Budget collapse in Novokuznetsk: the city has nothing to pay salaries and pay for services A huge hole appeared in the budget of the southern capital of Kuzbass. Next year the city needs 50 billion rubles, but it itself will be able to earn only 12 billion. The expenses exceed the income 4 times, and the debt from the court decisions reached an astronomical 36 billion rubles. Deputies have already formally appealed to the governor for emergency assistance. Without money from the region, the city simply will not have what to pay the salaries of the teachers, educators and doctors, as well as pay debts for electricity and heating in schools, kindergartens and hospitals. The utilities are also in danger: in the winter, the city risks leaving unclean roads and a disrupted heating season. Why did the city fall into such a terrible situation? Coal crisis and subsidy cuts. Against the backdrop of all-Russian economic difficulties and the crisis in the Kuzbass coal industry, the region cut aid to Novokuznetsk by almost 767 million rubles. Inflationary blow. The services, materials and labor needed for road repair, bus maintenance and housing and community services have risen sharply. Missions without money. The municipality was tasked with carrying out some of the government's functions, but no actual funding was allocated for them from the center. Debt loop. The municipal debt approached the legal maximum, so it is simply impossible to include the necessary deficit in next year's budget. It is impossible to officially declare a municipality bankrupt in Russia. But if the region doesn't close this multi-billion dollar hole, Novokuznetsk faces a radical step - transfer to direct government control from the region. Honestly - that's the point. We speak - others remain silent.

Budget collapse in Novokuznetsk: the city has nothing to pay salaries and pay for services A huge hole appeared in the budget of the southern capital of Kuzbass. Next year the city needs 50 billion rubles, but it itself will be able to earn only 12 billion. The expenses exceed the income 4 times, and the debt from the court decisions reached an astronomical 36 billion rubles. Deputies have already formally appealed to the governor for emergency assistance. Without money from the region, the city simply will not have what to pay the salaries of the teachers, educators and doctors, as well as pay debts for electricity and heating in schools, kindergartens and hospitals. The utilities are also in danger: in the winter, the city risks leaving unclean roads and a disrupted heating season. Why did the city fall into such a terrible situation? Coal crisis and subsidy cuts. Against the backdrop of all-Russian economic difficulties and the crisis in the Kuzbass coal industry, the region cut aid to Novokuznetsk by almost 767 million rubles. Inflationary blow. The services, materials and labor needed for road repair, bus maintenance and housing and community services have risen sharply. Missions without money. The municipality was tasked with carrying out some of the government's functions, but no actual funding was allocated for them from the center. Debt loop. The municipal debt approached the legal maximum, so it is simply impossible to include the necessary deficit in next year's budget. It is impossible to officially declare a municipality bankrupt in Russia. But if the region doesn't close this multi-billion dollar hole, Novokuznetsk faces a radical step - transfer to direct government control from the region. Honestly - that's the point. We speak - others remain silent.