Financial Projections of VMC

Table 1. Projected Financial Statements of VMC based on Scenario 3 (Rs

lakhs)
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 CAGR
Revenue Income
A. Own Sources
1. Tax Income
Octroi 19,707.54 21,678.30 23,846.13 26,230.74 28,853.81 31,739.19 10%
Property Tax 5,316.76 6,001.83 6,551.91 7,043.93 7,572.89 8,141.58 9%
Water Tax / Charges 1,851.85 2,464.81 3,105.86 3,758.09 4,547.29 5,502.22 24%
Other Direct Taxes 98.94 103.88 109.08 114.53 120.26 126.27 5%
Solid Waste Management
Charges 442.47 594.62 772.76 989.03 1,265.84 1,620.12 30%
Street Light Charges 300.00 410.10 560.59 766.32 1,047.55 1,431.99 37%
Sub total of taxes 27,717.56 31,253.53 34,946.33 38,902.65 43,407.64 48,561.37 12%
2. Non- Tax Income 1,203.60 1,227.67 1,252.23 1,277.27 1,302.82 1,328.87 2%
Total Own Sources 28,921.16 32,481.21 36,198.55 40,179.92 44,710.46 49,890.24 12%
B. Grants, Contributions 2,734.76 2,871.50 3,015.07 3,165.83 3,324.12 3,490.32 5%
Grand Total Revenue 31,655.92 35,352.70 39,213.63 43,345.74 48,034.58 53,380.56 11%
Income

Revenue Expenditure
Establishment 11,205.00 11,625.19 12,061.13 12,513.42 12,982.68 13,469.53 4%
Repair and Maintenance 6,825.00 7,166.25 7,524.56 7,900.79 8,295.83 8,710.62 5%
Contingency 142.55 149.68 157.16 165.02 173.27 181.93 5%
Interest Payments / Debt
Servicing 1,000.00 - - - - - -100%
JNNURM Debt Servicing - - - - - -
Primary Education 4,067.97 4,271.36 4,484.93 4,709.18 4,944.64 5,191.87 5%
Provision for local
developmental works 949.68 1,060.58 1,176.41 1,300.37 1,441.04 1,601.42 11%
Additional O&M due to Cap
Ex (JNNURM) - - - - - -
Net Contribution to Revolving - - 4,633.20 6,842.81 8,292.07 10,467.74
Grand Total Revenue 24,190.19 24,273.06 30,037.40 33,431.60 36,129.53 39,623.11 10%
Expenditure
Revenue account status 7,465.73 11,079.64 9,176.23 9,914.15 11,905.05 13,757.45 13%
DSCR 8.47
Total Requirement of funds (in six years) for own share towards capital investment – Rs.57000 lacs
Total Availability of funds (in Six Years) for own share towards capital investment – Rs. 63300 lacs
 Table 2. Projected Financial Statements of VMC based on Scenario 1 (Rs
lakhs)
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 CAGR
Revenue Income
A. Own Sources
1. Tax Income
Octroi 19,707.54 21,678.30 23,846.13 26,230.74 28,853.81 31,739.19 10%
Property Tax 4,798.80 4,913.49 5,030.92 5,151.16 5,274.27 5,400.33 2%
Water Tax / Charges 1,449.66 1,522.14 1,598.25 1,678.16 1,762.07 1,850.17 5%
Other Direct Taxes 98.94 103.88 109.08 114.53 120.26 126.27 5%
Solid Waste Management Charges - - - - - -
Street Light Charges 300.00 410.10 560.59 766.32 1,047.55 1,431.99 37%
Sub total of taxes 26,354.94 28,627.91 31,144.97 33,940.92 37,057.97 40,547.95 9%
2. Non- Tax Income 1,203.60 1,227.67 1,252.23 1,277.27 1,302.82 1,328.87 2%
Total Own Sources 27,558.54 29,855.58 32,397.19 35,218.19 38,360.78 41,876.83 9%
B. Grants, Contributions 2,734.76 2,871.50 3,015.07 3,165.83 3,324.12 3,490.32 5%
GRAND TOTAL REVENUE
INCOME 30,293.30 32,727.08 35,412.27 38,384.01 41,684.90 45,367.15 8%

Revenue Expenditure
Establishment 11,205.00 11,625.19 12,061.13 12,513.42 12,982.68 13,469.53 4%
Repair and Maintenance 6,825.00 7,166.25 7,524.56 7,900.79 8,295.83 8,710.62 5%
Contingency 142.55 149.68 157.16 165.02 173.27 181.93 5%
Interest Payments / Debt Servicing 1,000.00 - - - - - -100%
JNNURM Debt Servicing - - - - - -
Primary Education 4,067.97 4,271.36 4,484.93 4,709.18 4,944.64 5,191.87 5%
Provision for local developmental
works 908.80 981.81 1,062.37 1,151.52 1,250.55 1,361.01 8%
Additional O&M due to Cap Ex
(JNNURM) - - - - - -
Net Contribution to Revolving - - 4,633.20 6,842.81 8,292.07 10,467.74
GRAND TOTAL REVENUE
EXPENDITURE 24,149.31 24,194.29 29,923.36 33,282.74 35,939.04 39,382.71 10%
Revenue account status 6,143.98 8,532.79 5,488.91 5,101.27 5,745.86 5,984.44 -1%
DSCR 7.14

