Civic bodies in Kerala can now disburse ₹3,000 from the distress relief fund of the Mayor/Chairman in case of emergencies. The state government has increased the limit of the amount which can be disbursed by the Chairman of the municipality or Mayor of the corporation to an eligible beneficiary or a family even without a formal application. At present, the amount which can be disbursed from the distress response fund is ₹500. This has now been hiked to ₹3,000. The amendment is being effected with local body poll notification expected in two months.

Special Secretary, LSGD, T V Anupama has issued a gazette notification announcing the change. The amendment will modify the provisions of Kerala Municipality (Constitution and Utilisation of Distress relief fund), Rules, 2003. As per the rules, every municipality may, by a resolution of the council, constitute a distress relief fund credited and kept separately in the Municipality Fund known as the Distress Relief Fund of the Chairman or the Mayor. This is meant for providing urgent financial assistance for the purpose of giving relief to the poor persons residing in the Municipal area and suffering distress due to heavy rains, flood, natural calamity, fire, storm, sea erosion, accidents, protracted illness etc.

The amount required for constituting the fund has to be collected by organising arts,sports,entertainment programmes and by accepting contributions from individuals, organisations and institutions. The rules mandate that for the collection of fund, there shall not be any type of extension of compulsion or adoption of coercion or offer of enticement or promises or any act of abuse of power or causing of loss of any income due to the Municipality or causing of damage to the development activities of the Municipality.

Usually, the financial assistance is decided by the council of the civic body following an application. This is then decided by a sub-committee. The rule says that in emergency situations, the Chairperson may give financial assistance up to ₹500 from the fund to a deserving individual or family even in the absence of an application. This must be ratified by the subcommittee within one month. The government has now revised this emergency fund to ₹3,000.