementation of late payment fines and 

in case of extreme overdue situations, disconnecting supply. 

As regards blocks with low service levels, the Municipality should improve the 

service levels and effect various measures to improve the service levels. Only 

with improvement in service levels, the collection efficiencies can be 

improved. 

As regards Other Fees, which basically comprises rent / lease from various 

assets of the Municipality, the Municipality should send eviction notices to the 

defaultees. Unlike property tax and water charges, the Municipality can 

enforce eviction of defaultees. 

- 92 - 



10 CAPIITAL IINVESTMENT NEEDS FOR IIDENTIIFIIED 

PROJECTS 

All the projects relating to urban infrastructure, urban growth and development 

have been identified through a conscious participatory process. The projects are in 

the form of improvements and, extension of the existing services and facilities such 

that the present inadequacies as per the norms and standards are made up and, in 

addition meet the requirements of the projected population of the town during the 

perspective period of plan. 

Each project component, as identified has been verified in the field of their 

suitability and feasibility in terms of location, coverage and adequacy and finalized 

with as intensive consultation with the office of the municipality and as suggested 

and recommended in the review meetings of the previous stage of this exercise in 

the office of TNUIFSL. The projects thus finalized and firmed up are detailed thus 

finalized and firmed up are detailed out in their present status, gaps, projected 

requirements, cost estimates, capital needs, funding pattern etc in the following 

section. In all the identified projects constituting physical and social infrastructure 

facilities and other projects including bus stand, remunerating projects are including 

cost about Rs. 208.36 Crores to be implemented starting from the current financial 

year. The Capital Investment Plan has been prepared based on Ambur Master Plan 

of the DTCP. The projects, breakup of the investment and implementation schedule 

are given in the following tables: 

Table 10-1: Summery of Capital Investments under CCCBP 

S.No Focus Area Total Cost Rs.in Lacs 

1 Water supply 13667 

2 Sewerage 3950 

3 Solid waste management 847 

4 Storm water drainage 684 

5 Roads 256 

6 Bus stand 12 

7 Street light 111 

8 Parks 11 

9 Schools 25.70 

10 Slaughter house 36 

11 Maternity Centre 54.30 

12 Market 3 

13 Shopping complex 100 

14 Burial ground 73 

15 E-Governance 18 

16 GIS mapping for Comprehensive Property database 37 

17 Slum development 2272 

18 Mobile tax collection vehicle 10 

Total 22167 

. - 93 - 



10.1 PHYSICAL INFRASTRUCTURE - IMPROVEMENT NEEDS 

In chapter - 8, we had identified the problems and issues of the Physical 

Infrastructure sector and mentioned about the projects identified the municipality 

for curative measures in this sector. Here we will discuss about the shortcomings in 

the projects identified by the municipality or by the different agencies i.e. 

Municipality, TWAD board etc. and discuss about the improvement needs and 

future proposals. 

10.1.1 Water Supply: 

1. Improvement Needs: 

Pachakkuppam scheme was commissioned during 1974 with River Palar as source. 

At that time, Pachakkuppam Scheme only supplies the water to whole Ambur town. 

Even now also pachakuppam head works have very good water yield from the 

palar river. This scheme has been designed to serve a horizon population of 80,000 in 

the year 2001 and to supply 70.00 lakh litres per day in the ultimate stage. But the 

tanneries situated around the town, discharges their effluent directly into Palar River 

and due to this activity; the head works at Pachakuppam is completely polluted. At 

present no pumping has been made from this head works. 

The existing distribution lines were mostly laid more than 30 years before and they 

need replacement. So there should be a comprehensive study for effective solution 

for water supply provision and rezoning. 

2. Water Supply Proposals 

It is proposed for the rehabilitation of exiting check dam for Anaimadugu, 

Kamanuthattu, Naickeneri areas, in order to meet the part of intermediate supply 

gap about 6.7 MLD by providing suitable open wells, rising mains , sump, and 

disinfection arrangement. 

The feasibility study carried out by the TWAD Board and it is mentioned that 6.7 MLD 

of water can be drawn by providing above facilities. The Ultimate demand shall be 

fulfilled using combined Mettur scheme. The Detailed Project Report for this scheme 

is under preparation by TWAD Board. The water allotment details from Mettur 

scheme for various municipalities are shown in Figure 10.1 

. - 94 - 


Chapter ñ10 Final Report: Ambur Municipality 

Figure 10-1: Mettur Combined Water Supply Scheme 

- 95 - 



Table 10-2- : Water source to meet intermediate and Ultimate Demand 

S.no Source Intermediate 

Ultimate 

Demand(MLD) 

Demand(MLD) 

1 Palar Source 6.75 6.75 

2 Check Dam (source at 6.70 6.70 

Anaimadugu, 

Naickeneri ) 

Kamanuthattu, 

3 Mettur Scheme 6.33 11.53 

Total 19.78 24.98 

. Following are the salient features of the water supply proposed scheme for 

intermediate year (2024). 

1. To develop Naickaneri tank by desilting , deepening and extending the 

periphery to the extent possible including raising and strengthening the 

exiting bund, conveying the water to foot of hills through 150 mm DI pumping 

main for 14 Km ,BPT ñ 5 Nos, Treating it through RSF , disinfecting and pumping 

to the existing Service reservoir. 

2. In Kamanurthattu, to Provide 3 open wells of 6 m dia X 18 m depth each to 

tap 200 lpm from each well for 16 Hours/Day to supply 5.76 LL/Day by 

providing components viz., BPT-4 Nos,2.00 LL sump -1 No, 0.50 LL sump -1 No, 

150 mm DI/K& pumping main for 11 km and disinfection arrangements. 

3. In Anaimadugu, to provide 3 open wells of 6 m diameter X 18 m depth each 

to tap 200 Lpm from each well for 16 hours /day to supply 5.76 LL/Day by 

providing components Viz., 150 mm DI pumping main for 3 Kms, 2.00 Ll sump - 

1 No and disinfection arrangements. 

4. Since the 18 LL at V.A.Kareem Road service reservoir has crossed the life 

period of 30 years, the new tank of sufficient capacity has been proposed to 

fulfil the future demand. 

5. The two infiltration wells to be proposed at sarangal river , three infiltration 

wells to be proposed in Malatar river and another 4 numbers of open wells 

are to be proposed at Vannandurai . 

The present water sources for the Ambur municipality is palar river, since the palar 

river source are polluted at some areas due to discharging of wastewater from 

leather processing industry and the yield of river also going down. The alternative 

water sources of mettur have been identified for combined water supply scheme 

for this municipality. The schematic and proportionate cost details of mettur scheme 

is presented in the above figure 10.1. 

The water can be drawn from palar river upto intermediate stage 2024 and after 

intermediate stage the mettur scheme can be used. The capital cost of mettur 

scheme is Rs. 1170 crores and O&M cost is Rs 40 crores per annum. The 

proportionate capital cost of Ambur municipality is Rs. 114 crores and O&M cost is 

Rs. 3.91 crores. 

- 96 - 



The total estimated cost including renovation of existing water supply scheme is Rs. 

13027 lacs. 

Table 10-3: Investment requirement in water supply sector for Ambur Municipality 

S.No Description 

1 Source Augmentation 

- 97 - 

Amount Rs 

in Lacs 

Infiltration well ( 8 Numbers) 64 

Open well ( 10 Numbers) 74 

Pumps 32 

Construction of GL Sump 2.0 LL 12 

2 Transmission System Improvement 

Construction of GL clear water sump 13 

Construction of BPT 18 

Sedimentation Tank 2.00 LL Capacity 6 

Construction of Rapid sand filter beds -2 numbers including all 

pipe connections 

10 

Supply ,delivery, Laying of 150 mm DI /K7 pipes to convey water 

by gravity from sump at HW to the sump at foot of hills 

336 

Provision for disinfection arrangements 6 

Construction of Service Reservoirs /Overhead tanks 241 

Improvements of Transmission Mains 310 

3 Improvement of Distribution System 

Supply and installation of bulk water meters( 15Nos) 45 

Supply and installation of consumer water meters 148 

Coverage of services in new areas/ uncovered areas 68 

4 Up-gradation of Existing System 

Desilting the existing Eri and extending the Eri Area to store and 

supply 10 LL of water per day to Ambur for 100 days during 

Summer 

30 

Raising and strengthening the existing bund of Naickaneri 

Construction of bund alround the Eri where ever necessary after 

2 

desilting and exceeding the Eri Area to the required peripheral 

length and depth 

10 

Provision for road cutting, restoration , culvert crossings and 

payments to forest dept 

13 

Anchoring arrangements wherever necessary 2 

Provision for getting power supply 5 

Provision for getting separate feeder main 9 

Rehabilitation of existing reservoir at V.A Kareem road 137 

5 Combined Mettur water supply Proportionate Cost 11436 

6 Water Treatment RO 640 

Total 13667 



10.1.2 Sewerage System 

1. Needs: 

At present municipality do not have sewerage system but Government of Tamil 

Nadu has proposed to lay new system in every municipality in Tamil Nadu. Ambur 

Municipality has prepared the DPR for the sewerage system for the town and sent it 

to CMA for approval. 

2. Sewerage Proposals 

The Detailed Project Report was prepared by TWAD Board. The Town has been 

considered as single zone for designing of the collection system. They estimate total 

length of sewerage 82.00 km .The Sewage Treatment Plant of capacity of 18.00 mld 

(ASP Technology) is proposed to be located near Sivarajapuram . 

Table 10-4: Capital Investment Needs for the Sewerage System 

S.No Description Qty 

Amount 

Rs. Lacs 

1 

Supply, Delivery, Laying and Jointing of sewer Lines including 

Appurtenances 

81.72 

Km 

1744.00 

2 House Service Connection 11500 397.02 

3 Pumping Main 1 No 102.14 

4 Pumping Machineries and Diesel generator sets 1 No 200.00 

5 

Pumping main from main pumping main station to treatment plant 

800 mm DI K7 

1.10 km 86.60 

6 Sewage Treatment Plant with ASP Technology 

14.65 

MLD 

623.00 

Sub total I 3152.76 

7 Petty supervision & Contingency @ 2.5 % 78.81 

8 Un-forseen Item @ about 2.5 % 78.81 

Sub Total II 3310.39 

9 Centage @ 5 % on sub total II 165.51 

Sub Total III 3475.91 

10 Miscellaneous Items 

Towards Road Restoration Charges for NH and state Highways 

Dept for sewers and Pumping Main 

Towards TNEB charges for separate Feeder main and connection 

85 

charges NH and state Highways Departments for sewers and 

pumping main 

25 

Towards Charges for telephone Connections 4 

Add service charges at 1 % on miscellaneous Items 1.2 

Add price escalation 10 % for 2 years 358.88 

Grand Total 3950.00 

10.1.3 Drainage 

1. Needs: 

The existing drainage condition of Ambur consists of tanks and manmade drainage 

system (Storm water open drains). Due to the natural slope of the town, all the drains 

- 98 - 



discharge water in Palar River. The present condition of Storm Water Drainage is that 

it also carried the sludge and sewage water, which ultimately carried to the Palar 

River. This has created enormous environmental problems. Also there are certain 

length of roads which is unlined and needs to convert them in lined drains to use the 

Rain Water Harvesting in an effective way. 

2. Drainage Proposals 

The existing storm water drains are not up to mark as the pucca drains are open and 

the kutch drains are cover 65 % of the road length. Items including main roads 

having puuca and kutcha open drains are converting to pucca Closed drain is 

estimated to Rs. 194 lacs. The major construction is required on the following drains 

and the rest of the money will be spent on up-gradation of household drainage. 

Table 10-5: Capital Investment Needs for the Storm Water Drainage System 


Length 

in Meter 

Amount Rs 

in Lacs 

1 BabuKollai to Paneerselvam Nagar 750 16 

2 Bethalagem to Kannar 1100 23 

3 Kaspa A to Kannar 946 20 

4 Samiyarmadam to Bye Pass Road 1000 22 

5 Sanakuppam to Bye Pass Road 900 20 

6 Judgemanai to Kannar 454 10 

7 K.M.Nagar to Paneerselvam Nagar 750 17 

8 Khardherpet 1000 22 

9 E.B Gate to Bridge 1000 22 

10 Edhka Road to Jalal Road 1000 22 

11 Proposed new Storm Water Drain 490 

Total 8900 684 

10.1.4 Solid Waste Management 

1. Needs: 

The household waste is dumped at various community collection points spread over 

entire town. Though municipality is doing its best to manage the solid waste yet it is 

not up to the mark to manage the solid waste from collection to disposal and lot 

has to be done for it. 

As of now, compost yard is used as a dumping yard only. As per Municipal Solid 

Waste rules, every town should be maintained compost yard and Land fill facility. 

But individual land fill facility requires high capital cost; instead of this consultant 

propose the regional land fill facilities. 

2. Solid Waste Management Proposals 

Based on the situation assessment and consultations with stakeholders, following 

urgent improvement needs has been identified and proposed. 

- 99 - 



a. House hold dust bin - 74,000 no to be used for segregation of wastes at source 

b. 50 Tricycles shall be used by sweepers in the town 

c. 20 Auto Tippers to collect wastes from narrow lanes of the town 

d. 4 new dumper placer to carry secondary collection work 

e. 6 container body kept in transfer station 

f. As per standard, every 10,000 population required 1 Acers. At present 8.77 acres 

available, for ultimate stage it requires 1.19 Acres. 

g. 1 Bulldozer for disposal site and composting plant operation 

h. The feasibility studies under progress by Anna university to centralize sanitary 

landfill which requires for Gudiyatham, Ambur, Vaniyambadi and Pernampet 

Municipalities. 

i. Also it is not viable to propose a separate Sanitary landfill facilities for each 

municipalities, since land is not available to construct sanitary landfill. So, it is 

proposed to construct combined sanitary landfill at Agaramcheri village and Ulli 

village to the above mentioned municipalities. Figure10.2 shows the location of 

identified site for sanitary Landfill. The proportionate cost for the construction of 

Sanitary Landfill is presented in Table 10.6. 

Figure 10-2 : Site Identification for Landfill 

The estimated amount for improvement of solid waste Management Rs. 846.9 Lacs 

- 100 - 




Table 10-6: Capital Investment Needs for the Solid Waste Management 

1 Improvement of Solid Waste Collection System 

- 101 - 

Amount Rs. 

In Lacs 

Purchase and Distribution of household dustbins i.e. Segregated 

Format 

37 

2 Improvement of Solid Waste Transportation System 

Auto Tippers 26 

Tricycle 1.9 

Dumper Placer 29 

Body Container 33 

3 Improvement of Solid Waste Disposal System 

Land Requirement for Compost Yard 145.95 

4 Purchase of Equipments for Compost Yard Management 

Dumper Pulsar 12.75 

Turner 3 

Shredder 10 

Electricity 0.5 

water Supply/ OHT 2 

Internal road 1 

Watch man Shelter 1 

Weigh Bridge 6 

5 Land fill 

Land cost for Land Fill 74.80 

Landfill development cost 463 

10.1.5 Street Light 

1. Needs: 

Total 846.90 

In the midst of unplanned growth of the town, there are numerous places with in the 

town where street light is essential for security. High mass poles of 25m height are to 

be installed at suitable places with in the town. As the city is under the pressure of 

heavy maintenance and electricity bill of street lights it need innovative ideas to 

reduce the reoccurring expenditure in this sector 

2. Street Light Proposals 

The suggested innovation of existing street light with automatic timer switch will 

require Rs. 6.4 lacs. The high mass light is required for the specified 7 places in the 

town and electrical fittings for existing street lights. The total estimate cost for street 

light is Rs. 89.65 lacs. 



Table 10-7: Capital Investment Needs for the Street Light 

S. No. Description Nos Amount in Rs Lacs 

1 Sodium Vapour Light 50 2.25 

2 High Mast light 7 63.00 

3 Mini High Mast Light 6 18 

4 Additional Automatic timer Switches 70 6.4 

5 Conversion of Tube Lights to CFL (Gradual Installation ) 17.85 

6 Proposed Lights for New Layouts 7.80 

Total 103.20 

10.1.6 Roads and transportation 

1. Needs: 

The town has lot of important roads which connect it with the surrounding and most 

important is Vellore and Ambur road. There are city roads which need widening as 

well as resurfacing, apart from this these city roads are encroached and without 

drainage facility and side walks. So these roads need improvements. 

2. Road and Transportation Proposals 

The capital works relating to improvements of roads in terms of converting exiting 

gravel road and WBM roads to Concrete Road and BT road repetitively . Also, 

included the road widening, road junction improvements and bus stand 

improvements at an estimated cost of Rs. 112 Lacs. 

Table 10-8: Capital Investment Needs for the Roads and Transportation 


Amount Rs in 

Lacs 

1 Road Improvement 

WBM to BT 81 

Gravel Roads to CC Road 

Road Junction Improvement (Khdherpettai Junction, Kaspa A 

37 

2 Junction, Sanakuppam Madhakari, Krichnapuram Society, S.K Road 

Junction, M.G R Statue & Umor School Junction) 

18 

3 Bus Stand Improvement 

Improvement on Existing Bus stand 12 

4 Proposed New Roads 120 

Total 268 

10.1.7 Educational Institutions 

1. Needs: 

The school needs relate to renovation of exiting old buildings, the A.C roof and 

Mangalore tiles are to be convert the R C C roof Structures, sports materials and 

computers. 

2. Educational Institutions Proposals 

Govindapuram Municipal School needs improvement in building structures as well 

as in basic minimum facilities for the students. For improvements of the building, 

- 102 - 



sports material, computers and separate water supply arrangements for 

Govindapuram School at a total investment is Rs. 25.70 Lacs. 

Table 10-9: Capital Investment Needs for the Educational Institutions 

S.No Description Amount Rs.in Lacs. 

1 Govindapuram Municipal School 

New Building Construction (after demolishing old Building ) 24.00 

Provision of Computers 0.90 

Sports Utilities 0.50 

Greenery in the School Environment 0.30 

Grand Total 25.70 

10.1.8 Health Facilities 

1. Needs: 

The municipality runs three maternity centres. There has no space for additional 

building to build in exiting maternity centre. The local body needs certain 

improvements for modernizing the maternity center. 

2. Health Facilities Proposals 

The Improvements of the Valayalkara Street Maternity centre, Bethalagam 

Maternity centre and K.M Nagar Maternity is estimate to Rs. 54.30 Lacs. 

Table 10-10: Capital Investment Needs for the Health Facilities 

S.No Description Amount Rs .in Lacs 

1 Existing Maternity 

Modernized Labour Room 2.00 

Dadooing and Floor Tiling 2.00 

Providing consultation Room 1.50 

Beds, Table Chairs, Cots, Mattresses & Covers 4.00 

Providing Computers 0.60 

Toilets & Urinals 4.00 

Landscaping /Gardening 4.00 

Sub Total 18.10 

Total( for 3 Maternity Centers) 54.30 

10.1.9 Parks and Play Ground 

1. Needs: 

a. Restoration of parks with children play facilities, greenery, lawns, tree plantation 

etc. 

b. Development of road side gardens through sponsorship 

c. Walkways all-round the parks 

Apart from acting as the lung spaces and recreation area to the local population, 

these parks could act as a temporary resting and refreshment area for the people. 

A look at the parks reveals that they are very poorly maintained and are used for 

- 103 - 



other than the designated uses. All the parks require proper fencing for 

maintenance and right use of the land parcels; Landscaping of the parks is a must 

by planting of choice species. Provision of pathways along the periphery of the 

parks with shrubs and plantations on both the sides is one of the present 

requirements as walkways for all age groups of residents. Maintenance of greenery 

comprising shady, ornamental and avenue trees will greatly improve the quality and 

usage of parks. Fountains and water supply provisions should be provided in the 

parks at appropriate places. The maintenance of the parks may be entrusted to 

interested voluntary agencies on private participation/donation. Also some of the 

commercial houses may be involved in maintaining the parks providing appropriate 

advertising space. 

2. Parks and Play Ground Proposals 

Renovations of the existing Kampikollai park including landscape of parks and play 

fields is estimate to cost Rs.11 Lacs. 

Table 10-11: Capital Investment Needs for the Parks and Play Grounds 

S.No Description Amount Rs.in Lacs 

1 KampiKollai Park 

Compound Wall 3.00 

Lighting Arrangements (Mini High Mast Light) 3.00 

Children Play Material 1.00 

All round path way 2.00 

Adequate Seating Arrangements 2.00 

Total 11.00 

10.1.10 Market Development 

1. Needs: 

The weekly market of the municipality was the unregulated market, its road side 

market. There is no scope for further improvement or extension of market. 

Another daily market has 21 open shops. It needs the basic infrastructure facilities as 

well as Vehicle parking. 

There has open lands are available in V.A Kareem Road OHT and near ESI Hospital. 

That places are suitable for shopping complex. 

2. Market Development Proposals 

The improvement for the exiting market needs Rs. 3.00 lacs for Water supply 

arrangements and Vehicle Parking. 

Two new shopping complexes to be built in V.A.Kareem O HT and near E S I Hospital 

with all basic infrastructures at estimated cost of Rs. 89.98 Lacs 

- 104 - 



Table 10-12: Capital Investment Needs for the Market Development 

S.No Description Amount Rs.in Lacs 

1 Weekly Market -1 

Water Supply arrangements 2.00 

Vehicle parking stand 1.00 

Sub Total -I 3.00 

2 Shopping Complex at V.A Kareem OHT 

Civil Structures for 14 shops 32.20 

Lighting Arrangements 0.60 

Parking 2.00 

Toilet 2.00 

Sub Total - II 36.80 

3 Shopping Complex At E S I Hospital 

Civil Construction for 40 Shops 54.00 

parking 2.00 

Toilet 2.00 

Lighting Arrangements 5.00 

Total ñ III 63.20 

4 Grand Total 103.00 

10.1.11 Slaughter House Development 

1. Needs: 

There is one slaughter house for goat located in the municipality limit. Its renovation 

work was completed recently. But treatment system was not provided in that 

slaughter House. 

2. Slaughter House Development Proposals 

The treatment system is proposed for the existing slaughterhouse at a cost of Rs. 8.00 

lacs. 

Table 10-13: Capital Investment Needs for the Slaughter House Development 

S. No Description Amount Rs.in Lacs 

Existing Slaughter House for goat 

1 Providing treatment unit to proper disposal 8.00 

2 One New Slaughter house for beef 28.00 

Total 36.00 

10.1.12 Burial Ground Development 

1. Needs: 

There has totally 6 burial ground was there but out of 6 Burial ground, only 2 was 

approved by the municipality. One of the Burial grounds was located in Kaspa A, 

there has no compound wall and one main road also passed though the burial 

ground. 

- 105 - 



Another one was located in Sanrorkuppam area with only land availability. Kaspa A 

burial requires modernized facility with Gasifier Crematorium. 

2. Burial Ground Development Proposals 

The estimated cost for the burial grounds with inclusion of Gasifier Crematorium( for 

Kaspa A only), Compound wall and Lighting facility at a cost of Rs. 73 Lacs. 

Table 10-14: Capital Investment Needs for the Burial Ground 

S.No Description Amount Rs in Lacs 

1 Existing Burial Ground 

Solar Light - 4 1 

Compound Wall 2 

Water Supply 1 

Prayer Hall (Thidhi) 5 

Office and security room 3 

Landscaping and planting trees 2 

Sub Total 14 

Sub Total ( for 2 Burial Ground) 28 

2 Gasifier with Room (at Kaspa ñA) 45 

Total 73 

10.1.13 Slum Improvement 

1. Needs: 

Nearly, 11 slums are identifies with a population of 15089(6914 House holds), which 

account for 15 % of the total population in the town. The slums are mainly lack in 

physical infrastructure facilities 

2. Slum Improvement Proposals 

The estimate cost for construction of shelter, Public toilets, Drainage facility, water 

supply arrangement and street lighting around Rs. 2271.00 Lacs. 

Table 10-15: Capital Investment Needs for the Slum Improvement 

S.No Description Amount in Rs Lacs 

1 Shelter 1900.00 

2 B T Roads 184.00 

3 Strom water drain 126.00 

4 C C Road 57.00 

5 Street Light 5.00 

Total 2272.00 

- 106 - 



10.1.14 System Improvement and E-Governance 

1. Needs: 

Till date there is no entirely dependable and realistic database for the town, in form 

of topography, updated base map, assessment of properties in their location, size, 

use and intensity, assets ñ lands and structures in their location, status, extent and 

quality, topography, land parcels by town survey, numbers and sub divisions and so 

on. All these can be updated with cent percent precision using high resolution 

satellite imageries supplemented by cent percent primary survey. All these with 

spatial and non-spatial data can be had on a GIS format which, on a click at any 

features or site on the town map will provide the entire details including the 

description of the features / address of the owner including tax paid etc. This is a 

one time comprehensive exercise to include the updated town map with town 

survey, land parcels, structures, service network, assets with the relevant details and 

description on a GIS format. 

2. System Improvement and E-Governance Proposals 

In this ultra modern age with high-tech interventions this is considered a must for 

easy efficient and flawless governance, administration and functional operation 

from local body level to the government level. Apart from this GIS is a perfect 

solution for upgraded information in terms of grievance redrassal as well as property 

tax collection. Also these upgraded solutions will be provided to monitor the city 

growth for future. Computerization of ULB is required and each person above LDC 

level should be trained to operate the computer system. There is a need that the 

ULB should upgrade the website on daily basis and there should be uniformity in the 

content provided in the website of the ULBs in Tamil Nadu. The total estimate cost for 

e-governance around Rs. 65 Lacs. 

S.NO Description 

1 e-Governance 

Table 10-16: Capital Investment Needs for the e-Governance 

- 107 - 

Amount in Rs. 

Lacs 

GIS Mapping for Comprehensive Property Database 37.00 

Software, Hardware & Networking for Municipality 18.00 

Mobile collection vehicle 10.00 

Total 65.00 



10.2 Other departmental Works 

1. Electricity Board 

To maintain uninterrupted power supply for consumer satisfaction following steps to 

be take by Electricity Board. 

Enhancement of exiting 2 X 10 MVA power transformer to 2 X 16 MVA 

Enhancement of exiting distribution transformer 250 KVA to 500 KVA -2 

numbers 

Enhancement of exiting distribution transformer 100 KVA to 250 KVA- 10 

numbers. 

To provide11 KV feeder meter single phase - 10655 numbers and three phase- 

1200 numbers. 

Fuse off call centre 1 number and provision of cell phone to all officers and 

field staffs 36 numbers. 

The total amount for above mentioned work is about Rs. 3 Crores. 

- 108 - 



Table 10-17: Projects to be taken by other departments 

S.No Project Description 

Regional Level 

Nodal Agency 

- 109 - 


Cost (Rs.in 

lakhs)- 

1 Preparation of Updated Master Plan DTCP / CMA .. 

2 

3 

4 

5 

6 

7 

8 

Indutrial pollution remediation 

measures - Business Plan 

Setting up of Resource center for 

alternative green technology for 

leather industries 

Feasibility Study for Development of 

Industrial Corridor of Excellence 

connecting Chennai and Bengaluru CII/NHAI 

Preparation of Regional Plan for Vellore 

region focussing on green and 

sustained econmic development. 