Total Requirement of funds (in six years) for own share towards capital investment – Rs.57000 lacs
Total Availability of funds (in Six Years) for own share towards capital investment – Rs. 37000 lacs
 Table 3. Projected Financial Statements of VMC based on Scenario 2 (Rs
lakhs)
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 CAGR
Revenue Income
A. Own Sources
1. Tax Income
Octroi 19,707.54 21,678.30 23,846.13 26,230.74 28,853.81 31,739.19 10%
Property Tax 4,798.80 4,913.49 5,030.92 5,151.16 5,274.27 5,400.33 2%
Water Tax / Charges 1,449.66 1,522.14 1,598.25 1,678.16 1,762.07 1,850.17 5%
Other Direct Taxes 98.94 103.88 109.08 114.53 120.26 126.27 5%
Solid Waste Management Charges - - - - - -
Street Light Charges 300.00 410.10 560.59 766.32 1,047.55 1,431.99 37%
Sub total of taxes 26,354.94 28,627.91 31,144.97 33,940.92 37,057.97 40,547.95 9%
2. Non- Tax Income 1,203.60 1,227.67 1,252.23 1,277.27 1,302.82 1,328.87 2%
Total Own Sources 27,558.54 29,855.58 32,397.19 35,218.19 38,360.78 41,876.83 9%
B. Grants, Contributions 2,734.76 2,871.50 3,015.07 3,165.83 3,324.12 3,490.32 5%
GRAND TOTAL REVENUE
INCOME 30,293.30 32,727.08 35,412.27 38,384.01 41,684.90 45,367.15 8%

Revenue Expenditure
Establishment 11,205.00 11,625.19 12,061.13 12,513.42 12,982.68 13,469.53 4%
Repair and Maintenance 6,825.00 7,166.25 7,524.56 7,900.79 8,295.83 8,710.62 5%
Contingency 142.55 149.68 157.16 165.02 173.27 181.93 5%
Interest Payments / Debt Servicing 1,000.00 - - - - - -100%
JNNURM Debt Servicing - - - - - -
Primary Education 4,067.97 4,271.36 4,484.93 4,709.18 4,944.64 5,191.87 5%
Provision for local developmental
works 908.80 981.81 1,062.37 1,151.52 1,250.55 1,361.01 8%
Additional O&M due to Cap Ex
(JNNURM) - - - - - -
Net Contribution to Revolving - - 4,633.20 6,842.81 8,292.07 10,467.74
GRAND TOTAL REVENUE
EXPENDITURE 24,149.31 24,194.29 29,923.36 33,282.74 35,939.04 39,382.71 10%
Revenue account status 6,143.98 8,532.79 5,488.91 5,101.27 5,745.86 5,984.44 -1%
DSCR 7.14
Total Requirement of funds (in six years) for own share towards capital investment – Rs.57000 lacs
Total Availability of funds (in Six Years) for own share towards capital investment – Rs. 37000 lacs
 Table 4. Projected Financial Statements of VMC based on Scenario 4 (Rs
lakhs)
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 CAGR
Revenue Income
A. Own Sources
1. Tax Income
Octroi 19,707.54 21,678.30 23,846.13 26,230.74 28,853.81 31,739.19 10%
Property Tax 5,443.35 6,291.03 7,031.14 7,739.12 8,518.39 9,376.13 11%
Water Tax / Charges 1,971.57 2,732.77 3,411.86 4,259.71 5,318.25 6,639.83 27%
Other Direct Taxes 98.94 103.88 109.08 114.53 120.26 126.27 5%
Solid Waste Management Charges 442.47 656.46 941.85 1,330.82 1,880.42 2,657.00 43%
Street Light Charges 300.00 410.10 560.59 766.32 1,047.55 1,431.99 37%
Sub total of taxes 27,963.87 31,872.53 35,900.65 40,441.24 45,738.68 51,970.41 13%
2. Non- Tax Income 1,203.60 1,227.67 1,252.23 1,277.27 1,302.82 1,328.87 2%
Total Own Sources 29,167.47 33,100.20 37,152.87 41,718.51 47,041.50 53,299.29 13%
B. Grants, Contributions 2,734.76 2,871.50 3,015.07 3,165.83 3,324.12 3,490.32 5%
GRAND TOTAL REVENUE
INCOME 31,902.23 35,971.70 40,167.95 44,884.34 50,365.62 56,789.61 12%

Revenue Expenditure
Establishment 11,205.00 11,625.19 12,061.13 12,513.42 12,982.68 13,469.53 4%
Repair and Maintenance 6,825.00 7,166.25 7,524.56 7,900.79 8,295.83 8,710.62 5%
Contingency 142.55 149.68 157.16 165.02 173.27 181.93 5%
Interest Payments / Debt Servicing 1,000.00 - - - - - -100%
JNNURM Debt Servicing - - - - - -
Primary Education 4,067.97 4,271.36 4,484.93 4,709.18 4,944.64 5,191.87 5%
Provision for local developmental
works 957.07 1,079.15 1,205.04 1,346.53 1,510.97 1,703.69 12%
Additional O&M due to Cap Ex
(JNNURM) - - - - - -
Net Contribution to Revolving - - 4,633.20 6,842.81 8,292.07 10,467.74
GRAND TOTAL REVENUE
EXPENDITURE 24,197.58 24,291.63 30,066.03 33,477.75 36,199.46 39,725.38 10%
Revenue account status 7,704.65 11,680.07 10,101.92 11,406.58 14,166.16 17,064.22 17%
DSCR 8.70
Total Requirement of funds (in six years) for own share towards capital investment – Rs.57000 lacs
Total Availability of funds (in Six Years) for own share towards capital investment – Rs. 72200 lacs