Enhance the city's financial administration is necessary
The city of Oberhausen, located in North Rhine-Westphalia, is facing a funding crisis, as it has only managed to secure a small portion of the funds from the Urgent Program for Inner Cities (UPIC). This program, designed to support modernization, infrastructure renewal, and revitalization initiatives in inner cities, has allocated a total of €2.5 billion. However, Oberhausen has only claimed approximately 14% of this amount, leaving a significant portion (€2.15 billion) for other cities.
This funding shortage has several implications for Oberhausen. With limited financial resources, the city may find it challenging to undertake urgent urban development projects. This puts Oberhausen at a disadvantage compared to better-funded cities when it comes to addressing pressing urban challenges such as housing modernization, infrastructure upgrades, or public space improvements.
The reduced funding availability may also slow down key projects, hamper economic development efforts, and negatively impact Oberhausen’s competitive position relative to other German cities that secured more from the program.
The SPD, the city's ruling party, has acknowledged the issue and has taken steps to address it. In 2015, the SPD, along with its coalition partners, the Greens and FDP, applied for the establishment of a central funding management. The main and finance committee has reportedly been addressed once regarding this central funding management.
Sonja Bongers, the SPD fraction chairwoman, has emphasized the importance of securing funding for a city like Oberhausen. She stated that missing out on such amounts cannot be afforded by a city that is as dependent on funding as Oberhausen. Ulrich Real, the SPD's planning policy spokesman, added that a solid basis for claiming funding is the existence of concepts. He explained that having concepts in the relevant department allows for targeted and swift funding applications.
The city's past record is not without blemishes. Oberhausen has missed deadlines or had to return funds in cases such as the Altenberger Park, the multifunctional complex in Osterfeld, and the renovation of the Europa-Kino. Despite this, the SPD has not relieved the administration of its responsibility for these oversights.
At the end of 2021, the SPD demanded the evaluation of the central funding management. The consequences of Oberhausen's underperformance in claiming funds are evident, but specific administrative or strategic reasons behind this underperformance are not fully clear from the current data.
This information was published in a report by the Ministry of Municipal Affairs, Home and Building and was headlined "City 'wastes' funding" in WAZ. Sonja Bongers is the Chairwoman of the SPD City Council fraction and a member of the North Rhine-Westphalia State Parliament.
In the light of the funding crisis, Oberhausen's limited finances may hamper the city's urban development projects, especially in areas like housing modernization, infrastructure upgrades, or public space improvements. The city's competitive position relative to other German cities might be affected, as key projects could be slowed down due to insufficient funds. The SPD, acknowledging this issue, has implemented steps such as applying for a central funding management, but the reasons behind Oberhausen's underperformance in claiming funds are not yet fully understood.
