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prima:Boston Court of Appeals leaves municipalities with no room to breath

The federal forum upholds Judge Laura Taylor Swain’s decision that overturned the law exempting municipalities from making payments to pensions and healthcare reform

July 30, 2024 - 12:44 PM

Archival note
This content was published more than 4 months ago.
It was estimated that if municipalities did not pay for PayGo and the government health care system, with Act 29-2019, the potential fiscal impact was approximately $311 million for FY 2020 and up to $1.7 billion for FY 2024. (Xavier Garcia)

Puerto Rico’s municipalities continue to be obligated to pay contributions to the public employees’ retirement plan through the “Pay as you Go” (PayGo) payment system and will also have to continue paying contributions to the Government Health Plan, which their medical employees receive through the Vital Plan.

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