Liebenau is struggling with a deficit of millions: the draft budget is causing a stir!

Liebenau is struggling with a deficit of millions: the draft budget is causing a stir!

Things are getting serious about finances in the small community of Liebenau: the draft budget for 2025 envisages a deficit of one million euros. At a meeting that Mayor Harald Munser presented to the city council, the draft budget, which has a total volume of around 10 million euros, was discussed in detail. Among other things, 2.2 million euros are to be earmarked for a stake in the Bratberg wind farm, which underlines the community's future-oriented course. HNA reports that the city councilors have been discussing this financial concept in the main and finance committee since December.

A small ray of hope is the increase in property tax B from 332 to 495 percent, which results in additional income of around 245,000 euros. Nevertheless, the deficit must be offset by withdrawals from reserves. This approach puts the city's financial cushion in a precarious position as it is almost completely used up. Significant tax increases will therefore be necessary in the coming years to bring the budget into balance.

Investments and future outlook

The draft budget also includes significant investments. A total of almost 7 million euros is planned, of which 2.3 million euros are to be financed through grants. The focus is particularly on projects such as the renovation of the stream bridge on Bruchweg, the planning of new fire stations and the purchase of play equipment for municipal playgrounds. Investments are also planned in daycare centers, bus stops and the construction of cycle paths. This shows the municipality's desire to continually improve the quality of life for its citizens.

Another aspect that concerns the municipal administration is the need to create a second position in the city treasury in order to violate current law. The late submission of the budget is also due to the implementation of the property tax reform and the tight staffing levels in the town hall. An important date is now approaching: the next meeting of the city council to vote on the 2025 budget is scheduled for next Monday.

Financial management in a municipal context

The challenges Liebenau faces are not unique. In many municipalities, budget planning is becoming increasingly complex. According to that FMOEV Budget planning aims to realistically represent the resource consumption of the financial year. Principles such as economy, efficiency and thrift are of central importance here.

The planned measures are a step in the right direction to ensure the community's financial stability in the future. The positive trend shown by the requested capacities in other federal states could also be beneficial for the development of Liebenau. A look at the nationwide situation, especially the strong development in North Rhine-Westphalia, gives hope that continuous improvement is possible. The exchange of best practices from other municipalities could also provide valuable insights for the Hessian community.

Overall, it remains to be seen how the upcoming votes and discussions about the budget will go. The residents of Liebenau can look forward to seeing what progress the city will make in the next few months.