Oldenburg's finances in crisis: expenses exceed income!

Oldenburg's finances in crisis: expenses exceed income!

The financial situation of the city of Oldenburg is worrying, although income is increasing. The reason for this is a rapid increase in expenses that is outstripping the positive developments in income. According to editorial director Markus Minten, there is an urgent need for action to keep expenses under control and set priorities correctly.

The head of the finance department, Dr. Julia Figura has been calling for careful budget planning for some time to avoid unnecessary expenses. However, these warnings were not always heeded. While the city is doing well compared to other municipalities, there is a certain risk that lies with future generations. The city cannot continue to draw on reserves to balance the budget. It is a simple mathematical insight: the method is not sustainable in the long term.

Investment backlog and need for savings

A big problem is the long-standing investment backlog in Oldenburg. Many necessary projects have been postponed, which is particularly evident in dilapidated school buildings and potholes on the streets. The city not only has to invest again, but also make up for missed investments. In addition, impossible economic conditions make the situation even more difficult.

The city has taken on numerous tasks that were originally supposed to be the responsibility of the federal or state governments. The clinic is particularly affected, as it fulfills state tasks and is nevertheless subject to an exceptional financial burden. The increasing social spending can also be partly attributed to legal requirements from Berlin.

The administration has already achieved initial savings of 20 million euros from various areas, but it remains questionable whether this is enough. The review of expenses such as the renovated dog house in the animal shelter, which is estimated at 1.5 million euros, shows that public construction projects often cause disproportionately high costs.

In the upcoming budget discussions, it is now the political responsibility not to generate new expenditure, but rather to find cost-effective alternatives. Proposals should not only contain new ideas, but also provide solutions to finance these measures. The focus must be on the essential tasks in order to use the financial resources wisely.