Shillong, Oct 01: The Cabinet of the MDA Government, led by Chief Minister Conrad K. Sangma, on Monday announced a major decision to address the long-pending financial concerns of the District Councils.

Briefing the media after the Cabinet meeting, the Chief Minister said the government would release funds to clear the backlog of salaries for District Council employees, based on the recommendations of a subcommittee.

The decisions include:

Release of ₹24–25 crore – the Councils’ due share of taxes already with the State Government.

Advance of about ₹25 crore – to enable payment of 12 months of pending salaries, along with the salary due on November 1.

Creation of an escrow account – to ensure funds are used strictly for salaries and not diverted for other expenses.

Sangma clarified that this move is not a bailout package but an advance release of the Councils’ revenue share. Nearly 800 of the 1,200–1,300 employees have already given written consent supporting this arrangement.

To strengthen institutional functioning, the Cabinet also proposed that the Deputy Commissioner act as ex-officio Principal Secretary to the Council, ensuring continuity in administration.

The Chief Minister further emphasized the need for reforms, including the introduction of service rules, financial rules, procurement norms, rationalisation of workforce strength, and computerisation of revenue systems.

Highlighting government support in recent years, he noted that over the past four and a half years, the State Government has facilitated payment of nearly 42 months of salaries through additional fund releases to the Councils.

Drawing a parallel with interventions in other state-run institutions such as the Meghalaya Energy Corporation Limited (MeECL), Sangma said such measures are sometimes necessary to ensure continuity of essential public services.