The City of Palma presented this Friday the budgets for 2015, which increases the allocation for social services, freezes taxes and reduces municipal debt. Thus, the budget of Cort next year will be 379.3 million euros, and allocates 2.58% spending to Social Welfare.
The mayor of Palma, Mateo Isern, accompanied by the Deputy Mayor for Economy, Finance and Innovation, Julio Martínez, has defended that they are budgets that go “in the usual line of search of efficiency, austerity and efficiency that we have maintained since 2012, prioritizing the interests of citizens, fulfilling the commitment not to raise the tax burden and with more investment in social services “.
Isern also stressed that “despite being an election year, we have not fallen into the temptation of large investments, and we have prioritized committed payments, amortizing debt and improving the current state of Cort accounts while maintaining the services” .
All this has been achieved with a budget 70 million euros lower than the last of the previous term, in 2010, confirming “a new way of managing what I hope is in the AND of the City Council, and that shows that you can do the same with less money if it is done with caution and looking for the maximum return of each euro, “the mayor said.
In fact, this policy has allowed paying 124 million euros of debt this term, maintaining the services, “an achievement of extraordinary importance for the improvement of the accounts of Cort”.
The income ,
Adjusted to reality
The expected revenues are 379 million euros, 2.8 million or 1% lower than in 2014, according to forecasts that are “serious, rigorous and adjusted to reality, with budget stability, as it appeared in the electoral program, and with the reflection of our policy of freezing taxes “.
Current operations account for 6.3 million less in income, because “Palma residents will pay less taxes, reducing the tax burden as a whole.” We must highlight the reductions of the reference tax, the IBI, which has had reductions that exceed the increase in the cadastral revisions.
With regard to financial operations, the mayor stressed that “for the first time the derivative of a refinancing of the amortization of the deficit of 2009” is included, a loan of 40 million that subscribed the previous government team, of which Cort has already amortized 75%, and of which there are 9’2 million remaining to be amortized, already included in the debt reduction plan approved by the Plenary. There is no increase in debt, but the existing one is refinanced, “the mayor recalled.
Regarding the financial budget, the figures are practically the same, since it goes from 52’4 to 52’1 million, “but it is remarkable that it has been possible to optimize because we have been able to increase the amortizations by 8’13%, which it means 2.6 million more, while 2’9 million less are destined to interest payments “.
Less expenses and elimination of overtime debt
“One more year expenses are reduced,” which goes from 330 to 327 million, 1% less, “but we maintain the services and gain in efficiency,” said Isern.
The mayor stressed that “this reduction is made despite the fact that we increased the personnel expenses by 4.8 million because we finally liquidated all the overtime payments, and included the payment of 25% of the extra pay that was paid. he had nullified the officials. ”
The mayor has stressed that this fact produces a “special satisfaction because it rewards the important effort of officials during this term.”
Current spending drops by almost 6 million euros, “due to austerity measures and efficiency, and the regularization of electricity consumption that we made last year and this year provides us with very important savings, collecting the benefits of regularizing the bills.”
At the same time, municipal companies and agencies “will be more autonomous and economically independent,” so transfers are reduced by 4 million.
Investments in environmental sustainability
The investments contemplate “an important increase, due to a commitment to sustainability” in relation to electricity consumption. There is an investment of 5 million for a new contest to improve municipal energy consumption.
The teams of firefighters will also be renewed, fulfilling the commitment of the government team, and the vehicle fleet of the Local Police is renewed. Block VIII of Camp Redó will also be demolished “to continue with the swelling”, and a game is allocated to the first measures of the SUMP.
Social welfare grows 2.58%
The mayor has made a tour of the most significant changes with respect to 2014, with efforts that focus, on the one hand, on Social Welfare.
Thus, it has reported that “in 2014 26’1 million were allocated, and in 2015 will be 26’8 million, 674.00 euros more, a differential of 2.58%, with significant increases in the home help service, which will pass from 4’2 to 5’5 million, 30% more, the Municipal Welcoming service, which goes from 1 million to 1’6, a growth of 54% “.
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