Dear Mayor Dr. Andreas Wulf The FDP parliamentary group Augustdorf requested
The council of the municipality of Augustdorf should pass the following resolution:
Resolution on the municipal finance law
Proposed resolution: The council of the municipality of Augustdorf calls on the federal government and the states to start work on a fundamental municipal finance reform without delay, with the aim of sustainably improving the financial situation and the financial resources of indebted municipalities and to provide these municipalities with comprehensive debt relief realize. The bodies involved, in particular the Association of Towns and Municipalities and the District Assembly, as well as the members of the Bundestag and the Landtag, must be written to and involved in the process.
Description of facts / reason:
In the course of budget consultations in recent years, it has become increasingly clear that the financial resources of cities and municipalities are not regulated in such a way that all cities and municipalities have the necessary financial resources for their tasks at their disposal. However, this is not due to the fact that the overall tax power is not sufficient, but rather the correction mechanism, i.e. the Municipal Financing Act (GFG), is not set up in such a way that all municipalities are provided with the necessary financial resources. This is reflected, among other things, in different population equivalents and other unequal calculation parameters. Unfair key allocations also cement the different income situations of the municipalities, because income weak municipalities with high expenditures for social tasks are worse off than tax strong municipalities, which usually benefit more from the good economic situation and the key allocations.
In this context Markus Lewe, President of the City Council, should be quoted, who said the following in an interview in the LZ about the financial situation of the municipalities and future solutions and demands: “We need permanent relief. We have a huge investment backlog of € 126 billion. At the same time, the municipalities' cash advances amount to € 50 billion. If it is not possible to reduce these cash loans promptly, the ability to act and invest decreases even more.
Many cities and municipalities are unable to free themselves from their old debts. As a result of population losses, the income goes down. Declining tax revenues are offset by increasing social spending. Liberation from this predicament by one's own strength is impossible. Rising interest rates would dramatically worsen the situation. The cities and municipalities need a fresh start. That is only possible with the help of the federal government and the states. Consolidation is only possible with debt relief. There is only one perspective for the cities and municipalities if the federal and state governments feel responsible for a fundamental change and improvement of the municipalities' financial resources and undertake a corresponding reorganization ”.
With best thanks and best regards
Roger Ritter FDP
Group leader