Superior Supervisory Body of Edomex orders municipalities to contract bonds

The Higher Oversight Body of the State of Mexico He announced that the municipal public servants in charge of collection must hire bonds in the event of possible damage to public finances.

According to the Official Mexican Newspaper, this is a state government measure that seeks to protect the municipal treasury.

“These criteria are of public order and are intended to establish the guidelines to guarantee the payment of damages and losses estimated in money, that public servants cause in the exercise of their functions to the public treasury and patrimony of the municipal auditable entities” , noted the document.

The amount to be guaranteed must be for the equivalent of one thousand thousand of the amount corresponding to the income of the municipal taxable entities of the Mexico state and the shares that corresponded to them in federal and state income in the immediately preceding fiscal year.

“In other words, the fiscal year to be bailed is 2023, therefore, to determine the amount from one to a thousand, the budget of own income collected and the participations referred to in the previous paragraph and that correspond to the fiscal year 2022 must be considered. ”, stressed the subnational body.

The bond must cover the damages caused by public servants in the exercise of their functions, and if there is no budgetary sufficiency in the municipal auditable entity, the obligors will hire the sureties with their own resources in their capacity as contracting parties.

Meanwhile, the original bond policies must remain in the custody and preservation of the treasurer, finance director or equivalent.

In addition, the policy contracted annually must guarantee that it will remain in force for up to three years after the conclusion of the employment, position or commission of the contracting public servant.

“The Superior Oversight Body of the State of Mexico will not authorize or recommend bonding institutions to guarantee the management of public resources, nor will it be able to generate agreements with said institutions,” the Mexican government stressed.

Duty manager

The publication pointed out that in the municipalities the trustee will be in charge of monitoring compliance with the documentation, in addition, public servants subject to bonding by the newly created municipal auditable entities will contract bonds within 40 business days following the start of your employment.

“The Higher Supervisory Body of the State of Mexico may request from the municipal auditable entities the information and their additional documentary support that it deems necessary to verify the steps that have been taken to make the bond policies effective,” reiterated the Mexican Official Newspaper.