County - Mansfeld-Südharz applies for 93.4 million euros in state aid
Following its defeat in a financial dispute, the district of Mansfeld-Südharz has applied to the state of Saxony-Anhalt for financial aid amounting to 93.4 million euros. "The sum is made up of the increase in liquidity loans within one year and the loss of revenue from the district levy for 2023 and 2024," District Administrator André Schröder (CDU) announced on Thursday. In addition, there would be legal fees and court costs. "The pending settlement of the proceedings from the previous years 2017 to 2021 has not yet been taken into account. This results in a follow-up application for liquidity assistance in 2024."
The background to this is a defeat in the legal dispute over the so-called district levy. The districts do not have their own tax revenue. They receive money for their tasks from the state and from the municipalities belonging to the district via a levy. Several cities and municipalities took legal action against the amount of this payment - and were successful before the Halle Administrative Court in June 2023. The Saxony-Anhalt Higher Administrative Court has now refused to allow an appeal against the rulings. According to its own information, the district of Mansfeld-Südharz is missing a total of 157 million euros in one fell swoop.
"The district wants to continue to fulfill its tasks for its citizens," wrote District Administrator Schröder, Finance Minister of the state of Saxony-Anhalt until 2019. "Municipal financial peace remains necessary so that everyone can concentrate on their organizational goals again. The municipal family should have the strength to reach an agreement next year. The district will do its part."
The Ministry of Finance had stated that the district's application for liquidity assistance was being examined and that the results would not be available until the new year. The equalization fund has an annual volume of 40 million euros.
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- Despite facing legal fees and court costs from a previous financial dispute between 2017 and 2021, where several municipalities in the district of Mansfeld-Südharz successfully challenged the district levy payment at the Halle Administrative Court, the district has applied for additional financial aid worth 93.4 million euros from the state of Saxony-Anhalt, citing a shortfall in revenue.
- The CDU political party, of which Andre Schröder, the District Administrator of Mansfeld-Südharz, is a former member, has emphasized the district's commitment to fulfilling its tasks for its citizens despite the financial hardship, urging the need for mutual agreement among municipalities to restore financial stability, particularly in the district of Mansfeld-Südharz, which is missing a total of 157 million euros in revenue due to legal disputes.
- In light of the district's financial struggles, the municipalities within Mansfeld-Südharz's district of Mansfeld-Südharz, such as Sangerhausen, may be closely following the developments and considering their contributions to district finances, as the financial aid application highlights the reliance on both state funding and local revenue sources to ensure the district can continue to provide necessary services.
Source: www.stern.de
