35 Million Euros for Municipalities in Lower Austria

A municipal support package from the state of Lower Austria amounting to 35 million euros is intended to provide financial relief. The money will be paid out in three tranches, explained the two state councilors responsible for municipalities, Ludwig Schleritzko (ÖVP) and Sven Hergovich (SPÖ), at a press conference on Wednesday in St. Pölten. Seven million euros will be disbursed this October and 14 million euros each in January 2026 and 2027.

With the Health Plan 2040+ and the subsequent Regional Health Structure Plan, "we are laying the foundation for the so-called NÖKAS contribution - one of the largest financial burdens for our municipalities - to be dampened in the long term," said Schleritzko. It will take years before the efficiency improvements and structural changes become noticeable in the budgets. Therefore, they want to "actively counteract" with the municipal support package now. The NÖKAS contribution - which amounts to a total of 608 million euros this year - is mainly used for hospitals, but also for the rescue and patient transport services. From 2024 to 2026, an increase rate of 7.6 percent is planned, which according to Schleritzko, will now be dampened.

Negative Financial Peak in Numerous Municipalities in Lower Austria

The package will also "provide municipalities with short-term relief to enable important investments and ease pressure on budgets," explained Schleritzko. In 2024, 327 of the total 573 municipalities in Lower Austria showed a negative financial peak, with another third expected in 2025. "The levies are rising sharply, the revenue shares are stagnating," therefore it is a common concern to support municipalities more strongly, emphasized Hergovich.

The support is "help in a difficult time," said Municipal Association President Johannes Pressl. This package must be followed by further measures - at whatever level - demanded Andreas Kollross, President of the NÖ Municipal Representatives Association (GVV). The support provides a piece of financial security and planning certainty for the municipalities, said the state chairman of the Association of Freedom and Independent Municipal Representatives NÖ, Hannes Böck.

(APA/Red)

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