TNPCB,CMA, DTCP, 

DTP, TNUIFSL/ other 

funding agencies and 

Association of Industrial 

owners 

CLRI, VIT and 

Association of Industrial 

owners 30.00 

Study 

under 

progress 

DTCP/ Planning 

organisations 30.00 

Preparation of Regional Traffic 

Operation and Management Plan NHAI 5.00 

Feasibility Study for extension of metro 

rail between Chennai and Bengaluru 

Feasibility study for Bullet Train between 

Railway Authority 12.00 

Chennai and Bengaluru Railway Authority Long term 

9 

Town Level 

Conversion of exiting 2 X 10 MVA 

power transformer to 2 X 16 MVA, 

distribution transformer 250 KVA to 500 

KVA -2 numbers, distribution transformer 

100 KVA to 250 KVA- 10 numbers. 

To provide11 KV feeder meter single 

phase - 10655 numbers and three 

TNEB 

10 phase -1200 numbers 

Fuse off call centre 1 number and 

provision of cell phone to all officers 

TNEB 

300.00 

11 and field staffs 36 numbers. 

CMA/TNUIFSL, 

12 Esco Study 

Awareness campaign for NGOs on 

their roles and responsibilities in 

municipality 1.00 

13 community development Municipality 5.00 

14 

Construction of RO or Subway at 

Bethalegam area 1500


11 RIISK AND MIITIIGATIION MEASURES 

11.1 PROJECT RISKS AND MITIGATE MEASURES 

Risk is an integral ingredient in any project venture. Projects without risk are not 

heard to have met with great success. Particularly the project package such as this 

for a Municipal body has multi-various risks as it is mainly with the public of different 

attitudes, background, profession and traits. As such the local bodies are facing 

problems of complex nature even in carrying out their rightful functions and duties. 

The project risks identified are addressed below 

1. Environmental risks* 

2. Social risks* 

3. Site risks 

4. Implementation risks 

5. O&M risks 

6. Financial risks 

7. Market risks 

8. Risks due to Natural disasters 

9. Risks in private participation 

Though the projects identified under the CCCBP do not mostly constitute as sensitive 

environmental components, but come under various degrees of environmental 

concerns. The identified projects are categorized under the environmental concerns 

relating to E1, E2, E3 and Based on the Project Affected Area (PAP) and the level of 

social impact as S1, S2 and S3. 

Table 11-1: As per the Guidelines on Environmental & Social Concerns of CCCBP projects ñ 

Ambur 

No. Project Items Environmental Category Social Category 

1 Water Supply E2 & E3 S2 

2 Sewerage System E2 S1 

3 Storm Water Drains E2 S2 

4 Solid Waste Management E1 & E2 S2 

5 Roads E2 S3 

6 Bus Stand E2 S2 

7 Street Lights E3 S3 

8 Parks and Playgrounds E3 S2 

9 Burial Grounds E2 S2 

10 Public Convenience E2 S3 

11 Medicare E2 S2 

12 Slum improvement E3 S1 

13 Market E2 S2 

14 GIS database E3 S3 

15 E-governance E3 S3 

- 110 - 



Note: 

ï E1 projects relate to those where major environmental impacts are foreseen warranting 

Environmental Assessment Report (EAR). 

ï E2 projects are moderate in environmental concerns. 

ï In E3 projects, no environmental issues are foreseen 

ï S1 projects will affect 200 people or more. 

ï S2 projects are those where no PAP is physically displaced and less than 10% of the productive 

assets are lost. 

ï In S3 projects, no household will be affected. 

The risks involved in the identified projects and the mitigation measures are given in 

the table below 

Each of the above categories are detailed out in the table below: 

Category Mitigate measures 

Land interests and land acquisition 

Resistance from public 

Delay due to statutory approvals 

Un-suitable site conditions. 

Environmental issues 

- 111 - 

Site risks 

Providing all land related information to the 

contractor 

Community consultations to ensure least resistance 

from local population 

Interfacing with all concerned departments to ensure 

land approvals or reduce bottlenecks 

Careful site selection after detailed investigation of 

site history and characteristics 

Addressing all related environmental issues before 

the bid process , including impact assessments 

Implementation risks 

Risks related to design ,construction and commissioning the projects such as: 

Design flaws 

Non - availability of suitable contractor 

due to the simultaneous execution of 

similar project in many ULBs near by. 

Time and cost over runs 

Review of proposed design by Government, parstatal 

agencies. 

Ensure correction of design and construction defects 

before commencing service delivery 

Consolidating contract packages and calling tender 

at state level or National level. 

Short listing of potential contractors at regional level 

and Tendering the contract in a planned manner. 

Proper specification of project outputs and core 

services to be delivered. 



Defaulting in meeting dead lines in 

construction and commissioning 

Ensuring service delivery 

- 112 - 

Linking contracting services to key performance 

indicators and in turn to the payment schedule 

Independent commissioning tester to ensure delivery 

O&M risk 

of the required performance. 

Increase in predicted operating costs Address future service delivery demands also 

Impact of design flaws & defective 

construction, deterioration of 

performance standards 

Technologically outmoded practices 

Inherent defects of the system 

Defaults from designer, builder and 

operators 

Funding uncertainties 

Cost escalation 

Delays in financial closure of the project 

General economic down turn 

Changes in Government policies, 

Shift in industry focus 

Operating guarantees/performance bonds to ensure 

service continuity and compensation for default 

Inbuilt options for upgrading technology as the 

contract term proceeds 

Escrow mechanisms to ensure protected cash flows 

and enforce during service/operational default 

Financial risks 

Termination rights in case of insufficient 

delivery/break down in service provision 

Ensuring project structure, in-built contractual 

provisions and foreseeing risks make the project 

bankable, addressing lender related issues. 

Mitigate risks arising from inflation, interest rates, 

foreign exchange rates etc. 

Avoid looking for the lowest cost bid- base selection 

upon financially sound structure and business plan 

Market risks 

Quantify demand, providing demand related 

information at the bid stage 

Initiate feasibility studies, demand forecasting, 

sensitivity analysis. 

Change in target-market competition Incentives to stimulate end-users 

Floods, Cyclones, Earth quakes, Tsunami 

Insurance coverage 

Risks from Natural disasters 

Minimize impacts through appropriate insurances to 

transfer risk to insurer 

Regularly review insurance policies to ensure 

effective and adequate coverage 



Interruption in Service delivery 

Project initiation 

Private operator 

Lack of service delivery 

Inadequate capabilities for legal and 

technical issues 

Delays due to statutory approvals 

Delays due to land acquisition 

Unforeseen risks to private operator 

Technically out dated mechanisms 

- 113 - 

Appropriate action plans for temporary service 

Risks in Private sector participation 

arrangements 

Specify desired project outcomes, taking into 

account Govt. policies 

Ensure sound financing pattern or the model on 

which the private sector has based its participation 

Ensure Government rights to take over some or all of 

the sub-contracts of the private party in case of its 

failure to perform. 

Contingency plans for continuation of core or 

ancillary services 

Ensure and technical legal ability to contract with 

private party 

Identify and facilitate Govt. approvals-related to 

planning, environment etc 

Anticipate ,identify and resolve land tenure issues- 

Acquisition , title, encroachments, usage of land 

Insurances to cover aspects like ownerís liability, asset 

risks, business interruption, some policy risks, natural 

disaster. 

Incentives to private sector to incorporate latest 

technology by making the design consultant, builder 

and the operator part of the OWG 



12 REFORMS AND ACTIION PLAN 

A City Corporate cum Business Plan (CCCBP) is essentially a road map to achieve a 

set of development objectives within a specific period. This CCCBP has identified 

gaps in municipal service delivery and institutional management, ascertained by 

expert analysis and stakeholder feedback. The proposed interventions for the 

Municipality are in the form of reforms, action plans and strategies to achieve the 

same. 

Strategies and Action Plans are the elements which bridge the gap between the 

Proposed Reforms and implementation. The following sections detail out the 

strategies and Action Plan plans for the proposed Reforms and interventions in the 

areas of revenue enhancement, privatization, computerization initiatives, energy 

efficiency and municipal service delivery. 

12.1 PRESENT SCENARIO IN URBAN REFORMS 

ìReforms and change are critical elements in development process; they become 

more significant in urban development in the context of growth of towns and 

consequent pressure on infrastructure and services, growth of poverty, etc. This is 

compounded by institutional constraints like in capacity, fragmented structures, 

functional overlaps and outdated processes and procedures. In addition, there has 

been a paradigm shift in governance from the traditional top-down model. As a 

result governance reforms have become imperative for efficient delivery of services, 

provision and maintenance of infrastructure and to provide efficient and responsive 

governance to the people. Recognizing the significance of reforms to provide 

efficient and effective governance, the State Govt. has initiated and implementing 

several urban sector reforms during the last few years. ì 

The following are the key reforms implemented by the GoTN : 

1. Devolution of funds: 3.5% of Stateís total tax revenue passed on to urban 

local bodies. 

2. State Finance Commissions: Three consecutive state finance commissions 

were setup for recommendations to Government. 

3. Setting up of TNUDF: A successful private-public partnership initiative to tap 

the capital market. 

4. Accrual Based Accounting System: The new accounting system has been 

implemented in all the urban local bodies. 

5. Computerization and E-governance of select Municipal functions have been 

successfully implemented in all urban local bodies. 

6. Urban indicators: Performance assessment of ULBs initiated by CMA 

- 114 - 



7. Revision of Property tax : With effect from April 1.2008, subject to a maximum 

of 1.25 times the existing tax structure. 

8. Debt monitoring cell: It has been established with office of CMA with the 

objective of collecting financial information on individual ULBs, assisting them 

in making realistic financial projections and facilitating the Urban Local 

Bodies to access the Capital Markets by information dissemination from CMA 

office. 

9. GIS for 5 urban local bodies: Consultancy for Preparation of Property 

mapping and Utility Mapping for Madurai, Coimbatore and Tiruchirappalli 

Corporations and Rajapalayam & Gobichettipalayam Municipalities has 

been initiated as a pilot project by the office of CMA. 

10. ESCO Studies: TNUIFSL initiative for the Implementation of energy efficiency in 

Water pumping and Street lighting systems under performance contract. 

11. Right to Information Act, GoI : An Act to provide for setting out the practical 

regime of right to information for citizens to secure access to information 

under the control of public authorities, in order to promote transparency and 

accountability in the working of every public authority. 

12. Preparation of Human Development report for 5 Municipal Corporations 

under TNUDP-III, Commissionerate of Municipal Administration- to identify the 

strengths and weaknesses of each urban local body on the appropriate 

parameters. This would enable them to propose and implement schemes to 

overcome the shortcomings and improve the quality of life of their residents. 

12.2 PROPOSED INTERVENTIONS AT STATE LEVEL 

a. Property Tax 

Implement a framework law for disputed properties, so that the assessees pay the 

tax first and then carry out necessary litigation as in Central Govt. Depts. 

b. Community participation law 

Enacting the ìCommunity Participation Lawî that will make it mandatory for the 

government and its agencies to get the view of citizens, mainly residentsí welfare 

associations and other citizensí groups, before starting any project. 

c. Initiatives in Private Participation 

Frame work law for PPP as in Gujarat, Punjab and Andhra Pradesh ñ An enabling 

and regulatory framework for private sector participation . TNUIFSL may initiate 

capacity building in public institutions and private sectors for handling PPP projects. 

Setting up a PPP cell and creating database at the State level listing projects in 

various sectors of developmental activities for PPP participation. 

- 115 - 



Base source: www.pppinindia.com Fig 12.1 Organisation chart of PPP Cell 

- 116 - 



Infrastructural projects: 

Water supply project 

1. As regards water supply projects, the consultant proposes using available 

UGSS project 

local sources (surface water) in lieu of capital intensive projects from far off 

sources. The enforcement of RWH in all buildings is a commendable initiative, 

which has proven successful in improving the quality and quantity of ground 

water table according to a recent study. Rejuvenation and protection of 

water bodies and recycling, reuse of water is also a major issue to be 

addressed in this regard. Participation of SHGS, voluntary organizations, 

resident welfare associations need to be sought. 

1. Highly engineered and mechanized conventional sewage treatments require 

large Capital Investments, demand high maintenance costs and are not 

feasible for the developing countries like ours. Capital intensive and highly 

technological waste disposal solutions, utilizing indiscriminate collection and 

large-scale disposal, do not consider the value of recovering organic waste 

resources and do not promote recycling. The land required for the disposal of 

treated wastewater in the conventional treatment systems is not readily 

available. Alternative treatment systems like Root zone treatment methods 

could be used. 

2. GoTN may also encourage recycle of water, to meet requisite standards 

rather than let them out into streams or sewage farms. This will not only 

promote water recycling, but also resource recovery of minerals. 

Integrated Water Resources Management Plan (IWRM) ñ The solution. 

As a general rule, in the past with smaller populations, less intense economic 

activity and with less affluent societies demanding much less water, supply of the 

resource was usually much greater than demand for it. In such circumstances 

water for agriculture, for industry, for domestic and all other uses could be 

managed separately there being sufficient water to accommodate all needs 

and there being little competition between uses and between users. 

As populations have grown, as food production has increased, as economic 

activity has developed and as societies have become more affluent, so 

demand for water has burgeoned. The traditional fragmented or purely sectoral 

approach is no longer viable and a more holistic approach is essential. This is the 

rationale for the Integrated Water Resources Management (IWRM) approach 

that has now been accepted internationally as the way forward for efficient and 

sustainable development and management of the worldís limited water 

resources and for coping with conflicting demands. 

- 117 - 



ìIWRM is defined as a process that promotes the coordinated development and 

management of water, land and related resources, in order to maximize the 

resultant economic and social welfare in an equitable manner without 

compromising the sustainability of vital ecosystemsî. 

Source: Status Report on Integrated Water Resources Management and Water 

Efficiency Plans ñ UN water report. 

12.3 PROPOSED INTERVENTION AT MUNICIPAL LEVEL 

The Proposed Municipal intervention is broadly categorized under the heads of: 

1. Strategies for Environmental Improvement 

2. Reforms in Resource Mobilisation 

3. Privatisation Initiatives 

4. Energy & resource efficiency 

5. Computerization and E-governance 

6. Accounts and Auditing 

7. Institutional Management 

8. Municipal service delivery 

12.4 STRATEGIES FOR ENVIRONMENTAL IMPROVEMENT 

1. Formation of Sustained Economic Development Organisation: The leading 

industrialists of Ambur and Vaniyambadi have come together and promoted 

an umbrella organisation, namely, AMBUR ECONOMIC DEVELOPMENT 

ORGANISATION LIMITED, (AEDOL) to work towards sustained development of 

the leather industry. 

The objects of AEDOL are service oriented and profits of the company will be 

ploughed back for development of leather Industry in Ambur. The company 

has been promoted as a public limited company to facilitate borrowing from 

financial institutions wherever possible. 

i. Engaged Central Leather Research Institute, Chennai to conduct a 

techno economic study for the establishment of Testing Laboratory and 

Technical Services Centre in Ambur. 

ii. Conducted skill upgradation training programmes for working units. 

iii. Engaged a Technical Expert to conduct energy conservation studies in 

small tanneries and identify areas where there was scope for energy 

conservation. 

- 118 - 



iv. Based on the study, AEDOL is now providing technical assistance to small 

tanneries to implement energy conservation measures. 

2. Regular monitoring and stringent enforcement of Pollution control regulations 

on the industries utilising the existing CETPs. 

3. Initiate a ëPollution remediation Pooled fund for Vellore regionë- A public- 

private partnership initiative, with contributions from Industrial establishments, 

Govt. and funding agencies. 

4. Launch intensive water recharge activities to surface water bodies including 

open wells, rivers and eris, to improve water quality in this region. 

Sl.No Reforms 

Table 12-1: Road Map ñ Environmental improvement 

- 119 - 

Year of Implementation 

Year 1 Year 2 Year 3 Year 4 Year 5 

1 

Preparation of Business Plan for 

Industrial remediation measures √ 

2 

Implementation of Industrial 

remediation measures √ 

3 Intensive water recharge activities √ 

4 

Enforcement of Pollution control 

regulations 

12.5 REFORMS IN RESOURCE MOBILISATION 

In an environment in which business activity is booming and urban infrastructure 

threatens to become a constraint to growth, the municipalities are faced with an 

unprecedented need to find substantial resources for development, and an 

unprecedented opportunity to raise the same. The various options for enhancement 

of Municipal revenue based is discussed below: 

1. Improving revenue from own sources 

2. Improving revenue from user charges 

√ 

3. Formation of new sustainable revenue bases 

12.6 ACTION PLAN: IMPROVING REVENUE FROM OWN SOURCES 

Strategy options : 

i. Property and Profession tax 

1. Expanding Property tax and Profession tax base. 

Onetime assessment of all unassessed and under assessed properties. The 

project could be taken up as a door ñto ñdoor survey of all existing 

properties, with details on 



1. Size & built up area of the property 

2. Present use - residential, commercial, industrial or vacant. 

3. Number of households, houses, size of families, etc. 

On comparing with other municipalities in Tamil Nadu, the household size 

(arrived from population and residential tax assessments) is 9, which is high. Thus it is 

imminent that the property tax mapping exercise needs to be taken up 

immediately to enhance the revenue generation of the municipality. 

Street naming and property numbering already undertaken by Govt. of Tamil 

Nadu needs to be linked to this to streamline the study. At the rate of Rs.30.00 

per property, the estimated cost for the project would be about Rs.7.00 lakhs. 

Property mapping would form a database for GIS projects (Land use and 

Utility Mapping), which is a long term project and in the rationalization of tax 

structure. The participation of the SHGs, (youth and women) could be utilized 

for the purpose. 

Identifying and including omitted Profession tax assesses - This project is to be 

linked to the property mapping exercise. An improvement of 20-30% on the 

existing tax base could be expected. 

2. Rebates on Property tax: 

Most of the collections take place during the last quarter of the year. This 

results in poor collection efficiency, wherein the ULB ends up collecting much 

less taxes than the tax demand raised. The option of providing rebates upto 

10% for ëearly birdsí paying the tax during the 1 st and 2 nd quarter could be 

explored. This would ensure timely spending on capital and operating 

expenditure and efficient tax management systems. 

3. Regular and periodic increment of property tax at 15% every 5 years. 

4. Mobilizing a ëFast Track Litigation Campaigní to settle disputes on properties. 

5. Levying Vacant Land Tax as per the recommendations of Third State Finance 

Commission. Empowering the municipality to convert non-claimed lands to 

socially benefiting uses. 

ii. Profession Tax Reform 

Revising the profession tax based on the Third State Finance Commission 

recommendations. 

iii Regularization of unapproved construction 

Regularization fees for unapproved constructions at the rate of 5 times the 

existing building license fee. 

- 120 - 



Sl.No Reforms 

1 

2 

Property tax Reform 

12.2 Road Map - Improving revenue from own sources 

i Property Mapping √ 

ii Rebates on Property tax √ 

iii 

iv 

- 121 - 



Regular and periodic 

increment of property tax √ 

Mobilizing a ëFast Track 

Litigation Campaigní 

v Levying Vacant Land Tax √ 

Regularization of unapproved 

construction √ 

12.7 ACTION PLAN : IMPROVING REVENUE FROM USER CHARGES 

Strategy options 

i. Water supply and UGSS 

Approval of the Municipal council for the proposed tariff and deposit 

structure to enhance the public contribution and meet the entire O&M cost. 

Increase in the penetration of connections to at least 85% of total 

assessments. This backed by higher collection efficiency and enforced 

leakage losses (less than 15%) would further improve service delivery. 

Levy Reasonable User Charges to recover full O&M Cost of water supply and 

UGSS. 

Implementation of graded tariff structure (UGSS) for domestic and non- 

domestic connections. This needs to be linked to property mapping project 

and type of assessment to be ensured. 

Mandatory mobilisation of deposits for Capital intensive WS or UGSS projects 

during pre-construction stage of the project. 

ii. Solid Waste Management 

Approval of the Municipal council for the proposed Solid waste conservancy 

charges for commercial and industrial establishments during the base year 

and after 5 years for domestic assessments. 

For implementing collection of conservancy fee for Solid waste 

Management. The proposed tariff structure is given below: 

Domestic - Rs.5 per month.(medium term plan) 

Commercial - Rs.10 per ton. 

√ 



Industrial - Rs.15 per ton. 

Bio-medical - Collected by IMA. 

Privatisation of collection, transfer, construction and management of 

compost yard and compost production. This would reduce the O&M 

expenses of Municipality on SWM by 30 to 40%. 

Revenue generation from selling scrap after segregation at secondary 

collection point or compost yard at Rs.10 -Rs.15 per kg. 

Revenue Generation from sale of compost at the rate of Rs.1000 per tonne as 

bulk supply to nearby agricultural areas. Incidentally, the manure generated 

from Municipal garbage is found to be richer in NPK values compared to the 

one available in the market. This has resulted in producing better yield of 

agricultural products both in quantity and quality. 

Table 12-2: Road Map Improving revenue from user charges 

Sl.No Reforms 

1 

Water Supply and UGSS 

- 122 - 



i Increasing deposit and tariff √ 

iii Graded tariff for UGSS √ 

iv Pre mobilization of deposits √ 

2 Solid Waste Management 

ii 

iii 

Collection of conservancy fee for 

Commercial and Industrial 

Establishments 

Collection of conservancy fee for 

Domestic assessments 

12.8 ACTION PLAN: FORMATION OF NEW SUSTAINABLE REVENUE BASES 


i. Remunerative projects 

To improve the revenue base of the municipality, following are the remunerative 

proposals identified. 

Improvement in existing bus stand 

Construction of shopping complex at V.A.Kareem OHT (14 shops) 

Construction of shopping complex at ESI Hospital (40 shops) 

Construction of new slaughter house 

√ 


√


ii. Parking Regularisation Plan 

Enforcing no-parking zones and identification of possible parking areas with the 

involvement of stakeholders would be the first step in mitigating congestion in the 

central areas of the town. Preparation of inventory for all roadside parking areas. 

Initiating time based pay and park facilities for vehicles. Appropriate rent structure 

from auto stands, LCV and heavy vehicles parking would also improve income 

generation. 

The proposed parking fee structure is: 

Bicycles - no tax 

Two wheelers - Rs.2.00 

Light Vehicles - Rs.5.00 

Heavy Vehicles - Rs.10.00 

iii Advertisement Regularisation Plan 

Identifying strategic locations such as bus shelters, road medians, for hoardings and 

poster places in Municipal area and levying advertisement tax at the rate of Rs.25 

per sq. ft per annum. 

To prepare an inventory of advertisement spaces within their limits with size and type 

.Auctioning the entire rights to a single bidder on an annual basis is suggested. The 

initiative of GoTN to remove hoardings and encroachments is a welcome step to 

regularize the advertisements and hoardings. 

iv. Collection of Annual Tract rent 

From cable T.V operators - (Rs.3.00 per running metre) 

From Telecommunication service providers - (Rs.5.00 per running metre) 

The urban local body may be empowered to collect the security deposits at 

Rs.10,000 per operator and revise the tract rent every three years. The collection of 

tract rent and deposits can be handed over to Youth SHGs. 

Table 12-3: Road Map for Formation of new sustainable revenue bases 

Sl.No Reforms 

1 Formation of new sustainable revenue bases 

i Remunerative Projects 

a. Premobilization of deposit for 

shopping complex at V.A. Kareem OHT 

b. Premobilization of deposit for 

shopping complex at ESI hospital 

- 123 - 



√ 

√ 

ii Parking Regularization √ 

iii Advertisement Regularization √ 

iv Collection of Annual tract rent √ 



12.9 ACTION PLAN: PRIVATISATION INITIATIVES 

The present areas of privatization of the functions of the ULB in Tamil Nadu are 

i. Solid waste management- all components. 

ii. O&M of street lights. 

iii. O&M of water supply distribution. 

iv. AMC of public and pay & use toilet facilities. 

v. Parks and parking lots Maintenance and user charges collection. 

The GoTN states that this list is indicative and ULBs are free to explore more options. 

This would not only save the O&M expenses, but also indirectly in pension and 

gratuities. The various strategy options are discussed below: 


1. Privatisation of Collection mechanism 

Providing a computer fitted mobile van with online access to municipal database 

for spot billing and collection of all taxes. Performance based incentives can be 

given to the private operators at the rate of 5% of total collection .The support of 

the Youth / Women SHGs or fan clubs can be sought for the purpose of collection 

with adequate sensitization programmes. 

2. Improving community participation by organizing Public awareness campaigns 

and Training of Tax Inspectors, to improve the ëwillingness to payí of the users. The 

aid of SHGs, fan clubs, media could be utilized for the purpose. The following are 

the various avenues of revenue, the collection of which could be privatized. 

1. Property tax 

2. Profession tax 

3. Water - Deposits and tariff 

4. UGSS- Deposits and tariff 

5. Advertisement spaces /rights as a single contract 

6. Parking areas 

7. Solid waste conservancy fees(Domestic and non-domestic) 

3. Privatisation of Operation and Maintenance of the entire Water Supply and 

Distribution System. 

4. Privatisation of operation and maintenance of the UGSS. 

5. Privatisation of Solid waste management (Discussed indetail under Improving 

revenue from user charges) 

6. Privatisation of O&M of street lights & pumping machinery(detailed out in 

Action plan for energy & resource efficiency) 

- 124 - 



7. Repair and maintenance of major Municipal roads for 3 years from the period 

of laying. 

8. Option of BOT, BOOT for parks & play grounds by implementing user charges 

for areas more than 5000 sft . 

9. Option of converting public toilets to pay & use type and privatization of 

O&M. 

10. Private participation in medical infrastructure like RCHP, maternity homes and 

adoption of premium and free facility programme in return for improved 

medical facility. 

Sl.No Reforms 

Table 12-4: Road Map for Privatization initiatives 

1 Privatization of Operation and Maintenance 

2 

- 125 - 



i water supply and Distribution system √ 

ii Sewer network & STP √ 

iv street lights √ 

AMC of Public and pay % use toilet 

vi 

facilities 

Parks and parking lots Maintenance 

vii 

and user charges collections 

Privatisation options in Solid Waste 

Management 

Privatization of Door to door collection of 

solid waste 

Compost yard management & sale of 

compost & scrap 

3 Privatization of Collection mechanism 

4 

5 

Spot billing and tax collection using mobile 

van 

Formation and sensitisation of youth & 

women SHGs 

Public awareness campaign for improving 

tax collection (IEC) 

12.10 ACTION PLAN: ENERGY & RESOURCE EFFICIENCY 


Conducting energy audits for water pumping machinery and street lights. 

Conducting leak detection studies, if transmission losses are more than 15%. 

All Head works and service reservoirs may be fitted with bulk water meter to 

assess the loss due to non revenue water and unaccounted water. 

Enforce regulations on illegal tapping of water. 

Fixing flow control valves and meters for all water service connections. 

Provision of energy saving lights, and equipments like dimmer and timer 

switches to reduce energy consumption. 

Privatizing the maintenance of street lights to ESCO companies. 

√ 

√ 

√ 

√ 

√ 

√ 

√ 



Street lights 

TNUIFSL has initiated the preparation of Energy Saving Company(ESCO) studies 

for energy efficiency in the O&M of street lights and pumping machinery for 

select Municipalities throughout Tamil Nadu. ESCOs provide comprehensive 

services - encompassing audits for energy saving performance, design & 

implementation of conservation measures, maintenance, operation and 

management of the introduced facilities and procurement of project funds. 

ESCOs conduct retrofitting for energy conservation without damaging the 

environment. The ESCO will guarantee the savings that would meet or exceed 

the annual payments to cover up the entire project costs usually a period of 5 to 

10 years. The savings can be shared proportionately with the institution for which 

the project is designed and implemented for. 

The salient features of performance contracting for energy savings through ESCO 

based business model are as under: 

2. 'Nil' investment by customer. 

