Odisha Government Formulates Sixth State Finance Commission
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Synopsis
The Odisha government has officially established the Sixth State Finance Commission under the chairmanship of Arun Kumar Panda, a retired IAS officer. The commission will oversee the distribution of financial resources among local bodies and review the implementation of prior commission recommendations.
Key Takeaways
- Establishment of the 6th State Finance Commission in Odisha.
- Chairperson: Arun Kumar Panda, retired IAS officer.
- Commission includes experts from various academic institutions.
- Focus on financial distribution frameworks for local governance.
- Report to be submitted within six months.
Bhubaneswar, January 22 (NationPress) The government of Odisha has officially established the 6th State Finance Commission (SFC) on Wednesday. A formal notification from the Odisha Finance Department confirmed the formation of the 6th SFC, led by Arun Kumar Panda, a retired IAS officer.
The commission consists of four members, including Prof. Asit Ranjan Mohanty from Xavier Institute of Management, Prof. Amaresh Samantray from the Department of Economics at Pondicherry University, and Dr. Bibhu Prasad Nayak from the Tata Institute of Social Sciences.
Dr. Satya Priya Rath, the Additional Secretary of the Finance Department, will serve as the Member Secretary for the 6th Finance Commission.
The notification states, "In accordance with Article 243-1 of the Constitution of India, along with Article 243-Y and sections 3 and 8 of the Odisha Finance Commission (Miscellaneous Provisions) Act, 1993 (Odisha Act 28 of 1993), the Governor of Odisha hereby forms a Finance Commission.”
The Chairman and other members, apart from the Member Secretary, will serve a term of six months from the date of this notification.
“The Chairman and other Members (excluding the Member-Secretary) will provide either full-time or part-time service to the Commission. The Member-Secretary will offer full-time service in addition to his current responsibilities,” the notification from the Finance Department stated.
This commission is tasked with recommending a framework for the allocation of financial resources between the state government and the 3-tier Panchayati Raj Institutions (PRIs) as well as Urban Local Bodies (ULBs).
The financial resources will include net proceeds from taxes, tolls, duties, and fees imposed by the state government, as well as grants from the Consolidated Fund of the state.
Additionally, it will suggest principles for determining the taxes, duties, tolls, and fees that may be assigned to or appropriated by PRIs and ULBs in the state.
The SFC will also assess the implementation of the recommendations made by the Fifth State Finance Commission.
The Commission is expected to submit its report within six months from the publication date of this finance department notification, covering an award period of five years starting from April 1, 2026.
In its findings, the Commission will outline the basis for its conclusions.
