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The Finance Department expects to receive new financing lines offered by the Ministry of Finance and Public Administration in September (12/07/2017)

The Department of Finance of the City of Totana is expected to avail itself in September new financing lines offered by the Ministry of Finance and Public Service to pay off debt payments for the years 2011 to 2013, according to the mayor of the branch, Ana María Cánovas.

The General Secretariat for Local and Autonomous Financing of the Ministry of Finance of the Ministry has communicated this month of July to the Consistory totanero the procedure so that it can avail itself of a series of measures that allow to cancel the municipal debt in more advantageous conditions.

The Delegate Commission of the Government for Economic Affairs adopted in mid-June the agreement that opens procedure and deadline so that municipalities that are canceling their debt with the compartment Fund in Liquidation for the Financing of Payments to Suppliers of Local Entities through Withholding of the participation in taxes of the State, can replace them by the formalization of loans from the Financing Fund to Local Entities.

With these new lines of financing the City Council intends to face several debts that correspond to the years 2011, 2012 and 2013.

At present, of the loans for the years 2012 and 2013, which was signed by the previous municipal government within the Payments to Suppliers Fund, are being withheld from the monthly income of the participation in state taxes of 5%, in a way That if we entered the line that marks the Ministry, we would pass to 1%, explains the councilor.

This action would involve moving from having a debt with an interest rate of around 5%, which is retained in the participation in State taxes, to convert it into a 10-year loan with two deficiencies and an interest rate in the Around 1%.

To accede to this measure, a plenary agreement of adhesion will have to be adopted together with the approval of an adjustment plan in the terms of Royal Decree-Law 4/2012, or adapt it to the City Council if it is approved.

The mayor has indicated that a similar situation is registered with the postponement of the Ministry of Finance that this City has since the time of the governments of the PP, as we are also in a situation where are paying exorbitant figures of interests ranging from 4 and 5%, and they would also be changed to 1%.

As an example, the council has cited the payment of 200,000 euros of interest to the Tax Agency for nine months;

And added that his department will take the appropriate measures always thinking of the best benefit for Totana and its citizens.

Source: Ayuntamiento de Totana

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