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The plenary session approves the arrangement of a loan of 9,167,141 euros for co-financed investments pending execution

Benidorm begins the procedures for the new parks and gardens and cleaning contracts for municipal offices and educational centers

14 July 2023
Pleno extraordinario de julio 2023

The plenary session of Benidorm City Council has approved today in an extraordinary session the start of the procedures for the tender of the new contract for the maintenance and conservation service of the green areas of the city and the cleaning of municipal offices and educational centers.

With the votes of the government team and Vox and the abstention of the socialist group, the initiation of both files has gone ahead, the purpose of which is to have the new contracts ready as soon as possible for their next award, since the specifications of both tenders are they are elaborating

The Councilor for the Treasury, Aida García Mayor, has indicated that "we would have liked to have the specifications already completed, but sometimes there are external circumstances that motivate these situations." In this sense, she has clarified that "now what we do is initiate the files to bid for these services."

In the same session, the agreement of a loan for a value of 9,167,141 euros was also approved by a majority to face the investments of co-financed projects that remain pending execution, among which is the comprehensive remodeling of the bullring, some projects of the Sustainable and Integrative Urban Development Strategy (EDUSI) and others of 100% municipal financing such as the modified project of the expansion of the municipal cemetery among others.

The Councilor for Finance explained that "the Intervention and Treasury reports are favorable because we are below the percentages established by law to require authorization from the Ministry." García Mayor has highlighted the "great economic management" of the local government and has defended that the increase in municipal debt is because "during the pandemic, we spent more than 30 million in aid to people and necessary investments and the city has noticed that that economic management was done to tackle issues that we needed”.

Likewise, the restructuring of several loans arranged by the City Council to face investments has been approved by the majority - with the votes of the local government and the abstention of the PSOE and Vox. The Councilor for the Treasury, specified in this regard that it has been decided to carry out this operation "given the result of some cancellations in tenders and states of execution of various investments" to prioritize others "that are in the execution phase, as well as arrange a new loan operation. In this way, she has explained, "all investments would be covered". "This is a restructuring of loans and it is an operation adjusted to the law that does not imply an alteration of the conditions of the requested loans" she has added.

García Mayor has argued that the banking entities had indicated that the loan should be arranged before August "and hence the recommendation of the Treasury Department to hold this plenary session, and the haste of the file." The mayor has rejected that the value of any investment has increased and has stated that "the investments we make are sustainable, we improve the quality of the city and thanks to the lever of European funds the debt we contract is seen in the improvements of the city".

Now opens the term for banks to submit their offers before the end of July. In this sense, the municipal technicians have recommended that it be of a variable rate, with a term of ten years and a grace period.