Social costs are putting pressure on Ortenaukreis: District administrator warns of financial crisis!

Social costs are putting pressure on Ortenaukreis: District administrator warns of financial crisis!

District Administrator Thorsten Erny presented the Ortenau district's annual financial statements for the 2024 financial year today and described the financial situation as “dramatic”. In his report he criticized the development, which he described as “disastrous” and a “decline”. The focus is on the problem of high social costs, which place a heavy burden on the district, reports Lahr newspaper.

As part of the presentation of the 2025/2026 double budget in the district council, Erny emphasized the need for reliability and responsibility. He warned that the current crisis was caused by both the federal and state governments and called for urgent reforms. The net resource requirement for essential areas such as nursing assistance, integration assistance and youth welfare services amounts to around 519 million euros for the next two years. These high expenditures require clear and responsible financial management, such as that Ortenau Journal informed.

Financial burdens and suggested solutions

Another critical point is the clinic deficits, which amount to around 86 million euros in the double budget. Erny expressed concern about inadequate hospital funding, which is not being adequately supported by Berlin. He appealed to everyone involved to take responsibility and find solutions together.

Budget planning is based on the “best case variant”. Erny hopes that the principle of connectivity will be adhered to, which regulates the financing of tasks and the exchange between the federal, state and local authorities. In order to overcome the financial challenges, the district levy will be increased by five percentage points to 33.5 percent, which means an additional around 40 million euros annually for the cities and municipalities.

In recent weeks, the district has achieved administrative savings of 50 million euros, although at the same time 20 new jobs were created in the social sector. This measure is intended to help cope with the increased demands in social care. In order to keep the budget stable, a global reduction in spending of five percent and fee increases are also planned in the budget draft.

Outlook for the coming weeks

The next meeting at which the debate on the draft budget will take place is scheduled for February 11, 2025. A vote on the final budget is expected to take place after the federal election, leaving questions about future funding. District Administrator Erny hopes for fair cooperation and a constructive discussion within the municipal family in order to tackle the financial challenges together.