OBJECTION AGAINST MVC-IV PROPOSAL

16-07-2019

The Assessment & Collection Department,

South Delhi Municipal Corporation,

20^th Floor, SP Mukherjee Civic Centre,

JLN Marg, New Delhi-110002.

OBJECTION AGAINST MVC-IV PROPOSAL TO RECATEGORISE COLONIES OR CHANGE IN UNIT AREA VALUE

      

PREAMBLE: A Flawed MATRIX, will only result in a Flawed Evaluation for Category and a Wrong Assessment of Tax to be Levied.

Ever since the inception of MCD, over time, services rendered by MCD have been handed over to various separate Boards like DTC, DVB etc or Privatised like BSES or in PPP mode like Garbage Collection, Park Maintenance etc or upkeep of Roads over 60 Feet wide handed to PWD.

MCD is a Failed Entity and a Pompous White Elephant that Delhi can ill afford. It is a mere shadow of what it once was, now offering miniscule services in comparison to its erstwhile responsibilities. All experiments to keep it relevant have failed and has become a 5 Star Dormitory to Accommodate Babus and Netas. Doubling of Councilors or Delimitation in 2007 & 2016 or Trifurcation of MCD in 2012 ...... were experiments carried out to achieve a POLITICAL STRANGLEHOLD RATHER THAN TO ACHIEVE EFFICIENCY.

TO THE BEST OF OUR KNOWLEDGE NO SOCIAL / FINANCIAL AUDIT HAS EVER BEEN CARRIED OUT TO FIND OUT THE OUTCOME OF ALL PREVIOUS EXPERIMENTS MENTIONED ABOVE ...... WE NEED ANSWERS.

Further, more than 60% Councilors are from Unauthorised Colonies, these colonies get Municipal Services on account of Special Provisions & Notifications, MCD has no Jurisdiction and has no data base of Properties under the Tax Net. This is discriminatory towards Law Abiding Tax Payers in Planned Developed Colonies who are already disillusioned with Vote Bank Politics

BEFORE THE PROPOSED RECATEGORISATION OF COLONIES OR CHANGE IN UNIT AREA VALUE IS CONSIDERED FOLLOWING QUESTIONS MUST BE ANSWERED

1.      After 5^th DFC why has SDMC’s share been curtailed and the Lion’s share has been allocated to NMC and EDMC. Fifth Delhi Finance Commission (DFC) provides for 12.5 per cent of Delhi Governments total tax collection to Municipal Corporations in the city. According to the devolution formula, 12.5 per cent of tax collection that will be transferred to the local bodies will be divided into two parts 6% & 6.5%. The East and North Delhi corporations will receive 65 per cent and 35 per cent, respectively of the first part of the 6%. The remaining 6.5 per cent will be devolved to the local bodies through budgetary provisions of different departments. With the implementation of DFC, the devolution of funds to the SDMC has been drastically curtailed, the move is supposedly an "austerity measure".

2.      MCD has not recruited any new Horticulture, Sanitation, Teaching, Maintenance Staff etc. and hires on Contract basis at Low Emoluments and thousands must have retired over the Past Decade, so how does the need for Higher Taxes arise.

3.      Why has the Tax base not been increased and Amnesty/Exemptions given to defaulters instead of milking the honest Tax Payer.

4.      Is the MVC aware that just a few weeks back Part of New Friends Colony has been downgraded from A to B Category ? The reason is Unscientific Circle Rates, that make it impossible to sell properties. Many colonies that are proposed to be upgraded have a lower Market Value than NFC. Likewise some colonies that the Draft proposes to lower are much higher in valve than those being upgraded.

LAUGHABLE FACTORS CONSIDERED FOR CHANGE:

