Bavaria increases financial equalization: 4.7 million for Munich's future!

Bavaria increases financial equalization: 4.7 million for Munich's future!

The financial situation of the Bavarian communities remains tense, but there is positive news about municipal financial equalization. The Free State of Bavaria plans to increase the benefits in municipal financial equalization by 5.3 percent compared to the previous year, which means a total of 11.98 billion euros. This is a significant increase and is particularly important for the municipalities that have been fighting for years with increasing financial burdens. Maximilian Böltl, member of the state parliament for the Munich-Land Nord voting group, emphasizes the role of the Free State as a reliable partner of the municipalities and counties. This not only focuses on infrastructure projects, but also the education as a key to the future development of the children.

For municipal building construction, 1.07 billion euros are available across Bavaria. These funds focus on the construction and renovation of schools, kindergartens and school sports facilities. The promotion of these areas is of central importance and could strengthen the educational landscape of Bavaria sustainably, according to Böltl, who sees investments as a significant contribution to the future of the Free State. The money will flow directly into the municipal sack and enable urgently needed projects, such as the almost 4.7 million euros that are available to the Munich-Land North City Circle.

records in financial equalization

according to bayern.de Municipal financial equalization in 2024 reached a record of around 11.4 billion euros, which represents an increase of 212.8 million euros compared to 2023. The key allocations for the municipalities that are available are around 4.44 billion euros. This financial support is essential to stabilize the budgetary situation of the municipalities and to promote future projects.

In addition, hospital financing is increased by 156.6 million euros to a total of 800 million euros. These measures are designed to prevent investment backlog in Bavarian hospitalization and to promote all the necessary projects in order to optimally maintain health care.

further relief for municipalities

General financial allocations according to Art. 7 Bayfag increase by 4.1 percent to 885 million euros. It is particularly worth mentioning that for the first time the independent cities will receive additional financial allocation of 7.9 million euros. These additional means should help strengthen the municipal infrastructure and to improve the quality of life in cities and municipalities.

In addition, a total of 71 new positions will be made available to the counties from 2024 to 2025 in order to efficiently perform government tasks. The improvement of the demographic surcharge and the increase in the funds for hardship promotion also specifically dealt with the challenges that result from declining population.

The overall strategy of the Free State of Bavaria, as explained on stmfh.bayern.de , is significant support for Bavaria, which are dependent on stability in challenging times. The merging of this financial means underlines the solidarity and partnership between the Free State and its municipalities, which is of great importance for the sustainable development of Bavaria.