City Council adopts 2019/2020 budget with a large majority
The committee discussed the budget for the years 2019 and 2020 for the city of Chemnitz in a meeting lasting more than eight hours on 19 December and approved it by a majority (46 yes / 2 no / 1 abstention). This is the second resolution on a two-year plan.
The city budget once again focuses on the important future topics of family and education, culture, sport and safety. In addition, funding for transport infrastructure has been significantly increased compared to previous years.
City Treasurer Sven Schulze: "The decision on the 2019/2020 biennial budget was a challenge for everyone involved - and not just in terms of time. Thanks to the good economic situation, the increased key allocations and the higher tax revenue, it is a budget of opportunities. Nevertheless, we should not live beyond our means. We all share responsibility for sound and sustainable municipal finances."
With income of around 799.4 million euros and expenditure of around 806.0 million euros, the result for the 2019 financial year was a negative result of around 6.6 million euros. In 2020, income of 816.2 million euros fell short of the planned expenditure of 826.1 million euros by 9.9 million euros. However, the shortfall can be fully covered from the surpluses of previous years.
Due to the extensive investment programme, particularly in the school sector, new borrowing of 6.1 million euros is required in the financial planning period.
Note: Income and expenditure changed compared to the original version following final calculations of the amendments by the treasury department.
Focus on investments in schools and daycare centres
The focus of municipal investments totalling € 241 million in 2019 and 2020 will be on schools in the coming years. The adopted school network plan includes plans to expand capacity by renovating and constructing new school buildings totalling around 127 million euros. This is by far the largest education investment programme that the city has undertaken since reunification.
This will ensure the conditions for the care and education of Chemnitz's young people in the coming years. Examples of this include the secondary school Am Hartmannplatz, the secondary school on Vetterstraße, the speech therapy school, the Heinrich Heine primary school, the Reichenhain primary school and several measures to expand the data network, including at the Diesterweg secondary school, the Goethegymnasium and the vocational school centre for business II.
In the daycare centre sector, a total of eleven new daycare centres were and will be built between 2017 and 2020, providing around 1,300 new places. The city's investment requirements in daycare centres will amount to around 12 million euros over the next two years. In addition, a total of 202 million euros will be available for the operation of day care centres over the next two years.
The free pre-school year was also approved from the amendments.
Investments in roads, bridges and local transport
51 million euros have been earmarked for roads and bridges in 2019/2020, which is 19 million euros more than in 2017/2018. The largest individual measures are the Zschopauer Straße bridge, the link between regional rail services and the main railway station, the Küchwald-Wüstenbrand cycle path, Walter-Klippel-Straße and the development of the E 3/E 4 construction sites in the city centre.
In addition to these projects, local public transport services are also being expanded. A total of €7.3 million has been budgeted to finance this expansion in 2019 and €11.9 million in 2020.
Sport
Investment measures totalling 33 million euros are included in the city's budget for sport over the next two years. The largest measures are the expansion of the large gymnastics hall for 2.8 million euros, the renovation of the speed skating rink for 7.4 million euros, the reconstruction of the main stadium in the sports forum for 7.5 million euros and the new construction of the swimming complex in Bernsdorf for more than 15 million euros.
In addition, grants totalling 6.1 million euros each were planned for 2019/2020, of which 3.2 million euros each are earmarked for direct club funding. That is around 600,000 euros more than this year.
Art and culture
A total of 144 million euros has been earmarked for art and culture in 2019 and 2020. This includes the largest single item, the subsidy to the municipal theatres, amounting to around 32 million euros.
The bid to become European Capital of Culture 2025 is a focal point and milestone in the city's development, with material and planning costs totalling over one million euros available until 2020.
As in previous years, the city's independent cultural scene will continue to receive at least five per cent of the total cultural budget. In 2019, expenditure totalling 3.0 million euros is planned for this, an increase of 500,000 euros compared to 2018.
In terms of leisure activities, the gradual implementation of the adopted "Tierpark Masterplan" is the largest project. The city intends to invest 2.5 million euros here over the next few years and acquire further funding.
Security
13 new positions have been earmarked to increase the city security service. In 2019, the city security service will have a total of 35 employees who will be available on site in the city's neighbourhoods to enforce public order and safety and act as a point of contact for citizens.