FISCAL BALANCE

BUDGET
MANAGEMENT
MONITORING
CARD PART 5:
FISCAL BALANCE
LILIAN DAYANA TORRES –ID 671067
MARÍA CRISTINA ABRIL – ID 622682
LIBIA VANESSA MENDOZA – ID 606311
LEIDY ESTEFANY CALA – ID 607223

TABLE OF
CONTENTS
• I. CONTEXT AND
BACKGROUND
• II. INSTITUTIONAL
ORGANIZATION
• III. FISCAL STRUCTURE
AND DYNAMICS
• IV. MAIN FISCAL AND
FINANCIAL
PERFORMANCE
INDICATORS
• V. FISCAL STRENGTHS
AND VULNERABILITIES
• VI. CONCLUSIONS AND
RECOMMENDATIONS

I
CONTEXT AND
BACKGROUND

SANTANDER, IS ONE OF THE MOST DEVELOPED AND GROWING COLOMBIAN
DEPARTMENTS IN RECENT YEARS, ITS ECONOMY IS QUITE DIVERSIFIED AND
HAS LARGE NATURAL RESOURCES, IS LOCATED IN THE NORTHEASTERN PART
OF THE COUNTRY IN THE ANDINA REGION. FOR 2019, DANE ESTIMATED A
POPULATION OF 2,237,587 INHABITANTS OF WHICH 49% WERE MEN AND 51%
FEMALE.
SANTANDER
1.141.169
1.096.418

its main economic line is agriculture, the main industries are food, textiles, clothing and
tobacco, has the largest oil refinery in the country and is the first poultry center,
livestock, forestry and fishing activity in the region are also worth highlighting

The climate of the Santander department is affected by the diversity of
altitude, which provides thermal floors and different landscapes.
Temperatures below 7°C can be recorded in the moor area and up to
maximum temperatures of 32°C in the Chicamocha Canyon area; their lands
are distributed in warm, temperate and bioclimatic moor thermal floors.
MOOR
TEMPERATE
WARM

II
INSTITUTIONAL
ORGANIZATION

THE DECENTRALIZED SECTOR CONSISTS OF 29 ENTITIES OF VARIOUS LEGAL AND
SECTORAL NATURE
ENTITY NAME TYPE ECONOMIC SECTOR
ENTERPRISES
SANTANDER CHARITY S.I.C.E. CHARITIES
CORPORATION LOCAL ECONOMIC DEVELOPMENT AGENCY OF
VELEZ PROVINCE AND ITS AREA OF INFLUENCE
S.I.C.E. OR
M.E.S.
SOCIAL WELFARE
INTERNATIONAL GAS CONVEYOR S.A.
S.I.C.E. OR
M.E.S.
PISCICOLA SAN SILVESTRE
S.I.C.E. OR
M.E.S.
REGIONAL EAST TV LTDA.
S.I.C.E. OR
M.E.S.
S.S.E GARCÍA ROVIRA REGIONAL HOSPITAL S.S.E. HEALTH
S.S.E. PIEDECUESTA LOCAL HOSPITAL S.S.E. HEALTH
PUBLIC SERVICES AND
BASIC SANITATION
AGRICULTURAL
S.S.E. LUIS CARLOS GALAN SARMIENTO HOSPITAL - CHARALA S.S.E. HEALTH
S.S.E. NUESTRA SEÑORA DE GUADALUPE HOSPITAL S.S.E. HEALTH
S.S.E. PSYCHIATRIC HOSPITAL SAN CAMILO’S BUCARAMANGA S.S.E. HEALTH
S.S.E. SAN GIL REGIONAL HOSPITAL S.S.E. HEALTH
S.S.E. VELEZ REGIONAL HOSPITAL S.S.E. HEALTH
S.S.E. MAGDALENA MEDIO REGIONAL HOSPITAL S.S.E. HEALTH
S.S.E. MANUELA BELTRAN III LEVEL REGIONAL HOSPITAL -
SOCORRO SANTANDER
S.S.E. HEALTH
S.S.E SAN JUAN DE DIOS HOSPITAL – FLORIDABLANCA S.S.E. HEALTH
S.S.E. SANTANDER UNIVERSITY HOSPITAL S.S.E. HEALTH
INTEGRATED HOSPITAL OF SABANA DE TORRES – SANTANDER S.S.E. HEALTH
SAN ROQUE HOSPITAL – CHIMA S.S.E. HEALTH
I.P.S. UCATA HEALTH CENTER - CHARTA SANTANDER I.H.P. HEALTH
TELECOMMUNICATION
S

ENTITY NAME TYPE ECONOMIC SECTOR
PUBLIC ESTABLISHMENTS AND OTHER
ASSOCIATION OF OIL MUNICIPALITIES OF
COLOMBIA
C.P.G.A. FONCE RIVER
C.P.G.A. ONZAGA, SAN JOAQUIN AND MOGOTES
ASSOCIATIONS
AND ENTITIES
SUPRA
ASSOCIATIONS
AND ENTITIES
SUPRA
ASSOCIATIONS
AND ENTITIES
SUPRA
DEPARTMENT AND
MUNICIPALITY
ASSOCIATIONS
AGRICULTURAL
AGRICULTURAL
SANTANDER INDUSTRIAL UNIVERSITY SOCIAL
FORECAST BOX
PUBLIC
ESTABLISHMENT
SOCIAL SECURITY
AND PENSIONS
DEPARTMENTAL INSTITUTE OF RECREATION AND
SPORTS - INDERSANTANDER
PUBLIC
ESTABLISHMENT
RECREATION AND
SPORT
SANTANDER INSTITUTE FOR MUNICIPAL
DEVELOPMENT - IDESAN
UNIVERSITY INSTITUTE OF THE PAZ - INUPAZ -
PUBLIC
ESTABLISHMENT FINANCIAL
PUBLIC
ESTABLISHMENT EDUCATION
SANTANDER MEDICAL ETHICS COURT
PUBLIC
ESTABLISHMENT
ETHICS COURTS
SANTANDER TECHNOLOGY UNITS – U.T.S.
PUBLIC
ESTABLISHMENT EDUCATION
SANTANDER INDUSTRIAL UNIVERSITY - UIS
INSTITUTION OF
HIGHER
EDUCATION
EDUCATION

