Portal de Murcia
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The relaxation of the expenditure ceiling for local authorities has been highlighted today by Miguel Angel House as one of the most important demands made by municipalities to the Ministry of Finance and Public Administration, and it has stressed in his speech this morning in VIII Local Tax Update Seminar held in Malaga.
In this sense, the Mayor of Murcia and Chairman of the Committee on Farms and Local Financing the Spanish Federation of Municipalities and Provinces has claimed that the calculation of non-financial expenditure ceiling of the budget is set by applying the rule of spending on initial forecasts Budget last year.
"The good performance of local government in budget stability" must be taken into account as camera, in order to reduce rigidities that currently limit the spending ceiling.
Thus understood to be allowed "to have better facilities to boost economic activity and employment in their territories."
Chamber today took part in this conference on tax update with Rosa Navarro, General Secretary of Regional and Local Coordination, and Jesus Rodriguez, Director of Studies of the Institute of Fiscal Studies, both from the Ministry of Finance and Public Administration.
In his turn he referred also to the budget surplus or debt regime of municipalities as in demand by the municipalities.
Regarding the former, the Mayor of Murcia recalled that nine out of ten municipalities are in surplus, with more than eight billion euros of positive balances, so that "it is reasonable to grant a further extension for implementing the fate of surplus to so that they can be used to create jobs in their municipalities and thereby revive the economy. "
Is a "sufficiently substantiated" petition says, because all the Spanish local authorities closed the first half of 2014 with a surplus of 1,048 million (0.10% of GDP), which demonstrates its healthy situation, while ended the year 2013 with a surplus of 0.52% as a percentage of GDP.
Discipline and sustainability
It is also considered essential to change the system of indebtedness, removing restrictions on operations agreement, not to continue depriving a number of local authorities an important source of investment finance.
These and other measures have been identified by Chamber as necessary to help improve the financial position of municipalities, thus affecting definitely provide better guarantees for the provision of public services and strengthen "one of the fundamental pillars in the Development of the Welfare State ".
The Mayor of Murcia has insisted that local management has been conditioned in this term by the economic crisis, which has necessitated "mechanisms of budgetary discipline and financial sustainability as well as move all public administrations rationalization and sustainability principles, according to the principle that not spend more than what is entered and public services more efficiently and at lower cost loan ".
In this sense, he has said, the law of rationalization and sustainability of Local Administration has opened a new stage in the history of legislation regulating municipalities and is the deepest few reforms have been undertaken in relation to the sector democracy Local public.
Source: Ayuntamiento de Murcia
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