Fighting communities in Pinzgau: Financial situation becomes dramatic!

Fighting communities in Pinzgau: Financial situation becomes dramatic!

Saalfelden am Steinernen Meer, Österreich - in Saalfelden you can feel the financial pressure. Mayor Erich Rohrmoser gives an insight into the tense situation of the municipality. This is currently under considerable savings pressure in terms of many current projects. Short -term solvency is secured, but the financial framework is becoming increasingly heavier. A challenge is the low growth forecasts among the federal income shares that have a negative impact on the situation. Increasing ongoing expenses for wages, transfers to the country and rising energy prices reduce the scope for investments and longer projects. This situation could make further consolidation inevitable in the coming months, as my district reports.

What about the whole? According to a forecast, up to 45% of the municipalities in Austria need financial support in 2025 to maintain their ongoing operation. This shows that the challenges not only affect the municipality of Saalfelden, but a variety of communities in our country. It is estimated that up to 40% of the municipalities could soon no longer be able to maintain their usual quality. Without further support from the federal and state governments, many municipalities are faced with the need to carry out painful austerity measures. [KDZ] (https://www.kdz.eu/de/aktuelles/blog/welche-konse-auf-die-aufgrund-der-schwierigen- Financial) this calls a critical situation.

reasons for the financial crisis

The main problem is in increasing energy prices, inflation and increased personnel costs that burden the expenditure of the communities. A combination of economic weakness and tax reforms is severely steamed, which further puts pressure on the financial stability of the municipalities. According to a report, the levies to finance state tasks have extremely burdened the municipalities, which has a negative impact on investment activity. This is essential for maintaining substance and quality of life, which depends directly on public expenditure. AW blog emphasizes that the cuts in the municipal range of services will have direct effects on the population.

Another problem is the "Third Spaces", which are important for social exchange and civil society commitment. Restricting pressure is particularly suitable for voluntary services that are offered in many communities, such as social services or public meeting points. The challenge that the communities have in front of them is to secure their core tasks and at the same time take innovative measures to stabilize. This includes the digitization of administrative processes that can reduce administrative costs. The merger of less used facilities is also discussed as a solution.

The outlook

The financial situation of the communities remains tense, but there is hope: the financial equalization is renegotiated to reduce the stress. In Carinthia and Upper Austria, particularly high transfer and recovery loads can be observed, which underlines the need for reforms. Long -term solutions are required so that the quality of life in the communities can be maintained, and not just short -term solutions through cuts. Mayor Rohrmoser and the municipal council are faced with the challenge of developing strategies that take into account both ongoing expenses and necessary investments in the future.