Regulation of economic difficulties in the canton of Lucerne: companies can submit applications from Tuesday



[ad_1]

Coronakrise

Regulation of economic difficulties in the canton of Lucerne: companies can submit applications from Tuesday

There are 25 million francs available to Lucerne companies that are particularly suffering from the crown crisis. The money doesn’t start flowing until February 4. However, applications can be sent from tomorrow Tuesday.

Here the profitable event technology remained in storage.  View of the Auviso company in Emmebrücke.

Here the profitable event technology remained in storage. View of the Auviso company in Emmebrücke.

Photo: Nadia Schärli (November 11, 2020)

Numerous showmen, event companies or travel agencies struggle to survive. The rules on difficult living conditions of the Confederation and the cantons are all the more important. In Lucerne, there are 25 million Swiss francs available for companies affected by the crisis; of which 8.58 million come from the federal government. The cantonal constitution allows no more without a mandatory financial referendum. The deadline for the optional referendum is the end of January 2021. Contributions will be paid as of February 4.

Affected companies can submit an application starting Tuesday. This was announced yesterday by the CFO Reto Wyss. Applications can be submitted at this link until December 1, 2021. The wait time until contributions are paid is important, according to Wyss. Because company managers have to upload some documents. “This effort is critical to a robust examination of the documents.”

Kantonalbank checks payments for free

Specifically, an application goes through seven steps:

  • Sending the request: Information on sales and financial requirements must be provided using the online form. This includes excerpts from the business registry and debt execution record, copies of identification or passport, a liquidity plan, and, if available, Covid-19 loan agreements.
  • Formal examination: The Luzerner Kantonalbank (LUKB) checks applications for completeness and exclusion criteria. The company must be based in the canton of Lucerne, have an average of 50,000 francs in sales in 2018 and 2019, have registered at least a 40 percent loss in sales this year compared to previous years, have been profitable before of the pandemic and having exhausted all other options for crisis management. . Anyone who has used industry-specific assistance is not eligible to apply for hardship assistance.
  • Technical examination: The BDO trust company reviews applications in accordance with federal guidelines and conducts an evaluation. According to Reto Wyss, the BDO is compensated by the canton with “commercial rates”. The cantons of Aargau and Zug would also work with the company. The amount of the costs will ultimately depend on the volume of applications. “In that sense, we are fishing a little in the dark,” said the CVP governing council yesterday when asked by our newspaper.
  • Decision: A group of nine experts decides if a company receives contributions. The group is made up of representatives of the canton and business. The governing council elects the members today.
  • Opening: The decision is made by the finance department and therefore made official.
  • Pay: The LUKB pays the loans and also the À-fonds-perdu contributions. The interest rate for loans is 0 percent per year, but the canton can adjust it from 2023 if necessary. The term is 10 years.
  • Administration: The LUKB periodically requests the annual financial statements with the balance of companies in a situation of difficulty and informs the canton.

It is well known that 3 out of every 25 million Swiss francs are contributions that companies do not have to repay. Reto Wyss says of the hybrid form: “We have chosen a good middle ground. It is still important to remember that the financial injection for hardship cases was raised with taxpayers’ money. We have to and we want to handle it carefully. “

The prerequisite for emergency measures is a corresponding ordinance, which the Lucerne Governing Council recently approved. It also registered the framework conditions, analogous to the federal ordinance. They deliberately refrained from toughening the rules and followed the federal ordinance. Wyss:

“In order to offer the Lucerne economy the best possible support, we do not want additional restrictions. All companies, regardless of the industry, should have the same support possibilities. “

However, among other things, it is checked whether allowances for difficult living conditions can guarantee the viability of the company and whether sufficient personal efforts have been made.

Is the second tranche emerging now?

Last week, both the Federal Council and the canton of Lucerne tightened measures to combat the pandemic. At the same time, the Federal Council wants to increase the funds for the regulation of difficulties to 2.5 billion francs. Is there now increasing pressure on the Lucerne government to resolve a second tranche of difficulties? “We are analyzing the situation in detail,” said Chief Financial Officer Wyss. Additionally, federal councils have yet to approve the increased federal funding.

The prerequisite for emergency measures is a corresponding ordinance, which the Lucerne Governing Council recently approved. It also registered the framework conditions, analogous to the federal ordinance. These are of vital importance for the submission and evaluation of applications. Reto Wyss explains: “The ordinance defines both the specific form of hardship measures and the eligibility criteria.”

Messe Luzern and the KKL cannot benefit from the hardship rule. Canton and city are arguing with them. Solutions are expected in January.

The trade association demands more flexibility from the governing council

(Department) The Canton Lucerne Association of SMEs and Commerce (KGL) appreciates the momentum and pace of difficult cases. However, in a communication from the governing council, the KGL asks for a definitive definition of what part of the loans granted by the canton and what part will be repaid after the crisis. It should apply here that loans do not have to be repaid if they were used to cover a typical shortfall in sales due to government-imposed restrictions. The current solution is too inflexible and too static, it is also the FDP.

Meanwhile, the Young Freisans Lucerne criticize cantonal measures to contain the pandemic. The governing council put this into effect last Saturday. First, the effect of the federal measures should have been expected, according to the Young Party.

[ad_2]