Jammu Kashmir Govt Allows DPR Contingency Funds for Forest, Structure Compensation | Kashmir Life

SRINAGAR: The Finance Department of the Jammu and Kashmir Government has permitted the use of contingency funds in Detailed Project Reports (DPRs) for meeting expenses related to forest compensation, structure compensation and utility shifting in government projects.

In a circular issued by Financial Commissioner (Additional Chief Secretary) Finance, the department said the decision has been taken in continuation of the Standard Operating Procedures issued in January 2021 governing expenditure from contingency provisions in administratively approved DPRs.

As per the guidelines, departments can utilise contingency funds up to a maximum of three per cent of the total project cost for such expenditures.

The circular noted that the Public Works (R and B) Department had requested the inclusion of forest compensation, structure compensation and utility shifting under permissible contingency expenses. The department informed that around 234 out of 304 projects could be made functional if these payments were allowed from the contingency component of DPRs.

Following examination of the proposal, the Finance Department approved the inclusion of these expenses under the contingency head.

Administrative Secretaries of all Works and Engineering departments have been directed to instruct subordinate offices to utilise contingency provisions within the prescribed limit for meeting these costs.

The Finance Department also reiterated that any expenditure from contingency funds must strictly follow prescribed procedures and codal formalities and should be directly linked to the execution and progress of the projects.