The government of the U.S. Commonwealth of Puerto Rico ran out of money Monday, forcing the closing of public schools and government offices. In addition, approximately 100,000 people find themselves without a job as a result of the government running out of money.
This is the first ever partial government shutdown in the history of Puerto Rico. Last ditch negotiations designed to avert the shutdown failed to reach an agreement.
Governor Anibal Acevedo Vila blamed 'legislative inaction' for the shutdown. Furthermore, Acevedo did not sound optimistic about the situation. 'As of 8:00 AM this morning, I don't have in hand a single legislative proposal that resolves this crisis,' he announced to reporters.
As a result of the shutdown, schools closed two weeks before the end of the term. Almost 500,000 students found themselves getting an unexpected vacation from school.
Only services deemed absolutely essential such as hospitals and police, would continue operating during the shutdown. Local municipal governments will continue to function so garbage collection and other related activities will continue.
Puerto Rico has a budget deficit estimated at $740 million because the legislature and the governor have been unable to agree on a spending plan since 2004.
The House and Senate were unable to agree on a formula to pay off the debt and guarantee that the government would remain solvent until the beginning of the next fiscal year on July 1.
Many protest rallies were held in recent weeks to encourage the parties to prevent the shutdown. Unions have announced additional protests will take place in and around the capital of San Juan.
For now, Puerto Rico's government is at a standstill. How this crisis will be resolved remains to be seen.
