We demand a financial contribution from the state to the municipalities!

The Socialist Party of Iceland's proposal that the City of Reykjavík demand a financial contribution from the state to the municipalities will be presented at the next city council meeting:

The City of Reykjavík agrees to demand a financial contribution from the state to meet increased services due to COVID-19 and foreseeable revenue loss for the same reasons. The state has the power to print money, but the municipalities do not. A large part of increased services to the public, children, disabled people, senior citizens, and vulnerable groups, falls within the scope of the municipalities. By excluding the municipalities at the same time as generous assistance is provided to companies, the state overlooks the importance of municipalities, especially at a time when it is most crucial to protect individuals, families, and society. Hereby, the City of Reykjavík, the largest municipality, agrees to be a leader in demanding increased funding from the state to provide services on behalf of the municipalities during the coronavirus pandemic.

Rationale:

Municipalities provide immensely important services in the local community such as school services, services for senior citizens, disabled people, children, and individuals in vulnerable situations. The coronavirus has widespread consequences, placing a heavy burden on existing services and calling for increased services due to people's isolation, loss of income, anxiety, and other associated effects of the situation. It is therefore important that municipalities receive increased funding from the state to provide services that are under their purview. The public response to the pandemic and its economic consequences should primarily be within the local community and thus at the municipal level.