Loss of 13 million

Parking fees to be raised in Villach

The part of the parking lot at the Friedensschule that is still free will be subject to charges.

(Bild: Fister Katrin)

Villach is expecting a budget deficit of 13.7 million euros in the coming year - this will be discussed by the municipal council on Friday. In order to cushion the loss, parking zones will be expanded and fees raised, among other measures. Subsidies will not be cut.

With a total volume of 332 million euros, Villach's budget proposal for the coming year will show a deficit of 13.7 million euros. Mayor Günther Albel sees the main reasons for the deficit in the steadily increasing compulsory expenditure and the first decrease in federal revenue shares since coronavirus. "The municipalities only receive 12.8 percent of the income. For the first time since corona, we are expecting a minus of 0.7 percent," says Albel, outlining the drastic financial conditions. He is also calling for an evaluation of the property tax, which has not been raised for more than 30 years. 

No abolition of subsidies
In order to mitigate the deficit, the city wants to make savings in its own areas. The employees of the municipal council are once again being called upon to submit proposals on how savings can be made in their own areas. "There will be no savings in the social sector or in subsidies for associations," says Albel. The Kelag fund remains untouched at 41 million. Investments in the coming year will amount to 47 million euros.

The Green Party leader Karin Herkner sees too few financial priorities in the budget, particularly in the areas of public transport and cycle paths.

Dobernig: "Financial powder shot"
ERDE Club Chairman Gerald Dobernig criticized the city's financial situation: "The time for castles in the air and prestige projects is over. We don't need the financial resources for logistics centers or a second ice rink." The city had also failed to build up financial reserves in good time.

Before the municipal council meeting, there was a sign from the mandataries against violence against women

(Bild: Fister Katrin)

VP city councillor Christian Pober identified the Kärnten Therme as a major negative budget item. "The thermal baths cost the city 1.4 million euros, while the investment report provides for a profit for the operating company," said Pober, who called for the thermal baths to be privatized or sold to the state of Carinthia.

FPÖ party leader Katrin Nießner sees the city of Villach facing major financial challenges. "The economic data speaks for itself. Insolvencies have risen sharply in the first quarter." Nießner is calling for a revision of the financial pact and an unbundling of transfer payments.

Fees will be increased
However, there will be increases in some fee budgets. In addition to water, sewerage charges will also be increased by six percent. There will also be the annual index adjustments. Parking fees will be increased by 10 cents per half hour in the coming year. The fee zones will also be extended. The parking spaces at the LKH and the Friedensschule will be subject to charges. However, the parking spaces at Drauboden (Willroider) and Westbahnhof will remain free.