Flexi-Funds under Centrally Sponsored Schemes – details


Centrally Sponsored Schemes (CSSs) are the plans started by the different Ministries/Departments of the Government of India. These plans are typically executed by the individual State/UT governments. According to the most recent rules given by the Ministry of Finance, State Governments will presently have 25% of the absolute allotment under CSSs as Flexi-Funds to modify the projects to neighborhood needs.

Centrally Sponsored Schemes (CSS)

After the NDA came to control in 2014, the 66 existing CSSs have been legitimized and classified into 28 Umbrella plans. These 28 umbrella plans are classified into the three after gatherings

  • Center of the Core Schemes (6)
  • Center Schemes (20)
  • Discretionary Schemes (2)
  • The 66 existing CSSs have been thinking

The different existing CSSs have been incorporated into one of these gatherings while a portion of the CSSs is dropped. Just six CSSs are presently part of the Core Schemes including the MGNREGS and so on.

Release of Funds

The release of assets to the states would be founded on the outfitted Utilization Certificate of the penultimate portion. There will likewise be quarterly arrival of assets and consumption would be followed by Public Financial Management System (PFMS). The PFMS will be incorporated with the State Treasuries in 2016-17.

Flexi – Funds now at 25%

The idea of Flexi funds was first presented in January 2014 during the UPA government. It was stipulated in those days that the Central Ministries ought to give 10% of their spending limit under CSSs as a Flexi-Fund, except those plans which exude from enactment like the MGNREGS. Given the proposals of the Sub-Group of Chief Ministers, the NITI Aayog has raised the measure of Flexi assets from the current 10% to 25% for States and 30% for UTs. This would be relevant to all CSSs but to those that exude from enactment like MGNREGA or plans where an entire or considerable segment of the assignment is adaptable.

The Flexi Funds were presented with the accompanying targets

  • To give adaptability to states to address nearby issues and necessities inside the general goal of some random plan at the sub-head level.
  • To guide development to improve productivity inside the general goal of some random plan at the sub-head level.
  • To attempt relief/rebuilding exercises if there should arise an occurrence of characteristic catastrophes or to fulfill neighborhood necessities in territories influenced by inside security aggravations.

The state that desires to profit of the Flexi finance office ought to establish a State Level Sanctioning Committee (SLSC) to authorize ventures or exercises under the Flexi subsidize segment.

The rules by the legislature have clarified that the Name, Logo and the Acronym of any CSS must be held in any event, for the Flexi finance part too. If the states change any of these, the rules express that the focal commitment will stop.

The Flexi Fund will even now be a piece of CSS and can be worked at the degree of plan, sub-plan and segments. It can’t be worked at the Umbrella plan level like for eg., Primary Education in general. It is likewise clarified that the Flexi assets ought not to be utilized to substitute State’s very own projects or any venture related use. It ought to likewise not be utilized for development/fix of workplaces/living arrangements of government authorities, general exposure, and acquisition of vehicle/furniture for workplaces and so on.

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