Household - Saarland prepares for more debt after floods
The heavy flooding during Pentecost is expected to result in additional debts of up to 94 million Euro for Saarland. The Landtag in Saarbrucken declared a natural disaster that will significantly affect the financial situation of the state in 2024. This means that despite the debt brake, higher levels of debt are possible.
This is allowed for natural disasters that cannot be controlled by the state. At the same time, the Landesparlament in the first reading agreed with the votes of the governing SPD and the opposition CDU on a supplementary budget for the years 2024 and 2025, which is expected to be finally decided in the fall.
According to estimates by the insurance industry, a private damage of around 200 million Euro occurred during the flood disaster from May 16 to 21. It is stated in the resolution submitted by the SPD with an absolute majority that at least 75 million Euro are necessary for the removal of damages to municipal infrastructure. "The state's ability to act will have to prove itself in the rebuilding process on site," said SPD fraction leader Ulrich Commerçon.
Additional income from the federal financial equalization payment is expected
Finance Minister Jakob von Weizsäcker (SPD) hoped that the state would not need or only partially need these additional credits. Since the census 2022 resulted in a population of over one million people, the state therefore receives annual additional income of 200 million Euro from the federal financial equalization payment. "It is crucial that we are prepared for every conceivable scenario," he said.
It is still unclear when this additional money will actually flow in. If the payments could be made by September, the planned credits would not be needed.
CDU fraction leader Stephan Toscani urged Minister President Anke Rehlinger (SPD) to engage more actively for federal aid for Saarland: "Care about it, fight for federal aid for Saarland in the interest of our homeland."
- The CDU in the Landesparlament also supported the supplementary budget, contributing to the agreement with the SPD.
- The flood in Saarland, a region known for its city Saarbrücken, caused significant damage to numerous household properties.
- The expected debts due to the natural disaster in Saarland might be offset, in part, by the increased income from the federal financial equalization payment.
- In the aftermath of the flood, the SPD and CDU in the Parliament have been working together to ensure the necessary financial aid for the affected areas in Saarland.
