The internal control body censures the procedure, understanding that it intends to carry out a "post-facto transfer of funds to cover past costs", financing activities already executed during 2025. This is the fourth unfavorable report on the matter, following previous rejections in 2025 and 2026 of formulas to fund the Córdoba Live and Califas Fest festivals.
The report, signed on July 7, points out three main objections: errors in the Strategic Subsidy Plan, inclusion of expenses from 2025 within the subsidizable period, and insufficient justification of the European State aid regime. The Audit Office argues that allocating expenses from a closed fiscal year to the 2026 budget conflicts with the principle of budgetary annuality.
The Audit Office reconstructs the chronology of the last two years, recalling previous attempts by the IMAE to channel funds through advertising sponsorship contracts or direct grants, all of which received unfavorable reports. It is criticized that the current call for applications seems designed to cover projects and beneficiaries "previously defined", lacking an incentive effect.
In addition to the main criticism regarding the funding of past activities, discrepancies are detected between the budgetary applications of the Strategic Plan and the call for applications, and the legal basis for the State aid regime is questioned. The report also notes that the call should have been processed earlier and warns of the limited time margin.
Despite the unfavorable reports, the IMAE maintains its position and rejects the Audit Office's conclusions. It argues that the General Subsidy Law expressly allows funding activities "already carried out" and that the budgetary obligation arises when the aid is formally granted. It cites examples from other administrations and Supreme Court jurisprudence to defend its stance.
The IMAE considers that the material correction of the Strategic Plan, approved by the Plenary on July 8, justifies the continuation of the procedure. The IMAE Governing Council has submitted the discrepancy report to the Municipal Plenary to resolve the conflict, while the body continues processing the call for applications.
