Portal de Lorca
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The second deputy spokesman of the PSOE in Lorca, Isidro Abellán has detailed the "consequences which the consistory Lorca faces because" the duplicity of charges and infighting in the PP are beginning to take their toll, showing that the PP economic management of water makes the city of Lorca has reached the bank debt ceiling "This statement comes once from the Municipal Socialist Group have carefully studied the 2015 budget settlement, for which it is uncovered that.";
It has had to reduce the current budget, and most worryingly, the PP and has had to mortgage the budget for next year. "
Abellán advance these and other issues will be discussed at the next extraordinary plenary session, which according to the socialist mayor "the government team will have to account for the budget 2015 Liquidation, according to which the deficit increases of the City Council in more than 2,000,000 € (2.195.686,56.- €) record on budget amendment for cancellation of appropriations, as a result of that settlement of the 2015 budget of reducing the current budget € 2.800.000.- 2015, more than 3.5% of it, which is almost 79 million euros on the approval of a loan to LIMUSA of € 4.5 million for the implementation of the new vessel municipal solid waste, and on the approval of a long-term loan amounting to 10 million euros to clean up part of the Remnant Negative Treasury 2015 ";
"Remnant Treasury (RT) which is the true indicator that reveals the plight of the city of Lorca and the Popular Party strives to hide."
The socialist mayor has revealed that "the year 2014 closed with a negative RT in -12.774.510,07.- € and 2015 ended with RT also Negative -14.970.196,63.- €" whereby "the Remnant Negative cash, ie the City of Lorca deficit has increased in 2015 in 2.195.686,56.- €, almost € 2.2 million."
"The Popular Party is financing the works in Lorca with money from the current budget"
According Isidro Abellán, "and although the PP has prepared his excuse planning agreements which nobody believed, the explanation of this serious economic situation is due to the team's governing Popular Party is financing the works in Lorca with money current budget, ie the municipal coffers are anticipating money that is yet to come ".
In this sense, Abellán has announced that "from now we want to register our concern because the city of Lorca has had to detract from its current budget of Lorca almost 9 million € to cover the payment of various works, and these , 4 million to pay the Auditorium and the Central Round, although boasted that these works would not cost a penny to Lorca. "
"The City of Lorca has reached the maximum limit of bank debt"
Abellán recalled that 2014 closed with € 12.774.510,07.- of RNT, and the budget for 2016 which was approved last December, the authorization to contract a loan for that amount to clean up this deficit was included.
But, as he detailed "as the new deficit for the year 2015 has come before this loan will consult, we must now adapt to the new amount, ie € 15 million, and that is where we have the first result : the City may only apply for a loan of 10 million since today the Local Finance Law only allows our council borrow 10 million euros. "
In this sense, the socialist mayor anticipates that "when this loan of 10 million euros is signed, the city of Lorca as a whole it will be owing to banks more than 79 billion euros, more than the budget of 2016, which envisaged an expenditure of € 78.9 million. "
"If those 79 million euros of bank debt we add the 23.5 million outstanding reflecting the liquidation of the budget, we can say now that the real debt of the City of Lorca result of the disastrous management of the PP it is above the 100 million euros ".
"10 years later and PP management, the bank debt stands at 79, ie, with the PP debt banks has increased almost 3 increased by 282%."
On the other hand, according Abellán "By law, the government team would have to decrease the current budget of 2016 to reach € 5 million remaining, however this decrease will 2.800.000.- €. A decrease" very difficult to while reckless, which is the most we have been able to detract from the current budget this year, and that could well be destined to social, cultural, educational purposes, districts, or any of the most pressing needs that the municipality ".
In addition, to finish up the shortfall of € 15 million, the PP is obliged now to adopt a commitment to approve the 2017 budget with an initial surplus of € 2.170.196,63.-.
"That is, we are in March 2015, and already have mortgaged the budget for next year by almost 2.2 million euros".
"The PP has shown that artificially inflated municipal budgets"
Isidro Abellán has announced "further evidence of the inefficiency and inability of the Popular Party in front of the municipal economic management".
According to the social responsibility, "an example of this inefficiency is the evolution of doubtful debts generated by the PP, or close 2015 with 5.5 million euros in outstanding receivables".
"Only in the Urban IBI, of 13.4 million euros, 10.5 left," said Abellán.
In addition, Abellán has brought to light that "2015 closed with unpaid bills amounting to 4 million euros, € 1,400,000 more than in 2014".
"Although the government team says that the city pays 30 days, we know that there are many suppliers who will not be applied this time and have bills unpaid for many months," he reports.
As to make inflated budgets, among other cases, Isidro Abellán has revealed that "among others, and as an example, despite having budgeted 100,000 euros of income from War Theater box office, only they were entered 3.646,40.- €, revenues or public price of the municipal swimming pools in 2015 was € 7.891,11.- when they were budgeted 20.000 €, 60% less. "
Source: PSOE Lorca
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