Telangana Panchayat Raj Issues Guidelines on Sarpanch Bills

Telangana Panchayat Raj Department Issues Guidelines on Pending Sarpanch Bills

Clarification on Payments for Works Taken Up by Former Sarpanches

The Telangana Panchayat Raj Department has issued detailed guidelines on the payment of pending bills related to works executed during the tenure of former sarpanches. The clarification follows directions from Minister Seethakka regarding the settlement of outstanding payments.

Panchayat Raj and Rural Development Department Director Divya Devarajan has issued instructions to district-level panchayat officials outlining the procedure to be followed for clearing the dues.

The department stated that payments should be processed only after verifying records related to the works undertaken by former sarpanches.

Funds Released Under the 15th Finance Commission

Officials said the state government had released funds to gram panchayats under the 15th Finance Commission allocations.

For the financial year 2023–24, an amount of ₹245.00 crore was released to gram panchayats under the tied component. These funds were earmarked for specific works, particularly drinking water supply and sanitation infrastructure.

In addition, the government released ₹640.07 crore to gram panchayats for the financial year 2024–25. These funds include both basic untied grants and tied grants intended for local development works.

Payments Linked to Verified Records

The tenure of the previous sarpanches ended on 01.02.2024. The department clarified that pending bills for works taken up during their tenure can be cleared only if supporting records are available.

Payments will specifically apply to drinking water and sanitation works undertaken using the tied component funds released for the 2023–24 financial year.

District panchayat officials have been directed to carefully verify the documentation related to the works before processing any payments.

Circular Issued to District Officials

The Panchayat Raj Department referred to Circular No. CPR&RE-G1/SCHM/XVFC/2/2025 issued on 19.02.2026. Through this circular, district authorities were instructed to examine records and clear eligible pending bills of former sarpanches related to the 2023–24 tied component funds.

The department also advised that the salaries of Multi-Purpose Workers (MPWs) should be paid using available funds of the respective gram panchayats.

District officials have been asked to take necessary steps to implement these instructions and ensure proper utilisation of the funds.