MANUAL-1

Particulars of Organization, Functions & Duties

[Section-4 (1) (b) (I)]

1.  Aims & Objectives of the Organization:
A. Odisha's  consistent  economic  performance  is  expected  to  hasten  the  pace  of  urbanization,  creating unprecedented demand for urban amenities and services. At the same time, the improving fiscal situation provides the State Government with a unique opportunity to create an urban financing institutional framework to support this urbanization in a planned manner. The increase in Budgetary Outlays for Urban Sector and visible reforms reaffirms Government to address urbanization in a planned manner. Thus, there is a need for a nodal urban financing framework.

B. However, a number of constraints have impeded structured and systematic development and financing of urban infrastructure. Traditionally, Municipal finances have been weak; capital investments have largely been dependent on Go's Budgetary Outlays / Grants. Debt financing has been limited to State supported Projects. Weak financial and operational capacity at local levels has further constrained conceptualization, development, financing and implementation of urban infrastructure projects. The imperatives that emerge from the prevailing urban context in Odisha include.

v Wider reform and capacity building to facilitate greater Government devolution and revenue buoyancy at ULB level.

Focused Project Development, to translate macro-level investment requirements into well-structured Projects to deliver citizen level impact and benefits.

Effective  leverage  and  access  to  external  financing,  including  private  capital,  to  address  capital investment requirements through well-structured Projects in a time-bound manner.

C. It is in this context that Go's have set up the "Odisha Urban Infrastructure Development Fund (OUIDF)" as a Trust under the Housing and Urban Development Department (HUDD) with assistance from KfW (Germany's Development Bank).

2. Objectives of the Trust:
a. To give financial assistance to ULBs, Statutory Bodies and Departments, Public Sector Undertakings and Private Investors, for setting up Infrastructure Projects in the State of Odisha in the form of Loans, Grants and Equity as per the guidelines issued by the Trustees. The ultimate goal of the Trust is to become financially self-sustainable and facilitate debt financing of urban infrastructure projects in Odisha in a non- guaranteed mode.
b. To borrow or raise moneys or loans or receive grants or accept Contributions for the above purpose in such manner and on such terms, conditions and securities as the Board of Trstees in their discretion deem fit from time to time.
c. To guarantee the performance of any contract or obligations and the payment or money or dividends and interest on any Stocks, Share or Securities of any Company, Corporation, Firm or Person in any case in which such guarantee may be considered directly or indirectly to further the main objects of the Trust.
d. To subscribe for, underwrite, acquire, hold and dispose of shares, stocks, debentures, debenture stocks, bonds, mortgages, obligations, securities of any kind issued or guaranteed by any company (body corporate or undertaking) of whatever nature as may be conducive to the objects of the Trust.
e. To invest any money of the Trust not immediately required, in any investments as may be thought proper and as may be necessary.
f. To do all other things necessary and conducive to the attachment of all these objects.

3. Mission/Vision:

Mission

Realizing the Vision by embarking on implementing urban reforms, strengthening urban planning with citizens participation,  building  capacity  of  Urban  Local  Bodies  to  deliver  services,  creating  and maintaining  Urban Infrastructure, operationalizing effective water supply and sanitation system including solid waste management, developing public places and amenities, making provision of affordable housing for urban poor and thereby improving the economic condition.

Vision:

To ensure planned and inclusive infrastructure development of urban Local Bodies / Cities / Towns in to livable, economically vibrant and productive, sustainable an efficient entities with provision of adequate and durable public infrastructure and amenities, including affordable housing and livelihood opportunities for all sections of the society and bringing out efficiency in the service delivery mechanisms, community participation and accountability of urban local bodies and parastatal agencies towards citizens, in convergent manner.

4. History & Background of Its Establishment:

With the aforesaid Aims & Objectives vis-à-vis Mission and Vision, pursuant to the G.O.No-Reforms-UR-01/2012/2079 of Housing & Urban Development Department, Govt. of Odisha, dated: 31.01.2012 a Trust has been formed, named Odisha Urban Infrastructure Development Fund (OUIDF) with the Chief Secretary as the Chairperson and D.C-cum-A.C.S, Principal Secretary  (Finance   Deptt.),    Commissioner-cum-Secretary, H&UD Deptt., Vice-Chairman, BDA Sri Sarthak Behuria, Ex-CMD Indian Oil Corporation Limited, Sri Rajib Sekhar Sahoo, Chartered Accountant, M/s SRB Associate as Trustees, for the purpose of the financing Infrastructure Projects in the State of Odisha undertaken by Urban Local Bodies, Statutory Bodies, Public Sector Undertakings & Private Investors, and attact, inter alia, investments, professional advice from institution for financing infrastructure projects. The Trust was registered in the Court of District Sub-Register, Khurda, Bhuabneswar and came in the existence with effect from 20.03.2012.

Odisha's economy in 2012-13 has impressively withstood the continuing slowdown in economic growth throughout in previous year. Several factors have contributed to the continuing economic slowdown in World as well as National Economy since 2008-09. In India inflation has been remaining high. This has raised interest cost for investors as a result of which private investment has slowed down considerably. However, the State economy continues to be on high growth trajectory. In real terms and at 1999-2000 prices Odisha reported an average annual growth rate of 9.51% for the 10th five year plan against a target of 6.20%. There is a welcome sign of drop in poverty incidence during 2004-05 to 2009-10 i.e. 20.2 percentage points fall, consisting 21.6 percentage points in Rural, 11.7 percentage points in Urban Areas of Odisha, this being the highest fall amongst the major States of India.