Catalan mayors and local leaders convened in Viladecans on Wednesday 8 April, expressing conditional support for urban densification as a key strategy to combat Catalonia’s severe housing crisis. This follows a direct proposal from Generalitat President Salvador Illa.

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The I Fòrum Municipalisme, organised by EL PERIÓDICO and Prensa Ibérica at the Atrium de Viladecans, brought together approximately 200 mayors, business leaders, and local stakeholders. They discussed critical public policy challenges facing Catalan municipalities.

President Illa reiterated his commitment to “densify” cities, a policy he previously outlined in an interview. He stated, “We must build as much housing as fits,” emphasising the need for increased housing supply across the region.

Several mayors supported the densification policy. Eduard Sanz of Esplugues de Llobregat and Mireia González of Santa Coloma de Gramenet conditioned its implementation on maintaining the quality of public services for residents. Antonio Balmón, Executive Vice-President of the Barcelona Metropolitan Area (AMB) and Mayor of Cornellà de Llobregat, suggested “rebuilding where construction already exists.”

L’Hospitalet de Llobregat Mayor David Quirós offered a contrasting view. He stated, “L’Hospitalet’s policy is not to densify further; the President understands and comprehends this.” L’Hospitalet is Catalonia’s second most populous city after Barcelona and faces some of Europe’s highest population densities. This highlights the varied local impacts of such policies.

Lluïsa Moret, President of the Diputació de Barcelona and Mayor of Sant Boi de Llobregat, encapsulated the forum’s spirit. She remarked, “To speak of municipalism is to speak of real problems,” underscoring the practical focus of the discussions. President Illa also affirmed, “Catalonia cannot be understood without its city councils,” praising the forum as a vital platform for regional debate.

Addressing Bureaucracy and Public Services

Excessive public administration bureaucracy emerged as another significant concern for local leaders. Gavà Mayor Gemma Badia highlighted project delays, joking, “We start projects with enthusiasm but they don’t finish until years later, when we barely remember they excited us.”

Mayors Xavier Garcia Albiol of Badalona and Marc Aloy of Manresa echoed these criticisms. They specifically targeted obstacles related to the Public Sector Contracts Law. Albiol humorously questioned corruption cases, given the extensive reporting and commission processes involved.

Fostering Public-Private Collaboration

The forum also explored the essential role of public-private collaboration in urban development. Albert Dalmau, Conseller de la Presidència, stressed the need for partnership in housing, security, and competitiveness. Mar Alarcón, founder of Moodin Policy, emphasised that mutual listening builds the necessary trust for effective collaboration.

Representatives from key companies like Aigües de Barcelona, Ecoembes, and Tram Barcelona participated in these discussions. Felipe Campos, Xavier Balagué, and Humberto López, respectively, highlighted public oversight of their services. They cited examples such as drought management and the 22-year history of the Barcelona tram network. Xavier Amor, Secretary for Local Governments of the Generalitat, showcased the AI gigafactory project in Móra la Nova as a successful public-private venture.

Tackling Municipal Underfunding

Mayors also reviewed long-standing issues concerning municipal funding. Xavier Amor confirmed work on a draft law to improve local government financing, a historical demand from municipalities.

They identified several financial obstacles. These include limitations on treasury surpluses, declining capital gains tax revenue, and over-reliance on the Impuesto sobre Bienes Inmuebles (IBI), or property tax.

Local leaders believe this “perfect storm” of underfunding creates fertile ground for extremism and distrust in institutions. Mataró Mayor David Bote and former Sant Cugat Mayor Mercè Conesa, now director of Barcelona Global, concluded, “We are at the peak of polarisation, with personal attacks that seek the destruction of the adversary.”

The discussions at the I Fòrum Municipalisme underscore the complex challenges facing Catalonia’s municipalities. These include balancing housing needs with urban quality, streamlining administration, and securing adequate funding. The Generalitat’s commitment to a new municipal financing law signals a potential path forward for these critical issues.

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Originally published by El Periódico Barcelona. Read original article.