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The Cabinet has approved this morning a Royal Decree-Law adopting urgent measures to repair damage caused by earthquakes that occurred on May 11 in Lorca (Murcia).

The intensity of this phenomenon has resulted in the death of nine people.

In addition, more than two hundred people have been injured, thousands of them have been evicted from their homes and there have been damage to buildings and infrastructure in public ownership in cultural heritage and in many homes, which require, from the constitutional principle solidarity, the adoption of remedial measures and restorative, by governments, which contribute to the restoration of normalcy in the area.

In developing the Royal Decree were representatives of the Ministries concerned (Interior, Defence, Finance, Territorial Policy and Public Administration, Presidency, Labour and Immigration, Development, Health, Social Policy and Equality and the Environment, and Environment Rural and Marine Affairs) and representatives of the Autonomous Community and the affected locality.

The situation in which there are numerous families whose homes have been destroyed and serious damage to the infrastructure of the town warrant for the adoption of these exceptional measures, are go to the formula of Royal Decree Law In It sets the following basic steps:

Aid to individuals in cases of death or total and permanent disability

Eighteen thousand euros will be awarded to the spouse of the deceased or person with a similar relationship to the minor children and the adult children who are financially dependent on the deceased.

Be given the same amount in the event of total and permanent disability, being the beneficiary of the aid the person found in that situation.

Aid to individuals for rental housing

- When a residence has been totally destroyed or due to poor condition would have been, has been precisely its demolition, their occupants, if they own, they will fund the rental of a dwelling and, if they were in solitary rent, they pay the difference between the old and the new rent.

- Also, in case the stricken housing repair requires their evacuation, also funded rent for, whether they own or whether they are tenants.

The ceiling for grants for rent was set at 6671.70 euros / year.

- Funding for these grants shall be the Ministry of the Interior, through the Directorate General of Civil Defense and Emergencies, which will pay 50 per 100 of aid to individuals for rents, 50 per 100 remaining shall, where appropriate, the other involved government, under the agreements they reach.

Aid for rebuilding houses

- Aid to the reconstruction or repair of homes have been destroyed or damaged, to be funded at 50 per 100 by the Ministry of Works and the remaining 50 per 100, by other public authorities involved, as the agreements achieved.

Aid to local authorities

- They will pay one hundred per cent of emergency expenses incurred to protect the lives and safety of persons and the functioning of essential public services (demolition of buildings, removal of architectural elements damaged water supply , etc.), to be financed exclusively by the Ministry of Interior.

- Will be financed by the Ministry of Territorial Policy and Public Administration, up to 50 per 100 of the cost, the repair or restoration of infrastructure, equipment or facilities for essential services.

Tax measures

Also included tax benefits such as exemptions in the Property Tax in relation to housing, workplaces and the like, affected; reductions in business tax to industries and commercial establishments, traffic fee exemptions for the processing exits from the vehicle and issuance of duplicate registration certificates and driving have gone astray, and exemptions by local entities in the fee for issuance of building permits for the repair of the houses had been destroyed.

Damage to crops and livestock

Losses will be compensated in excess of 20 100 of its production incurred by the owners of farms and ranches that have policies in force covered by the Agricultural Insurance Plan for this year.

Special tax relief for agricultural activities

It empowers the Ministry of Economy and Finance to reduce the magnitudes of the agricultural activities to set the share of Income Tax of Individuals and the Value Added Tax.

Employment measures and social security

The job layoffs that are directly caused by the damage caused by earthquakes, as well as lost business activity and economic sectors will be considered as force majeure.

The employer is relieved of paying dues to the Social Security during the suspension of the contract motivated by earthquakes and, in the case of termination of contract termination payments borne by the Wage Guarantee Fund.

In the cases is resolved favorably suspension of contracts or the temporary reduction of working hours based on exceptional circumstances, the state Public Employment Service may allow the time to receive unemployment benefits are not calculated for the effects of taking the maximum periods established perception.

It may also authorize to receive unemployment benefits those workers included in these records that lack the required contribution period to qualify for them.

Also, companies and self-employed will get a one-year moratorium on the payment of Social Security payments, for the three calendar months immediately preceding the production of the earthquake.

Exceptionally, it is anticipated the day June 1, 2011 the payment of the bonus for the period December 2010 to May 2011, to pensioners of the Social Security system in their arrangements contributory and non-resident tax town of Lorca.

Conditions of employment

It relaxed some of the requirements of the rules on public sector contracts, considering works, services, acquisitions, or emergency supplies those made as a result of earthquakes, whatever their size.

Preferential credit line

It sets up a credit line in the Official Credit Institute, amounting to twenty-five million euros, with a maximum final rate of 2 per 100 APR, five-year term of validity, including a grace period so that concerned to address the repair or replacement of facilities and equipment, commercial, agricultural, forestry, livestock and irrigation, cars, motorcycles and mopeds for private use, commercial vehicles, agricultural machinery and workplaces who have been disabled.

Coordination mechanisms

Also, as in previous standards are articulated mechanisms for coordination and collaboration, which can be highlighted:

- Firstly, the creation of a Joint Commission composed of representatives from the State General Administration of the Region of Murcia and the city of Lorca, for greater speed and flexibility in the granting of aid to individuals, and is responsible for reviewing their applications and submit to the competent body motion.

- Secondly, you also create an interministerial committee to monitor and evaluate the measures taken, made by the Delegate of the Government and representatives of relevant ministries, in order to ensure proper implementation of the measures contained in the Royal Decree Law

- Finally, it was expected to be held between the Central Government, the Region of Murcia and Lorca Hall of the collaboration agreements necessary for the effectiveness of such measures.

Especially, it may enter into agreements designed specifically to repair damaged cultural property as a result of earthquakes that took place on May 11, 2011 in the town of Lorca.

Source: La Moncloa