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Thursday, February 09, 2006 

Plan for distribution of federal funds announced
February 9, 2006

SAN JUAN (EFE) - Several government agencies and the Office of the Commissioner for Municipal matters announced Thursday an action plan to distribute millions of dollars in federal funds, earmarked to assist in areas such as housing, health, family, and permanent improvements in municipalities.

Nevertheless, according to Ángel Castillo, municipal affairs commissioner, federal grants were reduced by $6 million this year, since the amount to be distributed will be $72 million instead of the $78 million distributed during the previous year.

This reduction in federal funds will bring about municipal budget adjustments; in fact, Castillo Rodríguez anticipated that a new reduction could be announced at any time.

Now that the federal government has announced new budget cuts, "we must be prepared for that," said Castillo Rodríguez, adding that they will be lobbying against any reductions in federal funding.

He insisted that those federal funds are the only funds that smaller municipalities use to make permanent improvements to their infrastructure.

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