Portal de Murcia
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The Mayor of Murcia, Miguel Ángel Cámara, warned this morning that the decision of the Minister of Economy, Pedro Solbes, to reduce the 2009 Budget funding for Spanish municipalities, will aggravate the economic crisis facing the country and will particularly affect to municipalities in Murcia.
According to House, the reduction of state funding for municipalities, economic strangulation cause very serious consequences for society.
According to forecasts that manages the Ministry of Economy, which have been communicated to the Spanish Federation of Municipalities and Provinces (FEMP), municipalities will receive next year by 6.3% over 2008, around 1,000 million euros.
However, House notes that in that amount includes the money the State owes the municipalities since 2007, reducing to 0.6% state contribution and a loss to be around 700 million euros.
The mayor added that municipalities need more funding to provide more and better services.
Thus, while municipal corporations develop and fund security services, education, climate change strategies, public transportation and urban mobility, housing, active social policies and health care, the government looks the other way and still regarded as the sister Murcia poor, punishing her with a new, cutting economic growth coupled with the sustained investment in infrastructure and refusal to send water to the region.
Miguel Ángel Cámara recalled that since the adoption of the current funding model, in 2004, had never produced a reduction in the contribution the state makes to local councils.
In this way, says the mayor, the municipality will continue to provide services that in principle do not belong, while reducing funding.
Other Financing Act
The Mayor explained that urges a genuine Financing Act for local government, legislation is not to the whims of successive governments, and satisfy the principle of equality before the law Spanish.
Current law provides that the State contribution to the municipalities is calculated using the annual CPI increase plus the increase in GDP, which puts this contribution around 7%, far below the percentage of funds allocated to corporations Economy local.
The urgent modification of these parameters should take effect as at January 1, 2009.
The Mayor pointed out that, currently, less weight government spending are the municipalities, with 13.4% compared to the central administration, 50%, and the Autonomous Community, with 36%.
Although this dysfunction, the municipalities provide much of their funds and services which are the responsibility of other administrations.
Source: Ayuntamiento de Murcia
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