The PSOE government in Pizarra has warned that it could have problems paying the municipal payroll and funding local services after the opposition parties, PP and IU, voted against the second plan for the payment of creditors.
According to the PSOE government, the rejection of the plan means that they cannot request €266,502.20 for the paying of outstanding debts to suppliers which, in turn, means that the Government will withhold €71,852.95 per month from state taxes.
The socialists believe the rejection of the payment plan is a premeditated conspiracy by the PP and IU aimed at destabilising the local government ahead of the 2015 municipal elections.