The City Council met in session, Wednesday March 17, 2021, Ravenne room in Chartrexpo. Franck Masselus, deputy mayor in charge of finance, presented the 2021-2023 budgetary guidelines, before the adoption of the budget, in a few weeks.
The City has four objectives, unchanged for several years:
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- stabilize the tax pressure despite the reform of the housing tax,
- maintain the investment,
- guarantee the repayment of the debt,
- ensure that the major balances are respected.
The health crisis “has made the task more complex” for the development of this three-year forecast, which began last September. “This is the first time that we have so many uncertainties”, recognizes Franck Masselus.
What to remember from the 2020 budget guidelines of the City of Chartres
1. Taxation
The City is counting on a State allocation (DGF) of 6.9 million euros, a little more than in 2020 (6.3 million euros). Since 2013, the DGF has decreased by almost 4 million euros. A decentralization grant for the Sunday opening of libraries, in the amount of 154,000 euros, will be paid. The City will also receive an amount of 5.5 million euros from Chartres Métropole.
The year 2021 marks a new stage in the reform of the housing tax. After the disappearance, in 2020, of the housing tax on main residences for 80% of French households, the gradual reduction of the tax for the remaining 20% begins in 2021 and will last until 2023. The reform freezes the rate for second homes and vacant dwellings in 2021.
Chartres Métropole votes for a 7.5% tax on built property
To compensate for 10 million euros of loss of housing tax, the City of Chartres will be transferred the land rate for the built properties of the Department (20.22%), i.e. an overall land rate of 47.97%. Franck Masselus warns:
“This transfer would correspond to a revenue of 13.5 million euros, but this is not what the City will touch. The additional 3.5 million will be paid into a national common pot, which will then be redistributed to the municipalities losing from the reform. We could even lose € 800,000 in this transfer. We still lack elements to assess this compensation. “
Franck Masselus (assistant in charge of finances in Chartres)
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2. Investment
The City of Chartres plans an investment program of 29.8 million euros on average each year, i.e. 89.4 million euros, for the period 2021-2023. A budget higher than the period 2019-2021 when the forecasts were of 87.9 million euros. In 2021, the investment will be close to 45 million euros, or nearly 40 million for individualized operations, 3.5 million for maintenance of assets and equipment and 1.6 million for work under management.
Among the projects marked in the 2021 budget are the station (€ 310,000), the Courtille block (€ 96,000), the Porte Guillaume ZAC (€ 246,000) and the administrative center (€ 6.8 million). A budget of 2.3 million euros will be dedicated to road operations. 1.1 million euros will be mobilized for equipment work in schools.
Administrative center, central kitchen, Vauroux swimming pool, additional tax: Jean-Pierre Gorges discusses the challenges of the year 2021
On the cultural side, the City will devote 4.5 million euros to the Off theater pole, 300,000 € to the renovation of the theater and 274,000 € (2021-2023) for studies on the project of the On musical pole. Finally, € 569,500 will be devoted to Chartres en Lumières. Franck Masselus underlines: “Subject to cultural and festive events being able to take place, given the health context. “
3. Debt
As of December 31, 2020, the outstanding debt of the City of Chartres, all budgets combined, excluding developments, amounted to 105.5 million euros. 99.39% of the outstanding relates to the main budget.
The municipality plans a provisional recourse to the loan of 16 million euros, in 2021. The debt ratio would be 9.46 years at the end of 2021, “Because of the completion of the financing of the administrative pole” underlines Franck Masselus. The deputy expects a deleveraging ratio of 8.77 years, at the end of the 2021-2023 period, or 3 million euros less outstanding debt over the period.
10.2 million euros in surplus announced by the municipality of Chartres
Marion berard
[email protected]
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