Draft budget for 2013 and financial planning until 2016 submitted to the City Council
Priority education: 80 million euros for schools in 2013/14 - balancing the budget in 2016
Mayor Barbara Ludwig and City Treasurer Berthold Brehm today presented the draft budget for 2013 and the financial planning up to 2016 to the City Council.
"The budget's priorities must reflect the goal we are working towards: We want to further develop Chemnitz as a modern, attractive industrial city," said Lord Mayor Barbara Ludwig. "Our budget policy must be geared towards the future; we have to strike the difficult balance between investment, stability and consolidation."
The main focal points of the draft budget are investments in schools and daycare centres, strengthening the city centre and sustainable economic development, which is fed by investments in education and infrastructure.
A total of around 80 million euros will be invested in schools over the next two years. The largest construction project is the school for the physically disabled with a total volume of EUR 34 million (2013: EUR 11.3 million). With the special school building programme, an additional EUR 40 million will be invested in schools over the next two years in addition to the planned EUR 6.8 million.
Around four million euros have been earmarked for daycare centres in the 2013 budget. For example, it will flow into the Ludwig-Richter-Straße and Stadlerstraße daycare centres and the Am Harthwald daycare centre.
The 2013 income budget shows total income of 564.6 million euros and expenses of 596.4 million euros. Despite all the cost-cutting measures, the draft plan for 2013 shows a deficit of around 11 million euros (in cash terms).
"The situation has eased slightly in the medium-term financial planning. We will be able to balance the budget in 2016," says city treasurer Berthold Brehm.
The savings agreed with the development and consolidation concepts are having an effect. In addition, higher key allocations can be planned for 2013 and 2014. Tax revenue has been the main source of income since 2010. Due to Chemnitz's stable economy, trade tax in particular has become an important foundation of the city's budget. Overall, the city expects taxes and general key allocations totalling 363 million euros.
Next year, the city will once again begin or continue numerous investments. A total of around 60 million euros is currently earmarked for construction measures in the city budget, around a third of which will go towards roads and bridges. The largest measures include the Dresdner Platz bridge at around 10 million euros and the B 174 at 5.9 million euros.
48.5 million is available for culture in the operating budget. The social budget totals 90 million euros.
In addition to the stadium project, around 1.3 million euros will be invested in sport, including the Sachsenhalle (500,000 euros) and the multi-purpose athletics hall (300,000 euros).
City Treasurer Berthold Brehm summarised: "Our budget does not include much room for manoeuvre. Nevertheless, I believe that we are well on the way to demonstrating our financial capacity in the long term and reducing the remaining shortfalls."