The majority of the political groups represented on the Helsinki City Board have reached agreement on the City’s 2021 budget. Agreement on the budget was reached by the City Council groups of the National Coalition Party, the Greens, the Social Democratic Party and the Swedish People’s Party.
The City Board considered the budget proposal at the City Board meeting of 16 November 2020. Next, the budget proposal will be considered by the City Council. The City Council will decide on the proposal at the Council meeting of 9 December 2020.
Outcome of budget negotiations
Culture and Leisure Division
+ Increase of EUR 1 million, no entries
Urban Environment Division
+ Increase of EUR 2 million
EUR 800,000 is deducted for elevator subsidies.
Entry: Elevator subsidies are targeted especially at areas where subsidies are most effective in promoting the commencement of elevator projects and the fulfillment of accessibility goals.
Entry: EUR 1 million is allocated to the Energy Renaissance energy efficiency programme.
Entry: EUR 1 million is allocated especially to the maintenance of pedestrian and cycling routes, to the housing production process and to the urban design of suburbs. An example of targeted suburbs: Itäkeskus.
Social Services and Health Care Division
+ Increase of EUR 30 million (EUR 10 million of which is covered with transfers from 2020).
As concerns the abovementioned transfer, it is noted as follows: A provision of EUR 5 million made for the Social Services and Health Care Division and EUR 5 million of savings are transferred from the City Board’s 2020 liquid assets to be used in 2021 in such a manner that the EUR 10 million are allocated to the Social Services and Health Care Division. The 2020 provision of EUR 5 million is included in the budget overrun caused by the coronavirus epidemic.
Entry: The City of Helsinki participates in the multi-professional cooperation of Helsinki Police Department’s new human trafficking unit.
Entry: The Social Services and Health Care Division continues to improve health station services in accordance with the goals of the programme for health and social services centres of the future, and the division analyzes development needs in health station services and the structures that support this development.
Entry: Housing conditions for psychological rehabilitation customers are developed by promoting the housing chain from hospital to assisted living to supported housing to regular housing.
Entry: The digital skills of the elderly are improved. The development and commissioning of new digital innovations are supported. Digital skills instruction especially for the elderly is supported, and efforts are intensified to disseminate information about existing opportunities for digital skills instruction.
+ Increase of EUR 22 million
The increase includes the measure to limit the Helsinki Benefit to children younger than 12 months. The limit will be enforced as of 1 June 2021.
The increase includes measures to ensure the continuity of the language programme.
Entry: The personnel’s working conditions in early childhood education are developed, and the general appeal of the work is boosted with appropriate measures, such as with outdoor outfits provided by the employer.
Entry: The current distinctive nature of the Arbis education centre is protected in the development of liberal adult education, to secure the activities of Arbis as a Swedish-language operator and meeting place in liberal adult education.
City Executive Office / general
+ Increase of EUR 500,000 for the salaries and wages development programme
+ Increase of EUR 300,000 for grants for public participation (including small project grants)
Entry: Expenses caused by the coronavirus pandemic are monitored by City of Helsinki committees in conjunction with their monitoring of the economy and operations.
As necessary, committees propose authorizations for budget overruns to the City Board, and the City Board proposes those to the City Council.
Entry: Performance-related bonuses are retained through next year. The performance-related bonus system is developed in 2021 in cooperation with employee organizations in such a manner that possible performance-related bonuses are determined by City of Helsinki-wide criteria rather than by smaller units.
Entry: It is approved that the funds saved in employment services this year should be transferred to 2021. Possibilities are secured for the Ohjaamo operating model to meet the volume of customers resulting from increasing youth unemployment.
Schools and day care centres: + Increase of EUR 11.38 million, allocated as follows:
To be commenced: an expansion at the Oulunkylä Comprehensive School’s grades 1–6, a renovation at the Kallio Comprehensive School’s grades 1–6, and the construction of a new building for Day Care Centre Kaleva in June 2021. (The additional financing need for these projects next year will be + EUR 4.65 million, EUR 4.62 million and EUR 1.25 million, that is, a total of EUR 10.52 million.)
Furthermore, + EUR 0.54 million is reserved for the planning and design of the Keski-Pasila Comprehensive School and day care centre, and + EUR 0.32 million is reserved for the planning and design of new buildings for Kottby grundskolan (Kottby comprehensive school) and the Koskela Comprehensive School’s grades 1–6. The provisions are made to enable future project implementation within the timetables of the 2020 budget.
In addition to the above, the planning of a renovation at the Kannelmäki Comprehensive School will be commenced in 2021.
Critical investments by Helsinki City Transport (HKL): + EUR 24 million
The implementation of the Kalasatama tram line is continued according to plan, with completion target in 2024, as follows: an additional EUR 12 million is allocated to the project for 2021, of which EUR 1 million is allocated to HKL and EUR 11 million to the Urban Environment Division. The remaining years in the 10-year investment plan are modified to ensure that the plan continues to comply with the project’s objective and the 10-year total remains the same.
Provisions are made for the planning of renovations at the Yrjönkatu and Itäkeskus swimming halls in order that the projects can be commenced in 2024 and 2025 respectively.
Provisions are made to expedite the development of a maritime base. The expedition is determined by the commencement of construction in Puotila.