III
ESTRUCTURA Y
DINAMICA FISCAL

III. ESTRUCTURA Y DINAMICA FISCAL
1. INGRESOS
In the 2019 term, the Department of Santander
collected revenues of $ 1.95 billion, which meant a
real growth of the
9% with respect to the 2018 validity. 70% of the
total corresponded to current resources collected
in the analyzed period,
while 30% to balance sheet resources (1
percentage point less than that evidenced in 2018).
Upward trend in income due to the immediately
previous budget surplus and it was reinforced by
the transfers received, the own collection
remained.

III. ESTRUCTURA Y DINAMICA FISCAL
1. INGRESOS
DIFFERENT INCOME TO THE GENERAL SYSTEM OF ROYALTIES YEARS 2018 - 2019
VALIDITY
Concept 2018 2019 Variation%
Tax and non-tax 587.565 637.695 5%
Transfers 637.541 725.702 10%
Capital income 505.580 587.377 12%
Balance Sheet 391.074 465.065 15%
Others 114.506 122.312 3%
TOTAL COLLECTIONS X YEAR (Millions) 1.730.686 1.950.774 9%

The largest increases were in spirits, stamps and motor vehicles with rates above 17%
Tax revenue grew 6%, % of
thexceeding 29e established
goal
The largest increases were in spirits, stamps
and motor vehicles with rates above 17%,
supporting the falls of other tax revenues
especially in cigarettes, beer and
registrations.
spirits stamps motor
vehicles

DECRETO 1684 DE 2017
Article 2.2.1.6.3. Determination and
distribution of the tax on consumption of
cigarettes and manufactured tobacco. For
purposes of determining additional income
generated as of January 1, 2017 due to the
increase in the excise tax rate, cigarettes and
tobacco prepared, which will be used to
finance health insurance and maintain the
destinations of said tax, prior to Law 1819 of
2016, the departments and the Capital District
must apply the following process:

TAX INCOME 2018 - 2019
TAX INCOME
validity
2018 2019
Consumption Tax 226.427 205.257
Beer 161.483 143.067
Spirits 23.731 35.294
Cigarettes and tobaccos 41.213 26.896
Records and annotation 55.262 52.788
Automotive vehicles 54.717 86.860
Stamps 161.127 195.214
Gasoline Surcharge 26.901 29.263
Other taxes 13.516 21.950
total 537.950 591.333

COMMITMENT OF THE YEAR SGR 2018 - 2019 (Values ​in millions of $)
Concept
Validity
2018 2019
Real Variation
2019/2018
Functioning 342.662 349.319 -2%
Investment 1.036.391 1.368.043 27%
Debt service 56.944 80.006 35%
COMMITMENTS OF THE 1.435.997 YEAR 1.797.368 21%
Compositions
2018
2019
24% 19%
72% 76%
4% 4%
100% 100%

OPERATING EXPENSES Excluding education and health sectors
(Values ​in millions of $)
Concept
Validity
2018 2019
Real Variation 2019/2018
Personal expenses 72.941 42.919 -43%
General expenses 35.611 41.242 12%
Transfers 213.896 241.502 175%
Other operating
expenses
579 1.652 175%
TOTAL $ 323.028 $ 327.315 -2%
Compositions
2018 2019
23% 13%
11% 13%
66% 74%
0% 1%
100% 100%

Investments charged to the general royalty
system (SGR) for 2019-2020. Investment
commitments are $ 252,791 million, and 92%
correspond to financing from the education,
housing, health and roads sectors and 8% to
debt service.
BUDGETARY COMMITMENT GENERAL ROYALTY SYSTEM (Values ​in
millions of $)
Concept
BIENNIAL
2019-2020
Compositions
Operating
Expenses
$ 0 0%
Investment
expenses
$ 233.488 92%
Debt service $ 19.303 8%
Amortization $ 13.303 8%
TOTAL
COMMITMENTS
SGR
$ 252.791 100%

04
MAIN
INDICATORS
OF FISCAL
AND
FINANCIAL
PERFORMA
NCE

Taxes workout
The spending commitments in the 2019 term exceeded
the income actually collected, thus generating a deficit
tax for $ 285,640 million. This result was determined by
the significant growth in investment.
However, this deficit did not create pressure on
indebtedness (in fact, the public debt decreased by $
26,019 million) since the availability of resources from
previous periods was sufficient to finance the new
spending commitments, and it even allowed the
department to end 2019 with a positive budget result of $
153,406 million.

Taxes workout

SGR RESULT
Now, if the effect of the SGR is incorporated into the
analysis in order to have a better understanding of the
financial situation of the department, it is observed that at
the end of 2019, the income incorporated into the SGR
exceeded the commitments actually made by $ 54,165
million, resources that support investment projects made
viable and approved by the OCAD. Additionally, a high
level of execution is observed in the resources of the
SGR (82% in the middle of the bienniality).

Financial Situation from the
Accounting Perspective
The financial information of the Department of
Santander, as of December 31, 2019 showed total
assets of $ 6.1 trillion, which decreased 11% in relation
to the previous term. 33% were represented by other
assets (mostly corresponds to the actuarial reserve value
available in the individual account of the territorial entity
in the FONPET), 28% for goods for public and historical
and cultural use, 22% for accounts receivable, 10% for
cash, 7% for property, plant and equipment and 1% for
investments).