3. ESCO to identify Energy Efficient Measures (EEMs) to replace / modify existing 

in efficient systems. 

4. ESCO supplies, installs and maintains the Energy Efficient Measures (EEMs) 

during the contract period. 

5. Contract period could be 3-5 years or as mutually agreed upon. 

6. Energy saving is shared between ESCO and customer as per agreed terms. 

Total project cost is funded by ESCO. The O & M expenses will be met by the 

Municipality. 

7. Guarantee Energy savings and recover its investment including interest & 

other costs out of generated energy savings. 

Sl.No Reforms 

1 Energy audit 

Table 12-5: Road Map for Energy and Resource efficiency 

i Leak detection study √ 

ii Fixing of bulk water meter √ 

iii 

iv 

Fixing flow control values and 

meters 

Implementing energy saving 

measures on street lights and 

pumping machineries (ESCo) 

- 126 - 



√ 

√ 



12.11 Action plan: Computerization and E-governance 


1. Launch data warehousing on a large scale, which would avoid cross- 

reference to paper record, which are time consuming and also preservation 

of paper media, which occupies space, could be avoided. 

2. Computerization of bill payment and facilitation of on line payments 

3. Computerisation of registration of land records within Municipal limit 

4. Digitisation of Birth and death certificates for the past 30 years 

5. Property Mapping to be computerised and details on area, year of 

construction, type of assessment to be computerized to facilitate calculation 

of property tax. 

6. Administration and issue of trade licenses to be on line, including payment 

and reconciliation of license fee. 

7. Computerization of birth and death certificates and on line issue of 

certificates. 

8. Computerization of public grievances and Redressal mechanism 

9. Introduction of asset management system for all available land and building 

assets of the Municipality 

10. On-line submission of building plans and approval. 

11. Track O&M of assets and their replacement 

12. E-tendering processes. 

The above proposal can be taken up after giving sufficient training to Municipal 

staff in hard ware and software. 

Table 12-6: Road map for Computerization and E-Governance 

Sl.No Reforms 

1 Computerization and E-governance 

i 

Digitizing municipal records (past 30 

years) 

ii On-line bill payment √ 

iii Registration of Land records √ 

iv 

v 

Digitization of old Birth and death 

certificates 

On-line issue of Birth and Death 

certificates 

vi Property Mapping √ 

vii on-line Issue of trade license √ 

viii Online submission of building plans √ 

ix E-tendering √ 

- 127 - 



√ 

√ 



12.12 ACTION PLAN: ACCOUNTS AND AUDITING 

A Consultant committee of chartered accountants having experience in 

municipal accounting should be constituted to provide training to the 

Municipal employees. 

Timely Auditing should be performed with the use of private Chartered 

Accountants for routine audit and local audit to carry out proprietary audit. 

Closing all Auditing before September 30 of the next financial year and 

publishing the audited statement on the website. 

12.13 ACTION PLAN: INSTITUTIONAL MANAGEMENT 

The constant change in urban sector in the context of reforms results in the need for 

continuous upgradation of the skills and knowledge of the ULB staff. TNUDP III has 

initiated the process of providing the required training to the staff during the current 

planning period. It is essential that the training process becomes a sustainable one 

with the introduction of an institutional framework which would ensure that the 

training is provided in a continuous manner. 

Training programmes need to be evolved depending upon whether they are 

Elected Representatives, Senior level officers, Middle level officers and staff in 

various sections of the ULBs. Training of public representatives and staff of ULBs will 

not only improve their skills but also exposes modern/scientific technological 

advancement in engineering, management and inter personal communication. 

The categorization of training is based upon the position at various levels focusing 

primarily of managerial aspects, technical knowledge, skills and management tasks 

and awareness about responsibilities. 


12.14 CAPACITY BUILDING FOR ELECTED REPRESENTATIVES AND COMMITTEE 

MEMBERS 

The details of the various training requirements for elected representatives and 

Committee members are presented below. 

Elected 

Table 12-7: Technical Assistance for Elected representatives 

Category Identified Training areas 

representatives 

Visioning, goal setting, Planning 

Urban Governance, Management and Planning 

Social management and urban poor management 

Financial and cost management 

Budget preparation 

Tender procedure 

Training in interpretation of various laws, rules, regulations and 

statutes that ULB is bound by 

E - Governance 

- 128 - 



Redressal of public grievances 

Environment management 

JNNURM, UIDSSMT, IHSDP, IHSDP & BSUP 

City Corporate Plan, Urban Development plans (Master plans, DDPs) 

Solid waste management. 

Disaster management 

Managerial development and effectiveness 

Public relations and Human resource development. 

Crisis management and Stress management 

Personality development and Motivation skill development 

Written and Oral Communication skills 

Committee members Tax appeal committee: tax assessment methods; interpretation 

12.15 CAPACITY BUILDING FOR ULB STAFF 

of various laws, rules, regulations and statutes 

Contracts committee: procurement procedures; interpretation 

of various laws, rules, regulations and statutes 

Appointment committee: Interviewing skill and techniques 

The training areas identified for ULB staff in all position is classified as functional, 

managerial & behavior and attitude in short, medium and long term training. The 

details of the various training requirements for ULB staff are presented below. 

Table 12-8: Technical Assistance for ULB staff 

Category Identified Training areas 

Senior Management 

Staff 

People management skills 

Motivation and Interpersonal skills 

Leadership and Public relations 

Attitudes ñ both personal and organizational 

Team Building, Human resource development 

Goal setting, Budgeting 

Written and Oral Communication skills 

Effective use of computers especially for managerial decision 

making 

Proper interpretation and effective use of MIS reports 

Decision support systems 


statutes 

Time management, Stress management 

Change management 

Effective urban management 

Management principles, Managerial development and 

effectiveness 

Interviewing skills 

Social management and urban poor management 

Citizen grievance handling 

Project appraisal, Project Management and project financing 

Contract management, Bid management, Costing 

Procurement procedures 

Pricing and tariffs/taxation methodologies 

Operations research 

- 129 - 



Quality control 

Public private partnerships and opportunities for ULB in the same 

Reforms at the ULB level 

Financial and cost management 

Environment management 

Disaster management 

Solid waste management 

Systems management (improving citizen service and ULB 

efficiency) 

Strategic urban planning 

Performance management system and key result areas. 

Supervisory Staff Motivation and Interpersonal skill development 

Training for Operational 

staff 

Source: CMA Records. 

Effective use of computers 


statutes 

Training for development of a positive attitude 

Citizen handling and grievance handling 

Managing urban poor, education and health services 

Implementation skills 

Training in developing a Performance Management Systems (PMS) 

and key Result Areas (KRA) 

Functional skills required in their respective function 

- Training in office Procedures 

- Training in computers 

- Training in team work 

Training in general office administration and management 

- Training in effective servicing 

- Training in communication 

- Training in equipment usage 

Table 12-9: Road map for Accounts & auditing and Institutional Management 

Sl.No Reforms 

1 Accounts and Auditing with charted accountant 

I 

Appointing private charted accountant 

consultant 

Ii Closing of audit and accounts (Sept 30th) √ 

iii 

Online publication of audited statement 

(Oct 30 th ) 

2 Institutional Management 

i 

Capacity Building for Elected 

Representatives 

ii Capacity Building for ULB staffs 

- 130 - 



√ 

√ 



Table 12-10: Road map for implementation of all projects 

S.N Projects Implementing Agency Current status 2009-10 2010-11 2011-12 2012-13 2013-14 

I Water supply 

Source augmentation 

Transmission system Improvement 

Improvement of Distribution system 

Up-gradation of Existing system 

TWAD Board 

DPR under 

preparation 

II Under Ground Drainage system 

with STP 

TWAD Board Awaiting for TS 

III Strom water Drain Municipality Concept stage 

V Solid Waste Management 

Primary Collection 

Purchase of transfer vehicles 

Land fill site development 


Compost yard Improvements 

Purchase of Compost yard 

Purchase of Land fill site 

Private Operator 

Concept stage 

VI Road 

Road Improvement 

Road junction Improvement 


Part of the work 

started 

VII Bus stand 

Improvements in Existing Bus stand 

Municipality Concept stage 

VIII Street light ESCO/ Municipality ESCO study under 

process 

IX Slum Municipality DPR under 

preparation 

X School 

XI Health 

XII Parks 


XIII Market 

Improvements in Weekly Market 

XIV 

Shopping Complex 

Slaughter House 

Private Operator 

Concept Stage 

XV Burial Ground 

XVI E-Governance 


XVII GIS Mapping 

XVIII Mobile tax collection van 

Source: Analysis and calculations 

- 131 - 



12.16 FORMS IN MUNICIPAL SERVICE DELIVERY 

The reform agenda for municipal service delivery is given in the following table 

Sector Particulars 

WAETR SUPPLY 

SEWERAGE 

SYSTEM 

SOLID WASTE 

MANAGEMENT 

ROADS, STORM 

WATER DRAIN, 

STREET LIGHTS 

Table 12-11: Road map Reform Agenda Municipal Service Delivery 

Benchmark 

considered 

- 132 - 

Existing 

Net Supply per capita 135 lpcd 67.1 90 120 135 

HSCs - % of assessed 

properties 

Frequency of Supply - Hours 

per day 

Target 

Year 1 Year 2 Year 3 Year 4 Year 5 After 5 years 

≥85% 53 60 70 85 

24x7 hours 

2hrs in 2 

days 

HSC coverage ≥85% Nil - 

Coverage of UGSS network - % 

of road length 

Availability of Composting 

facility 

100% Nil - 

100% 

available 

Period of 

implementation 

Period of 


Available Period of implementation 

Collection efficiency 100% 80% Period of implementation 

Surfaced roads- % of total road 

length 

Storm water drains - % of total 

road length 

Average spacing between 

Street lights 

Source: Analysis and researc 

100% 81% - - - 

130% 65% 

Period of 


30m 56m Period of implementation 

135lpcd 

135 lpcd 

85% ≥85% 

2 hrs daily 24x7 

Period of 

impleme 

ntation 

130% 

85% 

≥85% 

100% 100% 

100% 

available 

100% 100% 

100% 

30m 

100% 

130% 

30m 



13 ASSET MANAGEMENT PLAN 

All the assets developed, operated and maintained by the Municipality are termed 

as municipal assets and comprise roads, bridges, culvert, water supply & distribution 

system, UGSS network, STPs, drains, and street lights. Municipal Assets also includes 

social infrastructure assets such as municipal owned schools, hospitals, parks and 

playgrounds, community halls, shopping complexes, stadium, and vacant lands. 

Municipal assets are normally classified into movable and immovable assets. 

Immovable assets attain importance as indicators for the financial worth which 

would help in its borrowing capacity and credit worthiness of Ambur Municipality. 

The management of assets in the local bodies is at the initial stage where, only the 

assets are listed and status is described. Invariably, in all the cases, the 

management component is missing as to the techniques and methods of 

managing the assets either in improving their state and value or in sustaining them 

with a growth motive. There is hardly any case where a local body has made use of 

its immovable assets for raising loans or improving its borrowing capacity. It requires 

an overall approach outlining the alternative options of maintaining and managing 

the assets in a worthwhile mode. 

13.1 ACTIVITIES OF ASSET MANAGEMENT PLAN (AMP) 

The Asset Management Plan for Ambur Municipality would comprise the following 5 

steps as explained below: 

1. Asset identification 

All movable and immovable equipments, immovable municipal properties, assets of 

Municipality that have been developed, handed over or acquired over time from 

various sources and departments have to be identified and traced. This would 

include the detection of unrecorded infrastructure facilities and properties; scrutiny 

of records, land registers and land surveys, etc. 

2. Audit and reconciliation of records 

The Municipality should record all movable and immovable municipal properties 

and assets and infrastructure facilities. Maps and master plans should be 

crosschecked and an infrastructure facilities audit should be prepared or updated 

(if already existing). Current asset values should be assigned based on a ëcondition- 

surveyí of the infrastructure facilities. 

Land and property records should be crosschecked and municipal registers to be 

updated to include previously undetected land, properties and development. A 

comprehensive list of municipal land, properties and development should be 

compiled with approximate assigned. 

3. Assessment of Remunerative potential 

Municipality should review the existing revenue earning potential of all its assets. 

New projects or initiatives should be taken to maximize the revenue earning 

- 133 - 



potential of assets including infrastructure facilities. The intangible benefits of social 

facilities also need to be considered in the process. 

4. Digitisation of asset register 

Focus should be placed on designing, testing and installing a database 

management system for municipal assets. All data, once complied should be 

classified on the basis of sector specific infrastructure facilities, land and properties. 

Specific software should be customized to suit local requirements and data should 

be translated into specified formats. 

5. Training in database management 

Training is the most important part of an asset management plan. Training should 

emphasize methods of simplified updation of data, and methods of monitoring and 

follow-up relating to infrastructure facilities management, land use, litigation, 

encroachment, values, expenditure and revenue flows. 

13.2 INFRASTRUCTURE ASSETS 

Infrastructure Assets will include all movable and immovable equipments and 

properties including water supply, drainage, sewerage, solid waste management, 

roads, street lighting etc. Unlike other assets of the municipality, these assets 

undergo constant use, wear and tear, addition, repair etc. This correspondingly 

changes their values and hence a constant value updating is necessary. 

13.2.1 Movable and immovable assets 

Water Supply 

Number of Head works - 4 Nos 

Public Fountains - 611 Nos 

Number of Hand pump - 178 Nos 

Number of mini power pump - 24 Nos 

Bore well with power pump - 265 Nos 

H.S.C.s - 7224 Nos 

OHTSs - 7 Nos 

Distribution line - 65.55 km 

Public Convenience 

Public Toilet unit - 8 Nos 

ISP toilet - 3 Nos 

Par & Use - 1 No 

Storm Water Drains 

Total existing Drain - 68.00 km 

- 134 - 



Solid Waste Management 

Pushcarts - 25 Nos 

Tricycles - 25 Nos 

Mini Lorry - 01 Nos 

Tractor - 02 Nos 

Tipper - 02 Nos 

Collection bins - 139 Nos 

Roads 

B T Road - 46.00 km 

C C Road - 43.00 km 

W B M Road - 2.00 km 

Earthen Road - 14.00 km 

Bus Stand 

No. of bus stands - 1 ëBí class bus stand 

Street Lightings 

Tube Lights - 1785 Nos 

70 W Sodium Vapour lamps - 50 Nos 

150 W Sodium Vapour lamps - 175 Nos 

250 V Sodium Vapour lamps - 80 Nos 

Parks 

Municipality parks - 2 Nos 

Burial Grounds 

No. of burial grounds - 2 Nos 

Slaughter house 

No. of Slaughter house - 1 No 

Education 

Elementary school - 11 Nos 

Medicare 

Maternity center - 3 Nos 

Markets 

Weekly Market - 1 No 

- 135 - 



Shopping complex 

At Sampangi Shopping complex - 51 Nos 

Bunk stalls - 37 Nos 

V.A.Kareem Road shopping complex - 9 Nos 

Bank Market - 22 Nos 

Bus stand - 37 Nos 

S.K .road - 2 Nos 

13.3 PRIORITY ASSET MANAGEMENT OPTIONS 

There are remunerative and non-remunerative assets of the municipality on which 

the municipality incur considerable expenditure for operation and maintenance. 

The commercial complexes in the town, Shops in the bus stand, Markets, 

Slaughterhouse, Pay and Use toilets, etc are all remunerative. Non-remunerative 

assets of the municipality are the burial ground, public toilets, compost yard, parks 

and playfields etc,. The list of land assets are given in the table below: 

Table 13-1: Land Assets ñ Proposed use 

S.No Location Present use Proposed use 

1 Ahmedi Nagar Compost Yard 

Compost Yard (Improvements 

proposed) 

2 Agaramcheri village & Ulli village Land fill Land fill (proposed) 

3 Near National Highway Bus stand 

4 

Kampikollai Park 

- 136 - 

Not efficiently used 

5 Nethaji road Daily Market 

Bus stand (Improvements 

proposed) 

Parks 

Daily market (Improvements 

proposed) 

6 V.A Kareem OHT Vacant land Shopping Complex (proposed) 

7 ESI Hospital Vacant land Shopping Complex (proposed) 

8 

Valayalkara Street, Bethalagam 

K.M Nagar 

Maternity centre (Improvements proposed) 

9 Alzgapuri colony Vacant land 

Slaughter house treatment 

plant (proposed) 

10 Kaspa A & Sanrorkuppam Burial ground 

Burial ground (improvement 

proposed) 

Source: Survey, Analysis and discussion with municipal officials 

Table 13-2: Income Details from Remunerative Assets 

S.No Particulars Amount(Rs.in lacs) 

1 Income from Water Supply 20.00 

2 Income from Water Connections 1.50 

3 Fees for Pay & Use Toilets 1.30 

4 Fees for Bays in Bus 7.50 

5 Rent from Land & Building 0.05 

6 Rent from Bunk Stalls 1.75 

7 Rent from Shopping Complex 8.00 

8 Slaughter House Fees 0.75 

9 Weekly Market Fees 0.15 



Table 13-3: Income from Proposed new Projects 

S.No Description Income (Rs.in lakhs) 

1 Vehicle Parking at Daily market 0.6 

2 Gasifier Crematorium 1 

3 Slaughter House 3 

4 Shopping Complex at V A Kareem OHT 6.72 

5 Shopping Complex at ESI Hospital 9.6 

The suggestions for the improvement of land asset management are listed below: 

1. Create land asset register listing all Municipal properties with the following 

data: 

Survey number 

Location 

Ownership data 

Date of acquisition 

Extent in Sq.m 

Present status 

Rate per sq.m 

2. Establishment of GIS inventory for Municipality lands. 

3. Removal of encroachments on Municipal lands. 

4. Alternatively, levy of rent on Encroached Municipal lands. 

5. Use of land assets for borrowing loans from capital market. 

6. Identifying the most remunerative activity by Public Private Participation, BOT, 

BOLT, BOOT initiatives. 

7. Lease or rent out of land parcels for a specific period of time. 

8. Asset creation by acquiring lands in peri-urban areas. 

13.4 PROPOSED NEW ASSETS 

Since every year there is an addition to such assets, an indication of the values is a 

must in calculating the present values and also projecting to the future. In the 

absence of any trend, the values of the structural assets have become difficult to 

be computed. However, the values of the proposed projects in the form of assets 

both for structural elements and certain movable items are indicated in the 

statement. 

The assets creation by way of the projects proposed under CCCBP for 

implementation in the years to come are indicated with the capital investment 

values as in table below: 

- 137 - 



Table 13-4: New Assets for the year -2009-10 to 2013 -14 

S.No Focus Area Total Cost Rs.in Lacs 

1 Water supply 13667 

2 Sewerage 3950 

3 Solid waste management 847 

4 Storm water drainage 684 

5 Roads 256 

6 Bus stand 12 

7 Street light 111 

8 Parks 11 

9 Schools 25.70 

10 Slaughter house 36 

11 Maternity Centre 54.30 

12 Market 3 

13 Shopping complex 100 

14 Burial ground 73 

15 E-Governance 18 

16 GIS mapping for Comprehensive Property database 37 

17 Slum development 2272 

18 Mobile tax collection vehicle 10 

Total 22167 

- 138 - 



14 FIINANCIIAL AND OPERATIING PLAN 

14.1 CAPITAL INVESTMENT PLAN 

The proposed projects for Ambur Municipality taking in to account its resources and 

the existing shortfall in services are given below. The projects have been phased out 

taking in to account the time-span required for implementation of the project and 

the availability of the funds (loans, grants and municipalityís own resources) for the 

same. 

Table 14-1: Projects to be executed by the Municipality 

S.No. Particulars 

Physical Infrastructure 

2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Total 

A Facilities 


Improvements to Water 

Supply & Water 

a) Treatment 1173.00 1058.00 - - - - - 2231.00 

b) Metur CWSS - - - - - 5718.00 5718.00 11436.00 

II Sewerage & Sanitation 

New Underground 

a) Sewerage Scheme - 360.00 3590.00 - - - - 3950.00 

III Strom Water Drains 

Construction of new 

drains and providing 

a) mesh covers 

Solid Waste 

- - 81.00 253.00 350.00 - - 684.00 

IV Management 

Cost of land fill site and 

a) compost yard 

Land fill site & compost 

220.00 - - - - - - 220.00 

b) yard development 

Vehicles & equipment 

for primary & secondary 

- 125.00 230.00 145.00 - - - 500.00 

c) colln 11.00 30.00 30.00 30.00 26.00 - - 127.00 

V Roads 

BT & CC Roads - 

a) Improvements 

BT & CC Roads - New 

- - 70.00 66.00 - - - 136.00 

b) Roads - - - 50.00 70.00 - - 120.00 

VI Bus Stand 

a) Conversion to 'A' Grade - 12.00 - - - - - 12.00 


a) Proposed new lights 

Retrofitting existing lights 

- 31.50 40.50 19.00 - - - 91.00 

b) & energy saving devices 6.00 7.00 7.00 - - - - 20.00 

VIII Market 

Improvements to Weekly 

a) market 3.00 - - - - - - 3.00 


Shopping Complex at V 

a) A Kareem OHT 36.80 - - - - - - 36.80 

- 139 - 



b) 

B 

Shopping Complex at 

ESI Hospital 

Social Infrastructure 

Facilities 

63.20 - - - - - - 63.20 

I Slum Improvement 

a) Improvements to Slums - - - 1076.00 1196.00 - - 2272.00 

II Education 

Improvements to 

a) Schools - - - 25.70 - - - 25.70 


Improvement of parks, 

construction of 

a) compound wall 

for play ground & play 

equipments 

Burial Ground / 

- - - 11.00 - - - 11.00 

IV Crematorium 

Burial Ground with 

a) Gasifier (at Kapsa) 

Burial Ground 

improvement at 

- - - - 59.00 - - 59.00 

b) Sanrorkuppam - - - 14.00 - - - 14.00 


Improvement to 

a) maternity centre - 18.10 18.10 18.10 - - - 54.30 


Improvement of 

Slaughter House 

a) (Treatment Plant) 

New Beef Slaughter 

- 8.00 - - - - - 8.00 

b) House - - - 28.00 - - - 28.00 


I Vehicles 

Mobile tax collection 

a) van 10.00 - - - - - - 10.00 


a) E-Governance 

GIS Mapping for 

Comprehensive 

- - - - 18.00 - - 18.00 

b) Property Database 7.00 - - - 30.00 - - 37.00 

Total 1530.00 1649.60 4066.60 1735.80 1749.00 5718.00 5718.00 22167.00 

The initial building blocks of the Corporate Plan are the ëelementsí required to 

sustain the townís growth; public utility, urban environment, economic and social 

development, land use and transportation, municipal resources, urban governance 

and capital facilities. The projects in the plan were developed through a 

consultative process carried out between the Local Body Officials, Council Staff and 

Elected Officials, Public Interest Groups, Project Stakeholders and the local citizens. 

- 140 - 



The projects have been prioritized in the following order : 

a) Water Supply 

b) Sewerage and Sanitation 

c) Solid Waste Management 

d) Storm Water Drains 

e) Urban Service for Poor (Slum Upgradation) 

f) Roads, traffic and transportation 

g) Street Lighting 

14.2 OTHER PROJECTS AND ON GOING PROJECTS 

The details of projects identified to be executed by other departments / agencies 

and the ongoing projects that are being executed by the Municipality are given 

below : 

Table 14-2: Projects to be executed by other Agencies 

S.No Particulars Total Funding By 

I Regional Level 

a) Preparation of Updated Master Plan 0.00 DTCP / CMA 

b) Industrial Pollution Remedial Measures - 0.00 TNPCB, CMA, DTCP, DTP 

Business Plan 0.00 TNUIFSL / other funding 

c) Setting up of Resource Center for 

- 141 - 

agencies and association 

of industrial owners 

alternative green technology for leather 0.00 CLRI, VIT and Assn of 

industries. Industrial Owners 

d) Feasibility study for development of 0.00 CII / NHAI 

Industrial Corridor of Excellence connecting 


e) Preparation of Regional Plan for Vellore 0.00 DTCP / Planning 

Region focussing on green and sustained Organisations 

economic development 

f) Preparation of Regional Traffic Operation 0.00 NHAI 

and Management Plan 

g) Feasibility study for extension of metro rail 0.00 Railway Authority 

between Chennai and Bengaluru 

h) Feasibility study for Bullet Train between 0.00 Railway Authority 


II Town Level 

a) Conversion of existing 2 x 10 MVA power As TNEB 

transformer to 2 x 16 MVA, distribution Below 

transformer 250 KVA to 500 KVA - 2 Nos, 



distribution transformer 100 KVA to 250 

KVA - 10 numbers 

b) To provide 11 KV feeder meter single 300.00 TNEB 

phase - 10655 numbers and three phase - 

1200 numbers 

c) ESCO Study 1.00 CMA, TNUIFSL, Muncp 

d) Awarness campaign for NGOs on their 5.00 Municipality 

Roles and responsibilities in community 

development 

Total 306.00 

Table 14-2: Projects under Implementation by the Municipality 

S.No Particulars Total Loan Grant Mun Funding By 

Cost Cont. 

