IN BRIEF
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In La Roche-Posay, a growing concern is emerging regarding the management of the tourism office and thermalism, particularly due to the statements by the mayor, who mentions a “gaping hole” in the accounts. On Wednesday, January 15, 2025, the director of this structure took the opportunity to respond to the mayor’s allegations, asserting that it was not a major deficit but rather cash flow problems caused by fluctuations in certain revenue sources.
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The mayor’s concerns #
At the end of November 2024, the atmosphere of concern intensified within the municipal executive of La Roche-Posay. Following a wave of resignations by elected officials, Mayor Yannick Tartarin spoke out to denounce an alarming situation within the tourism office. He characterized the situation as a “cabal” questioning the management of the office’s leaders, particularly the president of the OTT, Alain Brunet, and the director, Pierre Baronnet-Frugès.
A quick response from management #
In the face of these accusations, Pierre Baronnet-Frugès did not take long to react. Just a few months before his retirement, he expressed himself freely to provide clarifications. “There is not at all a gaping hole,” he stated, specifying that it was mainly about financial difficulties and not a permanent deficit. According to him, the mayor had been involved in the budgetary decisions within the office and had approved the actions taken.
Analysis of the office’s finances #
The director elaborated on the office’s budget, which amounts to €620,000. The main sources of revenue come from the tourist tax, the casino, sales of products and services, as well as the DMTO (tax on real estate transactions). However, it is important to note that the fluctuation of the DMTO tax has had a significant impact on the office’s finances, which declined sharply between previous years and the year 2024.
From prosperous years to a sharp decline
He emphasizes that the office experienced prosperous years with revenue reaching up to €167,000 in 2019. However, in 2023, the tax indicated revenues significantly lower than €98,000, further decreasing to €74,000 in 2024. These figures highlight the direct impact that the fluctuation of this tax has on the finances of the La Roche-Posay office.
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Difficult relations with the municipality #
Pierre Baronnet-Frugès also mentioned that despite the alerts sent to the municipality regarding declining revenues, the commune continued to demand more events and activities. This situation indeed led the office to exhaust its financial reserves. “We ended up eating our war chest,” he declared, highlighting the increased pressures on the structure.
A rather positive financial statement #
Despite the turmoil, Pierre Baronnet-Frugès insisted that as of December 31, the financial statement of the office was ultimately positive, with a surplus of €17,680. This was thanks to the intervention of the municipality, which allocated subsidies to rebalance the office’s finances; otherwise, the situation would have been much more concerning.
The future of the office in question #
This support from the municipality, which donated a total of €80,000 in subsidies, helped avoid a bankruptcy filing. However, the sustainability of the office remains to be examined, especially with the promises of long-term support from the municipality. Whether these efforts will be enough to stabilize the economic situation and restore trust within the community remains to be seen.