Financial Situation from the
Accounting Perspective

Short-Term Liquidity and
Solvency
At the end of the 2019 term, the Department of
Santander had available funds for $ 589,389 million, of
which the 98.3% was in cash and banks. 82.4% of the
availabilities corresponded to resources of forced
investment and 17.6% to free destination resources.

Borrowing Limits and Primary
Balance
Faced with the entity's indebtedness capacity in
accordance with Law 358 of 1997, the following are the
following results based on historical information as of
December 31, 2019. The legal responsibility to perform
the calculations of the indicators of the capacity to pay of
the territorial entities correspond to the territorial
administrations and their potential lenders, who must
make the estimate for the entire period of validity of each
of the credit operations contract object.

Borrowing Limits and Primary
Balance

perating Expense Limits
Considering that the Department of Santander was
classified in the second category for the 2019 period,
according to the Article 4 of Law 617 of 2000, the
territorial entity must maintain its maximum operating
expense level at 60%, in relation to free destination
current income. During the 2019 term, the ratio was 33%.
That is 27 points percentage below the limit set in article
4 of Law 617/00.

Operating Expense Limits

ontributions to FONPET
The budget execution of the department indicates that in
2019 it had to make transfers to the National Pension
Fund Territorial - FONPET for $ 37,880 million,
distributed between $ 27,428 million corresponding to
current income from free destination and $ 10,452 million
of the registration and annotation tax, taking into account
that the model of financial administration referred to in
Decree 055 of 2009. For the period 2019 the reduction of
contributions for the concept of free destination income
and registration tax for complying with the requirements
established by the Ministry of Finance and Public Credit
is 0%.

ontributions to FONPET

V
FISCAL
STRENGTHS AND
VULNERABILITIES

V. FISCAL STRENGTHS AND VULNERABILITIES
1. FINANCIAL STRUCTURE
IN 2019, FITCH RATINGS INCREASED THE ABILITY TO PAY AA+ WITH A
STABLE OUTLOOK, HIGHLIGHTING A MODERATE RELIANCE ON
TRANSFERS, SUSTAINABILITY AND ADAPTABILITY OF ITS EXPENSES,
LIQUIDITY, AS WELL AS DEBT SUSTAINABILITY.

2. IMPLEMENTATION AND CONSTITUTION OF BUDGET RESERVES
ACCORDING TO THE REPORT IN FUT, THE ENTITY FORCED
82.8% OF BUDGET RESERVES INCORPORATED IN JANUARY
2019, SO RESERVES OF $25,375 MILLION HAD TO BE
CANCELLED.

RESULT OF BUDGET RESERVES
VALUES IN MILLIONS OF PESOS
VALIDITY
CONCEPT
VALUE IN
BILLIONS
2018 2019
PERCENTAGE
OF SHARE
VALUE IN
BILLIONS
PERCENTAGE
OF SHARE
INCREASE OR
DECREASE
OF BUDGET
% INCREASE
OR
DECREASE
RESOURCES FINANCING
EXCEPTIONAL BUDGET
RESERVES (ACT 819/2003)
(-) EXECUTED BY
OPERATION
(-) EXECUTED BY
INVESTMENT
RESULT EXECUTION OF
BOOKINGS
$228.039 100,00% $147.758 100,00% $(80.281) -35,20%
$3.661 1,61% $5.841 3,95% $2.180 59,55%
$121.269 53,18% $116.541 78,87% $ (4.728) -3,90%
$103.109 54,78% $25.376 82,83%
IN THIS REGARD, IT SHOULD BE CLARIFIED THAT THE ADMINISTRATION
REFERRED ORDINANCE 012 OF MARCH 27, 2020 WHERE THE VALUE OF $60.137
MILLION WAS ADDED FOR ENFORCEABLE LIABILITIES AND BUDGET RESERVES
NOT EXECUTED IN THE 2019 TERM, WHICH BY JOINING WITH DECREE NO. 142 OF
14 FEBRUARY 2020 CONSTITUTE THE BUDGET RESERVES
3. PROVISION OF PENSION LIABILITIES
ACCORDING TO THE INFORMATION RECORDED IN THE SINGLE TERRITORIAL
FORM –FUT, IN THE 2019 TERM THE ENTITY CONTRIBUTED $39,693 MILLION TO
FONPET, WHICH MEANT A SUBSTANTIAL CHANGE FROM THE PREVIOUS TERM
AND DIDN’T RECORD WITHDRAWALS.

