AFS
Veliyanad Grama Panchayat - Comprehensive Financial Report (2024-25)
1. Introduction
This report is prepared based on the Balance Sheet, Income & Expenditure Accounts, and Cash Flow Statement of Veliyanad Grama Panchayat. It highlights the financial health, revenue sources, and expenditure incurred on various development projects of the Panchayat.
2. Income & Expenditure Analysis
The total income and expenditure of the Panchayat for the period from April 1, 2024, to March 31, 2025, are as follows:
- Total Income: ₹13,24,51,882.00 (Approximately ₹13.25 Crores).
- Total Expenditure: ₹13,05,57,926.00 (Approximately ₹13.06 Crores).
- Gross Surplus: A profit of ₹18,93,956.00 was recorded before prior-period income/expenditure adjustments.
- Major Revenue Sources:
- Revenue Grants & Contributions: ₹12,86,29,715.00. This is the largest source of income for the Panchayat. It includes ₹5,27,40,665.00 allocated for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).
- Tax Revenue: ₹22,32,810.00. The lion's share of this was obtained from residential property tax (₹11,79,668.00) and profession tax from employees (₹4,94,815.00).
- Fees & User Charges: ₹6,11,637.00. Building permit fees and regularization fees are the major components under this category.
3. Decentralised Plan Expenses
The Panchayat has utilized a substantial amount of funds for development across various sectors:
- Productive Sector: ₹24,38,608.00. This amount was utilized for paddy seed distribution (₹10,33,666.00), outer-bund protection of paddy fields (padasekharams) in Kuttanad (₹1,77,873.00), and increasing milk production.
- Service Sector: ₹1,93,26,674.00. The main expenditures in this sector include drinking water projects, individual house construction through Life Mission (₹70,36,614.00), nutritional food distribution in Anganwadis, and palliative care (₹7,79,483.00).
- Infrastructure Sector: ₹89,20,582.00. This amount was spent on the maintenance of public roads, concreting, and renovation of walkways.
- Other Projects (Projects not included in Sector Division): An amount of ₹5,06,23,966.00 has been set aside for poverty alleviation programs.
4. Balance Sheet Analysis
As of March 31, 2025, the total assets and liabilities of the Panchayat stand balanced at ₹4,65,61,364.00 (₹4.65 Crores).
- Major Liabilities:
- Reserves: ₹4,14,21,053.00. These represent capital contributions from various development funds.
- Grants for Specific Purposes: ₹1,07,25,950.00.
- Other Liabilities: ₹3,34,22,010.00. A major portion of this consists of outstanding dues to be repaid under the water charges category (₹3,22,58,242.00).
- Panchayat General Fund: ₹-4,62,36,198.00 (This shows a negative value due to the adjustment of prior-period expenses).
- Major Assets:
- Fixed Assets (Net Value): Total assets after deducting depreciation.
- Annual Plan Capital Expenditure: The Panchayat holds capital assets worth ₹3,96,00,706.00 in the infrastructure sector and ₹1,10,66,940.00 in the service sector.
- Cash & Bank Balance: The Panchayat has ₹1,02,15,818.00 (Approximately ₹1.02 Crores) available across various bank accounts and the treasury.
5. Cash Flow Insights
- At the beginning of the financial year (01-04-2024), the Panchayat had ₹1,11,32,751.00 in hand.
- By the end of the year (31-03-2025), this amount decreased to ₹1,02,15,818.00.
- During this financial year, there was a net decrease of ₹9,16,933.00 in total cash liquidity.
6. Conclusions and Recommendations
- Dependence on Grants: More than 90% of the Panchayat's income relies on government grants and employment guarantee schemes. Taking steps to increase own revenue (taxes and fees) will help ensure self-reliance.
- Arrears: The large outstanding amount under water charges (₹3.22 Crores) continues to be a financial liability for the Panchayat. Special attention is required to resolve this issue.
- Welfare Activities: The Panchayat has been able to make excellent social welfare interventions through Life Mission housing construction, pension distribution (old-age, agricultural laborer, and widow pensions), and palliative care.