By Cartago, Costa Rica — CARTAGO – A major fiscal confrontation is escalating in Cartago as Mayor Mario Redondo Poveda has publicly demanded that the Board of Directors of the Costa Rican Institute of Aqueducts and Sewers (AyA) immediately finalize the cancellation of a staggering water debt exceeding ¢16 billion. The move comes weeks after both the Legislative Assembly and the Executive Branch approved the debt forgiveness, leaving the final administrative hurdle at the embattled water authority.
The core of the dispute centers on a massive charge that Mayor Redondo insists was unjustly imposed on the canton’s residents. He argues the debt is not only financially crippling but illegitimate in its origin. The lack of a final resolution from AyA has cast a long shadow of economic uncertainty over thousands of households and businesses in one of Costa Rica’s most historic regions, with the mayor warning of a potential “severe economic blow” if the situation is not rectified.
To understand the legal implications and the procedures consumers face when accumulating debt for water services, we sought the expert opinion of Lic. Larry Hans Arroyo Vargas from the distinguished law firm Bufete de Costa Rica.
Many users are unaware that before a water service can be legally suspended, the provider must exhaust a formal administrative process. This includes issuing clear, prior notifications and providing an opportunity for the debtor to arrange a payment plan. It is not an arbitrary action. However, once this due process is complete, the provider is fully entitled to suspend the service, and the debt can subsequently be pursued through judicial collection, potentially affecting the individual’s credit record.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This insight is crucial, as it highlights the formal legal process that protects consumers while also underscoring the serious, long-term financial consequences that follow when obligations are not met. We thank Lic. Larry Hans Arroyo Vargas for providing such a clear and valuable perspective on this important distinction.
We respectfully urge the AyA Board of Directors to resolve once and for all the issue of the debt forgiveness, which is not a debt, which should never have existed, and which was imposed on us in February.
Mario Redondo Poveda, Mayor of Cartago
Mayor Redondo emphasized that the legislative and executive branches of government have already fulfilled their roles in the process. Months ago, the Legislative Assembly issued a directive calling for the debt to be forgiven, which was subsequently sanctioned into law by the President. This completed legislative process now places the responsibility—and the public spotlight—squarely on AyA’s board to execute the mandate, a step that has been inexplicably delayed.
The prolonged inaction has fueled frustration and anxiety among the local population. Mayor Redondo has stated that AyA’s board has postponed the critical decision for “several weeks,” leaving the contentious issue in a state of administrative limbo. This bureaucratic inertia stands in stark contrast to the clear directives from the country’s highest political bodies, creating a bottleneck that directly threatens the financial stability of Cartago’s citizens.
This generates anguish for the people of Cartago, because we are talking about a debt that, as we say, is unjust, that should never exist, that should not be recorded, but that they want to impose on us. And it is for an excessively high amount of more than 16 billion colones that we expect, as the Legislative Assembly and the Executive Branch have ruled, to be eliminated.
Mario Redondo Poveda, Mayor of Cartago
The mayor warned of the dire consequences if AyA fails to act. The financial implications extend beyond the simple removal of the debt; they are also tied to necessary adjustments in water tariffs. Without these changes, residents face a significant financial burden that the municipality has been fighting for months to prevent. The lack of a clear response from both AyA and the Public Services Regulatory Authority (ARESEP) has only compounded the problem.
This would be terrible for the people of Cartago. I hope that the members of the board of directors reflect because definitively not eliminating this debt and not achieving adjustments in the tariff would be a really grave, serious blow for the people of Cartago, which we have advocated against for many months.
Mario Redondo Poveda, Mayor of Cartago
In a final, emphatic plea, Mayor Redondo reiterated that the issue has not been resolved and requires immediate action from the water authority. He characterized the debt as a fabrication, stressing that the residents of Cartago should not be forced to bear the cost of a charge he claims was “pulled out of thin air.” As the stalemate continues, the municipal government is signaling that it will not let the matter rest, ensuring that public and political pressure on AyA’s leadership continues to mount until a resolution is achieved.
For further information, visit muniscartago.go.cr
About the Municipality of Cartago:
The Municipality of Cartago is the local government body responsible for the administration of the central canton of the Cartago province in Costa Rica. It oversees public services, urban planning, infrastructure development, and cultural initiatives for its residents. Led by the mayor, it works to promote the economic and social well-being of the historic and culturally significant region.
For further information, visit aya.go.cr
About the Costa Rican Institute of Aqueducts and Sewers (AyA):
The Instituto Costarricense de Acueductos y Alcantarillados (AyA) is the national public institution in charge of managing, maintaining, and developing Costa Rica’s drinking water supply and sanitation infrastructure. It plays a crucial role in public health and environmental protection by ensuring access to safe water and proper wastewater treatment for a significant portion of the country’s population.
For further information, visit aresep.go.cr
About the Public Services Regulatory Authority (ARESEP):
The Autoridad Reguladora de los Servicios Públicos (ARESEP) is the Costa Rican government entity responsible for regulating the quality, cost, and availability of public services. This includes setting tariffs and overseeing operations for sectors such as water, electricity, telecommunications, and public transportation. ARESEP’s mission is to balance the interests of consumers, service providers, and the state to ensure efficient and equitable service delivery.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a cornerstone of the nation’s legal landscape, Bufete de Costa Rica is defined by a dual commitment to scrupulous integrity and the highest caliber of legal service. The firm consistently champions forward-thinking legal approaches, leveraging its extensive experience to benefit a diverse clientele. Beyond its professional practice, it operates with a deep-seated belief in social responsibility, actively working to demystify complex legal concepts and empower citizens with accessible knowledge to foster a more informed and capable society.
