Budget 2023: Erding has to budget
Created: 12/06/2022, 3:00 p.m
By: Gabi Zierz
On Monday evening, the city councilors discussed the draft budget for 2023 in Erding town hall. © Vroni Macht
The city of Erding expects less tax revenue in the coming years.
This is also reflected in the 2023 budget.
It still has a volume of 130 million euros.
Erding – From a financial point of view, the city of Erding will have to tighten its belt in the next few years.
This is indicated in the draft budget for 2023, which the city councilors dealt with on Monday evening.
The main reason for this: lower income from trade tax and income tax.
Nevertheless, the budget has a total volume of around 130 million euros.
The administrative budget, which includes the current items, accounts for a good 96.7 million euros.
33.7 million euros are earmarked for investments in the asset budget.
However, it is unlikely that this sum will be reached.
Experience shows that many investments cannot be started or completed as planned.
The financial burden then arises in the following year.
"We will really feel a crisis for the first time," Mayor Max Gotz (CSU) said a few weeks ago at an Ardeo meeting and warned that the city could no longer be involved in all subsidy issues in the future, but could concentrate on its duties have to concentrate.
He didn't want to paint it black, but he wanted to prepare for it, Gotz said at the time.
And this is how it looks: While the trade tax revenue from 2016 to 2019 still averaged 35 million euros per year, the city calculates only 20 million euros in income from this for 2023.
Chamberlain Kurt Hiller announces this in the preliminary budget report.
That's a good 40 percent less.
This year it was "bonly" 21.5 million euros.
During the pandemic, the Free State at least partially compensated for the losses, says Hiller.
Erding received two installments of almost three and around 4.8 million euros.
This is now gone.
In terms of income tax, the largest income item, the city expects just under 31.7 million euros in 2023.
That's 1.2 million fewer than this year.
On the other hand, there are the huge expenses for the district levy, which, as is well known, is calculated from the tax capacity of the municipalities two years ago.
Erding will transfer a good 30 million euros to the district alone next year.
It will probably be even more, because the contribution rate will rise.
By how many percentage points is not yet certain.
Each point means an additional burden of almost 600,000 euros for Erding.
In order to cover the running costs in the administrative budget, money must be added from the capital budget - the reverse would normally be the case, in order to finance the investments with surpluses.
According to Hiller, a good 6.3 million euros are necessary for planning.
In order to make this addition possible, the city needs money from its reserves, 17.5 million euros are planned.
And the city will also take out a loan in 2023 (5 million).
This year, at 4.5 million euros, it was significantly lower than initially assumed.
According to Hiller, this is a low-interest loan with a repayment subsidy from the KfW for energy-saving measures in the multi-purpose hall on Lodererplatz.
Personnel costs are traditionally the largest expenditure item in the administrative budget.
In 2023 they will be 22.2 million euros.
As reported, the city is planning some new hires.
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The largest investment is the new multi-purpose hall at Lodererplatz, which is already under construction.
The laying of the foundation stone will be celebrated this Friday.
Ten million euros are planned for 2023.
Planning costs are also taken into account for the new fire stations in Erding and Altenerding.
The city wants to get the art and meeting center at the Stahl Museum off the ground in 2023, as well as the new daycare center at Ludwig-Simmet-Anger.