4. FINANCIAL SITUATION OF THE DECENTRALIZED SECTOR
IN 2019, THE DECENTRALIZED ENTITIES OF THE DEPARTMENT OF SANTANDER RECORDED
REVENUES OTHER THAN THE SGR OF $2.72 TRILLION, EQUIVALENT TO 200% OF THE
DEPARTMENT'S REVENUE, A FIGURE THAT DEMONSTRATES ITS IMPORTANCE FOR
FINANCE AND FOR THE PROVISION OF SERVICES BY THE TERRITORIAL ENTITY.
ENTITY NAME 2017 2018 2019
ENTERPRYSES
TOTAL REVENUE EDS /
CURRENT REVENUE CENTRAL
ADMINISTRATION %
SANTANDER CHARITY $338 $42 $(926) 4%
CORPORATION LOCAL ECONOMIC
DEVELOPMENT AGENCY OF VELEZ PROVINCE
AND ITS AREA OF INFLUENCE
0 0 0 0%
INTERNATIONAL GAS CONVEYOR S.A. $162.813 $474.660 $705.082 114%
PISCICOLA SAN SILVESTRE 0 0 $(109) 0%
REGIONAL EAST TV LTDA. $(610) $(229) $(548) 2%
S.S.E GARCÍA ROVIRA REGIONAL HOSPITAL $964 $622 $9.565 2%
S.S.E. PIEDECUESTA LOCAL HOSPITAL $61 $489 $621 1%
S.S.E. LUIS CARLOS GALAN SARMIENTO
HOSPITAL - CHARALA
S.S.E. NUESTRA SEÑORA DE GUADALUPE
HOSPITAL
S.S.E. PSYCHIATRIC HOSPITAL SAN CAMILO’S
BUCARAMANGA
$717 $253 $790 0%
$39 $18 $35 0%
$4.264 $2.009 $7.828 2%
S.S.E. SAN GIL REGIONAL HOSPITAL $4.730 $(2.537) $4.438 2%
S.S.E. VELEZ REGIONAL HOSPITAL $(6.391) $(2.099) $69 1%
S.S.E. MAGDALENA MEDIO REGIONAL
HOSPITAL
S.S.E. MANUELA BELTRAN III LEVEL REGIONAL
HOSPITAL - SOCORRO SANTANDER
S.S.E SAN JUAN DE DIOS HOSPITAL –
FLORIDABLANCA
$(5.329) $ (8.475) $(5.476) 1%
$(3.701) $(4.309) $(7.180) 3%
$(9.354) $(3.634) $(3.107) 1%
S.S.E. SANTANDER UNIVERSITY HOSPITAL $(55.744) $(59.835) $(42.583) 15%
INTEGRATED HOSPITAL OF SABANA DE
TORRES – SANTANDER
$40 $13 $86 0%
SAN ROQUE HOSPITAL – CHIMA $96 $47 $78 0%
I.P.S. UCATA HEALTH CENTER - CHARTA
SANTANDER
$ (85) 0 $(68) 0%
SUBTOTAL COMPANIES $92.849 $397.034 $668.594 150%

ENTITY NAME 2017 2018 2019
TOTAL REVENUE EDS /
CURRENT REVENUE
CENTRAL
ADMINISTRATION %
PUBLIC ESTABLISHMENTS AND OTHER
ASSOCIATION OF OIL
MUNICIPALITIES OF COLOMBIA
$1 0 0 0%
C.P.G.A. FONCE RIVER 0 0 0 0%
C.P.G.A. ONZAGA, SAN JOAQUIN
AND MOGOTES
0 0 0 0%
SANTANDER INDUSTRIAL
UNIVERSITY SOCIAL FORECAST BOX
DEPARTMENTAL INSTITUTE OF
RECREATION AND SPORTS -
INDERSANTANDER
SANTANDER INSTITUTE FOR
MUNICIPAL DEVELOPMENT - IDESAN
0 0 0 0%
$(1.546) $508 $(1.225) 1%
$18.008 $46.804 $22.490 6%
UNIVERSITY INSTITUTE OF THE PAZ -
INUPAZ -
$(206) 0 $800 2%
SANTANDER MEDICAL ETHICS
COURT
$26 $60 $(19) 0%
SANTANDER TECHNOLOGY UNITS –
U.T.S.
$8.584 $(4.918) $(1.731) 6%
SANTANDER INDUSTRIAL
UNIVERSITY - UIS
$(60.091) $(48.676) $(83.243) 34%
SUBTOTAL PUBLIC
ESTABLISHMENTS AND OTHERS
$(35.223) $(6.223) $(62.928) 50%
GENERAL TOTAL 57.625 390.811 605.666 200%
FOR THE END OF THE TERM, THE DECENTRALIZED SECTOR POSTED AN ESTIMATED SURPLUS OF
$605,666 MILLION. 12 ENTITIES GENERATED SURPLUSES, 12 RAN DEFICITS AND 5 ENTITIES DIDN’T
REPORT INFORMATION, THE BIGGEST FISCAL DEFICITS WERE PRESENTED AT THE INDUSTRIAL
UNIVERSITY OF SANTANDER (UIS), THE S.S.E. SANTANDER UNIVERSITY HOSPITAL, AND S.S.E.
MANUELA BELTRAN III LEVEL REGIONAL HOSPITAL - SOCORRO SANTANDER, THE LARGEST
SURPLUSES WERE GENERATED BY INTERNATIONAL GAS CONVEYOR S.A., SANTANDER
INSTITUTE FOR MUNICIPAL DEVELOPMENT (IDESAN) AND THE S.S.E GARCÍA ROVIRA REGIONAL
HOSPITAL

FINANCIAL INDICATORS OF
DECENTRALIZED ENTITIES
ENTITY NAME
TRANSFERS /
TOTAL REVENUE
DEBT BALANCE / CURRENT
INCOME
ENTERPRYSES
SANTANDER CHARITY 0,00% 1,20%
CORPORATION LOCAL ECONOMIC DEVELOPMENT
AGENCY OF VELEZ PROVINCE AND ITS AREA OF
0,00% 0,00%
INFLUENCE
INTERNATIONAL GAS CONVEYOR S.A. 0,00% 242,50%
PISCICOLA SAN SILVESTRE 0,00% 0,00%
REGIONAL EAST TV LTDA. 53,20% 0,00%
S.S.E GARCÍA ROVIRA REGIONAL HOSPITAL 0,00% 0,00%
S.S.E. PIEDECUESTA LOCAL HOSPITAL 0,00% 0,00%
S.S.E. LUIS CARLOS GALAN SARMIENTO HOSPITAL -
CHARALA
0,00% 0,00%
S.S.E. NUESTRA SEÑORA DE GUADALUPE HOSPITAL 4,30% 0,00%
S.S.E. PSYCHIATRIC HOSPITAL SAN CAMILO’S
BUCARAMANGA
0,00% 0,00%
S.S.E. SAN GIL REGIONAL HOSPITAL 0,00% 0,00%
S.S.E. VELEZ REGIONAL HOSPITAL 0,00% 0,00%
S.S.E. MAGDALENA MEDIO REGIONAL HOSPITAL 0,00% 0,00%
S.S.E. MANUELA BELTRAN III LEVEL REGIONAL
HOSPITAL - SOCORRO SANTANDER
0,50% 0,00%
S.S.E SAN JUAN DE DIOS HOSPITAL – FLORIDABLANCA 0,00% 0,00%
S.S.E. SANTANDER UNIVERSITY HOSPITAL 11,40% 0,00%
INTEGRATED HOSPITAL OF SABANA DE TORRES –
SANTANDER
0,00% 0,00%
SAN ROQUE HOSPITAL – CHIMA 12,40% 0,00%
I.P.S. UCATA HEALTH CENTER - CHARTA SANTANDER 17,70% 0,00%
SUBTOTAL COMPANIES 1,80%