I Schools 

a) Kaspa A Municipal School 5.00 - - 5.00 Education Fund 

b) Sanakuppam Municipal School 10.00 - - 10.00 Collectrate Fund 

c) Paneer Selvam Municipal School 5.00 - - 5.00 Education Fund 

d) Bethelegam Municipal School 3.00 - - 3.00 Education Fund 

e) Azaghapuri Municipal School 6.50 - - 6.50 Education Fund 

II Construction of Slaughter House at 20.00 - 20.00 - Part II Scheme 

Azaghapuri 

III Improvements to TNHB Park 1.25 - 1.25 - DTCP 

Total 50.75 0.00 21.25 29.50 

14.3 MEANS OF FINANCE 

The means of finance for each individual project identified taking in to account 

whether the same is remunerative or non-remunerative and the availability of 

Grants from various sources is given below : 

Table 14-3: Multi Year Investment Plan and Means of Finance 

Multi Year Investment Plan 

S.No. Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Total 

A 

1A 

Physical 

Infrastructure 

Facilities 

Improvements to 

Water Supply 

Total Project Cost 1173.00 1058.00 - - - - - 2231.00 

Add : Price Inflation @ 

7% 82.11 153.30 0.00 0.00 0.00 0.00 0.00 235.41 

Total 1255.11 1211.30 0.00 0.00 0.00 0.00 0.00 2466.41 

Means of Finance 

TNUIFSL Loan 753.07 726.78 0.00 0.00 0.00 0.00 0.00 1479.85 

Grant 376.53 363.39 0.00 0.00 0.00 0.00 0.00 739.92 

Municipality Own 125.51 121.13 0.00 0.00 0.00 0.00 0.00 246.64 

- 142 - 



Funds 

Total 1255.11 1211.30 0.00 0.00 0.00 0.00 0.00 2466.41 

1B Metur CWSS 

Total Project Cost - - - - - 5718.00 5718.00 11436.00 


7% 0.00 0.00 0.00 0.00 0.00 2863.18 3463.86 6327.03 

Total 0.00 0.00 0.00 0.00 0.00 8581.18 9181.86 17763.03 


Grant 0.00 0.00 0.00 0.00 0.00 8581.18 9181.86 17763.03 

Total 0.00 0.00 0.00 0.00 0.00 8581.18 9181.86 17763.03 

2 Sewerage 

Total Project Cost - 360.00 3590.00 - - - - 3950.00 


7% 0.00 52.16 807.90 0.00 0.00 0.00 0.00 860.07 

Total 0.00 412.16 4397.90 0.00 0.00 0.00 0.00 4810.07 


Grant 0.00 370.95 3958.11 0.00 0.00 0.00 0.00 4329.06 

Municipality Own 

Funds 0.00 41.22 439.79 0.00 0.00 0.00 0.00 481.01 

Total 0.00 412.16 4397.90 0.00 0.00 0.00 0.00 4810.07 

3 Storm Water Drains 

4A 

4B 

Total Project Cost - - 81.00 253.00 350.00 - - 684.00 


7% 0.00 0.00 18.23 78.63 140.89 0.00 0.00 237.75 

Total 0.00 0.00 99.23 331.63 490.89 0.00 0.00 921.75 


Grant 0.00 0.00 49.61 165.82 245.45 0.00 0.00 460.88 


Funds 0.00 0.00 49.61 165.82 245.45 0.00 0.00 460.88 

Total 0.00 0.00 99.23 331.63 490.89 0.00 0.00 921.75 

SWM - Cost of land 

fill site 

Total Project Cost 220.00 - - - - - - 220.00 


7% 15.40 0.00 0.00 0.00 0.00 0.00 0.00 15.40 

Total 235.40 0.00 0.00 0.00 0.00 0.00 0.00 235.40 


Grant 117.70 0.00 0.00 0.00 0.00 0.00 0.00 117.70 


Funds 117.70 0.00 0.00 0.00 0.00 0.00 0.00 117.70 

Total 235.40 0.00 0.00 0.00 0.00 0.00 0.00 235.40 

SWM - Land fill site 

& compost yard devt 

Total Project Cost - 125.00 230.00 145.00 - - - 500.00 


7% 0.00 18.11 51.76 45.07 0.00 0.00 0.00 114.94 

Total 0.00 143.11 281.76 190.07 0.00 0.00 0.00 614.94 


Grant 0.00 71.56 140.88 95.03 0.00 0.00 0.00 307.47 


- 143 - 



4C 

5A 

5B 

6 

7A 

Funds 

Total 0.00 143.11 281.76 190.07 0.00 0.00 0.00 614.94 

SWM - Vehicles & 

Equipments 

Total Project Cost 11.00 30.00 30.00 30.00 26.00 - - 127.00 


7% 0.77 4.35 6.75 9.32 10.47 0.00 0.00 31.66 

Total 11.77 34.35 36.75 39.32 36.47 0.00 0.00 158.66 


Grant 5.89 17.17 18.38 19.66 18.23 0.00 0.00 79.33 


Funds 5.89 17.17 18.38 19.66 18.23 0.00 0.00 79.33 

Total 11.77 34.35 36.75 39.32 36.47 0.00 0.00 158.66 

Roads - BT & CC 

Road Improvements 

Total Project Cost - - 70.00 66.00 - - - 136.00 


7% 0.00 0.00 15.75 20.51 0.00 0.00 0.00 36.27 

Total 0.00 0.00 85.75 86.51 0.00 0.00 0.00 172.27 


TNUIFSL Loan 0.00 0.00 51.45 51.91 0.00 0.00 0.00 103.36 

Grant 0.00 0.00 25.73 25.95 0.00 0.00 0.00 51.68 


Funds 0.00 0.00 8.58 8.65 0.00 0.00 0.00 17.23 

Total 0.00 0.00 85.75 86.51 0.00 0.00 0.00 172.27 

Roads - BT & CC 

Roads - New 

Total Project Cost - - - 50.00 70.00 - - 120.00 


7% 0.00 0.00 0.00 15.54 28.18 0.00 0.00 43.72 

Total 0.00 0.00 0.00 65.54 98.18 0.00 0.00 163.72 


TNUIFSL Loan 0.00 0.00 0.00 39.32 58.91 0.00 0.00 98.23 

Grant 0.00 0.00 0.00 19.66 29.45 0.00 0.00 49.12 


Funds 0.00 0.00 0.00 6.55 9.82 0.00 0.00 16.37 

Total 0.00 0.00 0.00 65.54 98.18 0.00 0.00 163.72 

Bus Stand & Bus 

Shelters 

Total Project Cost - 12.00 - - - - - 12.00 


7% 0.00 1.74 0.00 0.00 0.00 0.00 0.00 1.74 

Total 0.00 13.74 0.00 0.00 0.00 0.00 0.00 13.74 


Grant 0.00 6.87 0.00 0.00 0.00 0.00 0.00 6.87 


Funds 0.00 6.87 0.00 0.00 0.00 0.00 0.00 6.87 

Total 0.00 13.74 0.00 0.00 0.00 0.00 0.00 13.74 

Street Lights - New 

Lights 

- 144 - 



7B 



7% 0.00 4.56 9.11 5.91 0.00 0.00 0.00 19.58 

Total 0.00 36.06 49.61 24.91 0.00 0.00 0.00 110.58 


Municiplaity Own 

Funds 0.00 36.06 49.61 24.91 0.00 0.00 0.00 110.58 

Total 0.00 36.06 49.61 24.91 0.00 0.00 0.00 110.58 

Street Lights - 

Retrofitting of Lights 

Total Project Cost 6.00 7.00 7.00 - - - - 20.00 


7% 0.42 1.01 1.58 0.00 0.00 0.00 0.00 3.01 

Total 6.42 8.01 8.58 0.00 0.00 0.00 0.00 23.01 


ESCO 6.42 8.01 8.58 0.00 0.00 0.00 0.00 23.01 

Total 6.42 8.01 8.58 0.00 0.00 0.00 0.00 23.01 

8 Market 

9A 

9B 



7% 0.21 0.00 0.00 0.00 0.00 0.00 0.00 0.21 

Total 3.21 0.00 0.00 0.00 0.00 0.00 0.00 3.21 



Funds 3.21 0.00 0.00 0.00 0.00 0.00 0.00 3.21 

Total 3.21 0.00 0.00 0.00 0.00 0.00 0.00 3.21 


at VA Kareem OHT 



7% 2.58 0.00 0.00 0.00 0.00 0.00 0.00 2.58 

Total 39.38 0.00 0.00 0.00 0.00 0.00 0.00 39.38 


TNUIFSL Loan 35.44 0.00 0.00 0.00 0.00 0.00 0.00 35.44 


Funds 3.94 0.00 0.00 0.00 0.00 0.00 0.00 3.94 

Total 39.38 0.00 0.00 0.00 0.00 0.00 0.00 39.38 


at ESI Hospital 



7% 4.42 0.00 0.00 0.00 0.00 0.00 0.00 4.42 

Total 67.62 0.00 0.00 0.00 0.00 0.00 0.00 67.62 


TNUIFSL Loan 60.86 0.00 0.00 0.00 0.00 0.00 0.00 60.86 


Funds 6.76 0.00 0.00 0.00 0.00 0.00 0.00 6.76 

Total 67.62 0.00 0.00 0.00 0.00 0.00 0.00 67.62 

B Social Infrastructure 

- 145 - 



Facilities 

1 Slum Improvement 

Total Project Cost - - - 1076.00 1196.00 - - 2272.00 


7% 0.00 0.00 0.00 334.42 481.45 0.00 0.00 815.87 

Total 0.00 0.00 0.00 1410.42 1677.45 0.00 0.00 3087.87 


Grant 0.00 0.00 0.00 1269.37 1509.71 0.00 0.00 2779.08 


Funds 0.00 0.00 0.00 141.04 167.75 0.00 0.00 308.79 

Total 0.00 0.00 0.00 1410.42 1677.45 0.00 0.00 3087.87 

2 Education 

3 

4A 

4B 

Total Project Cost - - - 25.70 - - - 25.70 


7% 0.00 0.00 0.00 7.99 0.00 0.00 0.00 7.99 

Total 0.00 0.00 0.00 33.69 0.00 0.00 0.00 33.69 



Funds 0.00 0.00 0.00 33.69 0.00 0.00 0.00 33.69 

Total 0.00 0.00 0.00 33.69 0.00 0.00 0.00 33.69 

Parks & 

Playgrounds 



7% 0.00 0.00 0.00 3.42 0.00 0.00 0.00 3.42 

Total 0.00 0.00 0.00 14.42 0.00 0.00 0.00 14.42 



Funds 0.00 0.00 0.00 14.42 0.00 0.00 0.00 14.42 

Total 0.00 0.00 0.00 14.42 0.00 0.00 0.00 14.42 

Burial Ground with 

Gasifier (Kapsa) 

Total Project Cost - - - - 59.00 - - 59.00 


7% 0.00 0.00 0.00 0.00 23.75 0.00 0.00 23.75 

Total 0.00 0.00 0.00 0.00 82.75 0.00 0.00 82.75 


Grant 0.00 0.00 0.00 0.00 41.38 0.00 0.00 41.38 


Funds 0.00 0.00 0.00 0.00 41.38 0.00 0.00 41.38 

Total 0.00 0.00 0.00 0.00 82.75 0.00 0.00 82.75 

Burial Ground 

Improvement 



7% 0.00 0.00 0.00 4.35 0.00 0.00 0.00 4.35 

Total 0.00 0.00 0.00 18.35 0.00 0.00 0.00 18.35 


Grant 0.00 0.00 0.00 16.52 0.00 0.00 0.00 16.52 


- 146 - 



Funds 

Total 0.00 0.00 0.00 18.35 0.00 0.00 0.00 18.35 

5 Maternity Centre 

6A 

6B 



7% 0.00 2.62 4.07 5.63 0.00 0.00 0.00 12.32 

Total 0.00 20.72 22.17 23.73 0.00 0.00 0.00 66.62 


Grant 0.00 10.36 11.09 11.86 0.00 0.00 0.00 33.31 


Funds 0.00 10.36 11.09 11.86 0.00 0.00 0.00 33.31 

Total 0.00 20.72 22.17 23.73 0.00 0.00 0.00 66.62 

Slaughter House - 

Treatment Plant 

Total Project Cost - 8.00 - - - - - 8.00 


7% 0.00 1.16 0.00 0.00 0.00 0.00 0.00 1.16 

Total 0.00 9.16 0.00 0.00 0.00 0.00 0.00 9.16 


Grant 0.00 4.58 0.00 0.00 0.00 0.00 0.00 4.58 


Funds 0.00 4.58 0.00 0.00 0.00 0.00 0.00 4.58 

Total 0.00 9.16 0.00 0.00 0.00 0.00 0.00 9.16 

Slaughter House - 

Beef Slaughter 

House 



7% 0.00 0.00 0.00 8.70 0.00 0.00 0.00 8.70 

Total 0.00 0.00 0.00 36.70 0.00 0.00 0.00 36.70 


Grant 0.00 0.00 0.00 18.35 0.00 0.00 0.00 18.35 


Funds 0.00 0.00 0.00 18.35 0.00 0.00 0.00 18.35 

Total 0.00 0.00 0.00 36.70 0.00 0.00 0.00 36.70 


1 

Mobile tax collection 

van 



7% 0.70 0.00 0.00 0.00 0.00 0.00 0.00 0.70 

Total 10.70 0.00 0.00 0.00 0.00 0.00 0.00 10.70 



Funds 10.70 0.00 0.00 0.00 0.00 0.00 0.00 10.70 

Total 10.70 0.00 0.00 0.00 0.00 0.00 0.00 10.70 

2A E-Governance 

Total Project Cost - - - - 18.00 - - 18.00 


7% 0.00 0.00 0.00 0.00 7.25 0.00 0.00 7.25 

- 147 - 



Total 0.00 0.00 0.00 0.00 25.25 0.00 0.00 25.25 


Grant 0.00 0.00 0.00 0.00 25.25 0.00 0.00 25.25 

Total 0.00 0.00 0.00 0.00 25.25 0.00 0.00 25.25 

2B GIS Mapping 

Total Project Cost 7.00 - - - 30.00 - - 37.00 


7% 0.49 0.00 0.00 0.00 12.08 0.00 0.00 12.57 

Total 7.49 0.00 0.00 0.00 42.08 0.00 0.00 49.57 


Grant 6.74 0.00 0.00 0.00 37.87 0.00 0.00 44.61 


Funds 0.75 0.00 0.00 0.00 4.21 0.00 0.00 4.96 

Total 7.49 0.00 0.00 0.00 42.08 0.00 0.00 49.57 

The consolidated ëMeans of Financeí for all the projects put-together is summarized 

below : 

Table 14-4: Consolidated Means of Finance 

- 148 - 

Multi Year Investment Plan 

S.No. Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Total 

I Project Cost 

Total Project Cost 1530.00 1649.60 4066.60 1735.80 1749.00 5718.00 5718.00 22167.00 

Add : Price Inflation 

@ 7% 107.10 239.03 915.16 539.48 704.06 2863.18 3463.86 8831.86 

Total 1637.10 1888.63 4981.76 2275.28 2453.06 8581.18 9181.86 30998.86 

II Means of Finance 


Funds 274.46 308.95 717.94 541.82 486.83 0.00 0.00 2329.99 

(including Deposits 

from Public) 

Grant 506.86 844.88 4203.80 1642.23 1907.33 8581.18 9181.86 26868.13 

TNUIFSL Loan 849.37 726.78 51.45 91.23 58.91 0.00 0.00 1777.74 

BOOT / Private 

Sector 6.42 8.01 8.58 0.00 0.00 0.00 0.00 23.01 

Total 1637.10 1888.63 4981.76 2275.28 2453.06 8581.18 9181.86 30998.86 

14.4 FINANCIAL SUSTAINABILITY 

The sustainability analysis assumes that the Municipality will carry out reforms 

indicated as assumptions for financial projections. A Financial and Operating Plan 

(FOP) prepared which evaluates the Municipality Fund status for the Full Project 

scenario. 



The FOP is a cash flow stream of the ULB based on the regular Municipality 

revenues, expenditures and applicability of surplus funds to support project 

sustainability. The FOP horizon is determined to assess the impact of full debt 

servicing liability resulting from the borrowings to meet the identified interventions. 

The proposed capital investments are phased over 5 years investment from FY 2009- 

10 to FY 2013-14. 

The full project investment scenario is based on all the proposed investments 

identified for Thirupathur Municipality and the requirement for upgrading the townís 

infrastructure is estimated and phased based on the construction activity. 

Implications of this investment in terms of external borrowings required, resultant 

debt service commitment and additional operation and maintenance expenditure 

are worked out to ascertain sub-project cash flows. Revenue surpluses of the 

existing operations are applied to the sub-project cash flows emerging from full 

project investments ñ the Municipality fund net surpluses indicates the ULBís ability to 

sustain full investments. 

FY 2009-10 is taken as the base year and FY 2028-29 is assumed as the reference 

year (20 years) to determine the net surpluses and whether the Municipality 

maintains a debt / revenue surplus ratio as an indication of the ULBís ability to 

sustain investments. 

14.5 BASIC ASSUMPTIONS FOR PROJECTIONS : 

The FOP is based on a whole range of assumptions related to income and 

expenditure. These are critical to ascertain the investment sustenance and would 

also provide a tool to test certain specific policy decisions regarding revenue and 

expenditure drivers on the overall Municipality fiscal situation. This section 

elucidated the key assumptions adopted for the FOP scenario. 

The growth rates for the various heads of income and expenditure have been 

arrived based on the past growth rates and the future estimated population growth. 

Improvements to the existing current and arrears collection percentages have been 

assumed for the various revenues directly collected by the Municipality, which 

implies that the Municipality would have to improve its collection mechanism to 

sustain full investments. 

Given below are the various assumptions forming part of the FOP workings : 

14.5.1 Property Tax 

The population of Ambur Municipality is estimated to grow at around 1.35% p.a. 

Based on the same Property Tax Revenue are assumed to increase @ 1.35% per 

annum. The last revision of Property Tax was carried out on 1-10-98 and it is assumed 

- 149 - 



that the next revision will be carried out in the current year. It is assumed that there 

will be an increase of 25% due to revision in 2008-09 & that revision would be done @ 

15% every 5 years. 

It has also been established as per the Survey in 2002 that around 27% of the 

properties are unassessed and further 20-25% of the properties are unassessed. 

Considering the above, it is assumed that the same shall be set right and together 

these shall contribute to increase in property tax revenue by 25% from next year viz. 

2009-10, after completion of GIS mapping. 

The Property Tax income is divided between Revenue, Water Supply and Education 

Fund in the following ratio: 

Table 14-5: Ratio of Property tax 

Per Annum 

General 8.000% ) 

Scavanging 2.000% ) Revenue & Capital Fund 

Lighting 6.000% ) 

Water Tax 12.000% } Water Supply & Drainage Fund 

Drainage 1.000% } 

Education 5.000% ] Education Fund 

Total 34.000% 

14.5.2 Profession tax 

Income from Profession Tax is assumed to increase @ 3% per annum. The Profession 

Tax was last revised on 1.10.2003 and the next revision is due in 2008-09. It is assumed 

that every revision would contribute to 15% increase. 

Besides, the profession tax base would be increased by carrying out survey in 2010- 

11. It is assumed that the survey would increase the profession tax base by 20% in 

2010-11. 

14.5.3 Assigned revenue 

Assigned Revenue comprises Entertainment Tax and Surcharge on Stamp Duty. It is 

assumed the same shall increase as under : 

Duty on Transfer of Property : 5.00% 

Entertainment Tax : 1.50% 

14.5.4 Devolution Fund 

Devolution Fund is also assumed to increase by 7.5% per annum 

14.5.5 Service charges and fees 

Service Charges and Fees are assumed to increase @ 5% per annum 

- 150 - 



14.5.6 Grant and Contribution 

No Grant has been assumed in the financial projections. 

14.5.7 Sales and Hire charges 

Nil income assumed from Sales & Hire Charges. 

14.5.8 Other Income 

Other Income comprising basically fees and other rental income are assumed to 

increase @ 5% per annum. 

14.5.9 Water Supply Charges 

The present connection charges/deposit and tariff for water are as below : 

Table 14-6: Water supply Charges ñ Existing 

Type of service connections Connection Tariff 

Residential Rs. 3000 Rs.50.00 Per month 

Commercial Rs. 8000 Rs.100.00 per month 

Industrial Rs. 8000 Rs.100.00 per month 

It is assumed that after completion of water supply improvements work, the house 

service connections will be equal to 80% of property tax assessments. 

The water charges shall be revised as below : 

Residential - Rs.75.00 p.m 

Commercial ñ Rs.200.00 p.m 

Industrial - Rs. 300.00 p.m. 

It is also assumed that the water connection charges shall be revised as under : 

Residential - Rs.4000 

Commercial - Rs.10000 

Industrial - Rs.15000 

It is assumed that water charges shall be increased as below every 5 years : 

Residential - Rs.15.00 p.m 

Commercial & industrial ñ Rs.25.00 p.m 

It is assumed that water connection charges shall increase every 5 years as below : 

Residential - Rs.1000 

Commercial & industrial ñ Rs.2000 

The house service connection as % of property tax assessments is as below: 

- 151 - 



Table 14-7: House Service Connections - Percentage 

Year 2004-05 Property tax assessments House service connections % 

Residential 11140 6977 63% 

Commercial 2397 232 9% 

Industrial & Govt. 68 15 22% 

The improvements in water supply shall result in increase in operation & 

maintenance by Rs.104.00 lakhs per annum and the same shall increase @ 5% per 

annum. 

The operation & maintenance expenses shall increase to Rs. 391 lacs after 

completion of Metur CWSS. The same shall increase @ 5% per annum. 

14.5.10 Drainage Charges 

The Municipality does not have Under Ground Sewerage System. A new 

underground sewerage system is proposed to be built at a cost of Rs. 3950 lakhs. 

The implementation period is 2 years starting from 2010-11 to 2011-12. On 

completion of the scheme, it is assumed that around 70% of the property tax 

assessments would have sewerage connection. It is assumed that the scheme shall 

be completed as below : 

2010-11 20% 

2011-12 80% 

The Deposits and Charges shall be collected accordingly. 

It is assumed that the sewerage charges will be collected as below : 

Table 14-8: Sewage Charges 

Assessments Deposits (in Rs) Tariff (in Rs) 

Residential 4000 75 

Commercial 12000 150 

Industrial 15000 300 

The new connection charges and tariff have been taken on average basis. It is 

assumed that the drainage charges shall be increased every 5 years as below : 

Residential - Rs.15/- 

Commercial & industrial ñ Rs.25/- 

It is assumed that the connection charges shall be increased every 5 years as below 

: 

Residential - Rs.1000/- 

Commercial ñ Rs.2000/- 

- 152 - 



Industrial - Rs.3000/- 

The O&M charges shall be Rs.80.00 lakhs per annum and the same shall increase @ 

5% per annum. 

14.5.11 Solid waste Management 

It has been estimated that solid waste generation per day shall be around 40 MTs. 

1/3 rd out of the same shall comprise Bio-degradable waste and the manure 

generation would be 1/3 rd of the same. Thus the estimated saleable manure 

generation per day would be 4.5 MTs. The same shall increase @ 5% per annum. 

The revenue from solid waste disposal shall be Rs.1000.00 per MT. The same shall 

increase by Rs.100.00 every 5 years. The number of assets covered by solid waste 

management scheme shall be equal to 70% of property tax assessments. The 

conservancy fees collected shall be as below to be collected after 10 years : 

Domestic - Rs.10.00 per month 

Commercial - Rs.20.00 per month 

Industrial/Government - Rs.30.00 per month 

The same shall increase as below every 5 years ; 

Domestic - Rs.5.00/- 

Commercial/ Industrial/Government - Rs.10.00/- 

The cost of the scheme is Rs. 847 lakhs and the O&M cost shall be equal to around 

Rs. 42.35 lacs per annum. The same shall increase @ 5% per annum. 

14.5.12 Bus Stand 

The renovation of Bus Stand for upgradation to A Grade shall be undertaken for Rs. 

12 lacs. 

It is estimated that the new bus stand shall increase the revenue from bus stand to 

the Municipality by 15% and the same shall increase @ 5% per annum. 

The additional O&M charges of the Bus Stand shall amount to Rs. 0.60 lacs per 

annum. The same shall increase @ 5% per annum. 

14.5.13 Markets 

Improvements to markets shall be carried out at a cost of Rs. 3 lacs. 

- 153 - 



The improvements in the market shall result in increase in revenue by 10%. The rent 

shall thereafter increase @ 5% per annum. 

A vehicle parking stand at daily market shall be constructed and the same shall 

result in income of Rs. 10000/- p.m. 

The additional O&M charges on market shall amount to Rs. 0.09 lacs. The same shall 

increase @ 5% per annum.s 

14.5.14 Remunerative Projects 

A Shopping Complex at V A Kareem OHT shall be constructed at a cost of Rs. 36.80 

lacs. 

The total number of shops in the Shopping Complex shall be 28 Nos. and the 

average rent for the same shall be Rs. 2000 per shop. The same shall increase @ 15% 

every 3 years. 

The Shopping Complex at ESI Hospital shall be constructed at a cost of Rs. 53.00 

lacs. 

The total number of shops shall be 40 Nos. and the average rent for the same shall 

be Rs. 2000/- per shop. The same shall increase @ 15% every 3 years. 

The annual O&M charges of both the Shopping Complexes together shall be Rs. 3 

lacs per annum and the same shall increase @ 5% per annum. 

14.5.15 Slaughter House & Gasifier Crematorium 

The improvements to Slaughter Houses shall result in increase in income to Rs. 4 lacs. 

The Gasifier Crematorium and Burial Ground shall result in income of Rs. 2 lacs per 

annum. 

The O&M charges of Slaughter House shall be Rs. 2.08 lacs per annum. 

The O&M charges of Burial Ground shall be Rs. 2.19 lacs per annum. 

Both income and expenditure shall increase @ 5% per annum. 

14.5.16 Advertisements 

Bill Boards would be put at 20 places through out the Municipality. Rent shall be 

earned @ Rs.500.00 per Bill board per month. The rent shall increase @ Rs. 100/- 

every 3 years. 

- 154 - 



14.5.17 Parking Fees 

Parking Lots would be developed and income from parking is estimated at Rs.1.00 

lakh per annum. The same would increase @ 3% per annum. 

14.5.18 Expenditure 

The expenses are assumed to increase as under : 

Table 14-9: Assumptions - Increase in Expenditure 

Personnel Cost ñ Salaries 5.00% 

Personnel Cost ñ Others 5.00% 

Terminal & Retirement Benefits 5.00% 

Operative Expenses 10.00% 

Repairs & Maintenance 10.00% 

Program Expenses 2.50% 

Administrative Expenses 7.50% 

14.5.19 Operation and Maintenance 

The additional operation & maintenance expenses to be incurred are as below: 

Table 14-10: Assumptions ñ O&M 

Ongoing Projects Rs. in lakhs 

Schools 1.48 

Slaughter House 1.00 

TNHB Park 0.06 

New Projects (other than Sewerage & Water supply) Rs. in lakhs 

Strom Water Drains 34.20 

Solid Waste Management 42.35 

Roads 12.80 

Bus Stand 0.60 

Slum Improvement 68.16 

Slaughter House 1.08 

Maternity Centre 1.63 

Burial Ground / Crematorium 2.19 

Markets 0.77 

Schools 0.33 

Parks 5.55 

Street Lights 3.00 

E-Governance 0.65 

Mobile Van 0.50 

Total 176.44 

- 155 - 



The same shall increase @ 5% per annum. 

14.5.20 Power charges 

There will be a savings of around 40% in power charges due to installation of energy 

saving lights. As the same will be installed by private players, the savings in power 

charges have not been factored in the financial projections for the first 15 years. It is 

assumed that the savings in power charges would be utilised towards returns of the 

private player towards capital cost and interest. 

14.5.21 Interest 

Interest on loan have been provided based on the sanction rate for each loan. 

Repayment of loans are based on the repayment schedule of each loan. 

Sewerage & Water Supply Loan 

It is assumed that all new loan shall carry interest rate of 9.5% per annum. 

The loan from TNUIFSL shall be repaid over a period of 20 years with 5 years 

moratorium. 

Other Projects Loan 

It is assumed that all new loan shall carry interest rate of 9.5% per annum. 

The loan from TNUIFSL shall be repaid over a period of 10 years with 2 years 

moratorium. 

14.5.22 Depreciation 

Depreciation is provided based on the rates adopted by the Municipality for 

previous years. 

14.5.23 Provision of doubtful debts 

Doubtful debts have been provided as under : 

Table 14-11: Assumptions ñ Provision of doubtful debts 

Provision for Doubtful Debts is assumed @ 2% on total revenue for Revenue Fund 

Provision for Doubtful Debts is assumed @ 1% on total revenue for Water Fund 

Provision for Doubtful Debts is assumed @ 0% on total revenue for Education Fund 

14.5.24 Collections 

a) Property tax 

Table 14-12: Assumptions ñ Property tax collection 

The current property tax collection is 51% The same shall improve to 90% 

- 156 - 



over the next 5 years. 

