GOVERNMENT OF ANDHRA PRADESH

A B S T R A C T

Municipal Administration and Urban Development Department –Constitution of Steering Committee to formulate , review and approve the State Accounting Manuals for Urban Local Bodies incorporating specific State level requirements in purview of National Municipal Accounting Manual – Orders issued.

MUNICIPAL ADMINISTRATION & URBAN DEVELOPMENT (UBS) DEPARTMENT

G.O.Rt.No.603, M.A. Dated:02-05 -2005

Read:

From under Secretary to GOI, Ministry of Urban Development, New

Delhi Lr. No. N-11025/12/2002-UCD, date : 15-04-2005.

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ORDER:

The Ministry of Urban Development & Poverty Alleviation, Government of India, launched the formulation of the National Municipal Accounts Manual, facilitated by the C&AG of India and supported by Indo-USAID FIRE-D Project and National Institute of Urban Affairs, New Delhi, with the objective of to align the National Level perspectives of reforms in municipal finance and financial management with the State Government, a generic framework of National Municipal Accounting. This National Municipal Accounts Manual has been formulated with comprehensive coverage of accounting policies, procedures, and guidelines designed to ensure correct, complete and timely reporting of municipal transactions and produce accurate and relevant financial reports.

2. The National Municipal Accounts Manual has proposed computerization and networking of municipal information and records for facilitating speedier preparation of budget and accounts and providing more meaningful information in the form of MIS for municipal managers. The MIS reports should also cover departmental performance, recovery of cost/subsidy report, key performance indicators, ward level revenue, expenditure, etc. In the above background, there is an urgent requirement for developing a robust Software Application/Package for Budget formulation and execution, Accounting, Expenditure Management, Cash Management, Management of Contingent Liabilities, Asset Management, reporting of Key Performance Indicators, etc., with access facilities to State and Central Government.

3. Accordingly, the following studies/activities have been identified by MA & UD Department to be taken up on an immediate basis, preparation and implementation of State Accounting Manuals for Urban Local Bodies incorporating specific State level requirements in purview of National Municipal Accounts Manual as released by the GOI.

1. Preparation of Uniform State Municipal Budget Manual for ULBs keeping in view the National Municipal Accounts Manual

2. Preparation of Uniform State Municipal Accounting Manual for ULBs keeping in view the National Municipal Accounts Manual

3. Preparation of Uniform State Municipal Budget and Accounts Classification Codes Manual for ULBs keeping in view the National Municipal Accounts Manual

Contd..2..

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4. Preparation of Uniform State Municipal Asset Management Manual for ULBs keeping in view the National Municipal Accounts Manual

5. Preparation of Hand Book on Municipal Financial Accountability – as an Easy Workbook for Municipal Commissioners and Finance & Accounts Officers

6. Preparation of a Domain/System Requirements Study (SRS) for undertaking Comprehensive Comupterisation of Municipal Finance & Accounts observing e-Thesaurus and e-Data standards for interoperability and uniformity across the municipal sector

7. Development of Software Application/Package at the State Level for Budget formulation and execution, Accounting, Expenditure Management, Cash Management, Management of Contingent Liabilities, Asset Management, reporting of Key Performance Indicators, etc. (we should have one comprehensive package rather than separate packages for budgeting, accounting, revenue and expenditure).

8. Imparting of training to Trainers on Municipal Budgeting, Accounting, etc, based on the new C&AG guidelines (National Municipal Accounts Manual and the State Manuals proposed to be developed) at state level

9. Conducting orientation programmes at intervals for Municipal Functionaries at District levels.

10. Preparation of Audit Manual.

4. After careful examination, the Government hereby constitute a Committee with the following members to formulate , review and approve the State Accounting Manuals for Urban Local Bodies incorporating specific State level requirements in purview of National Municipal Accounting Manual:

1) Principal Secretary / Secretary to Government,

MA & UD Department. … Chairman

2) Pricipal Accountant General or his nominee … Member

3) Principal Finance Secretary or his nominee … Member

4) Commissioner & Director Municipal Administration … Member/

Secretary

5) Managing Director, APUFIDC Limited … Member

6) Project Coordinator, APUSP … Member

7) Director, State Audit A.P., Hyderabad … Member

8) Director General & Executive Director, C.G.G. … Member

5. The Committee shall meet periodically and review the progress on the items mentioned in para no. (3) above.

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6 The Commissioner and Director of Municipal Administration, Hyderabad shall be responsible for all matters relating to the preparation and implementation of State Accounting Manuals for Urban Local Bodies incorporating specific State level requirements in purview of National Municipal Accounts Manual as released by Government of India.

(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)

VEENA ISH

SECRETARY TO GOVERNMENT

To

The Principal Accountant General, Hyderabad.

The Principal Finance Secretary to Government.

The Commissioner & Director Municipal Administration, Hyderabad.

The Managing Director, APUFIDC Limited, Hyderabad.

The Project Coordinator, APUSP, Hyderabad.

The Director of State Audit, Hyderabad.

The Director General and Executive Director, CGG, Hyderabad.

Copy to:

The P.S. to Hon’ble M(MA).

The P.S. to Principal Secretary to Government, MA & UD Department.

The P.S. to Secretary to Government, MA & UD Department.

Sf/sc

//FORWARDED BY ORDER//

ASSISTANT DIRECTOR