Ulhasnagar Municipal Corporation (UMC), has announced slight rise in the water tax and no hike in property taxes in its budget presented for the financial year 2025-26 on March 24.

Additionally, the administration has said that the water bills, which were previously paid along with property tax, will now be collected separately.

The city has been facing a severe water supply issue, despite the water project cost rising from Rs150 crore to Rs450 crore. The contract for the project was given to Konark Company, but many areas still experience shortages.

Addressing concerns, the civic body has demanded a detailed report on the work from Konark Company.

“140 MLD water supply from MIDC is sufficient, but illegal water connections and theft have worsened the crisis. Misuse of commercial meters under domestic names and multiple water meters in single households are major concerns. We will now take strict action against offenders to ensure proper water distribution”, said Manisha Awhale, municipal commissioner.

The budget also includes provisions for a new flyover on the Kalyan-Karjat Highway and the development of "smart roads" with cycle tracks, pedestrian footpaths, and dust-free roads.