Tight budgets: “Do we save in kindergarten or with the fire brigade?”

“The creation of a balanced budget was a special challenge for the municipalities this year”, says Herbert Fürst, spokesman for the mayor of the Urfahr area. Rising expenses and a lack of income are a major burden on municipal budgets.

He cites the enormous increase in state levies, contributions to hospitals, social welfare association levies, childcare and increased energy costs as the main cause. Although the municipalities’ most important source of income, the federal revenue shares, are developing positively, they were unable to cover the additional expenditure. In any case, the savings possibilities of the municipalities are limited. “Political consideration must be given to the areas in which cuts should be made. Are subsidies for clubs, for the fire brigade or social allowances canceled? Are the care times in kindergartens being reduced? Are cultural and leisure facilities such as outdoor pools closed?” The mayors are already confronted with such questions.

Fürst explicitly praises the importance of the cohesion of all parties in the communities in order not to slip into the hardship compensation: “Despite the challenges, important projects in the communities of the district for infrastructure, environmental and climate protection, in education, for clubs and for security can be implemented in 2023.”

With their investments and orders, municipalities are one of the most important drivers of the regional economy. “We therefore demand financial support from the federal and state governments of Upper Austria for ongoing operations and compensation for the increase in energy costs, similar to the companies”the mayors agree.

help urgently needed

Without help, there is a risk of massive cuts in benefits. A high debt of the municipalities could not be the solution, because that would only postpone the municipalities their problems in the future. “There is already a not inconsiderable proportion of outflow communities that would slip even deeper into the downward spiral”says Prince.