Is this a common motif? What is it in reference too? Why would a small town in Germany choose that image to represent itself?
It's St. Maurice, also the namesake of the town's church. So how did St. Maurice end up being depicted as a black African and why was he so popular in Germany? Well there are a couple of older answers that tackle this question:
Did non-white nobility/knights exist in medieval europe? by u/SpartiateDienekes