KOHIMA, OCTOBER 30 (MExN): The Finance Department of Nagaland has announced the establishment of the Fourth Nagaland State Finance Commission, following the powers conferred under Section 125(1) of the Nagaland Municipal Act 2023.
The Commission will be chaired by Sarah R. Ritse, retired Commissioner and Secretary, with GW Lee, a retired Director of Technical and Administrative Services, and Khrupi Sothu, a retired Secretary, serving as members.
The tenure of the Commission is set for 12 months from the date of this notification. Its primary role will be to make recommendations on several key financial matters related to municipalities in the state. These include the principles governing the distribution of net proceeds from taxes, duties, tolls, and fees between the state and municipalities, as well as the determination of taxes and grants-in-aid to municipalities from the Consolidated Fund of the State.
Additionally, the Commission will assess measures needed to improve the financial position of municipalities, recommend rates for various taxes, tolls, and fees, and address any other matters referred to it by the government concerning the sound finances of municipalities.
In formulating its recommendations, the Commission will consider the need to balance the state government’s receipts and expenditures, the resources available to the state, and the financial requirements of municipalities, including their potential for resource generation and expenditure reduction.
The terms of office for the Chairman and members, along with their service conditions and allowances, will be governed by the Nagaland Finance Commission Rules of 2008. The Commission is expected to submit its report by October 31, 2025, covering the financial period from 2026 to 2031, commencing from April 1, 2026.
