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Treasury says it could save $30 million from ‘inflated contract’ in mayor’s office



Undersecretary of the Treasury, Jerson Posada, assured a total of $252 million in savings.  / Legislative Assembly.

Undersecretary of the Treasury, Jerson Posada, assured a total of $252 million in savings. / Legislative Assembly.

The Treasury Department believes it could save about $30 million by eliminating local councils that approved “price hikes” or contracts that were too expensive. Undersecretary of Finance Jerson Posada declined to say which municipalities or projects were contracted at a premium.

This is part of the total $252 million the government claims will be saved by reducing the city council seat from 262 to 44 at the time of the March 2024 election results.

This is not a question of money, it is a special law for municipal restructuring, and it is clear that we are light years away from great powers like the US and Australia. ” Ernesto Castro, President of the Legislative Assembly

In addition, $15 million in per diem payments, $13 million in support personnel salaries, $74 million in trusted staff salaries, $105 million in acquisitions, and the suppression of 24 members of Congress. I expect. Assembled, up to $15 million.

According to official calculations, the savings could reach $252 million.

The undersecretary was called to the political committee of the Legislative Assembly to offer his opinion on the reduction of the number of municipal councils from 262 to 44 and the number of deputies from 84 to 60 as requested by El Salvadorian President Naïve Bucre on June 1. rice field.

Fees and taxes remain the same. The district will have to take administrative responsibility, but will respond to the chief’s opinion. ” Juan Carlos Videguin, Minister of the Interior

Service and rates will be maintained.

At the same committee, Interior Minister Juan Carlos Videguén said the cuts in local governments would also preserve local government taxes, businesses and local government services. He said, “The ward should be responsible for management, but I will respond to the mayor.”

“Public accounts have found that most contracts in the mayor’s office were inflated.” Undersecretary of Finance Jerson Posada


Rosa Romero (Arena) believes there are electoral reasons for the reduction of the municipality, asked on what technical studies the restructuring of the municipality is based, citizens made demands before the mayor He questioned which seat he would claim in that case.

The President of the Legislative Assembly, Ernesto Castro, asserted that “this is not a matter of saving money” but “a matter of territorial order for better administration”.

You can now plan for larger markets, hospitals and clinics instead of small businesses that have spent their resources piecemeal. ” Maria Andino, DOM Legal Manager

Elisa Rosales of Nuevas Ideas asserted that we are no longer “tossed by what the 262 mayors define” and that these mayors “often come from different political parties”. She said she had to “fight with these 44” so that the “right” people could respond. “This is not an electoral political issue,” he said.

macro project.

Maria Andino, legal director of the city’s Directorate General of Works (DOM), said the city restructuring law would allow for the construction of “bigger” projects. “Mayors will be able to plan macro projects. They will be able to plan for larger markets, hospitals, clinics and care centers instead of small businesses that used to spend a little more resources,” the official said. spoke before lawmakers yesterday.

Source: Diario Elmundo

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