Santa Cruz Economía

Fonavi transfers prompt accountability demands before Santa Cruz housing emergency

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A review counted ARS44.8938 billion transferred to Santa Cruz from 2024 through June 2026 but could not verify its use or accounting in housing. The dispute intersects with unfinished projects and a bill granting exceptional powers to the Executive.

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The proposal to declare a housing emergency in Santa Cruz reached the Legislature carrying a question that precedes any new power: what happened to ARS44.8938 billion from the National Housing Fund transferred to the province since 2024. A review of national payments says it was unable to verify that the money was used for homes or that a public accounting exists from which its destination can be reconstructed.

The figure covers three periods under the current provincial administration. Santa Cruz received ARS10.4508 billion in 2024, ARS20.6317 billion in 2025 and ARS13.8113 billion from January through June 2026. Together they amount to almost ARS45 billion in national resources earmarked for housing, so the central issue is not whether the money arrived but which projects it financed and how that spending was documented.

The review says it sought that traceability through official and unofficial channels without obtaining proof of execution or accounting. The lack of information does not, based on the transfers alone, establish that funds disappeared or were used elsewhere, but it does create a specific obligation to answer. Before Executive powers are expanded, the dispute requires the identification of files, payments, physical progress and homes associated with each allocation.

The reported lack of transparency contrasts with projects that the provincial housing system itself recognizes as unfinished. Marcelo de la Torre, president of the Urban Development and Housing Institute, said there were no funds to complete 300 homes committed through the Unirse fund. Another 56 houses in the San Benito neighborhood of Río Gallegos have not been delivered because basic services are missing: the area has neither gas nor water networks.

At the same time, the state-owned company Santa Cruz Puede announced that it could manufacture 58-square-meter panelized homes with two bedrooms, a kitchen-dining room and a bathroom for just over US$30,000 each. The overlap between that offer and the emergency proposal raised questions about procurement and who would execute new programs. The announcement does not itself prove an award, but it makes publication of rules, costs and controls essential before resources are committed.

The demand for transparency also draws on precedents included in the same review. During the 2024 administrative emergency, an oversight committee made observations about missing accounts and purchases including 60,000 kilograms of milk and 45 truckloads of firewood. The report adds that it could not access an accounting for the climate emergency approved in 2025, making subsequent oversight a central part of the current debate.

The Legislature was due to consider the housing emergency on July 23. By then, the issue was no longer limited to acknowledging a housing shortage: lawmakers had to decide whether exceptional tools should be granted before ordinary funds had been explained. The measurable next step is the release of Fonavi documentation and an oversight system linking each new expenditure to identifiable projects, deadlines and beneficiaries.

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