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Puerto Rico Faces Austerity Amid Budget Battle
Puerto Rico moves toward deep cuts as a federally appointed board demands labor-law changes to unlock investment. It will eliminate a $25 million scholarship fund at the island’s largest university and a $50 million annual fund for cities and towns, scrapping the government employee Christmas bonus next year. Governor Rosello and Senate President Rivera Schatz clash with the board over at-will employment, while $70 billion debt and nearly $50 billion in pension obligations loom. The island, still recovering from Hurricane Maria, faces immediate economic impact and potential board-enacted budgeting if lawmakers fail to align with the fiscal plan.
MENTIONED IN THIS ARTICLE
San Juan
Puerto Rico
U.S
Ricardo Rossello
Rossello
Board
Ana Matosantos
Puerto Rico Senate
Thomas Rivera Schatz
Jose Caraballo
Associated Press