They hang the fiscal plan García Padilla submitted to the Board

Like the federal Fiscal Control Board, professional associations and organizations on the Island criticized the Fiscal and Economic Growth Plan (PFCE) that Governor Alejandro García Padilla submitted in October, arguing it does not meet all PROMESA requirements, El Vocero reported.

The federal entity released comments filed between November 10 and 23. Via the Board’s form, the entities said the PFCE has serious deficiencies: it offers no clear alternatives to stabilize the economy and finances, improve public finances, foster sustainable growth, or meet basic needs. As strengths, they noted changes in government processes and agency consolidation.

Jaime Pla Cortés, president of the Hospital Association, wrote that the PFCE “does not eliminate the structural deficit of federal funds, does not document the $16.1 billion assumed under the federal ACA…, does not include a debt-sustainability analysis and audit, and [lacks] changes or actions for the economy.” Miguel Vega (Hotels and Tourism) saw it as timid for the tourism sector and critical of video lottery. CPA Juan R. Barreto Sosa suggested a 60%/30%/10% mix among structural reform, sustainable budgets, and debt restructuring, and questioned $235 million in hotel investment without a feasibility study.

Anne Krueger — hired the prior year by the administration for a debt report — also hung the plan: “basically a plan to continue current spending, with a little less for debt service, while increasing investment.” Without growth, she said, restructuring “will simply buy time.” Andrew Wolfe highlighted little depth on pensions and on reforms to bring jobs. Criticism is not a formal rejection of certification.