Thursday, May 28, 2026

The federal government should pay half of the cost of reconstruction


SecondCountries hope to decide on Tuesday to share the financial burden caused by the floods. This should apply to direct assistance and reconstruction assistance. The federal government hopes to “preliminarily” contribute 400 million euros to the emergency assistance approved by the federal states. This comes from the draft resolution of the meeting between the Prime Minister and Prime Minister Angela Merkel (CDU) tomorrow, Tuesday. “There is no upper limit on the total number,” it said.

For the reconstruction of the disaster-stricken areas in North Rhine-Westphalia and Rhineland-Palatinate, the “Development Assistance 2021” fund will be established as a federal special fund. The draft resolution has not yet stated how much money has been designated for this purpose. The reconstruction measures in the federal states have not yet been quantified. In the draft, it only states “X billion euros”. The participation of the entire state will be achieved through “adjusting the vertical distribution of sales tax revenue for 20 years”. The Federal Cabinet hopes to pass the necessary legal provisions on financial assistance on August 18.

As remedial measures are urgently needed, regulations and administrative agreements will be drafted “immediately.” In order to speed up the processing speed, an exception should be made to the principle of prior approval of measures. According to the draft resolution, the federal government hopes to waive the reimbursement of expenses incurred by the use of the federal army.

The federal and state governments have also decided to take measures to improve the decentralized alert to the population in the event of a disaster at the Prime Minister’s Conference (MPK) on Tuesday. According to the draft resolution, this includes in particular the federal siren funding program. By 2023, a total of up to 88 million euros will be provided to the federal states. The federal government is currently drafting a bill on a cellular broadcasting system that will send warnings via text messages on mobile phones.



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