Bill would mitigate economic impact of road projects

By THE STAR STAFF

At-large Rep. José “Che” Pérez Cordero filed House Bill 1614 on Wednesday to create an initiative that seeks to help mitigate the economic impact on businesses and industries adjacent to construction work.

The legislation (dubbed the “Law for Mitigation Measures Against the Economic Impact on Merchants Caused by the Closure of Streets, Highways and Public Roads”) proposes to amend some articles of the Internal Revenue Code to allow the reduction of the surcharge on the tax on sales and use tax (IVU by its Spanish acronym) and to empower the governor, by executive order, to reduce the tax rate to zero percent, along with other mitigation measures.

“The closure of the cable-suspended bridge, while we recognize the urgency of doing the necessary work and improvements, represents a degree of uncertainty in the economy of hundreds of businesses and businesses that are located near the area and in the towns adjacent to the structure, such as Naranjito, Comerio, Barranquitas and Corozal,” Pérez Cordero said. “It is necessary to adopt measures that help mitigate this situation that could mean the closure of shops and unemployment in the mountain region.”

The New Progressive Party lawmaker added that the mitigation measures proposed in the bill are to reduce the IVU rate to bring it to zero percent, defer the collection of payment plans for the payment agreement in the Treasury Department and establish any necessary and recommended measure by the municipal government where the business or businesses affected by the construction work are located.

The mayors may request that the governor activate one or all mitigation measures considering the substantial damage that the roadwork may cause to the businesses in their towns. Those measures could also be applied in cases of work necessitated by landslides or other natural disasters, or any type of emergency that impacts regular traffic on municipal roads.