Palma city budget increased by 14 p/c

THE Palma city budget will increase by 14.44 percent in 2006, in comparison to 2005, rising from the current 498'520'477 euros to 570'488'521 euros.
The increase in the capital budget will mean an increase in investments and public services, as well as a reduction in the taxation pressures, confirmed the councillor of Finance, Pdero Alvarez. According to this councillor, the “rational” management of funds has led to a decrease in financial costs in the last few years, which gives positive repercussions for investments and public services. This also guarantees that Palma city council “will at no time be in debt”. The budget, which will be presented to the political parties on Monday during an open session, establishes a 15.68 percent increase for those areas which are managed by Palma city council (taking it from 274'241'675 euros in 2005 to 317'254'870 euros in 2006). This budget added to the autonomous region budgets (45'269'834 euros) and the municipal business budget (207'963'817 euros) gives Palma city council a total of 570'488'521 euros for next year. The largest chunk of their budget corresponds to personnel costs (29.31 percent or 92'984'674 euros), an amount which sees a 5.86 percent rise when compared to this year. Of the remaining budget, 10.9 percent will go to the department for the Environment and Cleaning, 8.68 percent to the Mobility department and 8.64 percent to the creation of Infrastructures. As for the expenses, these will increase by 15.68 percent, which will be balanced out by incomes, as they are both estimated at 317'254'870 euros.
Palma city council will themselves invest 40.21 percent more next year, which will mainly be aimed at housing, infrastructures and development plans.