Tartu City Government submitted a draft supplementary budget of €12.9 million to the City Council, focused on covering the loss of revenue and additional costs associated with the Covid-19 pandemic, supporting the mental health of city residents, and renovating streets and the urban space.
In the supplementary budget, €6.7 million is planned for operating expenses and €6.2 million for investments. The planned expenses will be covered by €10.7 million worth of funds carried over from the previous year and €2.2 million from the sale of assets and support from the supplementary state budget.
Mayor Urmas Klaas (Reform) said the preparation of a supplementary budget was made possible by 2020 having ended well for the city in financial terms, with the surpluses and savings received making it possible to cover part of the costs related to the pandemic.
"In the supplementary budget, we will focus on overcoming the consequences of the pandemic, including promoting mental health. In addition, we will have the opportunity to repair several more streets, install new benches along cycle and pedestrian tracks and in parks, and create better conditions for schools for distance and outdoor learning," said Klaas.
The supplementary budget will cover the loss of revenue due to the Covid-19 pandemic in the amount of €1.87 million. This includes the exemption of parents from paying the nursery school place fee, which cost the city €837,000.
The city's expenses also increased by €900,000 due to the pandemic. A total of €181,000 has been set aside from the supplementary budget for mental health promotion, with a range of activities and services being offered, with training held and funding provided for support groups for teachers, students, and the elderly. In addition, the allocation of €200,000, to support private hobby education and hobby activities, and to help service providers cover utility costs, is planned.
It is also planned to increase the reserve fund, in order to cover the costs of preventing and combating the spread of coronavirus.
In the field of the urban economy, the largest additional investment objects are the reconstruction of the section of carriageway between Ujula Street, Ravila Street, Kannikese and Viljandi Highway. Extensive renovation of street lighting in various city districts will also continue. Construction of the Tüve 2 and 4 rental buildings, which started last year, will continue.
The first reading of the supplementary budget will take place on June 10, during the sitting of the City Council.
Editor: Helen Wright