El próximo detonante presupuestario para Graz: el Tribunal de Cuentas no da buenos resultados a las finanzas de la ciudad

The financial situation of Graz, Austria’s Styrian capital, has deteriorated significantly, prompting the Austrian Court of Audit (Rechnungshof) to urge drastic measures. According to the audit, the city's net financing balance was negative each year except for 2022, with operational expenses exceeding revenue from taxes and fees since 2024. Per capita debt reached €6,352 in 2024–1.5 to 3.5 times higher than in other provincial capitals such as Innsbruck, Linz, and Salzburg. The population grew from 292,630 in 2021 to 306,971 in 2025, while the city was governed by a coalition of the KPÖ, Greens, and Social Democrats until June 2026, followed by a new coalition of KPÖ and Greens. From 2021 through 2025, the city recorded a net result of minus €38.75 million in 2021, plus €522.95 million in 2022, minus €169.72 million in 2023, minus €134.72 million in 2024, and minus €17.97 million in 2025. While revenues increased by 29 percent during this period, expenditures rose by 36 percent. Investment spending ranged from €137.93 million in 2021 to €179.43 million in 2024. Liabilities also climbed annually, reaching approximately €293.15 million in 2025. The Rechnungshof recommended strict measures, including reviewing and restructuring services offered by the city, tightening its portfolio of investments, reducing multiple managing directors at affiliated companies, and curbing increases in personnel costs. Proposed cuts include reductions in voluntary benefits, subsidies, sponsorships, and grants. Revenue could be boosted by increasing cost coverage in fees and charges for municipal services such as water, sewage, and waste management. Despite having a budget consolidation plan up to 2030, the audit found the proposed savings insufficient given the city’s dire financial condition. Measures outlined in the 2025 strategy aimed only to maintain solvency, not consolidate the budget. The city had limited control over key factors affecting its finances, such as national economic trends and inflation, which could jeopardize the planned path to fiscal stability. The audit emphasized the need for the city to take initiative to improve its financial situation effectively. The city’s 71 affiliated companies and departments, collectively known as “Haus Graz,” require substantial transfers from the municipal budget. Total transfers from 2021 to 2030 were projected at €1.466 billion. Despite the precarious financial situation, the city continues to offer a wide range of services, including subsidized climate tickets and sponsorship of cultural and sporting events. From the perspective of the Rechnungshof, these services should be fundamentally reviewed and scaled back. By the end of 2026, the city’s debt is expected to exceed €2 billion. A budget freeze was imposed in early September, partly due to an unexpected €36 million increase in costs related to disability assistance. Additional concerns included reports of questionable expenditures by members of the city government and heads of political factions, including purchases of Christmas calendars and coffee machines for staff. The city’s financial burden has grown substantially due to loans, increasing from €1.52 billion in 2021 to €2.11 billion in 2025, a rise of nearly 39 percent. The Holding Graz, one of the city’s main subsidiaries, received €318.58 million in payments from 2021 to 2024, with further payments of €586.27 million scheduled from 2025 to 2030. The Rechnungshof criticized the city for implementing austerity measures in 2024, but noted that initial savings targets were too modest. The city avoided addressing its 71 affiliated companies and departments in its subsequent strategies. Free tram rides in the old town, known as the “Altstadtbim,” and the subsidized climate ticket program, costing around €9.32 million from 2021 to 2024, were highlighted as major expenses. The audit suggested specific actions to stabilize the city’s finances, including renting unused properties at market rates and suspending free tram rides in the old town. It also recommended delaying museum renovations. Before the audit’s findings, the KPÖ-Green coalition introduced 55 austerity measures, focusing on certain priorities while facing accusations of presenting misleading proposals.