TRANSFERS /
ENTITY NAME
TOTAL REVENUE
ESTABLECIMIENTOS PÚBLICO Y OTROS
ASSOCIATION OF OIL MUNICIPALITIES OF
COLOMBIA
DEBT BALANCE /
CURRENT INCOME
0,00% 0,00%
C.P.G.A. FONCE RIVER 0,00% 0,00%
C.P.G.A. ONZAGA, SAN JOAQUIN AND
MOGOTES
SANTANDER INDUSTRIAL UNIVERSITY
SOCIAL FORECAST BOX
DEPARTMENTAL INSTITUTE OF
RECREATION AND SPORTS -
INDERSANTANDER
SANTANDER INSTITUTE FOR MUNICIPAL
DEVELOPMENT - IDESAN
UNIVERSITY INSTITUTE OF THE PAZ -
INUPAZ -
0,00% 0,00%
0,00% 0,00%
55,60% 0,00%
0,00% 0,00%
51,80% 0,00%
SANTANDER MEDICAL ETHICS COURT 78,40% 0,00%
SANTANDER TECHNOLOGY UNITS – U.T.S. 21,90% 10,60%
SANTANDER INDUSTRIAL UNIVERSITY - UIS 36,30% 0,00%
SUBTOTAL PUBLIC ESTABLISHMENTS
AND OTHERS
31,10%
GENERAL TOTAL 9,00%
9% OF EDS REVENUE CAME FROM CURRENT GOVERNMENT TRANSFERS,
0.3 PERCENTAGE POINTS LESS THAN IN THE PREVIOUS YEAR, REVEALING
LOW FISCAL DEPENDENCE. ENTITIES WITH LEVELS ABOVE 40% , WERE
THE SANTANDER INSTITUTE OF MEDICAL ETHICS, THE DEPARTMENTAL
INSTITUTE OF RECREATION AND SPORTS (INDERSANTANDER), ORIENTE
LTDA REGIONAL TELEVISION AND THE UNIVERSITY INSTITUTE OF PEACE
(INUIPAZ). BY TYPE, THE TAX UNIT OF EDSS WITH GOVERNMENT
FUNCTIONS (31.1%) WAS HIGHER THAN THAT EXHIBITED BY COMPANIES
(1.8%).

ACCOUNTING INDICATORS OF
DECENTRALIZED ENTITIES
ENTITY NAME
LYQUIDEZ INDICATORS
LIQUID ASSETS /
CURRENT LIABILITIES
INDEBTEDNESS
INDICATORS
TOTAL LIABILITIES /
TOTAL ASSETS
CONTINGENT
LIABILITIES
PROFITABILITY INDICATORS
HERITAGE YIELD
(ROE)
EBITDA
MARGIN
ENTERPRYSES
SANTANDER CHARITY 0,8 0,3 262 0% 81%
CORPORATION LOCAL
ECONOMIC DEVELOPMENT
AGENCY OF VELEZ
0 0 0 N.D. N.D.
PROVINCE AND ITS AREA OF
INFLUENCE
INTERNATIONAL GAS
0
0,5 0,6
CONVEYOR S.A.
14% 59%
PISCICOLA SAN SILVESTRE 3,2 0 0 0% 2%
REGIONAL EAST TV LTDA. 0,9 0,1 0 2% -80%
S.S.E GARCÍA ROVIRA
REGIONAL HOSPITAL
S.S.E. PIEDECUESTA LOCAL
HOSPITAL
S.S.E. LUIS CARLOS GALAN
SARMIENTO HOSPITAL -
CHARALA
2,2
0 4.036 3% 10%
37,4 0 5.154 -4% -3%
1,7 0 100 9% 14%
S.S.E. NUESTRA SEÑORA DE
GUADALUPE HOSPITAL
S.S.E. PSYCHIATRIC
HOSPITAL SAN CAMILO’S
BUCARAMANGA
S.S.E. SAN GIL REGIONAL
HOSPITAL
S.S.E. VELEZ REGIONAL
HOSPITAL
S.S.E. MAGDALENA MEDIO
REGIONAL HOSPITAL
4,9 0 729 0% 2%
1,2 0,1 22.392 5% 19%
4,2 0 15.052 8% 19%
1,2 0 0 14% 18%
0 0,2 16.581 8% 10%
S.S.E. MANUELA BELTRAN III
LEVEL REGIONAL HOSPITAL
- SOCORRO SANTANDER
S.S.E SAN JUAN DE DIOS
HOSPITAL –
FLORIDABLANCA
S.S.E. SANTANDER
UNIVERSITY HOSPITAL
INTEGRATED HOSPITAL OF
SABANA DE TORRES –
SANTANDER
SAN ROQUE HOSPITAL –
CHIMA
I.P.S. UCATA HEALTH
CENTER - CHARTA
SANTANDER
0,1 0,2 17.119 2% 12%
0 0,4 6.047 -3% 19%
0,1 0,1 128.940 13% 8%
2,7 0 0 3% 7%
1,9 0,1 0 7% 3%
0,1 0,7 0 -13% -41%
SUBTOTAL ENTERPRYSES 216.412

