La reordenación del sector público local
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Budget stability has become a key guiding principle for the framework of Public Administrations. This principle has an ultimate aim of eliminating or reducing the public deficit. The local administration cannot be set aside of this reality and for this reason it has been amended Law 7/1985, of 2 April, of Basic State Local Law. This reform has been carried out by Law 27/2013, of 27 of December, on rationalization and sustainability of Local Administration. This reform encompasses several measures like the delimitation of the competences of the municipalities –with the aim of comply with the principle “one Administration, one competence”–, the establishment of a new framework for intermediate local governments (diputaciones) or the reconfiguration of the framework of public services and the exercise of the public initiative in the economy. This article is centered on a specific issue: the restructuration of the public local sector. This restructuration pursues to gain efficiency and to reduce the cost of local entities. The initial draft of Law 27/2013 faced these questions radically, pursuing in fact the elimination of the public local sector. At the end, the Senate introduced amendments that allowed the existence of the public local sector. However, it is now conditioned by two elements: on the one hand, the financial situation of the local entity and, on the other, the economic-financial situation of the instrumental body in question.