CM Vijay writes to PM Modi seeking changes to VB-GRAMG scheme

CM Vijay writes to PM Modi seeking changes to VB-GRAMG scheme; Tamil Nadu to face additional burden of ₹5,000 crore

Tamil Nadu Chief Minister Vijay has written to Prime Minister Narendra Modi seeking modifications to the new VB-GRAMG (Viksit Bharat-Guarantee for Employment and Livelihood Mission-Rural) scheme. He states that the current funding arrangement would impose an additional financial burden of over ₹5,000 crore on the state. He has offered several suggestions, including changes to the funding pattern, fund allocation to panchayats, handling of peak agricultural seasons, integration of state housing schemes, administrative autonomy, and retaining Mahatma Gandhi's name in the scheme.

Key demands made by CM Vijay in the letter to PM Modi (Highlights):

  • Changes to funding pattern: The Centre should bear the entire burden of wages and administrative expenses, while material costs should be shared between the Centre and the State in a 75:25 ratio.
  • Greater flexibility for states: States should be allowed to determine the method of allocating funds to Gram Panchayats based on local needs.
  • Peak agricultural season: Instead of a mandatory 60-day period, District Collectors should be empowered to decide the duration based on local conditions.
  • Integration of state housing schemes: Tamil Nadu’s state-funded housing schemes should also be linked with the rural employment program.
  • Administrative autonomy: States should have the authority to approve eligible schemes for convergence projects without requiring prior approval from the Centre.
  • Retaining Mahatma Gandhi’s name: Mahatma Gandhi’s name should be retained in the scheme to honor his legacy.

Tamil Nadu Chief Minister Vijay has written to Prime Minister Narendra Modi seeking several significant changes to the recently launched ‘Viksit Bharat-Guarantee for Employment and Livelihood Mission (Rural)’ (VB-GRAMG) scheme. He stated that the scheme’s current provisions could hinder its effective implementation and impose an additional financial burden of over ₹5,000 crore on the state government.

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In his letter, the Chief Minister stated that modifications to the funding mechanism and operational framework are essential to ensure the success of this rural employment program, which is set to launch on July 1. According to him, the 60:40 cost-sharing model for wages, materials, and administrative expenses would place an excessive financial burden on Tamil Nadu.

He urged the Central Government to fully bear the costs for wages and administration, while sharing material costs between the Centre and the State in a 75:25 ratio. Vijay argued that continuing with the current arrangement would consume a significant portion of the state’s resources, potentially reducing the number of employment days available to rural workers.

The Chief Minister also raised objections to the Centre’s proposed system for classifying Gram Panchayats and allocating funds. He contended that applying a uniform formula across the country fails to account for the diverse socio-economic conditions of different states; therefore, states should have the flexibility to determine their own allocation mechanisms based on local needs.

The letter also opposed the stipulation of a mandatory 60-day “peak agricultural season.” Vijay noted that unpredictable weather conditions, such as El Niño, can alter agricultural timelines. Consequently, District Collectors should be empowered to determine the peak agricultural period based on local conditions.

Furthermore, he requested that Tamil Nadu’s state-funded housing schemes be integrated with this rural employment program to accelerate rural housing projects and maximize benefits for the public.

The Chief Minister also sought greater administrative autonomy for convergence projects, stating that states should not be required to seek prior approval from the Centre every time they wish to implement eligible schemes.

Finally, Vijay appealed to the Central Government to retain Mahatma Gandhi’s name in the rural employment program. He argued that this would honor the legacy of the great freedom movement leader and ensure continued widespread public support for the scheme.

The Chief Minister asserted that implementing his suggested changes would make the VB-GRAMG scheme more effective and provide better support for rural livelihoods in Tamil Nadu.

Now wait and watch for reply Prime Minister of India

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