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District of Munich is heading for a million minus

2020-11-11T10:36:52.980Z


The budget of the district of Munich is still fairly stable. But for the next few years, the district office expects painful losses. Not only Corona is blamed for this.


The budget of the district of Munich is still fairly stable.

But for the next few years, the district office expects painful losses.

Not only Corona is blamed for this.

District

- The budget of the Munich district remains stable at a high level.

Despite the pandemic, the district office reports the second highest allocation power in the 2021 draft budget. For the next three years, however, the combing is forecasting a difficult course.

In addition to Corona, the district is concerned about the district's growing demands.

District levy will remain the same until at least 2024.

In terms of financial stability, the district wants to keep the burdens on the 29 cities and municipalities within limits from 2022 to 2024.

As in the coming year, the district levy should remain at 48 points until at least 2024.

In return, the district, which is mainly financed through the district levy, accepts considerable financial losses.

Depending on the achieved allocation power, treasurer Markus Kasper expects a shortfall in income of up to 30 million euros for 2022.

The following year, 54 million euros are missing.

From 2024 onwards, the downward spiral could be slowed down thanks to the recovery of the levy in order to return to normal in the following year.

“We assume that we will have a regular household again in 2025,” said Kasper.

But his calculation will only work if the vaccine announced for the beginning of 2021 actually comes onto the market.

The 29 municipalities lack trade tax.

The economic development of the 29 municipalities this year shows how much the district needs to care for cities and municipalities.

At the moment, the pandemic is primarily affecting trade tax.

The reallocation power, which is primarily defined by tax revenue, has collapsed especially in communities that are among the most loyal financiers in the district;

in front Unterföhring and Grünwald.

Support from the federal government and the Free State, such as the Corona aid package, public transport rescue package and increased federal participation in SGB II, helps the district to achieve the second highest allocation power of all time despite the virus crisis.

At 1.16 billion euros, the value is only 3.33 percent lower than in the previous year.

The Free State and the federal government offset lost trade taxes with 2.4 billion.

According to Kasper, the allowances are determined according to the average rates of the past three years: “We were particularly strong there!” The rescue package saves the district 12.6 million euros.

The federal participation in the basic security for job seekers flushes 5.5 million euros into the fund

The increasing district levy is a burden on the district treasury.

On the other hand, the increasing task load of the district threatens to become a problem for the district.

In 2021, the district levy will rise by 0.7 to 21.7 percent.

Even if District Administrator Christoph Göbel (CSU) campaigned for understanding for the district, which had almost no room for maneuver, and Ernst Weidenbusch (CSU) recalled the long-standing debate about the sense and nonsense of the district as an additional authority between municipalities and states - The district cannot avoid paying 252.5 million euros.

The district levy could rise to 282 million euros by 2024.

In addition to all the imponderables, there is nothing more to fear in the district office than a bunch of district councilors who are giving free rein to the district levy against the background of "massively increasing expenditure".

In order to give municipalities the highest possible degree of planning security, the budget is to be adopted this year.

Read on: The number of students is increasing: the district is aiming for the 20th high school

Source: merkur

All news articles on 2020-11-11

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