REVISED BUDGET

2015-2016
&
PROPOSED BUDGET
2016-2017

(FOR GOVERNING BODY MEETING)

 FAISALABAD DEVELOPMENT AUTHORITY (UD-WING)
EXPLANATORY NOTE
A summary of budget estimates for the FY2016-17& revised budget estimates for the
FY2015-16 is as under:-

Budget Opening Receipts Total Expenditure Closing Status

Estimates Balance Receipts Balance
2015-16 120.167 860.998 981.165 859.934 121.231 Surplus
2016-17 121.231 2,001.187 2,122.418 2,018.313 104.105 Surplus

RECEIPTS
PROPOSED BUDGET ESTIMATESFOR THE FINANCIAL YEAR2016-17& REVISED
BUDGET ESTIMATES FOR THE FINANCIAL YEAR2015-16

The total volume of budget receipts for the FY2015-16 was estimatedRs.2,013.721 (M)
and against the estimated target, barely an amount of Rs.860.998(M)was realized. The estimated receipts
targets could not be achieved due to non-auction of commercial as well as residential plots in various
developed colonies of FDA particularly in FDA City Housing Scheme as the electrification work is
under process which will be streamlined after the finalization and signing of MOU with FESCO.

Receiptsamounting to Rs.2,001.187(M) has been proposed that will be realized during the
FY 2016-17under different heads like Annual Development Program (ADP), Development of Katchi
Abadies, recovery of HBFC Loan, Deposit Works & FDA Own Sources as well as Revenue Income etc.
The detail of receipts for the FY2015-16 and proposed receipts for the FY2016-17 against different
schemes/heads is as under:-

A) ANNUAL DEVELOPMENT PROGRAM(ADP) RECEIPTS

During the FY 2015-16 an amount of Rs.477.431 (M) was estimated to be released by the
Govt. of the Punjab under the numerous ADP schemes. Out of the estimated target, an amount
Rs.389.495(M)was released by the Govt. of the Punjab. Funds amounting to Rs.562.697(M) against
ongoing schemes has been allocated for the FY 2016-17 by the Govt. of the Punjab. No new ADP
schemes has allocated to FDA by the Govt. Detail is at page No.04 to 05.

B) RECOVERY OF DEVELOPMENT CHARGES AND COST OF LAND FROM

DWELLERS OF KATCHI ABADIES

In the Budget Estimatesfor the FY 2015-16, an amount of Rs.3.800 (M)was estimated to

be recovered as collection of development charges and cost of land from the dwellers of Katchi Abadies.
Out of estimated target, an amount of Rs. 9.299(M)has been recovered from the Dwellers of Katchi
Abadies. An amount of Rs.3.500 (M) has been estimated for the FY2016-17. The detail is available at
page No.06.
C) KATCHI ABADIES DEVELOPMENT FUNDS

In the Budget EstimatesFY 2015-16, an amount of Rs.15.714(M)was proposed to be

released by the Director General, Katchi Abadies Govt. of Punjab Lahore for clearance the final
contractual liabilities against the work. Despite of the conscious efforts made by the Department, fund
could not be released by the Director General, Katchi Abadies. Now the same amount i.e Rs.15.714 (M)
has been proposed for the FY2016-17. Detail available at page No. 07

D) RECOVERY OF HBFC LOAN FROM ALLOTTEES OF ALLAMA IQBAL COLONY

Recovery amounting to Rs.3.000(M)was estimated in the Budget FY2015-16from the

allottees of Allama Iqbal Colony. Against the estimated target,an amount of Rs.1.276(M)has been
recovered. For FY2016-1, an amount of Rs.3.000 million has been proposed. Detail available atpage 8.

E) DEPOSIT WORKS

Funds amounting to Rs.4.381(M)was proposed in the Budget Estimates for theFY 2015-
16 that will be released by the City District Govt. Faisalabad for the work “Construction of Road from
Jhang Road to Nematabad Faisalabad” and GC University Faisalabad for the work “Construction of
Science Block & Mosque” but the funds could not be released by the concerned department despite of
the constructive efforts made by this department.However, funds of Rs.3.471(M)have been proposed for
the FY2016-17 (page-9).

F) FDA OWN SOURCES (DEVELOPMENT)

In the Budget Estimatesfor the FY2015-16an amount of Rs.1,018.390(M)was proposed

which was to be recovered against different budget heads but only Rs.140.046(M)wasrecovered. The
estimated receipts targets could not be achieved due to non-auction of commercial as well as residential
plots in various developed colonies of FDA particularly in FDA City Housing Scheme as the
electrification work is under process which will be streamlined after the finalization and signing of
MOU with FESCO.
The FY 2016-17 receipts under own source development projects has been estimated for
Rs.913.370(M)which will painstakingly be recovered from the auction of residential/ commercial plots
from developed colony as well asfrom FDA City Housing Scheme,public utility sites as well as others
schemessources of FDA(page 10 to 11).