1. New Metro Corridors – While appreciating the introduction of Metro, most A, B, C Category Colonies are suffering due to poorly designed Stations, with Autos & Rickshaws creating Traffic Congestion. Wherever the Metro is elevated it has spoiled the Aesthetics of the Colony. Moreover very few residents of Posh Colonies actually use the Metro as it is overcrowded and lack of safe, secure & sure last mile connectivity makes it even more inconvenient.
2. Conversion of Residential Areas to Mixed Land Use/ Commercial – Whoever thought of this deserves to be conferred the KAPIL SHARMA AWARD FOR IRONIC COMEDY. Seems MCD has not been following the unrelenting protests by RWA’s and admonishments from no less than the SC Appointed Monitoring Committee that the sole reason for Chaos of Delhi Roads is due to Mixed Land / Commercial Streets declared without any Survey or Feasibility Study. IT IS SUGGESTED THAT SUCH PROPERTIES BE CHARGED DOUBLE THE USE FACTOR OF THE CLOSEST COMMERCIAL CENTRE/MARKET.
3. Higher FAR Benefits – These benefits would have mattered if the corresponding Infrastructure like Parking, Sewage, Water, Parks & Playgrounds, Sanitation, Roads etc had been enhanced, having collected Conversion Charges with the solemn promise of spending the money collected be used FOR DEVELOPMENT OF THE AREA THE MONEY WAS COLLECTED FROM.
4. Economic Status of Residents – Each colony has a mix of Plot Sizes and with a vastly varying economic status. These colonies being old there are many senior citizens who do not have Pensionable jobs. BE IT KNOWN NOT EVERY CITIZEN IS THE GOVERNMENTS SON-IN-LAW and there is no social security available.
5. Proximity to Commercial Centers – Agreed, but were these built after the first MVC ??? In fact these Commercial Centers are decaying as not many people want to set up office or Shop at such huge cost or rental as Mixed land Use Streets have been allowed all over  offering much cheaper options at 60% less rent, resulting in the city being in a perpetual state of Chaos.
6. Infrastructure/Colony Age – There has been no enhancement in Infrastructure, if anything, quality of life has depleted. Air, Sunlight, Road Space, Park which was earlier for 500 Families now caters to 2000 plus families. On top of that allowing all types of Processional activities in basements and rented properties has further depleted scarce resources.
7. Capital Valve of Land – Is this a CRUEL JOKE, IN FACT DOWNRIGHT DISHONEST ??? Capital appreciation of property arises when one sells a property and THIS NOTIONAL APPRECIATION IS OF NO USE TO THE RESIDENT. State Govt. extracts its pound of flesh by way of 7% Registration Fees. Central Govt. charges a hefty 23.65% including cess by way of Capital Gains Tax. They now have the cheek to tell us hence forth Categorization of colonies will be based on Capital Appreciation irrespective of whether you sell or live in it.

SELECTIVE AND UNSCIENTIFIC CHANGE IN USE FACTOR:

1. Banks and ATMs > 4 – Banks and ATMs operating out of designated Commercial Centers should attract the same USE FACTER as other activities in the designated Commercial Area. HOWEVER USE FACTOR SHOULD BE DOUBLE (8) in Mixed Land Use/ Commercial Streets of what is Prevalent in the nearest Commercial Center.
2. Telecom Tower > 4 – In Residential Premises USE FACTOR 400 (Four Hundred) IN RESIDENTIAL AREA ZERO TOLERANCE, THERE SHOULD BE NO TOWERS. HOWEVER USE FACTOR SHOULD BE DOUBLE (8) in Mixed Land Use/ Commercial Streets of what is Prevalent in the nearest Commercial Center.
3. Hoardings  > 5 – Hoardings atop designated Commercial Centers fine. HOWEVER USE FACTOR SHOULD BE DOUBLE (10) in Mixed Land Use/ Commercial Streets of what is Prevalent in the nearest Commercial Center.
4. Banquet Halls > 4 – In Residential Premises USE FACTOR 400 (Four Hundred) IN RESIDENTIAL AREA ZERO TOLERANCE, THERE SHOULD BE NO Banquet Halls. HOWEVER USE FACTOR SHOULD BE DOUBLE (8) in Mixed Land Use/ Commercial Streets of what is Prevalent in the nearest Commercial Center.
5. Guest Houses/Nursing Homes > 2 – Defies Logic……. UNLESS ONE TAKES IN ACCOUNT THAT MORE OFTEN THAN NOT, THEY ARE TAKEN ON PER HOUR BASIS by ….. I need not specify….. ask anyone on the street. GUEST HOUSES/Nursing Homes SHOUD BE 4 in designated Commercial Areas. HOWEVER USE FACTOR SHOULD BE DOUBLE (8) in Mixed Land Use/ Commercial Streets of what is Prevalent in the nearest Commercial Center. None in Residential Areas
6. Residential > 1 – USE FACTOR 1 Acceptable. HOWEVER USE FACTOR SHOULD BE Four Times (4) in case of Rented premises to Professional and Double (2) in case of self use of Professional.
7. Vacant Land > 0.5 – USE FACTOR 0.5 Acceptable for up to 2 years of Purchase Date. HOWEVER USE FACTOR SHOULD DOUBLED (1) and Double every 2 years a Plot remains Vacant. This is to discourage Property Speculators and Hoarders to push up Property Prices at the detriment of Genuine Users. SET BACKS SHOULD OFCOURSE BE EXEMTED IN UPTO THE MAXIMUM ALLOWED FAR. If constructed beyond allowed FAR then Use Factor 2.

Further, the applicants seek opportunity of being heard in person at the time of public hearing.

S/d

On behalf of ‘SAVE OUR CITY’ Campaign