
The Supreme Court of Spain has put an end to the years-long dispute between the Madrid regional administration and the municipality of Rivas-Vaciamadrid. The court ruled that the regional authorities unlawfully stopped funding municipal kindergartens at the height of the pandemic, and ordered them to pay the city €451,399.52 in compensation. This decision came as a surprise to many, as previous courts had upheld the regional government’s position.
In March 2020, as strict restrictions were imposed across the country, the Madrid administration ordered the closure of all educational institutions. While remote learning was organized for students over the age of three, no such option was provided for younger children. Despite the lack of support, the Rivas municipality chose not to abandon families and teachers: kindergartens switched to an online format, educators maintained daily contact with parents, sent educational assignments, music activities, and even nutrition recommendations.
However, the regional authorities stopped payments under the funding agreement, citing the inability to provide services in the former format. The city took on all expenses to preserve jobs and ensure that children received at least minimal educational support. After the lockdown ended, Rivas requested compensation but was refused. In 2022, the lower court sided with Madrid, ruling that providing the service was impossible. But the municipality did not give up and appealed to the Supreme Court.
A precedent for the entire country
The Supreme Court viewed the case differently. The judges found that even in an emergency, it was possible to set up remote learning for young children. They noted that educators not only maintained contact with families, but effectively continued their work, adapting programs to the new reality. The court emphasized that one-sided termination of the agreement without the other party’s consent is unacceptable, even in cases of force majeure.
This decision became an important signal for all Spanish municipalities. Now, cities can count on their interests being protected if regional authorities try to cut social service funding under the pretext of extraordinary circumstances. In Rivas, they see the court victory as recognition of the importance of early childhood and the dedication of teachers, who did not abandon their students even in the toughest months.
Impact on future funding
Madrid authorities have already stated that they will comply with the court’s decision. At the same time, officials in Rivas emphasize that this case highlights how vital it is to negotiate and find compromises between different levels of government, especially when it comes to essential services for families. Experts note that regional governments will now be more cautious when changing funding conditions in crisis situations, so as not to fall into a similar legal trap.
Rivas’s story is more than just a dispute over money. It shows how local authorities can stand up for the interests of their residents and defend the quality of education, even in uncertain circumstances. The Supreme Court’s decision could mark a turning point in how regions and municipalities interact across the country.