The arrears property tax collection is 27% The same shall improve to 60% 


b) Profession tax 

Table 14-13: Assumptions ñ Profession tax 

The current profession tax collection is 72% The same shall improve to 95% 


The arrears profession tax collection is 8% The same shall improve to 50% 


c) Other Non Tax Income 

Table 14-14: Assumptions ñ Other Non Tax Income 

The current rental / lease collection is 88% The same shall be 95% 


The arrears collection % of rent / lease is over 

the next 5 years. 25% The same shall improve to 60% 

d) Water Charges 

Table 14-15: Assumptions ñ Water Charges 

The current water charges collection is 14% The same shall improve to 80% 


The arrears water charges collection is over the 

next 5 years. 10% The same shall improve to 60% 

e) Drainage Charges 

Table 14-16: Assumptions ñ Drainage Charges 

The current drainage collection is Nil The same shall be 80% 


The arrears drainage collection is Nil The same shall be 60% 


f) Other income 

The collection % of all other income is taken at 100% 

g) Others 

The collection % of all other items of income is taken at 100% 

14.5.25 Annuity Factor 

The Annuity Factor for the new loans works out as under : 

- 157 - 



Table 14-17: Terms of Loan Funding for Proposed Investments 

Tenor 20 years 10 years 

Interest Rate 9.50% 9.50 

Repayment Period 15 years 8 years 

Moratorium 5 years 2 years 

Repayment Factor 0.13 0.18 

Conversion Factor Calculation 

a. Rate of Interest 9.5% 9.5% 

b. Repayment Period 15 8 

c. Loan Amount 5.00 1.00 

Conversion Factor 0.64 0.18 

Total Conversion Factor 0.51 

Note : Sewerage Loan works out to 5% of total project cost identified. Other Loans 

works out to 1% of total project cost identified. 

14.6 PROJECT CASH FLOWS AND FOP RESULTS : 

Detailed cash flows are worked out for each of the sub projects based on the 

assumptions with regards investment phasing, financing pattern, additional 

operation and maintenance expenditure and additional income out to proposed 

capital investments for the full project scenario. The net project cash flows are then 

loaded on the existing revenues to test their impact on the overall Municipality fiscal 

situation. 

a) Income and Expenditure projections 

Table 14.8 captures the Income and Expenditure projections for the next 20 years 

with potential improvements and borrowings : 

- 158 - 



Table 14-18: Consolidated Income & Expenditure for next 20 years (up to FY 2028-29) 

S.No Particulars 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 

I Income 

a) Property Tax 116.21 145.26 181.57 184.03 186.51 189.03 217.38 220.32 223.29 226.31 229.36 

b) Other Taxes 15.54 17.87 18.41 22.09 22.76 23.44 26.95 27.76 28.59 29.45 30.34 

c) Assigned Revenue 34.06 35.73 37.48 39.32 41.25 43.28 45.41 47.64 49.98 52.45 55.03 

d) Devolution Fund 176.72 189.97 204.22 219.54 236.00 253.70 272.73 293.19 315.17 338.81 364.22 

e) Service Charges & Fees 70.64 72.44 74.32 76.26 177.12 298.45 324.32 349.89 355.85 392.90 427.02 

f) Grants & Contribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

g) Sale & Hire Charges 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

h) Other Income 21.09 22.15 25.96 44.69 46.02 68.80 76.48 81.05 84.09 89.84 111.22 

Total Income 434.26 483.43 541.96 585.93 709.66 876.70 963.27 1019.85 1056.99 1129.76 1217.19 

II Expenditure 

a) Personnel Salaries Cost 143.36 150.52 158.05 165.95 174.25 175.27 184.04 193.24 202.90 213.04 223.70 

b) Personnel Cost - Others 1.19 1.25 1.31 1.37 1.44 1.51 1.59 1.67 1.75 1.84 1.93 

b) Terminal & Ret Benefits 25.67 26.96 28.30 29.72 31.21 32.77 34.40 36.12 37.93 39.83 41.82 

c) Operating Expenses 108.24 118.93 186.71 258.31 399.10 504.99 536.76 570.78 607.22 904.53 959.31 

d) Repairs & Maintenance 22.63 24.89 27.38 30.12 33.13 36.44 40.09 44.09 48.50 53.35 58.69 

e) Program Expenses 5.30 5.43 5.57 5.71 5.85 6.00 6.15 6.30 6.46 6.62 6.78 

f) Administration Expenses 20.19 21.70 23.33 25.08 26.96 28.98 31.16 33.49 36.01 38.71 41.61 

g) Finance Expenses 32.18 27.61 105.65 172.36 175.33 182.40 185.91 180.62 169.55 156.23 143.99 

h) Depreciation 176.70 130.42 123.91 154.72 264.03 434.45 592.65 735.27 880.06 928.16 870.44 

Total Expenditure 535.45 507.72 660.21 843.34 1111.30 1402.81 1612.75 1801.58 1990.37 2342.32 2348.27 

Surplus / (Deficit) (101.19) (24.29) (118.25) (257.41) (401.64) (526.11) (649.47) (781.73) (933.39) (1212.56) (1131.08) 

Profit before Depreciation 75.51 106.14 5.66 -102.69 -137.61 -91.66 -56.82 -46.47 -53.33 -284.39 -260.64 

. - 159 - 




I Income 

a) Property Tax 263.77 267.33 270.94 274.59 278.30 320.04 324.37 328.74 333.18 337.68 388.33 

b) Other Taxes 34.89 35.93 37.01 38.12 39.27 45.16 46.51 47.91 49.34 50.82 58.45 

c) Assigned Revenue 57.74 60.59 63.58 66.72 70.01 73.47 77.10 80.91 84.91 89.11 93.52 

d) Devolution Fund 391.54 420.91 452.47 486.41 522.89 562.11 604.27 649.59 698.30 750.68 806.98 

e) Service Charges & Fees 434.21 441.58 449.12 489.94 527.64 536.59 545.75 555.14 600.14 641.85 652.84 

f) Grants & Contribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

g) Sale & Hire Charges 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

h) Other Income 115.01 121.95 125.84 130.14 150.96 155.68 160.86 170.31 175.72 195.88 207.03 

Total Income 1297.16 1348.29 1398.96 1485.92 1589.07 1693.05 1758.86 1832.60 1941.60 2066.01 2207.15 


a) Personnel Salaries Cost 234.88 246.63 258.96 271.90 285.50 299.78 314.76 330.50 347.03 364.38 382.60 

b) Personnel Cost - Others 2.03 2.13 2.24 2.35 2.47 2.59 2.72 2.86 3.00 3.15 3.31 

b) Terminal & Ret Benefits 43.91 46.10 48.41 50.83 53.37 56.04 58.84 61.78 64.87 68.12 71.52 

c) Operating Expenses 1017.79 1080.24 1146.97 1218.31 1264.56 1343.21 1427.34 1517.37 1613.77 1717.04 1827.73 

d) Repairs & Maintenance 64.56 71.01 78.11 85.93 94.52 103.97 114.37 125.80 138.38 152.22 167.45 

e) Program Expenses 6.95 7.13 7.31 7.49 7.67 7.87 8.06 8.27 8.47 8.68 8.90 

f) Administration Expenses 44.73 48.08 51.69 55.57 59.74 64.22 69.03 74.21 79.77 85.76 92.19 

g) Finance Expenses 132.40 121.01 110.18 100.06 91.14 83.15 75.01 67.02 59.39 52.10 45.14 

h) Depreciation 821.56 779.39 742.40 709.49 679.86 652.88 628.09 605.14 583.73 563.66 544.75 

Total Expenditure 2368.81 2401.72 2446.27 2501.93 2538.82 2613.70 2698.22 2792.95 2898.42 3015.11 3143.58 

Surplus / (Deficit) (1071.65) (1053.43) (1047.31) (1016.01) (949.75) (920.65) (939.37) (960.35) (956.82) (949.09) (936.42) 

Profit before Depreciation -250.09 -274.05 -304.91 -306.51 -269.89 -267.77 -311.28 -355.22 -373.09 -385.43 -391.67 

It may be observed from the above table that the Municipality has incurred deficit prior to depreciation in all the future 

years with the commencement of Metur CWSS due to high operation & maintenance on water charges. 

. - 160 - 



b) Balance Sheet :- 

Table 14-19: Consolidated Balance Sheet for next 20 years (up to FY 2028 ñ 29) 


a) Liabilities 

Loans from Government 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Loan from TUFIDCO 136.89 118.70 100.52 82.34 64.16 45.97 34.48 22.99 11.49 0.00 0.00 

Loan from TNUDF 17.18 8.59 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Loan from Bank 13.99 10.49 7.00 3.50 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

New Loan from TNUDF 0.00 0.00 849.37 1576.15 1615.56 1694.76 1735.19 1655.12 1519.22 1383.33 1247.44 

Cont from Municipal Fund 151.44 180.94 455.40 764.35 1482.28 2024.10 2510.93 2510.93 2510.93 2510.93 2510.93 

Cont from Government 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 

Cont from Private Parties 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 

Grant from Government 307.65 328.90 835.76 1680.64 5884.43 7526.67 9434.00 18015.17 27197.03 27197.03 27197.03 

Accumulated Depreciation 582.79 713.22 837.12 991.84 1255.87 1690.32 2282.97 3018.24 3898.30 4826.46 5696.90 

b) Current Liabilities 

Prov for Doubtful colln 108.26 109.30 110.49 111.69 113.89 117.30 121.06 125.07 129.13 133.56 138.33 

Tender Deposits 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 

Security Deposits 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 

Deposits Others 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 

Deposit on Water Conn 3.22 6.48 26.67 23.27 75.91 131.03 187.52 197.69 207.99 220.85 233.89 

Deposit on Sewerage 0.00 0.00 0.00 94.15 33.45 65.23 122.93 233.10 242.74 252.51 264.56 

Library Cess Payable 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 

Interest Payable 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 

Outstandings 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 

Rec from staff bills pay 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 

Inter Funds Transfer 415.01 415.01 415.01 415.01 415.01 415.01 415.01 415.01 415.01 415.01 415.01 

Others 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 

c) Accumulated Surplus 494.83 470.54 352.30 94.88 -306.75 -832.86 -1482.34 -2264.07 -3197.46 -4410.02 -5541.10 

Total 2832.18 2963.10 4590.55 6438.73 11234.73 13478.43 15962.66 24530.15 33535.31 33130.59 32763.91 

. - 161 - 




I Liabilities 


Loans from Government 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Loan from TUFIDCO 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Loan from TNUDF 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Loan from Bank 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

New Loan from TNUDF 1111.55 987.69 863.84 746.41 640.39 541.74 443.08 344.42 245.77 147.11 48.45 

Cont from Municipal Fund 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 2510.93 

Cont from Government 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 367.97 

Cont from Private Parties 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 0.12 

Grant from Government 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 27197.03 

Accumulated Depreciation 6518.47 7297.85 8040.25 8749.75 9429.60 10082.48 10710.57 11315.71 11899.44 12463.11 13007.86 


Prov for Doubtful colln 143.27 148.29 153.37 158.86 164.71 170.79 176.95 183.19 189.87 196.96 204.32 

Tender Deposits 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 37.75 

Security Deposits 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 50.50 

Deposits Others 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 7.50 

Deposit on Water Conn 247.10 260.49 274.05 290.39 306.94 323.72 340.72 357.95 378.18 398.68 419.45 

Deposit on Sewerage 276.78 289.16 301.70 314.42 329.61 345.00 360.60 376.41 392.43 411.13 430.08 

Library Cess Payable 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 15.83 

Interest Payable 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 

Outstandings 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 50.25 

Rec from staff bills pay 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 21.00 


Others 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 

c) Accumulated Surplus -6612.75 -7666.19 -8713.50 -9729.51 -10679.3 -11599.9 -12539.3 -13499.6 -14456.4 -15405.5 -16341.9 

Total 32408.30 32041.18 31643.61 31254.20 30915.89 30587.71 30216.54 29801.95 29373.14 28935.34 28492.09 

. - 162 - 




II Assets 

a) Fixed Assets 1979.70 2030.45 3667.55 5556.18 10537.94 12813.22 15266.28 23847.46 33029.31 33029.31 33029.31 

b) Current Assets 

Stock 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 

Property Tax - Current 52.29 58.10 63.55 55.21 46.63 37.81 32.61 22.03 22.33 22.63 22.94 

Property Tax - Arrears 109.67 123.58 132.25 136.29 123.35 102.14 78.66 64.07 47.66 41.39 39.19 

Profession Tax - Current 3.89 3.57 2.76 2.21 1.14 1.17 1.35 1.39 1.43 1.47 1.52 

Profession Tax - Arrears 13.42 14.62 13.81 11.05 7.73 5.00 3.67 3.18 2.98 2.92 2.93 

Lease Amounts - Current 1.23 0.65 0.68 1.59 1.63 1.67 1.83 1.88 1.92 2.11 2.17 

Lease Amounts - Arrears 13.78 9.50 5.40 2.84 2.72 2.72 2.75 2.93 3.05 3.14 3.37 

Water Charges -Current 37.84 33.55 29.15 24.62 59.14 48.16 34.71 35.18 35.66 42.33 42.90 

Water Charges -Arrears 87.94 108.19 109.29 94.72 71.98 87.93 83.33 68.05 62.40 60.61 66.57 

Sewerage Chgs - Current 0.00 0.00 0.00 0.00 0.00 21.43 23.70 28.02 28.40 28.78 34.66 

Sewerage Chgs - Arrears 0.00 0.00 0.00 0.00 0.00 0.00 21.43 32.27 40.93 44.77 46.69 

Specific Grant Receivable 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 

Deposits Recoverable 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 

Staff Advance Rec 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 

Adv to Supp & Conts 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 

Employee Advance Rec 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 

Other Advances ñ Rec 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 


Outstandings 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 

Others 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 

c) Cash & Bank Balances 69.66 118.12 103.36 91.28 -80.28 -105.57 -50.43 -39.07 -203.52 -611.66 -991.10 

Total 2832.18 2963.10 4590.55 6438.73 11234.73 13478.43 15962.66 24530.15 33535.31 33130.59 32763.91 

. - 163 - 




II Assets 

a) Fixed Assets 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 33029.31 


Stock 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 13.00 

Property Tax - Current 26.38 26.73 27.09 27.46 27.83 32.00 32.44 32.87 33.32 33.77 38.83 

Property Tax - Arrears 38.61 41.82 43.46 44.48 45.25 45.93 50.38 52.59 53.91 54.88 55.72 

Profession Tax - Current 1.74 1.80 1.85 1.91 1.96 2.26 2.33 2.40 2.47 2.54 2.92 

Profession Tax - Arrears 2.98 3.24 3.41 3.56 3.69 3.81 4.16 4.41 4.60 4.77 4.92 

Lease Amounts - Current 2.22 2.44 2.50 2.56 2.81 2.88 2.96 3.25 3.33 3.41 3.75 

Lease Amounts - Arrears 3.52 3.63 3.89 4.06 4.18 4.49 4.68 4.83 5.18 5.40 5.57 

Water Charges -Current 43.48 44.06 44.66 51.88 52.58 53.29 54.01 54.74 62.56 63.40 64.26 

Water Charges -Arrears 69.53 71.29 72.58 73.69 81.36 85.12 87.34 88.95 90.32 98.68 102.87 

Sewerage Chgs - Current 35.13 35.60 36.08 36.57 42.93 43.51 44.10 44.70 45.30 52.19 52.89 

Sewerage Chgs - Arrears 53.33 56.46 58.19 59.36 60.31 67.06 70.34 72.23 73.59 74.73 82.08 

Specific Grant Receivable 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 3.16 

Deposits Recoverable 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 1.21 

Staff Advance Rec 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 5.50 

Adv to Suppliers & Conts 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 

Employee Advance Rec 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 35.00 

Other Advances ñ Rec 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 32.00 


Outstandings 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 5.00 

Others 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 1.50 

c) Cash & Bank Balances -1360.70 -1737.96 -2142.18 -2543.39 -2899.10 -3244.72 -3628.26 -4051.08 -4493.50 -4950.51 -5413.81 

Total 32408.30 32041.18 31643.61 31254.20 30915.89 30587.71 30216.54 29801.95 29373.14 28935.34 28492.09 

The full projects investment scenario indicates that Ambur Municipality would end up with a cumulative cash deficit of Rs. 

1679 lacs by the end of FY 2028-29 (after 20 years) 

. - 164 - 



14.7 IMPACT OF POTENTIAL IMPROVEMENTS 

Amburís ability to improve on its financial performance hinges primarily on its ability 

to sustain and improve on the revenue growth noticeable in recent years. 

Specific interventions with respect to revenue realization and cost management are 

detailed in chapter 12 of the report. On ëFull Project Investment Scenarioí basis, 

Amburís own revenues (comprising taxes, user charges and other income) could 

grow from Rs. 222 lacs in FY 2006-07 to Rs. 1290 lacs by FY 2028-29, implying an 

absolute growth of 24%. Ambur has vast potential for increasing its own income 

given the growth achieved in the last few years. Areas for revenue enhancement in 

own revenue include : 

Property Tax ñ through an enhanced revision in ARV, widening assessee base 

and closer scrutiny. Besides periodic increase (every 5 years) in property tax 

rates. 

Professional Tax ñ sustaining a higher assessment growth. 

User Charges ñ periodic increases in user charges for water connections and 

sewerage connections. The Municipality could generate additional Rs. 600 lacs 

of income per annum by FY 2028-29 by providing water connections to 80% of 

property tax assessments and sewerage connections to 70% of property tax 

assessments. 

Ambur also needs to explore scope for private sector participation for development 

of remunerative projects and city beautification projects that have been identified 

by Ambur. 

While there is potential for expenditure control in certain areas (as in the case of 

energy costs and leakage in water supply), the focus of cost management should 

be to shift expenditure from administration to better asset management and service 

levels. We have not factored in any cost reduction in the FOP and have assumed 

that any savings generated from cost reduction would go into augmenting service 

levels and better asset management. 

A comprehensive energy audit is required, given that 60% of its operations and 

maintenance expenditure is spent on electricity charges. Plugging leakage in the 

water supply network and installation of timers and energy savers on the street light 

network are important interventions needed in the context of Amburís high power 

costs. 

- 165 - 



14.8 SCENARIO I - ESTIMATION OF INVESTMENT CAPACITY ON AS IS WHERE 

BASIS 

We carried out the exercise of arriving at the Investment and Borrowing Capacity on 

as is where basis without any financial reforms being carried out and no new 

projects taken in to consideration. The borrowing capacity has been arrived by 

taking the NPV over the next 20 years on the minimum of the following : 

30% of revenue projections 

Primary Operating Surplus (Surplus before Interest & Depreciation) 

The investment capacity has been arrived @ of 4 times the borrowing capacity 

assuming that loans constitute 25% of total investment requirement. 

In such a scenario, the Investment and Borrowing Capacity works out as below : 


Borrowing Capacity Rs. 1024.76 lacs 

Investment Capacity (BC x 4 times) Rs. 4099.05 lacs 

14.9 SCENARIO II ñ ESTIMATION OF BORROWING AND INVESTMENT CAPACITY 

WITH METUR CWSS. 

In Scenario II, the financial projections have been worked out for the next 30 years, 

by taking all projects in to consideration including Metur CWSS. It has been assumed 

that Metur CWSS would be funded by way of 100% Grant and executed in VI & VII 

years. The operation & maintenance of Metur CWSS would be fully borne by the 

Municipality. The financial projections for the next 20 years have been taken to 

arrive at the Borrowing and Investment capacity. We have arrived at the borrowing 

capacity of Ambur Municipality on the minimum of the following : 

30% of revenue projections 

50% of Primary Operating Surplus less Debt Service 

The overall financing mix has been arrived to include 6% Loans, 87% Grants and 7% 

own funds. The repayment period of loans has been taken at 5+15 years for 

Sewerage and Water Supply Loans and 2+8 years for other project loans. The above 

factors have been taken in to account for arriving at the Annuity Factor, which has 

been applied on the lowest of the above to arrive at the overall borrowing capacity 

and investment capacity. 

- 166 - 




Borrowing Capacity - 

Investment Capacity (BC/0.6) - 

Investment Requirement Rs. 22167 lacs 

Sustainable Investment Capacity % - IC / IR -ve 

At an aggregate level, assuming loans to be equivalent to 6% of investment, 

sustainable investment capacity works out to Nil. 

14.10 SCENARIO III ñ ESTIMATION OF BORROWING AND INVESTMENT 

CAPACITY WITHOUT METUR CWSS. 

In Scenario III, we carried out the exercise of arriving at the Investment and 

Borrowing Capacity of Ambur Municipality without Metur CWSS project. In this 

scenario it is assumed that the entire capital cost and O&M of Metur CWSS would 

be supported by the Government. Thus both the capital cost and O&M cost would 

be received as 100% Grant by the Municipality. 

In such a scenario, the Investment and Borrowing Capacity works out as below : 


Borrowing Capacity - 

Investment Capacity (BC/0.6) - 

Investment Requirement Rs. 22167 lacs 

Sustainable Investment Capacity % - IC / IR -ve 

It may be observed that the investment capacity continues to be Nil even if the 

entire O&M cost of Metur CWSS is fully supported by the Government. Thus it can be 

inferred that the Municipality is not in a position to bear the operation & 

maintenance expenses and interest cost of major projects like water supply 

improvements and underground sewerage resulting in negative investment 

capacity. 

14.11 KEY INDICATOR OF SCENARIO II (FULL PROJECT SCENARIO WITH METUR 

CWSS). 

The key Indictors of the Municipality based on the financial projections works out as 

below : 

- 167 - 



Existing (2001-02 to 2006-07) 

Table 14-20: Key Indicators 

Minimum Maximum Average 

Operating Ratio 0.76 1.42 1.03 

Debt Service Ratio 0% 11% 7% 

Category 3 

Short Term (2009-10 to 2013-14) 



Category 3 

Long Term (2009-10 to 2028-29) 



Category 3 

Note : 1 ñ Financially Sound; 2 ñ Financially Fragile; 3 ñ Financially Insolvent 

It may be observed that the Municipality is financially very fragile both in the short 

term and long term. The Municipality is unable to bear the high operation & 

maintenance expenses and interest cost on borrowings resulting in operating ratio > 

1% and Debt Service Ratio > 30%. 

14.12 INFERENCE. 

The investment capacity of Ambur Municipality on ëAs is Where Basisí works out 

to Rs. 3973 lacs. 

The investment capacity of Ambur Municipality works to Nil in case of Scenario II 

(With Metur CWSS project) and Nil in case of Scenario III (Without Metur CWSS 

project). 

Thus it can be inferred that Ambur Municipalityís financial position is weak and is 

not in a position to undertake major projects like water supply improvements and 

underground by way of borrowings on account of high operation & 

maintenance expenses and interest cost. 

Based on the above, it can be concluded that the Municipality based on its 

financial position can undertake only smaller projects identified in the CCP as 

given below 

- 168 - 



S.No. Particulars Total Priority Funding By 

A Physical Infrastructure Facilities L : G : O 


a) Improvements to Water Supply & Water Treatment 1591.00 A 60:30:10 

V Roads 

a) BT & CC Roads - Improvements 136.00 A&B 60:30:10 

b) BT & CC Roads - New Roads 120.00 C 60:30:10 

VI Bus Stand 

a) Conversion to 'A' Grade 12.00 B 0:50:50 


a) Proposed new lights 91.00 B 100% ULB 

b) Retrofitting existing lights & energy saving devices 20.00 A ESCO 

VIII Market 

a) Improvements to Weekly market 3.00 A 100% ULB 


a) Shopping Complex at V A Kareem OHT 36.80 A 90:00:10 

b) Shopping Complex at ESI Hospital 63.20 A 90:00:10 

B Social Infrastructure Facilities 

II Education 

a) Improvements to Schools 25.70 A 100% ULB 


a) Improvement of parks, construction of compound wall 11.00 B 100% ULB 

for play ground & play equipments 

IV Burial Ground / Crematorium 

a) Burial Ground with Gasifier (at Kapsa) 59.00 A 0:50:50 

b) Burial Ground improvement at Sanrorkuppam 14.00 B 0:90:10 


a) Improvement to maternity centre 54.30 A 0:50:50 


a) Improvement of Slaughter House (Treatment Plant) 8.00 B 0:50:50 

b) New Beef Slaughter House 28.00 C 0:50:50 


I Vehicles 

a) Mobile tax collection van 10.00 A 100% ULB 


a) E-Governance 18.00 C 100% Grant 

b) GIS Mapping for Comprehensive Property Database 37.00 A 0:90:10 

Total 2338.00 

As regards major projects like underground sewerage scheme, storm water 

drains, solid waste management, roads, improvement to slums etc., the 

Municipality can undertake these projects with minimum or Nil borrowings and 

more support from the Government towards capital cost. 

- 169 - 



Metur CWSS project can be taken up by the Municipality only if both capital cost 

and operation & maintenance expenses is supported by the Government. 

- 170 - 


Annexure Final Report: Ambur Municipality 

ANNEXURE 

Annexure I ñ a : First Minutes of Meeting: First Stakeholdersí Workshop ñ Ambur 

Date of Workshop : February 4, 2008 

Time (Opening) : 3.00 PM 

Time (Closing) : 6.00 PM 

S.NO PERSON NAME DESIGNATION 

01 Thiru .Vavoor Azeer Ahmed Chairman 

02 Tmt.R.Tamilarasi, Vice Chairperson 

03 Thriu..Manikandan Commissioner 

04 Thiru. .Madhivanan Engineer 

05 Thiru. T. Md. Ismail Councilor 

06 Tmt.M.H. Farida Banu Councilor 

07 Thiru.S. Rafeeq Ahmed Councilor 

08 Thiru.E. Suresh Babu,M.A. D.T.Ed., Councilor 

09 Thiru.L. Chakkarapani Councilor 

10 Thiru. S. Thirunavukkarasu Councilor 

11 Thiru. E. Paneer Councilor 

12 Tmt.T. Parimala Councilor 

13 Thiru. M. Dhanapal Councilor 

14 Thiru. D.K. Sivalingam Councilor 

15 Thiru.M.S.Premkumar,M.A.B.L Councilor 

16 Thiru. N.S. Ramesh Councilor 

17 Tmt.Sabira Councilor 

18 Thiru. P. Kaleemullah,B.A. L.L.B Councilor 

19 Thiru. S. Bilal Basha Councilor 

20 Thiru. B.R.C. Srinivasan Councilor 

21 Tmt.A. Dhanalakshmi Annamalai Councilor 

22 Thiru. K. Mehmood Ahmed Councilor 

23 Tmt. K. Parveen Councilor 

24 Thiru. K. Rafeeq Ahmed Councilor 

25 Thiru. K. Abdul Azeez Councilor 

26 Thiru. K. Iqbal Ahmed Councilor 

27 Tmt. M.B. Sirajunnisa,M.A Councilor 

28 Thiru. S. Asif khan Councilor 

29 Thiru.K.Rajan Councilor 

30 Thiru.K.Yuvaraj Councilor 

31 Tmt. A. Noorjahan Councilor 

32 Thiru. D. Samuvel Cella Pandiyan,M.A Councilor 

33 Thiru.S. Arivalagan Councilor 

34 Tmt. K. Mageswari Councilor 

35 Tmt. R. Rajakumari,M.A., B.L.I.S Councilor 

36 Tmt.L.Madeshwari Councilor 

37 Thiru. T.M. Dhakshanamoorty Councilor 

- 171 - 



38 Mr. Sanjeet K. Ahlawat 

- 172 - 

Deputy Manager ñ Voyants 

Solutions Private Limited 

The stakeholdersí workshop started at 3.00 PM on Monday, February, 2008 in the Conference 

Hall of the Municipality. The workshop was chaired by Chairman ñ Mr. Thiru .Vavoor Azeer 

Ahmed. In His opening speech, Mr. Ahmed briefed the stakeholders about the objectives of 

the project and the workshop. The Commissioner, Municipality presented his view on the City 

Corporate cum Business Plan. Mr. Sanjeet Ahlawat (Manager, Voyants Solutions Private 

Limited) briefed about the work completed by the consultant for the City Corporate cum 

Business Plan. After that Mr. Saravanan & Mr. Sathiyaraj presented the brief status, problem 

and issues relating to urban basic services an infrastructure in Ambur. And after this 

presentation, the stakeholders were asked to give their suggestions/ comments in three 

parts. In first part, the consultants invited comments on the contents of the presentation. In 

the second part stakeholders were invited to present the problems of the city which are 

hindrances to the development. In the last section of the workshop, stakeholders were asked 

to suggest the projects required for the integrated development of Ambur. 

