Several cities and communities got an unpleasant surprise this October. Seen by the site Mayor’s information, the aid application decree decided in 2022 will exclude some 3,400 municipalities and inter-municipalities from the system, which will therefore have to reimburse an overpayment. These communities benefited from an advance payment of 430 million euros decided by the Government to help them pay their energy bills, as well as from an increase in the rate of civil servants.
To understand this situation, we have to go back a year. Faced with skyrocketing electricity and gas prices, many municipalities had to close swimming pools and ice rinks and limit public lighting to limit the explosion in their operating costs.
To help the most vulnerable communities, Elisabeth Borne then promised France’s mayors a “safety net” in addition to other measures such as the price shield or the electric shock absorber. The Government then launched an allocation of 430 million euros. This sum would cover 50% of the increase in expenses linked to the increase in the index point and 70% of those linked to inflation.
As it was aid of last resort (hence the term “safety net”), the conditions to benefit from it were quite strict. In fact, there are too many, according to many elected officials who will persuade the Senate to relax them.
3,415 municipalities will reimburse
To benefit from this system, it was necessary to demonstrate significant financial fragility, including a drop of more than 25% in the community’s gross savings in 2022. The communities most caught in the lurch that anticipated a significant decrease in their savings could even apply a deposit before paying the amount scheduled for this month of October 2023. This will be done by around 4,200 municipalities or communities.
Some received very large sums on this occasion, such as Grenoble, Sarcelles, Nanterre or Bondy, which obtained more than one million euros and, in particular, the city of Nice and its metropolis, which, together, were credited 6 .6 million euros.
Problem: according to the calculations of state services, it turns out that the vast majority of these communities did not have the right to it. 3,415 of the 4,200 urgently applied for an allowance at the end of last year when their financial situation turned out to be better than expected. These communities ultimately did not meet the criteria. Therefore, they will have to repay these overpayments.
Which makes many local elected officials cringe and criticize “the effects of government announcements.” Initially announced for “22,000 municipalities”, the executive reduced the number of possible beneficiaries of the “net” system by half. Previously, the Postal Bank put it at 8,000 at the end of last year.
In the end, some 3,000 municipalities will have benefited for a total amount of 405 million euros. With very significant differences, remember Mayor’s information, from 52 euros of aid for Sivu Énergie des Cévennes to 9.1 million euros from the city of Lille. But the latter will not have to return anything, since she had full right to her endowment.
Source: BFM TV
