The Law of Commitments, in the current crisis scenario, «is paralyzing the local authorities», with even more profound consequences for the Municipalities of the Algarve, where the municipalities are «in a situation of growing financial degradation, which is more accentuated than in the other municipalities of the country», accused this Wednesday the Intermunicipal Community of the Algarve AMAL, in a statement.
The joint position was decided at a meeting of the AMAL Executive Board that took place on Monday. In it, the Algarve's mayors ask the Government to review the law, "as well as, given the uniqueness of the region, that specific measures be launched to relaunch the economy and promote employment" in the Algarve.
The 16 municipalities in the Algarve say that, due to the law that limits the expenditure of municipalities, «most Councils are unable to carry out a minimally admissible management and fulfill their legal attributions, jeopardizing the acquisition of the most common and recurrent products or services such as diesel or paper'.
"The situation is so serious that, in some cases, it will prevent the renewal of several contracts, such as school transport, urban and beach cleaning and even maintenance of the civil protection service", revealed the YELLOW In addition, the association draws attention to the impossibility of supporting collectivities from the most diverse sectors, including those dedicated "to the sports training of young people".
The new Law of Commitments, in force since February, prevents the Municipal Councils from assuming expenses for which they have no income foreseen in the next three months, "serious and blindly impeding the capacity of the municipalities to support their populations". AMAL argues that this law "is harmful, as the interests it seeks to protect are already protected by the 2012 State Budget Law."
AMAL revealed that, «among other indicators, there is a decrease in Municipal Tax on Transactions (IMT) of 300 million euros in the last four years and a debt to the company Águas do Algarve of 80 million euros». In addition, there was the withholding of the Municipal Property Tax (IMI) last May, which was much contested by the president of AMAL Macário Correia.
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