Communities reported blocking of critical payments: Association of Cities appealed to the Prime Minister

Communities reported blocking of critical payments: Association of Cities appealed to the Prime Minister
Photo: 500 hryvnia banknote / Yelyzaveta Serhiienko / Press office NBU

The Association of Ukrainian Cities stated that since September 9, communities have been unable to make some payments even for critical needs - fuel for services, liquidation of consequences of Russian strikes, infrastructure repairs, and preparation for the heating season. The AMU Board appealed to Prime Minister Serhiy Koretskyi with a demand to immediately unblock settlements.

According to the Association of Ukrainian Cities, the problem occurs even when there is money on the accounts of municipalities and payments comply with the requirements of government resolution No. 590. According to AMU, communities cannot buy fuel for cars that go out to provide medical assistance or clear rubble after shelling.

Also, according to the Association, payment for some works and equipment for medical, educational, and social institutions has been stopped. Problems affected preparation for the heating season, arrangement of invincibility points, implementation of resilience plans, restoration of objects damaged by shelling, and protection of energy infrastructure.

AMU warns that delays in settlements with energy and fuel suppliers, repair crews, water utilities, waste management enterprises, and other utility services may directly affect the provision of basic services in cities and communities.

The Association's Board also asks the government to stop charging penalties for loans and overdue payments if communities could not make them due to payment restrictions. In addition, AMU called on the Prime Minister to determine the responsibility of officials whose decisions or inaction, according to the Association, led to the current situation.

AMU's statement appeared against the backdrop of the government's austerity regime introduced due to the difficult situation with state finances. Earlier, Koretskyi said that the Cabinet of Ministers determined the priority of state expenditures: defense, pensions, social payments, and salaries of public sector employees are financed first.

Expenditures that the government does not consider top-priority are decided to be postponed. Koretskyi mentioned new construction, non-critical reconstructions and major repairs, as well as landscaping - parks, squares, fountains, and pavement relayering. The Prime Minister also called on local authorities to similarly review their own budgets and limit non-priority expenses.

At the same time, the position of the Association of Cities is that in practice the restrictions, as it claims, affected not only non-priority projects, but also payments related to life support of communities and liquidation of war consequences. The Association does not cite an official government decision that would directly provide for blocking the critical settlements listed by AMU in its appeal.

Based on materials: Association of Ukrainian Cities, Serhiy Koretskyi