President of the Association of Municipalities for Relief of Municipalities

Association of Municipalities President Johannes Pressl advocated at a press conference, among other things, for a significant increase in property tax, the introduction of ambulance fees, and the retention of most of the 13th and 14th pensions of residents in nursing homes. They are also open to reforms in their own area, particularly through cooperation.

Association of Municipalities President points to sharp increase in childcare costs

Vienna. The Stability Pact essentially regulates the extent to which the respective regional authorities can incur debt. A result of the negotiations, which have just begun, is expected by late summer. Pressl did not specify an exact target value for the municipalities but emphasized that municipalities must first be given the opportunity for appropriate financing. In many areas, unlike the federal and state governments, they do not have legislative competence but must financially shoulder the decisions of other levels. Childcare represents an "enormously increasing" cost factor for municipalities, reported Pressl. In hospital financing, there are annual increase rates of 7.5 percent. In terms of care financing, rising personnel costs and aging populations come together. In the latter area, the head of the municipalities advocated retaining 80 percent of the 13th and 14th pensions for nursing home residents. Because, as experience shows, this often does not end up with those in need of care, but rather children and grandchildren benefit from it. He also pointed out that families who provide care at home have to bear a higher financial burden through 24-hour care than if a nursing home is used.

Stronger patient management required according to Association of Municipalities President

Regarding the health sector, Pressl advocated for stronger patient management. Ambulance fees appear to the president as a reasonable measure towards the outpatient sector. Pressl also supports considerations by social insurance to make non-acute rescue trips more expensive. He quantified the cost dynamics in this field at twelve to 14 percent. The municipalities are moderately enthusiastic about the academization in the kindergarten sector. Pressl doubted whether the quality of care would improve so much through this. However, the higher costs for the municipalities are certain. Pressl has a certain understanding of renaturation requirements. But acquiring green spaces and shaded areas also costs money and must be financed by someone.

More revenue as a goal of the Association of Municipalities President

In view of the increasing challenges, the Association of Municipalities President believes more revenue is needed. The first candidate for this is the property tax, as its basis has not been adjusted for 40 years. Pressl suggests raising the basis by about a third. He did not want to assess the chances of success, as Finance Minister Markus Marterbauer (SPÖ) recently showed willingness to discuss the property tax but did not want to bring this topic to the table himself. The municipalities are upset that the CO2 pricing is not passed on to the municipalities proportionally like other taxes: "We demand a fair distribution of tax revenues here."

Association of Municipalities President sees reform possibilities in their own area

Of course, Pressl admits that there are still possibilities for increasing efficiency in their own area. He rejects municipal mergers against the will of the affected municipalities, but he advocates for cooperation. For example, in the Melk district, administrative services have been outsourced collectively, saving his municipality of Ardagger 80,000 to 90,000 a year. It is also about refreshing the municipalities, questioning cherished things. For instance, a public lawn could be maintained by a robotic mower, or a robot could be used for building cleaning. Furthermore, Pressl promoted the construction of photovoltaic systems with battery storage as a future measure. The head of the municipalities is ready to discuss a reallocation of state tasks between the regional authorities. In this regard, Pressl considers an exchange of competencies conceivable. However, this would be more a matter for the financial equalization - and the current one runs until the end of 2028.

(APA/Red)

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