Sinaloa “was very hard” with the budget cut made by the Federal Government to the states, acknowledged Governor Quirino Ordaz Coppel.
The Governor of Sinaloa added that he had to borrow to be able to pay payrolls and also to the Autonomous University of Sinaloa.
Q.- Today it is announced in the Chamber of Deputies of a cut of 18 billion pesos, ask Sinaloa how he is doing on the issue of money – reporters asked the Governor.
R. – It was very hard, yesterday we received 100 million less. We did not have to give the UAS or also the payment of payroll because from there it is paid and we had to borrow in the short term in order to meet that need, ”Ordaz Coppel replied.
Q.- Five months have suffered.
R. – It is that what we receive right now is what corresponds to the month of May. Remember that the economy was stopped, very little movement, oil down; VAT fell, ISR fell, IES fell and that is what we are receiving right now.
Q.- How would the State Government do to reimburse these 100 million?
A. – There is a stabilization fund, but they gave us 75 percent. What we want is for it to be monthly and give it to us one hundred percent.
Q.- Would you expect this fall to continue?
R. – It is that the economy is difficult, there is the crisis.
Governor trusts in support of the Stabilization Fund to offset income
Sinaloa receives 100 million pesos less from the Federation; accumulate 900 mp in two months
Governor Quirino Ordaz Coppel trusts that from August, the States can be benefited from resources from the Stabilization Fund that allows them to compensate, 100 percent, the drop in their income due to the reduction in contributions and federal participations.
He considered this to be pertinent since, once again, Sinaloa had a very hard time receiving 100 million pesos less in federal participations, which has already accumulated a cut of 900 million pesos.
Interviewed by representatives of the media, about this reduction in federal income, he said that “it was very hard for us. Yesterday we received 100 million pesos less. We did not have to give the UAS or payroll (from the State). (So) we had to borrow in the short term in order to meet that need . ”
The state president explained that the federal shares received today correspond to the month of May and recalled that in that month the economy was stopped, there was little movement, the price of oil was down, and tax revenues such as VAT fell , ISR and IEPS, and that, he said, is “we are resenting it.”
In this context, Quirino Ordaz proposed that the Stabilization Fund, which is used in these extraordinary cases, be activated every month, starting in August, to offset the cut, but at 100 percent.
He explained that although the states received resources from said fund, it was 70-75 percent.
The governor warned that in these circumstances the remainder of the year in terms of resources will be very difficult. Therefore, he announced that his administration will make more adjustments in spending and define higher priorities focused on serving sensitive programs.