City Council approves the request for a new loan of 10.7 million with the support of two non-attached councilors

New loan guarantees payment of payrolls until September

New loan guarantees payment of payrolls until September


The government team (PP) in the City of Jaén has released on Thursday a new loan of 10.7 million euros as an advance payment of the IBI and vehicle tax to guarantee the payment of payrolls until September as well as the approval final of the 2017 municipal budget. In both cases, it has been possible thanks to the support of two non-attached councilors.

The Councilor for Finance and Recruitment, Manuel Bonilla, has defended at the extraordinary plenary session the new short-term credit operation to guarantee these payments, since “there is no other alternative” taking into account the financial situation of the Consistory. For this reason, he has asked the groups to “leave demagogy”, since “they would have to do the same” if they governed.

The mayor has assessed, however, that the situation of the Treasury has improved and, in fact, this advance will be requested at the end of June, while last year was requested in the month of March. In addition, the last advance of 14.5 million euros requested in October will be paid at the beginning of July, so that the change in the fiscal calendar made in 2016 regarding the collection of the IBI “also has beneficial effects on the income statement of the City Council because it determines lower financial cost for these operations “.

The new operation of 10.7 million euros approved this, will be fully amortized next December, “so only interest will be paid for four months.” It also comes with an improvement in the interest rate, of 1.90 percent of fixed rate and that means “a lower cost” for the Consistory.

Position for Responsibility

Position for Responsibility


He has had the backing of the non-attached editors Salud Anguita and Iván Martínez, who have argued their position “for responsibility” since this type of credits “are necessary” to continue providing essential services and pay the payroll of the municipal staff.

The third not attached councilor, Víctor Santiago, has rejected the loan by not appreciating “possibility of change” with other measures that serve to solve the “continuous deficit” of the Consistory, at the time that has said not to be “anyone’s palm” and express his discomfort for not having an office in the Town Hall and “not being able to vote in committee”.

For his part, the spokesman of Jaen en Común (JeC), Manuel Montejo, has considered that this operation already means “an amendment” to the budget that was to be approved definitively soon afterward and “speaks clearly about the usefulness” of some accounts that “do not serve” the City Council or the city.


It has influenced that with this type of loans the financial situation “remains in a kind of limbo”, while “fundamental debt is not taken into consideration” with the city, of which the Junta and Government “are forgotten”. “Why do you have to pay your debts at all costs despite mortgaging generations and another entity can receive 60,613 million euros and not return anything,” he asked in reference to the funds allocated to the bank that the Bank of Spain estimate that they will not recover.

For its part, the deputy spokesperson of the PSOE, Mercedes Gámez, has considered that the refusal of the PP to include a minimum investment in these credits that are requested from the collection shows that “there is no responsibility” with the residents of Jaén. “We understand that payroll has to be paid, but there are also other services to be provided, which could come out of these credits that are paid with the taxes that are collected from the Jaenans,” he said.

The councilor lamented the policy of approving “only temporary measures” of liquidity so that the City Council remains open without solutions to the neighbors. “While you are engaged in this, the city not only does not come out of its hole but sinks more,” he affirmed, not without defending that “it is as important to stay afloat as to reach the shore.”

In this line, he has considered that advances without reform measures for the city only serve to accumulate capital and interest to be returned to the banks with nothing in return for the Jaenans. “They have filled the backpack of this City Council of stones and every time it weighs more, there will come a time when we stop and there is no solution,” he added.




 In the plenary, in addition, the 2017 municipal budget has been definitively approved, which went ahead initially on May 5 and this after the period of public exposure and allegations – they have been totally rejected – to some accounts consolidated accounts that include 184.3 million euros in revenue and 181.3 million in expenses.

At this point, the vote on the loan has been repeated and it has obtained the approval thanks to the yes of the PP and the non-attached editors Salud Anguita and Iván Martínez, while PSOE, JeC, and Víctor Santiago have voted- active Basketnikeairmaxstyle.

Yes there has been unanimity of the members of the Corporation to approve the proposal of adhesion to the Special Plan of Support to Municipalities 2017, put in March from the Diputación de Jaén and that is going to allow that the City council of Jaén destine 202.500 euros at the beginning of the actions to pedestrianize the historic center of the capital.