07.12.2016

2017 draft budget for the City of Tallinn completed

The Tallinn City Government submitted the 2017 draft budget for the City of Tallinn to the City Council.

According to the draft budget, the total volume of the city’s budgetary revenues and expenditures in 2017 is EUR 655,338,132, which is EUR 58,293,940 or 9.8% more than planned in the specified budged for 2016.

Priorities are education, public transport and the road network

“The priorities of our investments in the draft budget for the next year are promoting education and developing public transport and the road network,” said Deputy Mayor of Tallinn Taavi Aas, standing in for the mayor. “Next year, we will be investing more than usual, launching several major externally-funded road construction projects – such as the Haabersti intersection, Reidi Road and Gonsiori Street – as well as several cycle and pedestrian tracks. We will also invest considerably in public transport, as we plan to procure new buses and rejuvenate our fleet of trams.”

Aas said that the draft budget also provides for the repair of several schools and nursery schools and construction of an entirely new nursery school. In addition, the Teachers’ Home being built in Lasnamäe, to serve as a source of affordable housing for school and nursery school teachers, will be completed next year. Investments in education are planned in the amount of EUR 29,762,583, i.e. 80.7% more than in 2016. The building at Pihlaka 10 will be renovated with the help of external funding, in which the day nursery of the Nursery School Kraavikrõll will be opened.

Improvement of sports facilities

“Sports facilities will also be improved significantly and include the completion of the renovation of sports hall Kalev and development of the North Tallinn fitness centre," said Aas. "In cooperation with the private sector we will begin the process of developing a stadium in Lasnamäe, a sports complex in Mustamäe with a swimming pool and sauna, as well as a hall for ball games in Õismäe."

Investments in the field of culture include the restoration of the Hobuveski building and the House of the Blackheads, improvement of the Song Festival Grounds and expansion of the cultural centre Kaja, located in Mustamäe. The House of Nõmme will be completed – the former school building will house the premises of the Nõmme District Administration and other Nõmme hobby groups and service providers.

New buses and investments in housing

Investments in roads and streets will total EUR 51,773,180, including EUR 25,008,780 in the form of external funding for the renovation of roads and streets. Tallinna Linnatranspordi Aktsiaselts will receive targeted investment support in the total amount of EUR 25,157,250. The support will be used to procure 50 new buses, reconstruct 10 trams and start renovation of vintage trams, conclude renovation of the Kopli tram depot and continue installation of passenger information panels at public transportation stops.

Housing investments are planned to total EUR 4,600,000, and include the start of renovation work on the dormitory at Paljassaare tee 37 and preparation of renovation design documentation for the Sõpruse 5 building. A total of EUR 166,411,418 will be allocated for investment activities in the draft budget for 2017.

Wages of teachers, cultural workers and youth workers to go up

Wages of managers of educational establishments, teachers and assistant teachers, whose salaries are paid from the city budget, will grow by up to 4.3% starting from 1 September 2017. Also, in the field of culture, the priority for the coming year is to harmonise salaries in the city’s various cultural institutions. Salary funds for all of the city’s youth employees will increase by 6% from January, and salaries of the city’s child welfare employees will be increased to EUR 1250; salaries of employees of the city's social welfare institutions will be harmonised from April, ensuring a 4% growth in salary funds.

It is planned to borrow up to EUR 50,000,000 in 2017 for financing the investments. Due to the fact that the implementation of external projects in the new EU budgetary period will peak in 2017, the city's net debt position in connection with securing own financing of externally funded investment projects will grow. However, by the end of 2017 it will firmly remain within the 60% limit permitted by law,” said Deputy Mayor Taavi Aas who is standing in for the mayor.