2024-25 Budget Report
Kodikkulam Grama Panchayat
Budget Analysis Report for the Financial Year 2024-25
1. General Overview of the Budget
The total revenue expected by Kodikkulam Grama Panchayat for 2024-25 is ₹15,13,99,145. This represents a significant increase compared to the actual revenue of ₹7,92,18,147 in the previous year and the revised budget of ₹13,43,57,860 for 2023-24.
Including the opening balance, the total amount available for 2024-25 is estimated at ₹15,50,33,515.
Major Item
2022-23 Actual
2023-24 Revised Budget
2024-25 Budget
Opening Balance
₹53.87 lakh
₹53.65 lakh
₹36.34 lakh
Tax Revenue
₹31.24 lakh
₹44.00 lakh
₹52.00 lakh
Non-Tax Revenue
₹9.73 lakh
₹23.29 lakh
₹30.87 lakh
General Purpose Fund
₹59.54 lakh
₹64.83 lakh
₹80.38 lakh
Total Revenue Income
₹7.26 crore
₹11.42 crore
₹12.82 crore
Total Capital Income
₹0.66 crore
₹2.02 crore
₹2.32 crore
Total Revenue
₹7.92 crore
₹13.44 crore
₹15.14 crore
2. Status of Own Revenue
The Panchayat expects ₹82.87 lakh as its own fund in the budget. This includes:
Tax Revenue – ₹52.00 lakh
Non-Tax Revenue – ₹30.87 lakh
These are the allocations.
The major components of tax revenue are:
Property Tax – ₹40.00 lakh
Profession Tax – ₹12.00 lakh
These are the main items.
Non-tax revenue includes Permit Fee of ₹16.90 lakh, License Fee of ₹1.25 lakh, various fees of ₹1.30 lakh, etc.
Analysis: To increase own revenue, efficiency in tax collection, collection of arrears, and monitoring of permit/license fees are important.
3. Dependence on Government Grants
In the 2024-25 budget:
General Purpose Fund – ₹80.38 lakh
Plan Grants – ₹7.18 crore
Non-Plan Grants – ₹4.00 crore
These are the major sources of revenue.
This shows that government grants have a significant role in the Panchayat's overall financial activities. Therefore, along with increasing own revenue, it is important to convert the grants received into projects in a timely manner and utilize them effectively.
4. Analysis of Revenue Expenditure
The total revenue expenditure in 2024-25 is ₹12,84,11,010. Of this:
Revenue Expenditure Category
2024-25 Allocation
Mandatory Functions
₹1,49,26,000
Plan Revenue Expenditure
₹7,34,85,010
Non-Plan Revenue Expenditure
₹4,00,00,000
Total
₹12,84,11,010
Major Expenditures under Mandatory Functions
Establishment expenditure is ₹1,21,85,000. This includes:
Salary – ₹84.00 lakh
Honorarium for Elected Representatives – ₹15.50 lakh
Pension Contribution – ₹8.00 lakh
Leave Salary Contribution – ₹7.00 lakh
These are the major items.
₹18.85 lakh has been allocated for administrative expenditure. ₹8.51 lakh is budgeted for Operations & Maintenance.
Analysis: Since employee-related expenses account for a significant share of revenue expenditure, the independent resources available for development activities may be limited.
5. Agriculture–Production Sector
₹80.60 lakh has been allocated to the production sector in 2024-25.
Major areas include:
Paddy Cultivation – ₹11.25 lakh
Dairy Development – ₹32.99 lakh
Calf Rearing – ₹9.75 lakh
Poultry/Duck Rearing – ₹3.90 lakh
Pepper Cultivation – ₹2.00 lakh
These are included.
Analysis: The budget shows notable investment in the agricultural sector, particularly in dairy development. This may help increase the income of rural families and local production.
6. Service Sector
Approximately ₹5.94 crore has been allocated to the service sector in 2024-25.
Major areas:
Education
₹2.00 lakh has been allocated for SSA/other educational programmes. Funds have also been set aside for education-related activities.
Health
Special Health Programmes – ₹17.80 lakh
Medicines – ₹22.00 lakh
Other Health Schemes – ₹1.70 lakh
There are also allocations for areas such as public drinking water and sanitation.
Housing
A large allocation of ₹2.399 crore is shown for housing construction.
Analysis: The importance given to social security, housing, and health reflects the budget's social welfare-oriented approach.
7. Infrastructure Development
An allocation of up to ₹67.37 lakh is shown for roads in the infrastructure sector. Electrification, connectivity, and other infrastructure activities are also included.
This indicates a focus on improving roads, transportation, and public facilities in the Panchayat.
8. Capital Expenditure
For 2024-25:
Loan Repayment – ₹13.10 lakh
Capital Expenditure excluding Loans – ₹2.149 crore
Total Capital Expenditure – ₹2.280 crore
These are the figures.
Allocations of ₹16.48 lakh for movable assets, ₹2.76 lakh for other fixed assets, etc., are also shown under capital expenditure.
9. Overall Financial Position
In 2024-25:
Total Amount Available – ₹15,50,33,515
Total Expenditure – ₹15,12,13,214
Balance – ₹38,20,301
These are the budget estimates.
Thus, according to the budget, a balance of ₹38.20 lakh is expected at the end of the year.
10. Key Findings
Increase in overall budget size – Total revenue in 2024-25 is ₹15.14 crore.
Target for increase in tax revenue – ₹52 lakh.
There is also a target to increase non-tax revenue – ₹30.87 lakh.
There is a high level of dependence on government grants.
Salaries and establishment expenses account for a major share of revenue expenditure.
High priority to housing construction – ₹2.399 crore.
Notable allocation for dairy development – ₹32.99 lakh.
Special consideration has been given to health, medicines, sanitation, and drinking water.
Attention has also been given to road/infrastructure development.
The budget estimates an end-of-year balance of ₹38.20 lakh.
11. General Assessment
The 2024-25 budget of Kodikkulam Grama Panchayat can be assessed as a development–welfare-oriented budget. Significant importance has been given to areas directly related to people's lives, such as agriculture, dairy development, housing, health, sanitation, education, and infrastructure.
At the same time, since a large portion of the budget depends on government grants, strengthening own revenue sources, improving the efficiency of tax/fee collection, ensuring timely implementation of projects, and controlling revenue expenditure are important for financial sustainability.
