Lord Mayor Frank Klingebiel states with relief: "We have succeeded in convincing the Lower Saxony Ministry of the Interior and Sport (MI) as the municipal supervisory authority of the very special, multiple and externally caused problem situation of the city of Salzgitter and our own consolidation efforts. The intensive talks that my Head of Finance, Eric Neiseke, and my Head of the Finance Department, Ramona von Einem, initially held with representatives of the MI's budget department were followed by further intensive top-level talks between Lord Mayor Frank Klingebiel and Member of the State Parliament Stefan Klein with the Lower Saxony Minister of the Interior and Sport, Daniela Behrens. We tied the knot together last Tuesday and yesterday, Wednesday, we received the budget approval for our 2023/2024 double budget. I am very pleased that we in Salzgitter are now fully capable of acting again in order to continue mastering the very difficult, multiple and complex challenges facing our city of Salzgitter."

All investment funds of €87.5 million have been released for implementation for the 2023 financial year and all investment funds of €98.5 million for the 2024 financial year."

Klingebiel continues: "In the budget approval process, both sides defended their views with vehemence and passion, especially in the ministerial talks. In the end, we found a good and viable solution together. I am particularly pleased that we were able to convince Minister Daniela Behrens of the Herculean task we have had to shoulder in Salzgitter since 2017 and our own consolidation efforts. We were able to achieve improvements of around EUR 18.73 million in 2021 and an estimated EUR 46 million in 2022, with the state requirement allocation of around EUR 8.1 million also having a positive impact in 2021. Liquidity loans were reduced by EUR 24.8 million from the end of 2021 to the end of 2022, despite the considerable burdens from the COVID-19 pandemic and the war in Ukraine. The budget protection concept adopted by the city council sets a consolidation volume for the years 2023 and 2024 totaling 65 million euros. I would like to thank our member of state parliament Stefan Klein for his support in the talks."

MP Stefan Klein is relieved that the approval of the budget means that important expenditure can be made: "From now on, for example, measures can be financed and grants paid out so that clubs and associations now also have security."

Head of Finance Eric Neiseke explains the budget approval: "The investment and liquidity loans in 2023 have been approved without restriction. In the approval, only the total amount of the building management, purchasing and logistics company's commitment appropriations for 2023 of EUR 74.8 million for subsequent years (anticipated credit authorization for subsequent years) was initially limited to EUR 40.5 million. This is acceptable and allows us to focus on implementing the investment measures already budgeted and the measures financed by subsidies. The 2024 budget was approved without restriction. However, the financial outlook for the next financial planning years 2025 to 2027 is bleak. Further shortfalls totaling EUR 153.5 million are expected in this period, so that the MI is calling on the city to exhaust all its own options for budget consolidation and thus avoid a further increase in over-indebtedness due to the expected shortfalls in 2025-2027."

Lord Mayor Frank Klingebiel continued: "However, we will not be able to change this financial forecast decisively and sustainably on our own. It remains to be said that the city of Salzgitter, like the other municipalities in Lower Saxony, must face up to the constantly growing state tasks that are being transferred to the municipalities by the federal government and the state of Lower Saxony. It is primarily the federal government, but also the state of Lower Saxony, that must continue to provide adequate funding for the implementation of the increasingly state-imposed tasks for all municipalities, if necessary flanked by a further debt relief program."

In conclusion, Lord Mayor Frank Klingebiel provides an overview of the investment areas: "The focus of our investment activities for the core budget is on the purchase of equipment for fire protection, the implementation of urban redevelopment and development measures, the equipping and furnishing of schools and the renovation and renewal of roads and bridges. In the in-house facility management, purchasing and logistics department, measures are planned for the renovation and new construction of fire department buildings, schools and daycare centers. Other investment priorities include the conversion measures for all-day operation in elementary school, the implementation of measures from the first pillar of the "Salzgitterhilfe" aid program provided by the state of Lower Saxony to tackle multiple problems and the "Integration Fund".

The budget plan with statutes for the 2023/2024 double budget will be made available to the public shortly at the City of Salzgitter's budget and finance department.