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Fraunberg Local Council Passes 2024 Budget Unanimously Amid Financial Challenges: No Further Loans Needed

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    The local council meeting in Fraunberg revolved around the dear topic of money. © Hannes P Albert/dpa

    The municipality of Fraunberg does not have to take out any further loans – also thanks to the well-developing trade tax revenues. But personnel costs and the district levy have increased significantly. Mayor Wiesmaier was affected: “That’s really depressing.”

    Fraunberg – Without an increase in tax assessment rates and without borrowing, the 2024 budget has now been unanimously passed by the local council. Of the total amount of 13.41 million (million) euros, around 8.42 million euros are attributable to the administrative budget and around 4.98 million euros to the asset budget. “This means,” says Mayor Hans Wiesmaier, “the 2024 budget is around 770,000 euros smaller than last year. But the share of the administrative budget has increased again proportionally since 2021.”

    A look at the expenditure side of the administrative budget shows a significant increase in personnel costs (increase from 1.37 million to 1.51 million euros), in operating cost support according to the Child Education and Support Act (from 1.35 million to 1 .6 million euros) and, above all, the district levy. Here, the district of Fraunberg is now demanding 2.71 million euros compared to 2.47 million euros in the previous year.

    “Together with the deficit situation at the children’s home and all-day school, this is already very depressing, but overall the community is still well prepared for the tasks of the near future,” said the town hall boss. Nevertheless, he sees “wrong political decisions making the local authorities’ scope for action increasingly smaller”.

    At least there is a little more satisfaction when looking at the income in the administrative budget: the municipality expects an allocation of around 110,000 euros higher (930,000 euros) for the operating costs of children’s education. Income tax probably brings around 210,000 euros more into the coffers compared to the previous year (now around 2.9 million euros).

    The increase in trade tax is particularly pleasing. Here the estimate was increased by 200,000 euros to now 1.5 million euros, an increase that, according to treasurer Hermann Hofer, should be confirmed by the still preliminary results from 2023. However, the financial expert also believes “that the weaker sales years due to Corona could soon become noticeable”.

    As far as the 2024 asset budget is concerned, the municipality is primarily planning income from the sale of land and development contributions in the Pillkofen mixed commercial area and the Reichenkirchen development area (around 1.8 million euros). Government grants also bring in around 420,000 euros. The estimated expenditure here is around 250,000 euros for the connecting pipe from the sewage treatment plant to the wastewater association in Eitting, around 350,000 euros for the development of the new commercial mixed area Pillkofen and around 520,000 euros for construction work on the 100 kilometer long Fraunberg road network. Further money (200,000 euros) will probably flow into the renovation of the old Kramerhaus area and the Jagahaus (we reported).

    In total, the municipality will have an estimated debt burden of around 2.87 million euros at the end of the year; around 200,000 euros of the previous three million euros in debt are to be repaid. At the beginning of 2025, each resident would be burdened with debts of almost 700 euros.

    The community’s assets have increased in line with many investments in recent years, and around 250,000 euros can probably be added to the asset budget in the coming year. However, as Kämmerer Hofer pointed out, this sum was significantly higher three years ago: in 2021 he was able to transfer around 1.5 million euros, and in 2022 it was still around half a million euros.

    2024-02-23 11:08:14
    #Fraunberg #manages #loans

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