Albufeira council finally has approved the early repayment of its €16 million government loan in a Christmas Eve spirit of generosity with accumlated ratepayer' money..
The move was presented by the mayor Carlos Silva e Sousa as the culmination of a strategy of great budgetary rigour carried out during the past year.
The loan originally was due to be repaid over the next 18 years and was contracted with the State in early 2013.
The total borrowed was €16,678,725.60 over 20 years. The council estimated that it will have saved ratepayers €5 million in interest payments.
Next year the council already has planned to quadruple the amount available for local investment and is looking at reducing some council fees, including rates. Hopefull the extortionate water rates Albufeira householders are forced to pay will be looked at as a vote winning matter of urgency.
Socialist councillor Fernando Anastácio made a proposal to pay off the loan during a council meeting on December 17th, which was rejected with the mayor commenting that the proposal was premature as the matter was due to be discussed only after council has received a report from its financial services department on the affects of paying off the loan and how much was feasible to pay off.
The mayor was issued a press release on this matter that may best have been dealt with internally, commenting that Anastácio had put politics “above the interests of citizens." Anastácio countered by saying the mayor had had a tizzy fit and should get a grip.
Overall the socialists are not impressed with the attitude of the council executive, and suggested that management did not have a grip on municipal finances as last week it did not seem to know how much money was being discussed.
Despite this bickering, the socialists voted in favour of the early repayment motion whcih was passed to the long term benefit of ratepayers.
