Neschwitz is faced with a skepticism of budget: unpopular austerity measures decided

Neschwitz is faced with a skepticism of budget: unpopular austerity measures decided

Neschwitz, Deutschland - The financial situation of the municipality of Neschwitz has deteriorated sharply in recent months. The municipal council therefore unanimously decided on a household security concept (HHSK) that provides for measures to renovate the deficit budget. Professor Gerald Svarovsky, who was commissioned to create the HHSK, said positively about this step. He has determined savings potential to reduce the ongoing expenses and increase the income. However, the municipality is faced with a high deficit and impending insolvency that urgently required to find solutions to stabilize the financial situation, reports the Saxon.

In December 2024, the draft for a double budget 2024/25 was rejected, which made it necessary to create the HHSK. In order to increase the additional income, the municipal council has increased the lifting rates for property tax B from 360 to 480 percent and for trade tax from 390 to 420 percent. These measures should give the municipality annual additional income of around 93,000 euros.

unpopular incisions and challenges

The HHSK also provides for other measures in addition to the tax increases. This includes raising fees and increasing rents and leases. The annual deficit of around 85,000 euros is particularly striking, which is caused by the municipality's castle and park. From April 2026, the introduction of seasonal entrance fees for the park will be proposed. A sale of the system is also in the room, which is associated with costs for the implementation of the entry survey, as the outgoing mayor Gerd Schuster notes.

An important project that ensures discussions in public is the planned new construction of a daycare center. With calculated costs of 11.3 million euros, this project appears too expensive in the context of the HHSK. Anyone who is connected to the ongoing plans should know that the municipality has already spent 489,000 euros for planning, which further heats up the discussion about the financial portability of the project.

risk management and outlook

Another risk addressed in the HHSK concerns wastewater disposal. Here it is considered to entrust a third, possibly the neighboring community of Königswartha. In addition, it is advised to separate from unnecessary properties to increase financial flexibility.

The idea of ​​a budgetary concept has been anchored in German municipal regulations since 1987. His goal is to renovate municipal households and the complete output cover within a time frame of up to ten years. This means that in the event of a budget deficit, only by dissolution of reserves or by borrowing can be compensated for. As the Saxon continues to describe, affected municipalities can apply for benefits, but only if they serve directly to compensate for a household deficit.

If the measures adopted in Neschwitz are consistently implemented, according to Svarovsky, the municipality could achieve a legal household by 2028. Of course, this also depends on the framework conditions that can arise in the future.

The HHSK is an inevitable part of municipal financial planning in order to remain permanently efficient and to secure the trust of citizens in the administration. It is clear that unpopular decisions are inevitable to put the community's financial health on a sustainable basis.

For further information on the legal basics of household protection, you can use the corresponding articles on the household security concept as well as the regulations on the municipal Housekeeping read.

For Neschwitz, it is now important to implement the necessary savings and improvements in use with a good hand - because healthy financial management is the key to the best quality of life in the community.

Read more about the current developments in Neschwitz on the Sächsischen.