Vellakovil City Development Plan - Municipal
Vellakovil City Development Plan - Municipal
Vellakovil City Development Plan - Municipal
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<strong>City</strong> <strong>Development</strong> <strong>Plan</strong> for Vellakoil <strong>Municipal</strong>ity SMEC India Pvt Ltd<br />
Final Report TNUDP III<br />
d) Interest<br />
Interest on loan have been provided based on the sanction rate for each loan. Repayment of loans<br />
are based on the repayment schedule of each loan.<br />
Sewerage & Water Supply Loan<br />
It is assumed that all new loan shall carry interest rate of 9.5% per annum.<br />
The loan from TNUIFSL shall be repaid over a period of 20 years with 5 years moratorium.<br />
Other Projects Loan<br />
It is assumed that all new loan shall carry interest rate of 9.5% per annum.<br />
The loan from TNUIFSL shall be repaid over a period of 10 years with 2 years moratorium.<br />
e) Depreciation<br />
Depreciation is provided based on the rates adopted by the <strong>Municipal</strong>ity for previous years.<br />
f) Provision of doubtful debts<br />
Doubtful debts have been provided as under :<br />
Table 8.14 Assumptions – Provision of doubtful debts<br />
Provision for Doubtful Debts is assumed @ 2% on total revenue for Revenue Fund<br />
8.5.3 Collections<br />
a) Property tax<br />
Table 8.15 Assumptions – Property tax collection<br />
The current property tax collection is 97% The same shall improve to 97%<br />
The arrears property tax collection is 21% The same shall improve to 50%<br />
b) Profession tax<br />
Table 8.16 Assumptions – Profession tax<br />
The current profession tax collection is 89% The same shall improve to 100%<br />
The arrears profession tax collection is 100% The same shall improve to 100%<br />
c) Other Non Tax Income<br />
Table 8.17 Assumptions – Other Non Tax Income<br />
The current rental / lease collection is 99% The same shall be 100%<br />
The arrears collection % of rent / lease 30% The same shall improve to 60%<br />
d) Water Charges<br />
Table 8.18 Assumptions – Water Charges<br />
The current water charges collection is 99% The same shall improve to 85%<br />
The arrears water charges collection is 56% The same shall improve to 60%<br />
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