Pothole in the road, frost damage on the bridge? Your municipality may not know about it. Especially among small municipalities, only one out of three has solved the repair debt situation of its infrastructure, says Taloustuktuikma's extensive municipal infrastructure survey. Less than half of the municipalities have plans to reduce the debt.
In small municipalities, the monitoring of the municipal technology repair debt situation is weak, according to a report made by Taloustikkusmas. In the survey, trustees of the technical task boards and municipal technical task personnel were interviewed.
64 percent of the experts in the technical work of small municipalities stated that the amount of repair debt for municipal technical structures has not been determined in practice. In medium-sized municipalities, the corresponding share was 24 percent and in large municipalities, 13 percent of the respondents.
The amount of the repair debt indicates how much should have been invested in the structures in order for them to be in good condition in terms of use. On average, one in three of all municipalities lacks an overall understanding of the amount of their infrastructure repair debt. In addition, information about the repair debt situation is almost always only in the heads of experts in the technical sector or in their own information systems. Very few municipalities have taken the information to the municipality's common information systems.
A little less than half of the municipalities have a long-term plan to reduce the repair debt, and only one in five of the small municipalities.
Privately or as one's own work - this divides opinion
A clear majority of the experts in technical work would prefer bidding out the work on the market, especially in winter care and maintenance of traffic routes. The most preferred form of bidding, especially in big cities, is a multi-year contract.
At the same time as the interviews with the experts of the technical work, Taloustutkimus investigated the views of the municipal trustees. 59 percent of them would produce the technical services mainly as the municipality's own work.
The study did not give an unequivocal answer to what is the tendering rate for municipal engineering works in municipalities at the moment. In any case, the share of own work is still significant. This is most clearly and as expected in water supply, but also in the care and maintenance of green areas, the work of the municipality is preferred.
An exceptionally large share of own production is in the winter maintenance of big cities: 60 percent of large cities report that they take care of winter care themselves.
"The results raise concerns about the future of municipal finance. The combined effect of these two things is especially stopping: ignorance of the condition of the infrastructure and a possible simultaneous reluctance to utilize the efficiency of the private sector", CEO of INFRA ry Paavo Syrjö ponders.
"Several surveys have shown that private service production is more affordable for the municipality than the municipality's own service production. That's why municipalities should also explore this option with an open mind, for example by comparing the efficiency of their own production with the corresponding activities of the private sector."
Report 1, interviews with municipal infrastructure experts >
Report 2, survey for municipal trustees >
Taloustutkimus interviewed 50 municipal technical experts such as technical managers or city engineers. 30 percent of the interviewees represented the largest cities, the rest small and medium-sized municipalities. Alongside the interviews, a survey was carried out for the trustees of the councils responsible for community technology, to which 99 decision-makers responded. Taloustutkimus made a report in November–December 2017 on the assignment of INFRA ry, which represents the infrastructure industry in Rakennusteollisuus RT.
ADDITIONAL INFORMATION:
research director Pasi Holm, 050 374 7462, Economic research
managing director Paavo Syrjö, 040 560 1803, INFRA association