If the local governor resigns, the terms proposed in the Plan of Justice, the Junta de Control Fiscal (JCF) may implement a mayor’s report on the proposal in which the document ascends to 10%.
The Executive Director of the Tax Office, Natalie Jaresko, spoke to the media during the presentation of the media. Adjustment plan of the deed amended before the Federal Tribunal. In synthesis, the plan of adjustment is detailed that a record of 8.5% a burden pensioners what about the los $ 1,500 mans.
“If the retirees reject the proposal in the Plan, we will move to the previous proposal — from three years ago — by a 10% reduction in pensions,” Jaresko said in the press release. Jaresko, without embarrassment, said the reports highlighted a plan that would only affect 30% of the governing body’s retirements. In addition, the Plan reflects the creation of pension funds so that the governing body can continue to finance these programs if there are any possible deficits.
“This Plan is reliable because it protects pensions and guarantees that the governor of Puerto Rico will never have to pay for pensions,” Jaresko said.
The new debt adjustment plan, presented today to federal jail Laura Taylor Swain, proposes to restructure a portion of the central government debt that rises to $ 35,000 million. The plan is lower than the $ 7,400 million restructuring. In addition, the agreement includes 66 classes of accreditors, which include agreements with General Bond (GO’s) bonuses; with Beneficiaries of the Public Publishing Authority, an agreement with the Retirement Committee (COR) and with Public Public Servants. Assimismo, has other complaints like, for example, disputes with the lechera industry of the country.
Jaresko, during the press conference, also commented that the Plan exemplifies that, in the case that the governing body supervises the projections of receipts in the Fiscal Plan, a 10% of this benefit will be assigned to the pension payment. In this form, according to the executive director, in some cases this scenario may mitigate the impact of pension records.
For its part, the executive director insists that the adjustment plan be reduced to an economic flexibility for the governor during the next few years. “This plan is sustainable because it reduces the governor’s responsibility in the payment of debt in order to be able to pay in the coming years”, Jaresko commented. According to the function, the agreement will reduce the payment to the debt of $ 1,475 million — proposed in the 2020 adjustment plan — to $ 1,150 million in the new proposal that sometime will be tax deductible.
While Jaresko acknowledges that it is necessary for the President of the Legislature to execute delinquent agreements in the adjustment plan. “Typically, legislation is needed to issue new bonuses and to the Contingent Value Instrument. [que incluye el Plan de ajuste], but not to approve the Plan of Adjustment as tal. But, in the final, we will see that exactly what is needed will be approved by the Legislature once the Federal Tribunal confirms the plan of adjustment “, Jaresko said, asking Metro.
For its part, the official acknowledged that Ley Promesa was forcing the Legislature to approve a proposal to suspend the issuance of new bonuses, in which case Rama would not. Jaresko commented that, apart from the governing party’s opposition to pensions, it was hoped that the plan would be favorable and that it would be the only way to protect the country’s pension system.
Asimismo, justifies the sustainability of the tax plan, which, given estimated tax revenues, the island could face a deficit deficit between 2029 and 2032. According to Jaresko, the tax bill proposes the creation of a pension fund the governor will be allowed to continue his payments to the pension system in economic contraction scenarios.
Asimismo, Jaresko urged the government to implement more structural reforms that could promote job creation and economic development.