The Burgenland state government will decide on Tuesday on the second tranche of allocations for municipalities. State Governor Hans Peter Doskozil (SPÖ) speaks of a “record amount”. This specifically supports construction and infrastructure projects.
As reported, many communities are currently facing financial challenges when planning their budgets. To provide support, the state government is increasing allocations for needs. In concrete terms, a decision on the second tranche of 39.3 million euros will be made on Tuesday. In June, 36.8 million euros was already transferred as a first installment.
This means that this year’s allocations total EUR 76.1 million, of which EUR 49.5 million in project financing. In addition, there is 6 million euros in special project funds. “The allocations to needs and special funds total more than 82 million euros this year, so that our communities can continue to invest in infrastructure and ensure their financial stability,” Doskozil explains. This means that a historic amount is being invested to support the municipalities.
“Communities need planning certainty and I stand by my nonpartisan commitment: every community can rely on us,” the state governor stressed. He again referred to the “garbage deal” he was offering.
Debate about municipal finances
The financial situation of the municipalities will also be the subject of a special session in the state parliament on Tuesday. Doskozil will not participate in this. According to his office, he apologized because he needed to rest his voice as part of his recovery process. With regard to participation in the budget parliament on Wednesday, people are “cautiously optimistic”.
„States withhold money from municipalities.”
The Greens presented a reality check on the current debate. In 2020, the federal government began putting together community packages and promoting investments. The municipalities of Burgenland have now received almost 100 million euros in additional support. When it comes to the resources from the financial equalization, it should be noted that the states are withholding more and more money from the municipalities as a state levy, criticized club boss Anja Haider-Wallner.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
