Tartu presents ministry with €1.6 million claim for care reform costs
The city of Tartu has submitted a request to the Ministry of Social Affairs for additional compensation for general care service costs. The city argues that the government has failed to fulfill its obligation to ensure the necessary funding for the care reform and should reimburse the city for the significantly increased expenses resulting from the reform, amounting to €1.6 million.
"The city's expenses for general care services have increased significantly compared to the period before the care reform, and the state's forecasts regarding local governments' costs and the number of service recipients have been severely underestimated," said Tartu City Secretary Jüri Mölder. He added that Tartu had already pointed this out during the preparatory phase of the reform.
Since the implementation of the care reform, both Tartu's expenditures on general care services and the number of clients receiving the service have risen substantially. In 2022, before the reform, the city spent €2.1 million on these services. By 2024, that figure had surged to nearly €8.1 million, of which the city covered just over €4 million. Without the reform, the city's expected contribution would have been around €2.4 million.
Tartu is requesting the Ministry of Social Affairs to reimburse €1,622,779 and is prepared to defend its claim in court, citing a Supreme Court ruling that allows local governments to file such claims through administrative courts.
The care reform placed municipalities in a position where they were required to cover at least part of all residents' nursing home bills, without the state allocating additional funds for this purpose.
Following an appeal from the councils of Põlva and Räpina municipalities, as well as the Tartu city council, the Supreme Court's full panel analyzed the care reform and ruled last July that if local governments do not receive sufficient funding to fulfill their responsibilities, they have the right to demand additional funds from the state through an administrative court complaint.
Last September, all three local governments confirmed they were considering legal action. Tartu has now finalized its financial claim.
Põlva Deputy Municipality Mayor Koit Nook told ERR two weeks ago that the municipality is waiting to see what steps Tartu takes and does not intend to lead the legal challenge itself, as it lacks the necessary legal resources. However, Põlva is closely monitoring Tartu's actions. Räpina Municipality Mayor Enel Liin added that they are also in the process of making their own financial calculations.
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Editor: Mirjam Mäekivi, Marcus Turovski
