At the municipal council meeting, Treasurer Rolf Wöhrle read out the district office’s budget decree on the core budget and on the budgets of the water and wastewater companies.
The core budget does not violate any legal provisions and can be implemented subject to reservations, notices and conditions. However, the planned borrowing of 2.655 million euros is not approved, but the entire commitment authorization of 450,000 euros is.
The district office explained that the ordinary budget result for the years 2023 to 2026 was permanently negative. The city is not in a position this year to generate the current payments and has to fall back on existing liquid funds to cover the deficit. The cash surplus of the earnings budget is also permanently negative. The ability to perform in the medium-term financial planning presented is at risk to the greatest extent. The ongoing loan repayments must also be financed from the reserves.
Submit for approval
Since the credit authorization from the 2021 budget has already been taken and the city expects savings of EUR 302,000 this year, no further borrowing is necessary. If, according to the district office, the budget year develops differently, a supplementary budget must be submitted in good time. The authorization to commit involves the procurement of a turntable ladder for the fire brigade – a mandatory task.
The city was required to work on the budget consolidation plan and submit an updated plan to the Legal Inspectorate by November 30. In addition, unscheduled and over-scheduled expenditures of more than 10,000 euros must be submitted to the authority for approval.
Solution sought for the rehabilitation of the sewage treatment plant
The business plan for the in-house water supply operation for 2023 has been checked and can be implemented. The planned borrowing of 306,750 euros is approved. The balance of earnings is expected to be achieved this year.
The economic plan for waste water disposal adopted by the municipal council does not violate any legal provisions, can be implemented and approved with reservations. However, the borrowing of 1.255 million euros is only approved for a partial amount of 552,390 euros. The reason: The application for funding for the expansion of the sewage treatment plant was not approved. A solution for the redevelopment must continue to be sought at high pressure. Without funding, the city cannot afford the funding.
Investment buffer of one million euros
Therefore, according to the district office, an intermunicipal cooperation is being examined in the course of a structural report, and this calls into question the level of costs and the investment volume. However, necessary minor measures to improve the current sewage treatment plant can be taken. An investment buffer must be provided, which is assumed to be one million euros.
Conditions are to check the sewage fees annually and to recalculate and adjust them if costs are expected to be undercover. The long-term performance of the financial planning presented should be viewed critically.
Mayor Michael Pfaff stated that the budget consolidation had to be continued as a matter of urgency. Thus, all voluntary services such as the outdoor pool would be put to the test.
2023-07-25 17:43:05
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