LYQUIDEZ INDEBTEDNESS
INDICATORS INDICATORS
PROFITABILITY INDICATORS
ENTITY NAME
LIQUID ASSETS /
CONTINGENT LIABILITIES
TOTAL LIABILITIES /
CURRENT
TOTAL ASSETS
LIABILITIES
HERITAGE YIELD (ROE) EBITDA MARGIN
ESTABLECIMIENTOS PÚBLICO Y OTROS
ASSOCIATION OF OIL
MUNICIPALITIES OF COLOMBIA
0 0,1 0 2% 6%
C.P.G.A. FONCE RIVER 0 0 0 N.D. N.D.
C.P.G.A. ONZAGA, SAN JOAQUIN
AND MOGOTES
SANTANDER INDUSTRIAL
UNIVERSITY SOCIAL FORECAST
BOX
DEPARTMENTAL INSTITUTE OF
RECREATION AND SPORTS -
INDERSANTANDER
SANTANDER INSTITUTE FOR
MUNICIPAL DEVELOPMENT -
IDESAN
UNIVERSITY INSTITUTE OF THE
PAZ - INUPAZ -
SANTANDER MEDICAL ETHICS
COURT
SANTANDER TECHNOLOGY UNITS
– U.T.S.
0 0 0 N.D. N.D.
0 0 0 N.D. N.D.
0,6 0,2 773 -1% N.D.
1,1 0,2 250 25% 28%
1,8 0 691 2% -152%
1.000,10 0 0 -16% N.D.
1,5 0,2 16.040 6% -19%
SANTANDER INDUSTRIAL
UNIVERSITY - UIS
1,8 0,3 163.798 2% -275%
GENERAL TOTAL 397.965
IN RELATION TO PUBLIC INDEBTEDNESS, NO ENTITY REPORTED DEBT OR CURRENT RISK
RATING AND NONE HAD LIQUIDITY PROBLEMS AT THE END OF 2019.
MEANWHILE, CONTINGENT LIABILITIES WERE ACCOUNTED FOR IN LAWSUITS AGAINST
$397,965 MILLION, EQUIVALENT TO 14.6% OF TOTAL REVENUE IN THE DECENTRALIZED
SECTOR. THE ENTITIES WITH A GREATER RELATIONSHIP BETWEEN CONTINGENT
LIABILITIES AND INCOME WERE S.S.E. HUS, S.E.E. SAN CAMILO PSYCHIATRIC HOSPITAL,
S.S.E. NUESTRA SEÑORA DE GUADALUPE HOSPITAL, AND ESE SAN GIL REGIONAL
HOSPITAL
FOR THEIR PART, THE RESULTS IN TERMS OF PROFITABILITY WERE MIXED: 17 ENTITIES
RECORDED POSITIVE EBITDA MARGIN, IN THE MEANTIME, OF THE RESULT OF THE YEAR
WITH RESPECT TO ROE EQUITY, A TOTAL OF 17 ENTITIES CLOSED WITH POSITIVE
INDICATOR

MILLIONS OF PESOS
4.1. PUBLIC HOSPITAL FISCAL AND FINANCIAL
SANITATION PROGRAMS
200.000
180.000
160.000
140.000
120.000
100.000
80.000
60.000
40.000
20.000
TREND ANNUAL PASSIVE BALANCE 2013 - 2019
0
2013 2014 2015 2016 2017 2018 2019
PERSONAL SERVICES 21.569 20.161 33.913 46.314 30.111 19.128 19.368
ACCOUNTS PAYABLE 29.894 35.007 32.272 49.874 98.625 132.001 112.931
ESTIMATED LIABILITIES 8.926 9.299 10.106 21.387 33.623 26.599 25.312
OTHER LIABILITIES 10.899 9.559 15.979 19.136 12.754 3.612 8.793
TOTAL LIABILITIES 71.289 74.027 92.269 136.711 175.113 181.340 166.404
200.000
150.000
100.000
50.000
0
2013 2014 2015 2016 2017 2018 2019
PERSONAL
SERVICES
ACCOUNTS PAYABLE
ESTIMATED
LIABILITIES
OTHER LIABILITIES
TOTAL LIABILITIES
2013 2014
%
INCREASE
OR
DECREASE
2015
%
INCREASE
OR
DECREAS
E
2016
%
INCREASE
OR
DECREAS
E
2017
%
INCREASE
OR
DECREASE
2018
%
INCREASE
OR
DECREASE
2019
%
INCREASE
OR
DECREASE
TOTAL
LIABILITIES
71.289 74.027 3,84% 92.269 24,64% 136.711 48,17% 175.113 28,09% 181.340 3,56% 166.404 -8,24%
THE BEHAVIOR OF TOTAL LIABILITIES SINCE 2013 HAS BEEN INCREASINGLY TRENDING, MAINLY FROM THE
2015 TERM TO THE 2016 TERM, WHERE THERE WAS A SIGNIFICANT INCREASE OF 48.17%, A PERCENTAGE
AMOUNTING TO THE SUM OF 44,442 MILLION PESOS, FOR THE 2019 TERM HAD A DECREASE OF 8.24%,
COMPARED TO THE PREVIOUS VALIDITY IMMEDIATELY.

