The decrease in the Endowment of equipment of rural areas irritates the mayors

LOCAL FINANCE. After the wrath of the elected representatives on the phasing of the housing tax for 80% of the taxpayers, the government’s decision to withdraw an envelope of € 216 million, of the Endowment of equipment of rural areas (DETR). A fund that includes funding for thermal renovation and accessibility of the ERP.
A further reduction of staffing that does not in elected. While the Senate finance Committee has put in place, July 26, 2017*, a working group on phasing out the property tax for 80 % of taxpayers promised by Emmanuel Macron, a new measurement causes the anger in the mayors.
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“A new shot from the plane to the investing public”


Interviewed by Batiactu July 27, 2017, Antoine Homé, rapporteur of the Committee of local finance (CFL) and Philippe Laurent, secretary general of the AMF, we report that “the Government has chosen to cancel the 216 million euros of the allocation of equipment of rural areas (DETR).” It is according to them, no doubt, “a new shot from a plane” to the investing public. “The Government has repeated at the national Conference of the territories that the investment support would be a counterpart of the reduction of the DGF, and today, the allocation of support to investment is cancelled !” says Philippe Laurent, (IDU), mayor of Sceaux (Hauts-de-Seine).


“We actually learned that the Government has published the week the last an ‘order in advance’ in which he gave the redistribution of credits will take place in 2017, explains Antoine Homé (PS), mayor of Wittenheim (Bas-Rhin). To ensure expenses are qualified as urgent in the amount of 5 billion euros, we have taken note of the decision of the Executive to withdraw the same amount on the expenditure booked in the finance Act.”


Actually, the envelope of 216 million euros to the DETR has been taken on the mission “Relations with the local communities”, reports Philippe Laurent.


What is the DETR ?


Let us remind that in 2011 in the framework of the Finance bill, the overall allocation of equipment (DGE) of the municipalities merged with the staffing of rural development (editor’s Note : the former DDR to the tune of 131 million euros in 2010) to form the endowment of equipment of rural areas (DETR). In 2016, the funds of the DETR amounted to 815 million euros, and IB departments at 216 million euros.


Almost an additional 200 million euros had been voted on in 2016, we reminded the Committee of local finance with the aim to develop projects. Among them are the works related to the renovation, the energy transition in the public buildings, as well as the work of the accessibility of the Establishment receiving the public (ERP). This new government decision is expected to provoke other reactions from the side of associations of the block, communal and professionals of the construction sector.


Housing tax : a working group has been set up in the Senate

*The Senate finance committee has put in place, July 26, 2017, a working group on phasing out the property tax for 80% of taxpayers promised by the president of the Republic, she announced in a press release.
“In the context of the review of the draft finance Law for 2018, this working group will explore the consequences of this reform to taxpayers and the local governments”, says the commission, chaired by Michèle André (SP), and the rapporteur of which is Albéric de Montgolfier (LR).


“It will also make proposals for ensuring that the revenue of the municipalities are not overwhelmed by this measure and that local authorities can continue to ensure their public service missions, which are essential to the daily lives of our fellow citizens”, she says in the same release. In addition, the commission adds that, with 22 billion euros in 2015, the property tax is the main fiscal resource of municipalities and their groupings.
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Reactions of the AMF and the Committee of local finance


If the Association of mayors of France (AMF) is sought by the Senate we would be willing to discuss”, we said, Philippe Laurent, secretary general of the AMF, this Thursday. For his part, Antoine Homé (PS), rapporteur of the Committee of local finance, commented : “It is useless to multiply working groups. In my opinion, it should be the start, in a very tight schedule, having a meeting between the Executive and the associations of elected officials. It would seem to me more logical that the Committee of local finance (CFL) is the central place for discussions !” One thing is for sure : the total abolition of the housing tax promised by Emmanuel Macron will not be ready for next fall.

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