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PSOE: "The PP Puerto Lumbreras approves budgets for 2011, breaking the law governing local finances and the economic rescue plan" (04/08/2011)

The budget of € 12,217,273, does not meet the recovery plan approved by the PP government team for 2010-2012 and art.

193 of the Local Finance Law.

Sanitation Plan approved for the reduction of negative cash remaining from the year 2006 dragged and according to the settlement account 2009 € 6,903,000 (exceeding this amount 65% of the regular budget of revenues) as a result of poor economic and financial management of the PP.

From the audit reports included in the budgets of 2011 manifested the urgent need to take additional steps to redirect and restructure the municipal economic and financial situation, which follows the analysis of the final settlement of the financial year 2010.

The liquidation has been hidden with premeditation by the team of People's Party government and is not reflected in the budgets of 2011, with evidence that this is approved by mayoral decree last July, assuming that this settlement will present a result negative cash flow of about 10 million €.

The art.193.3 of LHL says "... the following year's budget be adopted with an initial surplus amount not less than repeated deficit." Deficits as a result of negative cash balance.

Moreover, in the investment chapter of most works to be executed and are already opened and others are carried over from previous years, creating a smokescreen and confusion in the town of Puerto Lumbreras.

There is an increase of more than 41,000 € in Chapter Staff Costs of Governing Bodies, following the release of PP councilor fifth and personal confidence.

Moreover budgeted for € 46,000 and 4,000 local newspaper for a local radio station with no activity, all while city officials kept their salaries frozen and workforce reduction proposals make it 50% of their working day by giving up their historical rights.

There is no budget to collect the payment to companies in the municipality which is owed several million euros seeing doomed to dismissal of staff and others to the possible suspension of payments as a result of default.

This situation is causing great discomfort and insecurity in the socio-economic area.

Socialist Councillors have already warned in 2008, 2009 and 2010, continue to increase unchecked, the deficit and debt Hall, this council would be doomed to a state of technical bankruptcy.

The PP looked away and even though increasing by over 50% taxes and municipal taxes, the situation has worsened so rapidly in recent years.

The Municipal Socialist Group voted against these municipal budgets for 2011, having requested to be removed from the agenda of the extraordinary plenary session dated 08.02.2011, for breaches of the legislation, the restructuring plan and the serious social and economic consequences associated with their approval.

Source: PSOE Puerto Lumbreras

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