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State and municipalities negotiate financial equalization

2021-11-24T02:40:24.313Z


Cities and municipalities are faced with a mountain of tasks: better schools and daycare centers, more money for climate protection and clinics. And then there are the corona holes. But the finance minister has more worries of his own because of the worsening pandemic.


Cities and municipalities are faced with a mountain of tasks: better schools and daycare centers, more money for climate protection and clinics.

And then there are the corona holes.

But the finance minister has more worries of his own because of the worsening pandemic.

Stuttgart - State and municipalities are negotiating again today how much the government should give cities and municipalities financial support in the coming year.

Because of the worsening corona crisis and possible financial consequences for the budget, the country is insisting that it really only wants to support priority projects.

In the first round at the end of September, the municipalities had asked for aid amounting to 1.4 billion euros for 2022.

Only in this way could the cities and communities shaken by the Corona crisis cope with their tasks in improving schools, digitization and climate protection, it said.

Finance Minister Danyal Bayaz (Greens) rejected the demand as excessive and asked the municipalities to prioritize their wishes.

In addition, they wanted to wait for the tax estimate in November.

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The result is now there: the state can expect a good 2.5 billion euros more for the coming year, the municipalities with an increase of 1.5 billion euros.

Nevertheless, there are still funding gaps in the billions on both sides due to the Corona crisis.

The leaders of the green-black coalition recently decided to again set up a reserve for budget risks of around 760 million euros in the 2022 budget.

A certain amount, which has not yet been publicly announced, is also earmarked for the municipalities.

dpa

Source: merkur

All news articles on 2021-11-24

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