Uttarakhand government has released Rs 328.27 crore for salaries, pensions and other necessary payments of urban body employees. Out of this amount released on the instructions of Chief Minister Pushkar Singh Dhami, the employees and pensioners will be paid first.
Dehradun: The Dhami government of Uttarakhand has taken a relief decision for the employees and pensioners of urban bodies. On the instructions of Chief Minister Pushkar Singh Dhami, the Finance Department has sanctioned Rs 328.27 crore for the third quarter of the financial year 2026-27. With this money, salaries, allowances, pensions and other dues of employees in municipal corporations, municipalities and nagar panchayats will be paid. The government has made it clear that liabilities related to employees should be settled first.
Municipal corporations will get Rs 148 crore, municipalities will get Rs 141 crore
According to the order issued by the Finance Department, this amount has been approved for the quarter from October to December 2026. Most of the money has gone to the municipal corporations. They will be given Rs 148.26 crore. Rs 141.95 crore has been earmarked for Municipal Councils and Rs 38.07 crore for Nagar Panchayats.
This fund is being made available on the basis of the recommendations of the Fifth State Finance Commission. The recommendations of the Sixth State Finance Commission are yet to come.
According to the government order, out of the total sanctioned amount, about Rs 3.24 crore will be set aside for Uttarakhand Municipality Centralized Pension Fund. After this, urban bodies will get approximately Rs 325.03 crore.
This budget will help the civic bodies to meet their regular expenses. Relief is expected especially to those bodies where there is shortage of funds for salaries of employees and other necessary payments.
Payment of salaries and pensions of employees is the first priority.
Along with releasing the amount, the government has also decided which expenses the civic bodies will pay first. Salary, allowances and pension of employees have been given priority in the government order. Apart from this, pending claims of retired employees will also have to be settled.
After these payments, the civic body will be able to clear street lighting, outstanding bills of water institutions and other important liabilities.
If money is left after meeting these expenses, it can be used for development work and improving the sanitation system.
This decision of the government will support the system of regular payment of employees. However, its benefits will be available on time only when the sanctioned amount is delivered to the concerned bodies soon.
Account of expenses will have to be given by 31st December
The Finance Department has also fixed accountability regarding the use of funds. All urban bodies will have to provide utilization certificate of the amount spent by 31 December 2026.
Through this certificate, the bodies will have to tell on which items the money received has been spent. With this, the government will be able to get information about the use of the approved budget.
After the order was issued from the Finance Department, the responsibility of the Urban Development Directorate has now increased. The Directorate will have to ensure that the funds reach the concerned Municipal Corporations, Municipalities and Nagar Panchayats on time.
Delay in reaching the amount at the departmental level may affect the salary payment of employees. In such a situation, the real benefit of the government's decision will depend on the funds reaching the bodies and their timely utilization.
At present, with the approval of the Finance Department, the way has been cleared for the urban bodies to get the necessary financial assistance for the quarter from October to December.