Selangor state legislative assembly backbenchers chief Azmin Ali (PKR-Bukit Antarabangsa) today criticised the state government's habit of seeking additional funding.

While debating the motion of thanks on the royal address today, Azmin said this would create a negative public perception of the state's financial planning ability.

"Were the funds for Budget 2013 spent completely within the first six month of the year?" asked Azmin, who hoped his criticism would spur the state's financial managers into action and avoid public disappointment.

The state government is currently attempting to pass a Supplementary Supply Bill for RM761 million. It had initially budgeted RM1.67 billion for 2013 and dubbed it a "balanced budget".

The additional funds were sought to fund the state's free water programme (RM165 million), loans for Kumpulan Darul Ehsan Bhd's acquisition excercise (RM413 million), loans for Subang Jaya Municipal Council projects (RM24 million) and other development projects (RM76 million).

Was the Budget really 'balanced'?

According to Azmin, Pakatan Rakyat's five-year administration of Selangor beginning in 2008 had seen supplementary budgets being sought at least once every year.

"In fact, during the third session there were three Supplementary Supply Bills tabled," he said.

Azmin said that in principle, a state government has to seek public mandate through the state legislative assembly in order to spend from the public's coffers, but things appear to be getting out of hand.

"It would be very bad if at every state assembly sitting, members are required to approve Supplementary Supply Bills on grounds of unforseen expenditure needs.

"It would reflect that the state government had memesongkan (misused)' the state legislative assembly to table a balanced budget, only to seek its permission to use more funds three or four months later," he said.

Don't take easy route

Azmin said that budgeting for the welfare of the people canbe planned properly without frequent need for supplementary budgets.

In the case of KDEB's acquisition of Kumpulan Hartanah Selangor Bhd (KHSB), Azmin said this was planned a long time ago and that KDSB had sought emergency funds with a very short notice.

"I don't deny that such corporate restructuring has advantages, but my question is if KHSB's restructuring was viable and had good returns, I"m sure KDEB could source funds from the finance sector.

"Why did KDEB take the easy route and thus burdening the state government with a loan and using public funds?" he asked.

Azmin added that although the state now has reserves of RM2.5 billion, it does not mean that the state government can spend without a sense of prudence.