A decision with great economic impact
The Burgos City Council has announced its commitment to dissolve the consortia established with the defunct savings banks, Caja Círculo and Caja de Burgos, assuming a debt of 200 million euros. This decision represents a milestone in municipal management and seeks to mitigate the financial effects derived from the old associations.
The evolution of consortia
The creation of the Villalonquéjar and Desvío Consortiums was considered successful at the time, allowing collaboration between financial entities and the City Council for significant urban projects. However, with the transformation of savings banks into foundations, the panorama changed drastically.
New measures to deal with debt
The mayor of Burgos, Cristina Ayala, has presented a plan to reduce the assumed debt, including the amortization of approximately 35 million euros and the renegotiation of the debt conditions to reduce interest. Likewise, the collection of interest on the reserve funds of the consortia is contemplated.
Changes in municipal management
The City Council will strengthen the staff of ProBurgos, the municipal promotion company, to assume the responsibilities of the consortia. Despite this, the Caja de Burgos Foundation will continue to collaborate until the consortia are completely dissolved.
Opinions mixed in the City Council
The Councilor for Urban Planning, Manuel Manso, affirms that the City Council will have full autonomy when assuming the consortia, maintaining control over the sale of land without imposing residential restrictions. However, criticism has been expressed towards the change of position of the PSOE in the City Council, generating controversy in the local political sphere.
