The budget was approved during a meeting of the Council of Ministers headed by Chief Minister Naveen Patnaik at the State Secretariat here.
Provisions for different centrally sponsored schemes, central sector schemes, State government’s own programmes and the newly announced schemes have been included in the budget, informed Finance minister Sashi Bhusan Behera.
The extra budget will also include provisions for newly announced schemes like Biju Swasthya Kalyan Yojana and Odisha Food Security Scheme.
#LISTEN to #Odisha Finance Minister Sashi Bhusan Behera briefing media on approval of #SupplementaryBudget pic.twitter.com/qnSoT273qd
— OTV (@otvnews) 23 August 2018
With the size of the general budget, the amount of the supplementary budget is also getting bigger, said sources.
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Earlier in March this year, the state government had presented a budget of Rs 1,20,028 crore for 2018-19 fiscal besides a separate agriculture budget of Rs 16,765 crore. The budget was about 12.3 percent more than the annual budget of 2017-18 and programme expenditure of Rs 62,000 crore was more than half the total budget size.
It is to be noted that this would be the last budget before the state goes to polls for both Assembly and Lok Sabha seats next year.
The departments were asked to make a "realistic reassessment" of their financial requirements for the current year, said state finance secretary A K Meena while briefing all secretaries of departments at a meet, held under the chairmanship of Chief Secretary Asit Tripathy on Tuesday.
"The supplementary budget will be presented around mid-November, 2019. The departments were asked to submit their requirements within a day," Meena said.
The secretaries of various departments were also instructed that the "anticipated savings, if any, should be surrendered by them for re-allocations", he said.
State finance minister Niranjan Pujari had presented Rs 1.39 lakh crore budget for the current fiscal in June this year and the supplementary estimates will be in addition to the annual budget.
Chief Secretary also reviewed the performances of the state departments up to September, 2019.
According to officials, revenue generation from non- tax sources grew by 10.46 per cent by end of September, 2019, in comparison to the corresponding period of the last year, with a total collection of Rs 6,186.48 crore.
The revenue from mining royalty and water rent increased by around 14 per cent and 46 per cent respectively, Meena said adding that the total collection from mining sector was around Rs 5,207 crore as against Rs 4,580 crore in the last year, up to September.
Compared to last year's collection of Rs 14,049 crore from own-tax revenue, the same had increased by 7.16 per cent to about Rs 15,055 crore, he said.
The budget utilisation by end of September, 2019 grew by 9.15 per cent over the same period last fiscal and the total expenditure in the first six months of the current year was around Rs 46,819 crore, the officials said.
During the meeting, Tripathy directed the state departments' officials to rearrange their spending pattern so as to scale up utilisation level to at least sixty percent of the budget estimates by end of December.
State officials were also apprised about the fiscal strategy paper for the financial year 2020-21, which will be presented by December, 2019 and the pre-budget consultation for the budget of next fiscal will be held between December 16 and 31, Meena said.
Further, the departments were asked to complete their online submission of Annual Establishment Review in the official portal by November 15.
Consider this. The police budget in the year 2019-10 budget has been pegged at around Rs 3,571 crore, which is a measly 2.5 per cent of the total State budgets worth Rs 1, 39,000 crore.
Post the supplementary budget allocation, the police budget in Odisha stood at Rs 3,847 crore, which is around 2.6 per cent of the total State budget (Annual + supplementary).
However, as per recent BPRD (Bureau of Police Research & Development) report, the expenditure on police budget by neighbouring states like Chhattisgarh, Bihar and Jharkhand have been 4.24, 4.01 and 5.09 per cent, respectively, in year 2017-18.
Significant here is when small states like Jharkhand and Chhattisgarh spend proportionately more than Odisha, how could then State police stay competitive.
Despite making police department the mainstay of 5T model, the allocation has not been in tandem with the requirements to realise the 5T objectives.
Another 5T core department has been the Health department. While the annual budget has allocated Rs 6,780 crore, the supplementary budget has provisioned additional Rs 491 crore. The total allocation for the sector now stood at Rs 7,271 crore.
This supplementary allocation did some justice to the pivotal department, as the annual budget has proposed a meagre hike for health in the annual budget vis-a-vis 2018-19.
Sample this. The allocation for health in 2019-20 has been Rs 6,780 cr in comparison to Rs 6,132 cr in 2018-19. The allocation in 2017-18 was Rs 4,927 cr in 2017-18.
An analysis shows Works department has grabbed the lion's share in the supplementary budget. A whopping Rs 1,752 crore or 21 per cent of the total supplementary budget has been allocated to the department.
The fat allocation in budget for the department has been attributed to implementation of the ABHADA scheme and Puri heritage plan.
Apart from Works department, the three other major gainers were School & Mass Education (S &ME), Panchayati Raj & Drinking Water (PR&DW) and Housing & Urban development (H&UD). While the allocation for S&ME has been Rs 921 crore, PR&DW got Rs 907 crore and H&UD provisioned Rs 859 crore.
The allocation shows the supplementary budget's priority has been on drinking water, housing for poor, basic education and urban development. Significantly, urban polls are also round the corner.