GOVERNMENT OF ANDHRA PRADESH
Municipal Administration and Urban Development Department – Infrastructural Development in Urban Local Bodies – Urban Local Bodies Infrastructure Development Project – Enhancement of Continuing Revolving Government Guarantee limit by Rs. 150 Crores - Orders Issued.
MUNICIPAL ADMINISTRATION & URBAN DEVELOPMENT (A1) DEPARTMENT.
G. O. Ms. No. 557. M.A Dated: 31.05.2005.
Read the following:-
1) G. O. Ms. No. 483, Municipal Administration and Urban Development (A1)
Department, dated 21.10.2003.
2) From the Engineer-in-Chief (Public Health), Hyderabad Letter No.850/
HUDCO Ph. III/GEN/T8/Plg/2004 Vol. VI, dated 27.01.2005.
3) From the Commissioner & Director, Municipal Administration Andhra
Pradesh, Hyderabad Letter Roc. No. 6329/05/B3-2, dated 04.04.2005.
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In the reference 1st read above, orders were issued for merging of all Government Guarantees including HUDCO Loans with a maximum limit of Rs. 806 Crores in the form of Continuing Revolving Government Guarantee for the loans sanctioned / to be sanctioned to APUFIDC Limited, Hyderabad. Out of this the guarantee limit in respect of HUDCO loan is for an amount of Rs. 700 Crores and the remaining Rs. 106 Crores available with the Government should be utilized in respect of loans to be sanctioned by other lending financial institutions at a later date as and when such proposals come up.
2. In the reference 2nd read above, the Engineer-in-Chief (Public Health), Hyderabad has reported that the HUDCO has sanctioned a loan of Rs. 324.13 Crores so far for 36 water supply schemes and one drainage scheme against the above bulk guarantee, besides Rs. 300 Crores for Urban Infrastructure under City Challenge Fund and also certain schemes under IDSMT and ILCS. As a result, HUDCO loan borrowing has reached to the ceiling of Rs. 700 Crores.
3. The Engineer-in-Chief (Public Health), Hyderabad has also reported that the Government have accorded administrative sanction for certain water supply schemes and underground drainage schemes with HUDCO loan assistance and loan applications for few other schemes have also been sent to HUDCO for sanction of loan. Processing of applications is held up for want of enhancement of bulk guarantee limit. In addition to this, it is necessary to take up improvement / up-gradation of water supply in certain Municipalities for which number of representations are received from public representatives and the public. Hence he has requested to enhance the Continuing Revolving Government Guarantee limit by another Rs. 360 Crores for water supply and sewerage schemes.
4. In the reference 3rd read above, the Commissioner and Director of Municipal Administration, Andhra Pradesh, Hyderabad has furnished the details of loans taken from HUDCO and the outstanding balances and the details of debt servicing HUDCO loans both principle and interest during the period from 2000-2001 onwards.
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5. Government after careful examination of the matter hereby enhance the Continuing Revolving Government Guarantee limit by Rs. 150 Crores totaling to Rs. 956 Crores (i.e. Rs. 806 Crores + Rs. 150 Crores) for water supply and sewerage schemes to be taken up with HUDCO loans.
6. The Engineer-in-Chief (Public Health), Hyderabad, the Commissioner and Director of Municipal Administration, Andhra Pradesh, Hyderabad and Managing Director, APUFIDC Ltd, A.P. Hyderabad shall take necessary further action accordingly.
7. This order issues with the concurrence of Finance Department vide their U. O. No. 1242/DMC/2005, dated 28.04.2005.
(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)
SECRETARY TO GOVERNMENT.
The Commissioner and Director of Municipal Administration . Andhra Pradesh,
The Engineer-in-Chief (Public Health). Hyderabad..
The Managing Director, APUFIDC. Ltd. Hyderabad.
The Regional Chief, HUDCO. Hyderabad.
The Director of Treasuries and Accounts, Andhra Pradesh, Hyderabad.
The Law Officer, HUDCO. Hyderabad.
The Accountant General. Andhra Pradesh,
Copy to Finance (DMC) Department.
// FORWARDED :: BY ORDER //