In Ivano-Frankivsk, utility workers' salaries and boiler house construction under threat: payments not being processed
In Ivano-Frankivsk, due to delays in treasury payments, there is a threat of late salary payments to employees of utility companies. Funding problems may also lead to a halt in public transport and disruption of some work to prepare the city for the heating season.
This was reported by Deputy Mayor of Ivano-Frankivsk, Director of the Department of Infrastructure, Housing and Communal Policy Mykhailo Smushak in a comment to local outlet "Halka" on October 7.
According to the official, the State Treasury Service is not processing some payments of the utility company "Elektroavtotrans". Among them are funds needed to pay salaries to employees, purchase fuel and lubricants, and ensure the current activities of the enterprise.
"We are currently looking for ways to still pay these funds so that public transport does not stop", - said Smushak.
City authorities are trying to find a mechanism for making settlements to avoid disruptions in public transport and salary delays. At the same time, the official did not specify whether actual wage arrears have already arisen.
Separate concern is raised by the possible disruption of Ivano-Frankivsk's preparation for winter. Due to payment delays, repairs of internal and main networks, as well as construction of new boiler houses, are under threat.
According to Smushak, the city is developing additional heat supply sources to reduce dependence on individual heat generation facilities and ensure heating for residential buildings, schools and hospitals.
However, completion of the relevant work requires timely funding from the city budget. If the Treasury delays payments, contractors cannot fully pay employees and equipment suppliers, creating a risk of work delays ahead of the heating season.
The Deputy Mayor also warned about economic consequences of the delays. In his opinion, payment problems reduce the population's purchasing power, negatively affect local business and may lead to a reduction in tax revenues.
The City Council hopes that the government will review the mechanism for conducting budget payments and find a solution that allows communities to timely finance critically important needs.
A similar problem was previously recorded in Lviv. As early as October 2, Deputy Mayor Andriy Moskalenko reported that the Treasury was not processing some payments of utility companies, including for gas for heat supply and for salaries of janitors and tram and trolleybus drivers.
According to him, some payments at that time remained unprocessed for up to two weeks, others - for several days.
The Lviv City Council specified that in early October there were no actual salary delays yet. However, funds were not arriving to the accounts of enterprises that should make the relevant payments. Officials warned that without unblocking settlements the problem could directly affect employees.
Also in Lviv, there were reports of unprocessed payments for energy resources needed for the operation of heat supply enterprises before the start of the heating season.
The problem has already reached a nationwide scale. As previously reported by "Kurs Ukrainy", the Association of Ukrainian Cities appealed to Prime Minister Serhiy Koretskyi due to blocking of payments necessary for life support of communities.
According to the Association, since September 9, local governments have faced difficulties in paying for fuel for emergency services, repairs of damaged infrastructure, purchase of equipment for hospitals, schools and other social institutions.
In addition, restrictions have affected the preparation of invincibility points, implementation of energy sustainability plans, and work to protect critical infrastructure.
The Association of Cities emphasized that problems with payment processing occur even when the necessary funds are already in the accounts of local budgets.
The situation unfolds against the backdrop of the government's decision to strengthen control over budget expenditures. In late September, the Cabinet of Ministers introduced a payment prioritization mechanism due to delays in receiving part of the planned international financial assistance.
According to explanations of the Ministry of Finance, in case of predicted deficit of funds on the unified treasury account, priority should be given to financing defense, debt servicing, pensions, salaries and social benefits.
At the same time, the Ministry of Finance noted that restrictions are not applied automatically, but depend on the actual forecast of available financial resource.
Meanwhile, representatives of local government claim that in practice delays have also affected payments needed for the operation of utility services and maintenance of critical infrastructure.
Thus, the problem initially reported at the level of the Association of Ukrainian Cities is already manifesting in the work of specific utility companies. In Ivano-Frankivsk, the main risks remain timely payment of salaries, uninterrupted operation of public transport, and completion of preparation for the heating season.
By materials: "Halka", ZAXID.NET, Ministry of Finance of Ukraine
