July 25, 2021

With the health crisis, the AMF estimates losses at 6 billion euros for municipalities

Gross losses caused by the health crisis linked to Covid-19 amount to 6 billion euros for municipalities, announced Thursday, May 27, the Association of Mayors of France (AMF).

The losses relate to the three years 2020-2021-2022, she said, calling for “A pact of confidence between the State and local communities”, that must be “Considered as a factor supporting growth, and in no way as a constraining tool for local management”.

Traveling to Bourg-Saint-Maurice (Savoie) to present his plan to revive investment in the mountains, the Prime Minister, Jean Castex, announced an additional envelope of 200 million euros to compensate for the loss of tariff revenue ( swimming pools, canteens, nurseries), estimated by the AMF at 2 billion over three years. This plan will be part of the amending finance bill (PLFR) which will be presented next Wednesday in the Council of Ministers.

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Municipal authorities not eligible for the solidarity fund

” We will (…) settle the issue of state control by compensating the municipalities for their loss of tariff revenue when these affect the accounts of the communities ”, he said. “The thermal centers will be able to benefit from this measure, with a total of 200 million euros”, he added.

According to Matignon, the municipal authorities “Were not eligible for the solidarity fund because of their special status and this measure (…) allows them to be compensated as if they had been businesses ”. This same source clarified that this additional envelope does not concern “Mobility organizing authorities who have a separate system”.

The World with AFP