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Finance

Finance Responsibilities of Tata College, Chaibasa

As a Constituent Unit of Kolhan University, the financial administration of Tata College acts as a custodian of public funds. Its financial responsibilities are governed by a complex framework involving the Jharkhand State Universities Act, UGC and PMUSA Guidelines, and the Jharkhand Financial Rules (JFR).

Unlike private or affiliated colleges, Tata College does not have full financial autonomy; it operates as a decentralized unit of the University/State Government. The financial responsibilities can be categorized into Governance, Fund Management, Procurement, and Compliance.

1. Financial Governance Structure

  • Principal as DDO (Drawing and Disbursing Officer):The Principal is the highest financial authority at the college level. They act as the DDO, meaning they are authorized to draw funds from the government treasury and disburse them for salaries and operational expenses.
  • The Bursar (Finance Officer):To assist the Principal, a senior faculty member (often from the Commerce or Economics department) is appointed as the Bursar.
    • Role: The Bursar scrutinizes all bills, manages cash books, verifies vouchers, and ensures that every rupee spent aligns with the approved budget. No bill is typically passed without the Bursar’s recommendation.
  • Finance/Purchase Committee:A statutory committee comprising senior faculty members oversees major financial decisions. This committee prevents unilateral spending and ensures collective decision-making for high-value purchases (e.g., lab equipment, library books).

2. Management of Funds and Grants

The college manages funds from three primary sources, each with specific norms:

A. State Government Funds (Govt. of Jharkhand)

  • Salaries & Pensions: The most significant financial responsibility is the disbursement of staff salaries. This is done through the Human Resource Management System (HRMS) or the State Treasury. The college must submit absentee statements and pay-bills to the University/Treasury to release these funds.
  • Contingency Grants: The state provides limited funds for electricity, water, stationaries, and general maintenance. The college is responsible for utilizing these strictly for the assigned heads.

B. UGC & RUSA Funds (Central Govt)

  • Development Grants: Funds received from the University Grants Commission (UGC) or Rashtriya Uchchatar Shiksha Abhiyan (RUSA) are strictly “Project Based.”
  • PFMS Compliance: The college is responsible for managing these funds through the Public Financial Management System (PFMS). This digital portal tracks every transaction to ensure that central money is not parked idle and is used for its intended purpose (e.g., building a new block, upgrading smart classrooms).

C. Internal Revenue (Student Fees)

  • Collection: Fees for admission, tuition, and examinations are now largely collected online via the Chancellor Portal.
  • PL Account (Personal Ledger): The college maintains a PL Account for internal receipts. These funds are utilized for student welfare, college development, and hiring contractual staff, subject to University approval.

3. Procurement and Expenditure Rules

The college must strictly adhere to the Jharkhand Financial Rules and GFR (General Financial Rules) for all spending:

  • Government e-Marketplace (GeM): For the purchase of goods and services (computers, furniture, security services), the college is mandated to purchase through the GeM Portal to ensure transparency and lowest prices.
  • Tendering Process: For construction or large purchases not available on GeM, the college must float “Open Tenders” or “Quotations.” The Purchase Committee opens these bids in a transparent manner to award the contract.
  • Asset Register: The finance section is responsible for maintaining a “Stock Register.” Every item purchased—from a microscope to a fan—must be numbered and entered into the college records before payment is released.

4. Auditing and Accountability

  • Utilization Certificates (UC): After spending grants (especially UGC/RUSA funds), the college must prepare and submit Utilization Certificates. Failure to submit UCs stops future funding.
  • Audit Mechanisms:
    1. Internal Audit: Auditors from Kolhan University periodically check the college ledgers.
    2. Statutory Audit: The Accountant General (AG), Jharkhand, conducts high-level audits. The college finance team is responsible for answering any “Audit Objections” raised regarding irregular spending.

5. Student-Centric Financial Duties

  • Scholarships: The college acts as a verification node for the e-Kalyan scholarship portal. The finance/admin section verifies the bank details and caste certificates of tribal and backward class students to ensure they receive state scholarships.
  • Fee Waivers: Implementing fee waivers for girls or SC/ST students as per Jharkhand Government policy.

Summary of Responsibility Flow

  1. Budget Preparation (College estimates needs) $\rightarrow$
  2. University/Govt Approval (Grants sanctioned) $\rightarrow$
  3. Expenditure (Via Purchase Committee/GeM) $\rightarrow$
  4. Payment (Via PFMS/Cheque by Principal & Bursar) $\rightarrow$
  5. Audit (By AG Jharkhand/University).