The dispute over the repayments of Corona emergency aid illegally demanded by the state is coming to a head. In mid-December, Economics Minister Nicole Hoffmeister-Kraut (CDU) promised a solution for January, but she cannot yet offer it. The opposition is fuming and ultimately demands an answer as quickly as possible in the Economic Committee, especially for the 62,000 companies and self-employed people who were particularly in question and who had applied for Corona emergency aid before April 8, 2020, but were later asked to reimburse the aid.
Bayaz: The government’s hands are tied at this point
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Behind the scenes, it is said that work is being done hectically to find a solution in accordance with the case law of the Baden-Württemberg Administrative Court (VGH), which inflicted a heavy defeat on the country on October 9th. Finance Minister Danyal Bayaz introduced a new twist in this political crime: Accordingly, the coalition factions, which had previously publicly made the government responsible for presenting a result, should now decide.
“As the head of the administration, which is the state government, we are strictly bound to the requirements of the state budget regulations,” says the Green. “That means the government’s hands are tied at this point.” “Due to the legal situation, the initiative to remedy this through legislation must come from the government factions.” The report obtained by the Ministry of Economic Affairs last year clearly shows that the budget legislator’s “degrees of freedom” are greater than the government’s discretion.
Bayaz recently asked the Minister of Economic Affairs to first present a “legally sound procedure” – which put Hoffmeister-Kraut under additional pressure. In this respect, she has now changed her choice of words: “We have shown paths that you can take,” she says for her department. The coalition is now working on a solution “so that we can pacify the situation as quickly as possible and give our companies that are affected by the VGH ruling security.” It is “our responsibility to ensure maximum legal certainty and reliability here”. As soon as the solution has been found, “we as a coalition will provide comprehensive information.”
Greens: Economics Minister has a duty
The Greens spokesman in the committee, Felix Herkens, continues to see “the Minister of Economic Affairs as having a duty to suggest a way forward for implementation”. “We are working hard on this within the coalition”. However, the SPD economic expert Boris Weirauch is frustrated due to a lack of further information. “62,000 companies and self-employed people in Baden-Württemberg have been waiting for an answer from the Economics Minister and the Finance Minister since November, because the government has demanded back the Corona emergency aid and not the state parliament.” The issue must be “off the table before the state elections”. If necessary, the Economic Committee will meet weekly until March 8th “and summon the two ministers until they present a solution”.
SPD: Government should finally come together
Those affected have been waiting for their money for a good year and a half – “430 million euros in liquidity will be withdrawn from the economy,” complains Weirauch. Every time the government admits in the committee that a solution is in the works. “How long should people wait until the new state government is in office and approves a supplementary budget at the end of the year?” The SPD expects the government to “finally come together”. FDP expert Hans Dieter Scheerer expressed himself similarly: “It cannot be the case that we wait until the legislative period is over and then see how we can perhaps bring it into the next legislative period.” All he could say to those affected was: “Then go back to court. Sue. Get the money!”
Only two regular days left in the plenary session
The last regular state parliament plenary session of this legislative period will take place this Wednesday and Thursday – so special sessions of the state parliament and economic committee would essentially be needed in order to bring the process through in parliament by March. “The state parliament is fully capable of acting,” says the finance minister.
Nevertheless, the chairman of the Economic Committee, Erik Schweickert (FDP), insists on a “proper legislative process” – with a bill that must be legally verifiable. He has a “very clear expectation” of the government factions – things shouldn’t go the way they did with the so-called “heating law” of the previous traffic light government in the federal government, when MPs went to court because they didn’t have enough time to deal with it. The members of the opposition factions should also not be given just a few hours to evaluate the complex matter – which the ministries would have months to do. He also complains that the external report, which cost 25,000 euros, is being kept secret by the government.
It is not entirely far-fetched to fear that the government and government factions will carry out a quick procedure without the committee’s extensive involvement. According to reports, the plan is to introduce a bill this week – possibly with a first reading on Wednesday and a second reading on Thursday. The pressure from business to deliver results is too great. A concrete decision would have to be made by Tuesday evening, then the state parliament presidium will decide on applications to expand the agenda.
