Rising social spending
As Alexander Willi, the head of the finance department, explained during the press conference, the additional requirement for social transfers amounts to 9.5 million euros. Of this, 6.7 million are allocated to integration assistance (four million over budget), six million are allocated to basic security for job seekers and four and a half million euros are allocated to child and youth welfare. Nevertheless, there are also points of light in the figures: relief programs, more federal funds for the cost of accommodation for asylum seekers (KdU), help with living expenses, savings in material costs, key and FAG allocations, grants in the digital pact and the district levy, among other things, have a positive effect. that is, those financial resources that the municipalities have to pay to the district. The latter includes 32.72 percent (plus 0.62 points compared to the previous year) an amount of around 114 million euros, which does not even cover the net resource requirements in the social area of around 129 million.
District levy
“We are set up in a community-friendly manner”, Willi commented on the increase in the assessment rate for the district levy. All levers have been pulled in to minimize the increase, he referred to an austerity package totaling 3.3 million euros. In addition, the administration had planned a negative budget result, which would increase the district’s debt in perspective. And that shouldn’t become permanent. If the administration had not taken countermeasures, an increase of two to three assessment points would have been necessary, explained the finance director. One thing is clear: in the long term, a balanced budget must be achieved again.
One shouldn’t slide further into the red because that represents a negative mortgage for the following years, added Dammann against the background of the foreseeable decline in tax revenues. A slight increase in the tax rate is justified, after all, the district relieves the municipalities of numerous expenses and offers services.
Comprehensive savings package
The district has to tighten its belt: When drafting the position plan, the net zero is achieved. In sub-budgets 6 and 7, a 54-point list of reductions was made, Elke Zimmermann-Fiscella, head of social affairs, made clear. Although there is little room for maneuver in terms of transfer payments, the administration has put the red pencil in the areas without a legal obligation.
Get structures
“We did not make it easy for ourselves with the proposals, and we consider the cuts to be justifiable,” said the head of the department. Despite the savings, it is possible to maintain the social structures. And further: “The cuts hurt, but we have to look at the overall situation.” The porters had positively assessed that the district in its austerity efforts did not intend to destroy the offers in the social area, reported Dammann. Nevertheless, the carriers would now try to achieve other results. It is now up to politicians to discuss the budget and the austerity package.
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