Portal de Lorca
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The Full Council of Lorca has this morning approved the establishment of a Financial Restructuring Plan for the next three years (2009-11).
The Councillor for Economy and Finance, Antonio Ibarra, explained in this sense that "because the 2007 settlement of municipal accounts was negative, the Local Finance Law and budgetary stability require the council to start preparation of this recovery plan. "
The mayor of Economics has predicted that the Drainage Plan is divided into five parts: an analysis of the economic and financial situation, medium and accompanying action plan, proper sanitation, temporary projection of the next three years and proposed implementation a specific monitoring body, which will meet quarterly to track.
Ibarra said "has become a realistic prospect of revenue, although this is not a closed document but requires a change every year, to review the estimates of revenue and expenses.
The document was developed with the principle of not reducing services to citizens, while maintaining and improving the quality of services, this will be carried out cost control measures and rationalization of the same and reports of improved revenue Among other actions. "
Ibarra said that "we encounter the surprise that the socialists were spent 16 million euros more than it admitted.
We're talking about a gap in the accounts has led us to that for the first time in the history of democracy, the municipal government management of the PSOE last throw a major financial deficit.
I remember when we took charge of City Hall last June 16, 2007 we spent the budget by 82%, so the current government had to face at 6 months were extremely stressful for all the departments from economic point of view, since the budget was exhausted, unpaid bills totaling 30 million euros and the creditors demanded that the payment of these bills. "
Economy Councilman noted that "in this situation the Budgetary Stability Law, specifically Article 10.2, and Article 19 of Royal Decree 1463/2007 that develops, we require the implementation of a sanitation plan for cover the 16 million euros over the next 3 years.
The implementation of this measure, which has to overcome the poor economic situation caused by the socialist administration, is imposed by the law as reported by the Comptroller of the City Council approved the Report of the liquidation of the 2007 budget indicated literally "In consequence and in view of the foregoing, the City Council must approve a plan for financial and economic rebalancing to 3 years within 3 months from the approval of the settlement of the 2007 budget due to the breach of budgetary stability in that assessment. "
The debate on the 2007 accounts will be held at the next plenary session. "
Source: Ayuntamiento de Lorca
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