Dana Funds: Local Hires Approved to Speed Up Aid Distribution

by Archynetys Economy Desk

The reality of the majority of Valencian municipalities that have to rebuild a good part of their municipal infrastructure after the damage has led the Government to modify the regulation of state aid. Before him jam that many local corporations suffer to manage the high number of projects that these jobs entail, now The State will allow a part of these funds to be used to hire personnel for the processing.

The Government has introduced a regulatory change in the decree-law in which the subsidies are included, so that the beneficiary local entities They may allocate up to 3.5% of the subsidy awarded to personnel expenses linked to the management, monitoring and justification activities of the projects financed by the Ministry of Territorial Policy.

A measure that occurs after in recent months the Valencian town councils warned of traffic jams before the lack of human resources and capacity to tackle the enormous work necessary in a very short period of time.

Furthermore, there was fear that lack of execution could undermine the 1,745 million euros that the Government of Pedro Sánchez itself transferred to 78 municipalities almost a year ago to take on these municipal infrastructure works. The Executive also committed to others close to 500 million euros for damaged municipal water and sanitation networks.

Hundreds of projects

Although it was contemplated that they could resort to technical assistance services or the public company Tragsathe avalanche of simultaneous files was in practice blocking actual execution. To have an idea of the scope, it was initially estimated that this investment would allow the construction or repair of nearly 100 administrative centers, 45 nursery schools, 58 libraries, 55 sports centers, 40 day centers and 16 municipal markets in affected populations.

Furthermore, the central executive has extended the possibility of using the budget surplus to finance financially sustainable investments to the year ending in 2025. In this way, in the liquidation of their budgets, the affected municipalities will also be able to allocate their surplus to actions linked to recovery, reinforcing their financial autonomy in the reconstruction process.

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