Portal de La Union
www.portaldelaunion.com
Of the more than 8,100 municipalities in Spain, La Union is one of the 161 municipalities that are in a situation of financial risk, according to the Ministry of Finance and the Municipal Auditor recommended that the City is "intervened".
This situation has been denounced by the City Auditor in his Reports 105/2015 and 106/2015 in stating that the City of La Union at year-end 2014 did not meet the objective of budgetary stability to have a negative financial result 1.3 million, did not meet the spending rule, had a negative cash surplus of 1.8 billion euros (as at the end of 2012 was positive on more than 4 million euros, representing a loss of more than 6 million euros in two years), that the City has a debt ratio above 110% of its regular resources, and therefore can not get more long-term debt without authorization from the Ministry of Finance and Public Administration.
The Municipal Auditor also reports that the City does not meet the average supplier payment period set at 30 days, and having an average supplier payment period of 131 days, either do not meet the spending rule has negative net savings and therefore, he recommended the government team to request the inclusion of the municipality in the Fund management for the financial sustainability of local authorities of the Ministry of Finance, for which had a term that ended last April 9.
The main economic magnitudes, all negative, which presents the 2014 budget settlement, according to the Report of the Municipal Comptroller, are:
Budget deficit 2014: - € 1,361,892 (€ 1,683,380, consolidated deficit of the municipal USM).
The PP spent in 2014 approximately 227 million pesetas more than entered.
And this lack of control and waste has been produced all his years of government, and as a result:
Debts to Banks long-term 31.12.2014: € 11,977,512 (about 2,000 million pesetas)
Debt with short-term Banks 31/12/2014: € 885,708
Accounts payable to 31/12/2014: € 6,184,413 (1,028 million pesetas)
Drawers bills without approving 31/12/2014: € 1562.033 (250 million pesetas)
12/31/2014 budgetary creditors: € 589,783 (nearly 100 million pesetas)
Treasury remaining negative: - € 1,839,266.24 (having gone from a positive cash surplus in 2012 to a negative € 4,174,673.58 1,839,266.24 remaining, and thus having had a loss of two years of over 6 million euros)
TOTAL DEBT 31/12/2014: € 20,609,666 (3.429 million pesetas), compared to 7.5 had when they came to rule in 2007.
The opposition groups PSOE and IU, ask responsibilities the government team for the disastrous economic management carried out these years, and that has led to the financial collapse of the municipality, leaving a poisoned legacy to those who will be new managers, both for the adoption of wrong decisions, economic waste and lack of control, and the lack of action on many occasions to correct economic imbalances.
Similarly, the municipal opposition demands that the PP of La Union explain to the neighbors where they went taxes that citizens have paid all these eight years as at present debt is held even by the dumping of waste , something that unionenses pay every month on their receipts.
Source: PSOE La Unión
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