Portal de Moratalla
www.portaldemoratalla.com
During the last regular session of the month September held in the City of Moratalla, the PP government team adopted municipal debt increased by approximately 2.5 million euros, in addition to the 5.5 approved last year through several concepts.
More information at this link:
PP OF THE CITY COUNCIL indebted STILL MORATALLA
And among one of the points of the agenda adopted by the absolute majority of the PP, was the point concerning the ACCESSION TO ACTION SETTLEMENT CONTAINED IN TITLE II OF LAW RD 8/2013 of 28 June, URGENT ACTION DEFAULT AGAINST PUBLIC ADMINISTRATION AND SUPPORT A LOCAL AUTHORITIES WITH FINANCIAL PROBLEMS.
Or put another more clearly: the Ministry of Finance of the Government of Rajoy forward an amount of € 1.5 million to this council on account of income should receive over 2014 One-time. the PP government team in advance of Moratalla have that kind of money that would otherwise be perceived throughout the year, allowing reintegrate during the next 3 years on a monthly basis at the rate of legal interest, paying such interest annually.
That is, further increasing current expenditure which it is required to pay each month for years in exchange for money in the short term, while adding to the total amount due amount and pay more and more interest.
This, which may be a solution to a specific problem of lack of liquidity, in addition to other measures such as overtime and the two payment plans approved suppliers, and they will go playing an increasing role as a slab to local finance , especially since January 2014 when he began amortizing capital aside to pay interest (ended the grace period of the first loan capital of the first plan payment to suppliers).
But with regard to this point, no one believes that this advance payment of the Central Government itself Rajoy will go free, because in addition to the associated interest involves a series of conditions that could qualify as genuine economic intervention.
We had to recount for understanding and clarification:
1st.
Reduce, by at least 5% of their expenses under Chapters 1 and 2 of the statement of expenditure in the first financial year in which may apply such measures and not increase in the following two years running:
I mean, you have to reduce by 5% between staff costs and running costs, which in total and according to the 2013 budget totaling: 3170446.43 + 2.20.482,20 = 5430928, 63 euros.
They will have to reduce annual amount of 271,546.43 euros, approximately a monthly payroll of all employees of the entity.
And if as has been said more than once and it is clear, the operating costs is already very difficult to reduce because of previous cuts on them, will they return to lower wages to workers?
Are they going to start cutting staff?
2nd.
Fully fund the cost of public services through the application of fees and charges to the following limitations:
a) First year: the fees and charges must finance at least 50% of the cost of the related public service.
b) Second year: finance at least 75% of the cost of the related public service.
c) Third, to finance the entire cost of the related public service.
That is, they will be families using these services who will end up paying for them in full.
How many families in this municipality will be able to afford it?
Goodbye municipal nursery?
Goodbye music school?
Farewell day center? ...
3rd.
Tax ordinances must meet the following requirements:
- May not delete any of the tributes that have come to demand by the local entity during the year 2013 bye any chance of rebate or tax exemption..
- One may adopt measures determining an increase of the overall amount of contributions from each local tax.
I mean, not lower taxes, but leave the door open to further increases itself.
- May not apply reduced rates ... I mean, goodbye to tax exemptions, rebates social type in taxes, etc..
- They must be approved for each year in which these measures are applicable, tax rates in the Property Tax (IBI) guaranteeing at least the maintenance of the overall amount of tax payable for the previous year.
Put another way, than as fall collection "contribution" for example, unpaid tax increase, again further increases to be paid the rest of the families in the municipality occur.
4th.
During the validity of these measures, municipalities, may not directly or indirectly acquire, establish or participate in the creation of new agencies, partnerships, trusts, foundations or any other agency or entity.
Limit the maneuverability of the council to promote new tools that allow us to try to promote economic and social activity in the town.
5 °.
In case you are not approved budgets will be considered immediately carried over the previous year.
6th.
In the event that previously extended exisitendo one budget, the House Local Corporation does not approve the budget for the fiscal year immediately following, it must be submitted to the Local Government Board, who shall have the authority for approval.
This is a genuine democratic municipality attack by limiting and reducing the plenary powers, and top political representation moratalleras moratalleros and the approval of the most important statutory body and to other conditions, such as the budgets of all one year (or next if renewing).
7th.
Municipalities which have a volume of debt which may be offset by withholding participation in State taxes and exceeds their non-interest income, net of liquidation of pesupuesto the year 2012 and conclude municipalities lending operations to finance negative cash remaining for general expenses, shall submit prior and binding report by the Ministry of Finance and Public Administration approval of municipal budgets.
In other words, this is already a de facto intervention by the central government, to be binding prior approval of budgets by the Ministry of Finance, who will have the first word.
8th.
Borrowing operations to be signed within the framework of Title II of Royal Decree-Law may not be granted or guaranteed by public entities in the state sector.
Goodbye to any subsidiary financial support from the Central Government.
9th.
Prior to December 31, 2013, shall apply to the General Directorate of Cadastre, its inclusion as a priority in the cadastral adjustment required by the additional third of the Consolidated Cadastre Act provision.
To this end, they shall accompany the application for any information available property or alterations of their characteristics unincorporated Cadastre.
Again it will make a cadastral revision of the municipality with tax collection effort, not fulfilling agreements full previously approved even by the government team of PP, referring to the motion presented by the PSOE of Moratalla in which requested a review of cadastral down and its relevance to the market price values, and you can read here: REVIEW OF SECURITIES IN THE MUNICIPALITY OF CATASTRALES MORATALLA.
So much is the level of economic intervention on the council to:
- The amounts resulting from the application of the measures referred to in this article shall be paid into a bank account owned by the municipality of restricted use must be approved the proposal of the municipality, by the General Secretariat of Regional and Local Coordination, Ministry of Finance and Public Administration
This authorization will be individualized and determined, inter alia, the conditions of use of that account, specifying the payments due under the same and have the obligations of information and control of the credit institution.
Said General Secretary of Regional and Local Coordination will have access to said bank account and, for cause and after notifying the municipality may order blocking.
Both banks, when the Ministry of Finance and Administration is requested, as the treasury of the municipality, quarterly, be forwarded to the Ministry of Finance and Public Administration
the detail of the movements produced in that bank account.
And at this, PP LOCAL GOVERNMENT TRYING TO PRESENT THIS ADVANCE MONEY AS THE SOLUTION TO THE PROBLEMS OF LIQUIDITY AND DEBT OF THE CITY OF MORATALLA.
Source: PSOE Moratalla
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