State co-aid certificate: The analysis showed slowness, randomness and omission

Experts from the State Reconstruction claim that they have been monitoring the state’s financial assistance to people affected by the coronary crisis for more than two months. “We immediately revealed several systemic problems. Government programs completely forgot about five groups of people who did not fit into the boxes of area support,” says Josef Karlický, head of the State Reconstruction team.

It’s about:

1. New or even small companies, where employees and partners (three or more) work on a contract to perform work or on a share of the profit
2. Obstacle workers who also took on secondary activities and had to close their premises
3. People employed on a full-time basis who are employed as self-employed for secondary activities. They do not take into account the distribution of income, while they may have the main source of income from secondary activities.
4. Non-profit organizations that receive subsidies and grants from the state or municipal budget
5. People working on agreements, but the part that pays for insurance will now be able to ask for help

According to Kralický, it is not clear why the state should also not provide them with at least partial assistance in the event of a loss of income when they properly pay taxes and pay health and social insurance.

He reminds that the government has so far announced support in the total amount of 857.37 billion crowns. Of this, direct support amounts to 141 billion. A large part, 665 billion, consists of loan guarantees and the rest is indirect support, such as tax exemptions.

“However, the promised amount of government support was higher. Minister of Finance Alena
Schiller has promised total support of up to one trillion and 190 billion
crown. So far, however, the government has actually paid out only 81 billion crowns. Help is slow. This is due to the fact that the state does not trust the citizen and lets him prove many facts that he already knows when applying, “says Michal Bláha, project manager State Guard and expert guarantor of State Reconstruction.

Bláha claims that the government pays up to 88 percent of all allocated money, ie 759 billion crowns, in programs with more serious shortcomings. A big problem, for example, is the unconceptual setting of the programme’s goals, ie that they lack a comprehensive strategy to help citizens and the economy as a whole. Furthermore, the absence of measuring whether the programs really help those they target and the relatively high administrative burden for applicants.

“In general, it can be said that government assistance in the area of ​​compensation of wages, loans, credits, subsidies or any assistance for the operation of establishments and companies is considered by entrepreneurs to be very slow, lengthy and often administratively demanding,” Karlický summarizes.

The analysis showed that the Covid I, II, III programs in particular required demanding preparation. Entrepreneurs had to consult at least with accountants, lawyers and tax advisors. The practical processing time was even three months.

“And so the applicants, who have a stable background, already had experience with applications for state support and were only partially affected by the support. The companies that were most affected fell quickly into problems and could not devote time to the demanding requirements of the applications. “adds Karlický.

According to him, the Twenty-Five for the Self-Employed, Nursing for the Self-Employed or Antivirus programs, which were relatively fast and simple compared to others, are positively evaluated by a number of entrepreneurs addressed.

The state reconstruction proposed seven steps for more effective aid and circulated its comments to all government politicians.