The Government is contributing 28 million euros, of which 6 million will go to finance City Hall projects and 22 million to investments by the autonomous administration in Palma

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The Consell de Capitalitat de Palma met today to approve the 2023 capital status agreements and the actions planned in the municipality of Palma as compensation for the costs of capital status for a total amount of 30.48 million euros. This item includes 27.9 million euros from the Govern de les Illes Balears and 2.5 million euros from the Consell de Mallorca.

Of this funding, the Govern and the Consell de Mallorca will make a specific contribution of 8.5 million (6 million from the Govern and 2.6 million from the Consell) so that the Town Hall can directly develop various municipal projects.

Among others, the Govern is contributing almost 2.6 million for the purchase of two plots of land from the co-owners of Mallorca’s former Lluís Sitjar stadium.

Investments complement the Govern’s contribution of 6 million that the Govern plans to make in the municipality amounting to 21.9 million from the general administration of the Autonomous Community and entities of the autonomous public sector. For example, the construction of a development of 57 public housing units in the Molinar neighbourhood and the refurbishment of the Carme building.

The Councillor of Finance and External Relations, Rosario Sánchez, valued the agreement and the actions financed with contributions from the Govern, totalling around 28 million euros, to comply with the Law of Capitality. She stressed that the territorialised expenditure in Palma in the 2023 General Budget amounts to 193 million euros, representing an increase of 25% over 2022.

The councillor also highlighted a complementary agreement approved today, by which a total of 2.5 million euros is reinstated, with its own funds, to finance the project to improve the lighting on the seafront of Playa de Palma, which was part of an ITS-2019 project suspended due to Covid-19.

The mayor of Palma, José Hila, stated that thanks to the Capitalidad investments, “Palma will be able to continue with the transformation of the city, a transformation already underway”. “The actions are committed to housing, the elderly, sport and facilities in the neighbourhoods,” said Hila.

The meeting was also attended by Mercedes Garrido, councillor for the Presidency, Public Function and Equality, on behalf of the government, and Pep Lluís Colom, island councillor for Finance and Public Function, on behalf of the Consell de Mallorca. Councillors Adrián García, Antoni Noguera and Francesc Ducros were also present on behalf of the Town Council.

The projects to be financed by the 6 million euros provided directly by the Govern de Palma are aimed at improving Palma’s public spaces and services. They are as follows:

MUNICIPAL PROJECTS FINANCED BY THE GOVERNMENT

INVESTMENT

Acquisition of two plots of land from the co-owners of Lluís Sitjar
2.585.000 €

Expansion and improvement of the public housing stock
630.000 €

Project for the urbanisation of the IES Son Ferriol site
550.000 €

Acquisition of a building for a day centre for the elderly
835.000 €

Casal de Barri es Pil-larí
750.000 €

Improvement of the network of casals de barrio de Palma
150.000 €

Fundació Districte Llevant
150.000 €

Improvement and conditioning of the motorcycling circuit Son Oms
345.000 €

TOTAL

5.995.000 €

On the other hand, the Consell de Mallorca will finance actions to improve the Camí dels Reis with an allocation of 2.5 million euros, approved by the Consell de Capitalitat last May.

MUNICIPAL PROJECTS FINANCED BY THE CONSELL

INVESTMENT

Improvement of Camí dels Reis
2.562.000 €

TOTAL

2.562.000 €

In addition to the direct contribution, the agreement includes investments of 21.9 million euros by the Government in compensation, in actions carried out by the regional administration. Investments that boost the construction of public housing and the improvement of Palma’s health, social and sports facilities.

In addition, the agreement contains consolidated investments that are included every year: the Govern’s participation in the Local Cooperation Fund, totalling over 3 million euros, and the annuity planned for 2023 for the refurbishment of the Son Moix pavilion, totalling 1 million euros.

CONTRIBUTION AND PROJECTS OF THE GOVERN 2023

INVESTMENT

The specific contribution of the GOIB municipal projects
5.995.000 €

Participation in Local Cooperation Fund
3.063.297 €

Annuity 2023 agreement to repair Son Moix Pavilion
1.000.000 €

Promotion of 57 VPO in El Molinar
8.199.970 €

Work on the Edifici del Carme
5.548.016 €

Replacement of Hospital Universitari Son Espases
2.625.000 €

High-tech diagnostic equipment
1.494.170 €

TOTAL

27.925.453 €