G.O.Ms.No.18, Guidelines for Revised Procedure Towards Payments for Projects

What the order does

The Planning, Development and Special Initiatives (ST.2&E) Department issued G.O.Ms.No.18 dated 26 February 2016 because delayed payments were affecting policy-research projects conducted through the Government of Tamil Nadu partnership with the Abdul Latif Jameel Poverty Action Lab (J-PAL). The revised procedure covers newly approved, ongoing and completed projects, as well as budget variances.

The source records that 14 projects had been approved by the Steering Committee with approval from heads of six Government of Tamil Nadu line departments.

Newly approved projects

For newly approved policy-research projects:

• Government orders are normally to be issued within one month of Steering Committee approval and identify the relevant budget head.
• The Government of Tamil Nadu and J-PAL South Asia agreed to establish a Revolving Advance Fund of Rs.20.00 lakhs, contributed equally by both parties and held within the Institute for Financial Management and Research.
• After Steering Committee approval, the State Planning Commission will provide Rs.10.00 lakhs or 10 percent of the cumulative value of projects approved in that round, whichever is less, within two weeks after the meeting minutes are issued.
• The advance is adjusted against the first instalment for projects funded by the State Planning Commission after individual government orders are issued.

Ongoing and completed projects

For an ongoing project, J-PAL South Asia raises an invoice when a payment milestone specified in the project government order is reached. Any required deliverable is also supplied. The implementing line department has 30 days to comment. If no response is received, the Member Secretary of the State Planning Commission may treat the department as agreeing and process payment to the Institute for Financial Management and Research.

If J-PAL South Asia submits a revised deliverable after comments, the implementing department has another 15 days to respond. For a completed project accepted by the Advisory Committee, the final invoice may be raised against the meeting minutes, without further departmental concurrence, and payment may be processed within 15 days of receipt.

Budget changes and relevance to property owners

J-PAL South Asia may reallocate expenditure between line items without changing the total project budget after informing the Principal Secretary, but not for administrative overheads. Cost savings may also be moved between projects funded by the same line department, subject to notice requirements. Unmanageable overruns require Steering Committee approval with justification.

G.O.Ms.No.18 concerns administration of policy-research funding. It contains no provision changing land title, patta, registration, planning permission or property rights.