Waging am See – The financial situation in the market town has changed significantly compared to the budget planning for 2023, so that it has become necessary to issue a supplementary budget statute including a supplementary budget. The local council took note of this at its most recent meeting and approved both the statutes and the changed financial planning until the end of 2026.
As treasurer Bernhard Kraus explained to the local council, the planned volume in the administrative budget has been reduced from around 16.1 million to around 15.34 million euros compared to the original planning. The expenditure estimates were reduced by around 850,000. This is primarily due to underspending on material administrative and operating expenses. There was also a reduction in expenditure of around 53,000 euros in the district levy due to the reduction in the assessment rates by one percentage point. There are further savings in loan interest, as the originally planned borrowing could be reduced and new debt of only 1.5 million euros is now planned.
The loan reduction is explained by underspending of around 4.3 million in the 2023 capital budget. However, this is not due to savings, but rather to the postponement of funds to later years, as some construction projects, such as the construction of a new bridge over the Lohbach near Graben, are Redesign of the parking lot on Salzburger Straße, the construction of a children’s playground in the Westendsiedlung or the planning and construction of an all-day school were not implemented as planned this year.
According to financial planning, borrowing of around 3.3 million euros is expected for 2024. Borrowing of around eleven million euros is planned by 2027. If the planned borrowings actually have to take place, the market community will reach the limits of its financial resilience, says Kraus. Therefore, every effort must be made to ensure that loans have to be taken out on a much smaller scale. In the supplementary budget, the originally planned addition to the capital budget of around 900,000 euros was completely avoided. Unfortunately there was no increase in income. According to the supplementary budget statutes, the administrative budget is balanced.
In the asset budget, the planned volume was significantly reduced from around 15.2 million to 11.5 million euros due to the postponement of some projects. In addition, the planned share capital increase to the municipal utilities amounting to 1.4 million euros was taken from the supplementary budget. It said that every effort is currently being made to improve the economic situation of the company’s own business. The community wants to wait for the results before resorting to a share capital increase. There are no changes to the reserves compared to planning.
When borrowing 1.5 million euros, it was agreed that a ten-year term with a ten-year fixed interest rate would be agreed, with only half of the loan being repaid in these ten years. Special repayments should not be agreed. Kämmerer Kraus also pointed out that in the coming years a focus must be placed on “all-day school and all-day care places”, because from 2026 every child will have a legal right to this, starting with the first grade. Before planning further major projects such as the construction of the Waging fire station, at least an exact cost calculation for the construction of an all-day school should be available.
The administration has presented the council with a roadmap showing how the all-day school project should be prepared before funding is submitted. A seminar with all stakeholders, administration, local council, school and all-day care, will take place shortly. Time is of the essence, because for school measures, according to Kraus, the funding requirements for the following year must be reported to the government of Upper Bavaria by November of each year. If construction is planned for 2024, a notification would have to be made in November 2023. con
2023-09-29 12:32:27
#expenses #loans #planned
