Lod, Kiryat Malachi, Kiryat Tivon, Kfar Manda, and Pardess Hanna received funds.
The Ministry of the Interior today allocated NIS 18 million to four local authorities to cover their accumulated deficits. The local authorities promised to pay all their salary obligations.
Kiryat Malachi promised to pay wages for the past four months, Pardess Hanna the past two months, Kfar Manda the past three months, and Kiryat Tivon for the past six months.
The Ministry of the Interior also transferred NIS 3 million to a special bank account for the Lod municipality to pay salaries to its employees for the past five months. The money was put in a special account because the Lod municipality has not yet signed a recovery plan.
The Ministry of the Interior said that additional local authorities that have signed recovery plans would be given money next week. Ministry figures show that to date, only 24 local authorities have signed recovery plans with the Ministry of the Interior. 113 local authorities with an accumulated deficit of over 17.5%, which the government has decided require a recovery plan, have not yet signed such a plan.
Published by Globes [online] - www.globes.co.il - on June 30, 2004