Context:
Recently, the Delhi cabinet approved a 50% hike in MLA-LAD (local area development) funds, increasing the annual allocation to legislators from the current ₹10 crore to ₹15 crore.
Relevance:
GS II: Governance Policies and Interventions
About MLALAD Fund:
- It is patterned after a similar scheme for MPs that provides funds to each constituency directly from the government.
- Like MPs, MLAs don’t get the money directly but are empowered to recommend work to be executed under the scheme.
- MLALAD and MPLAD have their own set of rules, but the projects sanctioned under them are normally restricted to “durable infrastructure work,” from repairing roads to building community centres.
- All MLAs are entitled under the scheme to recommend items to the Deputy Commissioner of their district, within the yearly allocations, for their constituency.
- MLALAD funds are issued annually to MLAs for local development, such as repairing roads, streetlights, developing parks, and laying sewer lines in colonies.
- The work must be developmental in nature, based on locally felt needs.
- The work should be completed within one financial year and result in the creation of durable assets.
- The assistance provided under the MLALAD Scheme is sanctioned as Grant-in-aid for utilisation by the districts.