Lost income and additional expenses: The municipalities in Baden-Württemberg are also suffering financially from the Corona crisis. They are asking for more support from the country.
In view of the enormous financial burdens caused by the Corona crisis, the municipalities in Baden-Württemberg are insisting on further help from the state. This year alone, the municipalities lacked around 2.5 billion euros in income from taxes and municipal financial equalization. This is emphasized by the tips of the municipal assembly, the city assembly and the district assembly in a joint letter to the members of the budget commission, which is available to the German press agency. In order to avoid emergency budgets, the country must stabilize the municipal budgets, they demanded with a view to the budget consultations.
Municipalities cannot compensate for lost income
Contributions for closed daycare centers would have to be reimbursed to the parents, and lost income from music schools, youth art schools and adult education centers would also have to be compensated.
Many spas and spas are also threatened in their existence after eight months of lockdown – the respective sponsoring communities are not in a position to compensate for the lost income with an operating subsidy. The spas association put the compensation requirement at at least 45 million euros. As in the previous year, the state should contribute 47 million euros to the additional costs of the municipalities in the fight against the pandemic – for example for protective equipment or tests.
Additional municipal investment fund required
The municipal associations also report a significant decline in municipal investment activity – and are calling for an additional municipal investment fund to be set up to provide earmarked funds for future-oriented and climate-effective investments.
The corona crisis has torn a huge hole in the state coffers and the repayment of the billions in debt will keep the country busy for decades. In 2022 alone, more than three billion euros will be missing. At the end of last year, the old green-black government took on new debts totaling 13.5 billion euros to cope with the pandemic. As a result, the mountain of debt grew to 58.5 billion euros.
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