A procurement issue has arisen in Spain over the formation of certain private-public joint ventures. IVVSA and AUMSA are limited companies owned by the regional government and the city of Valencia respectively, to provide urban planning management services including the renovation and promotion of social housing. IVVSA and AUMSA have in some cases, set up joint ventures with private shareholders and transferred to those shareholders the tasks of carrying out urban planning management activities. The European Commission has sent a formal reasoned opinion to Spain indicating that in its view, IVVSA and AUMSA have awarded public contracts to the joint ventures in violation of thee principles of equal treatment under the procurement directive and in violation of Articles 43 and 49 of the EC Treaty.