Financial disagreement about census funding: Ministry maintains need for legislative regulation - Dispute over funding for census: Ministry defends existing financial regulation
The Ministry of Finance in Magdeburg has dismissed calls to change the way financial allocations are calculated for municipalities, maintaining that the most recent population statistics from the State Statistical Office remain the most reliable basis. These figures have undergone rigorous evaluation and are deemed to offer the highest level of accuracy.
Last week, representatives of several municipalities gathered in Halberstadt, Harz district, to deliberate the effects of these population figures on municipal finances. They proposed adopting data from municipal registration offices for future calculations. Financial equalization, a crucial revenue source for many municipalities, is directly linked to the population determined by the census. A lower population equates to less funding.
Two-thirds of the municipalities in the state stand to experience severe population decline as a result of the census, according to a joint statement from the participating municipalities. This could lead to revenue losses exceeding two million euros for certain municipalities, including Halberstadt itself. "The scale of these losses cannot be ignored," remarked Halberstadt's mayor, Daniel Szarata. "Especially when our registration numbers appear far more accurate and depict a different picture compared to the census estimate."
However, the Ministry of Finance asserts that there are no substantive grounds to alter the existing distribution mechanism at present. A ministry spokeswoman noted that the municipal peak associations have not demanded an alternative data basis. Although Rhineland-Palatinate state uses municipal registration offices for allocation distribution, this is an exception to the general rule.
[1] The Ministry's reluctance to switch to data from registration offices stems from the need for reliable, comparable, and methodologically sound data. The State Statistical Office provides such data, ensuring consistent and reliable population numbers across municipalities. Using registration office data can lead to discrepancies due to issues such as delays in address updates, multiple registrations, or administrative errors. These inconsistencies can distort the actual population living in a municipality at any given time, potentially leading to unreliable financial allocations.
[1] In light of data discrepancies and potential unreliability, the Ministry of Finance in Magdeburg has expressed reservations about switching to data from municipal registration offices for financial allocation calculations, preferring the population statistics from the State Statistical Office.
[2] Recognizing the importance of accurate data for vocational training programs, municipalities such as Halberstadt propose adopting data from their registration offices for future calculations. This could help facilitate a more accurate reflection of the urban populace, ultimately ensuring a more efficient allocation of resources for vocational training and other community programs in the face of declining populations and subsequent funding reductions.
