CPSMSProject Cell

Office of the Controller General of Accounts

Ministry of Finance
Government of India

Central Plan Scheme Monitoring System

(CPSMS)

What is CPSMS

The Central Plan Scheme Monitoring System (CPSMS), is a Central Sector Plan Scheme
of the Planning Commission and is being implemented by the Office of Controller General
of Accounts. The scheme aims at establishing a suitable on-line Management Information
System and Decision Support System for the Plan Scheme of the Government of India.
With 139 Central Sector Schemes (CSS) and more than 800 Central Sector Schemes
(CS), along with State Plans and Additional Central Assistance (ACA), the CPSMS aims to
track almost Rs.300,000 Crores. The system is envisaged to track the fund disbursement
from Government of India up to the last beneficiary under Plan Schemes and ultimately
report utilization under these schemes at different levels of implementation on a real
time basis.

Objectives of CPSMS

1. Release of Funds:

To capture all releases from the Central Civil Ministries to States / Special
Purpose Vehicles (societies) / Autonomous bodies / NGOs / individuals

To register all agencies receiving these releases.

To capture component-wise releases expenditure from Special Purpose Vehicles
(societies) / Autonomous bodies / NGOs to subsequent implementing agencies in
the States/UTs.

2. Utilization of Funds:

To capture beneficiary-wise and component-wise fund utilization by implementing

agencies at the State, District, Block and lower levels under various Plan Schemes
of Government of India.

Payment to ultimate beneficiary through the banking channel.

3. Reforms in the area of Public Financial Management:

Move from prescriptive fund release system to ‘just in time’ fund release system
minimizing float with the banks thereby leading to a better fiscal deficit
management.

Moving from the system of booking fund releases as ‘expenditure’ to a system of
booking actual utilization reported from the field as ‘expenditure’.

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Providing on-line status of fund utilization on a real time basis both under the
fund devolved through the Treasury route and SPV route, leading to a better
Decision Support System.

4. Public disclosure

All relevant information will be put in the public domain following the principle of
maximum public disclosure.

Implementing Authority

The office of the Controller General of Accounts (CGA), which is the apex accounting
authority of the Government of India under Ministry of Finance, is implementing the
Central Plan Scheme Monitoring System (CPSMS) in the entire country.

Implementation Strategy

The scheme is being implemented through the web based application developed and
deployed by the office of the Controller General of Accounts in tandem with well
established accounting software of the Controller General of Accounts, viz. COMPACT &
e-Lekha. All Ministries / Departments have to register the details of agencies receiving
grants from Governmentof India on this portal. Thereafter Sanction-IDs are generated
on the portal and sanction orders are generated, DDO incorporates the bill number and
PAO enter the payment detail. The detail of releases made are being captured by the
system on a real time basis after payment has been released. The system has helped in
creating a comprehensive and permanent master data bank of all the agencies receiving
grant under all Plan Schemes from the Government of India. The CPSMS portal can be
accessed through http://cpsms.nic.in.

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Unique Financial Management Information System through the CPSMS – CBS
Interface
The Central Plan Scheme Monitoring System, for the first time in the area of public
financial management, is geared to generate a robust and reliable Financial Management
Information System (FMIS) in tandem with the Core Banking Solutions (CBS) of the
banks. Unlike other MIS applications where financial MIS depends on the post facto data
feeding, the fund utilization data fed in the CPSMS will have one to one correlation with
the banking transactions being done by the implementing agencies as the entry in
CPSMS will precede banking transactions. Thus, the FMIS available from the system
would have data reconciled with banking operations.

Implementing
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Beneficiary/Institution/
Agency C H E Q U E Vendor

1 4 C
Feeding of H
Cheque No. E
and Amt. on
Q Payment to
CPSMS Portal
U beneficiary is
E made when
Cheque no. & Amt. as fed by [3] & [4]
the agency is shared with the match.
3 agency’s bank CBS 5
CPSMS of Bank
The sharing takes place every
15-30 minutes

Status of CPSMS-CBS Interface: CPSMS-CBS Interface has also become operational

with all Public Sector Banks, major private sector banks and a number of Regional Rural
Banks (Grameen Banks). By the end of 2012 all RRBs will be on board. Daily account
balances along with days’ transactional details are now available for around 2,50,000
Implementing Agencies which are registered on CPSMS with their accounts in CBS
branches of banks. The availability of bank balances on a real time basis is not only
updating programme managers on the level of fund availability, but also helping them
corroborate the expenditure details filed by these Implementing Agencies on CPSMS.

CPSMS-CBS Interface is now gradually moving to e-payments to beneficiaries of

social sector programmes using the banking interface.

Rollout Status at the Central Level:

The scheme is fully operational at the Central Government level since last two years. It
is being operated in all Civil Ministries by mapping their schemes, budget & head of
accounts. During the first two years of its implementation, the CPSMS has been able to
capture around 3,55,000 agencies who receive grants from the Government of India.
More than 3,00,000 Sanctions/Sanction-IDs have been generated from the system. The
CPSMS is able to generate Ministry-wise, Scheme-wise, State-wise, Agency-wise,
District-wise (in case of direct transfers of funds), and individual wise disbursements
made under various Centrally Sponsored and Central Sector schemes. These reports,

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made available to the programme divisions in the respective Union Ministries as well as
to the State Governments, have immensely added value in terms of greater
transparency and accountability in implementation of these schemes.