The Suggestions: 

The suggestions given by the various stakeholders are presented below: 

Thiru .Vavoor Azeer Ahmed, Chairman 

City needs a bypass road to reach to bus stand so that bus will directly go to Bus Stand 

instead of moving through the town. 

Municipality has proposed to install the RO system for drinking water supply for the public 

as the water quality is very poor. 

City need sewerage system and it should be taken on priority. 

City has less fund and can not initiate the projects own its own. 

Town roads are encroached by the people so they should be fined and need 

widenening for congestion free traffic. 

Municipality has very less properties of its own and even land is not available so they 

need expansion of town. 

There is a need to provide infrastructure to Govt. School as the quality of infrastructure is 

very poor. 

Tmt. R. Tamilarasi, Vice Chairman 

There is a need to improve the quality of water for people as water is salty and dissolved 

solids proportion is more. 

Sewerage system is must for the town. 

Roads are to be converted to CC roads in every colony of the municipality. 

There is a need for street lights in the slums along with roads and water supply. 

Thriu. Manikandan, Commissioner 


as the water is salty and dissolved solids are not up to standards. 

Sewerage system should be taken on priority. 

There is a need to devise new methods for tax collection from the people. 

Town roads needs to resurface 



Thiru. Madhivanan, Municipal Engineer 

City need water supply clean water supply so the municipality is proposing a Reverse 

Osmosis system to provide them contamination and clean water supply. 

Sewerage system is proposed in the town; DPR is prepared by TWAD Board and 

submitted to CMA for evaluation. 

There is no separate fund for Solid Waste Management and they are maintaining it 

from the municipal fund only. 

There is need of fund for the up-gradation of burial ground and to provide gassifire 

Markets needs up-gradation ad modern facilities 

There is a need for bypass 

Thiru.E. Suresh Babu, Councilor, Ward No - 04 

Public toilet is required for Kamarajar nagar. 

Need for Sewerage system 

Clean water should be provided to all 

Thiru. E. Paneer, Councilor, Ward No ñ 07 

Drinking water is supplied once in 7 days for this ward in tanker lorry. So water supply 

in pipe line is required. 

Thiru. N.S. Ramesh, Councilor, Ward No - 13 

Bituminous road is required in extension area. 

Tmt. Sabira, Councilor, Ward No - 15 

Renovation of toilet in MC road bus stand 

Thiru. K. Iqbal Ahmed, Ward No - 24 

Tannery effluent is mixed with paalar, which affects the drinking water quality 

From M C road to Kaspa-B, road should be widen. 

Market area & Jalal pettai required public toilet 

Tmt. P. Malliga, Councilor, Ward No - 27 

Required toilet in Swami pillai nagar pudhumandi area. 

Thiru. S. Arivalagan, Councilor, Ward No - 32 

Due to heavy population near NH road, by-pass road is required. 

Tmt. K. Mageswari, Councilor, Ward No - 33 

Sanitation and street lights are required in 33 rd ward. 

Required drinking water taps in each street. 

Tmt. R. Rajakumari, Councilor, Ward No - 34 

All the streets in this ward required cement concrete road. 

Underground drainage for sewage is required 

Drainage from Pethastha region is not sufficient for rainwater collection so NH and 

Highways are highly affected. 

- 173 - 



Tmt. L. Madeshwari, Councilor, Ward No - 35 

Over bridge is required near railway track for vehicles to cross. 

Public toilets required near Nethaji road & Market area. 

Annexure I ñ b : Minutes of Meeting: Second Stakeholdersí Workshop ñ Ambur 

Date of Workshop : December 15, 2008 

Time (Opening) : 3.00 PM 

Time (Closing) : 6.00 PM 

S.NO PERSON NAME DESIGNATION 

01 Thiru .Vavoor Azeer Ahmed Chairman 

02 Tmt.R.Tamilarasi, Vice Chairperson 

03 Thriu..Manikandan Commissioner 

04 Thiru. T. Md. Ismail Councilor 

05 Thiru.S. Rafeeq Ahmed Councilor 

06 Thiru.E. Suresh Babu,M.A. D.T.Ed., Councilor 

07 Thiru.L. Chakkarapani Councilor 

08 Tmt.T. Parimala Councilor 

09 Thiru. M. Dhanapal Councilor 

10 Thiru. P. Kaleemullah,B.A. L.L.B Councilor 

11 Thiru. S. Bilal Basha Councilor 

12 Thiru. B.R.C. Srinivasan Councilor 

13 Tmt. K. Parveen Councilor 

14 Thiru. K. Rafeeq Ahmed Councilor 

15 Thiru. K. Abdul Azeez Councilor 

16 Thiru.K.Rajan Councilor 

17 Tmt. R. Rajakumari,M.A., B.L.I.S Councilor 

18 Tmt.L.Madeshwari Councilor 

19 Thiru. T.M. Dhakshanamoorty Councilor 

20 Thiru.Dimbanan A.E.E- PWD ,Vellore 

21 Thiru.Nandagopal A.D.E, Electricity Board, Ambur 

22 Tmt.P.Rani DEO, Education Department, Vellore 

23 Thiru.Selvakumaran A.D.E, State Highways, Vellore 

24 Thiru.Udayakumar A.E, State Highways, Vellore 

25 Thiru.Sabari T.A, State Highways , Vaniyambadi 

26 Thiru.E.S.Selvaraju A.D.E, Railway Department ,Jolarpet 

27 Thiru.Ramesh Babu A.E, National Highways, Vellore 

28 Thiru. Srinivasen President, Ambur Traders Association 

29 Thiru.Muthukumar President , Textile Association 

30 Thiru. Iqbal Ahmed Pawn Brokers Association 

31 Thiru.Azar Mohd President, Samapangi Shoppers Association 

32 Thiru.Chakrabani President, Community Hall Owners Associations 

33 Tmt.Meenakshi President, Rotract Memember 

34 Thiru.Kumaran President, Engineering Workshop Association 

- 174 - 



The stakeholdersí workshop started at 3.00 PM on Monday, 15 th December, 2008 in the 

Conference Hall of the Municipality. The workshop was chaired by Chairman ñ Mr. Thiru 

.Vavoor Azeer Ahmed. In His opening speech, Mr. Ahmed briefed the stakeholders about the 

objectives of the project and the workshop. The Commissioner, Municipality presented his 

view on the City Corporate cum Business Plan. Mr. Saravanan (Senior Engineer, Voyants 

Solutions Private Limited) briefed about the work completed by the consultant for the City 

Corporate cum Business Plan. After that Mr. Sreepathy presented the brief status, problem 

and issues relating to urban basic services an infrastructure in Ambur. And after this 

presentation, the stakeholders were asked to give their suggestions/ comments in three 

parts. In first part, the consultants invited comments on the contents of the presentation. In 

the second part stakeholders were invited to present the problems of the city which are 

hindrances to the development. In the last section of the workshop, stakeholders were asked 

to suggest the projects required for the integrated development of Ambur. 

The Suggestions: 

The suggestions given by the various stakeholders are presented below: 

Thiru .Vavoor Azeer Ahmed, Chairman 

City needs a bypass road to reach to bus stand so that bus will directly go to Bus Stand 

instead of moving through the town. 


as the water quality is very poor. 

City need sewerage system and it should be taken on priority. 

City has less fund and can not initiate the projects own its own. 

Town roads are encroached by the people so they should be fined and need 

widenening for congestion free traffic. 

Municipality has very less properties of its own and even land is not available so they 

need expansion of town. 

There is a need to provide infrastructure to Govt. School as the quality of infrastructure is 

very poor. 

Tmt. R. Tamilarasi, Vice Chairman 

There is a need to improve the quality of water for people as water is salty and dissolved 

solids proportion is more. 

Sewerage system is must for the town. 

Roads are to be converted to CC roads in every colony of the municipality. 

There is a need for street lights in the slums along with roads and water supply. 

Thriu. Manikandan, Commissioner 


as the water is salty and dissolved solids are not up to standards. 

Sewerage system should be taken on priority. 

There is a need to devise new methods for tax collection from the people. 

Town roads needs to resurface 

Drainage system needs improvement and needs to be treated. 

- 175 - 



Thiru.Srinivasen, President, Ambur Traders Associations 

Since , City needs clean water supply , the municipality is proposing a Reverse Osmosis 

system to provide them non- contamination and clean water supply. 

There is need of fund for the up-gradation of burial ground and to provide gassifire 

Markets need up-gradation ad modern facilities. 

There is a need for bypass. 

Tiru. Dimbanan, A.E.E , PWD, Vellore 

At present, there has no project under PWD in and around Ambur Town 

Tiru. Nandagopal, A.D.E, TNEB, Ambur 

To maintain uninterrupted power supply for consumer satisfaction following steps to be take 

by Electricity Board. 

Enhancement of exiting 2 X 10 MVA power transformer to 2 X 16 MVA 

Enhancement of exiting distribution transformer 250 KVA to 500 KVA -2 numbers 

Enhancement of exiting distribution transformer 100 KVA to 250 KVA- 10 numbers. 

To provide11 KV feeder meter single phase - 10655 numbers and three phase -1200 

numbers. 

Fuse off call centre 1 number and provision of cell phone to all officers and field staffs 36 

numbers. 

Tmt.P.Rani, DEO, Education Department, Vellore 

To create the Solid Waste Management awareness from the school students 

To teach the traffic rules for students and public also. 

The schools maintained by the municipality, requires basic infrastructure facilities and 

Computers training programme. 

Tiru.Udayakumar, A.E, State Highways, Vellore 

At present, there has no project under State Highways Department in and around Ambur 

Town. 

Tiru.E.S.Selvaraju, A.D.E, Railway Department, Jolarpet 

At present, there has no project under Railway Department in and around Ambur Town 

Tiru.Ramesh Babu, A.E, National Highway Department, Vellore 

At present, there has no project under Railway Department in and around Ambur Town 

Tiru.S.Gopal, Assistant Engineer, TWAD (Water Supply ), Urban Division, Vellore 

The feasibility study carried out by the TWAD Board and it is mentioned that 6.7 MLD of 

water can be drawn by providing the check dam in Kamanuthattu , Naickaneri and 

Anaimadugu area. 

In order to meet the part of intermediate supply gap about 6.7 MLD by providing suitable 

open wells, rising mains, sump, and disinfection arrangements in the above mentioned 

areas. 

- 176 - 



Tiru.Kumar, Assistant Engineer, TWAD (Sewerage Division), Urban Division, Vellore 

The Detailed Project Report was prepared by TWAD Board. The Town has been 

considered as single zone for designing of the sewage collection system. 

TWAD Board estimate total length of sewerage 82.00 km. 

The Sewage Treatment Plant of capacity of 18.00 mld (ASP Technology) is proposed to 

be located near Sivarajapuram . 

Tiru.Karunakaran, Assistant Engineer, TWAD (Water Supply), PF Division, Vellore 

The Ultimate demand for Ambur Water supply shall be fulfilled using combined Mettur 

scheme. 

The Detailed Project Report for this scheme is under preparation by TWAD Board. 

Thiru.Muthukumar, President, Textile Association 

Public toilet is required for Kamarajar nagar. 

Need for Sewerage system 

Clean water should be provided to all 

Bituminous road is required in extension area. 

Thiru,Iqbal Ahmed, Pawn Brokers Associations 

Renovation of toilet in MC road bus stand 

Required toilet in Swami pillai nagar pudhumandi area. 

Over bridge is required near railway track for vehicles to cross. 

Public toilets required near Nethaji road & Market area. 

No community hall ,Government office, Public Library, parks etc. required, 

Thiru.T.Azar Mohd, President Samapangi Shoppers Associations 

Tannery effluent is mixed with Palar, which affects the drinking water quality 

All the streets in this ward required cement concrete road. 

Underground drainage for sewage is required 

From M C road to Kaspa-B, road should be widen. 

Market area & Jalal pettai required public toilet 

Tmt. K. Meenakshi, President, Rotract Member 

Required drinking water taps in each street. 

Drainage from Pethastha region is not sufficient for rainwater collection so NH and 

Highways are highly affected. 

Tiru V.Gunaselan, Ambur Consumer Protection Council 

The church road is situated parallel to railways track and connecting bethalegam , 

reddythoppu, Wahab Nagar, Kambikkolai and hill places like Asnampet, Naickeneri , 

Panamkatteri . 

This road is uneven with pits and holes here and there .As it is related to Railways; 

municipality is not taking any steps to repair the road. 

To overcome the Pachakkuappam Head works problem, by providing the Reverse 

Osmosis Plant. 

- 177 - 



Annexure I ñ c : Draft Memorandum Of Agreement 

This Agreement is made on this ___________________ day of ____________ 

(Month), 2009 (year) between Tamil Nadu Urban Infrastructure Financial Services 

Limited (referred to as TNUIFSL) and the Ambur Municipality (referred to as ULB) 

1. This agreement follows the completion of the City Corporate Plan cum 

Business Plan (CCP-BP) prepared for the ULB with assistance from Grant Fund 

managed by TNUIFSL. A Vision Plan exercise was conducted by the ULB to identify 

specific projects required to be developed, and certain projects were identified in 

the Vision Plan have been taken through the next steps in terms of preparation of 

detailed project reports and implementation, there was a felt need among 

stakeholders to draw a comprehensive CCP-BP, taking into account a holistic 

perspective of the city/townís current status and gaps. It was to address this need 

that the CCP-BP exercise was conducted. The objectives of the CCP-BP exercise 

were to: 

Define the growth directions and service up-gradations in relation to the 

activity mix / growth 

Assess demand for projects specified by the ULBs and gap in services 

Outline the infrastructure needs; 

Define specific rehabilitation and capital improvement needs with regard to 

priority city infrastructure in slums and other areas 

Identify measures for revenue enhancement and cost reduction required to 

sustain the proposed investments 

Identify reforms required in local administration and service delivery and 

policy interventions 

List out changes required at the local level to improve O&M and better asset 

management 

2. The study will be completed in June 2009 and the municipal council 

passed a resolution adopting the report for implementation on-------------- (Date). 

3. This agreement is being entered into between TNUIFSL and the ULB for 

TNUIFSLís assistance in: 

(a) Developing and financing projects identified as part of the Capital 

Investment Program (CIP) of the CCP and 

b) Monitoring the implementation of a reform agenda required to improve 

municipal management and to carryout implementation of projects identified in a 

sustainable manner. 

- 178 - 



4. The guide lines of this MOA are listed below: 

i. The Ambur municipal council agrees to implement the reform agenda as 

per the targets recommended in the CCP-BP report. A summary of the reform 

agenda in terms of existing status and norms/targets is enclosed in Annexure III. The 

reform agenda outlined focuses on those reforms are to be carried out at the ULB 

level. 

ii. The Ambur municipal council will provide a half-yearly update report to 

TNUIFSL on the status of the implementation of the reform agenda. TNUIFSL shall 

provide a standardised format for reporting this information. 

iii. In case there is any delay in the implementation of the reforms agenda by 

ULB due to circumstances beyond its control, the decision on the matter of 

extension of time for the achievement of targets shall be fixed based on 

consultations between TNUIFSL and the ULB 

iv. TNUIFSL shall also assist the ULB in preparing DPRs for a set of projects jointly 

identified by TNUIFSL and the ULB, based on the Capital Investment Plan (CIP), 

prepared as part of the CCP-BP report. 

vi. TNUIFSL would subsequently assist in structuring and financing projects 

identified earlier through combination of Loan and Grants along with ULB own funds. 

The sanction and disbursement of loans and grants from TNUIFSL shall be in 

conformance with the lending policies and guidelines of Loan and Grant Funds 

under its management and due appraisal of the ULB and the projects by TNUIFSL 

5. The council agrees to the following points: 

i. Issues presented in the project report and to agree to follow all directions of 

CMA/GOTN/TNUIFSL towards execution of the project. 

ii. Draw the loan part for the execution of the works and repay the loan with 

the applicable interest 

iii. Open a joint account with the Concerned Authority and agree to deposit 

the ULBís share every quarter (-- % of the cost of the tendered works), failing which 

to abide by action of CMA/GOTN/ TNUIFSL 

iv. Conform to the subsequent change, if any, in the loan-grant composition 

made by GoTN 

6. Undertake the following reforms during the financial year 2009-10 and to improve 

during the loan period to achieve the target set for every year: 

- 179 - 



i. Listing of assets of the ULB and maximizing efficient use of the same, 

revenue generation from municipal properties through improved collection of land 

revenue /lease to at least of 90 per cent of demand. 

ii. Listing of all trade activities and improving collection of trade license fee to 

at least 90 per cent of demand. 

iii. Revising water tariff as per the G.O------, identification/ regularization of un- 

authorized water connections, improved collection of at least 80 per cent of water 

tariff. 

iv. Imposing solid waste management cess /fees 

v. Increasing coverage with respect to property tax collection i.e. bringing 

at least 90 per cent properties into the tax net, increasing collection efficiency 

and ensuring arrear collection of at least 90 per cent of current demand for 

property tax. 

vi. Computerizing municipal systems and procedures 

vii. Undertake public awareness through ward-level consultation meetings, 

with NGO involvement, improving the image of the ULB and generating confidence 

among citizens regarding the ability of the ULB to deliver quality services 

ix. Acquire land, free from all encumbrances / encroachments, required for 

all identified projects before project loan effectiveness 

x. Solve all problems (like agitation) during construction activity and to ensure 

timely completion of the work as per schedule 

xi. Offer necessary co-operation/coordination with consultants, NGOs and 

various other agencies involved in implementation of the project 

xii. Undertake full responsibility, in respect of civil works, for quality assurance 

and joint measurement of completed works and to assure full co-operation and co- 

ordination and to agree to all pre-qualification requirements and bidding 

procedures of World Bank and to impose penalty, if any, from the first bill itself; 

xiii. Undertake that no variation order without citing reasons for variation as 

well as working out the time and financial implications, will be issued subsequent to 

tendering without prior approval of TNUIFSL 

xiv. Carryout the all the directions of CMA/GoTN/TNUIFSL. 

- 180 - 



Finally, the Council agrees to bind itself to these terms, which would form part of 

future agreement with GoTN/TNUIFSL, and further resolve to authorize the 

Commissioner/Chief Executive Officer to take necessary action to get the above 

mentioned infrastructure facilities to this town. The Council further agrees to 

authorize the Commissioner and Chairman to sign the loan agreement with TNUIFSL. 

SIGNATORIES: 

Place: 

Date: 

Managing Director and CEO, TNUIFSL 

Chairman, ULB Council 

Commissioner, ULB 

- 181 - 



Annexure I ñ d : Minutes of Meeting 

Minutes of Meeting on Revised Draft Final Report submitted by M/s Voyants Solution 

Pvt. Ltd. for City Corporate Plan cum Business Plan study for Cluster V covering Arcot, 

Gudiyatham, Ranipet, Tirupattur, Vaniyambadi and Walajapet, Municipalities held 

on 23.6.2009 and for Ambur, Arakonam Arani, Thiruvathipuram and Madhavaram 

Municipalities held on 24.06.2009 at the office of TNUIFSL. 

Members Present ñ List enclosed 

The consultants were requested to address the following: 

1. To correct the grade of the ULBs as revised by the Government. 

2. To highlight the requirement of capital / revenue grant to implement and 

operate all the new schemes. 

3. To indicate following in the executive summary of the report 

c) List of projects under the sustainable scenario along with the year wise 

phasing of the projects identified. 

d) The assumption made on the means of finance. 

Town specific comments 

Ranipet 


Address the requirement of staff quarters and indicate the same as a project 

in CIP in consultation with the ULB. 

Update the details on the Bus Stand project at Muthukadai adjoining Pinji 

Lake in consultation with the ULB. 

Highlight the impact on discharge of polluted water in to Palar river. 

Thiruvathipuram 


Update the details on the assets in consultation with the ULB. 

Revise the Bus Stand improvement project in consultation with the ULB 

- 182 - 



Madhavaram 

The consultants were requested to revise the assumptions on means of 

finance in accordance with JNNURM norms and revise the FOP 

accordingly. 

The consultants were requested to address the above points and include in final 

report. The revised draft final reports for CCCBP are approved. 

- 183 - 



History of Ambur Cluster 

Annexure III: Performance of Ambur Leather Cluster 

The emergence of Madras as a major trading center for leather during the British 

rule inspired the people in the trade to put up tanneries. Since tanning required 

plenty of water, the river system nearer to Madras, namely, the Palar River basin was 

the natural choice. It had copious flow of clean water. The next requirement was 

transport to Madras, which was the gate way port for export of leather ñ a 

distinction that the port holds even today after more than a century. Vaniyambadi, 

Ambur, Pernambut and Ranipet, which fulfilled the basic requirements, attracted 

the leather men. Vaniyambadi was the first center, followed by Ambur and in both 

places the business is more than 100 years old. 

Slow growth due to traditional processing 

The process of evolution of leather tanning into mechanized industry has rather 

been slow in India and Ambur was no exception. For more than 50 years, tanning 

was essentially a manual operation. The process was known as vegetable tanning 

and the method was bark tanning. The transformation from household activity to 

mass production methods in separate premises engaging a group of workers took 

place in the forties. It was in the fifties that mechanically driven drum was 

introduced and tanning with wattle extract was extensively used. The vegetable 

tanning otherwise popularly known as East India (E.I) tanning, dominated the Ambur 

leather industry for the next 25 to 30 years. The phase of mechanization gained 

momentum in the seventies and eighties with the introduction of chrome tanning, 

necessitated by the increasing demand for chrome tanned leather in international 

markets. 

Pollution due to tannery effluent 

Environmental degradation caused by effluents let out by tanneries in Tamil Nadu 

was worrying the State Government even when vegetable tanning was done. In 

1939 itself, the then Provincial Government constituted a committee to suggest ways 

and means to treat the effluents let out by the tanneries. Since then a series of 

committees have been constituted by the State Government and time and again 

the tanneries were told to put up effluent treatment plants. 

As the flow of water dwindled in Palar river due to construction of check dams in 

upstream by Karnataka and Andhra Pradesh through which the river flows before 

entering TamilNadu, the level of pollution in Palar basin increased, affecting drinking 

water supply to a number of villages. Alarmed by this development, the Vellore 

Citizens Forum filed a writ petition in the Supreme Court in 1991. 

Tanneries left with no other alternative but to put up ETPs or CETPs not only in Vellore 

district but also in other parts of Tamil Nadu, to put up individual or common effluent 

- 184 - 



treatment plants and comply with the standards prescribed by the Tamil Nadu 

Pollution Control Board (TNPCB). 

Leather Production Units in Ambur Cluster 

In the recent past many leading footwear export companies have transferred their 

upper closing operations to SSI units to widen their production base. A new segment 

of Industry, shoe uppers job working units is now taking firm roots in Ambur. 

There are 43 Export oriented tanneries and shoe units in Ambur employing about 

25,000 workers. The annual turnover of the units amounts to Rs. 900 Crores (Approx. 

$199 Million) and the export turnover is about Rs. 750 Crores (Approx. $165 Million). 

There are 36 leather finishing units with 2000 workers and its annual turnover is Rs. 80 

Crores (Approx. $17.5 Million) and export turnover is Rs. 20 Crores (Approx. $4.5 

Million) There are 24 raw to wet blue/El processing units with 1200 Workers 

S.N Leather Units No. of 

Leather 

Units 

1 

Tanneries (Export 

Oriented) 

Leather Finishing 

2 Unit (Raw to 

Finishing) 

Processing Units 

3 (Raw to Wet 

Blue) 

Details of Leather Production Units in Ambur Cluster 

Approx. 

No. of 

Workers 

43 25,000 

36 2,000 

24 1,200 

4 Shoe Uppers 25 2,000 

5 

Leather Dry 

Finishing 

15 400 

6 Tiny Shoe Units 96 1,000 

TOTAL 239 31,600 

Source: Council of Leather Exports, 2008 

- 185 - 

Annual Turnover Export Value 

Rs. 900 Crores (Approx. 

$199 Million) 


$17.5 Million) 


$11 Million) 

Rs. 8 Crore (Approx. 


Rs. 1.5 Crores (Approx. 


Rs. 7.5 Crores (Approx. 


Rs.1,047Crore s 

(Approx. $231.26 

Million) 

Rs.750 Crores 

(Approx.$165 Million) 


$4.5 Million) 

N/A 

N/A 

N/A 

N/A 

Rs. 770 Crores 

(Approx. $170 Million 

) 

On the whole there are 239 production units with a total workforce of more than 

31,600. 

The registered exports from this cluster during 2006-07 were: 

1. Rs. 1518 Crores (Approx. $335 Million) for Total Leather & Leather Products 

where Finished Leather accounted for 23% and Footwear including 

components were 77%. 

2. It has been estimated by CLE that 10% of leather exports and 21% of Footwear 

exports, 16% of footwear components of the country originate from Ambur. On 

the whole 11% of leather products exported originates from Ambur. 




