Assistant Director (Panchayats / Audit)

15th CFC – Administrative Sanction Orders – Rural Development and Panchayat Raj


The main function of the Panchayat Administration to give good governance, effectively monitor implementation of Schemes at grass root level providing safe drinking water ensure cleanliness and to have good infrastructure in rural areas.

Organization Setup:

Organization Setup

State Finance Commission Grants

State Finance Commission Grants are funds provided to local bodies through direct tax revenue of the State Government. At present, funds are being distributed to all local bodies as per the recommendation of the Fifth State Finance Commission. Also, funds are shared among Village Panchayats, district Panchayats and District Panchayats in the ratio of 55:37:8. Also, two types of funds are currently being released to local bodies under the State Finance Commission grant.

They are

  • Population Grant.
  • Minimum Lump Sum Grant.
  1. Population Grant:
    Population Grant is given to all the three tier local bodies based on the recommendation of the Fifth Finance Commission as below.

    S.No Details % of Subsidy Allocation
    1 Total Population (According to 2011 Census Population) 60%
    2 Population of Adi Dravida / Tribals 15%
    3 Area 15%
    4 Expenditure for Individual Consumption 10%

    Development works required for the Village Panchayat from the above mentioned funds, Panchayat President / Panchayat Chairman, and other members of the Village/Block/District Panchayat can carry out the expenses themselves by passing the resolution of the respective Panchayat and the monthly salary of the Panchayat Secretary, cleaning staff and cleanliness guards working in the Village Panchayat is given from this fund and other administration expenses are carried out for all 3 tier Panchayats.

  2. Minimum Lump Sum Grant:
    Minimum Lump Sum Grant is released only to Block Panchayat and Village Panchayats. This fund is not given to District Panchayats. Also, this fund should be used only for the payment of electricity bills and drinking water bills (TWAD) expenditure incurred in village panchayats and no other expenditure should be made on this fund in Village Panchayat.

15th Central Finance Commission Grant

    1. 15th Central Finance Commission Grant in the following ratio fund has been released to
      all 3 tier (District, Block and Village Panchayat) Local Bodies.

      • District Panchayat – 5%
      • Block Panchayat – 15%
      • Village Panchayat – 80%
      S.No Details % of Subsidy Allocation
      1 Total Population (According to 2011 Census Population) 60%
      2 Population of Adi Dravida / Tribals 15%
      3 Area 15%
      4 Expenditure for Individual Consumption 10%
    2. 15th Central Finance Commission Fund released in namely Untied and Tied, Both of these fund were released in two instalment per year to all 3 tier local bodies (District Panchayat, Block Panchayat and Village Panchayat).

The Grant is to be used for the Basic Services of

  1. Sanitation and maintenance of open defecation free (ODF) status
  2. Supply of drinking water
  3. Rain water harvesting and recycling.

Works to be undertaken under Tied Component :

  1. Supply of Drinking water, rain water harvesting and water recycling
    The following works can be taken up under tied component

    1. Development of in-village piped water supply infrastructure to provide tap water connection to every household.
    2. Development of reliable drinking water sources and / or augmentation of existing sources.
    3. Development of Infrastructure for source, storage and distribution.
    4. Technological interventions for removal of contaminants where water quality is an issue.
    5. Grey water management – Treatment of Domestic Grey water.
    6. Rain water Harvesting works.
  2. Status & Maintenance of Open Defecation Free local Body
    The following works (either individual standalone works or in convergence) may be taken up under the 50% Tied Component 0f 15th Finance Commission grants to Rural local Bodies relating to Sanitation:

    1. Construction of Community Managed Sanitation Complexes.
    2. Construction of Community Soak Pit/ Grey Water Management systems, community Compost Pits as per funding norms of SBM (G) phase – II guidelines.
    3. Construction of Drainage Channels.
    4. Retrofitting of toilets at community level for group of toilets.

Type of works to be taken up-Untied Grant

  1. Provision of Street lights:
    1. New Street lights in uncovered and extension area with LED lights – Through TANGEDGO.
  2. Water Supply works:
    1. Development of in-village piped water supply infrastructure to provide tap water connection to every house hold;
    2. Water Supply works should be planned to ensure provision of 55 LPCD of water in rural areas. Where ever feasible it should be taken in convergence with JJM.
    3. Alternative / Augmentation of sources, enhancement of motor capacity, extension of pipelines, deepening of open wells all components approved under JJM may be taken up.
    4. OHTs construction should be restricted to the requirement for storage of water to the size of population.
    5. Water supply works can be taken up only from the approved VAP/BAP/DAP as applicable, approved by the district WSSC.
  3. Sanitation and Waste Management
    1. Construction, repair and maintenance of Community Sanitary complexes, drains and sewage systems.
    2. Construction of Toilets in Panchayat Union Schools and Anganwadies including provision of Water Supply.
  4. Infrastructure for Livelihoods promotion of Rural Poor:
    1. Common Work Shed for production purpose (SHGs)
    2. Infrastructure development in Shandies / Market / Village Haat
    3. Sales outlet for SHG Products
    4. Provision of Infrastructure in village Panchayat service Centre
  5. Other Works:
    Any other works such as burial/cremation ground as per need and requirement. Non-essential works should not be taken up utilizing the Grant. All works eligible under Tied Component of the Grant can be sanctioned under untied grant.

Office Contact Address:

132, First Floor,
District Collectorate,
Ariyalur – 621704.
Email : adpts.tnari[at]nic[dot]in
Phone : 04329-228134
Mobile : 7402607736