Hontangas approves fiscal rebalancing plan due to budget non-compliance

The Plenary of Hontangas adopts the agreement unanimously

The Hontangas City Council approved in Plenary the economic-financial plan aimed at restoring compliance with fiscal rules following the breach detected in the settlement of the 2024 budget. The agreement, dated 2 July 2026, was adopted with the favourable vote of Councillor Mr. Niño Bartolomé and the Mayor, José Antonio Fernández Rosuero, and is published in the Official Bulletin of the Province of Burgos number 155, of 18 August 2026, under the official reference BOPBUR-2026-03447, in section III of Local Administration.

The trigger: the 2024 settlement reveals the imbalance

On the occasion of the approval of the settlement of the 2024 budget, the municipal intervention of the council reported the breach of the budgetary stability objectives and/or the expenditure rule. This finding triggers the legal obligation to prepare and approve a rebalancing plan with a sufficient time horizon to achieve compliance with the fiscal rules. In the case of Hontangas, the period set covers the 2026 and 2027 financial years.

The municipality of Hontangas, located in the province of Burgos and belonging to the autonomous community of Castilla y León, is an example of the budgetary pressures affecting small municipalities with limited resources. The approval of the plan responds to the ordinary procedure that budgetary stability legislation imposes on all local entities that fail to meet their fiscal objectives.

Legal basis: the LOEPSF and Royal Decree 1463/2007

The Plenary agreement is based on two key rules of the fiscal stability framework:

• Article 21 of Organic Law 2/2012, of 27 April, on Budgetary Stability and Financial Sustainability (LOEPSF), which requires local entities to adopt an economic-financial plan when they breach the budgetary stability rules or the expenditure rule.
• Article 19 of Royal Decree 1463/2007, of 2 November, which develops Law 18/2001 on Budgetary Stability in its application to local entities and specifies the requirements of the rebalancing plan.

Likewise, the publication of the agreement in the provincial bulletin is carried out under Article 23.4 of the LOEPSF and Article 26 of Royal Decree 1463/2007, which establish the obligation to disseminate these agreements for exclusively informative purposes.

Three agreements: approve, submit and publish

The Plenary of the Hontangas City Council adopted three agreements:

• Approve the economic-financial plan of the city council for fiscal years 2026-2027.
• Submit the plan to the General Secretariat for Regional and Local Coordination, or to the body responsible for the financial oversight of the autonomous community.
• Publish the agreement in the Official Bulletin of the Province of Burgos (BOP), for informational purposes, in accordance with budgetary stability regulations.

The document was signed in Hontangas on July 2, 2026, by the mayor, José Antonio Fernández Rosuero, and the secretary-auditor, Ana María Lozano Martín.

A sign of the fiscal challenge facing small municipalities

The situation in Hontangas illustrates the fiscal vulnerability of small municipalities, which must meet spending obligations that are difficult to contain with revenues highly sensitive to economic conditions. The approval of a rebalancing plan does not, by itself, imply a situation of insolvency, but it does show that the municipality has lost the fiscal room for maneuver it once had and will need to adjust its budgetary policy for at least the next two fiscal years to regain compliance with fiscal rules.

Source: Official Bulletin of the Province of Burgos, No. 155, August 18, 2026, Section III (Local Administration), p. 26 (official reference: BOPBUR-2026-03447).