On the 31st of December, the Vila Real de Santo António City Council completes the plan to integrate all the services of the extinct municipal company VRSA – Sociedade de Gestão Urbana (SGU).
This decision results from the accumulation of three negative net annual results by the company, whose viability was definitively ruled out due to insufficient income, a fact that forces its dissolution, in accordance with article 62 of the Legal Regime of Local Business Activity.
This solution, adopted and voted on by the Municipal Assembly, last July, allowed to safeguard the jobs of almost a hundred workers, through their integration into the organic structure of the municipality.
Thus, from January 1st, all services and activities that were under the purview of VSRA SGU - such as the Municipal Sports Complex, Municipal Swimming Pools, motorhome parks, Historic Center car park, Shopping Center Open Sky, as well as other areas of public space management – will be integrated into the structure of the City Council, which will ensure its administration.
In this way, all areas managed so far by VRSA SGU will maintain their normal operation from the beginning of 2020, with no interruption in their activity or alteration for citizens and users.
For Conceição Cabrita, president of the City Council of VRSA, “the solution adopted was the one that had the least impact and made it possible to safeguard the jobs of almost a hundred workers. At the same time, we guarantee all the services that were provided until now by VRSA SGU, integrating them into the structure of the City Council, not affecting the citizens in their daily lives».
Also from January 1st, the process of liquidation of the municipal company will continue, whereby all assets, liabilities and other liabilities of VRSA SGU towards its creditors will be assumed by the municipality of Vila Real de Santo António.
The goals of the dissolution plan thus involve the framing of SGU's debt in the reformulation of the Municipal Adjustment Plan (PAM), under execution for the Municipality, allowing the municipality to assume its commitments and consolidate the assets and liabilities of the municipal company with the refinancing of bank loans granted.
This process represents another step in the municipality's financial consolidation – which seeks to restore its credibility with external entities – and is accompanied by the Budget Balance Program, which has already reduced municipal expenditure by around five million euros.
"Given the financial situation I inherited and the negative results of VRSA SGU recorded in recent years, the dissolution of the company was an inevitability that has accompanied me since I took office as Mayor and was the most viable - and fair - solution pointed out by all the entities that have followed the process of financial rebalancing of the autarchy”, concludes Conceição Cabrita.
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