I Income 

a) Property Tax 

Property Tax for General 

Purpose 

Annexure IX - a : Revenue and Capital Fund - Income 

Excess Remittance - Revenue 

Items 

b) Other Taxes 

2001- 

02 

- 186 - 

2002- 

03 


2003- 

04 

2004- 

05 

2005- 

06 


2006- 

07 

47.74 48.99 51.44 53.96 54.02 53.96 

0.61 0.74 0.66 1.08 0.07 - 

Profession Tax 10.13 10.66 12.45 14.50 15.89 15.09 

c) Assigned Revenue 

Duty on Transfer of Property 29.20 101.51 43.44 46.64 43.90 31.52 

Entertainment Tax 5.37 15.64 11.54 8.93 2.45 0.95 

d) Devolution Fund 69.56 162.75 196.64 144.67 66.77 164.39 

e) Service Charges & Fees 

Trade Licence Fees 5.87 5.66 5.91 7.67 7.26 6.41 

Licence Fees Under PFA Act 0.08 0.08 0.09 0.09 0.11 0.54 

Building Licence Fees 2.11 2.22 2.13 2.80 4.15 4.08 

Fees for bays in Bus 2.23 7.09 7.40 7.44 7.39 7.44 

Fees for pay & use toilets 1.18 1.42 1.24 1.10 1.24 1.92 

Survey Fees 0.02 0.05 0.07 0.05 0.07 0.02 

Copy Application Fees 0.34 0.54 0.50 0.30 0.30 0.28 

Other Fees 0.38 0.91 0.65 0.24 0.38 1.02 

f) Grants & Contribution 

Grants for Schemes 

Implementation 

g) Sale & Hire Charges 

- - - 0.01 - - 

Sale of Scrap 0.04 0.02 0.29 1.34 0.04 - 

Hire Charges - - 0.01 0.09 - - 

h) Other Income 

Market Fees - Weekly ( 

Annual Lease ) 

Slaughter House Fees ( 

Annual ) 

0.28 0.14 - 0.15 - 0.11 

0.71 0.75 0.76 0.77 0.76 0.77 

Car & Taxi Stand Fees etc. 1.40 1.54 0.81 0.81 0.81 

Development Charges 0.98 0.66 0.80 - 2.39 18.57 

Rent on Shopping Complex 7.23 6.99 7.33 8.15 7.33 9.27 

Rent on Land & Building 0.03 0.03 0.02 1.71 0.02 0.06 

Rent on Bunk Stall 2.01 1.99 1.54 1.60 1.54 2.28 

Road Cut Restoration Charges 2.65 4.25 2.89 3.52 0.09 0.30 

Other Income 5.27 1.14 1.22 0.81 1.63 0.94 

Miscellaneous Recoveries 0.15 1.03 1.08 0.27 0.19 0.54 

Project Overhead Appr - 

Expenses 

0.19 9.02 9.36 6.30 - -



Interest from Banks, 

Investments,etc 

2001- 

02 

- 187 - 

2002- 

03 


2003- 

04 

2004- 

05 

2005- 

06 


2006- 

0.42 1.31 1.22 0.38 0.44 1.66 

Income from Road margins 2.75 2.76 2.77 2.77 2.76 2.55 

Deposit forfited & Lapsed 

Deposit 

5.17 - 9.92 - - - 

Others 0.02 1.47 0.10 0.06 - 0.02 

Total Income 204.12 391.36 374.28 318.21 222.00 324.69 


Annexure IX - b : Revenue and Capital Fund - Expenditure 

2001- 

02 

2002- 

03 


2003- 

04 

2004- 

05 

2005- 

06 

07 

2006- 

07 


a) Personnel Cost - Salaries 

Basic Pay 82.65 79.80 77.71 77.47 74.46 

126.5 

9 

Special Pay 0.06 0.67 0.75 0.51 0.38 0.46 

D.A. 35.37 37.32 39.96 44.65 46.06 31.80 

Interim Relief 0.03 0.04 0.04 0.04 0.03 0.04 

HRA 3.25 3.14 3.07 3.06 2.84 6.00 

Conveyance Allowance 0.30 0.25 0.25 0.22 0.20 0.27 

Medical Allowance 0.92 0.90 0.88 0.86 0.77 1.00 

Other Allowance 0.68 0.67 0.65 0.64 0.56 0.81 

b) Personnel Cost - Others 

Travel Allowance 0.21 0.48 0.45 0.19 0.79 0.60 

Conveyance Charges 0.14 0.10 0.16 0.12 0.07 0.13 

Staff Welfare Expenses 0.10 1.16 1.12 0.54 0.02 0.14 

Supply of Uniform 1.08 0.14 0.12 1.06 1.29 0.23 

c) 

Terminal & Retirement 

Benefits 

Pension 19.22 23.19 20.80 11.99 22.11 30.91 

Commutation of Pension 1.75 3.30 - 0.52 - 0.17 

DCR Gratuity 2.87 3.70 0.24 2.11 1.74 0.80 

SPF & Gratituity 0.60 0.50 0.15 0.05 0.20 0.45 

GIS Management 

contribution 

1.16 1.11 1.09 1.23 - - 

d) Operating Expenses 

Power Charges for Street 

lights 

9.44 19.28 19.38 17.99 9.86 27.79 

Maintenance - Street Lights 3.20 4.56 8.56 9.97 6.36 7.64 

Sanitary expenses & 

materials 

3.04 1.98 13.99 5.05 39.19 12.66 

Privatisation of sanitation / 

bulls expenses 

- - 17.28 25.92 - 16.74 

Others 1.80 1.95 1.77 1.13 0.82 1.36 

e) Repairs & Maintenance




2001- 2002- 2003- 2004- 2005- 2006- 

02 03 04 05 06 07 

Light Vehicle Maintenance 1.10 2.31 2.63 3.78 4.23 4.10 

Heavy Vehilce Maintenance 1.21 2.81 2.25 2.93 2.79 6.40 

Water supply & Sewarage 

Maintenance 

- 2.23 2.55 - 2.10 0.02 

Repairs & Maintenance - 

Buildings 

0.38 0.88 0.20 0.43 1.44 - 

Repairs&Maintenance - 

Roads,Bridges,etc 

- 0.20 0.05 0.85 0.15 - 


Drainage & Culv. 

- 1.04 0.05 0.65 - - 


Others 

- 0.64 0.28 0.73 1.26 0.14 

f) Programme Expenses 

Election Expenses 3.20 0.20 0.12 - - 2.36 

Others 0.38 - 5.08 2.10 15.95 2.81 

g) Administration Expenses 

Telephone Charges 0.85 1.22 1.61 1.52 1.27 1.59 

Legal Expenses 0.19 0.14 0.44 0.50 2.57 0.71 

Stationery & Printing 1.80 1.58 3.75 4.99 6.46 6.00 

Computer Operating 

Expenses 

0.10 0.09 0.97 0.99 3.14 2.04 

Postage & Telegram 0.18 0.30 0.20 0.18 0.16 0.21 

Advertisement 0.16 1.59 2.13 1.00 1.41 1.63 

Electricity - Office Building 0.33 0.01 0.14 1.18 0.32 1.33 

Contributions 4.43 23.32 35.59 11.36 0.18 - 

Sitting Fees for Councillors 1.20 1.33 1.32 1.33 0.95 1.07 

Others 0.47 - 0.06 - 0.43 3.32 

h) Finance Expenses 

Interest on Loans / Ways 

Means Adv / OD 

29.43 12.89 9.91 9.40 - 1.96 

Provision for Doubtful 

collection 

2.85 9.54 6.16 6.30 - - 

Audit Fees 0.59 0.56 0.58 0.51 - - 

Bank Charges 0.08 0.10 0.12 0.06 0.01 0.07 

Lapse Deposit Refund 0.36 0.80 0.30 0.31 0.13 0.36 

I) Depreciation 65.18 66.02 71.84 61.58 - - 

Total Expenses 282.34 314.04 356.75 318.00 252.70 

302.7 

1 

Surplus / (Deficit) for the year (78.22) 77.32 17.53 0.21 (30.70) 21.98 


Annexure IX - c : Water Supply and Drainage Fund 

2001- 

02 

2002- 

03 

- 188 - 


2003-04 2004-05 2005-06 


2006- 

07 

I Income 


Water Supply & Drainage 

Tax 

38.79 39.80 41.80 43.84 43.89 43.84 

Excess Remittance 0.76 1.00 0.46 0.72 0.06 -




2001- 

02 

2002- 

03 

2003-04 2004-05 2005-06 

2006- 

07 

b) Devolution Fund - - 35.03 25.56 - - 

c) Service Charges & Fees 

Initial amount for 

WSNSC 

0.95 0.86 0.05 0.01 0.01 1.26 

Income for giving new 

water connections 

0.42 0.32 - 0.07 0.08 0.37 

Metered / Tap Rate 

charges 

18.53 18.67 18.57 17.36 16.43 23.00 

Other Fees 0.04 0.07 0.08 0.04 0.01 0.52 

d) 

Specific Grants & 

Contribution 

- 6.50 6.00 - - - 

e) Other Income 

Other Income 0.71 0.03 0.01 0.04 - - 

Road Cut Restoration 

Charges 

0.12 0.07 - - - - 


Expenses 

1.36 0.67 3.31 0.19 - - 

Interest from Banks & 

Investment 

0.77 0.16 0.77 0.68 - 0.01 

Total Income 62.45 68.15 106.08 88.51 60.48 69.00 


a) Personnel Salaries Cost 

Salary,DA,HRA,CA,etc. 8.20 6.69 7.10 7.66 8.52 11.23 

b) Personnel Cost - Others 

Travel & Conveyance 

Expenses 

0.02 0.02 - - - 0.03 

c) 


Benefits 

Pension 0.44 2.35 0.43 0.26 - - 

DCR Gratuity 1.37 - - - - - 

d) Operating Expenses 

Wages 6.59 6.17 7.15 7.53 7.90 2.45 

Power Charges - Head 

Water Works 

16.97 23.58 12.16 10.60 8.97 18.62 

Hire Charges for Supply 

of water 

5.37 21.34 123.88 118.70 138.41 22.41 

e) Repairs & Maintenance 

Light Vehicle 

Maintenance 

1.86 1.37 1.95 3.23 6.75 - 

Heavy Vehicle 

Maintenance 

0.01 1.41 2.61 2.37 0.17 8.67 

Maintenance exps for 

water supply works 

1.78 2.07 0.88 0.65 1.21 6.45 

Water Cess - - 0.41 - 0.41 0.02 

f) Administration Expenses 

Telephone Charges 0.49 0.40 0.49 0.33 0.43 0.53 

Municipality Contribution 

to Work 

8.82 0.83 21.00 - - - 

Other Expenses 0.04 0.04 - 0.10 - 0.02 

g) Finance Expenses 

- 189 - 




2001- 

02 

2002- 

03 

- 190 - 


2003-04 2004-05 2005-06 


2006- 

07 

Irrecoverable revenue 

items w/off 

- 0.71 - - - - 

Provision for doubtful 

collection 

14.43 17.90 18.56 2.99 - - 

Interest on Loan - 17.79 28.86 26.94 - - 

Bank charges 0.01 0.06 0.03 0.11 0.05 - 

h) Depreciation 6.84 7.97 10.75 11.97 - - 

Total Expenses 73.24 110.70 236.26 193.44 172.82 70.43 

Surplus / (Deficit) for the 

year 

(10.79) (42.55) (130.18) (104.93) (112.34) (1.43) 

Annexure IX - d : Education Fund 


2001-02 

Audited 

2002-03 2003-04 2004-05 

Un-audited 

2005-06 2006-07 

I Income 


Education Tax 14.92 15.31 16.08 16.86 16.88 16.86 

Excess Collection 0.14 0.22 0.17 0.28 0.02 - 

b) Service Charges & Fee - - - - 0.04 - 

c) Other Income 

Other Income 0.04 - 0.01 - - - 

Interest from Bank & 

Investment 

0.08 0.20 0.26 0.02 0.01 0.15 


Expenses 

1.30 1.01 0.55 0.55 - - 

Total Income 16.48 16.74 17.07 17.71 16.95 17.01 


a) 


Benefits 

Pension 0.82 0.72 0.63 0.23 - - 

b) Operating Expenses 

Rent of School Building 0.12 0.24 0.40 0.42 0.42 0.42 

c) Repairs & Maintenance 

Maintenance of School 

Building 

0.15 0.41 - 0.08 - 0.53 

d) Administration Expenses 

Contribution to Other 

schemes 

4.02 9.22 5.06 - - - 

Electricity Charges 0.07 0.10 0.14 0.21 0.13 0.33 

Others - - 0.09 - - - 

e) Finance Expenses 


collection 

0.22 1.45 1.02 1.15 - - 

f) Depreciation 2.36 2.93 2.71 3.14 - - 

Total Expenses 7.76 15.07 10.05 5.23 0.55 1.28 

Surplus / (Deficit) for the 

year 

8.72 1.67 7.02 12.48 16.40 15.73



I Income 

Annexure IX - e : Summary of Income and Expenditure Accounts 


2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 

Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total Rev & Water Elem'tary Total 

Capital Supply Education Capital Supply Education Capital Supply Education Capital Supply Education Capital Supply Education Capital Supply Education 

a) Property Tax 48.35 39.55 15.06 102.96 49.73 40.80 15.53 106.06 52.10 42.26 16.25 110.61 55.04 44.56 17.14 116.74 54.09 43.95 16.90 114.94 53.96 43.84 16.86 114.66 

b) Other Taxes 10.13 - - 10.13 10.66 - - 10.66 12.45 - - 12.45 14.50 - - 14.50 15.89 - - 15.89 15.09 - - 15.09 

c) 

d) 

e) 

f) 

g) 

Assigned 

Revenue 

Devolution 

Fund 

Service 

Charges & 

Fees 

Grants & 

Contribution 

Sale & Hire 

Charges 

34.57 - - 34.57 117.15 - - 117.15 54.98 - - 54.98 55.57 - - 55.57 46.35 - - 46.35 32.47 - - 32.47 

69.56 0.00 - 69.56 162.75 0.00 - 162.75 196.64 35.03 - 231.67 144.67 25.56 - 170.23 66.77 0.00 - 66.77 164.39 0.00 - 164.39 

12.21 19.94 0.00 32.15 17.97 19.92 0.00 37.89 17.99 18.70 0.00 36.69 19.69 17.48 0.00 37.17 20.90 16.53 0.04 37.47 21.71 25.15 0.00 46.86 

0.00 0.00 - 0.00 0.00 6.50 - 6.50 0.00 6.00 - 6.00 0.01 0.00 - 0.01 0.00 0.00 - 0.00 0.00 0.00 - 0.00 

0.04 - - 0.04 0.02 - - 0.02 0.30 - - 0.30 1.43 - - 1.43 0.04 - - 0.04 0.00 - - 0.00 

h) Other Income 29.26 2.96 1.42 33.64 33.08 0.93 1.21 35.22 39.82 4.09 0.82 44.73 27.30 0.91 0.57 28.78 17.96 0.00 0.01 17.97 37.07 0.01 0.15 37.23 

Total Income 204.12 62.45 16.48 283.05 391.36 68.15 16.74 476.25 374.28 106.08 17.07 497.43 318.21 88.51 17.71 424.43 222.00 60.48 16.95 299.43 324.69 69.00 17.01 410.70 


a) 

b) 

c) 

d) 

e) 

f) 

g) 

h) 

Personnel 

Cost - 

Salaries 

Personnel 

Cost - Others 

Terminal & 

Retirement 

Benefits 

Operative 

Expenses 

Repairs & 

Maintenance 

Programme 

Expenses 

Admnistrative 

Expenses 

Finance 

Expenses 

123.26 8.20 - 131.46 122.79 6.69 - 129.48 123.31 7.10 - 130.41 127.45 7.66 - 135.11 125.30 8.52 - 133.82 166.97 11.23 - 178.20 

1.53 0.02 - 1.55 1.88 0.02 - 1.90 1.85 0.00 - 1.85 1.91 0.00 - 1.91 2.17 0.00 - 2.17 1.10 0.03 - 1.13 

25.60 1.81 0.82 28.23 31.80 2.35 0.72 34.87 22.28 0.43 0.63 23.34 15.90 0.26 0.23 16.39 24.05 0.00 0.00 24.05 32.33 0.00 0.00 32.33 

17.48 28.93 0.12 46.53 27.77 51.09 0.24 79.10 60.98 143.19 0.40 204.57 60.06 136.83 0.42 197.31 56.23 155.28 0.42 211.93 66.19 43.48 0.42 110.09 

2.69 3.65 0.15 6.49 10.11 4.85 0.41 15.37 8.01 5.85 0.00 13.86 9.37 6.25 0.08 15.70 11.97 8.54 0.00 20.51 10.66 15.14 0.53 26.33 

3.58 - - 3.58 0.20 - - 0.20 5.20 - - 5.20 2.10 - - 2.10 15.95 - - 15.95 5.17 - - 5.17 

9.71 9.35 4.09 23.15 29.58 1.27 9.32 40.17 46.21 21.49 5.29 72.99 23.05 0.43 0.21 23.69 16.89 0.43 0.13 17.45 17.90 0.55 0.33 18.78 

33.31 14.44 0.22 47.97 23.89 36.46 1.45 61.80 17.07 47.45 1.02 65.54 16.58 30.04 1.15 47.77 0.14 0.05 0.00 0.19 2.39 0.00 0.00 2.39 

I) Depreciation 65.18 6.84 2.36 74.38 66.02 7.97 2.93 76.92 71.84 10.75 2.71 85.30 61.58 11.97 0.00 73.55 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 

Total 

Expenditure 

Surplus / 

(Deficit) 

282.34 73.24 7.76 363.34 314.04 110.70 15.07 439.81 356.75 236.26 10.05 603.06 318.00 193.44 2.09 513.53 252.70 172.82 0.55 426.07 302.71 70.43 1.28 374.42 

(78.22) (10.79) 8.72 -80.29 77.32 (42.55) 1.67 36.44 17.53 (130.18) 7.02 

. - 191 - 

- 

105.63 

0.21 (104.93) 15.62 (89.10) (30.70) (112.34) 16.40 (126.64) 21.98 (1.43) 15.73 36.28 




I 

Income (% of Total 

Income) 

Annexure IX - f : Summary of Income and Expenditure Accounts in Percentage 


2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 



a) Property Tax 24% 63% 91% 36% 13% 60% 93% 22% 14% 40% 95% 22% 17% 50% 97% 28% 24% 73% 100% 38% 17% 64% 99% 28% 

b) Other Taxes 5% - - 4% 3% - - 2% 3% - - 3% 5% - - 3% 7% - - 5% 5% - - 4% 

c) Assigned Revenue 17% - - 12% 30% - - 25% 15% - - 11% 17% - - 13% 21% - - 15% 10% - - 8% 

d) Devolution Fund 34% 0% - 25% 42% 0% - 34% 53% 33% - 47% 45% 29% - 40% 30% 0% - 22% 51% 0% - 40% 

e) 

f) 

Service Charges & 

Fees 

Grants & 

Contribution 

6% 32% 0% 11% 5% 29% 0% 8% 5% 18% 0% 7% 6% 20% 0% 9% 9% 27% 0% 13% 7% 36% 0% 11% 

0% 0% - 0% 0% 10% - 1% 0% 6% - 1% 0% 0% - 0% 0% 0% - 0% 0% 0% - 0% 

g) Sale & Hire Charges 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0% 0% - - 0% 

h) Other Income 14% 5% 9% 12% 8% 1% 7% 7% 11% 4% 5% 9% 9% 1% 3% 7% 8% 0% 0% 6% 11% 0% 1% 9% 

II 

a) 

b) 

c) 

Total Income 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 

Expenditure (% of 

Total Expt) 

Personnel Cost - 

Salaries 

Personnel Cost - 

Others 

Terminal & 

Retirement Benefits 

44% 11% - 36% 39% 6% - 29% 35% 3% - 22% 40% 4% - 26% 50% 5% - 31% 55% 16% - 48% 

1% 0% - 0% 1% 0% - 0% 1% 0% - 0% 1% 0% - 0% 1% 0% - 1% 0% 0% - 0% 

9% 2% 11% 8% 10% 2% 5% 8% 6% 0% 6% 4% 5% 0% 11% 3% 10% 0% 0% 6% 11% 0% 0% 9% 

d) Operative Expenses 6% 40% 2% 13% 9% 46% 2% 18% 17% 61% 4% 34% 19% 71% 20% 38% 22% 90% 76% 50% 22% 62% 76% 29% 

e) 

Repairs & 

Maintenance 

1% 5% 2% 2% 3% 4% 3% 3% 2% 2% 0% 2% 3% 3% 4% 3% 5% 5% 0% 5% 4% 21% 96% 7% 

f) Programme Expenses 1% - - 1% 0% - - 0% 1% - - 1% 1% - - 0% 6% - - 4% 2% - - 1% 

g) 

Admnistrative 

Expenses 

3% 13% 53% 6% 9% 1% 62% 9% 13% 9% 53% 12% 7% 0% 10% 5% 7% 0% 24% 4% 6% 1% 60% 5% 

h) Finance Expenses 12% 20% 3% 13% 8% 33% 10% 14% 5% 20% 10% 11% 5% 16% 55% 9% 0% 0% 0% 0% 1% 0% 0% 1% 

I) Depreciation 23% 9% 30% 20% 21% 7% 19% 17% 20% 5% 27% 14% 19% 6% 0% 14% 0% 0% 0% 0% 0% 0% 0% 0% 

Total Expenditure 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 

Surplus / (Deficit) (% 

of Total Income) 

-38% -17% 53% -28% 20% -62% 10% 8% 5% -123% 41% -21% 0% -119% 88% -21% -14% -186% 97% -42% 7% -2% 92% 9% 

. - 192 - 



S.No 

Annexure IX - g : Growth in Revenue and Cost for Last 5 Years 

Particulars 

2002-03 

2003-04 

. - 193 - 

2004-05 

2005-06 

2006-07 

Simple 

Average 


Comp. 

Average 

I Income 

a) Property Tax 3.01% 4.29% 5.54% -1.54% -0.24% 2.21% 2.27% 

b) Other Taxes 5.23% 16.79% 16.47% 9.59% -5.03% 8.61% 9.79% 

c) 

Assigned 

Revenue 

- Duty on 

Transfer of 

Property 

- 

247.64% -57.21% 7.37% -5.87% -28.20% 32.74% 1.59% 

Entertainment 

Tax 

191.25% -26.21% -22.62% -72.56% -61.22% 1.73% -16.46% 

d) 

Devolution 

Fund 

Service 

133.97% 42.35% -26.52% -60.78% 146.20% 47.04% 27.27% 

e) Charges & 

Fees 

- Water 

Charges 

- Water 

0.76% -0.54% -6.52% -5.36% 39.99% 5.67% 4.82% 

Connection 

Charges 

-13.87% -95.76% 60.00% 12.50% 1711.11% 334.80% 3.80% 

- Others 47.17% 0.11% 9.45% 6.15% 3.88% 13.35% 14.23% 

f) 

Grants & 

Contribution 

- -7.69% -99.83% 

- 

100.00% 

- -41.51% - 

g) 

Sale & Hire 

Charges 

-50.00% 1400.00% 376.67% -97.20% -100.00% 305.89% -20.00% 

h) Other Income 4.70% 27.00% -35.66% -37.56% 107.18% 13.13% 2.13% 


a) 


- Salaries 

b) 

c) 

d) 

e) 

f) 

g) 

h) 


- Others 

Terminal & 

Retirement 

Benefits 

Operative 

Expenses 

Repairs & 

Maintenance 

Program 

Expenses 

Administrative 

Expenses 

Finance 

Expenses 

-1.51% 0.72% 3.60% -0.95% 33.16% 7.01% 7.11% 

22.58% -2.63% 3.24% 13.61% -47.93% -2.22% -5.42% 

23.52% -33.07% -29.78% 46.74% 34.43% 8.37% 2.90% 

70.00% 158.62% -3.55% 7.41% -48.05% 36.89% 27.32% 

136.83% -9.82% 13.28% 30.64% 28.38% 39.86% 61.14% 

-94.41% 2500.00% - 659.52% -67.59% 599.50% 8.88% 

73.52% 81.70% -67.54% -26.34% 7.62% 13.79% -3.78% 

28.83% 6.05% -27.11% -99.60% 1157.89% 213.21% -19.00% 

I) Depreciation 3.41% 10.89% -13.77% 

- 

100.00% 

- -19.89% -20.00%



I Liabilities 


Loans from 

Government 

Annexure IX - h : Revenue and Capital Fund Balance Sheet 

2001- 

02 

2002- 

03 

. - 194 - 


2003- 

04 

2004- 

05 

2005- 

06 

2006- 

07 

148.43 21.55 19.86 19.08 9.25 6.49 

Loan from TUFIDCO - - - - 20.00 40.14 

Loan from TNUDF 71.04 59.18 59.18 59.18 41.87 36.90 

Loan from Bank 11.01 4.99 - - - 17.49 

Contribution from 

Municipal Fund 


Government 


Private Parties 

Grant from 

Government 

Accumulated 

Depreciation 


Provision for Doubtful 

collection 

Tender Deposits ( 

Contractors & 

Suppliers) 

39.22 62.34 95.66 106.86 94.67 94.62 

56.80 123.21 185.49 240.38 185.49 185.49 

0.10 0.10 0.10 0.12 0.12 

47.48 28.01 53.17 75.08 200.17 290.75 

148.13 214.14 285.98 347.56 347.24 352.02 

16.33 19.88 25.65 20.57 20.57 20.57 

6.64 8.22 7.63 8.70 9.48 11.40 

Security Deposits 7.70 8.54 7.20 21.29 30.83 46.97 

Deposits Others 22.54 23.76 3.05 2.54 3.55 5.53 

Library Cess Payable 32.54 27.21 6.51 5.95 10.51 15.83 

Interest Payable 53.96 15.66 19.24 26.59 12.22 - 

Outstandings 23.13 21.35 27.91 30.82 26.19 41.71 

Recoveries from staff 

bills payable 

17.77 15.98 30.30 51.89 38.90 19.77 

Inter Funds Transfer 11.77 11.88 11.69 11.69 11.69 -1.08 

Others - 0.02 0.02 0.87 4.06 - 

c) Accumulated Surplus 229.54 474.62 491.78 493.32 664.00 696.44 

Total 944.03 1140.64 1330.42 1522.47 1730.81 1881.16 




Annexure IX - i : Revenue and Capital Fund Balance Sheet 

2001- 

02 

2002- 

03 

. - 195 - 


2003- 

04 

2004- 

05 

2005- 

06 

2006- 

07 

II Assets 

a) Fixed Assets 

Land 317.44 317.44 317.44 317.04 335.66 337.64 

Buildings 37.92 52.32 94.13 119.90 119.90 120.41 

Subways & Cause 

ways 

3.91 3.91 8.09 10.24 10.24 10.24 

Bridges & Flyovers 12.76 26.25 26.25 26.25 26.25 26.25 

Roads & Payments 223.45 279.43 311.49 323.76 323.77 346.11 

Plant & Machinery & 

Tools 

Strom Water Drains, 

- 0.03 0.03 - 1.50 1.50 

Open Drains & 

Culverts 

87.05 96.28 115.04 130.12 130.12 130.12 

Heavy & Light 

Vehicles 

5.27 6.69 11.29 11.29 13.77 15.37 

Furniture & Fixtures 2.18 2.80 6.36 6.36 9.75 9.77 

Electrical Instalation 6.09 8.99 8.99 9.71 9.71 9.71 

Ground water & Bore 

well etc.. 

- - - 8.34 - - 

Projects in Progress - 11.84 18.32 34.45 139.88 349.54 


Stock 0.72 - 1.00 1.47 10.04 10.04 

Property Tax 

Recoverable - Current 

25.78 23.54 25.14 26.98 27.14 22.12 

Property Tax 

Recoverable - Arrears 

47.32 47.49 54.73 59.07 14.38 16.52 

Profession Tax 


2.83 2.76 3.27 3.69 5.79 2.11 



16.10 16.99 18.62 14.61 16.47 12.80 

Licence fees 


0.07 - 0.02 0.03 0.03 - 

Licence fees 


0.36 0.34 0.30 0.34 0.33 0.36 

Lease Amounts 


3.85 2.47 2.98 3.48 6.57 7.01 

Lease Amounts 


11.36 9.38 9.82 10.54 11.00 12.68 

Specific Grant 

Receivable 

3.16 3.16 3.16 3.16 3.16 3.16 

Deposits Recoverable - 0.02 0.02 0.06 0.06 1.11 

Staff Advance 

Recoverable 

2.11 2.78 2.64 2.28 3.21 2.51 

Advance to Suppliers 

& Contractors 

0.49 0.57 0.57 1.08 8.30 0.63 

Employee Advance 

Recoverable 

0.07 31.13 31.54 31.85 31.38 32.17 

Other Advances - 

Recoverable 

11.99 12.36 12.85 14.14 22.90 29.22 



c) 

Inter Funds Transfer 63.99 84.05 208.02 312.99 324.51 341.08 

Other Recoveries - - 5.71 5.71 5.71 - 

Outstandings 3.58 5.33 7.37 5.61 - (6.27) 

Others 

Cash & Bank 

Balances 

0.30 0.21 0.10 - 5.52 0.30 

Cash on Hand 19.28 1.75 2.21 0.03 1.11 1.12 

Banks Accounts - 90.33 3.92 11.39 52.65 35.83 

Fixed Deposits 34.60 - 19.00 16.50 60.00 - 


Total 944.03 1140.64 1330.42 1522.47 1730.81 1881.16 

Annexure IX - j : Revenue and Capital Fund Balance Sheet 

2001- 

02 

2002- 

03 

. - 196 - 

Audited Unaudited 

2003- 

04 

2004- 

05 

2005-06 2006-07 

II Assets 


Land 3812.27 3812.27 3812.27 3812.27 3812.27 3812.27 

Buildings 109.22 164.87 209.73 243.14 274.31 299.71 

Bridges & 

Flyovers 

7.23 7.23 7.23 7.51 7.51 7.51 

Roads & 

Payments 

Plant & 

236.58 278.59 308.31 338.88 359.91 384.27 

Machinery & 

Tools 

Strom Water 

0.07 2.58 3.68 3.68 9.87 9.77 

Drains, Open 

Drains & Culverts 

31.56 49.33 83.22 106.03 123.58 145.78 

Heavy & Light 

Vehicles 

15.91 15.91 19.10 23.92 38.28 38.28 

Furniture & 

Fixtures 

1.27 4.61 5.19 5.43 8.36 9.89 

Projects in 

Progress 

45.94 43.08 268.64 282.27 302.06 305.92 

Electrical 

Instalation 

Water Supply 

56.30 56.30 56.41 60.56 59.89 61.76 

Head works, OHT 

etc. 

