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Critical budget situation: Freising's mayor swears councillors to cohesion - "We will master dry spell"

2023-12-05T16:06:14.823Z

Highlights: Critical budget situation: Freising's mayor swears councillors to cohesion - "We will master dry spell". "A change of course is necessary in order not to leave behind a mountain of debt for future generations," emphasized Freizing's Lord Mayor Tobias Eschenbacher at the last city council meeting of 2023. In 2022, for the first time in many years, there was a high deficit in the administrative budget – not entirely unexpected, as a deficit had already been shown annually in budget planning since 2020.



Status: 05.12.2023, 17:00 PM

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"A change of course is necessary in order not to leave behind a mountain of debt for future generations," emphasized Freising's Lord Mayor Tobias Eschenbacher at the last city council meeting of 2023. ©

In the last public city council meeting of the year, the budget is traditionally decided in Freising. Not this year.

Freising – "It's time for a change!" Lord Mayor Tobias Eschenbacher agreed with the city council and thus "those responsible for the city of Freising" in the long term that a "Keep it up!" is no longer possible. "And of course I'm not exempting myself."

Eschenbacher once again reminded those present of the current situation: "While the adjusted income of the administrative budget has fallen by more than 2018 million euros since 20, the adjusted expenditure has increased by over 16 million euros in the same period." But even if revenues recover somewhat: "Expenses are rising faster." In 2022, for the first time in many years, there was a high deficit in the administrative budget – not entirely unexpected, as a deficit had already been shown annually in the budget planning since 2020. At that time, there were special measures by the federal and state governments, which no longer exist today. "A change of course is necessary in order not to leave future generations with a mountain of debt."

Money well invested

However, Eschenbacher also emphasized that Freising had put the high surpluses from previous years to good use: for construction projects, most of which were carried out without borrowing. "In addition, the city's debt level was reduced from around 84 to 24 million euros through special repayments." Positive effect: "The annual repayment in 2021 was only around 2.5 million euros."

Corona and wars

Corona and the wars followed. Revenues collapsed, the construction work had not yet been completed – the first major borrowings were necessary. The result: "At the end of 2022, the debt level of the city of Freising was almost 100 million euros." The further consequence: "The repayment rose again to around 4.8 million euros per year." And this almost completely swallows up the increase in revenue.

Put to the test

Now a deficit of 22.4 million euros must become a surplus of five million, which is why "the voluntary tasks that have been carried out so far as a matter of course must be actively questioned, reduced or completely discontinued". Much has already been done, and further cuts are needed for a course correction. In addition, every investment in the capital budget should be scrutinized in order to avoid borrowing.

(By the way: Everything from the region is now also available in our regular Freising newsletter.)

Eschenbacher concluded: "I would like to commit you to a common policy that does not paralyze us today and in the future, but preserves us a certain amount of room for manoeuvre." His prediction: "We will overcome the dry spell. But to do this, we have to pull together so as not to lose the trust of the people who elected us."

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In the end, Susanne Günther regretted that her group's motions had not yet been dealt with. Much of this had already been discussed in the budget discussions, the mayor said, "but we will review it again," he promised.

You can find even more current news from the district of Freising on Merkur.de/Freising.

Source: merkur

All news articles on 2023-12-05

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