A Heavy Toll

By Desaraju Surya
Have you heard of "pilgrim tax" or "garbage tax?"
Do you know what a "public street" is? If not, the Andhra Pradesh government will soon let everyone know what these 'strange' terms stand for.
For, it is currently in the process of formulating a Municipal Law that will define what a "public street" is and how tax or toll of every kind could be levied on people -- the urbanites in particular.
While most of the provisions in the proposed law are routine in nature, certain provisions have been incorporated that are sure to hit every urbanite in some form or the other.
Consider these provisions: "The municipality may levy a tax per head for providing municipal services to persons visiting the municipal area for the purpose of tourism or in connection with any congregation of whatever nature, including pilgrimage, fair, festival, circus or yatra. Tax will also be levied on vehicles used by the 'visitors.'"
So far, people pay surcharge on power consumption to AP Transco but hereafter they will be required to pay additional surcharge within the municipal area to the respective ULB. Similarly, the ULB can collect surcharge on any tax levied by the state government on any entertainment or amusement within the municipal area.
The ULBs, as per the proposed law, may levy a "fire tax" as percentage of property tax on any building (non-residential) besides a "parking deficit" tax, if any particular building did not have the requisite parking space.
The ULBs also may levy a charge for collection, storage, transportation, processing and disposal of solid wastes to cover the costs of management and handling of municipal solid wastes and development of infrastructure.
The proposed law also says the ULBs may "establish a toll-bar on any 'public street' in the municipal area and levy a toll on vehicles at a rate determined by the state government." The proposed law defines 'public street' as "any street, road, lane, gully, alley, passage, pathway, square or courtyard, whether a thoroughfare
or not, over which the public have a right of way."
Similarly, toll will be levied on vehicles at a toll-bar on any bridge within the civic limits.
All the aforementioned are glimpses of the heavy toll that the state government proposes to impose on the urban people in the name of reforms and improvement of civic services.
The proposed Andhra Pradesh Municipal Law is modelled on the Municipal Law prepared by the Ministry of Urban Development, Government of India, in concert with the United States Agency for International Development (US-AID) and the Financial Institutions Reform and Expansion (FIRE) project.
The new law, once enacted, will replace the existing Hyderabad Municipal Corporations Act, 1955 and the Andhra Pradesh Municipalities Act, 1965, making it a uniform law for all Urban Local Bodies (ULBs) in the state, highly-placed official sources in the Municipal Administration and Urban Development Department said. The MAUD Department has circulated "draft notes" of the proposed law two months ago to all mayors and municipal chairpersons for necessary views and feedback on different provisions.
"We are yet to receive any feedback from the civic heads. Once we get their views, necessary modifications, if any, will be incorporated in the proposed law and sent to the Cabinet for approval. Subsequently, the relevant Bill will be tabled in the Assembly," the MAUD sources added. No timeframe has yet been fixed for enactment of this new legislation.
The proposed legislation is part of Government of India's efforts to implement the Constitution 74th Amendment Act. "Many reforms are still required to address the powers, authorities and responsibilities of ULBs. Specifically, action is needed for a new framework that lets ULBs generate adequate local revenues, improve financial management and promote public-private partnerships to improve basic services," the Government of India notes.