Mumbai: With the state facing a huge financial crunch, the govt has formed a high-level committee to regularise encroachment on govt lands and monetise them by leasing them out in tier 2 and 3 cities to generate income for local bodies.
The committee will be headed by principal secretary (urban development) Aseem Gupta. Top officials from other departments such as revenue and housing are part of the eight-member committee. Once encroachments are regularised, they will pay property tax, generating income, and the monetisation of land parcels by leasing them will generate general income for local bodies facing a massive fund crunch, officials said.
The committee formation was approved in a meeting held by chief minister Devendra Fadnavis during his 100-day programme review. “This plan includes a mechanism for regulating encroachment on govt land in medium and small cities, or promoting planned city development by leasing out land parcels and making policies accordingly to increase the income of urban local self-government bodies through development funds and property tax,” the govt resolution issued by the urban development department said.
“There has been encroachment on some govt-owned land of Municipal Corporations, Municipal Councils… Rural Development Department, Urban Development Department, and other departments in the state. Property tax is not paid by the encroachers. If the property is rented out, the income of the Municipal Corporation, Municipal Council, Nagar Panchayat can increase. Regularisation of encroachment on govt land in all Municipal Corporations, Municipal Councils, Nagar Panchayats in the state, giving them on lease, promoting planned city development by leasing land. The committee will study and submit a report for drafting a comprehensive policy in 15 days,” the GR said.