The situation with the Rēzekne city budget is worse than it initially looked /

by times news cr

2024-07-16 16:55:47

The temporary administration of the municipality has started work in the city, performing all the necessary actions that the city council must do, explained Bērziņa. The Ministry follows the work of the administration, regular communication is planned.

“The first news we receive from the administration is not encouraging – the indications with the budget are that the situation is worse than it initially appeared, because what could only be suspected – that the budget revenues have been artificially increased, is likely to be confirmed,” said minister.

The mentioned suspicions are related to the fact that the sale of real estate and the receipt of dividends from capital companies in the planned amount, provided for in the budget revenues, are not possible.

For now, however, it is not possible to say exactly how much worse the budget figures could be, Bērziņa pointed out.

As reported, the financial situation of Rēzekne municipality is challenging, Guna Puce, head of the temporary administration of the municipality, told LETA agency.

She revealed that during the first week of work, the temporary administration got to know administrations and capital companies in general. But this week there are more detailed meetings with each of the capital companies and also with the administrations responsible for the implementation of the projects.

“We go into the finances in detail, we see what the situation is. At the same time, there is also strict supervision from the Ministry of Finance and the State Audit Office, in order to understand what the money is currently being spent on and where there are gaps. The financial situation is challenging,” Puce said.

The financial flow, which is planned during the preparation of the 2024 budget, is less than planned, so the temporary administration must evaluate how to improve this situation. For example, it has not been possible to sell several real estates, there are also delays in the collection of real estate tax. The head of the temporary administration said that, at first, opportunities for balancing will be sought in the municipal budget.

On the other hand, the multi-million loan granted by the state is intended to cover debts, mainly for the construction of a recreation center.

It has already been reported that with the dismissal of the council, the temporary administration of Rēzekne council has started its work. Its leader is the former head of the Company Register, lawyer Puce, and her deputies are Rēzekne Academy of Technology Rector, Doctor of Economic Sciences Iveta Mietule and former head of the Riga Construction Authority Jānis Belkovskis.


2024-07-16 16:55:47

You may also like

Leave a Comment