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The House urges the Government of Argentina the urgent submission of a draft Law on Local Finance (18/12/2009)

The Plenum of the Municipal Corporation, at its special session held this morning approved a motion demanding the following:

1.

Urge the National Government to urgently submit a draft Local Finance Law, by providing for the immediate participation in State taxes and the Autonomous Communities, and ensure the principle of territorial division, as recorded by the Spanish Constitution, agreed by the political groups.

2.

Continue to claim the requests of the Spanish Federation of Municipalities and Provinces supported by the political forces that compose it, in the sense of increasing by 60% of the Special Fund for current expenditure of the municipalities.

3.

Das transfer this agreement to the prime minister, vice presidents, spokesmen for the parliamentary groups in the courts, the Spanish Federation of Municipalities and Provinces and the Federation of Municipalities of the Region of Murcia.

The alternative motion has been filed by the Deputy Mayor for Economic and Financial Affairs, Joaquin Moya-Angeles, and in his speech stressed that "the next financial year 2010, municipalities no longer enter 3,000 million euros less than in 2009 the State Fund Local Investment, a fact evidenced by the failure to jointly address the reform of regional and local funding, while the first was closed with the Central People's Party, the second has no date, being local justice that we will not be checked out or taken down. "

"Given the pressing economic crisis we are facing, pointed Moya-LA, is more than reasonable that we be given to municipalities these 3,000 million euros, which will go to finance public services that municipalities provide not have the competence or the appropriate state funding to meet the expenses referred to "improper."

As is well known, these improper expenditures not only allude to the Dependency Law, but also about priority services such as education, safety, health, housing, etc.

Since we have been asking the municipal government, as a matter of urgency, the initiation of negotiations for the new local funding.

There are already more than 30 years of waiting, in order to ensure stable and adequate funding for local government, in accordance with the provisions of the Spanish Constitution, state law articulated by their participation in state revenues (PIE) and in the Autonomous Communities (Picasa), so that comes into force next year 2010.

It is also necessary that the 1,103 million euros VAT receipts through the Local Investment Fund in 2009, are to be returned to local councils so they can offset the delicate situation of current expenditure.

The delicate situation faced by municipalities is more than evident, in fact, next year will suffer a decline in state funding of 24%-the largest in democracy ", which means that the Government seems right that cities , small businesses and citizens to face 2010 with a quarter less than the income they received.

State transfers to the city of Murcia will be reduced by 17 million euros compared to those received this year.

Since 2008, state funding cuts in the municipality is 20%.

The procrastination by the Government of the Nation councils reflects the urgent reform of local finance, reform, once approved, would provide municipalities a clear and precise standard, appropriate to their actual needs funding giving them more regulatory power and solving the deficit driven by services that do not correspond to local governments.

While the Autonomous Community of Murcia maintained for the next financial year 2010 the same investment allocations for local councils in the year 2009, the state has reduced by more than 30% of these contributions, rising from 8,000 to 5,000 million euros.

What's more, since 2010, the Autonomous Region allocated twice to cover current expenditures to the municipalities, passed the 12 million euros has been earmarked this year to 25 million allocated in 2010.

Since the government team's Party in the city of Murcia we recognize the government of the Region willingness to take the proposals of the two political groups that have representation in the Federation of Municipalities of the Region of Murcia (PP and PSOE) a circumstance that has not been given the National Government of José Luis Rodríguez Zapatero.

Source: Ayuntamiento de Murcia

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