NUMBER OF S.S.E.
S.S.E. CATEGORIZED AT MEDIUM AND
HIGH RISK
S.S.E. CATEGORIZED AT MEDIUM AND HIGH RISK
90
80
70
60
50
40
30
20
10
0
RES.
2509/
12
RES.
1877/
13
RES.2
090/1
4
RES.
1893/
15
RES.
2184/
16
RES.
1755/
17
RES.
2249/
18
HIGH RISK ENTITIES 34 40 42 12 16 13 18 14
MEDIUM RISK ENTITIES 2 5 6 5 6 3 3 6
TOTAL TERRITORIAL
ENTITY
RES.
1342/
19
83 83 82 82 82 82 79 82
FACED WITH THE RISK OF E.S.E., IT HAS 8 IN FISCAL AND FINANCIAL CONSOLIDATION
PROGRAM, 1 IN THE PROCESS OF FEASIBILITY OF RESOLUTION 2249 OF 2018. IN TURN
RESOLUTION 1342 OF 2019 OF THE MINISTRY OF HEALTH AND SOCIAL PROTECTION,
SHOWED THAT 14 WERE AT HIGH RISK, 6 AT MEDIUM RISK AND 53 APPEARED AT LOW OR
NO RISK

5. CONTINGENT LIABILITIES
THE SANTANDER DEPARTMENT REPORTED A TOTAL OF 1,097 LAWSUITS AGAINST IT AS
OF DECEMBER 31, 2019, ON WHICH CLAIMS OF $756,777 MILLION OF PESOS ARE
ESTIMATED. COMPARED TO THE INFORMATION REPORTED IN 2018, THERE IS AN
INCREASE OF 499 COURT PROCEEDINGS, AN INCREASE OF 83.4%, A FAIRLY
CONSIDERABLE FIGURE, A PERCENTAGE EQUIVALENT TO THE SUM OF $616,692 MILLION
OF PESOS
COURT PROCEEDINGS BY TYPE OF PROCESS
PROCESS TYPE NO. PROCESSES TOTAL VALUE OF CLAIMS
% TOTAL PARTICIPATION IN
CLAIMS
2018 2019 2018 2019 2018 2019
GROUP ACTION 0 1 0 8.000 0% 1%
POPULAR ACTION 42 61 80 84 0% 0%
SIMPLE NULLITY
ACTION
5 23 0 22 0% 0%
ACTION FOR NULLITY
AND RE-
ESTABLISHMENT OF
203 369 19.900 93.793 14% 12%
LAW
CONTRACTUAL ACTION 12 31 20.120 34.595 14% 5%
DIRECT REPAIR ACTION 96 251 59.120 507.135 42% 67%
CONTRACT EXECUTIVE 140 0 26.674 0 19% 0%
SINGULAR EXECUTIVE 0 189 0 83.481 0% 11%
ORDINARY LABOR 26 92 1.307 3.916 1% 1%
COACTIVE COLLECTION
ADMINISTRATIVE
29 74 3.624 25.227 3% 3%
OTHER 45 6 9.260 524 7% 0%
TOTAL 598 1097 140.085 756.777 100% 100%
THUS, LEGAL PROCESSES BECOME A HIGH RISK FACTOR FOR DEPARTMENTAL
FINANCES AND IT IS NECESSARY TO PROVISION ECONOMIC RESOURCES FOR THE
PAYMENT OF THOSE THAT CAN BE CONFIGURED AS ENFORCEABLE LIABILITIES,
STRENGTHEN THE LEGAL DEFENSE OF THE TERRITORIAL ENTITY AND DETERMINE THE
CAUSES OF INCREASED PROCESSES AND AMOUNTS.

6. RISKS IN THE USE OF THE GSP
(DECREE LAW 028/08)
6.1 EDUCATION SECTOR
THE SANTANDER DEPARTMENT WAS RATED IN LOW CRITICAL IN THE
MONITORING REPORT SENT BY THE MINISTRY OF NATIONAL EDUCATION
FOR THE DURATION OF 2018, IN THE COMPONENTS OF THE PROVISION OF
THE EDUCATIONAL SERVICE RELATED TO COVERAGE, QUALITY, STAFFING
PLANT AND MANAGEMENT, INCORPORATION AND EXECUTION OF
RESOURCES. THEREFORE, IT WAS NOT PRIORITIZED IN 2020 BY THE
DIRECTORATE-GENERAL FOR FISCAL SUPPORT TO APPLY FOLLOW-UP
AND CONTROL ACTIVITIES TO THE USE OF RESOURCES OF THE GENERAL
PARTICIPATION SYSTEM, INCLUDED IN THE STRATEGY REFERRED TO IN
DECREE 028 OF 2008.
6.2 HEALTH SECTOR
IN APPLICATION OF THE COMPREHENSIVE MONITORING, MONITORING AND
CONTROL STRATEGY FOR EXPENDITURE UNDER GSP RESOURCES
DEFINED BY DECREE 028 OF 2008, THE SANTANDER DEPARTMENT WAS
PRIORITIZED TO INITIATE THE MONITORING STAGE IN VIEW OF WHAT WAS
STATED BY THE MINISTRY OF HEALTH AND SOCIAL PROTECTION IN THE
MONITORING REPORT, WHICH INDICATES RISK TO SECTORAL
COMPONENTS : PROVISION OF SERVICES AND PUBLIC HEALTH.

