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Berlin’s Administrative Reform Advances with New District Financing Law

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Berlin Senate Approves Key Measure for District Financing

Berlin, April 16 – The implementation of Berlin’s comprehensive administrative reform continues to advance, with a significant milestone reached yesterday, April 15. The Senate has agreed on a crucial measure concerning the legal framework for district financing. Finance Senator Stefan Evers (CDU) announced at City Hall that the new principle will be: “He who orders, pays.” This means that if districts are to assume new responsibilities, they must also receive the necessary funding to fulfill them.

“Konnexitätsausführungsgesetz” to Alleviate District Burden

The newly adopted measure is formally known as the “Konnexitätsausführungsgesetz” (Law on the Implementation of Connectivity). Senator Evers explained that this law aims to prevent structural burdens on the districts. Funding could be provided directly, or districts could be relieved of other tasks, benefit from increased digitization, and streamlined administrative processes. According to the CDU politician, this law represents a “significant component of administrative reform” and is expected to have far-reaching consequences.

New Awareness for District Relief

Evers anticipates that the law will foster a new awareness within Senate departments, explicitly encouraging them to consider how they can ease the burden on the districts. “We will thus create a new awareness,” he stated. He further emphasized that “The law represents one of the key modernization steps in the overall administrative reform” and is a driver of efficiency gains that is unparalleled nationwide.

Next Steps: Council of Mayors and House of Representatives

While the Senate has reached an agreement, the process is not yet complete. “There are still a few steps to go,” Evers noted, mentioning that “A whole host of technical questions have arisen.” The draft will first be presented to the Council of Mayors, which plans to discuss it at a special meeting today, April 16. Following this, the Senate must pass an official resolution, after which the members of the House of Representatives will review and vote on the bill. Senator Evers expressed confidence that the bill will be passed as scheduled before the summer recess, despite some previous snags within the Senate during discussions. He confirmed that the Senate has shown full agreement on the bill, with “no critical questions today.”

Addressing a Recurring Issue: District Financing

District financing has been a recurring topic of discussion in Berlin. A fundamental problem, as highlighted by Evers, is the overall “growth of public responsibilities.” Districts face an ever-increasing burden, particularly due to rising transfer payments. Berlin’s Governing Mayor Kai Wegner (CDU) has consistently described the administrative reform as the foundation for a functioning city. The State Organization Act, a prerequisite for this reform, has been in effect since the beginning of the year, and corresponding amendments to the state constitution are now also active.

This latest development marks a crucial step in Berlin’s ongoing efforts to modernize its administrative structure and ensure a more equitable distribution of resources and responsibilities across its districts.

Source: Press release from the Berlin Senate Chancellery

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