Home » News » Association of cities at the LH conference: “Future fund must distribute money for cities” | PID Press

Association of cities at the LH conference: “Future fund must distribute money for cities” | PID Press

State governors meet on the 2nd/3rd. November to FAG, among others

Vienna (OTS/RK) In the run-up to the state governors’ conference, the Austrian Association of Cities and its state groups make it clear that the details of the basic agreement for the FAG from 2024 will still require tough negotiations. Above all, the design of the future fund is particularly important for cities and municipalities; The funds available must reach the cities.

Association of Cities President Mayor Michael Ludwig said: “Cities face major challenges every day; Adaptations to climate change as well as the mobility and energy transition are currently being added. Cities and communities must be prepared for this. But this can only be achieved with funds from the future fund.”

Cities Association General Secretary Thomas Weninger emphasizes: “What is certain is that the states have agreed to pass on their respective funds from the future fund to cities and municipalities. This is the only way cities and communities can continue to fulfill their tasks well in the future.”

The demands of the regional groups and FAG negotiators of the Austrian Association of Cities in detail

Linz Mayor Klaus Luger and chairman of the Upper Austria regional group says: “An increase in the cities and municipalities’ share of financial equalization is inevitable. We are confronted with a range of tasks that is constantly expanding. The increasing need for financing in public services, but also in terms of energy transition, climate protection and the expansion of local public transport is driving us into financial bottlenecks. It cannot be the case that our range of services continues to expand while our direct financial resources remain behind.” And Luger continues: “Where is your own pot in the future fund for the benefit of cities and municipalities?”

The Styrian regional group chairman Mayor Kurt Wallner from Leoben confirms: “We recently decided at the “Styrian Cities Day” in Leoben that the distribution of the funds from the planned future fund and the development of the specific goals should be carried out exclusively with the involvement of the association of cities and the association of municipalities are. Those cities that already meet the goals in the respective federal state, such as the state capital Graz, must under no circumstances be disadvantaged.

The mayor of Innsbruck, Georg Willi, and chairman of the Tyrol regional group, says: “Unfortunately, it was once again not possible to change the vertical financial equalization in favor of cities, municipalities and states. Now the ‘Future Fund’ is intended to bring in urgently needed money and to channel this into child care and elementary education, housing, and climate and environmental protection. The crucial point for me is: Cities and municipalities must be closely involved in the distribution of these funds! If the money ‘only’ ends up in the state accounts and cities and municipalities have to ‘beg’ again, it will be forgotten that the municipalities have to shoulder the lion’s share of these additional tasks.”

The mayor of Villach and chairman of the Carinthia regional group Günther Albel therefore emphasizes: “A shift in the vertical key would be urgently needed. This is clearly shown by the current situation in Carinthia: as things stand, all 132 Carinthian communities will be ‘departure communities’ in 2024. “It is now all the more important that a large proportion of the funds from the future fund benefit the cities and communities.”

Mayor Thomas Steiner from Eisenstadt and one of the FAG negotiators for the Austrian Association of Cities appeals to the states and the federal government to treat the municipalities and cities as an ‘equal partner’ in the interests of the citizens: “The money from the future fund must go directly to the “Municipalities flow – and thus directly into local projects and infrastructure and thus into the quality of life of the citizens.”

The mayor of St. Pölten and chairman of the Lower Austria regional group, Matthias Stadler, concludes by emphasizing: “The central demand for a change in the FAG distribution key remains in place, as does that for a fair and transparent distribution of the future fund at the municipal level. A clear commitment from the federal government towards urban educational tasks, childcare, climate protection and, above all, mobility at the local level is essential.”

About the Austrian Association of Cities

The Austrian Association of Cities is the constitutionally anchored interest group and a strong voice for cities and larger municipalities in Austria. There are currently 258 member communities. 5.5 million people live in cities in Austria. 71 percent of jobs are also in cities. More information at www.staedtebund.gv.at (Ending)

Questions & Contact:

Elisabeth Hirt
Communication of the Austrian Association of Cities
Tel.: 01/4000/89990
Email: elisabeth.hirt@staedtebund.gv.at

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