G) REVENUE INCOME

An amount of Rs.490.005(M)was proposed in revenue income budget heads i.e plots

transfer fee, illegal construction fine/charges, profit on investmentfor FY2015-16. Against the estimated
target, Rs.319.228(M)has been collected/ recovered. For FY 2016-17,an amount of Rs.499.435(M)has
been proposed(Page20& 21).
 EXPENDITURES
PROPOSED BUDGET FOR THE FINANCIAL YEAR2015-16& REVISED BUDGET FOR THE
FINANCIAL YEAR2014-15

The total volume of budget expenditure for the FY2015-16 was estimatedfor
Rs.2,105.560 (M) and against the estimated target, an amount of Rs.859.934(M)was realized. Major
portion of allocated funds was spent on the development works of FDA City & ADP schemes.

Now the development work of FDA City Extension and electrification is being
galvanized and being monitored vigorously by the office of Director General, Additional Director
General, Chief Engineer, FDA / Director Engineering, FDA. Hopefully, the proposed amount of
Rs.2,018.313(M)for the FY2016-17 will be utilized well in time. It is further added that the proposed
budget for the FY2016-17is a surplus budget.

The detail of expenditures for the FY2015-16 and proposed expenditures for the FY
2016-17are as under:-

A) ANNUAL DEVELOPMENT PROGRAM (ADP)

During the FY 2015-16 an amount of Rs.498.189 (M) was estimated to be spent under
variousADP schemes. Out of the estimated target, an amount Rs.389.495(M)was spent. Funds
amounting to Rs.583.455(M) against ongoing schemes have been allocated for the FY 2016-17 whichare
being released bythe Govt. of the Punjab. Detail is at page No. 12 to 13.

B) DEVELOPMENT OF KATCHI ABADIES

Fundsof Rs.15.714(M)was proposed to clear the final bills of Development of Katchi

Abadies during FY 2015-16but amount could not be releasedby the Director General Katchi Abadies
Govt. of Punjab, Lahore. Further Rs.15.714(M)have been proposed to clear the contractual liability for
the next FY2016-17.(Page-15).

C) FDA OWN SOURCES DEVELOPMENT

An amount of Rs.118.397(M)were utilized against the budget allocation

ofRs.1,094.589(M)in FY 2015-16. The main reasons of underutilization of funds are non-
commencement of new projects, unviability of electrification work, delaying of water supply
Transmission / Distribution main in FDA City Housing Scheme,by WASA and sluggish process of
construction of Gulistan Plaza as well as non-preparation / clearance of final bills of completed projects.
In the budget proposal for the FY 2016-17, various schemes like FDA City Extension, FESCO & FDA
employees plot, commercial plots in main blueward FDA City and FDA Plaza (Madina Town) as well
as Gulistan Plaza etc have been proposed which will exuberantly be completed in time In-Sha-Allah.
The funds of Rs.909.351(M)have been estimated for development activities out of FDA own sources for
FY 2016-17. Further detail may be glanced at page 18&19.

D) NON-DEVELOPMENT EXPENDITURES
 An amount of Rs.482.835(M)was allocated for non-development expenditures (including
salary, pension, utility expenditure and other contingent expenditure) in the proposed budget for the FY
2015-16. Against the estimated target,an amount of Rs.351.491(M)has been utilized.In the Budget
Estimates for the FY 2016-17, an amount of Rs.496.470(M) has been proposed in Non-Development
expenditure against the Revenue income of Rs.499.435(M). Detail is at page No. 23 to 26.

E) MEASURES TO IMPROVE THE FINANCIAL RESOURCES OF FDA

 Target of revenue income has been reviewed carefully and rationalized from Rs. 490.005
(M) to 499.435(M). In-Sha-Allah, we will achieve the final targets during the financial
year 2016-17.

 Plots available in FDA City will be allotted to the employees of FDA and FESCO which
will also provide additional funds.

 The provision of electricity in FDA City Housing Scheme is under active hand. Due to
erection of electricity, the auction of residential / commercial plots expected to
Rs.100.000(M) which will also help toimprove the financial position of the Authority.
All such efforts will be made to achieve the targets fixed in the Budget Estimates for the
FY 2016-17 In-Sha-Allah.

DIRECTOR GENERAL
FAISALABAD DEV AUTHORITY
FAISALABAD