4.49 4.87 4.87 4.87 30.60 - 

Ground water & 

Bore well etc.. 

7.91 13.98 13.98 13.98 21.67 3.11 

Hand Pump 11.37 12.97 12.97 12.97 13.37 - 

Public Fountains - - - - - 1.72 


Stock 

Property Tax 

0.21 0.92 1.28 - 7.73 3.41 

Recoverable - 

Current 

Property Tax 

17.85 16.18 19.19 18.71 19.98 100.17 

Recoverable - 

Arrears 

53.30 47.54 56.21 45.46 48.35 27.75 



c) 


Recoverable - 

Current 


2.70 2.46 2.47 2.15 5.85 27.17 

Recoverable - 

Arrears 

Licence fees 

19.54 20.45 15.75 16.63 17.14 11.03 

Recoverable - 

Arrears 

Lease Amounts 

0.79 0.72 0.63 0.63 0.63 0.63 

Recoverable - 

Current 

Lease Amounts 

9.00 25.64 18.15 33.31 29.78 167.38 

Recoverable - 

Arrears 

19.00 23.33 21.41 31.73 55.10 52.02 

Specific Grant 

Receivable 

7.93 7.93 7.93 7.93 7.93 7.93 

Deposits 

Recoverable 

0.03 0.39 0.61 0.73 1.05 1.05 

Staff Advance 

Recoverable 

Advance to 

0.95 0.25 1.39 2.17 1.63 (1.24) 

Suppliers & 

Contractors 

Employee 

0.49 0.49 0.49 0.49 0.49 0.49 

Advance 

Recoverable 

99.79 98.46 96.51 96.01 96.76 95.83 

Other Advances - 

Recoverable 

7.28 11.90 4.70 6.11 11.69 11.80 

Inter Funds 

Transfers 

Income from 

32.70 35.70 75.87 100.87 110.16 126.56 

Cable Operator - 

Current 

Income from 

2.99 2.99 - - - - 

Cable Operator - 

Arrear 

1.45 2.85 5.84 5.84 5.84 5.84 

Outstandings - 0.49 2.00 2.00 2.00 (1.99) 

Others 

Cash & Bank 

Balances 

- 3.06 1.38 1.40 5.54 (21.64) 

Cash on Hand 0.03 6.45 3.82 16.82 8.97 8.98 

Banks Accounts 23.43 64.71 108.28 97.28 (107.25) 345.31 

Fixed Deposits 10.00 17.00 10.00 19.55 18.35 19.55 

Total 4649.58 4856.50 5259.51 5421.33 5409.40 6068.02 

. - 197 - 



Annexure IX - k : Water Supply and Drainage Fund Balance Sheet 


I Liabilities 


2001- 

02 

2002- 

03 

. - 198 - 


2003- 

04 

2004- 

05 

2005-06 2006-07 

Loan from Government - 122.95 113.30 108.84 108.73 108.84 

Loan from TUFIDCO - 114.93 114.93 114.93 114.93 114.93 

Loan from TNUDP - 6.34 6.34 6.34 6.34 6.34 


Government 

25.04 43.10 51.77 53.53 51.77 51.77 



14.77 15.60 36.59 36.59 36.59 36.59 

Grants From Govt 0.30 1.72 - 10.13 16.90 16.90 

Accumulated 

Depreciation 

15.73 23.70 34.44 46.42 46.42 46.42 


Reserve for Doubtful Coll 

of Rev items 

55.76 64.46 79.78 78.38 78.370 78.38 

Tender Deposits 0.02 0.04 0.86 3.08 20.06 20.07 

c) 

Interest Payables - 36.49 39.98 45.82 45.82 40.91 

Outstandings 0.61 0.02 0.54 2.48 3.95 2.30 

Recovery from staff bills 

payable 

0.06 0.21 0.21 0.21 0.20 0.37 

Inter Funds Transfer 5.46 25.51 157.79 262.45 411.75 416.41 

Others - - - 0.41 0.41 2.69 

Accumulated 

Surplus/Deficit 

370.76 174.69 47.97 (55.15) (284.61) (267.15) 

Total 488.51 629.76 684.50 714.46 657.63 675.77 

II Assets 


Land 198.98 198.98 198.98 198.98 201.09 198.98 

Buildings 5.78 5.78 5.78 5.78 5.78 5.78 

Heavy & Light Vehicles 6.44 6.44 6.44 7.76 7.76 7.79 

Plant & Machinery 2.51 13.65 14.10 14.10 14.10 14.10 

Water Supply Head 

works,OHT etc 

101.42 102.32 105.09 105.09 105.09 105.09 

Ground Water & Bore 

well 

40.84 47.59 57.73 59.70 59.70 101.91 

Public Fountains 0.52 0.52 0.52 0.52 0.52 0.52 

Reservoir - - 2.66 2.66 2.66 2.66 

Hand Pump 0.20 2.19 19.55 19.55 19.55 19.55 

Project in Progress - 2.12 - 10.57 38.03 18.99 


Stock on Hand 0.17 0.17 0.11 2.11 1.00 1.00 

WSD Tax Receivable - 

Current 

20.94 19.13 20.43 21.92 26.48 27.32 

WSD Tax Receivable - 38.45 38.58 44.47 47.99 56.23 58.96 




2001- 

02 

2002- 

03 

. - 199 - 


2003- 

04 

2004- 

05 

2005-06 2006-07 

Arrears 

Water Charges 

Recoverable -Current 

13.86 14.84 17.13 15.84 15.91 15.16 

Water Charges 

Recoverable -Arrears 

40.82 45.61 57.57 69.26 81.80 88.30 

Recoverable - Staff 

Advances 

0.03 0.22 0.21 0.22 0.23 0.07 

Advance to Supplier 0.59 - 1.02 1.02 1.02 0.02 

Recoverable - Advances 

Others 

0.90 0.60 0.65 0.68 0.68 1.68 

Deposit Recoverable - 0.04 0.32 0.25 0.18 0.38 

Advance to TWAD Board - 114.93 114.93 114.93 - - 

Transfer of Funds - 2.93 3.86 4.78 4.78 - 

Others - 0.11 0.11 0.11 0.11 0.11 

c) Cash & Bank Balances 

Cash on Hand 0.90 0.94 0.77 1.10 0.55 0.73 

WSD Fund - Bank 

Accounts 

6.78 3.69 3.02 -0.04 4.80 (2.91) 

Fixed Deposit 8.38 8.38 9.05 9.58 9.58 9.58 


Total 488.51 629.76 684.50 714.46 657.63 675.77 

Annexure IX - l : Education Fund Balance sheet 

2001- 

02 

2002- 

03 

Audited Unaudited 

2003- 

04 

2004- 

05 

2005- 

06 

2006- 

07 

I Liabilities 


Contribution by 


5.96 15.18 20.23 20.23 20.23 20.23 


Government 

15.38 15.38 15.38 15.38 15.38 15.38 

Accumulated 

Depreciation 

3.67 6.60 9.31 12.45 12.45 12.45 



debts 

0.42 1.54 2.42 2.28 1.89 1.89 

Tender Deposit 0.01 0.01 0.01 0.06 0.10 0.11 

Security Deposit - 0.03 - - 0.42 0.28 

Outstandings - 0.02 0.05 0.07 0.48 0.14 

Inter Funds Transfer - - 0.20 0.20 0.20 (0.32) 

c) 

Accumulated 

Surplus/(Deficit) 

115.67 117.29 124.41 136.85 151.81 166.73 

Total 141.11 156.05 172.01 187.52 202.96 216.89 

II Assets 




Land 53.34 53.34 53.34 53.34 53.34 53.34 

Buildings 48.27 58.50 64.11 69.71 69.71 69.71 

Furniture 0.07 0.07 0.07 0.07 0.07 0.07 

Project in Progress - - 6.21 9.35 21.88 24.58 


Education Tax Rec - 

Current 

8.06 7.36 7.86 8.43 10.13 9.88 

Education Tax Rec - 

Arrears 

14.78 14.83 17.09 18.46 21.63 21.87 

Inter Fund Transfer 11.68 12.65 21.26 26.66 23.81 23.81 

Deposit Recoveries 0.30 0.01 0.01 0.01 0.01 0.01 

c) Cash & Bank Balances 

Cash on Hand 0.26 0.32 0.28 0.36 0.36 0.03 

Bank A/cs 4.35 8.97 1.78 1.13 2.02 13.59 

Total 141.11 156.05 172.01 187.52 202.96 216.89 

. - 200 - 




I Liabilities 

a) 

b) 

c) 

Grants / 

Contribution 

Accumulated 

Depreciation 

Current 

Liabilities 

Annexure IX - m : Summary of Balance sheet 


2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 



373.98 40.11 21.34 435.43 299.38 304.64 30.56 634.58 413.46 322.93 35.61 772.00 500.68 330.36 35.61 866.65 551.57 335.26 35.61 922.44 672.00 335.37 35.61 1042.98 

148.13 15.73 3.67 167.53 214.14 23.70 6.60 244.44 285.98 34.44 9.31 329.73 347.56 46.42 12.45 406.43 347.24 46.42 12.45 406.11 352.02 46.42 12.45 410.89 

192.38 61.91 0.43 254.72 152.50 126.73 1.60 280.83 139.20 279.16 2.68 421.04 180.91 392.83 2.61 576.35 168.00 560.56 3.09 731.65 160.70 561.13 2.10 723.93 

d) Net Surplus 229.54 370.76 115.67 715.97 474.62 174.69 117.29 766.60 491.78 47.97 124.41 664.16 493.32 (55.15) 136.85 575.02 664.00 (284.61) 151.81 531.20 696.44 (267.15) 166.73 596.02 

Total 

Liabilities 

II Assets 

944.03 488.51 141.11 1573.65 1140.64 629.76 156.05 1926.45 1330.42 684.50 172.01 2186.93 1522.47 714.46 187.52 2424.45 1730.81 657.63 202.96 2591.40 1881.16 675.77 216.89 2773.82 

a) Fixed Assets 696.07 356.69 101.68 1154.44 805.98 379.59 111.91 1297.48 917.43 410.85 123.73 1452.01 997.46 424.71 132.47 1554.64 1120.55 454.28 145.00 1719.83 1356.66 475.37 147.70 1979.73 

b) 

c) 

Current 

Assets 

Cash & 

Bank 

Balances 

194.08 115.76 34.82 344.66 242.58 237.16 34.85 514.59 387.86 260.81 46.22 694.89 497.09 279.11 53.56 829.76 496.50 188.42 55.58 740.50 487.55 193.00 55.57 736.12 

53.88 16.06 4.61 74.55 92.08 13.01 9.29 114.38 25.13 12.84 2.06 40.03 27.92 10.64 1.49 40.05 113.76 14.93 2.38 131.07 36.95 7.40 13.62 57.97 

Total Assets 944.03 488.51 141.11 1573.65 1140.64 629.76 156.05 1926.46 1330.42 684.50 172.01 2186.93 1522.47 714.46 187.52 2424.45 1730.81 657.63 202.96 2591.40 1881.16 675.77 216.89 2773.82 

. - 201 - 



Annexure IX - n : Demand Collection Balance Statement ñ 2006-07 


Demand Collection Collection % 

Arrears Current Total Arrears Current Total Arrears Current Total 

A 2006-07 

I 

Tax 

Income 

a) 

Property 

Tax 

190.19 124.40 314.59 57.35 69.83 127.18 30% 56% 40% 

b) 

Profession 

Tax 

0.00 0.00 0.00 0.00 0.00 0.00 - - - 

Total Tax 

Income 

190.19 124.40 314.59 57.35 69.83 127.18 30% 56% 40% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

0.00 0.00 0.00 0.00 0.00 0.00 - - - 

b) Other Fees 15.22 47.04 62.26 6.03 44.04 50.07 40% 94% 80% 

III 

S.No. 

Total Non 

Tax 

Income 

Total Tax 

& Non Tax 

Income 

15.22 47.04 62.26 6.03 44.04 50.07 40% 94% 80% 

205.41 171.44 376.85 63.38 113.87 177.25 31% 66% 47% 

Annexure IX - o : Demand Collection Balance Statement -2005-06 

Particulars 



B 2005-06 

I 

Tax 

Income 

a) 

Property 

Tax 

198.46 124.59 323.05 45.76 63.85 109.61 23% 51% 34% 

b) 

Profession 

Tax 

18.32 15.89 34.21 1.81 10.52 12.33 10% 66% 36% 

Total Tax 

Income 

216.78 140.48 357.26 47.57 74.37 121.94 22% 53% 34% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

85.10 16.43 101.53 3.33 1.42 4.75 4% 9% 5% 

b) Other Fees 12.80 28.56 41.36 2.89 25.56 28.45 23% 89% 69% 

III 

Total Non 

Tax 

Income 

Total Tax 

& Non Tax 

Income 

97.90 44.99 142.89 6.22 26.98 33.20 6% 60% 23% 

314.68 185.47 500.15 53.79 101.35 155.14 17% 55% 31% 

. - 202 - 




Annexure IX - p : Demand Collection Balance Statement -2004-05 



C 2004-05 

I 

Tax 

Income 

a) 

Property 

Tax 

186.55 124.43 310.98 40.74 62.21 102.95 22% 50% 33% 

b) 

Profession 

Tax 

22.10 14.50 36.60 1.53 10.81 12.34 7% 75% 34% 

Total Tax 

Income 

208.65 138.93 347.58 42.27 73.02 115.29 20% 53% 33% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

74.71 17.36 92.07 5.44 1.53 6.97 7% 9% 8% 

b) Other Fees 12.93 22.83 35.76 2.31 19.34 21.65 18% 85% 61% 

III 

Total Non 

Tax 

Income 

Total Tax 

& Non Tax 

Income 


87.64 40.19 127.83 7.75 20.87 28.62 9% 52% 22% 

296.29 179.12 475.41 50.02 93.89 143.91 17% 52% 30% 

Annexure IX - q : Demand Collection Balance Statement -2003-04 



D 2003-04 

I 

Tax 

Income 

a) 

Property 

Tax 

164.56 118.64 283.20 38.32 60.67 98.99 23% 51% 35% 

b) 

Profession 

Tax 

19.84 12.45 32.29 1.23 9.18 10.41 6% 74% 32% 

Total Tax 

Income 

184.40 131.09 315.49 39.55 69.85 109.40 21% 53% 35% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

60.46 18.57 79.03 2.88 1.44 4.32 5% 8% 5% 

b) Other Fees 12.27 28.03 40.30 2.07 25.00 27.07 17% 89% 67% 

III 

Total Non 

Tax 

Income 

Total Tax 

& Non Tax 

Income 

72.73 46.60 119.33 4.95 26.44 31.39 7% 57% 26% 

257.13 177.69 434.82 44.50 96.29 140.79 17% 54% 32% 

. - 203 - 



S.N 

o. 

Annexure IX - r : Demand Collection Balance Statement -2002-03 

Particulars 

E 2002-03 

I Tax Income 

a) 

Property 

Tax 

b) 

Profession 

Tax 

Total Tax 

Income 

Arrear 

s 


Current Total Arrear 

s 

. - 204 - 

Current Total Arrear 

s 


Current Tota 

l 

168.61 112.98 281.59 57.08 58.69 115.77 34% 52% 41% 

19.04 10.64 29.68 2.05 7.89 9.94 11% 74% 33% 

187.65 123.62 311.27 59.13 66.58 125.71 32% 54% 40% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

54.68 18.66 73.34 9.06 3.82 12.88 17% 20% 18% 

b) Other Fees 15.29 24.85 40.14 5.00 22.38 27.38 33% 90% 68% 

III 

Total Non 

Tax Income 

Total Tax & 

Non Tax 

Income 


69.97 43.51 113.48 14.06 26.20 40.26 20% 60% 35% 

257.62 167.13 424.75 73.19 92.78 165.97 28% 56% 39% 

Annexure IX - s : Demand Collection Balance Statement -2001-02 



F 2001-02 

I 

Tax 

Income 

a) 

Property 

Tax 

157.15 110.09 267.24 47.99 50.64 98.63 31% 46% 37% 

b) 

Profession 

Tax 

17.15 10.09 27.24 1.05 7.26 8.31 6% 72% 31% 

Total Tax 

Income 

174.30 120.18 294.48 49.04 57.90 106.94 28% 48% 36% 

II 

Non Tax 

Income 

a) 

Water 

Charges 

49.29 18.53 67.82 8.47 4.67 13.14 17% 25% 19% 

b) Other Fees 13.87 18.01 31.88 2.45 14.14 16.59 18% 79% 52% 

III 

Total Non 

Tax 

Income 

Total Tax 

& Non Tax 

Income 

63.16 36.54 99.70 10.92 18.81 29.73 17% 51% 30% 

237.46 156.72 394.18 59.96 76.71 136.67 25% 49% 35%


Annexure IX - t : Key Financial Indicators 

S.No Indicators Value Unit 

A Resource Mobilization 

1 Per Capita Income 340 Rs. p.a 

2 Sources of Funds 

a) 

Share of Own Sources in Total 

Revenue Income (RI) 

50 % 

b) 

Share of Property Tax in Total 

Revenue Income 

24.84 % 

c) 

Share of Revenue Grants & 

Subsidies in Total RI 

50 % 

3 

Growth in Revenue 

Income 

7.82 % p.a. 

4 

Growth in Own Sources 

of Revenue Income 

2.00 % 

5 Per Capita Own Income 179 Rs. p.a 

B Fund Application 

1 Per Capita Expenditure 340 Rs. p.a 

2 Uses of Funds 

3 

4 

5 

a) 

b) 

c) 

Growth in Establishment 

Expenditure 

Growth in O&M 

Expenditure 

Growth in Total Revenue 

Expenditure 

C Liability Management 

1 Per Capita Liability 

2 

As a Proportion of 

Property Tax Current 

Demand 

3 As a Proportion of 

Share of Establishment 

Expenditure in Total RE 

Share of O&M Expenditure in 

Total Revenue Expenditure 

Share of Establishment 

Expenditure to Total RI 

. - 205 - 

56.53 % 

36.44 % 

53.76 % 

6.25 % 

31.46 % 

0.61 % p.a. 

a) Outstanding debt per Capita 331 Rs. 

b) 

Outstanding Non-Debt Liability 

per Capita 

- Rs. 

c) 

a) 

b) 

c) 

Total Outstanding Liability Per 

Capita 

Outstanding Debt as % of P.T 

Demand 

Outstanding Non-Debt Liability as 

% of P.T Demand 

Total Outstanding Liability as % of 

P.T Demand 

331 Rs. 

338 % 


- 

338 %


4 

5 

S.No Indicators Value Unit 

Property Tax Own 

Revenue Income 

a) 

b) 

c) 

Non-Debt Liability as % 

of Total Liability 

Debt Servicing Ratio (D/S 

Revenue Income) 

Outstanding Debt as % of Own 

Revenue Sources 

O/s Non-Debt Liability as % of 

Own Revenue Sources 

Total Outstanding Liability as % 

Own Revenue Sources 

. - 206 - 

168 % 


- 

168 % 

- 

8.7 % 

D Performance Indicators 

1 Operating Ratio 95.00 % 

2 

3 

4 

5 

6 

7 

Growth in Per Capita 

Own Income 


Grant 


Total Revenue Income 


Establishment 

Expenditure 


O&M Expenditure 


Revenue Expenditure 

-0.07 % 

14.25 % 

5.20 % 

3.78 % 

26.61 % 

-1.33 % 

E Efficiency Indicators 

1 

Tax Collection 

Performance (Current) 

a) Property Tax 50 % 

2 

3 

4 

5 

6 

b) Profession Tax 75 % 

c) Water Charges 10 % 

d) Non Tax Revenue 90 % 

No of P.T Assessment per 

Tax Collection Staff 

1700 Nos. 

Property Tax Demand 

per Assessment 

784 Rs. p.a. 

No. of Municipal Staff per 

1000 Population 

621 Nos. 

Annual Revenue (Own 

Source) per Municipal 

Staff 

1.11 Rs.lakh 

Population per 

p.a. 

Residential P.T 

Assessment 

7.50 persons


Annexure IX - u : Loan statement as on 31.3.2007 

. - 207 - 

(Rs. in lacs) 

S.No Particulars Loan Purpose Demand in Repayment Bal as on Int for Int paid Balance 

1 TUFIDCO Revolving Loan Revolving Loan 

Amount 2006-07 in 2006-07 31.3.2007 2006-07 2006-07 Int dues 

a) Shopping Complex 2.85 0.48 0.48 2.37 

b) Shopping Complex 5.00 1.92 1.92 3.08 

c) Shopping Complex 5.00 1.92 1.92 3.08 

d) Shopping Complex 5.00 1.92 1.92 3.08 

e) Shopping Complex 4.50 1.73 1.73 2.77 

f) Shopping Complex 4.50 1.73 1.73 2.77 

g) Commercial Complex 3.50 1.36 1.36 2.14 

h) Storm Water Drain & Culvert 1.78 0.55 0.55 1.23 

2 IDSMT 17.15 Bus Stand 2.85 2.85 14.30 1.41 1.41 0 

3 Urban Water Supply & Sewerage 114.93 Water Supply 8.84 - 114.93 10.92 - 10.92 

4 Special Road Works 50.00 Road Works - - 50.00 0.89 0.89 0 

Total 214.21 0.00 23.30 14.46 199.75 13.22 2.30 10.92 



Annexure XII : Institutes in Tamil Nadu Providing Training Programs 

The list of local training institutes (Other than the in ñhouse institutes) is as follows; 

S.N Name of 

Institute 

1 Dr. Ambedkar 

Institute of 

Productivity 

(Training 

Institute of 

National 

Productivity 

Council) 

2 Environmental 

Training 

Institute 

3 Institution of 

Road 

Transport 

4 Institution of 

Labor Studies 

5 Institute of 

Water Studies 

6 Institute of 

Public Health 

Contact Details Courses offered 

6, SIDCO Industrial Estate, 

Ambattur, Chennai ñ 600 098 

Ph: 044-2625 3144 

Fax:044-2625 3122 

Email: npc-chennai@eth.net 

76, Anna Salai, Guindy 

Chennai ñ 600 032 

Ph : 044-2235 3134/3159 

Email: 

tnpceti@gias.md01.vsnl.net.in 

100 feet road, Taramani 


Ph:044-22541730/1761 

Fax:044-2254 1761 

Email : irt.taramani@vsnl.net 

Web: www.tn.nic.in/transport 

3, Kamarajar Salai, 


Ph: 044 -2844 0102/5778 

Fax: 044-28440966 

Taramani, Chennai ñ 600 113 

Ph: 044-22541580 

Fax:044-2254 2360 

Poonamallee, 


Ph: 044 2627 2062 

Fax: 044-24335075 

. - 208 - 

Human Resource related (e.g 

Problem Solving Techniques, 

Leadership & Team Building, Human 

Resource Management, etc) 

Engineering Courses (e.g. Total 

Productive maintenance, Municipal 

Solid Waste Management etc) 

Environmental related courses (e.g. 

Environmental impact assessment, 

Air Pollution Management, etc) 

Other courses e.g. Managing 

Information Resources, ISO courses, 

etc. 

Hazardous waste characterization 

and disposal 

Natural Disaster Management 

Environmental Management, 

Hazard Prevention methods 

Avoidance of Pollution and 

maintenance of good 

environment 

Traffic Congestion Control 

Traffic Control and Best Practices 

Labor Laws 

Various national and state acts 

Personnel and Industrial Acts 

Personnel and Industrial 

Management 

Water Supply maintenance and 

management 

Computerized design of water 

supply 

Water and Waste Water treatment 

Public Health Reforms 

Preventive measures to maintain 

Public Health 

Reproductive and Child Health 

Induction Training to medical 

Practitioners 

Municipal Health Administration 

Public Health Act 

Malaria Control, Mosquito control 

Prevention of Epidemics and 

Endemics 



Annexure XIII - a: Details of Depreciation Statement for Assets as on 31.03.2007 ñ Revenue 

. - 209 - 

(Rs. in Lacs) 

S.No. Item Gross Block Depreciation Net Block 

1 Land 337.64 - 337.64 

2 Buildings 120.41 14.84 105.57 

3 Subway & Causeways 10.24 3.51 6.73 

4 Bridges & Flyovers 26.25 6.11 20.14 

5 Drains & Culverts 130.12 64.31 65.81 

6 Heavy Vehicles 3.09 2.18 0.91 

7 Light Vehicles 6.68 2.76 3.92 

8 Other Vehicles 5.60 1.15 4.45 

9 Furniture, Fixtures & Office Equipments 9.77 3.37 6.40 

10 Electrical Installation Lamps 9.68 7.39 2.29 

11 Electrical Installation Others 0.03 - 0.03 

12 Plant & machinery 1.50 0.02 1.48 

13 CC Roads & Payments 182.39 129.83 52.56 

14 BT Roads 131.16 102.29 28.87 

15 Other Roads 32.56 9.46 23.10 

16 Project in Progress 148.18 - 148.18 

17 Project in Progress - Grants 201.36 - 201.36 

Total 1356.66 347.22 1009.44 

Annexure XIII - b : Details of Depreciation Statement for Assets as on 31.03.2007 ñ Water 

supply 

(Rs. in Lacs) 

S.No. Item Gross Block Depreciation Net Block 

1 Land 198.98 - 198.98 

2 Buildings 5.78 1.30 4.48 

3 Heavy Vehicles 7.76 4.88 2.88 

4 Plant & Machinery 14.10 4.19 9.91 

5 Public Fountains 0.52 0.06 0.46 

6 Water Supply Head works, OHT etc. 105.09 18.61 86.48 

7 Deep Bore Wells / Ground Water Well 101.91 10.28 91.63 

8 Hand Pumps - India Mark II 19.55 6.93 12.62 

9 Reservoir 2.66 0.16 2.50 


11 Projects in Progress - Govt. Grants 9.02 - 9.02 

Total 475.34 46.41 428.93 



Annexure XIII - c : Details of Depreciation Statement for Assets as on 31.03.2007 ñ Education 

. - 210 - 

(Rs. in Lacs) 

S.No Item Gross Block Depreciation Net Block 

1 Land 53.34 - 53.34 

2 Buildings 69.71 12.39 57.32 

3 Furnitures, Fixtures & Office Equipments 0.07 0.05 0.02 


Total 147.70 12.44 135.26

City Corporate & Business Plan - Municipal

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