Rollout Status in States:

Having consolidated the position at the Central Government level, in the next phase, the
scheme has been rolled out in the States of Punjab, Madhya Pradesh, Mizoram and
Bihar, covering major plan schemes, such as Sarva Siksha Abhiyan (SSA), National
Rural Health Mission (NRHM), National Rural Employment Guarantee Act (NREGA) and
Pradhan Mantri Gram Sadak Yojana (PMGSY). Actual utilization of fund, advances given
and bank balances of Implementing Agencies under these schemes are now available up
to village level in these States under these schemes.

For getting on-line status of utilization of funds devolved through the Treasury route, the
system is at an advanced stage of integration with the Treasury of Maharashtra
Government. The Mission Mode Project on Treasury Computerization has made it
compulsory for all State Treasury to get integrated with CPSMS.

On full implementation, the system would provide a platform on which the management
at each level would be able to monitor fund utilization under various plan schemes. The
system would provide customized information of fund deployment and utilization
vertically under each scheme and horizontally across schemes to Finance Secretaries,
Administrative Secretaries, District Collectors, and to district agencies etc. Significantly,
the system would help in monitoring utilization of funds being handled by special
purposes vehicles (SPV), which otherwise escape the checks and balances inherently
built into the treasury system of disbursement.

A typical dashboard for the central users looks like this:

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Benefits derived from CPSMS

• It captures all schemes operated by central civil ministries with Budget provision
on the CPSMS Portal.
• It provides a common platform which can provide details of Ministry wise,
Scheme-wise, State-wise and Agency-wise sanction issued and releases made
both through the Treasury route and the Special Purpose Vehicle route.
• The releases & expenditure statement along with percent utilization vis-à-vis the
BE can be generated on daily / monthly basis.
• All releases to North-East States are available indicating Ministry-wise / Scheme-
wise and Agency-wise reports.
• It distinguishes between releases / transfers of funds and final expenditure
incurred.
• System provides comparative statement of releases made in corresponding
period of previous years.
• System can indicate the detail of all such agencies (including NGO’s) drawing
Grants from more than one Scheme / Ministry / Department.
• All sanctions can be tracked right from its inception in the Programme Division,
movement to DDO for bill submission, to PAO for payment, and to banks with
cheque / advice detail.
• Report on sanctions issued, sanctions settled and sanctions pending is available
to all users. A pendency report can also be generated from the system. The
tracking of sanctions and pendency reports are very effective tools of regular
monitoring
• Sanction orders are being generated through the system. The inbuilt “draft
sanction modules” reduces the data entry work, typing work and data entry
related errors in preparation of sanctions.
• Sanction orders issued through CPSMS are available to beneficiary states /
implementing agencies / entities & to individual to trace their releases.
• Universal application of CPSMS software covering all Plan schemes of Government
of India reduces the proliferation of local software and portals running for
different schemes at Central and states level.
• Conditional cash transfers (CCTs) of various ministries can be consolidated into a
large and more efficiently delivered CCT scheme to derive maximum social
benefit.

Benefits to State Governments

• Provide detail of all grants received by the State from different Central Ministries
under Different Schemes.
• Provide detail of plan grants received through the Treasury transfers, Special
Purpose Vehicles, Societies, Autonomous bodies, NGO’s and individuals registered
in the state.

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 • Provide detail of plan grants directly received by a particular District, district
societies, autonomous bodies & NGOs located in the district.
• Capturing component wise MIS on the releases made by State/ district/block level
implementing agencies.
• Capturing component wise real time based expenditure incurred at various level
of implementation. Various implementing agencies at the State, District, Block
and below level will generate Sanction-IDs on the CPSMS system and component-
wise expenditure would be captured on an on-line real time basis duly reconciled
with banking transactions.
• On full implementation customized dashboards for management at all levels will
be available to monitor the programme implementation on an on-line basis.

Benefits to Citizen

• Direct payments under social sector schemes and CCTs removing intermediary
bureaucracy and other middlemen.
• A Citizen Information Portal is under construction.
• Once operationalized, the portal will disclose all the releases under Plan Schemes
from Government of India to the first level entities who are the direct recipient of
GOI funds. With implementation in States this information will be available for
down the line agencies reaching up to the last beneficiary.
• Citizen will also get an option to get registered on the portal with their
geographical location.
• Registered citizen will get automatic alerts of all the funds reaching the
Government facilities in their location along with the intended purpose of those
funds.

Citizen Information Portal will have the following information in the first phase:
• Details of agencies registered
• Agency wise releases
• State wise releases
• District wise releases
• Scheme wise releases
• Sector wise expenditure
• Expenditure under flagship schemes
• Expenditure related to Millennium Development Goals

Recommendations of the High Level Expert Committee on Efficient Management

of Public Expenditure headed by Dr. C. Rangarajan

The Committee recommended that “the CPSMS should be extended to enable tracking of
utilization of funds for all Central Schemes in all States for which resources are either
transferred through treasury route or society route.” Thus, a clear indication is there that
gradually CPSMS has to cater to the needs of all Central schemes and not only Plan
Schemes.

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Various Reports Generated from the System

There are a large number of user defined reports which can be generated from the
system on-line. Snapshot of a few of the reports are given below:

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Front page of proposed Citizen Information Portal of CPSMS