VI
CONCLUSIONS AND
RECOMMENDATIONS

VI. CONCLUSIONS AND RECOMMENDATIONS
• IN THE 2019 TERM, THE SANTANDER DEPARTMENT RAISED REVENUES OF $1.95
TRILLION, A GROWTH OF 7% OVER 2018. THIS IS ALSO DUE TO THE INCREASE IN
BALANCE SHEET RESOURCES GENERATED BY THE SURPLUS IN THE 2018 TERM,
TRANSFERS RECEIVED AND THE COLLECTION OF OWN REVENUE, FOR A TOTAL
REVENUE COLLECTED OF 97.7% OF THE FINAL BUDGET.
• EXPENDITURE COMMITMENTS FINANCED FROM NON-SGR RESOURCES TOTALED
$1.8 TRILLION IN 2019, SPENDING EXECUTION REACHED 92.4%, FROM THE FINAL
BUDGET, ALTHOUGH EXPENDITURE EXCEEDED REVENUES RAISED, BECAUSE OF
INVESTMENT GROWTH THERE WAS NO FISCAL DEFICIT, AS RESOURCES FROM
PREVIOUS TERMS WERE AVAILABLE TO FINANCE THEM.
• DEBT SERVICE INCREASED FROM 2018.
• IN 2019, THE DEPARTMENT'S CENTRAL ADMINISTRATION COMPLIED WITH THE
OPERATING SPENDING LIMITS OF LAW 617/00 FOR THE CENTRAL SECTOR AND
CONTROL AGENCIES.
• THE DEPARTMENT WAS IN AUTONOMOUS DEBT INSTANCE FOR THE 2019 TERM.
HOWEVER, A MORE REALISTIC ESTIMATE OF BORROWING CAPACITY, NOT
INCLUDING BALANCE SHEET RESOURCES, SHOULD BE MADE TO INCORPORATE
RECURRING EXPENSES AND LIABILITY BALANCE FROM PRE-2019
• IN JUNE 2019 FITCH RATINGS RAISED THE ABILITY TO PAY AA+ WITH A STABLE
OUTLOOK, HIGHLIGHTING: (I) THE STRENGTH OF ITS REVENUE DUE TO
MODERATE RELIANCE ON TRANSFERS; (II) THE SUSTAINABILITY AND
ADAPTABILITY OF ITS EXPENDITURES; (III) THE SOUNDNESS OF THEIR
LIABILITIES; (IV) LIQUIDITY; AND (V) DEBT SUSTAINABILITY.

VI. CONCLUSIONS AND RECOMMENDATIONS
• IN 2019, THE DECENTRALIZED ENTITIES OF THE DEPARTMENT OF SANTANDER
RECORDED REVENUES OTHER THAN THE SGR OF $2.72 TRILLION, EQUIVALENT
TO 200% OF THE DEPARTMENT'S REVENUE, A FIGURE THAT DEMONSTRATES ITS
IMPORTANCE FOR FINANCE AND FOR THE PROVISION OF SERVICES BY THE
TERRITORIAL ENTITY.
• LEGAL PROCEEDINGS AGAINST THE ENTITY ARE A HIGH RISK FACTOR FOR
DEPARTMENTAL FINANCES AND IT IS NECESSARY TO PROVISION ECONOMIC
RESOURCES FOR THE PAYMENT OF THOSE THAT CAN BE CONFIGURED AS
ENFORCEABLE LIABILITIES, STRENGTHEN THE LEGAL DEFENSE OF THE
TERRITORIAL ENTITY AND DETERMINE THE CAUSES OF THE INCREASE IN
PROCESSES AND AMOUNTS.
• THE COVID-19 PANDEMIC HAS CAUSED IMPACTS ON THE DEPARTMENT'S
CURRENT INCOME, WHILE CONTINUING TO CAUSE UNCERTAINTY ABOUT THE
FISCAL AND BUDGETARY EFFECTS THAT MAY OCCUR.
• THE MAIN CHALLENGES OF TERRITORIAL ADMINISTRATION ARE AIMED AT
CONTINUING EFFORTS ON SOCIAL ASSISTANCE AND ECONOMIC REVIVAL, IN
SUCH A WAY AS TO MINIMIZE THE NEGATIVE IMPACT ON UNEMPLOYMENT, LOSS
OF ABILITY TO PAY AND POVERTY; IN ADDITION TO MANAGING SOURCES OF
FUNDING – INCLUDING INDEBTEDNESS – TO SUPPORT THE MULTIANNUAL
INVESTMENT PLAN OF THE DEVELOPMENT PLAN.

SANTANDER DEPARTMENT
FINANCIAL BALANCE
CONCEPTS 2019
INCOME (without funding) 1.485.709
CURRENT INCOME 1.363.397
Tax 591.333
Non-Tax 46.362
Transfers 725.702
EXPENSES (without financing) 1.771.349
CURRENT EXPENSES 1.266.291
Operation (excluding education and health secretariats) 327.315
How Education and Health Secretariats Work 22.004
Payment of Pension Bonds and Fees Pension Bonus Parts 16.657
Contributions to the Contingency Fund of State Entities 22.329
Operating Expenses in Social Sectors 862.985
Interest and Debt Commissions 15.001
CURRENT BALANCE 97.106
CAPITAL INCOME 122.312
CAPITAL EXPENSES (gross capital formation) 505.058
BALANCE OF CAPITAL -382.746
TOTAL BALANCE -285.640
FINANCING 439.046
Net Indebtedness -26.019
Disbursements 0
Amortizations 26.019
Balance Sheet Resources and Others (Asset Sale and Business Capital Reduction) 465.065
BUDGET RESULT
TOTAL INCOME (includes financing) 1.950.774
TOTAL EXPENSES (includes financing) 1.797.368
DEFICIT OR BUDGET SURPLUS 153.406
EXECUTION OF BUDGET RESERVES PREVIOUS EFFECT
Resources financing exceptional budget reserves (Act 819/2003) 147.758
Budget reserves executed (obligations) 122.382
RESULT EXECUTION RESERVES 25.375