Strong financial position and stability

791 million króna operating surplus
in the year 2020.
Focus on enhanced services and the development and strengthening of digital service channels.

According to the proposal
that the budget will show a surplus of 791 million króna for A and B parts for the year
2020. Operating cash flow is expected to be almost 121% of total revenue.
or 3.6 billion króna. The municipality's financial position is strong. Debt ratio
continues to fall, is forecast at 120% at the end of 2019 and will be in line with the forecast
105% by the end of 2020. The emphasis will be on modernising and developing services.
of the municipality through the use of information technology and clearer procedures. Organisational changes,
which were recently made with the establishment of a new department for services and development at
the municipality, are intended to improve and develop the service and procedures in
Adapting to changing needs and the environment. Increased services for residents and businesses.
will remain a fundamental task of the municipality, where prevention will be at the
prioritised and continued to work on major implementation projects which include, among other things
multi-faceted health promotion for all age groups, early intervention, multiculturalism,
consultation with users and improvements to the working environment for students and staff. Nursery school fees
They have remained the same now for the seventh year in a row. 

Key findings of the budget
2020:

• Operating result
  The A and B sections are positive by 791 million króna
• Debt ratio
  will be around 105% at the end of 2020
• Estimated
  current operating surplus of A and B sections of 3.6 billion króna or almost 12% of
  total income
• Council tax percentage
  unadjusted or 14.48%
• Total charge
  Property taxes are lowered to offset lower water and sewerage charges.
  on an increase in property valuation
• General
  It is expected that the tariff for 2020 will remain unchanged or increase in line
  index-linked. Nursery fees will remain unchanged for the seventh year in a row.
• Plan
  provides for the sale of plots of land worth 1 billion króna
• Estimated
  Investments amount to a total of 3.1 billion krónur
• Purchase
  on social housing, only 500 million króna

„The budget clearly shows that the running of Hafnarfjörður
is going well and the town's finances are sound. The debt ratio continues to
to be lowered and still only carried out with the municipality's own funds and
revenue from land sales,“ says Rósa Guðbjartsdóttir
Mayor of Hafnarfjörður. „It is proposed
an emphasis on securing and enhancing the service for residents but keeping charges in
to a minimum and show prudence in operations and investments.

Emphasis on
Prioritisation in basic services

The budget for implementation in 2020 is
A total of 3.125 million krónur. Part of this amount will go towards further development.
on the southern harbour, the purchase of social housing and utility works. Emphasis is placed
on the prioritisation of basic services, such as school facilities, transport,
on drainage issues and renovation at Sólvang. During the year, it is planned to carry out
a transport plan for Hafnarfjörður where the emphasis will be placed on
traffic safety and sustainable transport for the town's residents. Ásvallabraut
between Skarðshlíðar and Kaldárselsvegur will be carried out and it is expected that
that the project will take two years, in addition to the dualling of the Reykjanesbraut from
The Kaldárselsveg to Krýsuvíkurveg will be completed this year. Further work is planned.
works on a new play, music and primary school in Skarðshlíð which began on
in 2017 and that the cost of these works will be around 800 million
a crown per year. Work will be carried out on the finishing touches to new building sites throughout the town.
as well as the creation of new paths to promote environmentally friendly modes of transport. Special
Funding is also intended for work on various projects in the field of environmental issues.
where preparations for the development of sports facilities will continue.

The budget for the City of Hafnarfjörður has been laid.
to the previous discussion at today's meeting of the Hafnarfjörður Town Council. Budget
extends to next year, in addition to a three-year plan for 2021-2023. It is expected
for the second reading and adoption of the budget in the town council
Wednesday, 11th December.

Attached are the draft supporting documents for the 2020-2023 financial plan:

• Explanatory Memorandum to the 2020 Budget
• Hafnarfjörður – Budget 2020-2023
• Hafnarfjörður – Policy Area Overview 2020-2023