Golfito and Alajuelita have a combined budget deficit of 1,796 million colones, which complicates the financial situation of these municipalities. The Government Accountability Office (CGR) is concerned for management of resources.
According to a special report issued by the CGR’s Control Area for Local Development, Golfito municipality has a deficit of 963 million colones, plus a debt of about 1,600 million colones and a default rate of 52%, which means that taxpayers in the area did not pay an amount of almost 1187 million colones.
The situation is very complicated; it is worrying and it puts the municipality in an insolvency situation. We took office on May, 1st and we need time to balance finances,
stated Elberth Barrantes, mayor of Golfito.
A similar situation takes place in Alajuelita and it is considered by CGR as one of the most critical cases because a recurring and growing budget deficit has been reported in the last ten years (2006 to 2015), reaching an amount of 832,7 million colones in 2015.
There are a lot of problems, we have a great amount of public houses so taxes are quite low, they are only 30%, and many of them don’t pay their taxes because they are social assets,
said Gabriela Retana, Deputy Mayor of Alajuelita.