Arequipa: GRA and municipalities only spent half of the budget

By Elizabeth Huanca and Deysi Pari

The regional government and municipalities of Arequipa received this year S / 2,542 million 238 thousand for the execution of new projects and continuity of others. However, a few days before the end of 2021, they only executed 52.4% of that amount. To date, according to the Transparency page of the Ministry of Economy and Finance (MEF), S / 1.329 million 590 thousand have not been spent.

In a year of “return to normality”, Arequipa received the highest budget in the last three years (17% compared to 2019). The match was accompanied by S / 600 million from mining royaltiesHowever, this did not contribute to improvements in services or the realization of projects in various districts and provinces of the region.

There are exceptional cases of execution of the investment budget. In the province of Arequipa, the commune of Sachaca spent 82.2%. In Caylloma, Lari and Ichupampa stand out with 89 and 85%, respectively. In Castilla, there are Chachas (88%) and Choco (83.8%). While in the province of Camaná the district of Quilca, has executed 92% of the allocation assigned in projects. The highest percentage in the entire region.

Just 3%

The other side of the coin is represented by six communes that did not spend even 10% (See infographic). The most dramatic case is that of Provincial Municipality of Castilla, barely executed 3.7%. The municipality has S / 79 million, but has only spent S / 2 million 962 thousand. The Union is going the same way. This year it was assigned S / 11 million, but it only executed S / 1 million (9.7%).

In Metropolitan Arequipa there are municipalities with questionable expenses. For example, the Municipality of Alto Selva Alegre barely reaches 30%. This commune is slightly surpassed by Yarabamba, the third richest district in the country (for transfers in canon and royalty), whose investment in works only reaches 32%. In general, the spending of the district municipalities in the region leaves much to be desired. This year they were assigned S / 1,672 million, but their spending barely exceeds 47%.

Major dramas

The situation of the Regional Government of Arequipa (GRA), hit by signs of corruption, in the management of Elmer Cáceres Llica, it is also critical.

To date, there are about 15 megaworks paralyzed, including the highway called “Cuatro Carriles” in the Northern Cone, as well as, the second stage of the Arequipa-La Joya highway. The last one with the largest budget assigned for 2021. This amounts to S / 76 million, but the work does not have further progress. The Regional Government intends to unlock S / 44 million of this item to reallocate it to other projects in the provinces. In addition, the hospitals of Chala, Camaná and La Unión are paralyzed. 80% of works stopped in the region are the product of arbitrations and judicial measures in progress.

The GRA has a “millionaire” budget to carry out works that is not used. This year, The figure reached S / 869 million 470 thousand, but it has barely executed 53.4%. The goal of the recently appointed governor (e), Kimmerlee Gutiérrez is to ensure spending of 60%. Even so, there is a risk of not using more than S /. 400 million. Gutiérrez assures that this money will not be lost, it will be transferred to next year as a balance sheet and may be managed again for the Region. However, in a region with so many needs and half-done works for several years, returning the money to the treasury is almost a crime.

The regional authority refers that this result shows that the Cáceres administration worked with disorder and “only for private benefits.” The “cacerista” government in 2019 executed 56.3% of the money for works and 2020, only 50%.

Provincial commune

The provincial commune of Arequipa, directed by Omar Candia, had an investment budget of S / 96 million 336 thousand. As of December 11, it executed just over half: 56.4%.

The general manager of the municipality, María Antonieta Torres, says that if a comparison is made with previous years, the budgetary execution of the commune is “in the average”. However, it is not optimal. Last year, the commune carried out 47% of its budget allocation in works, while in 2019, it barely reached 41%.

Most of the money is in the known work like the Bicentenario road interchange. S / 60 million was allocated. So far it is the most important work of Candia’s management, with which it is intended to decongest vehicular traffic.

Torres assured that, although the execution is at 56%, they have already certified 95% of the budget which means that that amount of money already has an orientation.

To advance in spending, the municipality evaluates to avail itself of the Emergency Decree that the Pedro Castillo government issued on Monday, December 6 to accelerate public investment. This authorizes the municipalities to advance valuations of works, by means of addenda to the contracts.

Torres explained that, if they become eligible for the DU, They could close the year, with 70% of the investment budget executed. The proposal is that this figure be applied in 8 works, but this will be determined by the investment committee that the municipality has.

Another work with an important budget of the commune are the stops of the trunk road of the Integrated Transport System (SIT), a work with observations of the Comptroller’s Office. Then investments are located in urbanizations such as Juan el Bueno, Juventud Ferroviaria, intervention on Progreso avenue in the Miraflores district.

The item for the placement of the bollards for the bicycle lanes is not included in the budget, as it was within a national standard.

For Torres, qualify the performance of municipal management, through the advancement of budget execution it is “a very skewed form”.

“There is a cycle of spending execution. When you see a budget, and you see how much is already certified, you know what the entity is going to spend on. We have almost 90 million certified soles, which means that they are works in progress, ”he argued.