On July 22 Employers of Poland, BOS Bank, and the Foundation for Polish Economic Congress organized a conference attended by representatives of self-government bodies under the title Municipal property sale-and-leaseback as an innovative method of financing local government budget.
– Local government is the toughest and most durable foundation, but it is not always treated in the right way by the central administration, which does not provide funds for its efficient operation – said Andrzej Malinowski, President of the Employers of Poland. – And yet it is in the regions where we observe the greatest development of Polish entrepreneurship.
Therefore, we need any additional sources of funding - such as operating municipal property sale-and-leaseback - which will be helpful in implementing a reasonable local policy - stressed the President of the Employers of Poland.
Mariusz Klimczak, CEO of BOS Bank presented the advantages of using this financial instrument. He added that thanks to such meetings as the conference yesterday, local authorities can understand the rules for granting this kind of support better. He also mentioned that the biggest barrier to local government bodies, which significantly reduces the growth of investment in the regions is the lack of funds for their own contribution.
President of the Foundation Polish Economic Congress and former Prime Minister Waldemar Pawlak took part in the meeting at the headquarters of the Employers of Poland.
Waldemar Pawlak emphasized that local authorities are often the largest employers in their local communities. – Operating leaseback of a property is a great solution for them that enables them to generate large amounts of money quickly.
During the meeting the Starost of Kluczbork Piotr Pośpiech presented a case study of an operating leaseback of a property in the district of Kluczbork. Jacek Pierzynski, CEO of BOS Bank Invest Management described the startup procedure and the formal requirements of such transactions. Legal Office Piszcz, Norek and Associates presented the formal and legal aspects of real estate operating lease transactions with the participation of local government bodies. Jakubb Flejszar, a manager in the tax advisory department of KPMG in Poland discussed the taxation aspects.