4.0  Important points to be taken into consideration by the States while submitting the proposal for central assistance under AIBP :

4.1  The proposals (including CADA_WM components with investment clearance) for release of CA from the State Governments will be submitted by State Governments to the corresponding field offices of CWC. The field office of CWC will check the proposal at the time of submission itself towards its completeness. 

4.2  In case of surface Minor Irrigation schemes, the Panchayati Raj Institutions will be consulted at an appropriate level by the Irrigation/ Water Resources Department of the concerned State before submitting the proposal for release of CA under AIBP from the Financial Year 2014-15 onwards. 

4.3    State governments will be required to enter into an MoU with the MoWR (Annexure II for major/medium projects and Annexure III for minor irrigation schemes) for each individual project under the programme. 

4.4  The Utilization Certificate shall be issued by the Chief Engineer of the project and countersigned by Secretary (Water Resources/Irrigation) of the state government. The Utilization Certificate must contain physical achievement of Irrigation Potential and financial progress/expenditure on AIBP and CADWM components as agreed to in the MoU on year to year basis. 

4.5  The Utilization Certificate shall be issued for the expenditure incurred as on 31 March of the Financial Year (FY) of funding. It is desirable to avoid bunching of funds.

4.6  The State Governments should make every effort to submit the proposal for release  of Ist installment CA in the first quarter of the FY with proper budget certificate, so   7that the State Governments may request for IInd installment in that FY. It is desirable for even distribution of expenditure in a given FY.

4.7   The quarterly physical target and progress certificate both for AIBP and CAD shall be issued by the Chief Engineer of the project and countersigned by Secretary (Water Resources/ Irrigation) of the State Government and should reach to field monitoring unit of CWC by first week of July, October, January, and April(of next financial year). 

4.8   States will have to ensure that there is no overlapping of the works under taken in the Minor Irrigation schemes and the works under taken in the M.N.R.E.G.S and other schemes of Central and State Government.

4.9  If the State Governments fails to comply with the agreed date of completion, the grant component released will be treated as loan and recovered as per usual terms of recovery of the Central Loan.

4.10  The State Government should make matching budget allocation and release for CAD activities proportionate to creation of potential under AIBP components.

4.11  The States would be required to submit audited statements of expenditure incurred on the AIBP component of the project within nine months of the completion of the financial year. The release of central assistance of the following years will not be considered if audited statement of expenditure is not furnished within nine months of release of central assistance.

4.12  A project will be treated as ‘completed’ only when the corresponding CADWM works and the R&R works are completed.

4.13  Concurrent evaluation of the project by State Government is mandatory at the end of each Financial Year during the period of funding.