AMSTERDAM--A series of financial missteps may result in Amsterdam being placed under Dutch state supervision guardianship. This may likely be the case if the Dutch capital does not submit proper annual financial statements for 2015, something city hall has major concerns about. The financial statements have to be ready early 2016.
This is according to a risk assessment commissioned by the municipality of Amsterdam, which is in the possession of Het Parool newspaper.
“The picture in this report confirms that [providing - Ed.] the financial statements will be a difficult job,” the report stated. “Currently there is concern at all levels of the organization.”
According to the document, “the risk of inadequate quality has become much greater,” with problems stemming from an unclear budget, capacity shortages, insufficient internal communication and backlogs in administration.
The officials propose establishing a “project group” and a “steering group” tasked with making the financial statements.
The risk analysis also outlines the consequences if the city fails to get its finances in order and keep clear track of expenditure and revenue over the course of the year.
The most worrying of these consequences is Amsterdam becoming a so-called Article 12 municipality being placed under strict state supervision and having to ask The Hague’s permission for every major expenditure.
