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BMC eyes a share in housing societies' hoarding earnings

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The Brihanmumbai Municipal Corporation (BMC) has proposed to collect revenue share from housing societies which allow hoardings on their premises.

As reported in dna, the civic body has banned new hoardings on top of old buildings citing structural stability concerns.

While the BMC has decided to let the existing hoarding contracts signed by societies expire, it will not give permissions for new ones. The corporation has not banned hoardings in building compounds and has now proposed that societies share the money they get from advertising agencies.

“Until now, societies have not been sharing revenue with the BMC even though their agreements signed run into some lakhs. Hence, as we discuss the new hoarding circular, we plan to seek a certain per cent of contract amount as revenue,” said additional municipal commissioner Mohan Adtani.

The corporation plans to collect its share from societies based on ready reckoner rate of the area. The share has not been worked out.

“Delhi’s local governing agency collects 50% of the contract amount from residents. We may not charge that much, but will work out a formula based on the ready reckoner rate,” Adtani added.
The municipal administration will need a nod from the standing committee for the proposal. “The plan relates to financial aspect of the circular. So, we will need their nod,” he said.

Adtani refused to comment on the recent opposition to the non-financial aspect of the circular from the  Shiv Sena, one of the ruling parties in the BMC. The non-financial aspects include decision to ban hoardings atop buildings as well at places of worships.

According to another senior civic official, who did not wish to be named, Shiv Sena’s demand to let the statutory committees discuss the circular  can’t be entertained. “We don’t need the standing committee’s approval for non-financial aspects of the guidelines. The decision about whom to give licence for hoardings is an administrative issue. If there are financial aspects, the standing committee would surely discuss them,” the officer said.

Ready reckoner rate to decide amount
The municipal corporation plans to collect its share from societies based on ready reckoner rate of the area. The share has not been worked out

The municipal administration will need a nod from the standing committee for the proposal.

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