No. 1A/Bud/SA/1371, dated 17-9-1965.Sub.-Revised Estimates 1965-66 Budget Estimates 1966-67.In the comments on the Revised Estimates 1965-66 and Budget estimates 1966. the finance department has drawn pointed attention to the need of economy being practised in all spheres of administration and particularly so where the expenditure has to bear any relation to revenue. The relevant extracts from the Budget Notes since they depict their view point very precisely and can be treated us "STANDING INSTRUCTION" are reproduced for the guidance of Officers:Expenditure.- "The Department has to restrict expenditure within the budget estimates and in cases where additional funds needed separate move is to be made with full justification. The practice of over spending without Government approval and then proposing very high figures in Revised Estimates or debiting part of expenditure to suspense etc. and then to move for approval in subsequent years is objectionable and has to be stopped...Carrying over of any liability to the next year for want of funds is a serious irregularity. It is non-economy to postpone payments in respect of liabilities already incurred and indisputably payable. Exact position in regard to the past and present liabilities may be ascertained now once for all and funds asked for promptly giving full justification as indicated above so that the accounts for the next year be started with a clean slate i.e. free from all encumberances.Working Expenses Verses The Field"Working expenses 19.54 lacs and receipts for 1966 67. 55.72 lacs including Gang Canal project 15.00 lacs and 47.94 lacs respectively. If Gang Canal is excluded from both sides the result will be 4.54 and 7.78 lacs on expenditures and receipt sides. If the interest charges which are anticipated of the order of Rs. 52 lacs in respect of these projects are added, the expenditure will be far exceed the receipts indicating huge losses being made good by State Exchequerer. Whether receipts increase or decrease due to failure of rams there seems to be on restraint on expenditure which is proposed at higher figures every time.With regards to revenue it is realised that while on maintenance expenditure is invitable, still the need for exercising economy on that score cannot be over-looked. It must remain the order of the day.
