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Corozal Mayor, Rigo Vellos, renegotiates “unsustainable” contract with Imer Hernandez Development Company

Posted: Thursday, January 21, 2021. 2:11 pm CST.

By BBN Staff: The Corozal Town Council has freed up some much-needed financial resources following Mayor Rigo Vellos’ renegotiation of a contract with Imer Hernandez Development Company, which the council described as “unsustainable.”

The Council explained that the $1.377 million contract was signed under the Mayorship of Hilberto Campus back in 2017, for the paving of six streets.

“This agreement set out a schedule of monthly payments over a period of 10 years, and included the stipulation that in the months January to March the entire Government subvention would be paid towards the contract,” the Council noted.

Belmopan Aggregates

Vellos managed to sign the renegotiated agreement on January 13, which will see lower monthly payments and extend the contract completion date. The council notes that the relief comes at a time when the council was financially strapped due to COVID-19 and had to resort to measures such as reducing staff salary by 25 percent (with the exception of sanitation staff) and introducing a shift system to keep from firing employees.

“The re-negotiation will allow a significant restoration of salaries for council workers affected by COVID-19 measures,” the council added. “Additionally, the Council has seen it fit to consider a relief program for sectors of the business community that have been most affected by COVID-19,” the Council said.

 

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