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The Hindu
The Hindu
National
Sharat S. Srivatsa

Spending on SC/ST welfare: A story of money lost in transit

Since 2014, Karnataka has spent an impressive ₹1.84 lakh crore on the welfare and development of the Scheduled Castes (SCs) and the Scheduled Tribe (STs), who jointly constitute 24.1% of the State’s population. Yet, government data reveals that the communities are lagging behind the State averages in several parameters.

While the amount spent — a mandate after the Karnataka Scheduled Castes Sub-Allocation and Tribal Sub-Allocation (Planning, Allocation & Utilisation of Financial Resources) Act, 2013, came into force on April 1, 2014, allocating resources as per the population ratio — looks big on paper, in reality, data reveals, a large portion of the total amount has not reached the targeted population. In Karnataka, the SCs and STs constitute 17.15% and 6.95%, respectively, of the total population as per the 2011 Census.

After the Act came into force, as much as ₹2.26 lakh crore has been allocated to the Social Welfare Department, to be disbursed to different departments to undertake welfare works for the communities. While ₹1.9 lakh crore out of the ₹2.26 lakh crore allocated has been released, about ₹1.84 lakh crore has been spent.

The spent amount includes about ₹1.32 lakh crore for the welfare of SCs and about ₹52,000 crore for ST welfare. The data is part of an analysis done by the Planning and Statistics Department recently. If the total amount spent is calculated on the State’s expenditure per family, it comes to about ₹66.09 lakh per SC family of an estimated 20.9 lakh SC families in the State, while it is about ₹62 lakh per ST family of an estimated 84,000 families in the State, government sources pointed out.

However, one particular clause, it turns out, has been used extensively to divert funds. Section 7 D of the Act allows a certain amount of money to be used in exceptional cases on works that cannot be divided and considers such expenditure as “deemed expenditure”. This has been used to divert funds for general purposes. Senior officials in the Social Welfare Department, however, insist that it cannot be termed as “diversion” since the Act provides for it.

A perusal of data of six big spending and infrastructure creating departments in the State — Public Works, Urban Development, Major Irrigation, Minor Irrigation, Health, and Rural Development and Panchayat Raj — shows that of the ₹1.32 lakh crore spent on the SC welfare, ₹44, 356 crore or about 26% of the total money has been largely spent for general purposes. Similarly, of the ₹52,700 crore spent on ST welfare, 30% of the funds or about ₹15,938 crore has been largely utilised by these six departments alone. Similarly, other departments have also used funds for infrastructure creation for the general public. Money is being spent on “contract-oriented works” that does not directly contribute to the welfare of SC/STs, sources said.

According to government sources, the money is being allocated and spent by various departments without an understanding of the development gaps that exist between the SC/ST population and the general population. For example, focus should have been on spending money meant for the SC/STs in 109 taluks of the State where their population is more than the State average of 24.1% instead of spreading thin resources across the State, sources said. “It is unfortunate that there has been no deep focus on education, literacy, malnutrition, skill development, and training that would have empowered the downtrodden communities,” said president of the Karnataka SC/ST Government Employees Association D. Chandrashekaraiah, underlining the need for targeted schemes.

Planning cell

“There is an urgent requirement for having a planning cell that can monitor works and expenditure in the Social Welfare Department to enable schemes/programmes to reach the targetted audience,” he said.

Sources said that the Planning Department has offered the Social Welfare Department help to formulate micro plans at the taluk level and macro plans for the districts and the State that can be monitored closely to achieve developmental goals. A senior Social Welfare Department official acknowledged the move, and said while it was a welcome step, it would also help bring about transparency in government expenditure.

‘Deemed expenditure has been about 7%’

Following demands from various quarters to remove the deemed expenditure clause from the Act, Social Welfare Minister Kota Srinivas Poojary said that Chief Minister Basavaraj Bommai had recently assured Dalit organisation leaders that it would be reviewed.

“There is also a thinking in the Government to review the deemed expenditure clause,” he told The Hindu. “The Act requires discussion and deemed expenditure can be removed only with an amendment.”

Insisting that the deemed expenditure stood at an average 7%, the Minister said that it remained at 7% even during the Congress Government led by Siddaramaiah that brought the Act. “On an average, the deemed expenditure has been around 7 % under all Chief Ministers.”

Further, on Mr. Siddaramaiah’s demand for the removal of Section 7 D, Mr. Poojary said, “The Act was brought and followed by the Congress Government. The deemed expenditure continued under his rule. Now, he is insisting on the removal of 7 D.”

When his views were sought on demand for a planning cell in his department, the Minister said he was not averse to the idea. “So far we had advisors and works are being monitored by the nodal committee every quarter. If required, we will consider it,” he said.

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