Salto Municipality in red: more than 1 billion in debt accumulated by the Frente Amplio government

Salto Mayor Carlos Albisu warned this Saturday that the departmental administration does not have the necessary resources to pay July salaries, and that the situation depends on ongoing negotiations with the president of the Banco República, Álvaro García, to release funds to make the payments.

According to Albisu, the previous administration left a debt of 287 million pesos with the Banco República, which was supposed to have been settled by June 30th, but that didn't happen. "We had to go to the Departmental Board to request an extension, because otherwise we couldn't cover this month's salaries," the official said.

The mayor acknowledged that information about this debt had not been communicated during the transition process and that the situation took them by surprise. "It wasn't on the agenda, we didn't expect it. We found out about it now and are trying to resolve it as soon as possible," he stated.

The Municipality is currently in talks with the Court of Accounts, the Departmental Board, and Banco República with the goal of finding a short-term solution. Albisu was emphatic in stating that, as of Saturday, July 27, the municipality does not have the necessary funds to make payments.

In addition to the debt with the bank, Albisu explained that he also received a debt from suppliers exceeding 800 million pesos, further complicating the Municipality's financial outlook.

The departmental government's economic team assures that they are working against the clock to avoid delays that would directly impact the income of municipal officials, many of whom depend on their salaries to cover essential expenses.

Salto's financial situation highlights the difficulties some departmental governments face after a change of administration, especially when there is no clear communication of outstanding liabilities and commitments.