Controversial bonds

Gswb violated Salzburg financial regulations

(Bild: Tschepp Markus)

Housing association did not invest funds in accordance with a financial regulation. The bonds in question are due to expire in 2026.

City politics is currently working its way deep into the world of non-profit housing. This was also the case on Monday in the Control Committee. At the meeting, new details from the inspection office report on Gswb were also discussed. For example, that the city and state housing association is not complying with the Financial Management Act introduced after the financial scandal in 2013.

Gswb should not have concluded three "step-up bonds", i.e. bonds with increasing or decreasing interest rates during the term, with a total purchase value of no less than 15 million euros. "Two will expire in 2025, one in 2026. We won't be concluding any more," explained Gswb authorized signatory Markus Berthold to the committee.

Many grievances have emerged in recent months.

(Bild: Tröster Andreas)

Discussion about tenants' contribution to maintenance
The maintenance and improvement contribution (EVB) collected by Gswb from tenants also caused discussion. This is used to pay for repairs, renovations and improvements to residential buildings. The EVB increases with the age of the building and is between 0.50 and 2 euros per square meter. Prospective housing councillor Kay-Michael Dankl (KPÖ Plus) criticized the fact that income from the EVB has risen from 8 to 21 million euros over the years, while expenditure has fallen from 26 to 20 million euros.

According to Gswb boss Peter Rassaerts, the figures are only of limited significance because: "The EVB is allocated to one house or residential complex at a time." Furthermore, he says, the money has to be kept ready for those situations where action is actually needed. Gswb may have missed this point in time at times, given the shortcomings of recent months. Rassaerts clarifies: "We are not pursuing the goal of building where there is money. We build where it is necessary."