Portal de Murcia
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Murcia Mayor calls for a national law that articulates the participation of local authorities in the autonomous community income
House points out public investment, the promotion of cities and modernization of the administrative system as a "recipe" for municipalities to help overcome the current crisis
Mayor shares a lunch discussion with entrepreneurs fifty Circle of Economy of the Region of Murcia
Recognizes that the situation is "difficult" but is confident in the recovery
Meet the dictates of the Constitution on the financing of municipalities.
This is the basic recipe that must be met to improve the economic situation of local government, whose current difficulty is due to its poor funding, not mismanagement.
This has been expressed by the Mayor of Murcia and president of the Federation of Municipalities of the Region of Murcia, Miguel Ángel Cámara, in front of fifty entrepreneurs Circle Economy of the Region of Murcia, who has shared a lunch seminar to discuss "municipalities deal with the crisis."
Chamber recalled that the financing of municipalities should proceed in two ways: the income of the State, whose participation exists, although the percentage has decreased, and the income of the regions.
This second channel has never been met, which is the "pending" in the municipalities.
The Mayor has stated that this alternative necessarily be regulated by national law, and then undertake the second decentralization with each municipality to negotiate with its respective autonomous region.
In its analysis to the business forum, chaired by Teodoro Cano-House has highlighted the decline in current revenues recorded by the municipalities as a consequence of the general crisis.
This decrease, caused by the interruption of economic activity, from which 20% of current revenues, is the cause, well, that does not cover all expenses incurred to finance public services.
"This is not the result of poor planning by local authorities, he added, but that in recent years municipalities have been assuming certain powers" improper "but demanded by citizens and that, however, no administration was doing, in the field of health, sport, social services, education, etc.. "
Budget deficits and reductions in state
This caused a deficit in the income of municipalities by 20%, also causes some liquidity problems in order to reconcile the municipal budgets.
"So in 2008, the vast majority of councils are closing settlement deficit," said House.
Also, the Mayor has stated that "for the first time in history, resources from the state have declined over the previous year at 1,000 million, which further aggravates the difficult situation that traverse the city councils, on the other hand, we can not remove the service, which becomes more urgent to reform the financing system. "
Furthermore, Miguel Angel House has referred to the impact that the difficult economic situation of municipalities has on businesses, "because all greater or lesser extent, working with municipalities and are found to have extensive periods payment, or in other cases, invcluso borrowing has increased with them. "
Finally, the Mayor has not wanted to finish his speech without remembering that municipalities have an important role to help overcome the crisis, "for which we must be able to generate economic activity conducive to job creation through public investment drive, the promotion of our cities and the modernization of the administrative system that encourages greater confidence. "
In the subsequent symposium have dealt with issues as diverse as the existence of alternative financing of municipalities outside of the other administrations, new mobility schemes for Murcia and its environment, control of wasteful expenditure to generate savings or changes in the municipal tax system, among other issues.
Source: Ayuntamiento de Murcia
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