SSG: Initial course set for distribution of special assets

The Free State and local authorities have come closer together on the distribution of funds from the special fund. The Saxon Association of Towns and Municipalities (Sächsischer Städte- und Gemeindetag - SSG) supports the results of the agreement between the two municipal state associations and the government, according to a statement. "We want the investments in infrastructure to be visible everywhere and the program to become a success story in Saxony," said SSG President Bert Wendsche.

He spoke of the "first important steps" in the agreement on the distribution of the funds. Of the 4.8 billion euros that the Free State will receive from the special fund, 36 percent will flow directly into the municipal budget, according to the information provided. The municipalities will receive a further 22.5 percent via a so-called strategic arm, while 31.5 percent will go to the state. The remaining 10 percent is earmarked for measures in the common interest.

More money for small projects

According to the SSG, the money should also benefit smaller projects. Wendsche called on the state parliament to reconsider the previously planned minimum investment volume of 250,000 euros. "Lowering the threshold to the 50,000 euro investment volume favored by the federal government would benefit Saxony's rural areas."