Tartu Mayor Klaas Rejects Some Party Colleagues' Proposals for Budget Savings

Tartu Mayor Urmas Klaas told ERR that he finds unacceptable proposals to halt construction of the Siuru cultural center in Tartu or limit the share of income tax allocated to wealthier municipalities. He emphasized that construction of Siuru has already begun and is funded by gambling tax revenue managed by the "Capital of Culture" fund, not by loans. A contract between the city and the fund stipulates that the fund covers two-thirds of costs and Tartu one-third. "Work has started and continues, and I want to dispel any doubts: both partners are fulfilling their obligations," Klaas said.

Klaas also rejected the idea of reducing the income tax share for wealthier local governments, calling it unprofessional. He reminded that Tartu already lost 17 million euros over four years due to a previous reform dubbed the "Robin Hood reform." "Local governments have clear tasks in providing public services, so talking about further revenue cuts is simply impossible," he added.

At the same time, Klaas supported proposals to reduce state operational expenses, review unspent budget carryovers from previous years, and cut bureaucracy. As examples, he cited the increase in officials due to new laws and recent initiatives to ban roadside billboards or tighten vegetable growing regulations. "Our problem is high current spending, not investments," Klaas stated.

When asked why Võrklaev and Sõerd proposed such ideas, Klaas replied: "They are seeking attention. It's good to discuss financial stability, but not at the expense of personal vanity. All proposals should strengthen society's stability, not create additional instability."

Former finance ministers Võrklaev and Sõerd proposed measures that could, in their estimation, improve the budget by over 100 million euros, including delaying Siuru construction, reducing funding to wealthier municipalities, cutting public sector vacation days, and raising doctor visit fees.

Pärnu Mayor Kristel Voltenberg (electoral alliance "Heart for Pärnu") gave a cautious assessment. She said the proposals need careful examination and suggested a temporary halt to major state cultural projects, but noted that Pärnu awaits a multifunctional hall. Voltenberg supported the idea of allowing people to declare multiple residences so income tax is distributed proportionally among municipalities. She stressed the need to discuss taxes despite upcoming elections.